THE NEW ZEALAND OFFICIAL YEAR-BOOK, 1960


Table of Contents

List of Tables

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-fifth issue, the customary intensive revision of basic material has been made. The chapter on history, constitution, and administration has been supplemented by a section on New Zealand's international activities. A new subsection has been formed for the marketing of primary produce in the farm production section.

The chapter on working conditions now contains a comprehensive summary of the work of the Court of Arbitration. Supplementary material added to the miscellaneous section includes general notes on art galleries, museums, and libraries, with additional information on newspapers.

Substantial revision has been made to the text of the sections dealing with customs tariff and revenue, minerals and mineral production, Government revenue and expenditure, taxation, wages and wage-rates, industrial disputes, industrial accidents, and Island Territories.

A special article deals with the history of grassland research in New Zealand, which is an important aspect of the country's pastoral economy.

The set of photographs illustrates some of the tourist attractions of New Zealand.

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 thanks for their comprehensive contribution to the production of the Year-Book 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.

Department of Statistics,
Wellington,
1 July 1960.
J. V. T. BAKER,
Government Statistician.

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 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 from Wellington, 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 Territories103,736
(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 Territories103,930
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. Moves have been made towards self-government for Western Samoa, and attainment of independence is tentatively set at 1 January 1962. On 1 October 1959 a form of Cabinet government was established in Western Samoa. 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 was 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 camps has continued through into 1960 while scientific research, survey, and exploration have been further developed.

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.

1*

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 misceilany of ranges dominating the mountainous Fiord and north-western Southland regions.

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

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

Mountain or PeakHeight (Feet)
NORTH ISLAND 
Ruapehu9,175
Egmont8,260
Ngauruhoe7,515
Tongariro6,458
SOUTH ISLAND 
Kaikoura Ranges 
  Tapuaenuku9,465
  Alarm9,400
Southern Alps 
  Cook12,349
  Tasman11,475
  Dampier11,287
  Silberhorn10,757
  Lendenfeldt10,450
  David's Dome10,443
  Malte Brun10,421
  Torres10,376
  Teichelmann10,370
  Sefton10,354
  Haast10,294
  Elie de Beaumont10,200
  Douglas Peak10,107
  La Perouse10,101
  Haidinger10,059
  De la Beche10,058
  The Minarets10,058
  Aspiring9,975
  Hamilton9,915
  Glacier Peak9,865
  Arguilles Rouges9,731
  Nazomi9,716
  Darwin9,715
  Chudleigh9,686
  Annan9,667
  Low9,653
  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
  Ronald Adair9,276
  Hochstetter Dom9,258
  Earnslaw9,250
  Nathan9,200
  Barnicoat9,183
  Sibbald9,181
  Arrowsmith9,171
  Spencer9,167
  The Footstool9,073
  Rudolf9,039
  The Dwarf9,025
   Darran Range 
  Tutoko9,691
  Madeline9,042

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

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

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

As sources of hydro-electric power New Zealand rivers are of considerable importance, since their rapid rate of flow and dependable volume of ice-free water make them eminently suitable for this purpose. At the present time the Waikato and the Mangahao in the North Island and the Waitaki, Cobb, 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

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

SOUTH ISLAND

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

LakeLength, in MilesGreatest Breadth, in MilesArea, in Square MilesDrainage Area, in Square MilesApproximate Volume of Discharge, in Cubic Feet Per SecondMaximum Height Above Sea Level in Feet (Range in Brackets)*Greatest Depth, in Feet
* The range in lake levels is not available for all lakes.
NORTH ISLAND
Natural
Taupo25172341,2704,4901,172 (5)522
Rotorua74631203 920 (2)84
Rotoiti10313248852916 (2)230
Tarawera7541472273981 (2)285
Rotoaira35502401,852 (3) 
Waikaremoana126211656232,015 (45)840
Wairarapa124311,236 564
Rotoehu32317 968 (4) 
Rotoma4412 1,036 (6) 
Okataina43425 1,018 (9) 
Okareka148 1,160 (4) 
Rotomahana43427 1,116 (22) 
Rerewhakaitu243  1,441 (4) 
Tikitapu13/41/2  1,364 
Rotokakahi24111401,298 
Artificial
Ohakuri211/4541,8505,540942 
Atiamuri4i41,9805,830826 
Whakamaru13½432,1556,160742 
Maraetai444142,3906,730618 
Waipapa61/442,5007,010417 
Arapuni10452,6557,310363 (2) 
Karapiro15i32,8807,820176 
Whakamarino41/41/10  900 
SOUTH ISLAND
Natural
Rotoiti9144714402,020 (6)250
Rotoroa54291459601,462 (5)499
Brunner545415160 280357
Kanieri6611 429646
Coleridge11214216 1,672680
Sumner61454130   
Tekapo1134375503,0602,347 (25)620
Pukaki945325234,5201,640 (30) 
Ohau113234602,3101,730 (9) 
Hawea195465672,2401,133 (53)1,285
Wanaka283749827,150915 (14) 
Wakatipu4831131,1506,1601,017 (7)1,239
Te Anau3861361,2759,730686 (15)906
Manapouri185551,78513,630608 (21)1,455
Monowai12111105495643 (13) 
Hauroko22142742251,100513 (5) 
Poteriteri1814181601,05096 
Waihola432,200 (Tidal)52
Ellesmere14870745 (Tidal)7
Artificial
Cobb31/4 281982,650 (50) 
Waitaki34243,75012,150753 
Roxburgh201/46,01217,270430 
Mahinirangi9181202301,282 

GEOLOGY.—An article on the geology of New Zealand is contained in the 1940 and earlier editions of the Year-Book. For more detailed information the reader is referred to 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.

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 1835-1959, 82 destructive earthquakes are known to have occurred in New Zealand, 62 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 1924 to 1959 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.
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
19587587
195910776+

Abnormally large numbers of shocks 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 1959.—Although there were more felt earthquakes than in 1958, no unusual activity occurred during 1959, which was more comparable with 1957 in respect of earthquake frequency and maximum intensities.

The most important earthquake in 1959 occurred on 22 May, in which intensities up to M.-M. 6+ caused some structural damage in the Picton-Blenheim area. Intensities up to M.-M. 5 were experienced at Wellington, Farewell Spit, and Collingwood. The shock was perceptible at most places between Taumarunui and Banks Peninsula. Its epicentre was near lat. 41° 0' S., long. 174° 2' E., at shallow depth. The instrumental magnitude was 6.0.

On 3 June a shock of magnitude 5½, at a depth of 125 miles under the North Island, was felt extensively in the southern part of the North Island and at Nelson and Blenheim. No intensities above M.-M. 4 were reported. The epicentre was near lat. 39° 0' S., long. 174° 9' E.

During the latter part of July there was a series of earthquakes in the Kawerau region, one of which reached intensity M.-M. 5 on 24 July. This shock was centred near lat. 38° 0' S., long. 176° 8' E., at very shallow depth. Series of shocks also occurred in the same region during April and September. At least one shock on 7 April reached M.-M. 5 at Kawerau.

On 7 November a shock of magnitude 4½, centred at shallow depth near Cobb Power Station, was felt there with intensity M.-M. 5-6. It was also felt at Nelson (M.-M. 2), but was not reported from any other places.

Other earthquakes reaching intensity M.-M. 5 during the year occurred on 3 February (Farewell Spit), 18 July (Foxton), and 16 December (Taihape).

In all, 107 shocks were reported felt during 1959; 83 in the North Island and 31 in the South Island. Seven of these were felt in some part of both Islands.

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

  1. All areas of the North Island cast 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
II23.011 1.1
III12.10.1 0.1
IV1.1  0.0

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

Deaths Due to Earthquakes.—During the period 1848-1959 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.

WEATHER AND CLIMATE.—The collection of weather information and the provision of weather forecasts and climatic data for diverse interests in aviation, shipping, agriculture, Government Departments and the general public are functions of the New Zealand Meteorological Service. By arrangement with the administrations concerned the Service performs similar functions for British territories in the Pacific.

Weather reports for use in forecasting are made at about 110 places within New Zealand and 50 in Pacific Islands and collected by telegraph and radio, along with measurements of winds at upper levels made at eight radar wind-measuring stations and of temperatures made at seven radiosonde stations. Daily observations are made for climatological purposes at about 150 places in New Zealand and 60 in the islands. Rainfall measurements are made at a total of about 1,200 places within New Zealand and 80 outside the country.

A general description of the climate of New Zealand is contained 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 1956. 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 Sun-shineAir Temperature, Degrees Fahrenheit
Mean Daily MaximumMean Daily Minimum
Jan.JulyYearJan.JulyYear

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

† Revised sunshine normals refer to period 1935-1955.

‡ Normals relate to present site.

 Ft.In. Hrs.      
Te Paki, Te Hapua20056.71692,15072.859.265.957.045.952.0
Auckland16048.91822,15072.856.764.960.046.153.2
Tauranga1251 01522,35074.557.466.154.740.147.6
Ruakura, Hamilton13 i4591612,07074.655.965.551.737.144.7
Rotorua97557.11452,06074.353.663.651.336.944.5
Gisborne1239.81472,22075.755.865.953.839.547.1
Onepoto, Lake Waikaremoana2,10076.9183 68.147.658.042.037.745.0
New Plymouth16061.21862,13069.154.862.255.242.949.3
Napier531.21142,32073-955.164.857.039.448.7
Wanganui7234.41552,15071054.263.055.941.048.9
Palmerston North1103901701,89070.553.162.254.339.146.9
(D.S.I.R.)          
Waingawa, Masterton34037.31422,04074.353.363.750.535.843.4
Kelburn, Wellington41549.21662,01067.651.259.854.441.548.3
Nelson243901162,43071.254.263.054.537.146.1
Blenheim1225.81102,49072.053.063.552.735.144.4
Hanmer1,27045.31331,94071.648.260.947.829.039.1
Hokitika15109.61971,84065.351.758.850.935.643.8
Lake Coleridge1,19533.1114 70.148.160.648.629.840.2
Christchurch2226.31251,98070.250.060.952.734.744.0
Timaru5623.51161,92070.049.460.751.433.442.8
Milford Sound20253.3194 64.448.357.050.034.242.5
Queenstown1,10032.01312,00069.845.658.849.030.940.9
Alexandra52013.2992,11072.644.660.950.828.040.2
Musselburgh, Dunedin531.11611,77065.249.359.051.236.244.3
Invercargill3243.22011,67066.348.858.348.433.841.7

Brief Review of 1959:Year.—Rainfall was below average by up to 30 per cent in and west of the Southern Alps, also in North Otago, Marlborough, and Taranaki. Elsewhere it was mainly close to normal. However, in parts of North Canterbury and in Coromandel and the Whangarei - Bay of Islands area it was up to 30 per cent wetter than usual.

Temperatures were close to average over the North Island and in Canterbury and North Otago. Over the remainder of the South Island they were about a degree warmer than usual. The average positive departure over the whole country was half a degree, making 1959 the coolest year since 1953.

Sunshine was below average over the North Island except between Levin and Wellington, where it was close to normal. The deficiency amounted to over 200 hours in eastern districts from Waihi to Napier, and also in the Bay of Islands. Most of the South Island was favoured with somewhat more sunshine than usual, and the surplus exceeded 200 hours in Westland. However, in the Nelson provincial district and in most inland districts of the South Island sunshine was close to normal.

Seasonal Notes.—January and February were both dry months in the South Island, and in parts of Nelson and Marlborough a serious shortage of feed developed. January was also a very warm month, with departures from average of mainly about three degrees. It was the sunniest January on record in parts of Westland, Otago and Southland, but unusually cloudy in the Auckland and Hawke's Bay provincial districts. A southerly storm from 21 to 23 February was associated with unusually cold temperatures for the time of the year and snow fell on the ranges of both islands.

Good rains in the middle of March provided some relief in Marlborough and Nelson. It was a wet month in Northland and mid-Canterbury. March was chiefly memorable for a tropical cyclone which passed close to North Cape on the evening of the 14th, causing widespread damage over the northern half of Northland. Many buildings, including five churches and three halls, were destroyed by the wind; and power and telephone services were completely disrupted over a wide area.

April was wetter than usual over most of the Auckland provincial district, and the persistence of damp conditions adversely affected the lambs. Elsewhere it was mainly regarded as a good month for growth and for stock, especially as in the South Island it was 1-2 degrees warmer than usual.

The next month was one of the coldest and wettest Mays on record. Winds from a southerly quarter brought persistent cloud and rain, particularly to eastern and southern districts. Widespread gales were reported over the North Island from the 26th to the 28th. Many falls of snow were reported, the worst being in Southland from the 24th to the 26th and in the North Island high country from the 25th to the 30th. Temperatures were below normal by 3-5 degrees in the South Island and by 2-4 degrees in the North Island. In the South Island conditions were particularly severe for stock, especially for young sheep.

By contrast, the winter months of June to August were unusually dry and sunny over most of the South Island and the southern half of the Wellington provincial district. Generally conditions were very favourable for stock. A spell of south-easterly weather from 23 to 26 July brought snow to low levels in the South Island and well down on the hills of the North Island and caused some lambing losses in Hawke's Bay and Wairarapa. However, August proved to be a particularly favourable month for lambing, on account of the absence of prolonged spells of cold wet weather.

September was a mild month and rather too dry in Canterbury, affecting pasture growth. By contrast, October was cooler than usual by 1-3 degrees, except in the Auckland provincial district. It was also marked by an unusually high frequency of southerly to easterly winds, with some heavy falls of rain in eastern districts of the North Island. The dried-up pastures of Canterbury received good rains about mid-month. A late snowfall caused some losses of lambs in the South, but generally it continued to be a good season for lambing.

November and December were both somewhat warmer than usual, with rainfall well below average in central districts from Marlborough to Taranaki and Hawke's Bay, affecting crops. November was also unusually windy, with strong north-westerly gales on several occasions. It was particularly cloudy in the Taranaki-Manawatu area. On the other hand, December was unusually cloudy in Canterbury and parts of Otago. December was also rather wet in the Hauraki Plains -Coromandel area and in parts of Otago. In many districts it was regarded as a good month for stock.

SUMMARY OF METEOROLOGICAL OBSERVATIONS FOR 1959

The observations from which the following summary was compiled for the year 1959 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 1959Extremes*
Maximum and MonthMinimum and MonthAbsolute MaximumAbsolute MinimumTotal Fall (Inches)No. of Rain Days
* Highest and lowest temperatures for duration of records.
Te Paki, Te Hapua66.852.459.679.2 Feb.29.0 Jun.82.827.02,13263.10193
Auckland66.253.259.780.2 Jan.36.9 Jun.90.431.52,04249.72174
Tauranga65.548.657.083.2 Feb.28.8 Jun.91.922.52,13551.52141
Ruakura, Hamilton65.545.955.784.4 Jan.22.2 Jun.94.414.21,90547.96176
Whakarewarewa63.245.054.183.3 Jan.24.4 Jun.98.021.31,81554.94146
Onepoto, Lake Waikaremoana58.345.151.785.2 Jan.31.3 Jun.88.122.280.75201 
Gisborne66.047.556.895.0 Jan.26.0 Jun.99.825.92,05741.19163
New Plymouth Airfield63.348.455.983.8 Jan.30.6 Jun.86.028.02,00554.10168
Napier65.448.657.095.0 Jan.30.8 Jul.96.527.52,17836.46122
Wanganui63.248.956.081.8 Mar.30.2 Jun.88.028.62,02940.59123
Palmerston North (D.S.I.R.)63.347.055.284.2 Jan.27.8 Jun.87.021.21,71637.08156
Waingawa, Masterton63.243.953.591.5 Jan.26.0 Jul.95.419.51,92334.42158
Kelburn, Wellington60.049.354.683.1 Jan.34.8 May88.028.62,07640.88137
Nelson Airfield62.344.153.284.1 Jan.23.0 Jun.92.021.02,52329.6899
Blenheim64.944.854.888.1 Jan.24.9 Jun.94.616.12,51219.6291
Hanmer60.838.749.889.5 Jan.17.0 Jun.97.08.21,89455.23135
Hokitika South59.744.051 975.8 Jan.27.3 Jul.84.525 02,11687.83167
Lake Coleridge60.939.950.491.0 Jan.20.0 Jun.97.0100 31.21100
Christchurch62.043.652.892.1 Jan.22.3 Jun.95.719.32.10923.4393
Timaru61.543.152.391.6 Mar.25.1 Jun.99.019.81,98719.84106
Milford Sound58.143.550.879.8 Jan.29.2 May81.823.1209.43185 
Queenstown60.440.950.793.2 Jan.23.0 May93.419.21,98328.07127
Alexandra62.840.051.497.0 Jan.190 Jun.99.011.02,21311.4288
Musselburgh, Dunedin58.944.751.888.3 Jan.27.5 Jun.94.023.01,79628.71176
Invercargill Airfield57.841.549.684.5 Jan.25.3 May90.01901,72439.55198

For 1959 the mean sea level pressure values in millibars at 0900 hours New Zealand standard time were; Auckland 1016-9, Wellington 1015-7, Nelson 1016.0, Hokitika South 1016.3, Christ-church 1014.8, and Dunedin 1013.9.

Normal Seasonal Temperature Pattern.—A feature of the seasonal pattern of temperature for New Zealand is the near symmetry about either the hottest summer months or the coldest winter months. In other words the summer-winter decline is an almost identical reversal of the winter-summer rise. This shows up clearly when temperatures for 100 climatological stations are averaged month by month. The first two months of the calendar year, the summer months of January and February display the same average temperature, that of 61.3°F. This temperature is the highest average for any month, being approached by only the December average of 59.2°r. Once February is past a decline sets in, the estimated average New Zealand temperature falling by 2.5°F from February to March to give a March average of 58.8°F. Thereafter, successive inter-monthly temperature drops of 4.4°, 5.4°, 4.2°, and 1.2°F finally produce a July average of 43.6°F, which makes this month the coldest of the year. Progressing through and past July the temperature steadily rises, the increments being successively, 1.8°, 3.4°, 3.8°, 3.2°, 3.4°, and 2.1°F, finally returning to the January mark of 61.3°F.

ESTIMATED NORMAL NEW ZEALAND TEMPERATURE (°F)*

Calendar MonthMean Temperature
* Based on temperature normals for 100 climatological stations.
January61.3
February61.3
March58.8
April54.4
May49.0
June44.8
July43.6
August45.4
September48.8
October52.6
November55.8
December59.2

The following diagram illustrates the seasonal temperature pattern.

FLORA OF NEW ZEALAND.—Those desiring information on the flora and plant covering of New Zealand are referred to the article which appeared in the 1940 and previous issues of the Year-Book. For more detailed information the following works may be consulted: “Manual of the New Zealand Flora”, 2nd ed., by T. F. Cheesman, 1925; “Students' Flora of New Zealand”, by T. Kirk, 1889; “Vegetation of New Zealand”, 2nd ed., by L. Cockayne, 1928; “New Zealand Plants and Their Story”, 3rd ed., by L. Cockayne, 1927; “Plants of New Zealand”, 6th ed., by R. M. Laing and E. W. Blackwell, 1951; “Handbook of the Naturalized Flora of New Zealand”, by H. H. Allan, 1940; “New Zealand Native Plant Studies”, by W. C. Davies, 1956; “New Zealand Ferns”, 5th ed., by H. B. Dobbie and M. M. Crookes, 1953; “Handbook of the New Zealand Mosses”, by G. O. K. Sainsbury, 1955; “Introduction to the Grasses of New Zealand”, by H. H. Allan, 1936; “Grasslands of New Zealand”, 2nd ed., by E. B. Levy, 1955; “Pasture Plants and Grasses of New Zealand”, 7th ed., by F. W. Hilgendorf and J. W. Calder, 1952; “Weeds of New Zealand”, 5th ed., by F. W. Hilgendorf and J. W. Calder, 1952; “Poisonous Plants of New Zealand”, by H. E. Connor, 1951; “Trees of New Zealand”, 4th ed., by L. Cockayne and E. P. Turner, 1958; “New Zealand Trees and Shrubs and How to Identify Them”, by H. H. Allan, 1928; “Forest Flora of New Zealand”, by T. Kirk, 1889; “Forest Trees and Timbers of New Zealand”, by H. V. Hinds and J. S. Reid, 1957; “Exotic Forest Trees in New Zealand”, by G. C. Weston, 1957; “Forest Fungi”, by M. E. Lancaster, 1955; “The Marine Algae of New Zealand, Part I: Myxophyceae and Chlorophyceae”, by V. J. Chapman, 1956.

FAUNA OF NEW ZEALAND.—A brief article on the fauna of New Zealand is contained in the 1940 and earlier editions of the Year-Book. Other publications dealing with this topic include: “Native animals of New Zealand”, by A. W. B. Powell, 1947; “Animals of New Zealand”, 4th ed., by F. W. Hutton and J. Drummond, 1923; “Introduced Mammals of New Zealand”, by K. A. Wodzicki, 1950; “New Zealand Birds”, 2nd ed., by W. R. B. Oliver, 1955; “New Zealand Birds and How to Identify Them”, 4th ed., by P. Moncrieff, 1952; “Birds of New Zealand”, by A. M. Bailey, 1955; “Focus on New Zealand Birds”, by G. J. H. Moon, 1957; “Moas of Australia and New Zealand”, by W. R. B. Oliver, 1949; “Treasury of New Zealand Fishes”, 2nd ed., by D. H. Graham, 1956; “Fresh Water Fishes of New Zealand”, by G. Stokell, 1955; “Sea Anglers' Fishes of New Zealand” and “Big Game Fishes and Sharks of New Zealand”, by A. W. Parrott, 1957 and 1958; “Shells of New Zealand”, 3rd ed., by A. W. B. Powell, 1957; “Manual of New Zealand Mollusca Plus Atlas”, by H. Suter, 1913 and 1915; “Insects of Australia and New Zealand”, by R. J. Tillyard, 1926; “Butterflies and Moths of New Zealand” plus Supplement, by G. V. Hudson, 1928 and 1939; “Bibliography of New Zealand Entomology, 1775-1952”, by D. Miller, 1956; “New Zealand Beetles and Their Larvae”, by G. V. Hudson, 1934; “Native Insects”, by D. Miller, 1955; “Aphids of New Zealand”, by W. Cottier, 1953; “New Zealand Neuroptera”, by G. V. Hudson, 1904; “Fragments of New Zealand Entomology”, by G. V. Hudson, 1951; “Acalyptevate Diptera of New Zealand”, by R. A. Harrison, 1959; “The Earthworm Fauna of New Zealand”, by K. E. Lee, 1959.

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, where it was practically exterminated by disease and by invading Maoris early in the nineteenth century. The Morioris are now extinct. 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 in 1773. Rarotonga and Mauke were not officially discovered for another fifty years, although there were records of earlier visits by the Bounty under the control of the mutineers in 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, stabilization of prices, wages, and rents, conditions of employment and suspension of certain peacetime features of industrial activity, discouragement of some industries and diversion to or encouragement of other industries, provision for rehabilitation, etc.

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

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

A fourth approach to law-making resulting from maturity of outlook has been the increased participation by New Zealand in international affairs consequent on its acceptance of responsibility in the wider issues of the present era. Legislation authorizing participation in 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. Expansion and diversification of manufacturing and servicing industries have provided avenues of employment for the growing labour force. At the same time the basic industries of the country, those concerned with primary production, have increased output, assisted by the rapid application of technological improvements and research findings.

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 have been fostered and encouraged in various ways, with outlets being found for produce available for export. By and large, however, their economy is necessarily one of a subsistence type only, with financial and other assistance provided from Government sources for the expansion of educational facilities and opportunities, public works such as roading, conservation of water supplies by reservoir construction, communication facilities, etc.

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

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

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

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

During Governor Grey's term, steps were taken to draft a constitution for the colony. An Act granting representative institutions was passed by the Imperial Parliament on 30 June 1852, and was published in New Zealand by Proclamation on 17 January 1853. Under it provision was made for the constitution of a General Assembly consisting of a Legislative Council and a House of Representatives. Provision was also made for the division of the country into provinces, each province having an elected Council and 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 1388, 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.

NEW ZEALAND'S INTERNATIONAL ACTIVITIES.—Though in the nineteenth century Sir Julius Vogel and the Rt. Hon. R. J. Seddon had original views about the policy which Britain and New Zealand should pursue in the Pacific area - views which they announced with vigour - New Zealand did not acquire the right to conduct an independent foreign policy until the end of the First World War when the full nationhood of the “Dominions” was recognized. For some years after this, however, successive New Zealand Governments chose not to exercise this right and (pursuing a passive roll in the League of Nations and refraining from establishing diplomatic relations with foreign Governments, or with other members of the Commonwealth apart from Britain) preferred to make known any views on matters of foreign affairs only to the British Government and through the confidential channels of intra-Commonwealth consultation.

Few pressures existed in the 1920's and early 1930's to impel New Zealand towards enunciating an independent foreign policy. The population was mainly British in composition and comparatively few were concerned to distinguish between the interests of New Zealand and those of the Mother Country. Nor had they much cause to do so: New Zealand had established a fruitful economic partnership with Britain, upon which country nearly all her material and cultural links were centred; and New Zealand's surest protector against dangers which it was incapable of meeting alone was the Royal Navy. It was, moreover, realized that New Zealand in her own right could make little impact on world affairs whereas Britain was a great power capable of affecting the pattern of world events. New Zealand “foreign policy” therefore consisted chiefly in seeking to modify British policy in those few cases where New Zealand had a strong interest or a viewpoint rather different from that of Britain. A standing opportunity was provided by the system of confidential intra-Commonwealth consultation whereby Britain provided full information to the Dominions and sought their comments upon issues of international policy as they arose. In this way New Zealand tended to prefer a share of great power status to “independence” of foreign policy; this sufficed until the middle of the 1930's.

In practice, during the first sixteen years after the First World War the New Zealand Government on only a few occasions thought it necessary to make significant efforts to bring about a modification of British policy. This situation resulted chiefly from the factors earlier outlined which made for an identity of interest and viewpoint between Britain and New Zealand. In part also it arose because few problems directly affecting New Zealand remained to be settled; in part it was because of a considered reluctance to give advice when the main consequences of accepting that advice fell upon Britain, not New Zealand; in part it was because New Zealand Governments tended to approach problems pragmatically rather than on grounds of principle, and were conscious of having no expert New Zealand Department organized to collect and appraise the facts on equal terms with the British Foreign Office; in part it was because New Zealand Governments, supplied by the Foreign Office with very much the same information as that on which the United Kingdom Cabinet based its judgments, viewed problems from a similar standpoint to that of the British Government. In short, most New Zealanders thought of external affairs in terms of Imperial unity and relied on British leadership of the Empire.

The emergence of an independent New Zealand foreign policy is usually held to date from 1935. Some Ministers in the new Government were deeply interested in world affairs in general, and the Government's approach was influenced by theory and principle. In particular, they held strong views on the principle of collective security and upon the League of Nations as the embodiment of that principle. In its method of championing the principles of collective security, pressing for the restoration of the authority of the League of Nations and, at a time when the United Kingdom Government was pursuing the policy which came to be known as appeasement, urging positive League action over Abyssinia, Spain, and China, the Government came to depart from the pattern of the previous sixteen years: for, in addition to making its views known in confidential communications to the United Kingdom Government, it also stated them with vigour in the international forum of the Council and the Assembly of the League of Nations.

There was, however, no fundamental departure from the traditional policy of association with Britain. Moreover, the course that would be followed in the event of war was never in doubt. As early as 16 May 1938 a leading member of the Government had said “if the Old Country is attacked, we are too we will assist her to the fullest extent possible.” When war broke out the Prime Minister, the Rt. Hon. M. J. Savage, expressed New Zealand's position in terms that were as true in 1939 as they would have been in 1914:

“Behind the sure shield of Britain we have enjoyed and cherished freedom and self-government. Both with gratitude for the past, and with confidence in the future, we range ourselves without fear behind Britain. Where she goes, we go. Where she stands, we stand. We are only a small and young nation, but we are one and all a band of brothers, and we march forward with a union of hearts and wills to a common destiny”.

Until twenty-five years ago New Zealand sought to protect and promote its interests solely through its association with Britain; in the world situation that then existed, and given New Zealand's small power and influence, this was certainly more economical and probably more effective than any other method or foreign policy. For a short period from 1935 New Zealand used the League of Nations as a supplement to the British association.

But the Second World War changed the pattern of power in the world and made it necessary for New Zealand gradually to revise its foreign policy and its method of implementing that policy. Even though the basic attachment of New Zealanders to the Mother Country was little affected, the fact became manifest that Britain was no longer a power able to determine events on a world scale and that, since New Zealand interests could no longer be protected by British actions alone, it did not suffice to confine New Zealand foreign policy to occasional attempts to persuade the British Government to take note of New Zealand views. Japanese aggression and, later, the rise of Communist China forced New Zealand to face the reality of its geographical location in the Pacific and to develop an additional relationship with the only other friendly power capable of protecting New Zealand - the United States of America - with the least possible prejudice to its association with the United Kingdom. To contribute to Anglo-American harmony is therefore a major preoccupation of New Zealand foreign policy.

To be woven into any post-war policy was the now traditional New Zealand belief in the principle of collective security and international justice, especially as symbolised by, though not yet embodied in, the United Nations. This was by no means an easy task in a world where the divisions of the cold-war were reflected in competing regional alliances. There had to be a place, too, for belief in the ability of international co-operation to control armaments and to eliminate poverty, disease, and other economic and social causes of international tension.

During the war years New Zealand was admitted to the councils of the Allies and was expected to advance informed views. The Government honoured its responsibility and, having established in wartime the habit of participating in the making of international decisions, accepted it as natural that New Zealand should continue to participate in the development of a post-war world order and in subsequent international consultations. To this end New Zealand established (in effect from 1943) a professional Department of External Affairs and a career foreign service, and proceeded slowly to establish diplomatic missions in countries where New Zealand's interests merited protection. In particular, New Zealand sought increasingly to make its individual contribution to fostering good relationships with its neighbours in the Pacific and to increasing the measure of security and welfare in this area.

The threat to New Zealand's security, posed by the entry of Japan into the war at a time when the United Kingdom was fully committed in Europe, brought New Zealand into the closest relations with two of her Pacific neighbours, Australia and the United States. Recognition of the need for a greater measure of collaboration with Australia resulted in the signing in 1944 of the Canberra

Pact which provided machinery for continuing consultation between the two Governments. Upon the entry of Japan into the war both New Zealand and Australia looked principally to the United States for protection. Relations among the three countries thus entered a new phase. The close association of wartime found expression in peacetime in the Anzus Treaty, in which, for the first time, New Zealand and Australia entered into a treaty of alliance and mutual defence with a foreign country. While neither Australia nor New Zealand was in favour of a vindictive or onerously restrictive peace settlement with Japan, they both made clear during the negotiation of the Japanese Peace Treaty their apprehension at the possibility of future aggression in the Pacific. The Anzus Treaty, which came into force in April 1952, was designed to allay these fears at the same time as it achieved the aim of both countries to enter into a close relationship with the major Pacific power. The treaty gives an assurance of United States support in the event of an armed attack from any quarter in the Pacific and so constitutes New Zealand's major safeguard from aggression in the area.

Since the signature of the Anzus Treaty, New Zealand has become a member of another regional defence system, the South-East Asia Treaty Organization, SEATO. In joining SEATO, a body made necessary by the failure of the Great Powers to co-operate in carrying out the security functions entrusted to them by the United Nations Charter, New Zealand demonstrated further its new awareness of the international and strategic implications of i';s position in the South Pacific. In 1955, the Minister of External Affairs, the Hon. T. L. Macdonald, discussing New Zealand's foreign policy, said that the only possible threat to New Zealand's security could come from Asia, and in particular from the spread of Communist power in South-East Asia. “New Zealand's foreign policy grows”, he said, “from the need to reconcile geography and history, economic fact and strategic fact. In practical terms at present this means that, without weakening the many links which bind us to Britain and the whole Atlantic community, we must increase our concern with South-East Asia”.

This regional approach implied no weakening of the belief in the pre-eminent value of collective security organized on a world basis. New Zealand continued to place special importance upon its membership of the United Nations. It has been an active participant in the work of the General Assembly, has been a member of all Councils of the Organization, has provided troops to the United Nations Force in Korea and military observers in Palestine, Kashmir, and Lebanon, and has endeavoured to assist all efforts to attain the political and social objectives outlined in the Charter.

At the time of the formation of SEATO, New Zealand's interest in South-East Asia had already been expressed in social and economic terms. In 1950, New Zealand, along with a group of other Commonwealth countries, became a member of the Colombo Plan established to assist the countries of South-East Asia to improve their standards of living. To New Zealand, a pioneer in the field of social legislation and a country where wealth is spread throughout all levels of the population, the Colombo Plan has a special significance and contributions large by New Zealand standards (if small when measured against the potential need) have been made to it. Despite this new concentration on South-East Asia, New Zealand continued and developed its efforts (as will be seen later) to promote action on a world scale to deal with social and economic problems.

If, since the war, the facts of geography have had an important influence on New Zealand's attitudes towards foreign affairs, history and tradition continue nevertheless to mould its outlook. The historic links with the United Kingdom and with Western Europe and North America remain as strong as ever; and the economic links with the United Kingdom, New Zealand's best customer, remain strong. No situation is, however, constant. One of the key problems of external political, not merely economic, policy now presented to New Zealand grows out of the realization that while New Zealand must expand the volume and value of its exports of primary products if the standard of living of its rapidly increasing population is to be maintained and improved, the United Kingdom market may be capable of only a limited expansion. New Zealand's foreign policy is likely to continue the endeavour to reconcile geography and history, economic fact and strategic fact.

Department of External Affairs.—The External Affairs Act 1943 made provision for the appointment of a Minister of External Affairs* charged generally with the administration of external and foreign affairs, including relations with other countries, communications with other Governments, representation abroad, and representation of other countries in New Zealand. The Act also authorized the appointment of a Secretary of External Affairs and (superseding the High Commissioner Act of 1908) dealt with the appointment of High Commissioners and of overseas representatives.

* The portfolio was assumed by the Prime Minister, the Rt. Hon. Peter Fraser.

The functions of the Department were defined at its inception as follows:

  1. To act as a channel of communication between the Government and other British and foreign Governments on matters relating to external affairs;

  2. To assist in negotiating treaties and international agreements;

  3. To direct New Zealand's overseas diplomatic posts;

  4. To deal with foreign diplomats, and to issue exequaturs to foreign consuls.

The Act thus established the Ministry of External Affairs as the normal channel of communication with the Governments of other countries. As, however, the new Department was in fact still a part of the Prime Minister's Department, no change in procedure, apart from the use of the changed nomenclature, was necessary.

Dealings with overseas Governments usually involve considerable interdepartmental co-ordination. Since the Prime Minister's Department has always been regarded primarily as a department of co-ordination, an intimate relationship has existed between the two Departments. The Prime Minister has for two periods found it appropriate to assume the portfolio of External Affairs and the Departments have in any case been run as a unit. The staff is held in common and, though some officers are engaged on work peculiar to one Department, the work of the majority involves both departments. The Secretary of External Affairs is also Permanent Head of the Prime Minister's Department. In defence matters the two Departments have been closely associated. During the war, the Permanent Head was also Secretary of the War Cabinet. In that period the responsibility of the Prime Minister's Department for defence co-ordination was extended and developed; in discharging this responsibility the Permanent Head is now assisted by the Defence Secretariat of the Prime Minister's Department. This Secretariat works closely with the Defence Division of the Department of External Affairs, and the head of that Division is chairman of the body which co-ordinates military and civilian intelligence.

In the formulation and application of external affairs policy, close association with other Government Departments is necessary. Defence planning, for example, entails close liaison with the Service Departments, participation in the Colombo Plan with the Treasury and with the many Departments which supply experts and training facilities, consular questions with the Department of Labour, and legal questions with the Department of Justice. Moreover, the Department is a clearing house for a wide variety of material provided by overseas posts for other Departments. As well as fulfilling its major function of acting as a channel of communication with other Governments, the Department thus also acts as a co-ordinating centre for other Government Departments. The Department and its network of posts overseas also performs numerous services on behalf of Departments which are without overseas representatives of their own.

In the Official Section at the end of the Year-Book the diplomatic and other New Zealand representatives overseas are listed, as well as the official representatives of other countries in New Zealand.

New Zealand in the Commonwealth.—Despite the new emphasis in New Zealand's approach to international affairs resulting from its consciousness of the realities of its geographical position in the South Pacific, membership of the Commonwealth remains the central feature of its policy. Intimate association with the United Kingdom is the historical basis, and remains an important principle of New Zealand's external relations. The tics between New Zealand and the United Kingdom are embodied in the close association of the Commonwealth, membership of which has given New Zealand an international status that such a small and isolated community could not otherwise claim.

Although one of the oldest members, New Zealand, unlike some of its fellow members, did not seek to hasten the process of constitutional transition within the Commonwealth. At the Imperial Conference in 1930 the Prime Minister, the Rt. Hon. G. W. Forbes, stated that “we have felt that all times within recent years we have had ample scope for our national aspirations and ample freedom to carry out in their entirety such measures as have seemed to us to be desirable”. There was little interest in the adoption of the relevant provisions of the Statute of Westminster enacted in 1931 to give legal endorsement to the transformation that had taken place in the relationship between Britain and the Dominions. It was not, in fact, until 1947 that the necessary formalities were completed in New Zealand by the passing of the Statute of Westminster Adoption Act.

Since that time there have been many changes in the Commonwealth association both in constitutional respects and in numbers. Whereas at the beginning of the war there were only five members, there are now ten and it is expected that more will join within the next few years. With the entry of India, Pakistan, Ceylon, the Federation of Malaya, and Ghana, the Commonwealth has become an entity embracing several continents and its relationships have taken on a new scope and emphasis. New Zealand, itself a country where two races live side by side, sees in the Commonwealth a special opportunity for multiracial co-operation and understanding.

New Zealand has as yet exchanged representatives with only five of the ten members of the Commonwealth: Australia, Canada, India, the Federation of Malaya and the United Kingdom.

The importance New Zealand attaches to the Commonwealth association has been given practical expression in its membership of a number of Commonwealth organizations including the Commonwealth Air Transport Council, the Commonwealth Telecommunications Board, the Commonwealth Agricultural Bureau, the Imperial War Graves Commission, the Commonwealth Institute, the Commonwealth Economic Committee, and the Commonwealth Scientific Office.

New Zealand in the United Nations.—It has been noted earlier that the first significant expression of an independent New Zealand foreign policy occurred in the League of Nations and was directed to supporting the principle of collective security. Support for this principle later and through the United Nations has remained a cornerstone of New Zealand's foreign policy.

The purposes which motivated the policy in 1935 were strongly held beliefs, rather than a set of principles developed from any careful assessments by a national foreign service. The beliefs were nevertheless a reflection of widely held concern over world events, a concern which the succeeding years were to reinforce. It was, therefore, perhaps understandable that at San Francisco in 1945 New Zealand should argue so forcibly, if unsuccessfully, to eliminate the veto and to strengthen the collective security provisions of the United Nations Charter.

Despite its physical isolation New Zealand has felt unable to regard with unconcern the fate of other small countries helpless to defend themselves against a powerful aggressor and thus liable to be picked off one by one.

Other small countries are for the most part more vulnerable than New Zealand, but New Zealand's relative security depends in the first instance on the preservation of these more vulnerable countries from attack. The United Nations does not, it is true, offer a complete guarantee of New Zealand's or any other small country's security against aggression. Nor has it yet achieved agreement on disarmament; but New Zealand Governments have acted upon the conviction that the United Nations, and it alone, contains the rudiments of a universal collective security system, and that it is through the United Nations, and not through its abandonment in favour of some other alternative, that an effective and comprehensive collective security system may eventually be developed and agreement on disarmament achieved.

New Zealand has recognized that this objective must be a long term one, and that the United Nations in its present form must be buttressed by regional defensive alliances. It has not taken the doctrinaire view that all multilateral diplomacy must be conducted within the United Nations. In general, however, New Zealand has regarded the United Nations as the natural centre of international diplomacy unless there were, in special cases, good reasons to work outside it.

Within the United Nations the expression of this policy has taken several forms. New Zealand has sought to remove the causes which might produce the need for recourse to collective security action. Its representatives have urged that the Assembly be used as a place for harmonizing relations between nations: they have voiced the need for restraint in the pursuit of national objectives; they have consistently sought and supported responsible action in aid of an effective international organization; they have reiterated the need for the early adoption of a broad programme of supervised disarmament. At the 1958 session of the General Assembly the Prime Minister also stressed the value of an agreement for the cessation of nuclear tests, under effective international control, as a separate first step. Subsequently New Zealand co-sponsored a resolution urging that every effort be made by the nuclear powers to reach an early agreement of this kind at talks in Geneva and that no further tests be held while these negotiations were in progress.

New Zealand has at the same time advocated adequate and timely preparations in case aggression should occur, and has upheld the principle of an International Police Force. When occasion has arisen New Zealand has been prepared to play its part: troops were provided to the United Nations Force in Korea and military observers to the United Nations Observer Groups in Palestine, Kashmir, and Lebanon. New Zealand representatives in the United Nations have also strongly supported the principle that all members must bear their proper share of the cost of international action to meet aggression, e.g., the cost of supporting the United Nations Emergency Force in the Middle East.

To maintain the peace is the primary purpose of the United Nations, and for New Zealand the search for effective guarantees of international peace and security continues to be the first object of membership. It is not, however, the only object, nor is a system of collective security (or disarmament) the only means of giving effect to it.

The state of economic, social, and general political relations goes far to determine the urgency of the need for a collective security system. For New Zealand, geographically isolated and with limited direct diplomatic relations, the United Notions is inevitably one of the most important forums available, not only to influence the course of international events, but also to secure the friendship and understanding of the world community. For any country, its international reputation is a valuable asset. If New Zealand is better known and commands more influence in international affairs than some other small states similarly situated, this is in some measure, at least, due to New Zealand's record of active participation in the United Nations, a vital if controversial organization.

Economic and Social Council.—New Zealand's interest in these questions - as well as the recognition by other countries that New Zealand has special experience to offer - is illustrated by its membership of the Economic and Social Council (an elective body of eighteen members of the United Nations) from 1947 to 1949 and its re-election in 1958 for a further term for the period 1959 to 1961. New Zealand is also a member of the Economic Commission for Asia and the Far East (ECAFE), of the Executive Board of the United Nations Children's Fund (UNICEF), and of the Social and Statistical Commissions. In the past New Zealand has also designated representatives on the Fiscal Commission and the Commission on the Status of Women.

In undertaking these responsibilities New Zealand may to some extent be regarded as “taking its turn”. In few cases, however, are the considerations in favour of representation so simple. New Zealand certainly shares with others an interest in ensuring that economic and social conditions are such as to permit ordered political progress. It is concerned to ensure that, where political principles are in issue, the beliefs which New Zealanders hold as essential should be recognized and, if possible, accepted by the world community. Sometimes there are strong reasons of self-interest; the weight of advantage received, in terms of professional benefit, and the contribution made are evenly balanced in the case of technical bodies such as the Statistical Commission. On the other hand some organs which were first designed to meet the emergency of post-war conditions, such as UNICEF, have developed programmes, e.g., the supply of milk powder and fish liver oil, which are of economic interest to New Zealand.

The biggest single task now facing the Economic and Social Council is to promote and direct programmes for economic development in under-developed countries. New Zealand has always recognized the need for economic development and made its contributions to the appropriate funds, e.g., the Expanded Programme for Technical Assistance, and now the Special Fund. It has been concerned, however, to ensure that international programmes in this field should be effective and realistic.

At present New Zealand representatives in the United Nations are called upon to deal with questions of economic development in three different fields. One is in the Economic Committee of the General Assembly, where the economic work of the Organization is subject to general review; the second arises out of New Zealand's membership of ECAFE. In this setting, the detailed study of development programmes is closely related to the work of the Colombo Plan, and provides a significant counterpart to New Zealand's growing political interest in Asia.

Finally, within the Economic and Social Council, New Zealand is associated with activities affecting the lives and welfare of a considerable proportion of the world's population; moreover, the Council is responsible for the general direction of assistance programmes running at present at the rate of about S60 million a year.

Specialized Agencies.—It is the responsibility of the Economic and Social Council under the Charter to co-ordinate the activities of the Specialized Agencies through consultations and recommendations. New Zealand is a member of all the Agencies except the International Bank, the International Monetary Fund, and the Inter-Governmental Maritime Consultative Organization. As a contributor to their budgets, it is concerned to ensure that activities are not duplicated and that the Secretariats of the United Nations and of the Agencies work closely together on matters of common interest. New Zealand has also been concerned to ensure that on political and administrative matters the policies of the Agencies are adjusted to those of the United Nations. As in the case of the different organs and subsidiary bodies of the United Nations, so with the Specialized Agencies, New Zealand's reasons for membership have ranged from motives of self-interest to its conviction of the value of international co-operation. In some cases non-membership would place New Zealand at a distinct disadvantage. Membership of the Universal Postal Union is essential to facilitate the efficient international movement of mails to and from this country. Similarly the International Telecommunications Union regulates international radio, telephone and telegraph traffic, and the need to belong to this body is universally accepted. The World Meteorological Organization is the medium for setting standards and encouraging the free interchange of meteorological information. Wartime experience emphasized the fact that few countries have as direct an interest in international civil aviation as New Zealand; although the only international airline registered in New Zealand flies only regional routes. New Zealand is closely concerned with the efforts of the International Civil Aviation Organization to foster the planning and development of international air transport and to ensure proper standards for the development of airways, airports, and air navigation facilities.

No clear line can, however, be drawn between the “technical” Agencies and others, and some degree of technical advantage is to be derived from membership of all the Specialized Agencies. Although its own health standards are high. New Zealand has nevertheless drawn benefits, particularly in its Island Territories, from its membership of the World Health Organization. Each in its own field - the Food and Agriculture Organization, the International Labour Organization, the United Nations Educational, Scientific, and Cultural Organizations, and the recently formed International Atomic Energy Agency - constitutes an important international medium for the free interchange of knowledge and experience.

On occasion the Specialized Agencies provide the forum for advancement of a New Zealand interest. The FAO has played a prominent part in the formulation of measures to encourage the establishment of a stable international market for agricultural commodities, particularly in the enunciation of principles to govern the disposal of surplus commodities. At its Ninth Session in 1957 the Conference adopted a resolution sponsored by New Zealand which recommended that FAO develop further ways of disposing of surplus products without impinging on existing or future channels of trade.

The International Labour Organization, which was established in 1919 in association with the League of Nations, became a specialized agency of the United Nations in 1946, although retaining its autonomy. New Zealand is a member State with the Department of Labour as the liaison agency of the Government. New Zealand representatives regularly attend the annual International Labour Conference.

As well as the Commonwealth organizations mentioned earlier some regional organizations, particularly the South Pacific Commission, are of particular importance to New Zealand. Since the establishment of the Commission in 1947, New Zealand's Island Territories have derived much benefit from its work on fisheries, co-operatives, control of the rhinoceros beetle, and research upon filariasis.

New Zealand and the South-East Asia Treaty Organization.—New Zealand, together with other countries concerned at the deteriorating security situation in South-East Asia, followed with close attention the development of the Indo-China crisis during the first half of 1954. After a United States plea on 29 March for “united action” by the free world to resist further Communist expansion in South-East Asia, the following month the United Kingdom and French Governments made known their agreement with the United States that consideration should be given to the establishment as soon as possible of a collective security system in the area. In New Zealand the Minister of External Affairs stated on 14 April that the Government welcomed this proposal, and was prepared to participate in discussions for this purpose.

The clarification of the situation in Indo-China, as a result of the cease-fire agreements reached at Geneva on 21 July 1954, gave fresh impetus to the proposals for a collective security arrangement. After a further period of consultation, eight countries - the United Kingdom, Australia, New Zealand, Pakistan, the United States, France, the Philippines, and Thailand - announced on 14 August that they had agreed to attend a conference in the Philippines in September to consider the establishment of a system of collective defence for the area. On 8 September in Manila representatives of the eight Governments signed the South-East Asia Collective Defence Treaty. At the same time they agreed on a Pacific Charter setting out the principles upon which the signatories undertook to base their policies for maintenance of peace and stability in the treaty area. The Minister of External Affairs, the Hon. T. C. Webb, led the New Zealand delegation to the Manila Conference and signed the treaty on behalf of New Zealand. The implications for New Zealand of the new agreement were reported to Parliament when the Minister returned from the conference, and the treaty was ratified by New Zealand on 19 February 1955 and entered into force for all the parties on that date.

New Zealand and the Colombo Plan.—Under the Colombo Plan, New Zealand, with Australia, Canada, Japan, the United Kingdom, and the United States of America, has joined with the countries of South and South-East Asia to help them improve their standards of living. The Colombo Plan is not, as its name implies, a unified plan - it is rather a series of separate plans drawn up and administered by each country in the region; the assistance required and made available is negotiated on a bilateral basis. The Plan had its origin in, and took its name from, a meeting of Commonwealth Foreign Ministers held in January 1950 in Colombo to exchange views on world problems, particularly on the economic needs of the countries of South and South-East Asia. The meeting established a Consultative Committee to “survey the needs, to assess the resources available and required, to focus world attention on the development problems of the area, and to provide a framework within which an international co-operative effort could be promoted to assist the countries of the area to raise their living standards”. Since then the Consultative Committee has met consecutively in Sydney, London, Colombo, Karachi, New Delhi, Ottawa, Singapore, Wellington (1956), Saigon, Seattle, and Jogjakarta (1959).

A foundation member of the Plan and an active participant at every meeting, New Zealand has done its utmost, within the scope of its limited resources, to make significant grants of capital and technical assistance to the countries of the area.

Capital Assistance.—By 31 March 1960, New Zealand had appropriated a total of £9,315,000 for capital and technical assistance. Of this, £5,734,722 had been transferred to the governments concerned or used at their request to buy equipment. Most of New Zealand's capital aid has been given in the form of direct transfers of overseas funds, but in some cases it has been possible to supply equipment manufactured in New Zealand.

Contributions of capital aid during 1959 included the transfer of the amount of £250,000 allocated to Malaya for the establishment of an agricultural faculty at the University of Malaya, Kuala Lumpur; a grant of £200,000 to Pakistan to assist with the purchase of machinery for a sugar mill at Jaipur Hat in East Pakistan; £100,000 to India to the All-India Institute of Medical Sciences, which had previously received £1,000,000; £5,500 to Vietnam for the purchase of equipment for a veterinary laboratory and £70,000 to assist with the construction of new buildings and the provision of equipment at the Faculty of Science of the University of Saigon; and £50,000 to the Philippines to establish a number of trade training centres.

Technical Assistance.—By 31 December 1959 New Zealand had spent £1,276,015 on technical assistance, and 681 students had come to New Zealand to take training courses under the Technical Co-operation Scheme of the Plan. During 1959, the number of Colombo Plan students currently in New Zealand reached a record total of 264. The main fields in which training has been provided are education, particularly university studies, engineering, health, and agriculture. In May 1959 arrangements were made for an agricultural mission from Laos to visit New Zealand. This was the first technical assistance given by New Zealand to Laos, although a grant of £20,000 had been provided earlier for the purchase of equipment and road and water transport for mobile veterinary dispensaries in Laos.

At the end of 1959 there were 30 experts from New Zealand in South and South-East Asia, including 10 English language teachers in Indonesia.

General Aims.—It is clear that, as New Zealand has assumed the international responsibilities appropriate to an independent country, its foreign policy has changed in emphasis and scope. The foundations of New Zealand's pre-war position in international affairs - its identification with Britain and its membership of the Commonwealth - have been modified and extended to meet the demands of an international situation greatly changed from that of 1939. As a country of predominantly European settlement, New Zealand retains its traditional loyalties to the United Kingdom and a sense of identity with Europe and of involvement in its destiny. As a Pacific power, it has sought security in friendship and formal defensive arrangements with Australia and the United States of America; at the same time it has developed its associations with Asian countries. As a country concerned with the preservation of world peace and the organization of defence against aggression it has placed prime importance upon development of the United Nations as an agency for peaceful settlement of international disputes and for the achievement of collective security. Pending the establishment of a broadly based United Nations security system, however, New Zealand has been prepared, in respect of South-East Asia, to participate in a protective grouping concerned with the defence of a single area. Moreover, while it sees aggressive Communism as the greatest threat to individual liberty at the present time, it is well aware of the powerful stirrings of other forces - the yearning for political emancipation, the antagonism to systems of racial discrimination, the demand of under-privileged countries for a greater share of the world's prosperity, for social advancement and opportunity. New Zealand's actions in the international field are designed to take account of these forces and, where possible, to assist the people of other countries in their striving for a better life. The limits of what it is able to do are those imposed by its size and capacity; its disposition is towards peaceful and friendly relations with all nations and (whatever the modifications which the needs of national security may impose) it is to that ultimate goal that its foreign policy is directed.

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; confers 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 are 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 29.

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 1959) of the Royal Commission upon parliamentary salaries and allowances, the Prime Minister's salary, as from 1 July 1959, was increased to £4,250 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 £4 4s. 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 £2,800 with a tax-free expense allowance of £450, and that of each Minister without portfolio £2,200, with £350 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 £615. 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 £4 4s. per day when travelling on official business within New Zealand.

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 £1,700, 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 1959 the honorarium paid to members of the House of Representatives is now £1,400 per annum. Members are also paid an allowance to provide for expenses incurred in connection with parliamentary duties ranging from £275 per annum to £605 per annum, subject to the classification of electorates by the Representation Commission into the five classes of (a) a Wellington electorate, being a wholly urban electorate in or near Wellington or Lower Hutt, or (b) a wholly urban electorate other than a Wellington electorate, or (c) a substantially urban electorate, or (d) a substantially rural electorate, or (e) a wholly rural electorate; 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 (for details see Parliamentary Salaries and Allowances Order 1959). 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 net 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 £140 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 £2,400 per annum, in addition to which he receives an expense allowance of £600 and residential quarters in Parliament House. The honorarium of Chainman of Committees is £1,825, 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 £2,200 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 stamp allowance is £12 10s. per month.

The Chief Whip of each party receives a salary of £1,450 per annum, and the Junior Whip of each party receives a salary of £1,430, together with the appropriate expense allowance in each case in accordance with the classification of his electorate.

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

In the legal sense those members of Parliament who have been appointed Ministers, together with the Governor-General, comprise the Executive Council; for purposes of prior and informal discussion on executive or administrative action 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 January 1959 the Executive Council consisted 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. Proceedings of Cabinet are not 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 of 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 the 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 Office, and Railways; the developmental—Ministry of Works, Agriculture, Lands and Survey, Mines, Electricity, 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 figures are 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 Office, 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 quota 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 are 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 14 of the Parliamentary Salaries and Allowances Order 1959. 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 Act provides 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. Polling hours in all electorates are from 9 a.m. to 7 p.m.

The Act provides 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.

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

FRANCHISE.—Since the abolition of plural voting in 1889 and the introduction of women's suffrage in 1893, every person 21 years of age or over (with certain obvious exceptions) has 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 months 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.

2*

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, (b) 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 rate paying 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

Table of Contents

GENERAL REVIEW.—A population census was taken as for the night of Tuesday, 17 April 1956, in New Zealand, while a census of the Island Territories was 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 '.he census. The Ross Dependency, situated in Antarctic regions and normally uninhabited, had a population of 166 males at the 1956 census date, and 146 males at 31 March 1959, 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 a complete summary of New Zealand population.

DateMalesFemalesTotal
* Includes population of the inhabited minor islands—i.e., Kermadec Islands, 10 (males); and Campbell Island, 10 (males).
New Zealand—
  (a) Exclusive of Island Territories—
      Europeans30 June 19591,093,7621,083,2452,177,007*
      Maoris30 June 195978,43775,682154,119
      Totals, New Zealand (excluding Island Territories) 1,172,1991,158,9272,331,126*
  (b) Island Territories—
      Tokelau Islands30 June 19598269761,802
      Cook Islands31 December 19589,0288,62617,654
      Niue Island30 June 19592,3242,4354,759
      Totals, New Zealand (including Island Territories) 1,184,3771,170,9642,355,341
Trust Territory of Western Samoa30 June 195953,75150,796104,547
Ross Dependency31 March 1959146 146

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 19361,573,810165,67111.771.13
September 1945*1,702,298128,4888.160.83
September 19451,747,679173,86911.051.11
April 1951*1,939,472237,17413.932.37
April 19511,941,366193,68711.081.91
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. 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.

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
19541.7571.691
19551.8171.749
19561.8391.771
19571.8931.822
19581.9311.859

POPULATION PROJECTIONS.—An indication of future population growth, including Maoris, in New Zealand is given by the detailed projections for the period 1961-80 and the provisional projections for the five-yearly points 1985-2000 set out in the following table.

Projections of future population almost always involve an element of uncertainty owing to incomplete knowledge of the factors underlying changes in fertility, mortality, and migration levels, coupled with the difficulty of accurately forecasting the future course of the factors which are known to affect these components of population change. It should be understood, therefore, that these projections merely show the effect of the assumptions stated below the table on the future growth of the existing population. The assumptions, however, have been adopted only after careful studies of trends in the patterns of fertility, mortality, and migration and, in the light of available current information, are regarded as those most likely to produce realistic projections over the length of the projection period.

NEW ZEALAND POPULATION PROJECTIONS

(Including Maoris)(000)
YearAssuming Net Immigration of
5,000 per Year10,000 per Year
MalesFemalesTotalMalesFemalesTotal
19611,2131,1962,4091,2211,2022,423
19621,2341,2172,4511,2461,2252,471
19631,2561,2382,4941,2711,2492,520
19641,2781,2592,5371,2971,2732,570
19651,3011,2812,5821,3221,2982,620
19661,3261,3032,6291,3501,3232,673
19671,3511,3272,6781,3781,3482,726
19681,3761,3512,7271,4061,3752,781
19691,4011,3752,7761,4361,4032,839
19701,4271,4012,8281,4661,4332,899
19711,4551,4282,8831,4981,4642,962
19721,4841,4552,9391,5311,4953,026
19731,5141,4822,9961,5661,5263,092
19741,5451,5133,0581,6011,5583,159
19751,5771,5453,1221,6361,5923,228
19761,6111,5773,1881,6721,6273,299
19771,6451,6093,2541,7101,6633,373
19781,6801,6423,3221,7491,6993,448
19791,7161,6773,3931,7891,7373,526
19801,7511,7123,4631,8301,7773,607
Provisional
1985  3,757  3,937
1990  4,073  4,293
1995  4,414  4,677
2000  4,781  5,091

Assumptions.—The two projections are linked to actual population numbers in 1959. The assumptions on which the more detailed projections for 1961-80 depend are as follows:

  1. Birthrates for each quinquennial age and marital status (“married” and “not married”) group of females will continue at the average 1952-56 level.

  2. The proportion of married females in each quinquennial age group will, in the future, vary in accordance with the rate of variation in the 1951-56 intercensal period.

  3. Mortality rates for each quinquennial age group, male and female, will be maintained at the level shown by the New Zealand Life Tables, 1950-52.

  4. Future net immigration will be at the rates of either 5,000 or 10,000 persons per annum, the age and sex distribution being based on the average 1937-58 pattern.

    The provisional long-term projections for 1985-2000 are linked to the earlier projections. They are based on the following assumptions:

  5. The rate of natural increase of population, excess of births over deaths, for the period 1980-2000 will be 15 persons per 1,000 living.

  6. Net immigration will be as assumed for the period 1960-80.

The following diagram presented on a ratio scale shows the growth of actual population from 1880 to 1959 and projections through to 2000.

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.

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
Denmark1950-550.77
Finland1940-500.82
France1946-540.90
Hungary1941-49−0.15
Netherlands1930-471.18
Portugal1940-500.89
Sweden1945-501.09
Switzerland1941-501.12
Union of South Africa1946-512.18
India1941-511.26
Pakistan1941-510.79
Ceylon1946-532.84
Australia§1947-542.46
Canada*1951-562.79
United States of America1940-501.36

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

It is seen that Ceylon and Canada have the highest annual rates of increase. Both rates have increased substantially since the previous intercensal periods, the main factor in Ceylon being a fall in the death rate, and in Canada the increase in immigration.

The third highest rate of increase is that shown for Australia, 2.46 per cent. New Zealand (2.31 per cent), and the Union of South Africa (2.18 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
1956 (including Armed Forces abroad)989
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.

Timaru1,105
Napier1,093
Hastings1,085
New Plymouth1,084
Dunedin1,082
Nelson1,079
Palmerston North1,077
Christchurch1,072
Gisborne1,067
Wanganui1,066
Invercargill1,051
Auckland1,045
Hamilton1,040
Wellington1,039
Hutt990

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.

ENTERCENSAL 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 between 1951 and 1956 were necessary.

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
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
19581,144,6701,130,8452,275,51554,3462.452,246,093
19591,170,0071,156,1222,326,12950,6142.222,298,814
Years Ended 31 December
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
19571,137,7991,125,0152,262,81453,6822.432,232,591
19581,165,5681,150,3322,315,90053,0862.352,285,852

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

Population (Excluding Maoris) at End of YearIncrease During YearMean Population for Year
MalesFemalesTotalNumericalPer Cent
Years Ended 31 March
1949878,487876,1111,754,59833,6411.951,735,223
1950897,618892,7101,790,32835,7302.041,770,130
1951913,852908,6741,821,52632,1981.801,803,944
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
19581,069,6661,058,7312,128,39749,2622.372,101,543
19591,092,2841,081,2022,173,48645,0892.122,149,072
Years Ended 31 December
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
19571,063,5251,053,6182,117,14348,6342.352,089,307
19581,088,6061,076,1582,164,76447,6212.252,137,483

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. I, “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 1959, the North Island population was 1,610,009, inclusive of 147,154 Maoris, and the South Island population 716,120, inclusive of 5,489 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 1959
Auckland25,420950,609
Hawke's Bay4,260108,800
Taranaki3,75098,700
Wellington10,870451,900
Marlborough4,22027,800
Nelson10,87073,400
Westland4,88018,700
Canterbury13,940329,920
Otago—
  Otago portion14,070174,500
  Southland portion11,46091,800
New Zealand103,7402,326,129

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, as they cannot be distinguished separately for these two censuses.

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
    5,000-10,00082,644133,60082,144116,592
  10,000-25,000186,545297,699185,580289,271
  25,000 or over338,213701,948337,221690,231
    Totals, urban798,1701,357,783792,5761,322,411
Rural602,831811,831544,808710,121
    Totals, New Zealand (excluding migratory)1,401,0012,169,6141,337,3842,032,532
Percentages
Urban: towns of—
    1,000-2,5007.453.047.643.50
    2,500-5,0006.177.316.397.63
    5,000-10,0005.906.166.145.74
  10,000-25,00013.3113.7213.8814.23
  25,000 or over24.1432.3525.2133.96
    Totals, urban56.9762.5859.2665.06
Rural43.0337.4240.7434.94
    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. 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
Invercargill25,91227,75531,61335,1073,49411.05
          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 1959. 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 1959 the five largest urban areas had a total population of 961,800, this being equivalent to 41.35 per cent of the New Zealand total. The total for all urban areas at the same date was 1,283,000, or 55-16 per cent, of the total population of New Zealand.

Urban AreaEstimated Population (Including Maoris) 1 April 1959
Auckland 
Auckland City141,100
  East Coast Bays Borough8,190
  Birkenhead Borough6,490
  Northcote Borough3,970
  Takapuna Borough20,200
  Devonport Borough11,700
  Henderson Borough3,110
  Glen Eden Borough4,740
  New Lynn Borough8,360
  Mount Albert Borough25,700
  Mount Even Borough18,650
  Mount Wellington Borough14,650
  Newmarket Borough1,970
  Ellerslie Borough4,760
  One Tree Hill Borough13,100
  Mount Roskill Borough25,600
  Howick Borough4,900
  Onehunga Borough16,750
  Otahuhu Borough8,810
  Papatoetoe Borough12,500
  Manurewa Borough6,300
  Papakura Borough6,530
  Remainder of urban area42,020
      Total413,100
Hutt 
Lower Hutt City52,800
  Upper Hutt Borough14,550
  Petone Borough10,500
  Eastbourne Borough2,740
  Remainder of urban area12,410
      Total93,000
Wellington 
Wellington City123,000
  Tawa Borough5,260
  Remainder of urban area14,940
      Total143,200
Christchurch 
Christchurch City149,400
  Riccarton Borough7,930
  Lyttelton Borough3,600
  Heathcote County5,640
  Remainder of urban area43,430
      Total210,000
Dunedin 
Dunedin City72,200
  Port Chalmers Borough3,040
  West Harbour Borough2,210
  St. Kilda Borough6,850
  Green Island Borough5,010
  Mosgiel Borough5,250
  Remainder of urban area7,940
      Total102,500
Hamilton45,200
Gisborne24,100
Napier29,600
Hastings30,100
New Plymouth30,400
Wanganui33,600
Palmerston North40,800
Nelson23,800
Timaru25,800
Invercargill37,800

Counties.—The following table gives the estimated population (including Maoris) of individual counties at 1 April 1959, 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) 1 April 1959Approximate Area, in Square Miles
North Island—  
  Mangonui7,920958
  Whangaroa2,530240
  Hokianga7,350613
  Bay of Islands12,920823
  Whangarei15,5001,040
  Hobson7,010745
  Otamatea7,190421
  Rodney6,970477
  Waitemata40,300600
  Great Barrier Island300110
  Manukau25,700240
  Franklin18,990550
  Raglan12,550931
  Waikato18,920643
  Waipa20,250444
  Otorohanga8,490762
  Waitomo9,7001,297
  Taumarunui9,1101,853
  Coromandel2,910444
  Thames3,390414
  Hauraki Plains5,970233
  Ohinemuri4,510241
  Piako12,500444
  Matamata21,900994
  Tauranga21,400716
  Rotorua17,9501,040
  Taupo12,1003,040
  Whakatane16,8001,681
  Opotiki5,3401,326
  Matakaoa1,840295
  Waiapu6,320793
  Uawa1,740261
  Waikohu3,8401,018
  Cook9,520818
  Wairoa8,1601,385
  Hawke's Bay20,4001,669
  Waipawa4,120524
  Patangata3,730651
  Waipukurau1,350128
  Dannevirke4,930546
  Woodville1,870156
  Clifton2,900443
  Taranaki10,200229
  Inglewood3,350199
  Stratford6,380866
  Egmont6,510240
  Eltham3,680207
  Waimate West3,08083
  Hawera5,440190
  Patea4,150591
  Waimarino2,740829
  Waitotara3,370468
  Wanganui3,580460
  Rangitikei13,5001,730
  Kiwitea2,390359
  Pohangina1,310259
  Oroua4,920190
  Manawatu7,880265
  Kairanga6,160184
  Horowhenua9,880544
  Hutt24,400443
  Makara12,95098
  Pahiatua2,900286
  Akitio1,190321
  Eketahuna1,960318
  Mauriceville550115
  Masterton4,340808
  Wairarapa South3,150440
  Featherston3,840954
    Totals, North Island counties580,99043,683
South Island—  
  Sounds1,000457
  Marlborough8,4201,946
  Awatere1,8201,030
  Kaikoura3,390905
  Amuri3,1002,285
  Cheviot1,560327
  Golden Bay4,0701,011
  Waimea14,1001,533
  Buller4,6301,885
  Murchison1,4401,372
  Inangahua3,310942
  Grey4,9801,579
  Westland4,6804,410
  Waipara3,020937
  Kowai2,230157
  Ashley710309
  Rangiora3,83096
  Eyre1,630175
  Oxford1,670318
  Tawera750941
  Malvern3,850250
  Paparua15,950133
  Waimairi32,70043
  Heathcote5,64013
  Halswell2,11039
  Mount Herbert62066
  Akaroa1,990170
  Chatham Islands550372
  Wairewa930170
  Springs2,51092
  Ellesmere2,930231
  Selwyn1,700954
  Ashburton12,0002,460
  Geraldine5,480691
  Levels5,730263
  Mackenzie3,2402,739
  Waimate6,4001,383
  Waitaki9,8102,412
  Waihemo1,120338
  Waikouaiti4,140316
  Peninsula3,82040
  Taieri7,730901
  Bruce4,160520
  Clutha6,3701,045
  Tuapeka5,6001,388
  Maniototo2,8101,340
  Vincent4,8502,922
  Lake1,9303,871
  Southland29,4003,703
  Wallace10,3503,728
  Fiord103,035
  Stewart Island540670
    Totals, South Island counties267,31058,913
    Grand totals, all counties848,300102,596

During the year ended 31 March 1959, eight counties had estimated increases in population of 750 or over. Waitemata with 3,100 had the largest increase, followed by Waimairi 2,700, Manukau 2,200, Hutt 1,600, and Rotorua 1,150. All these counties reflect urban housing development on the fringes of cities and large towns, and, in the case of Waitemata and Manukau where both industrial and residential expansion is taking place, greater increases were shown than in the 1957-58 year. In Hutt County there is concentrated house building at Wainuiomata. Rotorua County's growth continues to stem from farming, forestry, and electricity development. Other substantial county increases are seen in Waipa 960, Matamata 800, and Makara 750. The completion of a Mormon college, the development of industry, especially in Te Rapa locality, and housing expansion from Hamilton account for the increase in Waipa County. Matamata County's increase again springs largely from the growth of the milling township of Tokoroa, and Makara's from continued housing development in Titahi Bay and the Porirua Basin.

Counties which showed reduced gains in the 1958-59 year compared with the previous year are Waikato, Taupo, Paparua, and Tauranga. Factors contributing to this were the reduced numbers on the Meremere power station project in Waikato, and slightly decreased housing development in Taupo and Paparua accompanied by a decrease in the numbers at Wigram Air Force Station in Paparua County, and reduced numbers at Wairakei Public Works Camp in Taupo County. The reduced gain in Tauranga County is explained by a boundary change involving the transfer of 385 persons to Tauranga Borough.

The only county that gained during the year by a boundary change was Whakatane which received 106 persons from a reduction in the boundaries of Murupara Town District. The most marked losses through boundary changes occurred in Marlborough County, which lost 1,300 to Blenheim Borough, and Taumarunui County, which lost 1,264 to Taumarunui Borough; these explained the net decline in population of the two areas in 1958-59, of 1,140 in Marlborough and 1,090 in Taumarunui.

Apart from losses caused directly by boundary changes, the decreases in county population were minor. The greatest loss, 410, was recorded in Tuapeka County, the result of a further reduction in the number of power station construction workers.

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

BoroughEstimated Population (Including Maoris) 1 April 1959Approximate Area in Acres
North Island—
  Kaitaia2,6201,310
  Kaikohe2,3701,342
  Whangarei16,1005,760
  Dargaville3,5902,800
  Helensville1,1801,315
  East Coast Bays8,1903,850
  Takapuna20,2003,280
  Devonport31,7001,100
  Northcote3,9701,190
  Birkenhead6,4903,084
  Henderson3,1101,278
  Glen Eden4,7401,244
  New Lynn8,3601,393
  Auckland (City)141,10018,493
  Newmarket1,970182
  Mount Albert25,7002,430
  Mount Eden18,6501,477
  Mount Roskill28,6004,604
  Onehunga16,7501,876
  One Tree Hill13,1002,430
  Ellerslie4,760745
  Mount Wellington14,6504,075
  Howick4,9001,103
  Otahuhu8,8101,345
  Papatoetoe12,5001,587
  Manurewa6,3001,545
  Papakura6,5302,010
  Pukekohe5,2503,471
  Waiuku1,5401,465
  Tuakau1,4101,091
  Huntly4,4501,678
  Cambridge5,0002,646
  Ngaruawahia3,0001,112
  Hamilton (City)39,8006,576
  Te Awamutu5,0601,162
  Otorohanga2,060560
  Te Kuiti4,1301,668
  Taumarunui4,7203,234
  Thames5,2002,712
  Paeroa2,9501,419
  Waihi3,1001,330
  Te Aroha2,9502,783
  Morrinsville4,1601,177
  Matamata2,940934
  Putaruru3,260975
  Mount Maunganui4,3703,475
  Tauranga10,7003,535
  Te Puke2,1601,047
  Rotorua13,6503,611
  Taupo4,2302,290
  Whakatane6,3901,539
  Kawerau3,2401,718
  Opotiki2,570772
  Gisborne (City)20,9003,610
  Wairoa4,0601,603
  Napier (City)22,3003,291
  Taradale4,0101,002
  Hastings (City)21,3003,211
  Havelock North2,9701,165
  Waipawa1,7301,710
  Waipukurau3,080971
  Dannevirke5,6301,300
  Woodville1,4901,054
  Waitara4,0401,587
  New Plymouth (City)25,4004,257
  Inglewood1,770703
  Stratford4,9502,016
  Eltham2,3001,599
  Hawera7,1501,268
  Patea1,9901,420
  Ohakune1,6902,079
  Raetihi1,220958
  Wanganui (City)31,3006,184
  Taihape2,5601,923
  Marton4,1501,415
  Feilding7,4402,031
  Foxton2,650757
  Palmerston N. (City)38,5006,943
  Shannon1,270844
  Levin7,3101,332
  Otaki2,8601,396
  Upper Hutt14,5502,165
  Lower Hutt (City)52,50011,010
  Petone10,5002,547
  Eastbourne2,7401,546
  Tawa5,2601,037
  Wellington (City)123,00018,226
  Pahiatua2,440720
  Eketahuna790948
  Masterton13,8503,116
  Carterton2,7701,265
  Greytown1,4701,093
  Featherston1,310759
  Martinborough1,3001,070
  Totals, North Island cities and boroughs1,014,060229,959
South Island—
  Picton2,2301,052
  Blenheim11,2502,497
  Nelson (City)22,3008,255
  Richmond2,9002,600
  Motueka3,0002,523
  Westport5,610760
  Runanga1,7901,186
  Greymouth9,0102,594
  Brunner1,1305,700
  Kumara510842
  Hokitika3,070674
  Ross5503,800
  Rangiora3,390877
  Kaiapoi3,040786
  Riccarton7,930728
  Christchurch (City)149,40025,698
  Lyttelton3,6002,560
  Ashburton10,9502,501
  Geraldine1,760745
  Temuka2,300795
  Timaru (City)24,2003,582
  Waimate3,260771
  Oamaru11,7002,811
  Hampden320630
  Palmerston870900
  Waikouaiti7001,958
  Port Chalmers3,040714
  West Harbour2,2102,181
  Dunedin (City)72,20013,942
  St. Kilda6,850463
  Green Island5,0101,789
  Mosgiel5,250965
  Milton1,970315
  Kaitangata1,3001,280
  Balclutha3,7401,258
  Tapanui430129
  Lawrence580615
  Roxburgh850515
  Naseby180112
  Alexandra2,220815
  Cromwell920972
  Arrowtown200457
  Queenstown1,420998
  Gore7,0802,276
  Mataura2,0001,272
  Winton1,410505
  Invercargill (City)33,4008,995
  Bluff3,2202,111
  Riverton1,210997
    Totals, South Island cities and boroughs443,460121,501
    Grand totals, all cities and boroughs1,457,520351,460

Six cities and boroughs had estimated increases in population of 1,000 or over in the year ended 31 March 1959. Of these, two owed most of their increase to boundary changes (Taumarunui gained 1,264 from Taumarunui County and Blenheim 1,300 from Marlborough County), while Hamilton City gained 708 of its 1,600 increase from Waikato County. Consistently high gains have occurred in Mount Roskill, Auckland City, and Christchurch City since the 1956 census, though in the case of the last two, the gains (1,200 and 1,600 respectively) were less in 1958-59 than in the previous two years. Mount Roskill continues to be an expanding residential and industrial area of greater Auckland.

Eleven slight decreases were estimated during the year, one in the North Island, Newmarket (50), and 10 in the South Island; apart from a loss of 50 in the St. Kilda Borough, none of the South Island boroughs lost more than 20 persons during the year.

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) 1 April 1959Approximate Area, in Acres

* Parent county shown in parentheses.

(a) Town Districts Not Forming Parts of Counties
North Island—
  Kawakawa810280
  Hikurangi1,070960
  Kamo1,200852
  Warkworth1,0101,420
  Murupara900530
  Ohura620815
  Manaia750510
  Waverley890484
  Manunui9401,251
  Mangaweka350955
  Hunterville610791
  Totals, North Island9,1508,848
South Island—
  Leeston720391
  Wyndham680680
  Lumsden6501,264
  Nightcaps670285
  Otautau840490
    Totals, South Island-3,5603,110
    Grand totals12,71011,958
(b) Town Districts Forming Parts of Counties*
North Island—
  Kohukohu (Hokianga)2401,020
  Rawene (Hokianga)480280
  Russell (Bay of Island)6201,066
  Mercer (Franklin)340890
  Te Kauwhata (Waikato)7201,290
  Ohaupo (Waipa)3301,281
  Kihikihi (Waipa)920523
  Te Karaka (Waikohu)390700
  Patutahi (Cook)2601,275
  Kaponga (Eltham)540558
  Normanby (Hawera)520260
  Totals, North Island5,3609,143
South Island—
  Southbridge (Ellesmere)480531
  Outram (Taieri)360886
  Edendale (Southland)600696
    Totals, South Island1,4402,113
    Grand totals6,80011,256

No town district lost its identity during the year ended 31 March 1959, and there was only one boundary change involving transfer of population; this was the transfer of 106 persons from Murupara Town District to Whakatane County. The largest gains were again estimated for Kamo (80), and Kihikihi (60), dormitory suburbs of Whangarei Borough and Te Awamutu Borough respectively.

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 7,599 people as at 1 April 1959.

Of the islands concerned, Waiheke, with an estimated population of 2,240 as at 1 April 1959, was the only one of any size.

AGE DISTRIBUTION.—The following table shows the estimated age distribution of the population at 31 December 1958 and of the mean population for the year 1958. The figures are based on the 1956 census data and brought up to date from statistics of births, ages of persons dying, and ages of persons arriving in or departing from New Zealand.

Age in YearsEstimated Numbers Excluding MaorisEstimated Numbers, Maoris
MalesFemalesTotalsMalesFemalesTotals 
Age Distribution at 31 December 1958
Under 5126,836121,278248,11414,72714,33929,066
5 and under 10114,800110,000224,80012,26011,74024,000
10 and under 15103,70099,300203,0009,6409,24018,880
15 and under 2082,50078,300160,8008,0807,80015,880
20 and under 2567,80064,700132,5006,4406,50012,940
25 and under 3072,00066,900138,9005,5005,54011,040
30 and under 3577,80071,500149,3004,5304,5309,060
35 and under 4073,10072,200145,3003,5203,5507,070
40 and under 4567,80069,000136,8003,0503,0906,140
45 and under 5066,70065,000131,7002,7202,4005,120
50 and under 5559,00056,700115,7002,1801,7903,970
55 and under 6049,20048,50097,7001,5201,3002,820
60 and under 6537,60042,30079,9001,1009002,000
65 and under 7031,20037,60068,8007406101,350
70 and under 7526,18031,63057,810475405880
75 and under 8018,50022,88041,380265215480
80 and over13,89018,37032,260215225440
    Totals, adults (21 and over)646,570653,5801,300,15030,83529,66560,500
    Totals, minors (under 21)442,036422,578864,61446,12744,50990,636
    Grand totals, all ages1,088,6061,076,1582,164,76476,96274,174151,136
Age Distribution of Mean Population, Year 1958
Under 5124,613119,370243,98314,43513,97928,414
5 and under 10114,100109,200223,30012,03011,53023,560
10 and under 15100,30095,900196,2009,4009,04018,440
15 and under 2080,50077,100157,6007,9807,69015,670
20 and under 2566,70063,600130,3006,3306,41012,740
25 and under 3072,30067,200139,5005,4305,46010,890
30 and under 3577,20071,500148,7004,4104,4208,830
35 and under 4071,80071,600143,4003,4803,5006,980
40 and under 4567,70068,600136,3003,0203,0206,040
45 and under 5066,10064,300130,4002,7102,3605,070
50 and under 5558,00055,700113,7002,1101,7403,850
55 and under 6048,40048,00096,4001,5201,2802,800
60 and under 6536,90041,90078,8001,0708701,940
65 and under 7031,40037,50068,9007406101,350
70 and under 7526,20031,34057,540470395865
75 and under 8018,45022,57041,020270215485
80 and over13,55017,89031,440215230445
    Totals, adults (21 and over)640,90648,3001,289,20030,39529,14059,535
    Totals, minors (under 21)433,313414,970848,28345,22543,60988,834
    Grand totals, all ages1,074,2131,063,2702,137,48375,62072,749148,369

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

DENSITY OF POPULATION.—The relation of population to area, which is commonly referred to as “density of population”, is a subject of much interest and a source of serious misconceptions. Generally speaking, a dense population must depend upon land-utilization or industrialization. In New Zealand there is a great area of high mountainous country, particularly in the South Island, while there are also large areas of water or of broken, swampy, or hilly country which is either incapable of effective use or which can be used profitably only for pastoral purposes, afforestation, or the like.

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 mechanization in farming tends to stabilize 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 a lack of 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 44,297 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 59,439 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—warfare amongst the tribes and with the European settlers; 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.

 NumberNumberPer CentPer Cent
190145,5493,4368.21.6
190650,3094,76010.520
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 1959 shown below afford a better illustration.

 EuropeanMaori
Birth rate25.1046.23
Death rate9.098.53
Natural-increase rate16.0137.75

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 Waikato-Bay of Plenty 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 1959 was 152,643.

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—

* This category, first introduced in 1956, covers those cases of “Maori—other races” mixtures where there is half or more Maori blood involved; it accounts for the decline in most classes counted in the population other than Maori.

† Includes Maori-Arab.

 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—
 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.

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, 170,427 persons from overseas arrived in New Zealand during the year ended 31 March 1959 which, compared with 1957-58, shows an increase of 3,437. During the same period 160,098 persons departed. This figure, compared with the corresponding one for 1957-58, shows an increase of 9,693.

In addition to the figures just quoted there were also 26,045 through passengers and tourists on cruising liners, who called in at New Zealand in the course of their voyages.

The excess of total arrivals over total departures for 1958-59 was 10,329, compared with an excess of 16,585 during 1957-58.

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
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
195842,85936,80779,66634,46429,79464,25815,408
195944,95538,69383,64839,91733,73973,6569,992

A substantial increase of 9,583 was recorded in arrivals 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. This high level of arrivals has been maintained; 1957-58 showed an increase in the number of arrivals of 3,611, which continued in 1958-59 when a further increase of 3,982, or 5 per cent, was shown.

From 1 April 1953, departures showed a steady increase year by year until 1957-58 when a slight drop of 305 occurred. However, 1958-59 showed a large increase of 9,398, or 15 per cent, on the 1957-58 figure.

In the ten-year period ended 31 March 1959 the net gain from passenger migration was 120,553, while if movement of crews is taken into account this is increased to 122,469.

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.

1954-551955-561956-571957-581958-59

* Includes 856 persons on working holidays. Information not known for earlier years.

Immigrants intending permanent residence19,45320,87823,03026,25424,852
New Zealand residents returning20,21121,91525,04623,64027,623
Visitors—
  Tourists15,82716,88419,36820,72321,927
  On business3,1643,1543,7124,0253,655
  Theatrical, entertaining, etc.629696879850764
  Educational purposes152191227220233
  Others, officials, etc.1,3861,9432,9412,9503,675*
  In transit7888118521,004919
Through passengers and tourists on cruising liners11,0058,26420,71831,46826,045
Crews63,67967,90873,73887,32486,779
        Totals136,294142,644170,511198,458196,472

The succeeding table gives a similar analysis of departures.

1954-551955-561956-571957-581958-59
New Zealand residents departing—
  Permanently9,0129,4369,2208,10810,985
  Temporarily21,96523,28726,16224,51028,674
Temporary residents departing23,60325,65729,18131,64033,997
Through passengers and tourists on cruising liners11,0058,26420,71831,46826,045
Crews63,33367,33174,37586,14786,442
        Totals128,918133,975159,656181,873186,143

Ages.—The following table gives the age-distribution of immigrants and emigrants for the twelve months ended 31 March 1959.

Age, in YearsPermanent ArrivalsPermanent DeparturesExcess of Arrivals Over Departures
MalesFemalesTotalsMalesFemalesTotals
0-142,7322,5235,2551,0709992,0693,186
15-242,9652,8315,7961,3251,4082,7333,063
25-343,5923,1156,7071,7111,4423,1533,554
35-441,7101,6283,3387606611,4211,917
45-591,0811,2752,3564815481,0291,327
60 and over4809041,384226353579805
Not specified41216 1115
    Totals12,56412,28824,8525,5735,41210,98513,867

Of the permanent arrivals during the year 1958-59, 21 per cent were under fifteen years of age, 44 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 19, 44, 72, and 85 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
1956-571957-581958-591956-571957-581958-59

* Includes arrival of Hungarian refugees, 617 in 1956-57, 451 in 1957-58; and 49 in 1958-59.

Commonwealth Countries
England and Wales8,86110,5079,9952,0581,8582,755
Scotland1,6991,8792,231386316458
Northern Ireland367420507449107
United Kingdom (other or undefined)359310298884082
India24231522710093152
Canada20923223414494121
Australia1,9112,4072,169764644937
Cook Islands and Niue504498474482550
Western Samoa232180157563850
Fiji221263203547270
New Zealand3,7513,9163,9044,5584,0285,060
Other Commonwealth countries in the Pacific838177274840
Other countries within the Commonwealth4555065098881133
    Totals, Commonwealth countries18,89421,51420,9798,4457,38610,015
Other Countries
Republic of Ireland46365249212791147
Denmark123218183221922
Germany155240154252749
Netherlands1,2261,6051,466182170209
Switzerland11013988282524
Austria170876471536
Hungary*636476677615
Yugoslavia871011037811
Indonesia10085125131630
China170132106111731
United States of America315371467192157198
Others572632555151169197
    Totals, other countries4,1274,7383,870772720969
At sea22 22 
Not specified7 31 1
    Grand totals23,03026,25424,8529,2208,10810,985

Assisted Immigration.—Various systems of assisted immigration have been in force since 1871, with the exception of the period 1892 to 1903 (inclusive). Assistance to immigrants was largely suspended between 1927 and 1947, 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 scheme totalled 240 (al 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 were selected.

At the end of 1958, it was decided to cut back assisted immigration by limiting male workers from the United Kingdom to skilled tradesmen, experienced farm workers, and experienced workers required in essential industries. At the same time, the recruitment of German, Austrian, Danish, and Swiss migrants was terminated.

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.

 BritishDutchAustrianGermanDanishSwissTotal
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 19574,17225213930  4,593
Year ended 31 March 19584,0702454469106454,579
Year ended 31 March 19594,343141363592314,678

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. This quota was subsequently increased to 1,300. The first draft arrived by air in December 1956 and a total of 1,117 had arrived by 31 March 1959.

OTHER REFUGEES.—Apart from displaced persons, New Zealand has accepted and continues to accept refugees from Europe and the mainland of China. In 1958, it was decided to offer resettlement opportunities to 20 “hard core” refugee families from Europe who, because of handicapped persons in each family unit, were unacceptable elsewhere. These families arrived during 1959. Further similar refugee groups from Europe and China are being accepted.

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, Tokyo, Singapore, Bangkok, Kuala Lumpur, and New Delhi are authorized to issue and renew New Zealand passports.

Entry into New Zealand.—Apart from British subjects and the wives of 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 recognized 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.

Citizens of 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.—All persons leaving New Zealand, with the exception of British subjects 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 who have been convicted of an offence for which they have been sentenced to a term of imprisonment or other form of detention for one year or more.

  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.

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 their 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 as amended by the British Nationality and New Zealand Citizenship Amendment Act 1959. The original Act 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 legislation accepted by Commonwealth Governments is the “common status” of all British subjects, namely, that in each Commonwealth country all persons are recognized as British subjects who possess citizenship under the citizenship laws of any of the members of the Commonwealth. (Note.—The Act stales 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 three years residence reducible to 12 months at the Minister's discretion. A British woman married to a New Zealand citizen maybe registered without any residential qualification. Applicants for New Zealand citizenship by registration must satisfy the Minister that they are of good character and have an adequate knowledge of English and of the duties and responsibilities of New Zealand citizenship.

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.

Alien adults acquiring New Zealand citizenship by naturalization or registration, and alien minor children over sixteen years of age acquiring it by registration, are required to take the oath of allegiance. The Minister may also at his discretion require persons other than aliens acquiring New Zealand citizenship to take the oath of allegiance. Recognizing 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 1958-59 year there were 60 such ceremonies.

New Zealand citizens are liable at the discretion of the Minister to deprivation of New Zealand citizenship if they voluntarily acquire a foreign nationality by any formal act other than marriage; or if they voluntarily exercise the privileges or perform any of the duties of a foreign nationality possessed by them. In addition, persons naturalized or registered as New Zealand citizens are liable to deprivation if citizenship was obtained by fraud or false representation.

The numbers of naturalizations, registrations, etc., during the year ended 31 March 1959 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
China1181022474
Czechoslovakia263 622
Denmark24  721
Germany82123178
Hungary18  822
Indonesia493 18158
Italy224 1331
Latvia226 1013
Netherlands (Holland)4311011625742
Poland449 2764
Republic of India1 2722151
Rumania324 2989
Russia (U.S.S.R.)466 1542
United Kingdom 160972928 
Yugoslavia436 1537
Other countries939 944033
    Totals97772224570211155

Of the certificates of registration granted to adult males, 215 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 9 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 108 to British subjects who acquired New Zealand citizenship by virtue of one year's residence in the country immediately preceding the date of application, 56 to British wives of New Zealand citizens, 4 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, and 402 to alien women married to New Zealand citizens by birth or naturalization.

Certificates of registration granted to minor children were 339 (197 males, 142 females) to children of New Zealand citizens by naturalization or registration, and 27 (14 males, 13 females) who lodged applications independently.

REGISTRATION OF ALIENS.—The registration of aliens in New, Zealand is provided for by the Aliens Act 1948. The Aliens Amendment Act 1957 transferred, from 1 April 1958, the administration of the principal Act from the Police Department to the Department of Justice.

The number of aliens on the New Zealand register at 1 April 1959 was 27,975, comprising 17,467 males and 10,508 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 1958 and 1 April 1959.

Country of Nationality1 April 19581 April 1959
MalesFemalesTotalMalesFemalesTotal
Austria340110450343110453
Belgium503383513384
Bulgaria1301014012411135
China2,3461,1843,5302,2461,1923,438
Czechoslovakia1595921813348181
Denmark565289854623291914
Estonia56701264961110
Finland63501136545110
France99104203103103206
Germany264322586286348634
Greece6225051,1275724861,058
Hungary7273661,0937313751,106
Indonesia38644431053
Italy279185464254185439
Japan24749105060
Latvia163172335154154308
Lebanon181432151328
Lithuania61611225152103
Netherlands (Holland)8,2264,77413,0008,4015,11113,512
Norway1223715912243165
Poland9396211,5608995951,494
Rumania372158351954
Russia (U.S.S.R.)93601537953132
Sweden79401197937116
Switzerland425202627429220649
United States of America6893591,0487523691,121
Yugoslavia6653931,0586593951,054
Other countries1095416310460164
Stateless6959128553994
      Totals17,43510,20727,64217,46710,50827,975

The number of aliens on the register at 1 April 1959 shows an increase of 333 as compared with twelve months earlier. A substantial increase during the year was shown by Netherlands (512), while other increases of note were recorded for United States of America (73), Denmark (60), and Germany (48). Decreases were shown by several countries, the largest being China (92), Greece (69), Poland (66) and Czechoslovakia (37).

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.

STATISTICS OF THE 1956 CENSUS.—The following is a complete list of publications containing the results of the Census taken for the night of 17 April 1956.

Volume I—Increase and Location of Population.

Volume II—Ages and Marital Status.

Volume III—Religious Professions.

Volume IV—Industries and Occupations.

Volume V—Incomes.

Volume VI—Birthplaces and Duration of Residence of Overseas-born.

Volume VII—Race.

Volume VIII—Maori Population and Dwellings.

Volume IX—Dwellings and Households.

Volume X—General Report (including details of War Service, Dependent Children and Usual Place of Residence).

Appendix A. Census of Poultry.

Interim Returns of Population and Dwellings.

The appropriate Sections of this Year-Book contain data on industrial distribution, occupational status, poultry, home garden production, incomes, and dwellings.

The pages following give details relating to Marital Status, Dependent Children, and Religious Professions. Additional information on Age Distribution, Racial Origins, Birthplaces, Duration of Residence of Overseas-born, and Overseas War Service was given on pages 56-65 of the 1958 Year-Book.

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
Married64.7764.1766.6466.21
Legally separated1.001.160.760.92
Widowed4.0610.693.8410.85
Divorced1.051.181.071.20
        Totals100.00100.00100.00100.00

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 244,932 in 1951 to 254,384 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 77.9 to 76.8.

DEPENDENT CHILDREN.—Married men, widowers, and widows were asked at the census in 1956 to state the number of their living children under 16 years (including step-children and children adopted by them). Married women, divorced and legally separated persons were not asked to supply the information as this would have created the risk of duplication of children counted.

The numbers of persons having dependent children, including Maoris, are shown with comparative figures from the 1951 census. The category “nil” includes those cases where members of the family were 16 years of age and over, as well as those cases where there were no children in the family

Number of Dependent Children under 16 years1951 Census1956 Census
Married MenWidowersWidowsMarried MenWidowersWidows
Nil186.71224.41765.541195.41325.38172.579
183,2171,3013,18286,7301,1393,094
279,1557051,52692,8996541,678
345,22231570757,937329824
421,11822036928,080165407
59,1309819711,66484223
64,08052805,2533686
71,97419742,4512341
81,07610181,1641523
9 and over8187159881221
Not specified589341263542144
        Totals433,09127,17871,835482,93327,85979,020

The numbers of dependent children in each of the three groups in 1956 were: dependent on married men, 684,846; dependent on widowers, 5,131; and dependent on widows, 12,862; a total of 702,839 dependent children out of a 1956 census total of 720,190 children under 16 years of age. The difference is accounted for mainly by the exclusion of children whose parents were legally separated; those whose parents where divorced and had not remarried; children who had lost both parents; and ex-nuptial children (the last two classes excluding cases of adoption).

Comparable numbers of dependent children in the three groups in 1951 were: dependent on married men, 562,401; dependent on widowers, 5,621; and dependent on widows, 12,108; a total of 580,130 out of a total of 596,876 children under 16 years.

Between the 1951 and 1956 censuses the total number of dependent children of married men increased from 562,401 to 684,846, a rise of 21.8 per cent. The number of married men increased by 49,842, or 11.5 per cent. Those recording “nil” dependent children increased by only 4.7 per cent, while those with dependent children increased by 16.8 per cent.

Married men with two children recorded the largest numerical increase, rising from 79,155 to 92,899, this representing a 17.4 per cent increase. The greatest percentage increase however, was recorded by married men with four children, this group increasing from 21,118 in 1951 to 28,080 in 1956 a rise of 6,962, or 33 per cent.

The next table shows within each group, the average number of dependent children, firstly for all persons within the group, and then for persons with dependent children in that group.

Average Number of Dependent Children1951 Census1956 Census
Married men—
  Per person1.301.42
  Per person with dependent children2.292.38
Widowers—
  Per person0.210.18
  Per person with dependent children2.062.09
Widows—
  Per person0.170.16
  Per person with dependent children1.962.01

The most significant point from the table is the marked rise in the average number of dependent children of married men. This is a reflection of the sharp increases recorded, since 1951, in the numbers of married men having from two to seven dependent children.

RELIGIOUS PROFESSIONS.—The following summary presents the main religious professions returned at the 1956 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 Saints10,00813,133
Church of Christ11,93710,852
Christian (undefined)4,8537,662
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
Hindu1,0891,597
Christadelphian1,4841,459
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 professions4,9035,462
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 Saints0.520.61
Church of Christ0.620.50
No religion (so returned)0.590.58
Object to state7.097.98
All other (including not specified)3.944.07
          Totals100.00100.00

STATISTICS OF WORLD POPULATION.—The area and estimated population of the continents and some of the principal countries of the world at 1 July 1958 are shown in the following table. (Source: United Nations Population and Vital Statistics Report for July 1959 and Demographic Year-Book 1958.)

Continents and CountriesAreaPopulation

* 1959 Estimate.

† 1957 Estimate.

 Sq. miles (000)(000)
Continents
Europe1,903418,000
Asia10,4801,592,000
U.S.S.R.8,650208,826*
Africa11,670230,000
North America9,359256,000
South America6,870134,000
Oceania3,30415,800
      Totals, world52,2362,854,626
Selected Countries
Europe—
  United Kingdom9451,870
  Republic of Ireland272,853
  Belgium129,053
  Denmark174,530
  France21344,500
  Federal Republic of Germany9652,150
  Eastern Germany4116,263
  Italy11648,739
  Netherlands1311,173
  Norway1253,526
  Spain19429,662
  Sweden1747,415
  Switzerland165,185
Oceania—
  Australia2.9759.846
  New Zealand1032.282
Asia—
  China3.769640.000
  India1.267397.540
  Japan14391.760
  Pakistan36585.635
  Federation of Malaya516.499
  Indonesia57686.900
Africa—
  Union of South Africa47214.418
  Belgian Congo90513.559
  Ghana924,836
  Federation of Nigeria33933,043
  Federation of Rhodesia and Nyasaland4847,650
  United Arab Republic45729,202
North America—
  United States of America3,022174,231
  Canada3,85117,048
South America—
  Argentina1,07320,256
  Brazil3,28762,725

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 solemnized 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, if at all, 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. 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
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
195751,8526,63258,48424.8246.2926.20
195853,7746,86160,63525.1646.2426.53
195954,7397,13061,86925.1046.2826.50

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 1954-58 the inclusion of Maoris raises New Zealand's position from tenth to seventh 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 between 1948 and 1951 and a recovery to a relatively high rate in 1958, and 1959, when the totals were over 40,000. 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
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
195732,4415,18137,62215.5336.1616.85
195834,7605,57440,33416.2637.5717.65
195934,9255,81640,74116.0237.7517.45

In the ten years to 31 December 1959 New Zealand has gained by natural increase of the population a total of 356,304 comprising 310,027 Europeans and 46,277 Maoris.

MARRIAGES.—The following table shows the numbers of marriages celebrated during each of the last eleven years. Maori marriages are included.

YearNumbersRates Per 1,000 of Mean Population
194917,3549.27
195017,0998.96
195116,9158.78
195217,0618.55
195317,2248.41
195417,5578.38
195517,7958.32
195617,5318.03
195717,6147.89
195818,3058.01
195918,3157.84

DEATHS.—The effect of including Maoris is to increase slightly the total death rate for New Zealand, as is seen in the following table, except for the latest year.

YearNumbersRates Per 1,000 of Mean Population
EuropeanMaoriTotalEuropeanMaoriTotal
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
195819,0141,28720,3018.908.678.88
195919,8141,31421,1289.098.539.05

Although the Maori death rate was consistently higher than the European rate, the continuous decline of the former has now brought it to a position of 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 1958) than New Zealand included Israel, 5.9; Netherlands, 7.5; Canada, 7.8; Australia, 8.5; and Union of South Africa (European population only), 8.6.

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 five years 1954-58 was 119 per million of mean population as against 89 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 (principally 1954-56) show New Zealand to be ninth out of a total of 31 countries. With Maoris excluded, New Zealand's position would be sixth for the same period.

Total deaths for the years 1955 to 1958, 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
19551956195719581955195619571958
Tuberculosis of respiratory system2562082261681209510173
Tuberculosis, other forms3730283217141314
Syphilis and its sequelae3123332214111510
Typhoid fever2..3..1..1..
Dysentery, all forms641732 3
Scarlet fever and streptococcal sore throat11..11.....
Diphtheria22....11....
Whooping-cough7101935..4
Meningococcal infections24202218119108
Acute poliomyelitis295126142313
Measles15911074 4
Malaria..1............
All other diseases classified as infective and parasitic96931059145434740
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues3,1713,1533,2133,1921,4831,4441,4391,396
Benign and unspecified neoplasms3948454018222017
Diabetes mellitus216229286286101105128125
Anaemias8774575141342622
Vascular lesions affecting central nervous system2,3252,3162,5192,6281,0871,0611,1281,150
Non-meningococcal meningitis4245354620211620
Rheumatic fever111717105884
Chronic rheumatic heart-disease241222255271113102114119
Arteriosclerotic and degenerative heart-disease4,8995,1775,3425,3772,2912,3722,3932,352
Other diseases of the heart760753770808355345345353
Hypertension with heart-disease663561573461310257257202
Hypertension without mention of heart12414513014458665863
Influenza28891813713418116
Pneumonia628803950751294368426329
Bronchitis460441507477215202227209
Ulcer of stomach and duodenum17617920717082829374
Appendicitis2230352910141613
Intestinal obstruction and hernia10213418015248618166
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of the newborn15113915413271646958
Cirrhosis of liver7268755634313424
Nephritis and nephrosis17813116015883607269
Hyperplasia of prostate14416915013567776759
Complications of pregnancy, childbirth, and the puerperium3431443116142014
Congenital malformations290285277354136131124155
Birth injuries, post-natal asphyxia, and atelectasis329326369287154149165126
Infections of the newborn3151556314232528
Other diseases peculiar to early infancy, and immaturity unqualified302283302364141130135159
Senility without mention of psychosis, ill-defined, and unknown causes17515210811782704851
All other diseases1,7922,0392,0761,977838934930865
Motor-vehicle accidents364334407420170153182184
All other accidents653610731669305279327293
Suicide and self-inflicted injury18719921522087919696
Homicide and operations of war23111524115710
        Totals19,22519,69620,86220,3018,9909,0239,3448,881

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
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
19571,0363841,42019.9857.9024.28
19581,0433731,41619.4054.3723.35
19591,0893881,47719.8954.4223.87

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 1953-57 New Zealand's infant-mortality rate (exclusive of Maoris), with an average of 20, was the second lowest of 34 countries for which reliable figures were available, whereas the inclusion of the Maori population relegated it to fifth place, below Sweden, the Netherlands, Australia, and Norway.

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 79 and 80. A special classification of still-births is given on pages 85-86.

Registration of Maori Births.—Registrations 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 long-term trend of the birth rate in New Zealand was downward until recent years. A reference to the diagram on page 78 and to the table on page 76, 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 six 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
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
195853,77425.16
195954,73925.10

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 each census year (on the basis of the births registered in that year and the population as at the census) from 1901 to 1956 together with the “crude” rate for the year.

Census 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
1956176.5124.124.66

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 further slight improvement in 1951 and 1956, but the latter rate shows a fall of 28 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, 1951, and 1956, the latter rate being equivalent to an increase of 11 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 67.1 in 1956.

The “crude” birth rates have fluctuated more than the refined rates, but the decline in 50 years has not been great, the 1956 figure being equal to a fall of 6 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 was accompanied until recent years by a decrease in the death rate. Nevertheless, the norminal rate of natural increase of population has fallen from 29.32 per 1,000 of mean population in 1880 to 16.01 in 1959. 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
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
195853,77419,01434,76025.168.9016.26
195954,73919,81434,92525.109.0916.01

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 1954-58, are taken from the Monthly Bulletin of Statistics issued by the United Nations.

CountryRates Per 1,000 of Population
BirthsNatural Increase
Costa Rica46.436.5
Mexico46.233.4
Peru35.024.2
Puerto Rico33.826.6
Israel28.321.9
Canada28.120.0
Yugoslavia25.715.1
India25.413.5
Union of South Africa24.916.4
New Zealand24.815.7
United States of America24.715.3
Portugal23.212.0
Australia22.613.7
Netherlands21.313.7
Republic of Ireland21.19.0
Spain21.011.6
Finland20.411.3
Japan18.610.7
France18.56.5
Norway18.49.7
Italy18.08.4
Switzerland17.37.3
Denmark17.08.0
Germany (Western)16.55.5
Austria16.23.9
United Kingdom16.14.5
Sweden14.65.0

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
195424,97323,4581,065
195525,66424,2051,060
195626,01424,4161,065
195726,54225,3101,049
195827,67926,0951,061

MULTIPLE BIRTHS.—The number of cases of multiple births and the proportion per 1,000 of the total (live 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 three cases where triplets would have been recorded had not one child been still-born.

195448,43147,818603*512.71
195549,86949,254605512.38
195650,43049,803619412.51
195751,85251,285555610.94
195853,77453,138620811.82

Counting only cases where both children were born alive, there were 620 cases of twin births registered in 1958. There were also eight cases of triplets.

The total number of confinements resulting in live births was 53,138, and on the average one mother in every 85 gave birth to twins (or triplets).

When still-births are taken into account, the total number of confinements for the year 1958 is increased to 53,926, and the number of cases of multiple births to 659. On this basis the proportion of mothers giving birth to twins or triplets is increased to one in 81.

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
195460033136465..31965513.7
195560546765851....666413.3
195661949176854......468913.6
19575555196156......662111.9
195862021106518......865912.2
  Average of five years60040116516..1..765812.9

The proportion of multiple births has been consistently high during recent years. The record rate of 14.2 per 1,000 confinements was experienced in 1944.

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
19541.687.63
19551.498.13
19561.559.58
19571.499.66
19581.464.70
    Average of five years1.537.94

During the five years 1954-58 there were 3,002 cases of live twin births (including ex-nuptial), and of these in 963 instances, or 32.1 per cent, both children were males; in 959, or 31.9 per cent, both were females; and in the remaining 1,080, or 36.0 per cent, the children were of opposite sexes.

The eight cases of triplets in 1958 comprised one of three males, three of three females, two of two males and one female, and two of one male and two females.

AGES OF PARENTS.—Information as to the relative ages of parents of legitimate living children whose births were registered in 1958 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 19 legitimate cases where twins would have been registered had not one child been still-born.

† Including 8 cases of triplets.

Single Births
Under 216092,1371,22022947722....4,253
21 and under 251203,4126,7671,821290731873..12,511
25 and under 3025717,4046,4991,5703381001921116,525
30 and under 352319474,6093,1179902817926410,086
35 and under 40171267192,0491,3965221406145,025
40 and under 45..110601855614021364091,404
45 and over........319401713193
    Totals7346,15916,47413,9377,2613,3841,36540016419*49,897
Multiple Births
Under 2141753............29
21 and under 25218521531........91
25 and under 30..788872162......211
30 and under 35....135640203......132
35 and under 40....42236301043..109
40 and under 45........2862....18
45 and over......................
    Totals642162183102652163..590
    Grand totals7406,20116,63614,1207,3633,4491,3864061671950,487

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 1958 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 49,897 single cases and 590 multiple cases.

Under 213,1599201752611......4,282
21 and under 255,8334,3921,737496112302....12,602
25 and under 303,7095,3664,3482,067811283152....16,736
30 and under 351,4192,0132,7002,0391,11353938114..10,218
35 and under 405717761,07697675943849741..5,134
40 and under 451631562092501911612484221,422
45 and over8715101481811293
    Totals14,86213,63010,2605,8643,0011,4601,298108450,487*

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 1958 registrations, who are also taken into account in the computation of the averages.

Age of Mother, in YearsTotal MothersTotal IssueAverage Issue
Under 214,2825,6681.32
21-2412,60222,6581.80
25-2916,73642,8392.56
30-3410,21833,7153.30
35-395,13420,1383.92
40-441,4226,5604.61
45 and over935285.68
    Totals50,487132,1062.62

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 1958) 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: 1953, 2.51; 1954, 2.54; 1955 and 1956, 2.58; and 1957, 2.60. 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.

FIRST BIRTHS.—Of a total of 283,395 confinements resulting in legitimate births during the six years 1953-1958, the issue of no fewer than 85,460, or 30 per cent, were first-born children. In 37,199, or 44 per cent, of these cases the birth occurred within twelve months, and in 63,017, or 74 per cent, within two years after the marriage of the parents. In the remaining 26 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 indicate that the proportion occurring within one year after marriage is gradually increasing, the rate rising from 40.42 per cent in 1952 to 44.93 in 1958, although a small decrease was noted for 1957. 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.

YearTotal Legitimate CasesTotal Legitimate First CasesProportion of First Cases to Total CasesFirst Cases Within One Year After MarriageFirst Cases Within Two Years After Marriage
NumberProportion to Total First CasesNumberProportion to Total First Cases
   Per Cent Per Cent Per Cent
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
195748,77214,40229.536,31443.8410,60073.60
195850,48714,86229.446,67844.9310,93473.57
  Totals for six years283,39585,46030.1637,19943.5363,01773.74

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 1958 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
19241934194419541958
Under 1 year50.0646.2538.4742.6444.93
1 and under 2 years26.6426.7926.3030.5628.64
2 and under 3 years10.4310.2411.2811.5610.89
3 and under 4 years5.516.167.885.955.54
4 and under 5 years3.033.967.183.303.22
5 and under 10 years3.365.497.365.055.55
10 years and over0.971.111.530.941.23
        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 1958, 1.86 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 1958.

FIRST BIRTHS, BY AGE OF MOTHER

Age of Mother, in YearsFirst Births, Proportion Per Cent at Each Age Group to Total First Births
19241934194419541958
Under 207.558.907.339.0812.74
20 and under 2538.1640.3941.7947.7147.76
25 and under 3032.5932.7929.5427.7924.96
30 and under 3514.6813.1014.6110.399.55
35 and under 405.333.795.363.923.84
40 and under 451.590.991.341.021.10
45 and over0.100.040.030.090.05
        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 1958, 24.87.

EX-NUPTIAL BIRTHS.—The numbers of ex-nuptial births registered during each of the years 1948-58, with the percentages they bear to total births registered, were as follows.

YearNumberPercentage of Total Births
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
19572,5494.92
19582,6895.00

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 1956 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
1956129,8772,31017.79

Included in the total of 2,689 ex-nuptial births in 1958 were thirty-eight cases of twins, the number of confinements being thus 2,651. From the following table it will be seen that of the 2,651 mothers 937, or 35 per cent, were under twenty-one years of age.

AgeCases
121
1410
1532
1681
17185
18209
19213
20206
21195
22172
23135
24134
25-29509
30-34329
35-39197
40-4440
45 and over3
    Total2,651

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.—The Legitimation Act of 1939 stipulates that every ex-nuptial child whose parents have intermarried 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 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
1954463 463
1955463 463
1956545 545
1957555 555
1958526 526
    Totals from 1894 to 195815,7273,29419,021

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
19546746731,347
19557447111,455
1956428459887
19579017901,691
19588568151,671

Of the 1,671 adoptions registered in 1958, 580 were children under the age of one year, 662 were between one and five years, 206 were between five and ten years, and 223 were aged ten years or over. In addition, 246 Maori children (115 males and 131 females) were adopted in 1958.

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. The Births and Deaths Registration Act 1951 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. 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 1.50 per 100 total births in 1958 is 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 1954-58 were as follows.

YearMalesFemalesTotalMale Still-births Per 1,000 Female Still-birthsPercentage of Still-births to—
Living BirthsAll Births
19544783948721,2131.801.77
19554303667961,1751.601.57
19564613978581,1611.701.67
19574523828341,1831.611.58
19584663538191,3201.521.50

Masculinity is in general much higher among still-births than among living births, the rate for still-births in 1958 being 1,320 males per 1,000 females as compared with 1,061 for living births.

The percentage of ex-nuptials among still-born infants was in 1958, 5.86, and among infants born alive, 1.79.

Of the living legitimate births registered in 1958, 30 per cent were first births, while of legitimate still-births 32 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 819 European still-births in 1958, there were 113 Maori still-births registered, comprising 54 males and 59 females.

FOETAL DEATHS.—Section 20 of the Births and Deaths Registration Act 1951 stipulates that in the case of a foetal death where the child has issued from its mother after the twentieth week, and up to and including the twenty-eighth week of pregnancy, a medical practitioner or a midwife who was in attendance at the confinement shall sign and supply a certificate stating to the best of his or her knowledge and belief the cause of the foetal death, and such other particulars as may be required by the Registrar-General. 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 solemnized 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 solemnized. Marriage by an officiating minister may be solemnized at any time between 6 o'clock in the morning and 8 o'clock in the evening. Marriage before a Registrar can be solemnized 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 solemnized, 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, or by reason of the conditions of his service as a member of the armed forces of any Commonwealth country, or of any country for the time being allied with any Commonwealth country.

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 solemnized 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.

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
1958*18,3058.01
1959*18,3157.84

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. It will be noted, however, that the marriage rate for the total population decreased each year from 1952 to 1957, with a small increase in 1958.

Comparison with Other Countries.—Marriage rates for certain countries for 1958 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
Yugoslavia9.2
Puerto Rico8.6
Spain8.4
United States of America8.3
Israel8.3
Portugal8.3
Netherlands8.2
New Zealand8.0
Canada7.9
Austria7.9
Switzerland7.7
United Kingdom7.5
Australia7.5
Italy7.4
Chile7.2
Denmark7.2
Finland7.2
France6.9
Sweden6.7
Norway6.7
Republic of Ireland5.3

MARITAL STATUS.—The total number of persons married during the year 1958 was 36,610 of whom 32,424 were single, 1,599 widowed, and 2,587 divorced. The figures for the five years 1954 to 1958, showing the sexes separately, are given in the table following.

YearSingleWidowedDivorcedTotal Persons Married
BridegroomBrideBridegroomBrideBridegroomBride
195415,47015,5398547561,2331,26235,114
195515,85815,8198037481,1341,22835,590
195615,51315,5808377521,1811,19935,062
195715,63415,6258377981,1431,19135,228
195816,19816,2268107891,2971,29036,610

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

Per Cent
YearBridegroomsBrides
SingleWidowedDivorcedSingleWidowedDivorced
195488.124.867.0288.504.317.19
195589.124.516.3788.904.206.90
195688.494.776.7488.874.296.84
195788.764.756.4988.714.536.76
195888.484.437.0988.644.317.05

Reference to the divorce statistics at the end of this subsection will show that there has been a steady decline from 1946 to 1957. In 1958, however, a substantial increase was recorded, the figure for that year being the highest since 1949. However, the number of decrees absolute in the period 1954-58 was 7,608 as compared with 4,907 in the five years 1936-40, an increase of 55 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 44 per 1,000 in 1958.

The relative marital status of bridegrooms and brides for each of the five years 1954 to 1958 is next given.

YearMarriages Between Bachelors andMarriages Between Widowers andMarriages Between Divorced Men and
SpinstersWidowsDivorced WomenSpinstersWidowsDivorced WomenSpinstersWidowsDivorced Women
195414,469284717354330170716142375
195514,892292674305321177622135377
195614,607264642339335163634153394
195714,661291682316354167648153342
195815,191273734310346154725170402

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 1956-58 the respective numbers were 3,621 males and 3,680 females, and the corresponding rate 98 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 1956-58 there were 2,484 widowers and 2,339 widows who remarried, the number of widowers per 100 widows being 149 in the former period and 106 in the latter period.

AGES OF PERSONS MARRIED.—Of the 36,610 persons married in 1958, 7,945 or 22 per cent were under twenty-one years of age; 13,110, or 36 per cent, were returned as twenty-one and under twenty-five; 7,549, or 20 per cent, as twenty-five and under thirty; 4,640, or 13 per cent, as thirty and under forty; and 3,366, or 9 per cent, as forty years of age or over. The following table relates to the year 1958.

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 211,2412082361  1,479
21 and under 253,4362,924349445226,762
25 and under 301,4422,437990236691935,196
30 and under 3527160163936013349232,076
35 and under 40551212272151478138884
40 and under 45735719312710766506
45 and over1422541071372118571,402
    Total brides6,4666,3482,3531,06161946998918,305

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
1958*8.0836.9428.3911.344.832.767.66100.00
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
1958*35.3234.6912.855.803.382.565.40100.00

A perusal of the above table reveals the fact that greater proportions of marriages are now being solemnized at the younger and, to a lesser extent, at the older age groups. This became very marked in the 1950-54 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 1949-58 are as follows.

YearBridegroomsBrides
 (Years)(Years)

* Inclusive of Maoris.

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
1957*28.9725.48
1958*29.9725.30

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
195426.8041.1455.2923.8936.7747.83
195526.7441.6755.4623.7637.0147.42
195626.6541.8156.0223.6036.9748.85
195726.5542.1356.1923.4637.0447.78
195827.7841.3755.8023.2036.9449.38

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 1958, 81 were under twenty-one years of age, while 353 in every 1,000 brides were under twenty-one.

In 1,241 marriages in 1958 both parties were given as under twenty-one years of age, in 5,225 marriages the bride was returned as a minor and the bridegroom as an adult, and in 238 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 (1958) one bride in every three was under twenty-one years of age, the proportion for grooms being one in twelve.

YearAge, in YearsTotals
1617181920NumberRate Per 100 Marriages
Bridegrooms
19543311112785079305.30
19557361252675721,0075.66
19564331353536051,1306.45
19579501693606521,2407.04
19587582234337581,4798.08
Brides
19542064709021,4451,7724,79527.31
19551965261,0151,5341,8565,12728.81
19562135691,1341,6811,9095,50631.41
19572666361,1651,7061,9895,76232.71
19582816721,3191,9752,2196,46635.32

MARRIAGES BY MINISTERS OF VARIOUS CHURCHES.—Of the 18,305 marriages registered in 1958, Church of England clergymen officiated at 4,598, Presbyterians at 4,591, Roman Catholics at 2,768 and Methodists at 1,425, while 3,591 marriages were solemnized by Registrars.

The following table shows the proportions of marriages by ministers of the largest churches and before Registrars in each of the years 1952-58.

ChurchPercentage of Marriages
1952195319541955195619571958
Church of England25.4025.0426.2125.6325.8824.6325.12
Presbyterian25.9527.0426.2326.2725.3226.2425.08
Roman Catholic13.2314.5214.4015.0514.84151915.12
Methodist8.528.167.968.088.358.317.78
Others7.066.396.566.736.796.827.28
Before Registrars19.8418.8518.6418.2418.8218.8119.62
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 1959) 3,114, and the churches to which they belong are shown hereunder.

ChurchNumber
Roman Catholic Church724
Church of England546
Presbyterian Church of New Zealand495
Methodist Church of New Zealand348
Ratana Church of New Zealand170
Salvation Army163
Baptist142
Brethren64
Ringatu Church48
Associated Churches of Christ41
Latter Day Saints39
Seventh Day Adventist37
Congregational Independent34
Assemblies of God29
Jehovah's Witness22
Apostolic Church20
Commonwealth Covenant Church19
Liberal Catholic Church16
Evangelistic Church of Christ11
Churches of Christ10
Evangelical Lutheran Concordia Conference10
Spiritualist Church of New Zealand9
Church of God9
Hebrew Congregations7
United Maori Mission5
Church of Te Kooti Rikirangi4
Others92
             Total3,114

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 was 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, and further extended in 1958. 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, or of the domicile of the husband in that country before a desertion or separation, or that either party was a national or citizen of that country.

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.

Statistical Data.—Figures showing the operations of the Supreme Court in its divorce jurisdiction during recent years are as follows. A number of the decrees granted in any year relate to petitions filed in earlier years.

YearDissolution or Nullity of MarriageJudicial SeparationRestitution of Conjugal Rights
Petitions FiledDecrees NisiDecrees AbsolutePetitions FiledDecrees for SeparationPetitions FiledDecrees for Restitution
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
19571,9981,7191,40021102310
19582,0841,8051,7511913145

A marked increase in divorce was witnessed during the later years of the war and the immediate post-war years. The peak year was 1946, when 2,133 decrees absolute were granted. In the next eleven years, 1947-57 inclusive, decreases in numbers were recorded every year with the exception of 1949 and 1952 so that by 1957 the number of decrees absolute granted was less than two-thirds of the 1946 total. However, 1958 showed a heavy increase, a little more than 25 per cent over 1957 in the number of decrees absolute granted, and was the highest number recorded since 1949.

The passing in November 1953 of the Divorce and Matrimonial Causes Amendment Act was expected to have some effect on divorce statistics, more particularly as regards petitions and decrees for restitution of conjugal rights.

For the first four years after the passing of the above Act, the number of decrees absolute granted showed evidence of a persistent downward trend. However, a reversal of this trend occurred in 1958. This could, perhaps, be related to the increase since 1955 in the number of petitions filed and decrees nisi granted. The expected change has materialized in the number of petitions and decrees for restitution of conjugal rights.

The divorce ratio was equal to one for every eleven marriages solemnized in 1953 and 1954, one to every twelve in 1955 and 1956, while for 1957 and 1958 the ratio was one divorce to every 12.5 and 10.5 marriages respectively.

The next table gives the grounds (dissolution or nullity cases) of petitions and decrees during 1957 and 1958.

GroundsPetitions FiledDecrees Absolute Granted
Husbands' PetitionsWives' PetitionsHusbands' PetitionsWives' Petitions
19571958195719581957195819571958

* Not available.

Adultery318410180175206268120132
Desertion1421531071151081349095
Drunkenness with cruelty, failure to maintain, etc...216101..127
Attempted murder.... 3......1
Insanity109227841
Non-compliance with order for restitution of conjugal rights23125623
Separation for not less than three years437455612591277357455454
Separation by Court order*****22*103
Living apart for not less than seven years8167736457804368
Presumption of death......1......1
Sodomy, etc.......1........
Nullity..1..22..2..
Non-consummation59777227
Bigamy124........2
        Totals9961,1111,002973670877730874

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.

Over the five-year period 1954-58 inclusive, the average percentage of decrees absolute granted on wives' petitions (83.0) was greater than the percentage granted on husbands' petitions (74.8). It is interesting to note that, for the first time since 1952, the number of decrees absolute granted in 1958 on husbands' petitions was greater than the total granted on wives' petitions.

In 495 of the 1,751 cases where decrees absolute were granted during 1958 there was no living issue of the marriage. The number of living issue was 1 in 445 cases, 2 in 406 cases, 3 in 211 cases, and 4 or more in 194 cases.

The table which follows shows the duration of marriage in all cases for which decrees absolute were granted in the five years 1954 to 1958.

Duration of Marriage, in YearsHusbands' Decrees Absolute GrantedWives' Decrees Absolute Granted
1954195519561957195819541955195619571958
Under 587656151766269443954
5 and under 10221204217184228286234255242275
10 and under 15184155140164227161163174203228
15 and under 2011612310510612911613811396134
20 and under 30112110120125153112112127110132
30 and over43495740643650364051
        Totals763706700670877773766749730874

The number of living issue affected by the decrees absolute of their parents during each of the last five years was as follows: 1954, 2,300; 1955, 2,294; 1956, 2,365; 1957, 2,269; and 1958, 2,737.

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

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

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

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

Provision is made 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. Burial at sea of a person dying in New Zealand is prohibited except on the authority of a Coroner.

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). 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 Births and Deaths Registration Amendment Act 1955 provides that—where the death of any person occurs outside New Zealand and the death takes place on board a New Zealand ship within the meaning of the Shipping and Seamen 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. The present legislative authority, 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. 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.

Registration of Maori Deaths.—Registration of the deaths of Maoris are effected with the Maori Registrars in the various districts set up for this purposes. 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
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
195819,0148.90
195919,8149.09

New Zealand has had for many years a 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”. After that 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
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
19569.998.009.00126125
195710.358.229.29127126
19589.738.068.90122121
19599.988.199.09123122

COMPARISON WITH OTHER COUNTRIES.—An international comparison of death rates is made in the following table. They are the average of the five years 1954-58 and are taken from the Monthly Bulletin of Statistics issued by the United Nations.

CountryRates Per 1,000 of Population

* European population only.

Israel6.4
Puerto Rico7.2
Netherlands7.6
Japan7.9
Canada8.1
Union of South Africa8.5
Norway8.7
Australia8.9
Denmark9.0
Finland9.1
New Zealand9.1
Spain9.4
United States of America9.4
Sweden9.6
Italy9.6
Costa Rica9.9
Switzerland10.0
Yugoslavia10.6
Peru10.8
Germany (Western)11.0
Portugal11.2
United Kingdom11.6
India11.9
France12.0
Republic of Ireland12.1
Austria12.3
Mexico12.8

DISTRIBUTION OF DEATHS OVER THE YEAR.—An examination of the total number of deaths registered in each quarter of the period 1948-58 gives the following averages: March quarter, 3,703; June quarter, 4,304; September quarter, 5,213; and December quarter, 4,318.

A classification according to month of death shows that in 1958 the months during which the greatest number of deaths occurred were July, August, and May, with totals of 1,973, 1,820, and 1,754 respectively. Excluding December, a proportion of deaths occurring in that month not being registered till January, February had the least number of deaths, 1,260, followed by January and November with 1,376 and 1,409 respectively.

The lowest number of deaths on any one day, again excluding December, was 23, this number occurring on 9 February. The greatest number (81) occurred on 14 July.

AGE AT DEATH.—The deaths registered during the year 1958 are tabulated below according to age.

AgeMalesFemalesTotal
Under 1 month436296732
1-2 months5648104
3-5 months7345118
6-11 months434689
1 year6339102
2 years391958
3 years172441
4 years181230
5-9 years6452116
10-14 years392867
15-19 years11531146
20-24 years9836134
25-29 years11051161
30-34 years11560175
35-39 years145115260
40-44 years180137317
45-49 years334241575
50-54 years468309777
55-59 years6743831,057
60-64 years8525921,444
65-69 years1,1408141,954
70-74 years1,5261,1322,658
75-79 years1,7061,4683,174
80-84 years1,2251,3522,577
85-89 years6388121,450
90-94 years236345581
95-99 years3867105
100 years336
101 years123
103 years 11
104 years1 1
105 years 11
  TOTALS10,4538,56119,014

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
19301940195019581930194019501958
Under 19249901,0081,0437.576.936.035.48
1 and under 53272051992312.681.441.191.21
5 and under 1016798871161.370.690.520.61
10 and under 1510510864670.860.760.380.35
15 and under 202221511201461.821.060.720.77
20 and under 253152471581342.581.730.950.71
25 and under 303372701421612.761.890.850.85
30 and under 353372901911752.762.031.140.92
35 and under 403743202752603.072.241.651.37
40 and under 454783623283173.922.531.961.67
45 and under 506404725225735.253.303.123.01
50 and under 557947986977776.515.594.174.09
55 and under 608811,1451,0211,0577.228.026.115.56
60 and under 651,0031,4611,5031,4448.2210.238.997.59
65 and under 701,0771,6972,1701,9558.8311.8812.9810.28
70 and under 751,1711,7722,5362,6589.6012.4115.1713.98
75 and under 801,2421,5562,3163,17510.1810.8913.8616.70
80 and over1,8052,3403,3784,72514.8016.3820.2124.85
        Totals12,19914,28216,71519,014100.00100.00100.00100.00

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. 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 now lower than the male rate in all instances. The increase in the death rate (per 1,000 of population) at successive age groups is well exemplified.

YearUnder 1*1 and Under 55 and Under 1515 and Under 2525 and Under 3535 and Under 4545 and Under 5555 and Under 6565 and Under 7575 and Over
* Per 1,000 live births in this case.
Males
190178.606.811.893.523.976.1611.9423.1250.59141.67
191163.485.361.912.423.876.2711.0220.8353.22130.58
192153.104.781.852.443.565.559.6119.9646.17128.60
193138.212.831.352.282.774.648.6918.2544.18130.57
194132.552.140.991.982.623.768.7920.6746.31137.85
195126.491.400.641.541.822.937.2020.0446.90127.33
195821.971.400.481.451.502.336.4617.8946.28120.25
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
195816.671.000.370.480.801.804.5810.8528.27100.12
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
195819.401.200.430.971.172.065.5414.2836.48109.01

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.

Years
YearMalesFemales
190141.6437.68
191146.1742.37
192148.4546.97
193154.1455.48
194158.6559.60
195161.5865.25
195562.7566.34
195663.8966.69
195763.7867.37
195863.2567.24

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 depicting the pattern of mortality over the age span of life for the non-Maori* component of New Zealand's population have been constructed at various times since 1880. The most recent table is based on the 1951 population census, together with mortality statistics for 1950-52. As the pattern of mortality among non-Maoris has stabilized in recent years, this latest life table still gives an accurate statistical summary of current mortality experience.

* A table showing the expectation of life of the Maori population is given in Section 4E.

Life tables contain a measure of the degree of longevity of the population called the “expectation of life”. The expectation of life at any age is the average remaining lifetime for persons of this age assuming that mortality rates at each age continue at the level shown by the life table. The life expectancy at selected ages at the present time, for the non-Maori population in New Zealand, is shown in the table below. The overall longer span of life enjoyed by females, compared with males, is evident, as is the improvement in life expectancy once the first year of life is survived.

LIFE EXPECTANCY FOR NON−MAORI POPULATION, SELECTED AGES

Exact AgeLife Expectancy (Years)
MalesFemales
068.2972.43
169.0372.90
268.1772.05
367.2771.12
466.3370.18
565.3969.23
1060.6064.37
1555.7959.47
2051.1554.64
2546.5649.83
3041.8945.06
4032.6535.64
5023.8326.68
6016.1918.53
7010.0511.46
805.556.16
902.602.78
1001.051.07

Improvement in non-Maori life expectancy since 1880, for both sexes, has been most striking for the younger ages, but has been relatively small for the advanced ages. Progress in medical science, coupled with improved social conditions, has resulted in substantial reductions in mortality among infants and children from infectious diseases; on the other hand, diseases of middle and old age are less amenable to control. It is unlikely, therefore, that increases in life expectancy in the future will occur on the scale of the past, but will be quite small and will happen very slowly. The table below displays the life expectancy revealed by each life table compiled since 1880 for the three exact ages of 0, 20, and 60 years.

IMPROVEMENT IN NON−MAORI LIFE EXPECTANCY SINCE 1880

Life TableLife Expectancy (Years)
Males AgedFemales Aged
0206002060
1880-9254.4444.5514.9557.2646.3916.39
1891-9555.2945.4715.0658.0947.1916.55
1896-190057.3746.3415.3359.9547.9116.54
1901-0558.0946.7415.4060.5548.2316.64
1906-1059.1747.2015.5161.7648.7716.77
1911-1560.9647.6115.5465.4849.1416.72
1921-2262.7648.6616.0365.4350.3617.29
1925-2763.9948.9315.7966.5750.9617.23
193165.0449.6116.2267.8851.2817.30
1934-3865.4649.8916.0668.4552.0217.49
1950-5268.2951.1516.1972.4354.6418.53

Prior to the Second World War the New Zealand non-Maori population were probably the longest lived of any national population group in the world. This pre-eminent position has not been maintained, however, although New Zealand still takes a very high place in the international ranking list. The table below compares the life expectancy at birth for the non-Maori population with that for selected overseas countries. In all cases the expectancies are the most recent available.

LIFE EXPECTANCY AT BIRTH, SELECTED COUNTRIES

CountryPeriodLife Expectancy at Birth (Years)
MalesFemales

* Non-Maori population.

† White population.

New Zealand*1950-5268.2972.47
Australia1953-5567.1472.75
Canada1950-5266.3370.83
Denmark1951-5569.8772.60
England and Wales195667.7673.36
France1952-5665.0471.15
Netherlands1953-5571.073.9
Norway1951-5571.1174.70
Sweden1951-5570.4973.43
Union of South Africa*1945-4763.7868.31
United States of America195667.373.7
U.S.S.R.1955-566369

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 1949-59 are shown in the following table.

YearNumberRate Per 1,000 Live Births
MalesFemalesTotalMalesFemalesTotal
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
19576054311,03622.817.020.0
19586084351,04322.016.719.4
19596094801,08921.718.019.9

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 Demographic Yearbook 1958. It is interesting to observe that the distinction of having the lowest infant-mortality rate in the world belongs to Sweden, which achieved the phenomenally low ratio of 18 infant deaths per 1,000 live births in 1953-57, as compared with New Zealand's 20 for the same quinquennium. In the case of the United States of America, the Union of South Africa, and New Zealand the European population only has been taken into account.

CountryQuinquenniumDeaths Under One Year Per 1,000 Live Births
Sweden1953-5718
Netherlands1953-5720
New Zealand (excluding Maoris)1953-5720
Norway1953-5721
Australia1953-5722
United Kingdom1953-5726
Denmark1953-5726
Switzerland1953-5726
United States of America (excluding coloured population)1953-5727
Finland1953-5730
Union of South Africa (excluding coloured population)1953-5731
Canada1953-5732
China (Taiwan)1953-5733
Israel1953-5734
Czechoslovakia1953-5736
France1953-5737
Republic of Ireland1953-5737
Cyprus1953-5739
Belgium1953-5741
West Germany1953-5741
Japan1953-5743
Austria1953-5746
East Germany1953-5749
Italy1953-5752
Spain1953-5755
Argentina1953-5762
Venezuela1953-5768
Ceylon1953-5770
Mexico1952-5683
Portugal1953-5790
Peru1951-5598
Yugoslavia1953-57106
India1951-55113
Chile1953-57118

The male rate of infant mortality is considerably above the female rate, the average for New Zealand over the five-year period 1954-58 being 22.2 male deaths per 1,000 male births and 17.1 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, 1948-58 (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
19486.72.94.113.71.10.60.415.86.222.0
19498.23.04.015.21.00.50.317.06.823.8
19507.33.14.214.61.20.60.216.66.222.8
19516.92.94.914.71.00.20.316.26.622.8
19526.32.44.313.01.20.40.515.16.721.8
19535.92.14.112.11.10.60.514.35.820.1
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
19576.92.33.112.31.00.30.213.86.120.0
19586.81.83.011.60.90.70.413.65.819.4

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 per cent lower than in the quinquennium 1881-85, the rate for children who had survived the first month of life was only approximately one-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
1956-195819.5913.625.97

The accompanying diagram further illustrates the reduction in the infant-mortality rate that has taken place over a long period, and the relatively steady low rate of recent years.

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
1949195019511952195319541955195619571958
Tuberculosis, all forms5..142..221..
Congenital syphilis4....1....1......
Enteric fever and other salmonella infections..3........2......
Dysentery, all forms1..........1......
Diphtheria..2........ ......
Whooping-cough1212464211 6
Meningococcal infections 2510779895
Tetanus1..1......11....
Poliomyelitis......21..2......
Measles31 222 ......
Influenza, pneumonia, and bronchitis after the first four weeks of life855396797377798410787
Pneumonia of the newborn26223022242821352631
Gastro-enteritis after the first four weeks of life1715261012161014109
Diarrhoea of the newborn33..1513233
Congenital malformations163198151205163208196186165223
Birth injury158142146118127110144143135123
Asphyxia and atelectasis111128164174152110137128172134
Haemolytic disease of newborn (erythroblastosis)30503834374040392650
Immaturity unqualified238225191191162198162143176132
Accidents52303326241727263927
Other and undefined causes137122131129136152164166167213
          Totals1,0461,0081,0171,0149319681,0029781,0361,043
Causes of DeathRates Per 1,000 Live Births
1949195019511952195319541955195619571958
* Less than 0.1.
Tuberculosis, all forms0.1..*0.1*..***..
Congenital syphilis0.1....*....*......
Enteric fever and other salmonella infections..0.1........*......
Dysentery, all forms............*......
Diphtheria..0.1................
Whooping-cough0.30.30.10.10.1**....0.1
Meningococcal infections..0.10.10.20.20.20.20.20.2*
Tetanus*..*......**....
Poliomyelitis......0.1* *......
Measles0.1*..0.1**.. ....
Influenza, pneumonia, and bronchitis after the first four weeks of life1.91.22.21.71.61.61.61.72.11.6
Pneumonia of the newborn0.60.50.60.50.50.60.40.70.50.5
Gastro-enteritis after the first four weeks of life0.40.30.60.20.30.30.20.30.20.1
Diarrhoea of the newborn0.10.1..*0.1*0.1*0.1*
Congenital malformations3.74.53.44.43.54.33.93.73.24.1
Birth injury3.63.23.32.52.72.32.92.82.62.2
Asphyxia and atelectasis2.52.93.73.73.32.32.72.53.32.4
Haemolytic disease of newborn (erythroblastosis)0.71.10.90.70.80.80.80.80.50.9
Immaturity unqualified5.45.14.34.13.54.13.22.83.42.4
Accidents1.20.70.70.60.50.40.50.50.80.5
Other and undefined causes3.12.62.92.82.93.13.33.33.23.9
          Totals23.822.822.821.820.120.020.119.420.019.4

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 for 1957-58. 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 was 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. In 1957-58, 40 per cent of deaths from epidemic diseases were due to influenza, 31 per cent to meningococcal infections, 13 per cent to whooping cough, 7 per cent to both infectious encephalitis and chickenpox, and 2 per cent to other epidemic diseases.

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
1922-19261.80.41.34.32.84.822.43.341.1
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
1957-19580.4*..2.40.73.610.51.819.7

It is convenient to consider still-births and deaths in the first week of life together, as they are largely the result of common causes. The combined group is termed perinatal mortality. The term is particularly appropriate when we consider how deaths in the newborn crowd closely towards the day of birth. This is clearly shown in the table on page 103. Still-births, deaths in the first week of life, and perinatal deaths (still-births plus deaths in the first week), are shown in the following table. The still-births and the perinatal mortality rate are calculated per 1,000 total live-births (stillbirths plus live-births), while the death rate for the first week of life is calculated per 1,000 live-births.

YearStill-birthsDeaths Under 1 WeekPerinatal Mortality
NumberRateNumberRateNumberRate
195487217.6958612.091,45829.57
195579615.7158811.791,38427.31
195685816.7358411.581,44228.11
195783415.8363812.301,47227.93
195881915.0062411.601,44326.43

The combined rate has shown a steady improvement, due principally to the reduction in the stillbirth rate. It is observed that a considerable proportion of the live-born babies who would previously have been still-births would be delicate, immature infants with a high risk of dying in the first week of life. Consequently the death rate for the first week has not changed noticeably.

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. 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 819 still-births registered during 1958 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 mother6511
Acute disease in mother325
Diseases and conditions of pregnancy and childbirth6450114
Difficulties in labour282250
Other causes in mother3 3
        Totals10479183
(b) Foetal Causes   
Placental and cord conditions166120286
Birth injury16824
Congenital malformation of foetus5746103
Diseases of foetus and ill-defined causes12598223
        Totals364272636
        Totals, all causes468351819

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 50 per cent die in the first day of life and 85 per cent in the first week.

A principal factor in the loss of this new life is prematurity. This is seen in the following table, where causes of neo-natal deaths for 1958 are set out in accordance with the International List of 1955.

Causes of DeathUnder One DayOne Day and Under One WeekOne Week and Under Two WeeksTwo Weeks and Under Three WeeksThree Weeks and Under One MonthTotal Under One Month
Congenital malformations374819208132
Injury at birth31223....56
Injury at birth with prematurity37273....67
Post-natal asphyxia and atelectasis19282....49
Post-natal asphyxia and atelectasis, with prematurity5426..1..81
Pneumonia of newborn11015320
Pneumonia of newborn, with prematurity263....11
Disorders arising from maternal toxaemia33......6
Disorders arising from maternal toxaemia, with prematurity571....13
Haemolytic disease of newborn (erythroblastosis)2671..135
Haemolytic disease of newborn (erythroblastosis), with prematurity5612..14
Haemorrhagic disease of newborn23......5
Haemorrhagic disease of newborn, with prematurity..2......2
Diarrhoea of newborn........22
Diarrhoea of newborn with prematurity.......... 
Ill-defined diseases peculiar to early infancy55......10
Ill-defined diseases peculiar to early infancy, with prematurity16101....27
Immaturity with mention of any other subsidiary condition92......11
Immaturity, unqualified9432411132
Pemphigus neonatorum............
Umbilical sepsis......213
Umbilical sepsis with prematurity............
Other sepsis of newborn....4..15
Other sepsis of newborn, with prematurity..1......1
External causes..31....4
Other causes191145645
          Totals365259483623731

A total of 132, or 18 per cent, of all neo-natal deaths are directly attributed to prematurity (immaturity) and a further 227 deaths are given as associated with it. The principal conditions of early infancy with which prematurity was associated were: (i) asphyxia in 81 cases (11.1 per cent of all neo-natal deaths); (ii) birth injury in 67 cases (9.2 per cent of all neo-natal deaths); and (iii) all other causes peculiar to early infancy in 38 cases (5.3 per cent of all neo-natal deaths).

In the case of still-births, out of 819 in 1958 there were 471 cases, or 58 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. 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, and typhus) 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
1954195519561957195819541955195619571958
* Less than one.
Tuberculosis of respiratory system1811951461631219297717857
Tuberculosis, other forms232314211712117108
Syphilis and its sequelae262617281813138138
Typhoid fever3........2........
Dysentery, all forms141..3*2*..1
Scarlet fever and streptococcal sore throat211..11**..*
Diphtheria422.. 211....
Whooping-cough522..7311..3
Meningococcal infections2216161610118985
Acute poliomyelitis1295025*142412
Measles883..8441..4
Malaria....1........*....
All other diseases classified as infective and parasitic52857784712642384033
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues2,8783,0773,0513,1103,1891,4641,5341,4921,4891,492
Benign and unspecified neoplasms39354343372017212117
Diabetes mellitus19320521527127398102105130128
Anaemias83776956504238342723
Vascular lesions affecting central nervous system2,2502,2812,2562,4572,5501,1441,1371,1031,1761,193
Non-meningococcal meningitis19273124311013151115
Rheumatic fever13578572342
Chronic rheumatic heart-disease2002021712012181021018496102
Arteriosclerotic and degenerative heart disease4,7354,7705,0235,1855,1682,4082,3782,4562,4822,418
Other diseases of the heart639702707716747325350346343350
Hypertension with heart-disease679630546557443345314267267207
Hypertension without mention of heart1111221401261405661686066
Influenza742383129303811416214
Pneumonia458480657784619233239321375290
Bronchitis374407384462433190203188221203
Ulcer of stomach and duodenum1681721772021678586879778
Appendicitis2618273325139131612
Intestinal obstruction and hernia134931261641446846627867
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of newborn958799100924843484843
Cirrhosis of liver52706470522635313424
Nephritis and nephrosis20316011914214310380586867
Hyperplasia of prostate1211421651441326271816962
Complications of pregnancy, childbirth, and the puerperium25222035221311101710
Congenital malformations286266255240316145133125115148
Birth injuries, post-natal asphyxia, and atelectasis220281271307257112140133147120
Infections of the newborn66274441493413212023
Other diseases peculiar to early infancy, and immaturity unqualified265254241256273134127118123128
Senility without mention of psychosis, ill-defined, and unknown causes170161143961118680704652
All other diseases1,5661,6841,9161,9181,849796840937918865
Motor-vehicle accidents277313294336353141156144161165
All other accidents730571525662610371285258317285
Suicide and self-inflicted injury17518119420921189909510099
Homicide and operations of war151710131488567
Totals17,66717,95318,40319,41119,0148,9848,9509,0009,2918,896

TUBERCULOSIS.—The death toll from tuberculosis of the respiratory system has declined steadily for very many years. During the last ten years the fall has been particularly steep as is shown in the following average rates for the last five quinquennia: 1933-37,333 per million of population; 1938-42, 323 per million; 1943-47, 294 per million; 1948-52, 186 per million; 1953-57, 87 per million. The rate for 1958 of 57 per million is a reduction on the figure of 78 per million recorded in 1957.

The latest triennial figures available (1954-56) show New Zealand is in sixth place out of 31 countries from which death-rates from all forms of tuberculosis were compiled. The countries with lower rates than New Zealand were Denmark 6.3; Netherlands 6.6; Israel 7.6; Australia 8.5; and Canada 9.0. The New Zealand rate of 9.7 compares with 10.5 for the United States of America, 14.9 for England and Wales and 18.9 for Scotland. For the period 1947-49 New Zealand occupied second place.

In addition to the 121 deaths from tuberculosis of the respiratory system during 1958, there were 17 deaths from other forms of tuberculosis, comprising—

Tuberculosis of meninges and nervous system6
Tuberculosis of intestines, peritoneum, and mesentery2
Tuberculosis of bones and joints5
Tuberculosis of genito-urinary system2
Tuberculosis of lymphatic system1
Disseminated tuberculosis1

Deaths from tuberculosis of sites other than pulmonary have also declined greatly in recent years, the death rate from these causes having been reduced from 60 per million of population in 1943-47 to 14 per million in 1953-57. The principal contributory factor towards this reduction has been tuberculosis of the meninges and central nervous system. In 1943 there were 41 deaths from this cause, compared with only 6 in 1958.

The following table shows the number of deaths from tuberculosis in 1958, classified according to sex and age groups. Of those dying from this cause in 1958, persons under the age of 45 years formed 27 per cent.

Age, in YearsMalesFemalesTotal
Under 5235
5 and under 10......
10 and under 15......
15 and under 201..1
20 and under 25112
25 and under 30134
30 and under 35167
35 and under 405510
40 and under 45448
45 and under 504711
50 and under 55628
55 and under 608311
60 and under 6512416
65 and under 7010414
70 and under 7515217
75 and under 8010212
80 and over9312
    Totals8949138

CANCER.—A detailed report on cancer mortality and morbidity in New Zealand was issued in 1958 by the Medical Statistics Branch of the Department of Health. This report covers mortality from cancer from 1941 to 1955, and also surveys all cases reported to the National Cancer Register by the various cancer clinics established in New Zealand under the auspices of the British Empire Cancer Campaign Society. In addition to discussion of the total cancer picture in New Zealand, an analysis, with discussion, is made by specific sites broken down under the following subheadings: the age and sex of new cases registered, incidence, survival experience, treatment, stage of disease at time of diagnosis and period elapsing between first symptoms and diagnosis. Under each of these headings a comparison is made between the local figures and those available from other countries, while in the principal sites the New Zealand mortality is contrasted with that of generally 24 other countries of the world.

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
1950-581.2815.00

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, and annually since 1950.

In 1958 there were 3,192 deaths from cancer in New Zealand, a proportion of 14.93 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.
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
19563,05114.929.12
19573,11014.899.08
19583,19214.939.24

A summary showing the location of the disease in deaths from cancer during 1958 is given in the following table.

Site of DiseaseNumbersRates Per Million of Mean Population
MalesFemalesTotalMalesFemalesTotal
Buccal cavity and pharynx423072392834
Oesophagus512071471934
Stomach259168427241158200
Intestine, except rectum149219368139206172
Rectum9672168896879
Larynx144181348
Trachea, and of bronchus and lung not specified as secondary3355238731249181
Breast22882902271136
Cervix uteri..8080..7537
Other and unspecified parts of uterus..4545..4221
Prostate185 185172..87
Skin292655272426
Bone and connective tissue16102615912
All other and unspecified sites356365721331343337
Leukaemia and aleukaemia7364137686064
Lymphosarcoma and other neoplasms of lymphatic and haematopoietic system8062142745866
      Totals1,6871,5053,1921,5681,4151,492

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 1958 is now given.

Age, in YearsMalesFemalesTotal
Under 518725
5 and under 10111021
10 and under 156713
15 and under 207613
20 and under 256713
25 and under 3013821
30 and under 35241842
35 and under 40214869
40 and under 45295786
45 and under 506381144
50 and under 55105122227
55 and under 60127140267
60 and under 65208179387
65 and under 70247199446
70 and under 75287193480
75 and under 80282198480
80 and over233225458
        Totals1,6871,5053,192

Ninety-one per cent of the deaths from cancer during 1958 were at ages 45 years and upwards, and 58 per cent at ages 65 years and upwards. Approximately one death in every six of persons who die after the age of 50 years is due to cancer.

PUERPERAL CAUSES.—In point of numbers of deaths, puerperal accidents and diseases do not rank high among causes of death. Nevertheless, deaths from puerperal causes are of special importance and significance. The rate per 1,000 live births in each of the last twenty years is shown in the following table.

YearProportion Per 1,000 Live Births
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
19570.67
19580.41

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 few since 1949, but the 13 deaths in this category in 1957, as well as the 10 deaths attributed to toxaemic conditions, were the main factors in bringing the 1957 rate up to the highest since 1952.

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 1956 to 1958 are shown in the following summary.

Causes of DeathNumber of DeathsRate Per 10,000 Live Births
195619571958195619571958
Toxaemias of pregnancy6781.191.351.48
Placenta praevia....1....0.18
Other haemorrhage of pregnancy..12..0.190.37
Ectopic pregnancy..1....0.19..
Other complications arising from pregnancy..3....0.58..
Abortion without mention of sepsis or toxaemia1130.200.190.55
Abortion with sepsis4310.790.580.18
Abortion with toxaemia..1....0.19..
Delivery complicated by placenta praevia or antepartum haemorrhage1310.200.580.18
Delivery complicated by retained placenta12..0.200.39..
Delivery complicated by other post-partum haemorrhage1210.200.390.18
Delivery complicated by disproportion or malposition of foetus1....0.20....
Delivery complicated by prolonged labour of other origin..2....0.39..
Delivery with trauma3320.590.580.37
Delivery with other complications of childbirth..1....0.19..
Sepsis of childbirth and the puerperium..11..0.190.18
Puerperal phlebitis and thrombosis1..10.20..0.18
Puerperal pulmonary embolism1..10.20..0.18
Puerperal eclampsia............
Puerperal toxaemia........0.39..
Other and unspecified complications of the puerperium..1....0.19..
Mastitis and other disorders of lactation..1....0.19..
        Totals, including septic abortion2035223.976.754.09
        Totals, excluding septic abortion1632213.176.173.90

A summary of maternal mortality from all puerperal causes, in triennial periods since 1933, and for 1957-58, is now given.

Causes of Death1933-351936-381939-411942-441945-471948-501951-531954-561957-58
Number
Puerperal sepsis394446301263..2
Eclampsia and other toxaemias939480586242302015
Septic abortion9168586133207124
Accidents, haemorrhage, and other mortality104911359411073493536
        Total maternal mortality327297319243217141896757
        Maternal mortality, excluding septic abortion236229261182184121825553

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 1956, 1957, and 1958 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
195619571958195619571958
Motor-vehicle accidents294336367144161172
Other transport accidents658787324241
Accidental poisoning21261810128
Accidental falls1622502047912095
Accident caused by machinery234039111918
Accident caused by fire and explosion of combustible material272830131314
Accident caused by hot substance, corrosive liquid, steam, and radiation11813546
Accident caused by firearm81517478
Accidental drowning and submersion10210781505138
All other accidental causes106101108524851
Homicide and injury purposely inflicted by other persons (not in war)101313566
        Totals8291,011977405484457

The number of deaths recorded from all accidental causes in 1958 was 964 corresponding to a rate of 4.51 per 10,000 of population.

Drownings are a leading cause of accidental death in New Zealand. Included in the above table as transport accidents are a further 41 deaths due to drowning. Thirty-five of these were from the capsize of small boats, whilst the remaining 6 deaths involved principally the larger type of boat.

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
* Less than 0.01.
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
1957312318220.150.011.520.11
1958231353230.11*1.650.11

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 included 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 15 lives were lost in a crash at Waikanae. In recent years the wide use of aircraft in agricultural operations such as aerial topdressing has resulted in a number of deaths from aircraft accidents.

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 use of motor spirits and rubber tires. Since the war the number of fatalities from motor-vehicle accidents progressively increased up to 1958, with the exception of small declines in 1952 and again in 1956. The year 1958 was a particularly bad year from the accident point of view, especially those involving motor-vehicles.

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 1958 there were 11 deaths from such accidents, bringing the total number of deaths in cases where a motor vehicle was involved up to 364. The corresponding figure for 1957 was 336.

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 1956, 1957, and 1958 according to this classification.

Place of OccurrenceNumberRate Per Million of Mean Population
195619571958195619571958
Home (including home premises and vicinity and any non-institutional place of residence)231294222113141104
Farm (including buildings and land under cultivation, but excluding farm and home premises)324557162227
Mine and quarry8614437
Industrial place and premises23182811913
Place for recreation and sport756323
Street and highway142497114
Public building (building used by the general public or a particular group of the public)81010455
Resident institution (homes, hospitals, etc.)295150142423
Other specified places9010180444837
Place not specified511252512
        Totals447565501219270234

One in every two fatal non-traffic accidents occurs in or about the home. The year 1957 was a very bad one for this type of mishap.

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 134 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 1958 numbered 211—males 155, females 56—the death rate per 10,000 of mean population being 0.99.

YearNumber of Suicidal DeathsRate Per 10,000 of Mean Population
MalesFemalesTotalMalesFemalesTotal
1954132431751.340.440.89
1955130511811.290.510.90
1956128661941.250.650.95
1957147622091.400.601.00
1958155562111.440.530.99

The following table presents, for annual averages of various quinquennia, the suicide rate per 10,000 of mean population.

Annual Average DuringMalesFemalesBoth Sexes
1895-991.480.310.93
1900-041.660.311.02
1905-091.620.341.02
1910-141.830.411.16
1915-191.790.401.10
1920-241.920.461.20
1925-292.170.561.38
1930-342.290.551.44
1935-391.630.571.10
1940-441.440.560.99
1945-491.380.570.97
1950-541.410.500.96
1955-58 (4 years)1.350.570.96

The following table provides an international comparison of the suicide rates for various countries. The figures have been calculated from material in the United Nations Demographic Year-Book 1958.

CountryTrienniumRate per 100,000 of Population
Mexico1954-561.3
Republic of Ireland1955-572.5
Union of South Africa (coloured)1954-562.8
Guatemala1955-573.0
Northern Ireland1955-573.6
United States of America (coloured)1951-533.9
New Zealand (Maori)1955-574.1
Bulgaria1954-565.9
Netherlands1955-576.1
Italy1954-566.5
Canada1955-577.0
Norway1954-567.4
Ceylon1954-567.6
Scotland1955-577.9
New Zealand (European)1955-579.5
United States of America (white)1954-5610.1
Uruguay1953-5510.9
Union of South Africa (white)1954-5611.0
Australia1955-5711.1
England and Wales1954-5611.5
Belgium1954-5614.0
Southern Rhodesia1954-5614.9
Alaska1953-5515.0
France1955-5716.4
Sweden1954-5618.3
West Germany1954-5619.1
Hungary1955-5720.6
Finland1955-5721.4
Switzerland1954-5621.9
Denmark1954-5623.0
Austria1955-5723.4
Japan1955-5724.5

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 230, most of these being in the North Island, where over 96 per cent 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 1959 was 7,130 (3,672 males, 3,458 females). The Maori birth rate in 1959 was almost twice the European birth rate (46.28 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 Maori Population
MalesFemalesTotal
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
19583,4643,3976,86146.24
19593,6723,4587,13046.28

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.—From 1 April 1952 all Maori marriages have been subject to the ordinary laws affecting European marriages, and no marriage according to Maori custom subsequent to that date is 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 of the Year-Book.

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

YearNumberRate Per 1,000 of Mean Maori Population
MalesFemalesTotalMalesFemalesTotal
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
19567085851,29310.038.679.36
19578046471,45110.999.2210.13
19587285591,2879.637.688.67
19597175971,3149.147.898.53

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. The rate in 1959 is the lowest rate ever recorded for Maoris, and indeed is lower than that recorded for Europeans. Further improvement in the infant mortality rate for Maoris could result in an even lower death rate 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 1958 were as shown in the following table.

Age, in YearsMalesFemalesTotal
Under 1199174373
1 and under 5554499
5 and under 10241337
10 and under 15141630
15 and under 2014721
20 and under 25221840
25 and under 30171229
30 and under 35121527
35 and under 40121325
40 and under 45251843
45 and under 50282957
50 and under 55432972
55 and under 60452570
60 and under 65473380
65 and under 70432568
70 and under 75442367
75 and under 80312758
80 and under 85191433
85 and under 90281341
90 and under 955510
95 and under 100145
100 and over..22
    Totals7285591,287

EXPECTATION OF LIFE.—Official life tables dealing with the Maori population have now been compiled. 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 (3.4 per cent of the Maori total are at ages sixty and over as compared with a proportion of 12.9 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 1956 to 1958 classified according to the Abbreviated List of the 1948 Revision.

Causes of DeathNumber of DeathsRate Per 10,000 of Mean Maori Population
195619571958195619571958
Tuberculosis of respiratory system6263474.494.403.17
Tuberculosis, other forms167151.160.491.01
Syphilis and its sequelae6540.430.350.27
Typhoid fever..31..0.210.07
Dysentery, all forms3130.220.070.20
Whooping-cough8120.580.070.13
Meningococcal infections4680.290.420.54
Acute poliomyelitis1..10.07..0.07
Measles6120.430.070.13
All other diseases classified as infective and parasitic1621201.161.471.35
Causes of DeathNumber of DeathsRate Per 10,000 of Mean Maori Population
195619571958195619571958
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues1021031047.397.197.01
Benign and unspecified neoplasms5230.360.140.20
Diabetes mellitus1415131.011.050.88
Anaemias5120.360.070.13
Vascular lesions affecting central nervous system6062564.354.333.77
Non-meningococcal meningitis1411131.010.770.88
Rheumatic fever10950.720.630.34
Chronic rheumatic heart-disease5154533.693.773.57
Arteriosclerotic and degenerative heart-disease15415714011.1610.969.44
Other diseases of the heart4654613.333.774.12
Hypertension with heart-disease1516181.091.121.21
Hypertension without mention of heart5440.360.280.27
Influenza65270.433.630.47
Pneumonia14616613210.5811.598.90
Bronchitis5745444.133.142.97
Ulcer of stomach and duodenum2530.140.350.20
Appendicitis3240.220.140.27
Intestinal obstruction and hernia81680.581.120.54
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of the newborn4054422.903.772.83
Cirrhosis of liver4540.290.350.27
Nephritis and nephrosis1218150.871.261.01
Hyperplasia of prostate4630.290.420.20
Complications of pregnancy, childbirth, and the puerperium119100.800.630.67
Congenital malformations3037382.172.582.56
Birth injuries, post-natal asphyxia, and atelectasis5562603.984.334.04
Infections of the newborn714170.510.981.15
Other diseases peculiar to early infancy, and immaturity unqualified4246603.043.214.04
Senility without mention of psychosis, ill-defined, and unknown causes91260.650.840.40
All other diseases1231581138.9111.037.62
Motor-vehicle accidents4071522.904.963.50
All other accidents8569746.164.824.99
Suicide and self-inflicted injury5690.360.420.61
Homicide and operations of war12110.070.140.74
        Totals1,2931,4511,28793.66101.2786.74

The 1957 Maori death-rate was the highest recorded since 1953. The influenza epidemic, as well as substantial increases in the totals for pneumonia and motor-vehicle accidents, contributed to the rise.

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 56.7 per 1,000 births in the case of Maoris for the five years 1955-59, as compared with 19.8 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, but in 1958 a decrease brought the rate nearly back to that for 1956. The rate for 1959 remained almost the same as that for 1958. There has been a reduction of 25 per cent in the rate for the five years 1955-59 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
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
195738457.901,03619.98
195837354.371,04319.40
195938854.421,08919.89

The next table shows for the year 1958 the principal causes of death of Maori infants in the various subdivisions of the first year of life. The classification is according to the Seventh (1955) 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..............12..47
Syphilis........................
Dysentery, all forms..................1..1
Whooping-cough..............11....2
All other diseases classified as infective and parasitic............123129
Non-meningococcal meningitis........1..3..41110
Influenza................2215
Pneumonia, except of newborn............7625291178
Bronchitis............1..34412
Intestinal obstruction and hernia........112........4
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of newborn..............119718
Congenital malformations4..41..34186132
Birth injuries19581..............33
Post-natal asphyxia and atelectasis15652..............28
Infections of the newborn3 6621..........18
Immaturity unqualified28621..1......1..39
Other diseases peculiar to early infancy5741....1..12..21
Accidents............1362214
Other diseases......11..46814943
        Totals74242913562421647242374

Immaturity unqualified accounted for 39 infant deaths, but in a further 47 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. In recent years the Maori rate for the under one month group has been in the proportion of one and a half times that of the European, whereas in those between one and twelve months the Maori rate is over six times that of the European. 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
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
195713.856.1319.9820.3637.5557.90
195813.595.8019.4022.0132.5054.51

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.

Comparing the average rates for the first five-year period in the above table, 1938-42, with those for the last five years, 1954-58, it is seen that European neo-natal mortality has been reduced by 35 per cent over the period in contrast to a much lower reduction in the Maori of 23 per cent; for those aged between one and twelve months the European reduction of 38 per cent is only slightly less favourable than that in the Maori at 43 per cent.

Birth injury and prematurity are two diseases in the neo-natal group in which Maori rates are considerably higher than the European. Contributing towards this disparity is the higher proportion of Maori confinements outside of hospital as well as a reluctance on the part of many Maori mothers to seek ante-natal care.

The Maori infant who survives the first month of life is especially susceptible to gastro-intestinal disorders such as diarrhoea, colitis, and gastro-enteritis, and to respiratory conditions such as influenza, pneumonia, and bronchitis. Certain environmental conditions and circumstances are known to underly these diseases, such as unsatisfactory feeding associated with the failure to seek or heed skilled advice from Plunket or District Nurses, and in many instances poor housing and sanitary conditions.

The above associations were confirmed in a special epidemiological survey conducted in 1954-55 of Maori households in the Whangarei, Auckland, Hamilton, Gisborne, and Palmerston North Health Districts. The general scope of this survey was to study the circumstances of the death of every Maori infant that occurred in these areas between 30 June 1954 and 1 July 1955. A similar study was made of the home environment of a small sample of all Maori children born during the same period, and also, for comparative purposes, of a similar sample of European babies born.

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 42B, 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 1958 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
Diphtheria..31211411..2..168
Enteric fever—
Typhoid3..311 54410..23314
Paratyphoid........111..17....11..
Tuberculosis—              
Pulmonary120130109106142111117134135121971031,425497
Other forms192424192419292119292125273105
Cerebrospinal meningitis6227428735435314
Poliomyelitis5731224198105575
Pneumonic influenza....2......22....211285
Puerperal fever—
Ordinary125355323134376
Following abortion222 1111..353212
Eclampsia173227617537512
Tetanus544211414411322
Hydatids2348987333386117
Trachoma......1......13......54
Ophthalmia neonatorum446420214021220202818120
Food poisoning166333176146211212202028537
Dysentery—
Bacillary562230182063746638801643872
Amoebic....111..1......1..5..
Undulant fever11752 145435387
Leptospirosis521267337151310744
Salmonellosis5171418111515510651413517
Malaria112....13..1..1..102
Lethargic encephalitis......2.......1......31
Anchylostomiasis (hookworm)1......1..11..2..171
Infective hepatitis701171271331521821751491822022131911,893156
Pemphigus neonatorum28423921131023174834323434137
Staphylococcal pneumonia and septicaemia........12644532278
Chronic lead poisoning........1..............1..
Totals3004374143854804205284595405345614835,5411,043

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. Attention is drawn to the fact that these figures are not considered to be a complete coverage of the incidence of these diseases as medical practitioners frequently overlook the necessity of notifying the Medical Officer of Health.

Disease19541955195619571958
* Not available.
DiphtheriaAll cases6951313116
 Maori810358
Typhoid and paratyphoid feverAll cases5160674944
 Maori2441513614
Pulmonary tuberculosisAll cases1,6511,6401,5651,5301,425
 Maori573501524521497
Cerebrospinal meningitisAll cases121917210253
 Maori3523163314
PoliomyelitisAll cases437038976357
 Maori2344245
Puerperal fever and septic abortionAll cases4539464058
 Maori51578
TetanusAll cases2432233332
 Maori45132
HydatidsAll cases4136385661
 Maori1410121017
Food poisoningAll cases370198184384285
 Maori1612321637
Bacillary dysenteryAll cases438457201165438
 Maori10462282272
Undulant feverAll cases6044322338
 Maori32127
Infective hepatitisAll cases***1,4431,893
 Maori***97156

Diphtheria.—In 1958 the number of cases, 16, is the lowest on record.

Typhoid and Paratyphoid Fever.—In 1958 the incidence was much the same as in 1957.

Cerebrospinal Meningitis.—The notifications in 1958 showed a marked drop on the 1957 figures.

Poliomyelitis.—Cases again occurred sporadically throughout 1958. Vaccination of children against poliomyelitis was continued.

Hydatids.—There are two main sources of information about hydatid disease in New Zealand: patients admitted to public hospitals, and cases notified to the district offices of the Department of Health. A register of hydatid disease patients treated in public hospitals is kept by the Medical Statistics Branch, Department of Health. Reference to the register makes it possible to distinguish between new cases and readmissions. The number of new public hospital cases registered each year has been considerably greater than the number of cases notified to District Health Officers in the same year. This apparent discrepancy is caused through incomplete notification. A recent study showed that in some districts less than one-third of new cases treated in public hospitals had been notified to the District Health Office.

The following table, which includes Maoris, shows the number of new public hospital cases admitted, the number of public hospital cases readmitted, and the number of notifications for the ten years 1948-57.

YearNumber of New Public Hospital CasesPublic Hospital Cases ReadmittedTotal Public Hospital CasesNotifications
1948956315853
1949854713243
1950845313738
19511016216358
1952896915839
19531037818161
1954806314341
1955856214736
1956805913938
1957766914556

The number of deaths from hydatid disease in New Zealand for the years 1947-58 are shown below by site of disease. The figures include Maoris. The number of deaths has decreased quite sharply during the last two years, but it is yet too early to be sure that this trend will be permanent.

YearLiverLungOther SitesTotal
19477..512
194893315
19498..513
195094619
195172514
195263110
195363615
195464313
195575214
195663514
19574228
19581..23
Totals762945150

The educational activities of the Department of Health, carried out in conjunction with the Department of Agriculture, were continued and farmers are more conscious of the need to control this disease.

Food Poisoning.—While the reported cases in 1958 were only about three-quarters of the 1957 notifications the number of outbreaks 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”.

Infective Hepatitis.—During 1958 there were 1,893 cases reported, an increase of 450 over the total for 1957. This disease continues to gain ground and is becoming one of the most serious public health problems.

Bacillary Dysentery.—There were 438 cases reported in 1958 as against 165 the previous year. This disease is one of the most infectious diseases.

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. Annual notifications are now 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 8.8 in 1958. 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 wide 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 mass miniature X-ray units strategically sited throughout the country. In 1958 nine of these carried out a total of 234,548 chest X-ray examinations, and found that 1.76 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 1958 vaccinations were preformed in 19,295 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 1958 was 13,341, of which 12,263 were respiratory and 1,078 non-respiratory. The number of new cases notified in 1958 was 1,698, of which 1,096 were European and 602 Maori. Of the European cases, 928 were respiratory and 168 non-respiratory, and in the Maori cases the figures were 497 and 105 respectively. Some of these cases may have since been proved non-tuberculous and subsequently deregistered.

The total number of persons on the register at the end of 1958 amounted to 41.38 per 10,000 of the European population and 304.4 per 10,000 of the Maori population. The combined figure was 58.3 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 1954-1958.

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

* 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.

19548,582*155,603147,6908,140164,1858,355
19558,348156,063148,0258,410164,4117,976
19567,960160,684151,8818,824168,6447,939
19577,939169,729160,0099,576177,6688,083
19588,083174,790165,4819,248182,8738,144

Age and Sex of Patients.—The age and sex of patients discharged from or dying in public hospitals during 1957 are shown below.

Age-GroupsMalesFemalesTotal
Under 1 year4,4313,3927,823
1 and under 2 years2,3521,5813,933
2 and under 3 years1,8801,3783,258
3 and under 4 years1,6521,2362,888
4 and under 5 years1,7811,3263,107
5 and under 10 years8,0776,32014,397
10 and under 15 years5,5243,9909,514
15 and under 20 years5,8506,76712,617
20 and under 25 years5,2037,78012,983
25 and under 30 years4,7867,08811,874
30 and under 35 years4,1736,39410,567
35 and under 40 years3,8305,5859,415
40 and under 45 years3,9184,8988,816
45 and under 50 years4,2374,3788,615
50 and under 55 years4,1363,7717,907
55 and under 60 years4,2103,4987,708
60 and under 65 years3,8533,3007,153
65 and under 70 years4,0473,4497,496
70 and under 75 years4,0683,2367,304
75 and under 80 years3,4432,7346,177
80 and under 85 years2,0921,7123,804
85 years and over1,1291,1002,229
    Totals84,67284,913169,585

Although there is little overall difference in the 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 digestive and respiratory systems, in congenital malformations, 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 in allergic disorders 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, and in infective and parasitic diseases.

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 1957. 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-vehicle accident, accidental fall, etc.

SUMMARY OF PRINCIPAL DISEASES TREATED IN PUBLIC HOSPITALS DURING 1957

DiseasesTotal Cases in Public HospitalsDeaths in Public HospitalsFatality Rate Per Cent
Tuberculosis of respiratory system2,5701244.8
Tuberculosis, other forms625254.0
Syphilis and its sequelae1341611.9
Gonococcal infection and other venereal diseases57....
Infectious diseases commonly arising in intestinal tract27051.9
Other bacterial diseases4835411.2
Spirochaetal diseases, except syphilis73...
Diseases attributable to viruses1,529382.5
Malaria4....
Other infective and parasitic diseases393102.5
Cancer, malignant disease6,9221,76825.5
Benign neoplasm3,471371.1
Neoplasm of unspecified nature11997.6
Allergic disorders1,647432.6
Diseases of thyroid gland776141.8
Diabetes mellitus1,5631187.5
Diseases of other endocrine glands19263.1
Avitaminoses, and other metabolic diseases299155.0
Diseases of the blood and blood-forming organs724506.9
Psychoses1,306513.9
Psychoneurotic disorders1,52230.2
Disorders of character, behaviour and intelligence1,061111.0
Vascular lesions affecting central nervous system2,8251,33147.1
Inflammatory diseases of central nervous system5398515.8
Other diseases of central nervous system1,49218012.1
Diseases of nerves and peripheral ganglia35130.9
Inflammatory diseases of eye55820.4
Other diseases and conditions of eye2,20950.2
Diseases of ear and mastoid process1,44690.6
Rheumatic fever514101.9
Chronic rheumatic heart disease3366920.5
Arteriosclerotic and degenerative heart disease3,6561,07329.3
Other diseases of heart2,00761030.4
Hypertensive disease1,19516413.7
Diseases of arteries75521228.1
Diseases of veins and other diseases of circulatory system3,810631.7
Acute upper respiratory infection1,71440.2
Influenza2,341622.6
Pneumonia5,94760710.2
Bronchitis2,2461566.9
Other diseases of respiratory system11,2101381.2
Diseases of buccal cavity and oesophagus1,724130.8
Diseases of stomach and duodenum2,5371576.2
Appendicitis6,201340.5
Hernia of abdominal cavity4,023531.3
Other diseases of intestines and peritoneum4,0602185.4
Diseases of liver, gall bladder, and pancreas3,2241534.7
Nephritis and nephrosis4888818.0
Other diseases of urinary system2,402984.1
Diseases of male genital organs2,3911425.9
Diseases of breast, ovary, Fallopian tube, and parametrium1,21930.2
Diseases of uterus and other female genital organs5,94570.1
Complications of pregnancy2,45260.2
Abortion4,31950.1
Delivery1,77270.4
Complications of the puerperium1,11270.6
Infections of skin and subcutaneous tissue4,351240.6
Other diseases of skin and subcutaneous tissue1,894140.7
Arthritis and rheumatism, except rheumatic fever1,955683.5
Osteomyelitis and other diseases of bone and joint3,140270.9
Other diseases of musculoskeletal system2,06550.2
Congenital malformations2,0691326.4
Birth injuries, asphyxia, and infections of newborn64613621.1
Other diseases peculiar to early infancy1,14311610.1
Ill-defined symptoms referable to systems or organs8,107120.1
Senility and ill-defined diseases1,22821517.5
Fracture of skull, spine, and trunk2,2221366.1
Fracture of upper limb3,195110.3
Fracture of lower limb4,0223177.9
Dislocation without fracture71960.8
Sprains and strains of joints and adjacent muscles533....
Head injury (excluding skull fracture)4,614942.0
Internal injury of chest, abdomen, and pelvis2852910.2
Laceration and open wound of face, neck, and trunk1,03840.4
Laceration and open wound of upper limb2,5321..
Laceration and open wound of lower limb1,15810.1
Laceration and open wounds of multiple location13210.8
Superficial injury301....
Contusion and crushing with intact skin surface1,12630.3
Effects of foreign body entering through orifice67660.9
Burns1,429201.4
Injury to nerves and spinal cord without bone injury123....
Effects of poisons1,163181.5
Effects of weather, exposure, and related conditions32....
Other and unspecified injuries and reactions85091.1
Special conditions and examinations without sickness2,037....
Admissions for convalescent care, plastic treatment, and fitting of prosthetic devices40....
Totals169,5859,5765.6

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

YearDeaths in Public HospitalsTotal DeathsProportion of Deaths in Public Hospitals to Total Deaths
* Not available.
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
19579,57620,86245.9
19589,24820,30145.6

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. For a decade the proportion remained fairly constant but in the last three years it has increased again.

Accident Cases: A summary is given below of accident cases treated as in-patients in public hospitals during 1957.

MaleFemaleBoth SexesPercentage of All AccidentsAggregate Stay (Days)Average Stay (Days)Aggregate Stay as Percentage
Transport—
  Railway7712890.32,00622.50.4
  Motor-vehicle traffic3,7751,4615,23619.084,65916.218.0
  Motor-vehicle non-traffic87231100.41,16210.60.2
  Other road vehicles1,1415391,6806.117,63210.53.8
  Water13271390.52,53118.20.5
  Aircraft362380.11,23832.60.3
    Total transport5,2482,0447,29226.5109,22815.023.2
Non-transport—
  Accidental poisoning5173768933.22,9523.30.6
  Accidental falls3,6583,1346,79224.7184,89027.239.3
  Other accidents7,7232,27810,00136.3124,48512.426.5
    Total non-transport11,8985,78817,68664.3312,32717.766.5
Complications due to non-therapeutic medical and surgical procedures5321740.34996.70.1
Therapeutic misadventure and late complications of therapeutic procedures7257151,4405.228,70319.96.1
Late effects of injury and poisoning227863131.110,67934.12.3
Suicide and self-inflicted injury1471923391.25,86917.31.2
Homicide and injury purposely inflicted by other persons303763791.42,6757.10.6
        Grand totals18,6018,92227,523100.0469,98017.1100.0

Most cases come under the heading “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 Health Inspectors or contribute to the salary of an Inspector of the Department of Health. Each Inspector must hold a certificate of the Royal Society for the Promotion of Health (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 fifteen 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. The Health Act 1956 reconstituted the Board of Health and widened the scope of its functions. While the former Board of Health was principally concerned with water supply and drainage, the new Board, in addition to its responsibilities in relation to local authorities and their sanitary works, has the much wider function of giving the Minister authoritative advice on the broad aspects of public health policy and the relationship between the various health services.

In addition to the Health Act 1956, the following Acts are administered by the Department:

Cemeteries Act 1908.Medical Research Council Act 1950.
Dangerous Drugs Act 1927.Mental Health Act 1911.
Dentists Act 1936.Nurses and Midwives Act 1945.
Dietitians Act 1950.Occupational Therapy Act 1949.
Food and Drugs Act 1947.Opticians Act 1928.
Hospitals Act 1957.Physiotherapy Act 1949.
King George the Fifth Memorial Children's Health Camps Act 1953.Plumbers Registration Act 1953.
  Children's Health Camps Act 1953.Poisons Act 1934.
Medical Act 1908 (Part II).Radioactive Substances Act 1949.
Medical Advertisements Act 1942.Social Security Act 1938 (Part III).
Medical Practitioners Act 1950.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 1958 and 1959 is given in the following table.

£
Item1957-581958-59Increase
General health services1,305,1191,404,34299,223
Dental hygiene845,541945,48399,942
Departmental hospitals and institutions (other than mental hygiene)497,362519,46622,104
Mental hygiene3,270,2703,479,621209,351
Health education27,53928,6551,116
Medical Research Council104,039104,872833
Homes for the aged296,849209,539−87,310
Pensioners' housing: local authorities124,948176,01951,071
Youth hostels3,37712,2198,842
Plunket Society subsidies121,777120,956−821
Miscellaneous grants and subsidies41,73890,52048,782
Bursaries43,70342,594−1,109
Hospital Board subsidies15,390,25215,774,324384,072
Social Security Act: Medical, etc., benefits (includes assessed salaries)17,225,71218,840,6011,614,889
        Totals39,298,22641,749,2112,450,985

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

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.Maternal Welfare.
Tuberculosis.Physical Medicine.
Child Hygiene.Nursing.
Dental Hygiene. 

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 fifteen 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).
      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 miscarriage.
      Septicaemic influenza.
      Smallpox (variola, including varioloid and alastrim).
      Staphylococcal pneumonia of the newborn infant.
      Staphylococcal septicaemia of the newborn infant.
      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 occupation.
      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 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 addiction-producing 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. 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. 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. The whole of this legislation is being revised.

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 received a sufficient amount of arecoline hydrobromide to enable him to treat the dog every three months until the ensuing date of registration. This attempted control could not be effective while some dog owners evaded the dosing of their dogs and continued feeding them with raw meat (offal) infested with the parasite. In October 1959 the Hydatids Act was enacted to make better provision for the control, prevention, and eradication of hydatids. The Act set up a National Hydatids Council, under the Minister of Agriculture, to co-ordinate the work of local authorities and to appoint inspectors to promote, and where necessary, enforce hydatids prevention methods.

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 set up a Medical Advertisements Board, which was given power as a quasi judicial body to examine statements made in any medical advertisement. The Board may require the claims or statements made or implied 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.

Regulations issued under the Act limit the claims 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 imposed stringent precautions against cremation being used for any criminal purpose. Crematoria have been established in Auckland (2), 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 child examined in infancy and twice more before school entry. 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 is examined by the public health nurse, who selects 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 pre-school 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 and family doctors, 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 poliomyelitis vaccination had 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 eat 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 three 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.

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 is a Deputy Director and 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 344,546 children under regular treatment by the school dental nurses during the year 1958-59. 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 four 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 1956 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 1959 there were 165,956 adolescents enrolled for dental benefits, and the amount paid for their treatment for the year 1958-59 was £929,694. A further 12,412 adolescents were enrolled at departmental clinics.

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 students who have to live away from home in order to pursue their studies. Students who are granted bursaries must enter into an agreement to pursue their studies diligently and, on graduating, to enter the service of the Crown or of a Hospital Board appointed by the Crown for a specified period not exceeding three years.

HEALTH EDUCATION.—Health education has become a policy matter of growing importance. The Director of the Division is a medical practitioner, with an overseas post-graduate qualification in health education.

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 health education activities.

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 1957, 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. Towards the end of 1956 the functions of the Division of Occupational Health became one of the functions of the Division of Public Hygiene and, whereas they were previously discharged in the field by five district industrial medical officers, they are now discharged by all Medical Officers of Health.

The objective of the programme is to work with labour, management, the medical profession, and other groups to assist in improving the health of the worker. In the promotion of this programme it is evident that clearly defined arrangements are necessary to avoid duplication of effort so far as the Department of Labour and some other Departments are concerned, there being very necessary joint activities in this field of worker health.

The principle arrived at is that the Department of Labour is responsible for accident prevention, hours of work, employment of women and children, etc., but calls to the attention of the Department of Health any health problems which the Factory Inspectors may encounter. The enforcement of statutes and regulations is undertaken by the Department of Labour. The suspension of workers on health grounds, approval of respirators and similar protective equipment and the arrangements for medical examinations are undertaken by the Department of Health, which also investigates health hazards referred to it from the Department of Labour or disclosed as a result of investigations into notified occupational disease, complaints, surveys, etc. Resulting from this co-operation, clearly established codes of practice are developing, as are also a series of regulations dealing with health hazards, many of the latter being administered by the two Departments, each in its own sphere.

A somewhat similar understanding has been established with the Waterfront Industry Commission and New Zealand Railways, and illustrates the general pattern of arrangements between the Department of Health and other Government Departments or agencies concerned with particular aspects of workers' health.

Occupational Disease: The notifiable occupational diseases are scheduled in the Health Act 1956 and details of diseases notified are published annually in the Report of the Director-General of Health.

Control of Health Hazards: Lead and phosphorous poisoning have been notifiable since 1920, the importation, manufacture and sale of matches made from white phosphorus has been prohibited since 1910 and Lead Process Regulations date from 1925.

An increasing number of specific health hazards are coming under formal control, namely lead processes, electro-plating, spray painting, sand blasting (siliceous blasting agents in factories are prohibited), fumigation, aerial application of poisons where in conjunction with the Civil Aviation Administration a special rating is required by pilots, and agricultural chemicals. The organization of radiation protection is dealt with by the Dominion X-ray and Radium Laboratory, while a number of other specific hazards are currently receiving consideration.

Medical, Nursing and First Aid Services: While there are no statutory obligations on industry to provide medical and nursing services, an increasing number of Government and private factories do provide such services, details of which are published in the annual report of the Director-General of Health.

To meet the needs of small plants the Department has developed and is developing industrial health centres with financial support from the Waterfront Industry Commission in the case of harbour areas, and the Workers' Compensation Board in the case of general industry.

Minimal first-aid requirements have been laid down by the Department which generally endeavours to encourage both the development of medical and nursing services and the raising of first-aid standards throughout industry generally.

Pre-employment Examinations: Pre-employment medical examinations are required for young workers before entering factory employment.

AIR POLLUTION.—In 1957 Part V of the Health Act relating to air pollution was brought into force and in 1958 the Air Pollution Regulations dealing with standards of air effluents for sulphuric acid plants, superphosphate works, and lead process works became operative. A chemical inspector was appointed to the Department in 1958, becoming the Chief Chemical Inspector in 1959, with the appointment of a second inspector in Auckland.

In association with an Air Pollution Committee of the Board of Health, active attention is being given to the subject of air pollution, and surveys are being established and developed in Auckland, Christchurch, and Dunedin.

RADIATION PROTECTION.—The Radioactive Substances Act 1949 is designed for the protection of the people of New Zealand from the harmful effects of ionizing radiation. Shortly after the Act was promulgated, the Department of Health took over the British Empire Cancer Campaign Society's Radiation Laboratory, and since this change over the work performed by the Department has rapidly expanded, resulting in extra staff being appointed and additional facilities being acquired to carry out the work effectively.

The protection of the people from radiation hazards is solely invested in the Department of Health, and the Department has established the Dominion X-ray and Radium Laboratory to provide the administrative and technical services required under the Act and regulations and the educational programme without which effective co-operation in any safety field is not likely to be achieved.

An important feature of the Act was the setting up of the Radiological Advisory Council on whose advice the Minister of Health may act on radiation problems concerning the welfare of the people.

Further legislation by way of regulations followed in 1951, and these include the Radiation Protection Regulations and the Transport of Radioactive Substances Regulations.

The Radiation Protection Regulations are not a detailed Code of Practice, but they are virtually confined to the basic principles—i.e., that no person shall be subjected to more than the maximum permissible exposure (except in the case of the patient who would be exposed for medical reasons, or reasons of equal cogency), and the licence holder is responsible before the law for any ill-effects arising from any breach of the regulations. The regulations also lay down some minimum requirements for compulsory pre-employment health checks and blood examinations, ventilation, keeping of records, marking of protective materials, etc.

Control of radiation sources is effectively obtained by licensing operators at each place where ionizing sources are used, and under the Electrical (X-ray) Wiring Regulations 1944, provision is made for the compulsory registration of all X-ray plants in the country. The importation and use of radioactive materials is strictly controlled and orders for such materials and overseas supplies must be channelled through the laboratory. Unless this is done orders placed direct on suppliers overseas will not be recognized.

The Dominion X-ray and Radium Laboratory is required to maintain the primary X-ray standard for New Zealand, and also reference standards for the accurate measurement of radioactive substances used in clinical work. The laboratory has recently completed a comparison of the New Zealand national X-ray standard with two portable transfer standards provided by the World Health Organization. The results were very satisfying.

The laboratory operates a field service whereby trained physicists regularly visit all places where ionizing sources are used. During these visits measurements are made, protection problems discussed, and everything possible is done to ensure that the people associated with the ionizing sources adopt safe working habits. Apart from the obvious groups, e.g., medical and dental users, the laboratory is also concerned with specialized equipment, such as mass X-ray units, X-ray apparatus used in schools, radar and television equipment, X-ray diffraction units, electron microscopes, research accelerators, etc.

Good protection, of course, depends not only on careful working habits, but also on material protection. A considerable amount of laboratory time is spent on the perusal of sketch plans for hospital X-ray departments, hospital and university isotope facilities, plans from radiologists, dentists, etc., in private practice.

Through the operation of the Protection Test Film Service effective measures are taken by the laboratory to ensure that persons working, or associated with, ionization sources are regularly monitored.

Consideration has been given to the effect of wearing self-luminous watches, and care is taken to ensure that no product is brought into the country for general distribution which could present a radiation hazard to the public.

In recent years the Department of Health has undertaken responsibility for the monitoring of air, rain water, and soil for the incidence of radioactive contamination from fall-out. The work is gradually being expanded to include sampling of staple foodstuffs for determination of Strontium 90 content.

Copies of relevant legislation and statistics covering distribution of ionizing sources, number of various licensees, nature and amounts of radioactive substances imported into the country, radiation exposure levels for persons occupationally exposed to radiation, etc., are obtainable on request from the Dominion X-ray and Radium Laboratory, Christchurch.

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. Clinical research is also 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 treatment at the Main Bath House and out-patients can also be referred for treatment. A large number of out-patients referred from all parts of New Zealand are seen every year.

Admission of patients to the hospital is arranged with the Medical Superintendent, who also arranges for 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 is also situated at Queen Elizabeth Hospital providing 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 therapist services are now operating in Christchurch, Wellington, and Palmerston North health districts. These have proved so successful that it is hoped to extend the service to other districts as qualified staff become available.

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. Today a block and study day system of organization of theoretical and practical work operates in 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 Registration Regulations 1958. 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 through the Registrar supervises hospitals and nursing schools in all aspects of training, and also the examination and registration of nurses. The Nurse Inspector 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.—Opened in 1954, the National Health Institute is the Department of Health's centre for the study of public health problems. It contains an Epidemiology Section, and Occupational Health Unit and Public Health Laboratories.

The Epidemiology Section conducts field research into matters of public health interest and also is responsible for conducting the course of training for the Diploma for the Royal Society for the Promotion of Health and, in addition, refresher courses for health inspectors.

The recently established Occupational Health Unit will provide consultant and laboratory services in this field.

The Public Health Laboratories provide diagnostic and reference services in bacteriology and virology for Medical Officers of Health and hospital laboratories as well as for the other sections of the Institute. The Institute is the national centre for those reference services which are organized on an international basis.

MEDICAL RESEARCH COUNCIL.—Under the Medical Research Council Act 1950 a Medical Research Council was established as a corporate body 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 the departmental committee, bearing the same name, which had been in existence since 1938. At the end of 1959 research in the following fields was in progress: chest diseases; clinical medicine; dentistry; endocrinology; hydatids; Island Territories research; microbiology; neuropathology and neurophysiology; nutrition; obstetrics; psychiatry; surgery; toxicology; pathology.

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.

The Council administers the Medical Research Endowment Fund, from which an annual expenditure of £100,000 is incurred in supporting research projects at the University of Otago, the University of Auckland, and the institutions of the Auckland Hospital Board.

The Council employs a staff of 90 full time workers and some 40 associated workers contribute to the activities of the 14 research committees established by the Council.

The Council is empowered to receive bequests and donations to the Fund for furthering the objects of the Council as set out in the Medical Research Council Act 1950.

MEDICAL COUNCIL.—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 1959 was 3,326, and, of this number approximately 2,800 were actively engaged in medical practice in New Zealand.

Investigation Committee: Complaints Against Registered Medical Practitioners.—The Medical Council Amendment Act 1957 introduced the Investigation Committee and established a procedure for the reception and investigation of complaints amounting to infamous conduct and grave impropriety against registered medical practitioners. Briefly, the procedure requires that a complainant should direct his complaint to a Crown Solicitor of a Supreme Court district, and the Crown Solicitor is required to further the matter by calling upon two registered medical practitioners, from a duly appointed panel of four such practitioners, to sit with the Crown Solicitor to investigate the complaint and to submit a report thereon to the Solicitor-General. The Solicitor-General is required to act in accordance with the recommendation of the Committee as set out in the report referred to him. The Medical Council must hear a complaint submitted to it by the Solicitor-General.

The complaints amounting to professional misconduct must be referred to the secretary of the disciplinary committee and the disciplinary committee exercises certain disciplinary powers in relation to complaints amounting to professional misconduct.

REGISTRATION COUNCILS AND BOARDS.—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 1 June 1959 was 804, and in addition there were 102 dentists in Government and University employment.

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 are 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 three 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 of Bachelor of Home Science conferred by the University of New Zealand or of the holder of a Diploma in Home Science of the University of Otago, twelve 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 oversees 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 are approximately 268 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 issued with an annual practising certificate which is renewable on 31 March each year while he is engaged in sanitary plumbing.

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. During the year ended 31 March 1959, 3,078 registered plumbers renewed their practising certificates.

Pharmaceutical Chemists: There are about 1,550 names on the Register of Pharmaceutical Chemists in New Zealand. All registered pharmaceutical chemists except those who notify the Registrar that they have conscientious objection to membership 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. Any adult person completing these examinations, as well as an approved apprenticeship of four years, qualifies for registration as a 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.

With the commencement in 1960 of a new system of pharmacy education, the Society's college will continue in existence only for as long as is necessary to afford existing students reasonable opportunities to qualify under the conditions that obtained at the time of entry into the profession. The new system will involve full-time attendance for two years at the School of Pharmacy, Petone, followed by two years of apprenticeship. Commencing in 1960 also there will be a four-year degree course in pharmacy at the University of Otago. It is proposed that graduates will be required to serve one year's apprenticeship before becoming eligible for registration as chemists.

Pharmacy is subject to the provisions of the Pharmacy Amendment Acts of 1954 and 1957. Any chemist 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. Unqualified persons or 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. All pharmacies must be registered with the Board.

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 all babies. 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 Olympic Council made up of representatives of all sports bodies interested in Olympic and Empire Games competition.

Organizational and Practical Assistance in Learn to Swim Campaigns.—Extensive “Learn to Swim” campaigns are conducted each summer by the Department of Education (for school children) and by the Physical Welfare and Recreation Branch in conjunction with swimming associations. 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 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.

A Hospitals Advisory Council, comprising three Departmental members (Health, Treasury, and Works) and three Hospital Board members, is provided for by the Act. 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 is to consider and make recommendations on matters referred to it by the Minister but it may also initiate business on matters covered by the Hospitals Act. The Council held its first meeting in April 1958.

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 468,994, down to Maniototo, which has only 3,000 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.

  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. 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 5/12d. on the capital value. For the final year ended 31 March 1957 the levy was 1/12d. per £1 of rateable capital value. In 1958-59 revenue was derived from Government grants (68 per cent), Social Security Fund (28 per cent), and sundry receipts (4 per cent).

From 1 April 1958 the Government 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 1958 and 1959.

£
1957-581958-59
Voluntary contributions and bequests6,90722,735
Payments from Social Security Fund and by inmates of old people's homes5,906,0346,843,360
Grants15,390,25215,774,324
Rent, interest, and dividends109,543153,061
Sale of capital assets24,43318,658
Miscellaneous268,070283,154
        Totals, excluding loans21,705,23923,095,292
Loans for capital works2,777,4202,920,293
        Totals24,482,65926,015,585

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

£
1957-581958-59
Institutional maintenance16,752,72317,928,731
Outdoor relief26,33231,287
Grants to private hospitals31,05942,137
Other grants6,5837,427
Transport of patients139,748209,870
District nursing (incl. grants thereto)185,633200,830
Administration507,895518,391
Superannuation150,261147,343
Maintenance340,408292,182
Interest on loans606,761744,508
Amortization of loans1,020,2161,127,367
Capital works other than “loan”1,829,5741,817,895
        Totals, excluding loans21,647,19323,067,968
Loan works2,596,7033,407,591
        Totals24,243,89626,475,559

Institutional Maintenance Expenditure.—The average maintenance expenditure per occupied bed relating to hospitals of all types and old people's homes for 1957-58 and 1958-59 and for general hospitals for the last five years was as follows:

£
YearTreatmentInstitutional MaintenanceHeat, Light, Power, and WaterHousehold ExpensesBuildings and GroundsMiscellaneousTotal
All Institutions
1957-58501.994.7112.9504.779.01.31,294.5
1958-59519.398.5119.3531.278.91.41,348.6
General Hospitals
1954-55416.290.099.1443.361.81.01,111.4
1955-56437.996.7103.7471.366.41.21,177.2
1956-57491.298.4106.7503.873.01.21,274.3
1957-58551.1108.3119.6537.479.91.21,397.5
1958-59572.2112.8123.8565.879.41.21,455.2

Each of these averages includes the direct expenditure of each activity for labour, materials, and incidental expenses, but excludes overheads such as depreciation and interest on capital.

Cost to Government and Local Authorities.—The following is a comparative statement of payments to Hospital Boards and Sanatorium Committees from Government and local authority funds.

£
YearFrom Government FundsFrom Local Authority Funds LeviesTotal
GrantsSocial Security Benefits
1954-5510,726,0514,050,6081,452,50116,229,160
1955-5610,703,6895,404,4021,079,82817,187,919
1956-5712,895,6745,402,653657,69818,956,025
1957-5815,390,2525,508,781..20,899,033
1958-5915,774,3246,380,653..22,154,977

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
1954-552.097.061678.81611.595.83173.178
1955-561.982.010697.48612.898.62970.470
1956-573.518.260837.89315.578.99774.188
1957-582.767.420988.92317.357.49277.375
1958-592.961.7601.056.58119.288.673121.953

PUBLIC INSTITUTIONS.—Section 4f contains statistics of inpatients other than normal maternity cases treated at public hospitals. The statistics giveni n the following table relate to patients and inmates in all institutions (general, maternity, special hospitals, and old people's homes) including institutions under the control of the Department of Health. The number of beds in public institutions available at 31 March 1959 and the average number occupied during the year were as follows.

Type of BedBeds AvailableAverage Number of Occupied Beds per Day
NumberProportion per 1,000 of PopulationNumberProportion per 1,000 of Population
* Includes tuberculosis beds.
General12,758*5.5*9,584.3*4.2*
Maternity2,4631.11,677.20.7
Total hospital beds15,2216.611,261.54.9
Non-hospital beds1,1440.51,073.20.5
        Totals16,3657.112,334.75.4

In addition to the 15,221 hospital beds in public institutions there were 2,580 (2,180 general and 400 maternity) in the 155 licensed private hospitals. If the beds in licensed private hospitals are included the ratios of beds per 1,000 of population become 6.5 for general beds and 1.2 for maternity beds.

The average number of occupied hospital beds per thousand of population in hospital districts varies from 3.6 to 8.9. This variation can be accounted for in the main 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 departments.

The number of institutions coming under the heading of public institutions for the year ended 31 March 1959 was 219, comprising 75 general hospitals (8 of which were also old people's homes); 2 homes for cripples, 6 non-acute hospitals, 5 convalescent hospitals, 103 maternity hospitals, 4 tuberculosis sanatoria, a hospital for physical disorders and a neurological hospital (both of which are under the control of the Department of Health), 21 old people's homes, and 1 children's home.

The following statistics for the latest two years relate to all institutions:

 1957-581958-59
Number of beds of all descriptions for patients or inmates in all public institutions, including institutions under the control of the Department of Health16,23816,365
Number of such beds per 1,000 of population7.27.1
Average number occupied per 1,000 of population5.45.4
Number of persons who, as inpatients or inmates, availed themselves of institutional services during year236,435245,509
Number per 1,000 of population who, as inpatients or inmates, availed themselves of institutional services during the year105.3106.8
Number of attendances by outpatients (including 82,364 attendances for 1958-59 for dental treatment) during year1,735,5301,866,257
Number per 1,000 of population of attendances (including dental) by outpatients772.7811.8

The Appendix to the Annual Report of the Director-General of Health on Hospital and Relief Statistics contains further detail on public institutions.

GENERAL HOSPITALS.—In the following table the figures relate only to general hospitals under the control of Hospital Boards:

YearInpatients TreatedAverage Number of Occupied Beds per DayAverage Turnover of Patients Treated Per Occupied BedAvailable BedsOutpatient Attendances (Including Dental)
NumberProportion per 1,000 of PopulationNumberProportion per 1,000 or PopulationNumberProportion per 1,000 of PopulationNumberProportion per 1,000 of Population
1954-55174,36682.88.702.34.120.010.7495.11.375.238653.1
1955-56175.92580.98.659.84.020.311.0805.11.529.557703.5
1956-57186.18684.98.827.04.021.111.119511.609.096733.4
1957-58194.58886.68.860.03.922.011.5505.11.647.668733.6
1958-59200.79587.38.886.23.922.611.5575.01.757.644764.6

PRIVATE HOSPITALS.—The control and licensing of private hospitals is provided for in Part V of the Hospitals Act 1957. With specified exceptions such as institutions controlled by Hospital Boards and the State, any premises in which two or more patients are maintained at the same time must be licensed. No premises may be licensed unless the Director-General of Health is satisfied that they are suitable. Staffing and other requirements are governed by regulations and all private hospitals are subject to regular inspection by the Department of Health.

The total number of private hospitals licensed in New Zealand at 31 December 1958 was 153, providing 392 maternity beds and 2,173 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 1958 available hospital bed accommodation for maternity cases was 2,866, made up as follows:

Public hospitals2,308
Private hospitals392
State (St. Helens) hospitals147
Alexandra Home (Wellington)19
            Total2,866

The total number of confinements in maternity hospitals in 1958 was 57,890, of which 45,654 were in public maternity hospitals, 8,466 in private hospitals, 3.291 in St. Helens Hospitals, and 479 in the Alexandra Home, Wellington. Of the total confinements 54,264 were confined at the full term and 3,060 at from 7-9 months. In addition, there were 4,749 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 1959, 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.

Domiciliary Midwifery Services.—Public health nurses and Hospital Board district nurses carry out some pre-natal work and a limited amount of obstetrical work in back country areas. In general, however, most of the population is within reach of a maternity hospital, and home deliveries are not encouraged. There remain, however, a few midwives who contract with the Department of Health to give home maternity service under the Social Security Act.

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 work is also supplemented by the public health nurses, who are employed by the Department of Health or by Hospital Board district nurses.

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”.

Every effort is being made to impress parents with the importance of personal 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.

SUBSIDIZED ACCOMMODATION—(Old People's Homes, Youth Hostels, and Short-stay Homes for Intellectually Handicapped Children).—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 deals 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 Church of England 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. In February 1960 the rate of subsidy was increased to 100 per cent of the approved capital cost. The administration of this policy is the responsibility of the Department of Health.

During the year 1958-59 subsidies totalling £73,851 were approved to assist in the provision of accommodation for 45 old people. From April 1950 to 31 March 1959, subsidies totalling £1,974,212 have been approved and buildings erected as a result will accommodate 2,007 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 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 3½ 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 £694,955 had been made available as subsidy up to 31 March 1959. As a result 1,507 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 1958-59 subsidies of £9,010 were approved to assist in the provision of hostels for 29 young people. Since the policy was approved, subsidies totalling £298,249 have been granted up to 31 March 1959 to assist in the provision of hostel accommodation for 486 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 Department of Health.

The total amount authorized as subsidy up to 31 March 1959 was £26,475. Accommodation for 68 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 twelve 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 system, with accommodation provided 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 people treated in the mental hospitals. Figures quoted in this section have been extracted from the fourth Report on Mental Health 1958, 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 status 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 sixteen years of age or over and in need of specialized treatment. In 1958 nearly half the admissions to hospital were 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 people are committed to the care of a psychiatric hospital. The two most usual methods are as follows: (a) 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 he sees fit makes out an order for committal. (b) Application may be made to a Magistrate who appoints two medical practitioners to conduct an examination and, if he then sees fit, issues a reception order.

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 joint 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 or a Magistrate.

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 1958, or if not resident remained on the books of the hospital at that date, are shown in the following table.

HospitalPatientsVoluntary Boarders
ResidentAbsent on Probation or EscapeResidentAbsent on Probation or Escape
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Auckland6496381,28786157243547613011314
Kingseat (Papakura)428417845343266232750134
Raventhorpe (Drury)9257266..88167......
Tokanui (Te Awamutu)39240379520426226356132427
Lake Alice (Marton)205..2055..51..1......
Levin Farm33617350912618............
Porirua5637551,3182451756878146 22
Nelson and Ngawhatu55042797722557718193753338
Seaview (Hokitika)2082904985131881018123
Sunnyside (Christchurch), Templeton, and Hornby6906701,3604580125454383..88
Seacliff, Waitati and Cherry Farm6164791,0955186137414485123
Ashburn Hall (private mental hospital)9122123523758134
        Totals4,6554,5219,1763065338393063756811390103

There were 5 patients (4 male and 1 female) absent from hospitals on escape mid-year 1958. 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 resident and the number of persons absent on probation or escape at the middle of each of the last five years are 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 Mid-Year PopulationPersonsPercentage of Persons Resident
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
19544.8154.7519.56645.845.745.72814877685.810.38.0
19554.9004.8659.76545.645.845.73014597606.19.47.8
19564.9404.9089.84845.145.345.23275538806.611.38.9
19574.9684.9029.87044.344.244.23216259466.512.79.6
19584.9614.8969.85743.143.143.13196239426.412.79.6

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 1958, 112 males and 239 females returned to hospital from a period out on probation. Transfers between institutions numbered 457 during the year.

Excluding transfers-in and returns from probation, 3,741 persons (1,747 males, 1,994 females) were admitted to mental hospitals during the year. This figure was an increase of 73 (58 males, 15 females) from the total of 3,668 admissions in 1957. The rate per million of mean population for both sexes combined was 1,637 in 1958, as compared with 1,643 in 1957.

The following table shows the five-year averages since 1935, both numbers and rates, patients and voluntary boarders separately. 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
1955-588871,0191,90679.892.886.37428801,62266.679.973.245.446.145.8

The admission rate per 100,000 of population for patients rose from 68.4 in 1935 to 95.4 in 1954, an increase of 39.5 per cent. Since then the rate has declined to 82.2 for 1958. The voluntary-boarder rate increased by 310 per cent from 20 per 100,000 of population in 1935 to 82 in 1958.

The swing towards voluntary admission is evidenced by the percentage of voluntary boarders in total admissions. This proportion had risen from 23 percent in 1935 to 50 per cent in 1958.

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 35 per cent in 1958.

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 might 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. The patient readmission rate has moved from 10 per 100,000 of population in 1935 to 23 per 100,000 in 1958.

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 1958, 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 system415112527
  Schizophrenia177214391159164323336378714
  Manic-depressive reaction181233414154281435335514849
  Involutional melancholia10172741317143044
  Paranoia and paranoid states17153210515272047
  Senile psychosis181273454173148198304502
  Presenile psychosis5813 2251015
  Psychosis with cerebral arteriosclerosis302656156313162
  Alcoholic psychosis2863410515381149
  Psychosis of other demonstrable etiology1913325712242044
  Puerperal psychosis 1818 55 2323
  Other and unspecified psychoses161733459202242
Psychoneuroses
  Anxiety reaction686513332215310086186
  Hysterical reaction2943721220324163104
  Neurotic-depressive reaction10217828078101179180279459
  Other and unspecified, psychoneurotic disorders7142112381624
Disorders of character, behaviour, and intelligence
  Pathological and immature personality36246014418502878
  Alcoholism576636497312115136
  Mental deficiency140105245281139168116284
  Other and unspecified, character, behaviour and intelligence disorders581322471017
Other conditions
  Epilepsy1451915823291342
  Other defined conditions4376 610313
        Totals, all conditions1,1301,2922,4226177021,3191,7471,9943,741

Manic-depressive reaction and schizophrenia were the conditions most frequently diagnosed in all admissions to hospital. Senile psychosis with 502 cases was in third place, followed by neurotic-depressive reaction, the most common of the psychoneurotic disorders. The fifth most frequently diagnosed condition was mental deficiency.

In the readmissions the highest number recorded was 435 cases for manic-depressive reaction. This condition comprised 33 per cent of the total readmissions for the year. Schizophrenia was the second most common diagnosis with 323 cases or 24 per cent of the total. There was a big drop down to the third and fourth highest totals recorded in readmissions, neurotic-depressive reaction with 179 cases, and alcoholism 73 cases.

ALL ADMISSIONS: Etiology.—Mental illness is classified in two ways: by diagnosis according to the 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 over half of the cases.

CausePrincipalAssociated
Disease or Injury
  Syphilis101
  Other infectious disease113
  Malignant disease 3
  Neoplasms of brain3 
  Allergic, endocrine, metabolic and nutritional diseases97
  Vascular lesions of nervous system68
  Other diseases of nervous system and sense organs3227
  Epilepsy706
  Heart disease18
  Arteriosclerosis and hypertension8631
  Congenital malformation92
  Trauma104
  Adverse therapeutic reaction134
  Other specified disease2113
  Illness, nature unspecified1011
Hereditary
  Hereditary145
Other natal or pre-natal influences
  Congenital23418
  Other141
Factors in structure of personality
  Constitutional22666
  Other4713
Emotional stress or trauma
  Marital discord5833
  Other stress in family relations1315
  Loneliness, loss of spouse, parent or friend1712
  Other and unspecified2023
Critical periods in life history
  Pubescence or adolescence132
  Pregnancy or the puerperium544
  Climacteric or menopause512
  Old age54712
  Childhood12
Alcohol and drug addiction
  Alcohol27013
  Other111
Other factors—
  Environment, difficulty in adjustment to surroundings810
  Subnormal intelligence4115
  Other defined factors1517
      Total cases with etiology stated1,945 
      Total cases with no etiology stated1,796 
      Total admission3,741 

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 1958 represent one admission for every 944 persons of the mean population of New Zealand. In males the rate is one admission to every 1,018 males, and in females one to every 879 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 1955-58 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.TM.F.T.M.F.T.M.F.T.M.F.T.
1935-3948146294359.558.959.2115972124.212.413.381.178.880.019.217.418.3
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
1955-586641481,41259.868.064.045653499041.048.544.769.067.768.340.741.641.2

The first-admission rate increased from a rate of 72.2 per 100,000 of population in 1935 to 112.5 in 1956. Since that time the rate has decreased to 111.1 in 1957, and has fallen again in 1958 to 101.0.

The first-admission rate for voluntary boarders has risen considerably during the period. In 1935 it was 13.9 per 100,000. In 1958 it was 46.7 per 100,000. On the other hand, the rate for patient first admissions was at its highest in 1954, 71.4 per 100,000. It declined to 59.2 per 100,000 in 1958.

The percentage of first admissions in total admissions has dropped from 81.7 per cent in 1935 to 64.7 per cent in 1958. This has probably been caused by a variety of reasons, one of which undoubtedly is the result of the increased proportion of voluntary admissions. As stated above, a voluntary boarder can discharge himself and in some cases when this was premature it is necessary to re-enter hospital at some later date.

The percentage of voluntary admissions in first admissions has increased from 19.2 per cent in 1935 to 44.1 per cent in 1958. This is not a New Zealand phenomenon alone. Similar and even greater increases in the proportion of voluntary admissions have occurred recently in many countries.

FIRST ADMISSIONS: Age and Sex.—This table shows the first admissions for 1958 by age and sex, the percentage of cases in age-groups, and the rates per 100,000 of persons in that age-group.

Age it, YearsNumbersPercentage of TotalRates Per 100,000 of Mean Population
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Under 1066491155.93.84.75.74.35.0
10 and under 2095711668.45.56.98.36.27.3
20 and under 3016317734014.413.714.014.215.614.9
30 and under 4018322240516.217.216.715.919.517.7
40 and under 5016517333814.613.414.014.315.214.8
50 and under 6014015129112.411.712.012.213.312.7
60 and under 701011602618.912.410.88.814.111.4
70 and under 8013317731011.813.712.811.615.613.6
80 and over841121967.48.68.17.39.98.6
    Totals1,1301,2922,422100.0100.0100.098.3113.7106.0

A quarter of all first admissions (25.6 per cent) were aged under 30 years, 42.7 per cent were aged between 30 and 60 years, while 31.7 per cent were aged 60 years and over.

The age-structure differs considerably as between patients and voluntary boarders. Nearly a third of patients were aged seventy years and over, while only 6 per cent of voluntary boarders were in this age bracket. Six out of every ten voluntary admissions were 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 1956 to 1958 by disease categories.

DiagnosisNumbersRates Per Million of Mean Population
195619571958195619571958
Psychoses
  Syphilis of central nervous system835412
  Schizophrenia425416391195186171
  Manic-depressive reaction402431414184193181
  Involutional melancholia544327251912
  Paranoia and paranoid states304032141814
  Senile psychosis515489454236219199
  Presenile psychosis3913146
  Psychosis with cerebral arteriosclerosis936256432824
  Alcoholic psychosis515834232615
  Psychosis of other demonstrable etiology374332181914
  Puerperal psychosis171018848
  Other and unspecified psychoses42213321914
Psychoneuroses
  Anxiety reaction126104133584758
  Hysterical reaction534572242031
  Neurotic-depressive reaction246296280113133122
  Other and unspecified psychoneurotic disorders23282111139
Disorders of character, behaviour, and intelligence
  Pathological and immature personality303860141726
  Alcoholism756563342928
  Mental deficiency18322424584100107
  Other and unspecified character, behaviour, and intelligence disorders7713336
Other conditions
  Epilepsy23331911158
  Other defined conditions11143561
  Observation234112
        Totals2,4562,4822,4221,1251,1121,060

In 1958 psychotic conditions accounted for 62 per cent of all first admissions. In this group the degenerative brain conditions (senile and presenile psychosis and psychosis with cerebral arteriosclerosis) accounted for 523 cases, or 22 per cent of all first admissions. In second and third places come two functional psychoses, manic-depressive reaction and schizophrenia. 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 864 cases or 36 per cent of all first admissions. Other substantial contributors to the grand total were neurotic-depressive reaction 280 cases with a proportion of 12 per cent, and mental deficiency 245 cases with a proportion of 10 per cent.

For alcoholism there were 97 new cases admitted where alcoholism was the principal diagnosis. This figure does not include cases where alcoholism has aggravated 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 1958. The figures of discharges on probation do not include short periods of leave granted for holiday or recreational purposes.

CategoryDischargesDeathsNot CommittedTotal Leavers
RecoveredImprovedUnimprovedOn Probation
M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.
Patients1621933552317402214363475989453433617046512779621,1952,157
Voluntary boarders45148994021118439548449278275353171330......8051,0051,810
    Total persons6136821,29523420143570581284258731,2983603747346512771,7672,2003,967

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 UnrecoveredDeath on Probation or Escape
RecoveredImprovedUnimproved
M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.
Patients156279435365692305282628273562
Voluntary boarders32146178256691120211..1..44
    Total persons188425613611221833172103729273966

Included as discharges from probation as unrecovered are 59 patients and two 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 940 resident voluntary boarders left hospital as recovered. In addition, 178 voluntary boarders out on probation were discharged recovered. As a proportion of the 1,863 voluntary admissions in 1958 the figure is 60.0 per cent recovered.

The number of patients discharged from hospital as recovered was 355 in 1958. The number of non-resident cases discharged as recovered was 435, making a total of 790 cases restored to mental health. The percentage of recovereds to patients admitted is thus 42.1. The figure of 704 deaths of patients (that is, not including voluntary boarders) 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 condition 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, and the number of voluntary boarders who left at their own wish not being recovered are, also included. It was shown in the previous table that nearly 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 nor 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 Recovered
Schizophrenia85123247277
Manic-depressive reaction94143932479
Involutional melancholia5223206
Paranoia and paranoid states5714319
Senile psychosis524238710
Psychosis with cerebral arteriosclerosis652125
Anxiety reaction191932853
Neurotic-depressive reaction4742579998
Pathological and immature personality81211714
Mental deficiency3093937
Alcoholism—all forms190811766
Epilepsy—all forms8552618

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 3,967 persons who left or died in hospital during 1958 was 430,854 weeks.

The average length of stay for all leavers was 109 weeks or over two years; for males the figure was 127 weeks and for females it was 94 weeks.

The average length of stay in hospital of voluntary boarders was 15 weeks. The equivalent figure for patients was much higher at 3.6 years for both sexes. For male patients the average stay was 4.3 years and for females 3.1 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 and chance of recovery. Of the 734 deaths in hospital, 446 were of persons being treated for senile and arteriosclerotic psychosis, 96 were schizophrenics, while a further 77 cases were mental deficients and epileptics. For outright discharges the average stay was 36 weeks for patients, 11 weeks for voluntary boarders; for discharges on probation the respective figures were 85 weeks for patients, boarders 17 weeks; for deaths, patients 438 weeks and boarders 157 weeks. The average length of time spent in hospital varied considerably as between diagnoses. The average length of stay for certain principal diseases confined to discharges only, i.e., excluding deaths and escapees was as follows; schizophrenia 61 weeks, manic-depressive reaction 22 weeks, involutional melancholia 65 weeks, paranoia and paranoid states 21 weeks, senile psychosis 30 weeks, psychosis with cerebral arteriosclerosis 21 weeks, anxiety reaction 9 weeks, hysterical reaction 11 weeks, neurotic-depressive reaction 11 weeks, alcoholism with psychosis 25 weeks, alcoholism without psychosis 12 weeks. For mental deficiency discharges the average stay was very high at 207 weeks.

Diseases of the circulatory and respiratory systems were the principal causes of death among mental hospital inmates. The figures for the principal groups of causes for the year 1958 were as follows.

CauseNumber
Tuberculosis9
Syphilis7
Other infectious and parasitic diseases6
Cancer, malignant disease26
Allergic, endocrine system, metabolic and nutritional diseases10
Diseases of blood2
Psychoses, and mental deficiency7
Alcoholism1
Cerebral vascular lesions64
Epilepsy10
Other diseases of nervous system19
Arteriosclerotic heart disease including coronary heart disease98
Other myocardial degeneration229
Hypertension with heart disease19
Other and unspecified heart disease35
Arteriosclerosis and hypertension without mention of heart39
Other circulatory disease6
Diseases of the respiratory system101
Diseases of the digestive system11
Diseases of the genito-urinary system9
Diseases of the skin5
Synovitis1
Congenital malformations4
Senility without mention of psychosis and ill-defined conditions2
Accidental injuries10
Suicide2
Assault1
Late effect of war injury1
        Total734

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
19544362105170148318
19554958107171171342
19565059109172161333
19576885153183176359
19587762139198168366

Confined to first admissions and combining the figures for both patients and voluntary boarders, 106 Maoris were admitted for the first time in 1958. This gives an incidence rate for mental illness of 70 per 100,000 of the mean Maori population as against 100 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 (53) and mental deficiency (34) make up a very high proportion of the total of 139 Maori admissions. The only other significant totals in 1958 were 23 cases of manic-depressive reaction.

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.
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
19583.366.82056095.9903.270.270344122
19593.583.237664102.9513.479.622355173

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 £708,828 in 1956-57, £841,609 in 1957-58, and £783,548 in 1958-59.

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 began in 1957, and was fully effective for all teachers by 1959. Under the new scheme appointments are 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.

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, and this was extended further by the establishment of a branch in Christchurch early in 1960.

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.

COMMISSION ON EDUCATION IN NEW ZEALAND.—On 15 February 1960, the Minister of Education announced that Sir George Currie, Vice-Chancellor of the University of New Zealand had accepted the Government's invitation to serve as Chairman, on a broadly representative eleven-member commission on New Zealand Education.

The terms of reference of the commission, which may extend its deliberations over two years, are as follows:—

  1. To consider the publicly-controlled system of primary, post-primary, and technical education in relation to the present and future needs of the Dominion, and, within the broad scope of this reference, to inquire into:

    1. The aims and purposes of the curricula, and the methods and internal school organization used to achieve them:

    2. The organization and scope of the school system, and the relationships between the post-primary schools and the university and other forms of further education:

    3. The status of the teaching profession and its conditions of service, the recruitment and training of teachers (including in-service training), the staffing of schools and their physical facilities:

    4. The distribution of public expenditure on education among the various objectives of educational policy:

    5. The place of private contributions towards expenditure on education, whether by way of fees, subsidized contributions, gifts, or endowments:

    6. The functions, powers, responsibilities, and inter-relationships of the Department of Education, education boards, school committees, post-primary school councils, and technical school boards, and the need, if any, for changes in the geographical areas of responsibility, the functions, constitutions, or powers of such bodies:

    7. The desirability and practicability of greater use being made of school buildings and school facilities generally for community purposes:

    8. The question of religious teaching in State schools

    9. Child welfare and delinquency so far as they have a bearing on the education system.

  2. To consider also the question of financial assistance to private schools.

  3. To report on these matters, and to make recommendations.

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. A Higher School Certificate may also be awarded after a four years' course to pupils who have obtained a credit pass or better in the Entrance Scholarship Examination of the University of New Zealand.

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 boiler-making and panelbeating, 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, signwriting, 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, and accountancy.

Apprentice classes are well established, as is the system of examinations provided for these students by the Trades Certification Board. In recent years there has developed a tendency towards regional consolidation and the substitution of “block” courses for half-day-a-week attendance even though apprentices live within easy reach of a school. An important part in apprentice education is played by the Technical Correspondence School for about two in every five apprentices are on its roll. Its function is threefold: it fills the geographical gaps left by the other schools; it provides, on a national basis, technical education for some of the smaller trades and occupations; and it produces technical text books.

The development of courses for engineering technicians continues, and inquiries into the needs of other occupational groups for similar courses are in progress.

The Central Technical College was split into a Technical High School and a senior technical school or polytechnic - the first of its kind in New Zealand - from the beginning of 1960. The senior school, which specializes in block courses for apprentices and technicians, also includes the School of Pharmacy.

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. In 1960 there was established a new branch of the Victoria University of Wellington at Palmerston North, and a branch of the University of Auckland at Hamilton.

The seven teachers' training colleges, although they work in conjunction with the four universities, are organically related to them only through their Boards of Studies. The seventh teachers' training college was opened at Hamilton at the beginning of 1960. 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 schools provided for their primary education. There are also a few private church 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 a number of full post-primary schools where boarding facilities are available. Of these, eleven are private church schools operated on a single-sex basis and providing full post-primary courses. 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 70 special classes attached to ordinary schools throughout the country and in two residential special schools. For children who are extremely backward mentally there are 11 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. At the beginning of 1958 a national diagnostic and guidance service was established in association with the two schools for the deaf to give assistance to deaf babies and infants and their parents; and a pre-school deaf unit was set up at an ordinary kindergarten. Children with speech defects attend regularly one of 57 speech clinics. In five of the largest cities there are six remedial clinics to assist children suffering from serious educational retardation (mainly in reading). Two advisers in reading have been appointed to assist teachers in ordinary schools in coping with backward readers. 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 44 classes of this type. There are two schools for physically handicapped or delicate children. 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 eight centres. It comprises fourteen psychologists, all of whom are available for the psychological examining and educational testing of children with special problems, and six area organizers of special classes. The Department conducts special classes in four 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 191) 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 regular 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.

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 Universities, students of both sexes attend together. At the post-primary level all district high schools and technical colleges have both boys and girls on their rolls, whilst just over one-third 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 1958 with that over twenty years eariler shows that the ratio of single-sex to co-educational schools has changed from 51 to 49 in 1935 to 40 to 60 in 1958.

* Except for Maori “Government pupils” in the denominational secondary schools.

SCHOLARS AND STUDENTS.—The numbers of scholars and students receiving instruction in the educational institutions of New Zealand are 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 Institution19541955195619571958

* Pupils on roll at end of year.

† There were also 1,503 students taking part-time courses.

‡ Part-time students, excluding 3,580 part-time students in 1958 (3,031 in 1957), enrolled with the Technical Correspondence School.

§ Includes 714 students taking short courses at the agricultural colleges in 1958.

|| Students holding post-primary teacher studentships (897 in 1958) and bursaries (35 in 1958) are included under universities.

Preschool Education*
Kindergartens (morning and afternoon sessions)10,64011,59612,81013,36813,928
Primary Education
Public (State) schools314,741321,405335,564348,940364,181
Intermediate schools and departments
Maori schools14,08613,98813,99613,28414,135
Maori private church schools834856872775840
Registered private primary schools43,40645,10747,56248,86950,223
Lower departments of secondary schools115112108105108
Correspondence classes (primary)1,3871,2261,2531,1761,087
Chatham Islands schools88105111111112
        Totals, primary374,657382,799399,466413,260430,686
Post-primary Education
Secondary schools30,20335,05937,17041,96346,364
Combined schools4,6074,9385,0905,1785,109
Secondary departments of district high schools8,3648,8768,6188,8238,720
Technical high schools18,26818,29219,06917,49617,406
Maori secondary (boarding) schools860885833834755
Registered private and endowed secondary schools12,51413,66614,55214,90415,802
Correspondence classes (secondary)431452442435439
        Totals, post-primary75,24782,16885,77489,63394,595
Technical Classes (excluding Technical High Schools and Technical Day Schools)
Conducted by Education, Secondary School, or High School Boards13,07813,21014,75014,89817,008
Conducted by Technical School Boards22,07425,20622,76423,71926,685
        Totals, technical35,15238,41637,51438,61743,693
Higher Education
Universities9,4019,4879,66910,19711,155
Canterbury and Massey Agricultural Colleges1,1631,3621,3601,4971,510§
Students exempt from lectures946893882912930
Teachers' training colleges2,7442,7412,9233,2753,504||
        Totals, higher14,25414,48314,83415,88117,099
        Totals, scholars and students509,950529,462550,398570,759600,001

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 1948 to 1958 the total increase in enrolments was 180,000 full-time pupils, and the number of part-time students at day and night classes increased by 21,000 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 60,000 in 1958. The number of pupils and students at all educational institutions increased from 192 per 1,000 population in 1936 to 263 per 1,000 population in 1958. A second factor, accentuating the rate of expansion in the post-primary 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 increased by 125 per cent in the ten years 1948 to 1958.

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 three 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 a more rapid rate of enrolment increases expected between 1963 and 1968. Projections of school and university enrolment as far as 1972 were published in a statement by the Minister of Education (E. 2,1959), which sets out in some detail the assumptions on which the projections were based.

The development since 1930 of the school enrolments is illustrated by the diagram below, which gives for the years 1959 to 1972 estimates based on the most recently revised enrolment projects.

The changes in total enrolment were accompanied by changes in the yearly number of school-leavers entering occupations. The first change was that less and less pupils leaving primary or intermediate school went directly to work, and more and more went on to some form of post-primary education; the latter proportion was 60 per cent in 1936, it rose to over 80 per cent in 1945, and has now reached over 95 per cent. The educational implications of this change for the kind of post-primary education, that now must cater for almost the whole of the country's child population, are obvious. The second change, which is now gradually taking effect, is that more and more of the pupils leaving post-primary school do so from higher forms than formerly. Finally, the total numbers of school leavers, have been increasing from an estimated 26,000 in 1951 to 34,000 in 1958; in 1962 more than 40,000 pupils are expected to leave school, and some 50,000 in 1969.

The number of part-time students attending day or evening classes also showed a steady increase in recent years. The total increase between 1948 and 1958 was 21,100, or 90 per cent, and is largely due to the development of apprentice classes and technical courses previously mentioned.

The enrolment at Universities which reached a total of 13,595 in 1958 has more than doubled since 1939. From about 1956 onwards the age groups born after the depression years began to reach the institutions of higher education, and these had from then on 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 to Division A 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 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, 3,549 in 1956, 4,055 in 1957, and 4,436 in 1958. A seventh teachers' training college was opened at Hamilton at the beginning of 1960.

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.

Examination19541955195619571958
Teachers' Certificate217273305315331
School Certificate13,30814,96117,33519,14919,179
Special Bursaries343296   
London University96677
Handicraft Teachers' Certificate4740535167
Homecraft Teachers' Certificate5855577474
Technological8977898793
City and Guilds of London170162112112127
Samoan Public Service10673129158157
Engineers' and Surveyors' Assistants7655665351
          Totals14,42315,99818,15220,00620,086
Trades Certification4,2035,2626,1526,0846,233

The University of New Zealand conducted examinations in 1958 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 13,009 entrants for the degree and professional examinations in 1958, compared with 11,701 in 1957 and 9,786 in 1956.

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 of candidates for the examination in that year reduced to 543. Comparative figures for the last five years of accredited candidates and of those entering for the examination are given in the following table.

CandidatesAccreditedBy Examination
19542,4521,943
19552,5222,116
19562,8902,485
19573,6052,983
19584,1003,360

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.

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, 1958, and 1959. £

Expenditure Year Ended 31 March
195719581959
Expenditure from vote, Education—
General2,444,6172,609,5053,217,134
Buildings, land, furniture, and equipment9,242,3769,514,0109,300,758
Primary education9,934,49210,779,39811,442,184
Post-primary education4,813,8975,390,3005,787,182
Higher education1,843,7441,975,4912,066,639
Training of teachers1,517,1661,733,7212,004,593
Maori schools486,280494,608494,139
Education of the blind70,06299,42774,252
Special schools149,371156,865171,159
Child welfare568,497709,202742,796
Miscellaneous grants333,109316,518365,189
National Library Service232,654256,967262,511
            Totals, vote Education31,636,26534,036,01235,928,536

The foregoing figures do not include revenue received by Universities 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 Government expenditure on education during the period 1948-49 to 1958-59.

Year Ended 31 MarchExpenditure from Public FundsExpenditure as Percentage of National IncomeExpenditure Per Head of Mean Population
* Provisional.
 £(000)Per Cent£s.
194911,0232.660
195013,7452.876
195115,0302.5717
195217,6492.890
195321,3383.21012
195424,0473.21113
195525,4093.1121
195628,5193.4135
195731,6363.6148
195834,0363.7153
195935,9293.7*152

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
1953662234
1954526252
1955548259
1956494367
1957593360
1958503308

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 planning principles are now being developed further in two-storied schools.

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 years 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, or at nursery play centres controlled by Nursery Play Centre Associations.

Since 1942 the Government has made grants available to kindergarten students in training, and in 1949 accepted responsibility for the cost of sites and buildings for training centres. The salaries of kindergarten teachers and full-time training centre staff have, since 1948, been paid by the Department of Education, and grants are available towards the fees of part-time lecturers in the training centres. Subsidies of £2 for £1 on voluntary contributions raised for the purchase of land, buildings, and initial equipment are paid by the Government.

Nursery Play Centre Associations receive from the Government a small annual maintenance grant in respect of nursery play centres which meet a required standard of equipment, and a small establishment grant towards initial costs is paid to new centres.

At the end of 1958 there were 13,928 children enrolled at 192 free kindergartens (7,401 for morning sessions and 6,527 for those held in the afternoon). In 1957 the corresponding figures were 13,343 and 189 respectively. In 1958 there were 117 recognized nursery play centres for 3,816 children.

PRIMARY SCHOOLS.—The primary-school system at the end of 1958 consisted of 1,998 public schools (including district high schools and intermediate schools or departments), 157 Maori schools, 324 registered private primary schools (which included 12 Maori private church schools), and 3 lower departments of secondary schools. There were also 192 free kindergarten schools.

Lower departments of secondary schools may be run for pupils who have not passed Form II, provided that no part of the cost of instruction or of the maintenance of the department is met from public moneys. At the end of 1958 the total number of pupils in the three departments of secondary schools 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 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
19541,913314,741301,862278,81392.3
19551,938321,405309,935284,98291.9
19561,951335,433322,139298,10092.5
19571,964348,940334,357311,52393.2
19581,998364,181346,654323,64893.3

While the number of schools has not increased greatly, mainly owing to the consolidation of small rural schools, the total rolls have increased by 105,000 since 1950. The changes which have taken place in the size of schools may be seen from the following table.

Number of Public Schools19481958Increase (+) or Decrease (-)
Roll 70 and under1,232922−310
Roll 71 to 350476684+208
Roll 351 and over195392+197
          Totals1,9031,998+95

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 1959 was 69, allocated as follows: Auckland, 15; South Auckland, 10; Hawke's Bay, 5; Taranaki, 3; Wanganui, 5; Wellington, 10; Nelson, 2; Canterbury, 11; Otago, 5; Southland, 3. These figures exclude one Chief Inspector and two 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 Years1956: Total Pupils1957: Total Pupils1958Percentage of Total Pupils
BoysGirlsTotal Pupils195619571958
5 and under 639,70341,39721,47220,35641,82812.512.512.2
6 and under 741,19941,13022,12220,60842,73013.012.412.5
7 and under 840,70541,56321,41320,13941,55212.812.612.1
8 and under 941,32840,68521,35420,20141,55513.012.312.1
9 and under 1041,02241,38821,15719,91041,06712.912.512.0
10 and under 1134,68541,50421,30520,12741,43210.912.512.1
11 and under 1232,65334,31620,88320,19041,07310.310.412.0
12 and under 1329,53631,59317,26516,09033,3559.39.59.8
13 and under 1412,79614,0608,5526,16714,7194.04.24.3
14 and under 153,5913,1431,7761,0022,7781.21.00.8
15 and under 16335319135892240.10.10.1
16 and under 175069242347......
    Totals317,603331,167177,458164,902342,360100.0100.0100.0

In 1958 a total of 21,978 pupils (11,253 boys and 10,725 girls) left public primary schools as compared with 21,174 (10,932 boys and 10,242 girls) in 1957. Of those leaving in 1958, 21,250, or 96.1 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 1958,96.7 per cent (boys, 96.2 per cent, girls 97.1 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 1958, 98 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 1958, classified according to roll numbers. The number of intermediate schools and departments is also shown.

Roll NumbersEducation DistrictsTotal Number of Schools, September 1958
AucklandSouth AucklandTaranakiWanganuiHawke's BayWellingtonNelsonCanterburyOtagoSouthland
1- 8.........51..118
9- 2423161746403714522623294
25- 301211612119530109115
31- 355524713111847
36- 7061744132353913724546458
71- 8012103248242350
81-11031471216101610251212191
111-120352155..53231
121-1501523511119..118598
151-160582316143..33
161-19016206285366880
191-20071211 133120
201-2308125324134143
231-24044..121..11216
241-2701352245324242
271-28022..2..112..111
281-310671319132134
311-320211..........1..5
321-350441217253130
351-360111122..1....9
361-390463274..42234
391-400521....2112..14
401-430721245273..33
431-440432..112.. 114
441-470831115 46130
471-4801 1 221 2110
481-51035 136263..29
511-520831  2 1 ..15
521-550521334153229
551-560 31....1....1..6
561-59096..117..4..129
591-60022..1..1........6
601-63072..322..2 119
631-6401....1......11..4
641-67052....12..6 117
671-6802..................2
681-71044..2..1..4....15
711-7203....1......1....5
721-750..1 1 2 3....7
751-760.................... 
761-7901........1 2  4
791-800..........  1  1
801-8301..................1
831-840............1.. 1..
841-870......................
951-960......................
961-990..1................1
Normal schools2....1..1..11 6
Intermediate schools and departments1793336144151
      Totals329312124167173224712981631371,998

Primary Schools for Maoris.—Almost 70 per cent of the Maori children in New Zealand are educated in the public schools. At the end of 1958 there were 26,404 attending public schools out of a total of 38,447 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 157 Maori schools at the end of 1958 was 13,135 (including 1,092 European children), while the total roll number of the thirteen Maori private church schools was 840.

The following table gives the principal statistics of Maori 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 (4 males and 95 females in 1958).
195416412,3051,24911,42588.9247280
195516612,3511,24711,33388.3222293
195616312,4221,18411,13188.7251292
195716011,9901,09410,93088.4251294
195815712,0431,09211,37689.1239309

Five Inspectors of Schools attached to the Department of Education are engaged in the inspection of Maori schools, private church schools, and secondary schools for Maoris.

Intermediate Schools.—See page 175 for description. Pupils on the rolls of the 41 intermediate schools and 10 intermediate departments at the end of 1958 numbered 26,346. The progress that is being made with the establishment of this type of school may be gauged from the fact that 16 years earlier (1942) the number of pupils was 6,817. Of all children in Form I and II of public (primary and intermediate) schools at the end of 1958, 35 per cent were enrolled at the intermediate schools. The average attendance during the year was 24,939. The ages of pupils on the roll at 1 July of each of the last three years were as follows.

Age, in Years195619571958
BoysGirlsTotalBoysGirlsTotalBoysGirlsTotal
Under 11103147250100189289173241414
11 and under 122,8073,1845,9913,3183,5146,8324,1474,6858,832
12 and under 134,4094,0668,4755,1254,90610,0315,8515,39911,250
13 and under 142,0861,4873,5732,5431,8154,3582,8642,0914,955
14 and under 15614367981578337915494286780
15 and under 167645121623496482371
16 and over691510717325
        Totals10,1019,30519,40611,73610,80222,53813,58012,72726,307

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 private church schools which are also shown separately in the summary table on page 178.

YearNumber of SchoolsRoll at End of YearAverage Yearly AttendanceTeachers
BoysGirlsTotalMalesFemalesTotal
195431721,70622,53444,24039,2641761,0071,183
195531922,56723,39645,96340,3161891,0561,245
195631823,81724,61748,43443,0351611,0701,231
195732324,43825,20649,64444,8831871,1511,338
195832425,07425,98951,06347,0321801,1361,316

The majority of the schools included in the preceding table are Roman Catholic Church schools, of which there were 262 at the end of 1958 with 44,546 pupils (21,654 boys and 22,892 girls) and 1,056 teachers (93 males and 963 females). The average attendance was 41,052. The remaining private schools comprised 48 church schools of other denominations with 198 teachers and 5,366 pupils, and 14 undenominational schools with 62 teachers and 1,151 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 184). 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 Director 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 their 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.
1954527107341086296
1955597114331289314
1956667113361191324
1957807113331191335
1958897111341193345

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 1959) 39 Inspectors, one Chief Inspector of Post-primary Schools, and one Superintendent and one Assistant 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 SchoolsPrivate Secondary SchoolsCorrespondence SchoolTotal
195430,2034,6078,36418,26886012,51443175,247
195535,0594,9358,87618,29288513,66645282,165
195637,1705,0908,61819,06983214,55344285,774
195741,9635,1788,82317,49683414,90443589,633
195846,3645,1098,72017,40675515,80243994,595

The foregoing table does not include part-time students attending technical classes (44,228 in July 1958), students receiving part-time tuition from the Correspondence School (2,291 in July 1958), and students receiving part-time instruction from the Technical Correspondence School (3,580 in July 1958).

The numbers of each sex attending post-primary schools at the end of 1958 were: State secondary schools, 23,716 boys and 22,648 girls; combined schools, 2,855 and 2,254; secondary departments of district high schools, 4,217 and 4,503; technical schools, 10,187 and 7,219; Maori secondary schools, 336 and 419; endowed and registered private secondary schools, 7,704 and 8,098; and full-time at Correspondence School, 167 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 later.)

Course19541955195619571958
Industrial3,4284,4934,7456,0306,996
Commercial and general28,44331,55033,68437,27140,776
Domestic3,3313,9864,0844,4214,493
Agricultural1,3261,5791,6421,7911,743
Fine arts124179277183146
          Totals36,65241,78744,43249,69654,154

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-four technical schools in 1958. The following table shows the number of pupils taking the different courses available (as at 1 July in each of the last five years).

Course19541955195619571958
Industrial6,6176,6297,0126,3245,867
Commercial and general9,1729,2369,8038,9559,421
Domestic2,9582,9282,9382,5322,384
Agricultural1,0681,1931,3101,2231,121
Fine arts212158135197191
          Totals20,02720,14421,19819,23118,984

Technical Classes.—The number of centres at which technical classes for part-time day and evening students are provided was 157 in 1958.

The number of individual students including apprentices attending day classes in 1958 was—

Classes conducted by Education or High School Boards17,543
Classes conducted by Technical School Boards or by Managers26,685

Of the total of 44,228 students, 30,038 (15,977 males and 14,061 females) held free places.

The above figures do not include 5,083 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 1958 was 3,580. There were 60 full-time teachers, besides the Principal, on the staff at the end of the year 1958.

Probable Destination of Public Post-primary Pupils.—An indication of the vocations intended to be followed by pupils leaving public post-primary schools during 1958 is contained in the next table. Of the totals, 7.4 per cent of boys and 3.5 per cent of girls intended to proceed to full-time University studies, while a further 2.1 per cent of boys and 7.8 per cent of girls stated their intention of entering the teaching profession. Clerical occupations (including typing) claimed 12.7 per cent of boys and 32.1 per cent of girls; shops and warehouses, 7.4 per cent and 14.0 per cent; manual trades, 27.3 per cent and 1.9 per cent; farming, 19.9 per cent and 1.0 per cent; 0.4 per cent and 11.4 per cent intended to stay at home; various other occupations claimed 16.1 per cent and 22.7 per cent while 6.7 per cent and 5.6 per cent of boys and girls respectively did not know their future vocations at the time.

OccupationTotalsMaoris Included in Totals
BoysGirlsBoysGirls
University97845293
Teacher or teacher training college2781,027528
Professional cadetships4565472
Health services771,3991137
Office work—
  (a) Government or local authority6939253066
  (b) Industry and commerce9893,2101561
Shop and warehouse assistants9791,8081367
Skilled trades—
  (a) Government or local authority45927474
  (b) With private employers3,1662241032
Farming (including those engaged at their own homes)2,65112730722
Clothing workers24590336
Factory operatives3613498059
Domestic work and at home591,46615449
Armed forces (not included elsewhere)29811394
Other occupations92849519944
Not known895728159159
        Totals13,29112,8921,0321,143

Duration of Stay at Public Post-primary School.—The following table gives particulars of pupils who left public post-primary schools in 1958, classified according to years of attendance. The approximate average length of stay at the various types of school was: secondary school, 3 years 1 month; combined schools, 3 years 2 months; technical high and day schools, 2 years 9 months; secondary departments of district high schools, 2 years 6 months; all post-primary schools, 2 years 11 months.

Year of AttendanceSecondary SchoolsCombined SchoolsTechnical High and Day SchoolsDistrict High SchoolsAll Schools
NumberPer CentNumberPer CentNumberPer CentNumberPer CentNumberPer Cent
First1,0617.37965.9377911.2045314.152.3899.10
Second3,95027.4342426.192,78139.991,23738.538,39232.10
Third3,98227.6546528.722,10330.2498230.597,53228.80
Fourth3,47224.1137723.2986312.4146014.335,17219.70
Fifth1,78212.3823514.513885.57762.372,4819.50
Sixth and over1531.06221.36410.5910.032170.80
    Totals14,400100.001,619100.006,955100.003,209100.0026,183100.00

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. However, in 1948 the proportion not proceeding beyond the second year was approximately 50 per cent.

Secondary Schools for Maoris.—At the end of 1958, 755 Maori pupils were receiving post-primary education at the 11 Maori secondary schools, 162 of the total being Government scholarship holders. In addition, there were 41 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 1958.

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 1958 the total callers at the centres numbered 24,395. In addition, 13,062 pupils were interviewed individually in post-primary schools. Group interviews were carried out with 694 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 1,272 visits to schools, addresses at 222 meetings, and 737 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 1958, despite a considerable increase in the school population in the intervening period, was 1,947. 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 18.8 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 1958-59 was £1,636,377, as compared with £1,558,317 in 1957-58.

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.

 1956-571957-581958-59
 £££
Public primary and intermediate7,8787,4747,372
Private primary8,7279,8348,438
State secondary74,52778,82770,715
Maori4,3737,1107,517
Private secondary51,76851,40450,874
          Totals147,273154,649144,916

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 1958, 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 schools316,02459,490249
Intermediate schools and departments26,3362,08313
Secondary departments of district high schools9,5324,91690
Secondary schools48,78311,5401,613
Combined schools5,371974586
Technical schools18,9846,321384
Maori schools13,1354,37054
Chatham Islands schools112762
Private primary schools48,3103,328268
Private post-primary schools16,9841,6621,875
          Totals, 1958503,57194,7605,134
          Totals, 1957487,27289,0135,180
          Totals, 1956468,77886,4315,455

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 1958 there were 3,059 pupils on the roll of the Correspondence School, 1,087 being in the primary division and 469 full-time and 1,503 part-time students in the post-primary division. The staff of the school consists of the headmaster, deputy head teacher, 76 post-primary and 39 primary assistant teachers.

Agricultural Clubs.—More particularly in rural schools, practical interest in agriculture has been stimulated by the widespread formation of boys' and girls' agricultural clubs. The pupils undertake projects in livestock rearing and crop growing which are adjudged annually on the club field day, usually held at the school or local centre.

The agricultural instructors and nature study specialists employed by the Education Boards play an important part in the formation of the clubs, and by giving technical advice do much to assure the successful completion of the various projects. The clubs receive active support from parents, teachers, and the farmers' organizations.

HEALTH SERVICES.—Information on the medical and dental inspection of school children and the dental-clinic system is given in Section 5A (Public Health) of this Year-Book.

Free Issue of Milk.—The milk-in-schools scheme, for the free issue of a half-pint daily ration of milk to children, commenced on 1 March 1937.

TEACHING PROFESSION: Training of Teachers.—In 1958 there were six teachers' training colleges (at Auckland, Ardmore, Palmerston North, Wellington, Christchurch, and Dunedin) available to students who desired to enter the teaching profession, and at the end of 1958 there were 4,436 students in training. This number includes 897 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 2,850 “Division A” students undertaking training for primary teaching and 233 “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 1954-1958.

YearDivision ADivision CTotals
MalesFemalesMalesFemales
19546721,56190762,399
19556751,58593922,445
19567001,703911162,610
19577001,8961051272,828
19587312,1191011323,083

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 162 homecraft trainees in the Auckland and Dunedin Training Colleges in 1958. A further 44 trainees were being trained in 1958 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. The last of these courses opened in September 1959. In December 1959 the number of trainees taking the final special one-year course at two of the training colleges was 120. 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 21 in 1958.

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.

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. As a result, the Post-primary Teachers' Bursaries and the Physical Education Bursaries, although still awarded in some cases, have been largely 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 does 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 1958, 578 Post-primary Teacher Studentships were awarded and 533 were taken up.

There were 35 holders of Post-primary Teachers' Bursaries and 897 holders of Post-primary Teacher Studentships attending University institutions in 1958.

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 1958, together with totals for 1957, 1956, 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—
  Auckland3132753609997851972,20083.3
  South Auckland30 264639672744981,56588.3
  Taranaki23 951101197144447596.3
  Wanganui584992155282325969199.1
  Hawke's Bay55610931822722267716105.7
  Wellington4961549340593601251,33682.3
  Nelson20249 801101225298117.5
  Canterbury8961965416627661361,54199.1
  Otago36211752122734051736122.4
  Southland366931121153940459129.5
Intermediate schools and departments  41 4372721013773171.2
    Totals, 1958427351,492353,0494,50339485510,79098.8
    Totals, 1957448421,429522,8764,39230469610,23997.6
    Totals, 1956467531,374422,7664,2563076159,88099.0
    Totals, 19406443639911478862,8902274386,58671.6

Between 1940 and 1958 the total number of teachers increased by 4,204, male teachers contributing 2,614 of this increase and female teachers 1,590. The average number of pupils per teacher (including probationary assistants) in all public primary schools was 30.0 in 1940, 32.2 in 1956, 32.3 in 1957, and 31.7 in 1958.

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
1954813614340115691294126813,074
1955950668377116687298137923,325
19561,032708352116758295140893,490
19571,206787369123715254141903,685
19581,334846358110730238147933,856

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 1958 being 2,569, an increase of 1,661 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 1958 (1,287) was 657 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 1958, 783 full-time teachers (381 male, 402 female) were employed in these schools.

FREE TEXT-BOOKS IN SCHOOLS.—Free text-books were supplied to all primary and post-primary pupils in both State and private schools from the beginning of 1959. Under the free textbooks scheme, the books remain the property of the school controlling authorities and are issued on loan to pupils. The school authorities have a wide discretion in their choice of suitable books.

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. Some 1,900 schools and 1,700 other educational organizations 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 School Publications Branch of 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, Cook, Niue, and Tokelau 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.

The Education Gazette is published by the Department twice a month. 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 ten times a year.

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 200).

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. This autonomy was extended further by the New Zealand University Amendment Act 1959. The amendment validates the practice of the Senate of delegating its powers in respect of the conduct of examinations to the governing bodies of its constituent institutions and the agricultural colleges.

In 1958 there were 11,915 students actually in attendance at the four Universities and the two agricultural colleges. Of these, 1,041 were graduates, 9,801 undergraduates, and 1,073 unmatriculated students. Of the unmatriculated students, 714 were taking short courses at the argicultural colleges. In addition, there were 966 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
19547,9272,63782312311,510
19558,2022,64777911411,742
19567,6542,54174713511,077
19578,2322,61777014211,761
19589,0152,90079517112,881

The following table gives particulars of students who were taking definite courses during 1958 and each of the preceding two years.

Course195619571958
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Agriculture—
  Degree9139410511061726178
  Diploma353836148594944604464
  Other102110395 9571 71
Architecture—
  Degree100410411841221256131
  Diploma552573713855257
  Other612637648055358
Arts1,9791,4453,4242,1201,5823,7022,3831,8164,199
Commerce1,318851,4031,659811,7401,821921,913
Dentistry168717516631691671168
Divinity35 3540 4048250
Education: Diploma122531751425820011135146
Engineering443 443492 492540 540
Fine Arts: Diploma691031727812520376126202
Home Science—
  Degree 1717 2020 2828
  Diploma 100100 108108 111111
Horticulture: Diploma1792618927161329
Journalism: Diploma14519112314
Law818328508763390989637933
Medical Science111125164 4
Medicine470435134754451948146527
Mining: Diploma3 319 195 5
Music6383146819217368112180
Physical Education: Diploma275582236083275279
Public Administration: Diploma10 108 88 8
Science (including Medical, etc., intermediate)1,0242201,2441,0402391,2791,2102811,491
Social Science: Diploma127191157689817
Other courses2054742115365366119
        Totals7,3852,3399,7248,1912,54710,7388,8642,84811,712

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 were 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 was 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 £100 (junior) and £80 (national) plus an additional allowance of £60 (junior) and £50 (national) 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 Shirtcliffe Scholarships, the Gordon Watson Scholarship, the Shell Post-graduate Scholarship, the Michael Hiatt Baker Scholarship, the Rutherford Scholarships, the Orford Studentship, and the National Research Scholarships. All these are tenable abroad. In addition there are post-graduate scholarships tenable in New Zealand. The University of New Zealand also awards Research Fellowships, the value of which is not fixed, but the normal grants have been approximately £300 per annum for a period of two years. Each University may also award one Research Scholarship, 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 1958 was 4,649.

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
1954124223,6155231,2585,542
1955126193,8995421,1695,755
1956117243,9005251,1845,750
1957126214,1615421,4226,272
1958139234,3585901,8756,985

Holders of rehabilitation bursaries numbered 34 in 1958, 40 in 1957, 47 in 1956, 85 in 1955, and 140 in 1954.

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 1958 was 649 and at Canterbury 891. These numbers include 169 students at Massey and 545 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 £230,826 in 1958-59. Various research projects at the colleges have been aided by expert assistance and grants from the Department of Scientific and Industrial Research.

COMMITTEE ON NEW ZEALAND UNIVERSITIES.—In 1959 the Committee on New Zealand Universities was set up by the Government to make recommendations on the long-term pattern of development of the university system in New Zealand. The members of the Committee were, Sir David Hughes Parry, Q.C., of the University of London (Chairman), Dean G. C. Andrew of the University of British Columbia, and Dr. R. W. Harman of Auckland. The Committee's report was completed in December 1959 and will provide a basis for the consideration of the future needs of the university system.

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. 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 1959 there were 164 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 Magistrate's 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.

 195719581959
On “complaints” (under the Child Welfare Act)432456473
For offences (including offences against Acts, regulations, or by-laws)3,0783,9103,904
                Totals3,5104,3664,377

On the basis of the total juvenile population of New Zealand at the time, the incidence of appearances for offences is shown as follows.

 195719581959
* Number of cases per 10,000 of the population aged seven to seventeen years.
Total Court appearances for offences3,0783,9103,904
Rate*708783
Court appearances for all more serious offences (excluding offences against special Acts, regulations, or by-laws)1,9722,4252,404
Rate*455451

The decisions made in the Children's Court during the year ended 31 March 1959 are shown in the summary below.

DecisionYear Ended 31 March 1959
Committed to the care of the Child Welfare Superintendent547
Placed under supervision of Child Welfare Officers1,357
Admonished and discharged with or without costs, restitution, or fine1,784
All other decisions689
Total4,377

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 10,617 children under the control and supervision of the Child Welfare Superintendent and his officers at 31 March 1959, 3,180 were under the guardianship of the Superintendent. These 3,180 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)2,53979.8
In institutions administered by the Child Welfare Division (including those temporarily admitted)40512.8
In mental hospitals993.1
In residential schools and colleges (including schools for handicapped children)943.0
In hospitals, convalescent homes, etc.70.2
In children's homes (including orphanages, etc.)321.0
Attending University or Teachers' Training College40.1

For the children requiring institutional care and training the Child Welfare Division administers several different types of institutions. The Girls' Training Centre at Burwood, Christchurch, and the Boys' Training Centre at Levin each provide for the more difficult or disturbed girls or boys. The centres are open institutions providing full educational facilities with qualified and trained teachers and also a wide range of vocational training. Another small institution at Featherston provides specially for Maori girls who, while not seriously difficult, require some training before placement in the community. Two small hostels for girls at Wellington and at Christchurch provide for those who, while in ordinary employment, require for the time being the conditions of supervision and care obtainable in a hostel. The ill receiving homes and boys' homes in the larger centres providing 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 prove sufficient for their needs; where they are not sufficient the child usually appears before the Court again and is committed to the care of the Superintendent. There were 1,641 children under supervision at 31 March 1959.

Preventive cases, numbering 3,289 at 31 March 1959, 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 1959, 809 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.

During 1958 statutory provision was made for the registration and licensing of “child care centres” (e.g., day nurseries and creches).

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 (38 research reports and 16 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. During 1958 the number again declined and the classes now being held are mostly in the larger centres. 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. Subsequently, experimental centres were opened in Westport, Wakari, Hawera, 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, Electricity Department, 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 1959 was as follows: free libraries, 116; subscription libraries, 863; groups, 33; Ministry of Works, Electricity Department, and New Zealand Forest Service camps, 52; tuberculosis sanatoria, 13; mental hospitals, 12; hospitals, 15; prisons and borstal institutions, 14.

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 1959 regular exchanges of children's and young people's books were being sent to a number of public libraries and to 2,511 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 397,776 requests were filled during the year ended 31 March 1959.

The total number of books circulated during the same period was 1,209,548.

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 146,000 titles.

Library School.—The Library School was established in 1946, and at the end of 1958, 236 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, 1957, and 1958. 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 170 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 1958, approximately 230 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 1958.

TerritoryTeachersPupils
New ZealandLocalPrimarySecondaryTotals

* Indicates areas where New Zealand assists but has no administrative authority.

†1957 figures.

Fiji*812,12569,2813,99473,275
Western Samoa3070222,28061422,894
Cook Islands252424,3402104,550
Niue8771,155631,218
Tonga*862212,8653,14816,013
Gilbert and Ellice Islands*22638,2142608,474
C.A.A., Nandi3 106 106
Tokelau Islands 21535 535
        Totals1574,052118,7768,289127,065

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.

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.

In 1948 legislation was passed providing for reciprocity of social security benefits with Australia, and reciprocity in relation to family benefits with Great Britain and Northern Ireland. The respective Acts were entitled the Social Security (Reciprocity with Australia) Act 1948, the Family Benefits (Reciprocity with Great Britain) Act 1948, and the Family Benefits (Reciprocity with Northern Ireland) Act 1948.

The first mentioned of these three Acts repealed the Age Benefits and Invalids' Benefits (Reciprocity with Australia) Act 1943, and came into force on 1 July 1949. In the 1948 Act the classes of benefits were extended and now cover the following: age-pensions and age benefits, invalid pensions (including wives' and children's allowances) and invalids' benefits, widows' pensions and widows' benefits, child endowment and family benefits, unemployment benefits, and sickness benefits.

A further 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.

FINANCIAL PROVISIONS.—Finance to enable the provisions of the Act to be carried out was 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 Inland Revenue Department) on salaries, wages, and other income, including the income of companies, but the Act also made provision for the payment to the Fund of such other moneys as might be appropriated by Parliament from time to time, and a substantial amount was received from the Consolidated Fund each year up to and including 1956-57 and again in 1958-59.

The social security charge, which had been at the rate of 1d. for every 1s. 8d. or part thereof of income since the inception of the scheme, was increased in 1946 to 1d. for every 13⅓d. or part thereof—i.e., 1s. 6d. in the pound. The increase, in the case of salaries and wages, became effective from and including 13 May 1946, while “other” income received during the year ended 31 March 1946 was subject to the increased rate.

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 PAYE system at the rate hitherto obtaining (i.e., 1s. 6d. in the pound). It forms part of the pay-period tax. By the Social Security Amendment Act 1958 all social security income tax was payable into the Consolidated Fund in 1958-59 and 1959-60, and the amount necessary for administering the Social Security Act was appropriated out of that Fund. The Finance Act 1959 provided for the payment into the Social Security Fund, from 1 April 1960, of an amount computed at the rate of 1s. 6d. for each £1 of the total national private income for the preceding year, as estimated by the Government Statistician.

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 Social Security Fund for the financial years 1954-55 to 1958-59 are given in the following table.

1954-551955-561956-571957-581958-59
Social Security Income Tax—
  On salary and wages    5,739,381
  On other income of persons    11,185,226
  On company income    8,142,140
  PAYE    55,547,918
Charge on salaries and wages32,423,83135,272,65437,262,66740,317,504 
Charge on other income of persons16,125,70116,706,97016,655,45818,008,194 
Charge on company income7,625,6197,931,0937,717,0997,930,406 
Grants from Consolidated Fund (Social Security Act)14,000,00014,000,00014,000,000 24,600,000
Maintenance recoveries against defaulting husbands80,59692,67492,233104,195115,558
Interest on investments35,09477,43280,73883,082 
Reciprocity arrangements: Recoveries from Australian Government3,2144,33211,0587,9787,643
Other receipts20,05525,82637,26658,23062,190
    Total revenue70,314,11074,110,98175,856,51966,509,589105,400,056

Payments.—Particulars of payments of the Social Security Fund during the same five financial years are contained in the next table.

1954-551955-561956-571957-581958-59
Monetary benefits—
  Superannuation6,750,2267,771,4067,908,7958,279,1998,940,752
  Age22,251,09822,831,08923,305,38324,304,07726,104,992
  Widows'2,664,4612,849,3082,934,2653,279,6833,642,351
  Orphans'28,89930,68831,59936,12938,195
  Family18,179,09918,860,86619,444,42120,152,61925,995,315
  Invalids'1,616,5621,680,1111,672,4381,799,8231,942,490
  Miners'128,663127,351121,048124,589119,205
  Unemployment5,6604,24720,57852,067111,723
  Sickness1,276,8171,302,8681,221,4091,368,3601,436,913
  Emergency430,135534,104729,309819,451849,461
  Supplementary assistance135,162163,334184,276218,201256,812
    Total, monetary benefits53,466,78256,155,37257,573,52160,434,19869,438,209
Medical benefits—
  Medical3,350,1803,548,0803,797,0623,927,8923,969,646
  Hospital3,411,0404,764,6664,869,4534,930,4245,774,519
  Maternity1,147,3071,376,5641,414,7671,449,3591,542,493
  Pharmaceutical3,047,3314,039,1454,572,5574,466,5415,112,343
  Supplementary1,633,0661,818,6992,118,8732,284,0912,256,374
    Total, medical benefits12,588,92415,547,15416,772,71217,058,30718,655,375
Reciprocity benefits—
  Australia7,1154,03510,2459,9779,191
  Great Britain91186Cr. 1790 
Balance of maintenance moneys25267114300291
Administration expenses1,097,2191,176,7791,249,5421,398,2441,360,302
Bonus3,481    
    Total payments67,163,63772,883,79375,606,11778,901,11689,463,368
Balance of Fund at end of year15,578,64016,805,82817,056,2304,664,70320,601,391

MONETARY BENEFITS.—A summarized account of the changes in monetary benefits from the inception of the social security scheme to 1957 is given on pages 205-206 of the 1958 issue of the Year-Book. Since 1939 the original provisions have been considerably amended and enlarged to correct anomalies and to cover more comprehensively the needs of the people. In addition the rates of benefits have been increased from time to time, mainly as a result of the increased cost of living. In December 1959 a special bonus of £6 to single beneficiaries and £12 to married couples was paid. The bonus covered the period from 12 October 1959—when a general wage order came into effect—to 31 March 1960. It was announced in April 1960 that the Government would incorporate an increase of 5s. a week in the standard rates of beneficiaries as from 30 March 1960 after the necessary legislation has been passed.

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 income tax 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.

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 January 1960.

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 (30 March 1960, £208)15600300
Age—
    Unmarried person234004100
    Married couple if both eligible (each)20800400
    Married woman whose husband is not eligible20800400
    Married man whose wife is not eligible41600800
Widows'—
    Widow234004100
    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)11700250
Family (each child)3900 150
Invalids'—
    Unmarried person, twenty years or over234004100
    Unmarried person under twenty years195003150
    Married man with wife included41600800
    Married woman20800400
    Limit of income, including benefits, where domestic or nursing assistance required for a married woman624001200
Miners'—
    Unmarried person234004100
    Married man with wife included41600800
    Miner's widow2011003176
Sickness or Unemployment—
    Person under twenty years without dependants16900350
    Married man with wife included41600800
    Married woman20800400
    Others234004100
Supplementary 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 to £110 a year in 1958. From 1 April 1959 the rate increased to £156 a year and from 30 March 1960 to £208 a year.

The number of superannuation benefits in force at 31 March 1959 was 84,383, an increase of 806 above the total for the previous year. Expenditure on these benefits rose from £8,279,199 in 1957-58 to £8,940,752 in 1958-59.

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 £208 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 £234, 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 £312 a year. A further provision allows of an extra payment, not exceeding £208 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 £520 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 1958-59, 2,167 existing beneficiaries and new applicants received additional benefit for the first time on account of the deferment concessions. The periods of deferment were: one year, 166; two years, 125; three years, 207; four years, 195, and five years, 1,474.

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 1959 there were 2,634 of these allowances in force, this representing a decrease of 9 from the figure of 2,643 for 1958.

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 £750. 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 £850 produce an income of £42 10s. 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.

Up to £52 a year of any income is disregarded in the computation of an age benefit provided the beneficiary or the husband or wife of the beneficiary has attained the age of 65 years.

The number of age benefits in force at 31 March 1959 was 118,502, an increase of 315 as compared with the figure at the end of March 1958. The 1959 total was inclusive of 4,542 husbands receiving benefits on account of dependent wives who were not eligible for benefits in their own right, and of 209 males receiving the additional allowance of up to £26 a year paid to veterans of the South African War. Expenditure on age benefits increased from £24,304,077 in 1957-58 to £26,104,992 in 1958-59.

The following table shows the estimated age distribution of (a) persons who were granted new age benefits during the calendar year 1958 (including transfers from widows' and invalids' benefits), and (b) total age beneficiaries at 31 December 1958.

Age, in YearsPersons Granted New Age Benefits During 1958Total Age Beneficiaries at 31 December 1958
MalesFemalesTotalMalesFemalesTotal
609902,3703,3606531,1831,836
613205708907742,3673,141
622304506808072,8983,705
632103805901,0292,8763,905
643803106901,4273,2964,723
    Totals, 60-642,1304,0806,2104,69012,62017,310
65-691,2609002,1608,82717,43026,257
70-746305601,19011,99019,88631,876
75 and over28045073015,15327,84943,002
        Totals4,3005,99010,29040,66077,785118,445

Widows' Benefits.—Every widow who is the mother of one or more children under sixteen years of age is entitled to a benefit in respect of widowhood. In addition, any widow not being the mother of children under sixteen years of age who satisfies the following conditions is also entitled to the benefit:

  1. A widow who has had one or more children, provided that the duration of her marriage was not less than fifteen years or, in the alternative, that the aggregate of the period of the duration of her marriage and any subsequent period during which she had the care of at least one of her children under sixteen years of age was not less than fifteen years:

  2. A widow who, on the expiration of not less than five years after the date of her marriage, became a widow after she attained the age of fifty years:

  3. A widow of not less than fifty years of age who became a widow after she had attained the age of forty years, provided that the duration of her marriage was not less than ten years and that not less than fifteen years have expired since the date of her marriage.

It will be noted that no widow under fifty years of age who has not had one or more children can qualify for the benefit.

Provision is also made for other classes of women (not being widows) to receive benefits as if they were widows. Particulars are as follows:

  1. Any married woman who satisfies the Commission that she has been deserted by her husband and that she has taken proceedings against him for a maintenance order under the Destitute Persons Act 1910. Either the beneficiary or the Commission may institute and prosecute proceedings for the enforcement of the order, or for an order cancelling, varying, or suspending the maintenance order. Any moneys paid by a husband, whether by way of maintenance order or otherwise, are set off against any benefit so granted. Benefits for deserted wives may be continued after divorce:

  2. Any married woman in respect of whose husband a reception order is in force under the Mental Health 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 £234 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 £338 a year and for a widow with one dependent child is £481 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 15s. 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 £750 computed as if she were an applicant for age benefit. Widows' benefits cease on remarriage.

At 31 March 1959 there were 12,833 benefits in force, an increase of 665 during the year. Expenditure totalled £3,642,351 in 1958-59, compared with £3,279,683 in 1957-58. Offset against these amounts were the sums of £115,558 and £104,195 respectively, being recoveries of maintenance from defaulting husbands.

The following table affords an analysis of widows' benefits in force at 31 March 1959.

With One Dependent ChildWith Two or More Dependent ChildrenWithout Dependent ChildrenTotal
Widows2,1712,5096,82111,501
Deserted wives2516033601,214
Wives of mental hospital patients274249118
        Totals2,4493,1547,23012,833

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 £117 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 £39 a year application may be made for a family benefit of 15s. 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 1959 was 264 (in respect of 368 children), an increase of 4 during the year. Expenditure increased from £36,129 in 1957-58 to £38,195 in 1958-59.

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 15s. 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 payable to children of a member of any of Her Majesty's Naval, Military, or Air Forces.

A family benefit or portion of a family benefit may be paid in a lump sum in advance for a period not exceeding 52 weeks in respect of the first child of a marriage or a child who has commenced his first year of post-primary instruction, or, in cases approved under regulations, may be capitalized for certain housing purposes.

A family benefit may be paid in cash, or to the credit of the Post Office Savings Bank account of the mother. The number of family benefits being paid to Post Office Savings Bank accounts increased from 120,924 at 31 March 1958 to 123,818 at 31 March 1959, the amount lodged increasing from £6,842,373 to £8,985,703.

The total number of benefits in force at 31 March 1959 was 333,413 covering 796,529 children, compared with the corresponding figures of 326,619 and 771,380 at 31 March 1958. Included in the 1958-59 total of children were 15,752 pupils and 51 incapacitated minors over the age of sixteen years. Expenditure increased from £20,152,619 in 1957-58 to £25,995,315 in 1958-59.

The next table gives the number of family benefits in force at the end of March 1958 and 1959, 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 1958Number of Benefits at 31 March 1959
1103,129103,777
2103,377104,660
364,55166,506
431,20732,786
513,13813,720
65,7966,237
72,7352,870
81,4691,558
9728761
10 or over489538
          Totals326,619333,413

The average number of children per family in respect of whom benefit was paid was 2.31 in 1953-54, 2.33 in 1954-55, 2.34 in 1955-56, 2.36 in 1956-57, 2.36 in 1957-58, and 2.39 in 1958-59.

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 pages 210-211.

  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 undertaking vocational training or treatment in respect of the eyes.

The prescribed rates for invalids' benefits, together with the amounts of allowable income, exclusive of war disablement or basic war widows' pensions, are as follows.

Class of PersonRate of BenefitAllowable Income
WeeklyYearlyWeeklyYearly
 £s.d.£s.d.£s.d.£s.d.
Person under twenty years without dependants31501950020010400
Married man4002080020010400
Wife40020800
Married woman4002080060031200
All other persons41002340020010400

As in the case of other benefits, dependent children are provided for by way of the family benefit at 15s. 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 his personal earnings. 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 £468 a year (£494 if unmarried). The maximum invalid's benefit payable plus allowable income is £520 a year, while in the case of a blind person the maximum is £520 a year plus any personal earnings he may have.

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 £208 a year, but so that the total income of applicant and husband, inclusive of the benefit, does not exceed £12 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 897 new benefits granted in 1958 the marital status of the recipients was—single 434 (242 males, 192 females), married 332 (328 males, 4 females), widowed 45 (36 males, 9 females), and divorced, separated, etc., 86 (35 males, 51 females). By far the greatest number were aged 50 years or over, 447; the numbers for other age groups being as follows: under 20 years, 137; 20 and under 40 years, 152, and 40 years and under 50, 161.

Invalids' benefits in force at 31 March 1959 numbered 8,032, an increase of 230 on the March 1958 figure, while expenditure rose from £1,799,823 in 1957-58 to £1,942,490 in 1958-59.

Miners' Benefits.—Subject to the qualifications set out hereunder, a miner's benefit is payable to any person who, while engaged as a miner in New Zealand, contracted miner's phthisis and is thereby permanently and seriously incapacitated for work, or to any person who contracted, while engaged as a miner in New Zealand, any other occupational or heart disease and is thereby permanently and totally incapacitated for work. The term “miner's phthisis” means pneumoconiosis and includes tuberculosis of the lungs or any other disease of the respiratory organs commonly associated with, or a sequel to, pneumoconiosis. The necessary qualifications are—

  1. Employment as a miner in New Zealand for not less than two and a half years:

  2. Continuous residence in New Zealand for not less than five years immediately preceding the date of his application for a benefit. Continuity of residence is not deemed to have been interrupted by occasional absences aggregating not more than six months:

  3. Good moral character and sober habits and must not have deserted or wilfully failed to provide for his wife and children during the period of five years immediately preceding the date of application:

  4. That compensation under the Workers' Compensation Act in respect of the same disability is not being received.

The rates of miner's benefits are £4 a week or £208 a year (or £234 if unmarried), increased by £4 a week, or £208 a year, for a wife. Dependent children under sixteen years are provided for by way of family benefit at the rate of 15s. 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 17s. 6d. a week, or £201 10s. 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 1959 numbered 386 (including 96 widows), 19 fewer than at the corresponding date in 1958. During 1958-59 the expenditure on this class of benefit was £119,205, compared with £124,589 in 1957-58.

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 main tenance of himself and his family notwithstanding a period of temporary unemployment.

Unemployment benefits are payable in accordance with the following scale:

 Weekly Benefit
 £s.d.
Person under twenty years without dependants350
Married man with wife included800
Married woman400
Others4100

Dependent children are paid for by way of family benefit at the rate of 15s. 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 of up to £4 a week 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 1958 and 1959 were 1,415 and 3,559 respectively, 1,067 persons being granted a benefit in 1957-58, and 2,584 in 1958-59. At the end of March 1959, 341 benefits were in force, compared with 128 at the end of the previous year. Payment of additional benefit for a dependent wife was included in 1,222 of the benefits granted during 1958-59, and in 159 of the benefits in force at 31 March 1959. Expenditure for the year 1958-59 amounted to £111,723 as against £52,067 in 1957-58.

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 £8 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 of up to £4 a week, 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 dependants350
Married man with wife included800
Married woman400
Others4100

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 1s. for every complete shilling of the total income, exclusive of war disablement or basic war widows' pensions, of the applicant and of his wife or her husband, as the case may be, in excess of £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 1958 and 1959 were 28,803 and 29,211 respectively. The number of persons granted sickness benefits was 26,736 in 1957-58 and 27,169 in 1958-59. Benefits in force at 31 March 1959 totalled 4,190, compared with 3,767 at the end of March 1958. Total expenditure for 1958-59 amounted to £1,436,913, an increase of £68,553 on the 1957-58 figures.

In the following table sickness benefits which ceased during the calendar year 1958 are shown according to the duration of the sickness benefit.

Duration of Sickness Benefit (Weeks)Number of Benefits
MalesFemalesTotal
0-49,5072,13511,642
5-126,0741,9237,997
13-252,2931,3663,659
26-521,2305031,733
53-104469166635
Over 10416084244
          Totals19,7336,17725,910

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 the benefits which ceased during the calendar year 1958.

Disease or InjuryMalesFemalesPercentage of Total
Infective and parasitic diseases1,4694307.3
Neoplasms3651712.1
Allergic, endocrine system, metabolic, and nutritional diseases5721522.8
Diseases of the blood and blood-forming organs58610.5
Mental, psychoneurotic, and personality disorders8145245.2
Diseases of the nervous system and sense organs9161974.3
Diseases of the circulatory system1,8133048.2
Diseases of the respiratory system2,66664012.8
Diseases of the digestive system2,80464313.3
Diseases of the genito-urinary system5743163.4
Deliveries and complications of pregnancy 1,2504.8
Diseases of the skin and cellular tissue1,0312565.0
Diseases of the bones and organs of movement1,6854328.1
Congenital malformations71320.4
Symptoms, senility, and ill-defined conditions8023224.3
Accidents, poisonings, and violence (nature of injury)4,09344717.5
        Totals19,7336,177100.0

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 5s. a week for a single person under twenty years of age without dependants, £5 10s. a week for a single person twenty years and over, and £9 10s. 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 1959 numbered 3,039, compared with 3,060 at 31 March 1958. Expenditure in the 1958-59 year amounted to £849,461 and in 1957-58 to £819,451.

Supplementary Assistance.—In November 1951 the Social Security Special Assistance Fund was established to provide supplementary 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 supplementary 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, 1959.

In the 1958-59 year, 8,166 applications for assistance were granted, expenditure totalling £256,812, compared with 7,443 grants totalling £218,201 in 1957-58. There were 5,117 continuing grants in force at 31 March 1959.

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 1958-59, 537 applications were received for employment in private homes, of which 513 were granted, while at 31 March 1959 there were 1,097 concessions in force, compared with 1,211 at the end of March 1958. During the year 1958-59, 266 applications were received for employment in hospitals and institutions, of which 259 were granted, while at 31 March 1959 there were 406 concessions in force.

Reciprocity with Australia.—The Social Security (Reciprocity with Australia) Act 1948, provided 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 1959 numbered 509, as compared with 523 at 31 March 1958.

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 1959 numbering 12, compared with the 1958 figure of 42. 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 service 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 undertook to operate the scheme, and the rates of remuneration payable to them. A person entitled to receive medical benefits was required to make application on the prescribed form, which he then presented to the medical practitioner of his choice. If the practitioner was willing to provide the necessary services for the person named in the form, he completed an agreement as between the applicant and himself by attaching his signature thereto. These completed agreements formed the basis of the practitioner's list of patients, for each of whom he was entitled to receive from the Social Security Fund a capitation fee at the rate of 15s. per annum, plus mileage fees in certain circumstances. This scheme came into operation on 1 March 1941.

An important change in principle was made by the Social Security Amendment Act 1941, which provided an alternative to the capitation scheme. This amendment, which came into force on 1 November 1941, and which was subsequently modified by the 1949 amendment to the principal Act, provides that every medical practitioner who renders any of the prescribed services shall be entitled to receive from the Social Security Fund a reasonable fee not exceeding 7s. 6d. for every occasion on which any such service is provided. Mileage fees are also provided for in certain cases. Regulations which came into force from 1 September 1950, and revoked the Social Security (General Medical Services) Regulations 1941, stipulate that where the practitioner is called upon to provide, in response to an urgent request, services on a Sunday or holiday, or between he 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.—This class of benefit was introduced on 5 May 1941, the relevant regulations having been issued on 22 April 1941. Persons claiming medical benefits are entitled to receive, without cost to themselves, all such prescribed medicines, prescribed drugs, prescribed materials, and prescribed appliances as are ordered for their use by a medical practitioner in the course of providing any medical services under the Act. The regulations stipulate that the Minister shall prepare a drug tariff, which shall prescribe particulars of all medicines, drugs, appliances, etc., that may be supplied and charged against the Fund. Under the 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. 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 April 1958, 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 10s.:

  2. Where afforded in a Class A hospital on more than two days, the sum of £1 5s. for every day on which any treatment is afforded:

  3. For treatment in a Class B hospital, the sum of 20s. 6d. 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. From then to October 1954, the corresponding rates were 18s. and 9s., and from October 1954 to April 1958, 21s. and 18s.

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 12s. 6d. in respect of the day of birth of the child and for each of the succeeding fourteen days:

    2. A fee of £2 where any patient is actually attended during labour and at delivery by a medical officer employed by the Board.

    These amounts are to be regarded as in full settlement of all claims in respect of the maternity benefits afforded by the Board.

  3. Licensed (private) maternity hospitals: Licensees of licensed maternity hospitals who have entered into contracts under the Act are entitled to receive fees from the Social Security Fund at the same rate as stated in (2) (a) in regard to Hospital Boards. 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 except in the case of certain specified diseases, illness etc., approved by the Director-General of Health, when the period of treatment on any one recommendation may be extended up to six months.

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 1948. 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 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.

The regulations provide that the services may be provided—

  1. By a registered dentist or a State dental nurse in a State dental clinic; or

  2. By a contracting dentist pursuant to a contract under the regulations; or

  3. By a contracting authority in a dental department of a public hospital or in a dental school pursuant to a contract under the regulations.

A schedule to the regulations prescribes the nature of the benefits that may be provided and a scale of fees payable to contracting dentists and authorities in respect thereof.

Artificial Aids.—As stated earlier (page 224), the Social Security (Hospital Benefits for Outpatients) Regulations 1947 made provision for the supply of artificial aids, which term includes artificial limbs, hearing aids, contact lenses, and other appliances for the physical aid or relief of persons as the Minister may from time to time prescribe, either wholly or partly at the cost of the Social Security Fund. Artificial aids at present prescribed for the purposes of the regulations, are—

  1. Contact Lenses.—These may be supplied in respect of the following optical disabilities: (a) conical cornea, (b) gas keratitis, (c) certain forms of irregular astigmatism and any other conditions which cannot be corrected by ordinary spectacle lenses and which show marked improvement with contact lenses. In each case the supply of such lenses must be recommended by an ophthalmologist employed or engaged by a Hospital Board and approved by the Director-General of Health, acting upon the advice of a medical referee appointed for this purpose.

  2. Hearing Aids.—Individual electrical 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 1956 or under the provisions of section 22 of the Workers' Compensation Act 1956:

  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 1959Payments During
1957195819591956-571957-581958-59

*The expenditure figures given under this heading are gross—i.e., not reduced by the amounts recovered under maintenance orders, widows' benefits.

† Excluding recoveries.

Social security benefits—
  Monetary—   ££££
    Superannuation83,43183,57784,3839,282,1307,908,7958,279,1998,940,752
    Age119,118118,187118,50226,321,66423,305,38324,304,07726,104,992
    Widows'*12,11812,16812,8333,735,9432,934,2653,279,6833,642,351
    Orphans'27826026439,28331,59936,12938,195
    Family315,298326,619333,41331,077,42519,444,42120,152,61925,995,315
    Invalids'7,7737,8028,0322,041,4131,672,4381,799,8231,942,490
    Miners'422405386117,977121,048124,589119,205
    Unemployment95128341 20,57852,067111,723
    Sickness3,6193,7674,190 1,221,4091,368,3601,436,913
    Emergency2,9493,0603,039 729,309819,451849,461
    Supplementary assistance4,2644,7215,117 184,276218,201256,812
          Totals549,365560,694570,500 57,573,52160,434,19869,438,209
  Medical, etc,—
    Medical    3,797,0623,927,8923,969,646
    Hospital    4,869,4534,930,4245,774,519
    Maternity    1,414,7671,449,3591,542,493
    Pharmaceutical    4,572,5574,466,5415,112,343
    Supplementary    2,118,8732,284,0912,256,374
          Totals    16,772,71217,058,30718,655,375
War pensions, etc,—
  First World War (1914-18)16,31715,69415,3833,352,2633,126,5463,294,3683,332,239
  Second World War (1939-45)24,51924,33024,4232,752,2772,410,8592,566,8162,721,444
  K Force20020319916,62217,99019,38617,519
  South African War2421215,5685,1595,0885,405
  War veterans' allowances9,52010,88112,1574,706,4242,999,5653,539,0984,508,772
  Mercantile Marine2726284,0643,3753,5904,006
  Emergency Reserve Corps9992,2541,9432,1012,267
  War pensions supplementary assistance  1169,6925,5427,1029,055
          Totals50,61651,16452,336 8,570,9799,437,54910,600,707
Other: Sundry pensions and annuities520555598 71,58578,74883,694
          Grand totals600,501612,413623,434 82,988,79787,008,80298,777,985

The total number of persons in respect of whom social security benefits (including dependent wives and children) were payable at 31 March 1959 was 1,037,435, or 4,473 per 10,000 of population. For the previous year the corresponding figures were 1,009,004 and 4,434 respectively.

During the year ended 31 March 1959, £53,710,647, or 61.0 per cent of the total expenditure (£88,093,584) on monetary and medical benefits including supplementary 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.

£
1954-551955-561956-571957-581958-59
* Mainly on account of hospital benefits.
Maternity benefits—
  Public hospital fees606,447753,404776,321780,364873,755
  Private hospital fees170,385200,532190,613180,222181,254
  Medical practitioners' fees329,481396,494398,848440,563411,661
  Mileage fees12,66214,92914,73216,13117,223
  Obstetric nurses' fees3,5454,7054,1533,0554,102
  Private hospital subsidies9,287    
  Private hospital loans15,5006,50030,10029,02454,498
            Totals1,147,3071,376,5641,414,7671,449,3591,542,493
Medical benefits—
  Capitation fees4,9984,4124,4124,4114,412
  Mileage fees183,039197,493207,292219,505205,362
  General medical services3,092,1443,275,1713,510,9713,626,8253,680,520
Special arrangements64,45063,47069,16673,01976,572
  Purchase of sites and erection of residences for medical officers5,5497,5345,2214,1322,780
            Totals3,350,1803,548,0803,797,0623,927,8923,969,646
Hospital benefits—
  Public hospitals—
    Inpatients2,638,1913,662,6513,564,4573,595,7144,252,604
    Outpatients187,406341,875397,716414,234414,602
  Private hospitals375,069579,542601,126616,964755,215
  Approved institutions76,43295,453107,057111,789117,153
  Private hospital subsidies84,5473,028   
  Private hospital loans30,28268,151179,368180,210196,423
  Grants towards operating costs of Karitane hospitals19,11313,96619,72911,51338,522
            Totals3,411,0404,764,6664,869,4534,930,4245,774,519
Pharmaceutical benefits—
  Chemists2,952,2693,949,1644,475,6064,353,7524,973,558
  Medical practitioners10,06815,95117,93422,46327,274
  Institutions84,99474,03079,01790,326111,511
            Totals3,047,3314,039,1454,572,5574,466,5415,112,343
Supplementary benefits—
  Radiological services409,381448,374474,369471,792471,202
  Laboratory services227,914277,458338,673414,863471,795
  Physiotherapy services64,34764,86366,49961,56961,679
  Specialist services (neuro-surgery)2,7193,1812,8722,9903,790
  District nursing services137,339150,117162,016181,892195,518
  Dental services716,251798,756906,420932,451940,590
  Domestic assistance6,0717,7449,97712,56012,365
  Artificial-aids benefits63,00063,64673,22982,78693,782
  Other6,0444,56084,818123,1885,653
            Totals1,633,0661,818,6992,118,8732,284,0912,256,374
    Grand totals12,588,92415,547,15416,772,71217,058,30718,655,375
    Recoveries*4,4895,56610,0537,6664,774
    Net totals12,584,43515,541,58816,762,65917,050,64118,650,601

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
 £(000)£s.
194946,939259
195050,6972619
195153,859282
195262,4233117
195364,310320
195468,341333
195573,821351
195679,912373
195782,9893716
195887,0093815
195998,7784219

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 CostExpenditure
Family BenefitsOther Cash BenefitsAll Cash BenefitsCash and Health BenefitsWar and Other Pensions

* Includes bonus and supplementary assistance.

† Includes supplementary assistance.

Amount £(million)
1954735.317.633.1*50.7*61.3*7.0*
1955802.218.235.3*53.5*66.1*7.8*
1956843.618.937.356.271.78.2
1957886.419.538.157.674.38.6
1958930.420.240.260.477.59.5
1959962.326.043.469.488.110.7
Percentage of Expenditure to National Income
19541002.44.56.98.31.0
19551002.34.46.78.21.0
19561002.24.46.78.51.0
19571002.24.36.58.41.0
19581002.24.36.58.31.0
19591002.74.57.29.21.1

MISCELLANEOUS PENSIONS, ETC.—In addition to the various classes of benefits enumerated in the foregoing part of this Section there were 598 pensions at 31 March 1959 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, the Mercantile Marine, and the Emergency Reserve Corps are governed by the War Pensions Act 1954 which consolidated previous legislation.

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.

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.

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.

WAR PENSIONS AND ALLOWANCES, AND WAR VETERANS' ALLOWANCES: SUMMARY OF RATES.—The list below summarizes the rates of war and economic pensions and allowances at January 1960.

Class of Pensions, Allowance, etc.

Dependants of Deceased Members of the Forces, Mercantile Marine, or Emergency Reserve CorpsWeekly Rate
* Ranges from £3 7s. 6d. for all ranks and ratings up to Major (Army) and equivalent in other services, members of Mercantile Marine, and 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.
    Widow—£s.d.
      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 pension4100
      Allowable income200
    Child—
      Where both parents dead or if not under control of mother2150
      Other children 150
    Widowed mother—
      Basic rate376
      Economic (wholly dependent or mother of two or more sons being deceased members of the forces)4100
      Economic (partly dependent)376
    Other dependant376
    Guardian of children of deceased member400
      Basic disablement pension4100
      Special increment for blindness, multiple or serious disabilities2100
      Economic pension (if unmarried £4 10s.)400
      Allowable income200
      Attendant's allowance800
    Wife400
    Child 150
    Other dependant400
War Veteran's Allowance
    Unmarried veteran (£234 a year)4100
    Married male veteran (£416 a year)800
    Married female veteran (£208 a year)400
Yearly Rate
 £s.d.
Age supplement (maximum) payable to veteran or to his wife, or both, as each attains the age of 65 years3900
Supplementary AssistanceAccording to circumstances
Clothing AllowanceYearly Rate 
    Loss of—£s.d.
      Two limbs or parts3000
      Leg or part27100
      Arm or part2000
      Use of mechanical appliance apart from artificial limb2000

The payment of 15s. a week to each child may be made either by way of family benefit or, alternatively, by way of war pension.

In computing the rate of any pension or allowance no account is taken of up to £52 a year of any income, provided a pensioner or the husband or wife of the pensioner has attained the age of 65 years.

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.

In December 1959 a special bonus of £6 to single war pensioners and £12 to married couples was paid. The bonus covered the period from 12 October 1959—when a general wage order came into effect—to 31 March 1960. It was announced in April 1960 that the Government would incorporate an increase of 5s. a week in the standard rates of beneficiaries as from 30 March 1960 after the necessary legislation had been passed.

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 of up to £2 per day is paid in respect of loss of earnings.

  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 is based on the expectation of dependency on the member.

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.

The personal earnings of a disablement pensioner are disregarded in the assessment of an economic pension to an amount equivalent to that by which the disablement pension is less than the amount of pension for total disablement.

Servicemen pensioned for minor disablement 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 unfit for permanent employment 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 basic 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. No account is taken of up to £52 a year of any income provided a veteran or the husband or wife of the veteran has attained the age of 65 years.

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 £409 10s. a year for two years or of such lesser amount as it thinks fit.

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 1954 Act provides for the payment of pensions and allowances in respect of death or disablement of members of the mercantile marine as a result of the Second World War.

SUPPLEMENTARY ASSISTANCE.—A Fund was established in November 1951 to provide for similar cases to those set out under Social Security Supplementary Assistance (see page 220). During the year ended 31 March 1959 there were 242 grants totalling £9,055, compared with 221 grants totalling £7,102 in the previous year. Expenditure on Supplementary Assistance is now met from the Consolidated Fund.

WAR BURSARIES.—Bursaries for educational purposes are available to children of war veterans, seriously and permanently disabled ex-servicemen, and of deceased ex-servicemen in respect of whose deaths war pensions are paid. Bursaries are paid 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 an economic pension or a war veteran's allowance.

During 1958-59, 1,447 bursaries were granted, expenditure on this behalf being £54,802 for the year. The 1957-58 figures were 1,439 bursaries and £57,800.

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 was 283 in 1958-59. Of the appeals dealt with during the year ended 31 March 1959, 133, or 47 per cent, were upheld, 124 disallowed, and 26 struck out or withdrawn.

STATISTICAL REVIEW OF WAR PENSIONS ALLOWANCES, ETC.—During the year ended 31 March 1959 the Department dealt with 4,450 applications for war pensions. Of these, 618 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 4,291; of these, 532 were in respect of the applicants' own disability. In addition there were 39 claims received during the year in respect of disablement arising from Compulsory Military Training, 31 of which were granted, and 89 applications from peacetime Armed Forces, of which 44 were granted.

Summary of Disabilities for which Pensions Granted, 1939-59.—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 1959.

Class of Disability or DiseaseType of ServiceTotalPercentage of Total
Overseas (1939-45)K ForceJ ForceNew Zealand
Infections and infestations2,0309271372,2663.9
Nervous system9,42736131,69811,17419.1
Eye, ear and nose6,71871201,3968,20514.0
Circulatory and blood system2,203821,0393,2525.6
Metabolism and endrocrine system418211775981.0
Respiratory system3,53326541,1934,8068.2
Diseases of bones, joints, muscles, tendons, and ligaments5,4264291,9207,39712.7
Digestive system4,34335121,2005,5909.6
Generative system333 11214550.8
Gunshot wounds and accidental injuries to bones, joints, and soft tissues7,37185261,5979,07915.5
Skin2,49221125373,0625.2
Areolar tissue452 25720.1
Tumours and neoplastic growths1831 532370.4
Malformations3011 1324340.7
Amputations4963 215200.9
Urinary tract599731527611.3
Debility443  1095521.0
          Totals46,36143216011,50758,460100.0

The following table shows for all classes of war pensions the number in force at the end of March in each year and the expenditure during the year for the eleven years 1949-59.

Year Ended 31 MarchFirst World War (1914-18)Second World War (1939-45)K ForceWar VeteransSouth African WarMercantile MarineEmergency Reserve CorpsTotal
Number in Force
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
195716.31724.5192009.5202427950.616
195815.69424.33020310.8812126951.164
195915.38324.42319912.1572128952.220
Expenditure
19492,104,5271,906,232 562,6343,8922,7001,4474,581,532
19502,271,3712,010,852 743,9993,8262,4031,5885,034,039
19512,311,5061,970,236 964,8823,7262,3591,6285,254,437
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
19583,294,3682,566,81619,3863,539,0985,0883,5902,1019,430,447
19593,332,2392,721,44417,5194,508,7725,4054,0062,26710,591,652

The foregoing figures do not include the following: (a) costs of certain medical treatment not available under social security amounting to £59,917 in 1958-59 and £62,977 in 1957-58, (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 has been granted, costing £18,459 in 1958-59 and £18,776 in the previous year; and (c) loading on life-assurance policies where the loading is due to war disabilities, expenditure under this heading being £1,264 in 1958-59. Travelling allowances of £26 a year were being paid to 1,098 pensioners at 31 March 1959, and 1,413 clothing allowances of total annual value £32,856 were also being paid. Funeral grants cost £21,756 for the year 1958-59. The annual value of gallantry awards payable to disablement pensioners was £1,352. In 1958-59, 23 interest-free loans totalling £7,295 were made for the purchase of motor cars by certain seriously disabled pensioners.

Administrative costs for 1958-59 in respect of war pensions and allowances amounted to £13,383, as against £13,795 in 1957-58.

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
195511,7473472,2342,61513117,074
195611,4053152,1972,65411216,683
195711,1232522,1152,7299816,317
195810,5992352,0182,7637915,694
195910,3402081,9432,8147815,383
Second World War, 1939-45
195513,3898,2357681,38292924,703
195613,8527,7697881,42085824,687
195714,4977,0047851,45378024,519
195815,0966,3367831,42469124,330
195915,8045,6927981,49463524,423
K Force
1955101513....164
1956161643....183
195729164511200
195841156411203
195957137212199

The number of children for whom payments were made during 1958-59 but who were not included in the preceding table totalled 1,501, being 206 in respect of First World War pensions, 1,289 for Second World War pensions and 6 for K Force pensions.

The next table shows the number of disability pensions in force at 31 March 1959, classified according to percentage of disablement.

Percentage of DisablementFirst World WarSecond World WarK ForceTotal
PermanentTemporaryPermanentTemporaryPermanentTemporary
1001.916451.0234735103.472
90-9910347627....210
80-89316122781431 750
70-7972824426200321.383
60-6959918395221131.237
50-591.29222890433392.649
40-491.62517969452453.072
Under 403.7616611.7473.7434010819.465
        Totals10.34020815.8045.6925713732.238

Details of economic pensions payable at 31 March 1959 are now given, together with the totals as at 31 March 1958.

Class of PensionFirst World War, 1914-18Second World War, 1939-45K Force
NumberAnnual ValueNumberAnnual ValueNumberAnnual Value
  £ £ £
Ex-members with permanent pensions2,676569,951729154,2603624
Ex-members with temporary pensions214,28632366,2104884
Widows2,215508,8771,021232,2051656
Widowed mothers112,07313225,170....
      Totals at 31 March 19594,9231,085,1872,205477,84582,164
      Totals at 31 March 19584,9801,017,7742,073422,05691,800

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 Office, 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. 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 1943, 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 Office, 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 Government 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 Office, may all become contributors to the Fund. Separate provision is made for 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, Police, Magistrates and Maori Land Court Judges and members of the Judicature (Judges of the Supreme Court and Court of Arbitration), 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 thereafter 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 after his death, (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 date of his retirement (or, if he died before then, to which he would have been entitled if he had retired on the date of his death on the ground of being medically unfit for further duty) disregarding any election to take a variable allowance or to surrender part of the allowance to an approved 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. 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.

The Police Act 1958 provides for compulsory membership for the Police, with retirement at age 60. The rate of contribution varies from 5 per cent to 12 per cent. For computing the retiring allowance, each year in the Police is deemed to be one year and one-seventh where the contributory service commenced after age 25. Where contributory service commenced between 20 and 25 years a lesser proportion is added.

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 are also entitled to retiring allowances, subject to age and length of service qualifications, one-fortieth of the annual salary at the date of retirement being allowed for each year of service, but in no case is the retiring allowance to exceed two-thirds of that salary.

Members of Parliament contribute 10 per cent of salary, but if at the date of commencement of the retiring allowance contributions are less than £425 the deficiency must be paid into the Parliamentary Superannuation Account 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. A widow receives two-thirds of her husband's entitlement.

At 31 March 1959 there were 70,878 contributors, paying £3,403,749 per annum into the Fund. The pensioners at the same date numbered 20,395 and were entitled to £6,353,386 per annum, made up as follows.

NumberAnnual Allowances
MalesFemalesTotal
    £
Retired for age or length of service8,9493,07012,0195,187,396
Retired for ill health1,4372741,711351,724
Widows..5,3865,386781,240
Children6815981,27933,026
        Totals11,0679,32820,3956,353,386

Accumulated funds at 31 March 1959 amounted to £29,455,351. Total assets, which amounted to £29,587,193, included: Investments, £27,433,500; interest, due and accrued, £246,901; contributions in course of transmission, etc., £415,345; and cash in hand and at bank, £1,491,447.

The average effective interest earnings (per cent) of the Fund for the year ended 31 March 1959 was £3 15s. 2d.

The total revenue of the Fund for the year ended 31 March 1959 was £10,276,789, including members' contributions £3,416,141, interest on investments and on contributions £1,032,726, and subsidy £5,827,922. The total amount expended during the year was £7,321,687, including retiring and other allowances £6,689,352, refunds of contributions £596,013, transfers to National Provident Fund £35,896, and investment charges £426.

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
  £££££
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
195868,3803,116,414902,0004,617,8095,908,89526,500,249
195970,8783,403,7491,032,5034,850,1396,353,38629,455,351

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 MarchNumber to Date
19522,123
19532,587
19542,912
19553,147
19563,388
19573,625
19583,844
19593,967

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 three 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 its 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. The 1959 amendment Act further extended these provisions enabling any local authority to invest funds held in the credit of any account, and also provided the same investment facilities for any body or person approved by the Minister. 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 is kept at the Reserve Bank 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.—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 Fund.—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 Pool.

Public Fund.—Membership to the public portion of the Fund is open to any resident of New Zealand over the age of sixteen years who wishes to purchase a retirement pension and obtain cover for the various other benefits offered.

Contributors have the option of joining one or both of the schemes offered. The Public Fund Scheme, as detailed in the National Provident Fund Act 1950 and subsequent amendments, provides a medium by which a predetermined amount of pension may be purchased by the payment of fixed regular contributions. After five years' membership subsidiary benefits in the form of an incapacity allowance, widows' and children's allowances attach to membership.

The Single Premium Scheme, introduced by authority of the 1958 amendment, enables residents to purchase a retirement pension by making contributions of varying amounts according to their ability to pay. At the end of each twelve-monthly period the total contributions made during the previous twelve months are added up and from this total is calculated the value of the pension purchased during that year which together with purchases in other years becomes available at any age between sixty and sixty-five years. A variation of this scheme is now available for self-employed persons wishing to take advantage of the special income tax exemption on contributions made to such schemes.

Both the Public Fund Scheme and the Single Premium Scheme provide the contributor with optional benefits which become available on retirement. These include a variable pension from sixty to sixty-five years, the right to accept a joint and survivorship pension with the spouse, and an opportunity of surrendering up to one-quarter of the pension in return for a capital payment.

Both schemes are available without medical examination. The benefits to those contributing for five years or over include a liberal widow's allowance.

The Superannuation Fund.—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. A further provision enacted 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.

Local Authorities Investment Pool.—The Investment Committee meets periodically, and up to the end of 1958 over £8 m. had been lodged in the Pool. A substantial portion of the amount is loan moneys and is only available for periods of three to six months pending its being utilized by the local authorities for the purpose for which it was raised, but it is anticipated that there will emerge a hard core of £4 m. to £5 m. 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.

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 approximately £2 m., so that its activities must be considered more in the nature of assistance to local authorities in raising moneys than any attempts to satisfy their loan requirements.

Statistical Summary.—Since the inauguration of the Fund in 1911, 157,755 persons (106,915 males, 50,840 females) have joined the Fund, and of these 136,031 (89,207 males and 46,824 females) have discontinued for one reason or another, leaving 21,724 (17,708 males and 4,016 females) contributors at 31 December 1958. Of the 2,730 discontinuances in 1958, 1,752 were on account of withdrawal, 479 on account of lapse or cancellation, 63 on account of death, and 436 on account of attainment of pensions age.

The numbers of contributors as at 31 December 1958 were as follows.

FundMalesFemalesTotal
Public Fund10,98275811,740
Superannuation6,7263,2589,984
        Totals17,7084,01621,724

Summarized figures set out below for the years ended 31 December 1956, 1957, and 1958 form a useful basis for comparative analysis.

Year Ended 31 December
195619571958
New contributors2,3072,4371,999
Total contributors22,57122,45521,724
Pensioners3,5623,7854,023
Income—£££
  Contributions1,026,4651,204,2421,381,154
  Interest (including fines)647,978733,926812,967
Total income (including State subsidy)1,962,8892,316,3202,638,948
Outgo-
  Pensions453,651500,713535,434
  Other benefits295,874406,846341,069
  Total outgo752,451909,013877,238
Funds at end of year18,236,94019,644,24721,405,957
Effective interest earnings (per cent)£3 14s. 9d.£3 19s. 0d.£4 0s. 10d.

The amount of the subsidy paid by the State on contributions paid to the Fund during 1958 was £310.791.

The next table presents an alternative comparison, the period covered on this occasion being the five years ended 31 December 1958.

YearNumber of ContributorsAnnual Rate of Contributions PayableTotal Amount of FundPensions and Allowances Paid During Year
IncapacityRetiringWindows' and Children's

* Estimated.

†Actual.

  £££££
195422,926847,687*15,872,87014,072340,26260,195
195522,849890,658*17,026,50216,623374,22961,724
195622,571946,140*18,236,94021,818453,65170,500
195722,455984,292*19,644,24722,885500,71376,272
195821,7241,381,15421,405,95728,028535,43479,612

Of the accumulated fund of £21,405,957, and the local authority loan and special reserve fund of £8,214,913 as at 31 December 1958, £28,980,269 was invested, the principal classes of investments being Government securities, £9,242,305, local authority securities, £18,461,888, mortgages, etc., 1,078,076; and debentures, shares, etc., £198,000.

The following table shows the details of investments of the Fund for the year ended 31 December 1958.

Class of SecurityInvested, 1 January 1958Movements During YearInvested, 31 December 1958
InvestedRealized
Government securities6,602,9053,712,3501,072,9509,242,305
Local authority securities17,545,6292,359,3021,443,04318,461,888
Mortgages1,075,32344,37256,1861,063,509
Miscellaneous debentures and shares198,000  198,000
Reversions13,5781,31332414,567
        Totals25,435,4356,117,3372,572,50328,980,269

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
195619571958195619571958
* Membership figures relate to “actuarial” societies only.
Manchester Unity Independent Order of Oddfellows24524424328,33828,47328,406
Independent Order of Oddfellows1921881907,9707,7627,573
National Independent Order of Oddfellows111676455
Ancient Order of Foresters13413413011,08710,87910,684
United Ancient Order of Druids14014013814,73214,38414,086
Independent Order of Rechabites4948462,9192,8342,745
Order of Sons of Temperance777400390386
Sons and Daughters of Temperance111817875
Hibernian-Australasian Catholic Benefit Society7776743,7703,7813,749
Protestant Alliance Friendly Society of Australasia111111494474460
Grand United Order of Oddfellows101010223218207
Isolated friendly societies676767558*543*535*
Working-men's clubs242424......
International Order of Good Templars111111......
Specially authorized societies181819......
          Totals98798097270,63969,88068,961

Annual returns of receipts, expenditure, etc., of lodges are required by law. For the year 1958 the Registrar of Friendly Societies received returns from 809 “actuarial” lodges, with an aggregate membership of 68,961 at the end of the year, as compared with 818 lodges and 69,880 members for 1957. During the year, 2,070 members were admitted by initiation, etc., and 382 by clearance; 1,227 died, 401 left by clearance, and 1,743 by arrears, etc.

The aggregate membership of lodges increased year by year, reaching a peak in 1930, when the total was 107,167. The economic depression probably accounted for the decrease in each of the following three years, the number at the end of 1933 being 100,237. A series of increases then commenced, the 1930 level being passed in 1936, and by 31 December 1938 a total of 113,709 had been reached. Each of the succeeding years, however, has witnessed a fall in membership, although the decrease in 1958 was comparatively slight. The number at the end of that year (68,961) was, however, 44,748, or 39 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 (809 in 1958) 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
19541.27617,483264.47
19551.31518,353344.66
19561.26417,663014.20
19571.35619,123334.69
19581.22717,603264.68

The number of members sick during 1958 was 11,098, equal to 16.4 per 100 members at risk. The sickness experienced during 1958 was 276,008 weeks, equal to 24 weeks 5 days per sick member and 4 weeks for each member at risk.

FUNDS OF FRIENDLY SOCIETIES.—The total funds of the societies and branches as at 31 December 1958 amounted to £9,140,125, made up as follows.

FundsAmount
 £
Sick and funeral funds6,613,449
Surplus appropriation funds, etc1,197,170
Management funds, goods, etc.526,859
Distress, benevolent funds, etc.802,647
        Total9,140,125
Investments at interest£ 8,229,359
Value of land and buildings673,647
Cash not bearing interest184,549
Value of goods27,326
Other assets16,755
Owing by management funds8,489
        Total9,140,125

The net income from investment credited to the sick and funeral funds for 1958 amounted to £321,669, the average rate being £5 1s. 4d. per cent, as against £4 17s. 4d. in 1957.

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 £2,572,086, or 39 per cent. The average capital per member has also appreciably increased, the gain in the last ten years amounting to £47 7s. 10d. (56 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.
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
19578,840,887126104
19589,140,1251321010

The contributions and entrance fees paid to sick and funeral funds in 1958 amounted to £183,068. Divided by the mean number of members, the average for 1958 was £2 12s. 9d., as against £2 13s. 5d. for 1957.

The interest and rent received by the lodges and central bodies amounted to £321,669 in 1958, equal to £4 12s. 8d. per member, as against £4 6s. 1d. for 1957.

The amount of sickness benefit paid was £141,950 in 1958, equal to £12 15s. 10d. per member sick and £2 0s. 11d. per member, as against £12 18s. 4d. and £2 3s. respectively for 1957. Viewing the amount paid in relation to the weeks of sickness, the average benefit per week is found to be 10s. 3d. in 1958, as against 10s. 4d. for 1957.

The funeral benefit paid amounted to £100,232 in 1958, equal to £1 8s. 11d. per member, as compared with £1 7s. 5d. for 1957.

The total worth of the sick and funeral funds at the beginning of 1958 was £6,402,489, and at the end of the year £6,613,449.

Chapter 8. SECTION 8—JUSTICE

Table of Contents

LAW OF NEW ZEALAND.—The law applied in the Courts of New Zealand has three principal sources—the common law of England, certain statutes of the United Kingdom Parliament enacted prior to 1947, and statutes of the New Zealand Parliament.

The initial law of New Zealand when it became a British colony was the law of England as it existed on 14 January 1840—that is, the common law together with those statutes of the United Kingdom Parliament which were applicable to the circumstances of the colony at that date. Subsequent law consists of those enactments of the United Kingdom Parliament between 1840 and 1947 which extended expressly or by necessary implication to New Zealand, and the enactments of the New Zealand Legislature.

In interpreting the common law the Courts have been concerned to preserve uniformity with the common law as it has developed in England. This unity is ensured not only by the existence of the Privy Council as the final Court of appeal for New Zealand, but by the practice of the Judges of following English decisions even though they are in theory not bound by them.

The New Zealand Parliament is now the sole authority with inherent power to legislate for the country, and there are no constitutional restrictions on the law which it can pass. Before the adoption by New Zealand of the Statute of Westminster in 1947 the powers of Parliament were limited in two respects. First, there was a somewhat uncertain and ill-defined incapacity to make laws having extra-territorial application, and, secondly, there was an incapacity to make laws conflicting with a statute of the United Kingdom Parliament extending to New Zealand. Since 1947, however, both these limitations have disappeared, although the United Kingdom Parliament still has the power to make laws extending to New Zealand at the request and with the consent of the New Zealand Legislature.

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 (at the beginning of 1960) comprised two representatives 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, two representatives of the university faculties of law, and a former Solicitor-General.

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 fourteen 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 forty, there being thirty-six 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; 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 employees 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 46 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
  £ ££
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
195672,7463,066,94643,8721,859,0331,599,585
195779,0003,212,82046,4771,865,3311,575,680
195882,4933,182,05350,0941,819,1691,575,016

The average amount claimed in each plaint has risen from £26 in 1948 to over £38 in 1958.

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 1948 onwards.

YearNumber of Actions CommencedCases TriedJudgments Recorded
With JuryWithout JuryNumberAmount
* Not available.
     £
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
19561,735146199*400,341
19571,817144206*354,528
19581,931153242*467,872

Court of Appeal.—During the five years 1954 to 1958 there were 126 civil appeals. of which 49 were allowed, and also 6 cases removed to the Appeal Court, resulting in 4 judgments for the plaintiffs and 2 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 all summary cases— that is, cases where a statute provides that an 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, rape, and perjury. If the Magistrate deals summarily with an indictable offence, he may impose a sent 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 1948. These figures and all the figures relating to Magistrates' Courts, Supreme Court, and prisons include Maoris; 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
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
1957104,1425,655109,79792.775.0949.18
1958113,5066,804120,31098.725.9952.63

The great majority of these charges are, as may be expected, for comparatively minor offences, particularly against the traffic laws. Traffic offences alone accounted for almost two-thirds of the convictions in the Magistrates' Courts in 1958; of the 108,791 convictions, 71,452 were for traffic offences, while 4,781 were for offences against the liquor laws, and 4,886 for drunkenness.

The following table classifies the convictions in Magistrates' Courts into more common offences or groups of offences for the years 1954 to 1958. 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 the figures quoted below are not comparable with 1952 and earlier years.

Type of Offence19541955195619571958
*Counting only the principal offence in cases where a person is charged simultaneously with two or more offences.
Common assault772760889870956
Sexual offences358412405475518
Other offences against the person257288212199233
Theft2,8342,6303,1643.5374,496
Wilful damage569536568832908
Other offences against property (including forgery)3,1123,0794.0074,3715,222
Drunkenness (including drunk in charge, etc,)5,8235,9836,0165,9414,886
Application for prohibition order1,1091,0129701,005818
Offensive conduct or language, obstruction, etc, of police,and vagrancy1,5951,5731,9382,4112,167
Minor traffic offences46,50843,25050,18759,70771,452
Other offences against good order1,4841,2691,9831,0591,221
Breach of probation151201323298345
Unlawfully on licensed premises and other breaches of Licensing Act6,0355,4015,5695,9624,781
Failing to furnish return and making false return of land and income2,6754,1473,2714,0132,253
Failing to pay maintenance1,3191,4361,3601,5521,640
Deserting merchant ships328369519322286
Breaches of price control orders3232541555764
Other offences4,9585,2065,8586,0366,545
        Totals80,21077,80687,39498,647108,791
        Distinct cases*68,01863,56971,80279,74187,745

The total convictions (108,791) for 1958 represent a rate of 47.59 per thousand of mean population.

The year 1958 showed a heavy increase in the number of convictions, 10,144, over that of the previous year.

The most substantial increases according to types of offence were as follows:

    Theft959
    Other offences against property (including forgery)851
    Minor traffic offences11,745
    Other offences against good order162
    Other offences509

Major decreases according to types of offence were as follows:

    Drunkenness1,055
    Applications for prohibition order187
    Offensive conduct or language, obstruction, etc., of police, and vagrancy244
    Unlawfully on licensed premises and other breaches of Licensing Act1,181
    Failing to furnish return and making false return of land and income1,760

The next table classifies the result of hearing and punishment inflicted on summary conviction for all cases during 1958.

Result of HearingOffences Against the PersonOffences Against PropertyOffences Against Good OrderOther OffencesTotal
Dismissed, withdrawn, or struck out4871.3344,0884,66910,578
Committed for trial or sentence2575572785926
Admonished and discharged267 15
Imprisonment5532,9629795925,086
Corrective training 2251 226
Detention in Borstal Institution, etc,341,21826491,327
Released on probation1152,228202532,598
Convicted and ordered to come up for sentence10921817885590
Fined8032,49675,75310,88389,935
Convicted and discharged (or pay costs)831,2793,3288205,510
Suspended imprisonment (maintenance cases)   1,4171,417
Miscellaneous  9121,1902,102
        Totals2,44312,52385,50119,843120,310
        Distinct cases1,8085,55773,30414,91595,584

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 1954-58 inclusive.

Offence19541955195619571958
Negligently driving motor vehicle causing death3346304636
Drunk in charge of motor vehicle causing death   1 
Negligent driving causing injury2634292433
Drunk in charge of motor vehicle causing injury31 11
Failing to stop motor vehicle after accident involving bodily injury2847362227
Unlawfully converting vehicle to own use6897109328291.088
Drunk in charge of motor vehicle820933875957786
Drunk in charge of other vehicle2118181214
Excessive speed in motor vehicle9.8798,54010,42211,61615,963
Negligent or dangerous driving of motor vehicle8,8938,4888,89811,60212,849
Negligent or dangerous driving of other vehicles15713012510877
Breaches of regulations for the lighting of vehicles3,2472,2742,4382,6272,782
Offences relating to the registration, etc, of motor vehicles5,2174,7474,5364,8956,003
Offences relating to driver's licence3,1293,3183,1673,6843,776
Breaches of parking regulations9,93110,12114,78816,85420,563
Other traffic offences6,0565,6325,8148,3239,439
        Totals48,12945,03952,10861,60173,437
Convictions per 1,000 of mean population22.9721.0623.8727.5932.13

In 1958, convictions for traffic offences showed. once again, an even heavier increase than the previous year, being 11,836, or 19.2 per cent, above 1957 compared with that year's increase of 9,493, or 18.2 per cent, over 1956. More than two-thirds of the 1958 increase is accounted for by two offences. The most substantial increase over the previous year was in the number of convictions for excessive speed in motor vehicles, which were 4,347, or 37.4 per cent, greater than in 1957. Other major increases in convictions (with the percentage increase in parentheses) were recorded for the following: negligent or dangerous driving of motor vehicles, 1,247, (10.7); breaches of lighting regulations, 155 (5.9); offences relating to registration, etc., 1,108 (22.6); parking offences, 3,709 (22.0); unlawful conversion, 259 (31.2); and other traffic offences, 1,116 (13.4). Convictions of persons drunk in charge of motor vehicles were 171 or 17.9 per cent less than 1957. It should be noted that the number of motor vehicles increased from 751,728 at 30 June 1957 to 794,810 at 30 June 1958.

The previous table excludes the more serious cases involving death or injury which are sent forward to the Supreme Court for trial or sentence. In 1958, 12 such cases were sent forward and there were 6 sentences, comprising 5 for negligent or drunken driving causing death, and 1 for negligent or drunken driving causing injury.

Of the 73,437 convictions for traffic offences, 4,043 persons had their drivers' licences cancelled for varying lengths of time. These are given below:

Period for which Licence CancelledNumber
Under 3 months1,911
3 months and under 6 months694
6 months and under 1 year330
1 year and under 2 years710
2 years and under 3 years143
3 years and under 4 years163
4 years and under 5 years6
5 years and over86
    Total cancellations4,043

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 1954 to 1958.

YearConvictions for DrunkennessPer 1,000 of Mean Population
MalesFemalesTotalMalesFemalesTotal
19545,6241995,8235.340.192.78
19555,7772065,9835.380.192.80
19565,7782386,0165.260.222.76
19575,7382035,9415.110.182.66
19584,6911954,8864.080.172.14

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 1,818 in 1958. 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. Increases were recorded in 1954 and 1955 but the rate has declined in the last three years. The rate 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.

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
195448427256565 3215326
19554233517223181135324377
19565812330414283 58714601
195750625260162761553631567
19588092332313219354216558
(b) Distinct Persons
19541919123520 1435148
1955163128785111389147
195619313125970 1959204
195720216117969418613199
19582571214775021979206

Of the 269 distinct persons indicted during 1958, 154 were convicted and 104 acquitted, and “no bill” was returned or the prosecution was not otherwise proceeded with in the remaining 11 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
19541541299343268252113148
195510423721153777456710147
195619336863460110084317204
19571863491315679098110199
195820331217265589094616206

The table which follows shows the number of distinct persons sentenced in the Supreme Court during each of the years 1954 to 1958, classified according to the principal types of offences.

Type of Offence19541955195619571958
* Includes persons charged with murder but convicted of manslaughter.
Murder44111
Attempted murder 2 11
Manslaughter*43487
Traffic offences involving death or injury105586
Assaults and wounding1414211017
Sexual offences4645645854
Other offences against the person41544
Robbery, burglary, and breaking and entering1819363847
Theft, receiving, and fraud2835445241
Other offences against property62486
Forgery and uttering17316
Other offences1310171016
        Totals148147204199206
Per 10,000 mean population0.710.690.930.890.90

Sentences imposed in the Supreme Court during each of the years 1954 to 1958 were as follows:

19541955195619571958
* Commuted to life imprisonment.
Probation (under Criminal Justice Act)2124253026
Ordered to come up for sentence11 15
Discharged12112
Fined14951217
Imprisoned7978116118127
Corrective training248885
Borstal training671929
Preventive detention114292614
Death1*4111*
        Totals148147204199206

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 120,310 criminal charges dealt with in the Magistrates' Court in 1958, 6,804, or 5.7 per cent, were against females. This figure showed an increase on the 1957 total of 5,655.

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 1957 and 1958, the most common were—

 19571958
Attempted suicide54
Common assault2116
Drunkenness188180
Theft393522
Fraud and false pretences142172
Offensive conduct or language2741
Vagrancy6674

Supreme Court statistics also showed that women in general are of a law-abiding disposition; 9 females (4.4 per cent of the total) were sentenced in 1958 for criminal offences.

There were 98 women received into prison under sentence in 1958. The principal offences concerned were, theft, 31; vagrancy, 15; drunkenness, 6; breach of probation, 13; fraud and false pretences, 6; burglary, 5. The corresponding total in 1957 was 118, and the main offences were, theft, 48; vagrancy, 12; drunkenness, 4; breach of probation, 7; fraud and false pretences, 10; common assault, 6.

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 1958, 5.05 per cent of the total population of New Zealand aged fifteen and over were Maoris.

It is not possible to classify Maoris and non-Maoris in Magistrates' Court summons cases, but an accurate classification can be arrived at in the case of arrests, and the following summary shows total charges for arrest cases in 1958. Figures for Europeans are quoted for comparative purposes,

Class of OffenceTotal Charges for Arrest Cases
Against the PersonAgainst PropertyAgainst Good OrderOther Offences
DrunkennessOtherMalesFemalesTotal
Maoris2771,9704115791743,1272843,411
Europeans1,1557,1743,5472,95782814,94072115,661
    Totals1,4329,1443,9583,5361,00218,0671,00519,072

Of the total number of arrests and convictions 17.9 per cent and 18.4 per cent respectively were Maoris.

The total number of Maoris convicted and sentenced in the Supreme Court during the five years 1954 to 1958 was 148, or 16.4 per cent of the total of 904. Of the 31 Maoris (including one female) sentenced during 1958, 9 were committed from Magistrates' Courts and 22 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 five 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 SentencesMaoris SentencedPercentage of Total SentencesMaoris SentencedPercentage of Total SentencesMaoris SentencedPercentage of Total Sentences

* Including forgery and uttering.

† Includes other offences.

19541123.938.3611.32214.9
1955511.1310.3812.71610.9
19562335.9719.41213.84321.1
19571525.91031.299.13618.1
1958611.11027.81414.03115.0

During 1958, 737 Maoris (including 47 females), were received into prison under sentence, this being 24.1 per cent of the total committals. Of the 1,695 persons held in custody on 31 December 1958, 451, or 26.6 per cent, were Maoris. Corresponding figures for 1957 were, 647 received under sentence (including 42 females), 21.3 per cent of the total committals, and 1,513 held in custody on 31 December 1957, of which Maoris comprised 393, or 26.0 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 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 1948 to 1958 and the number of distinct cases—that is, excluding multiple charges against the same person.

YearTotal CasesDistinct Cases
MalesFemalesTotalMalesFemalesTotal
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
19577,3068758,1813,7706464,416
19588,0841,0899,1734,3587455,103

Detailed statistics for Children's Court cases during each of the years 1953 to 1958 are as follows. The figures shown refer to total cases.

Type of Offence195319541955195619571958
* Includes forgery and uttering.
Sexual offences84174978395143
Assaults3434455772107
Other offences against the person261516111231
Robbery, burglary, and breaking and entering5408136777041,1621,198
Theft, receiving, and fraud1,6182,2422,0122,1762,7123,200
Unlawful conversion of vehicles400530707580680864
Wilful damage383319414419600668
Other offences against property*26914027133 
Offences against good order4995307551,0901,5651,771
Indigent or delinquent child491477476579853785
Other offences250197472287297333
        Totals4,3515,4225,7116,0138,1819,173

The cases heard during 1958 resulted as follows:

    Dismissed or withdrawn626
    Admonished and discharged2,285
    Committed to care of Child Welfare Division of the Department of Education1,482
    Placed under supervision2,794
    Committed to an institution244
    Fined1,007
    Otherwise dealt with735
        Total cases9,173

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 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 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
19481,036
19491,104
19501,098
19511,071
19521,176
19531,098
19541,278
19551,429
19561,692
19571,749
19581,870

The next table gives the ages of offenders placed on probation during 1958, together with the period of their probation.

Age, in Years1 Year15 Months18 Months2 Years3 YearsTotal

* Includes 2 offenders placed on probation for 21 months.

† Includes 2 offenders placed on probation for 30 months.

Under 20196111653797947
20 and under 2512916921043452
25 and under 3046..187810152
30 and under 40782218711199
40 and under 5038..835687
50 and under 6013..29226
60 and under 702....1..3
70 and over1....124
      Totals5034234*9581711,870

Probation is a conditional suspension of imprisonment and provides the opportunity whereby the offender may, with the assistance and supervision of a Probation Officer, rehabilitate himself. The real purpose of probation is to prevent further offences, and it is more freely used in the case of first offenders and young offenders.

INQUESTS.—The law relating to inquests, which had previously been partly common law and partly contained in the Coroners Act 1908, was consolidated into a single code by the Coroners Act 1951. This Act provides for the appointment by the Governor-General of Coroners for New Zealand and defines their powers and duties.

An inquest may be held for the purpose of establishing—

  1. The fact that a person has died;

  2. The identity of the deceased person;

  3. When, where, and how the death occurred.

All inquests are held in public, but the Coroners Act 1951 repeated a common-law power to exclude persons from an inquest and to prohibit the publication of any part of the evidence. The power to prohibit publication has now been made subject to review by a Magistrate, unless the Coroner is himself a Magistrate.

The following is a table of inquests held during each of the eleven years from 1948 to 1958.

YearMalesFemalesTotal
19481,0854271,512
19491,0864291,515
19501,13821,532
19511,3164461,762
19521,0313571,388
19539742861,260
19541,0663811,447
19551,0543501,404
19569803641,344
19571,0724021,474
19581,0823471,429

The next table classifies inquests for the same period according to the verdict returned.

YearDisease and Natural CausesAccidentHomicideSuicideViolent Deaths, Nature Unknown
MFMFMFMFMF
194842419749316534125444017
19494072165241412911256417
1950490214509123113106323410
19515292496121318813150368
195228314857614728139353119
19531987861114796102365419
195420311868320937108306917
195524811865917712513550....
19562321246151706512765....
19572151277002076615162....
19582007770420615816356....

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 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 in 1958 males outnumbered females by more than two and a half to one. This was considerably more than in 1957 when the ratio was just over one and a half to one. Inquests on deaths following accidents showed a big increase for 1957 over 1956, but the number for 1958 remained more or less the same as the previous year.

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 shÀrt 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 thirteen institutions serving as prisons or borstals in New Zealand, and eleven 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.

The prison population during the year 1958 is shown in the following table.

MalesFemalesTotal
Persons in prison at 1 January 19581,427901,517
Receptions during the year (including multiple receptions of the same person, but excluding transfers)5,0682385,306
Discharges during the year (including multiple discharges of the same person, but excluding transfers)4,8702585,128
Persons in prison at 31 December 19581,625701,695
Daily average number of prisoners1,543761,619

Not all prisoners received were actually convicted persons undergoing sentence for criminal offences. In 1958, 263 debtors were released after being temporarily detained under the provisions of the Bankruptcy Act, while 30 persons were classed as mental defectives and transferred to mental hospitals, and 1,462 persons were not returned to prison after release for hearing of the charge, being acquitted, fined, placed on probation, etc.

Receptions of prisoners actually undergoing sentence for criminal offences in 1958 numbered 3,538, but, deducting multiple receptions of the same prisoner, the number of distinct persons was 3,056 (2,958 males and 98 females). Corresponding figures for 1957 were 3,037 distinct persons (2,919 males and 118 females).

An analysis is given below of distinct persons received into prison according to nature of sentence imposed in 1956, 1957, and 1958.

Nature of Sentence195619571958
Imprisonment2,5572,6762,648
Corrective training657964
Borstal training235254330
Preventive detention282613
Death121
        Totals2,8863,0373,056

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
1948986391,0255-325.53
1949941509914.975.24
19501,043401,0835.415.62
19511,040361,0765.285.46
19521,083301,1135.355.50
19531,088271,1155.245.37
19541,196271,2235.655.77
19551,117371,1545.165.33
19561,362411,4036.176.35
19571,469441,5136.496.69
19581,636591,6957.067.32

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
19482,18111.89
19491,7889.55
19502,08010.90
19511,97510.14
19522,26811.36
19532,35411.49
19542,40411.48
19552,53111.83
19562,88613.22
19573,03713.60
19583,05613.37

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 1958.

Age, in YearsOffences Against the PersonBurglary, Theft, and FraudConversion, Wilful Damage, etc.Vagrancy and DrunkennessOther OffencesTotal
Sexual OffencesAssaultsOther
Under 213332 2629221160600
21 and under 253133121756339170523
25 and under 30263661592752152458
30 and under 4037391024623162220737
40 and under 503313511810148126453
50 and under 6018914538662224
60 and over81 12130961
    Totals186163341,0172195388993,056
Maoris (included above)4962102708689171737

The next table gives particulars of ages and length of sentence of distinct persons received into prison under sentence during 1958.

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 but commuted to life imprisonment.
Under 21681523310337  600
21 and under 251111591306656 1523
25 and under 3010414910558375 458
30 and under 40179223208892612 737
40 and under 5013613110556205 453
50 and under 607461631565 224
60 and over2114185 3 61
    Totals693889662299482301*3,056

Of the total of distinct persons received into prison in 1958 no less than 69.2 per cent had been convicted for an offence on at least one previous occasion, and 28.5 per cent of these had been convicted more than six times.

Measures Employed in Treatment.—This section may conveniently be dealt with under five heads— vocational and non-vocational training; earnings; punishments; and after-care.

Vocational Training.—Every prisoner must assist by his labour to reduce the cost of his maintenance in custody; it is also necessary that he should develop the habit of hard and consistent work. In New Zealand all available prisoners are put to work on some form of constructive employment, whether it be industrial production in a secure institution or food production on a prison farm. In addition, and particularly for the younger offender, there are courses of trade training.

Non-vocational Training.—If a prisoner is eventually to be released into the community, then it is important during his period of imprisonment to pay regard to every aspect of his life as a citizen. It is not enough merely to restrict his freedom and to train him to work; he must also be kept or made mentally and morally fit.

An increasing number and variety of evening activities are being introduced into the prisons, and the number of prisoners engaged on them is likewise increasing. Very real training benefit is derived from these activities, whether they be recreational, educational, cultural, individual, or collective.

There are full-time teachers in Auckland Prison and in Invercargill Borstal Institution, and part-time teachers in many other institutions. It is their task to seek to improve the general education of those prisoners who have been unable to reach the level of the present Form II or the old Standard VI, and also to assist those who are undertaking further education or technical courses through a Correspondence School. The interest shown in education is encouraging, since in many cases it fits a prisoner for better employment on his release and thereby helps to reduce the chances of his further offending.

Since 1945, when, as the Country Library Service, it made some provision for the Invercargill Borstal Institution, the National Library Service has year by year increased its assistance to prisons. At the present time all institutions receive at regular intervals a generous supply of well-chosen books and, in addition, inmates are permitted a free use of the Library's Request Service.

Earnings.—All prisoners are credited with earnings based on a system of marks assessed according to 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 1954 to 1958 were as follows.

YearBorstal DetentionReformative Detention or Corrective TrainingHard LabourHabitual Criminals or Preventive DetentionProbationersTotal
Crimes Amendment Act and Criminal Justice ActOffenders Probation Act
* No longer under the control of the Parole Board.
19542733583155711191,033
195534732259607*795
1956466254414311*815
1957610195362912*882
1958817247483511*1,158

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 1958, recommendations were made for release on probation in 361 instances. Eight probationers under the Crimes Amendment Act and Criminal Justice Act were recommended for discharge. Two petitions were declined, while the remaining 787 were deferred.

POLICE.—The police in New Zealand are maintained wholly by the General Government. The law relating to the establishment and regulation of the Police is contained in the Police Act 1958, which consolidated and amended the Police Force Act 1947.

Organization and Duties.—A Commissioner and an Assistant Commissioner, with headquarters at Wellington, subject to the directions of the Minister of Police, have the general superintendence and control of the Police. New Zealand is divided into fifteen districts, each under the charge of a Superintendent or Chief Inspector of Police, who is responsible for the maintenance of good order and the proper execution of police duty therein. Districts are divided into sub-districts under the charge of sergeants or constables, and cities and towns where regular beat duty is performed are divided into beats, patrolled by constables under the supervision of sergeants.

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 members of 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 certain types of inquiries and other duties on behalf of other Departments of the Government Service.

Police in country districts in some 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, male recruits for the Police must be between the ages of nineteen and thirty-five years, be not less than 5 ft. 8.1/2 in. in height, and female recruits must be between the ages of twenty-three and thirty-three years, with a height of not less than 5 ft. 5 in. Recruits must be the holders of a School Certificate or possess educational qualifications of equal or higher standard or alternatively pass a departmental pre-entry test. They must be of British nationality, of good character, smart, active, intelligent, and be passed as medically fit. The selection of recruits is made after exhaustive enquiries into the character of antecedents, and qualifications of the applicants. On appointment they undergo a three months' course of training at the Police Training School, Trentham, where they are drilled and receive comprehensive training in their powers and responsibilities as Police officers, fitting them to deal with the situations which may be faced on duty.

Appointments to vacancies in the higher ranks 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.—In addition to the Commissioner, the strength of the Police on 31 March 1959 was 2,436, being an increase of 168 during the year. The total was made up as follows: Assistant Commissioner, 3 chief superintendents, 7 superintendents, 20 chief inspectors, 30 inspectors, 91 senior sergeants, 269 sergeants, 1,967 constables, and 48 policewomen. There were also 6 matrons, 50 police surgeons, and 1 district constable.

The following table shows the strength of the Police during the last eleven years.

As at 31 MarchAll OfficersNoncommissioned Officers (Uniform Branch)Criminal Investigation Branch (Exclusive OfficerConstablesTotal*
* Not including surgeons, police-women, matrons, etc.
1949362241031,1791,542
1950362201061,1771,539
1951412221101,1951,568
1952372301191,2031,589
1953442281271,2031,602
1954452271211,2581,651
1955452321271,2541,658
1956582491301,5271,964
1957552811321,7172,185
1958583151211,7252,219
1959612691611,8972,388

Women Police.—The first ten appointees completed their training and commenced duty in October 1941. The present strength is 48, and these are stationed at Auckland, Hamilton, Napier, New Plymouth, Wanganui, Palmerston North, Wellington, 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 comprises the Senior Personnel Officers of the three Services with a senior representative of the Treasury attending, by invitation, when matters having a financial implication are discussed. This Committee is responsible for personnel matters such as manpower, conditions of service (including pay), medical services, education, and welfare.

Principal Administrative Officers' Committee.—This Committee consists of the Senior Supply Officers of the three Services with a Treasury representative attending when appropriate. Their sphere of responsibility covers matters such as supply and maintenance, quartering, transportation, works, munitions, and equipment. This and the preceding Committee are served by subordinate Committees responsible for administrative planning, and in various specialist fields such as medical, recruiting, and the design and provisioning 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, Canberra, and Washington. A New Zealand Military Liaison Officer is on the staff of the Commissioner for New Zealand in Singapore and is accredited also to the High Commissioner for New Zealand in Malaya. The Head and Deputy Head of the New Zealand Services Liaison Mission in Washington are accredited to the Canadian Service authorities as Military, Naval, and Air Advisers to the High Commissioner for New Zealand in Ottawa. In 1957 a New Zealand Military Liaison Officer was appointed to the Commonwealth Liaison Mission in Korea. The United Kingdom and Australia has Service representatives in Wellington attached to the offices of their respective High Commissioners, and there is a Military AttachÉ on the Staff of the United States Embassy in Wellington.

Industrial War Potential.—Planning in respect of the demands which, in war or on the threat of war, the Services would make on industry is the task of the Joint War Production Committee, on which is represented the Departments of Industries and Commerce, Scientific and Industrial Research, and 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 its amendments, the Military Manoeuvres Act 1915; Navy, the Navy Act 1954 and its amendments, 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 its amendments.

Two other Acts of general application, are the National Service Registration Act 1958 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 National Service Registration Act 1958.—The National Service Registration Act 1958, which came into force on 1 April 1959, repealed the Military Training Act 1949.

The National Service Registration Act 1958 provides that every male ordinarily resident in New Zealand is liable to register for National Service on attaining the age of 18 years on or after 1 July 1958. Males who had become ordinarily resident and who were between 18 years and 18 years 9 months at 1 April 1959 were also required to register. The Minister of Labour may from time to time, by notice in the Gazette, fix any age between 18 and 21 years as the age for registration. Any person subject to registration under this Act may be served with written notice requiring him to submit himself for medical examination at a specified time, date, and place. The Act preserves the existing liability for six years' service on the reserve of persons who have received training with any of the Armed Forces under the Military Training Act 1949.

STRENGTH OF DEFENCE SERVICES.—The following table gives the strengths of the three Services over the last eleven years. The figures are inclusive of Territorial Force (or service equivalent) and Reserves.

As at 31 MarchNavyArmyAir ForceTotal
19492,2672,5683,0497,884
19502,5113,0963,4959,102
19512,6694,4023,50010,571
19522,5255,9953,98512,505
19532,8236,5584,62414,005
19542,9155,9704,69113,576
19552,8094,5714,76312,143
19562,8324,3804,70111,913
19572,9263,9074,79011,623
19582,9984,4004,76912,167
19593,0074,2304,54711,784

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 command and administration of the Royal New Zealand Navy is carried out by the Naval Board. The Naval Board consists of the Chairman (the Minister of Defence), Chief of the Naval Staff and First Naval Member (a Rear Admiral), Second Naval Member and Member for Personnel and Materiel (a Commodore), Third Naval Member and Member for Supply (a Commodore), and Navy Secretary and Member for Finance (a senior public servant).

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 if required. The remains ships in commission are normally employed within the New Zealand Naval Station.
Black Prince* 
FrigatesRotoiti
 Kaniere
 Pukaki
 Taupo* 
 Tutira* 
 Hawea* 
Survey ShipLachlan 
Ocean MinesweepersStawell* 
 Kiama* 
 Inverell* 
 Echuca* 
Anti-submarine mine-sweeping vesselKiwi* 
Fleet AuxiliaryTuiNaval and oceanographic research.
Ex-netlayerEndeavourAntarctic support ship.
Motor launchesTwelveFishery protection. Training. Survey work. Harbour duties. R.N.Z.N.V.R. Divisions.
Ships under construction: Whitby class FrigatesOtagoLaunched December 1958.
 TaranakiLaunched August 1959.

Shore Establishments.—Navy Office Wellington is the Office of the New Zealand Naval Board and its associated naval and administrative staffs.

The Naval Base at Devonport Auckland consists of the office of the naval officer in charge, Auckland (a Commodore R.N.Z.N.), H.M.N.Z.S. Philomel (the naval barracks and training establishment), the Royal New Zealand Naval Hospital and the Dockyard.

The Dockyard which is administered by a Captain Superintendent and which includes the Naval Store Depot and the Naval Armament Depot is capable of refitting ships up to light cruisers.

H.M.N.Z.S. Tamaki is the new entry training establishment for the Navy and is situated at Motuihe Island, Auckland. H.M.N.Z.S. Irirangi is the wireless station for the New Zealand Naval Station and is situated at Waiouru in the centre of the North Island.

Personnel.—Entry into the Royal New Zealand Navy is open to young men 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.

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; these cadets carry out three years' training at the Royal Australian Naval College, Jervis Bay, New South Wales, before proceeding to the United Kingdom for specialist technical training. To cater for the older age group, young men between the ages of 17 years 8 months and 19 years are eligible for selection as Special Entry Cadets; these cadets proceed direct to the Royal Naval College, Dartmouth, 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.

Suitable ratings who qualify educationally and professionally are eligible for promotion to officer rank, dependent on age and experience.

Women's Royal New Zealand Naval Service.—The Women's Royal New Zealand Naval Service was first formed in 1942 as a wartime service. 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 reverted to their former purely volunteer role.

Strength of the Navy.—The strength of the Navy as at 30 September 1959 is shown below.

 OfficersRatingsTotal
Regular Forces (including W.R.N.Z.N.S.) Active Reserves—2882,6272,915
    Royal New Zealand Naval Reserve14..14
    Royal New Zealand Naval Volunteer Reserve113354467
        Totals (Reserves)127354481
Inactive Reserves—......
    Royal New Zealand Naval Reserve..1,2671,267
    Royal New Zealand Naval Volunteer Supplementary Reserve309..309
    Royal New Zealand Naval Emergency Reserve..573573
    Retired Officers and Pensioners212154366
    Compulsory Naval Reservists21,6651,667
    Royal Naval Volunteer Supplementary Reserve14..14
    Royal Naval Special Reserve (National Service)..44
        Totals5373,6634,200

Naval Expenditure.—During the year ended 31 March 1959 the sum of £7,766,287 was expended on the Royal New Zealand Navy. Of this sum £3,920,000 was expended from vote “Navy”, £3,513,880 from the Defence Fund, and the sum of £332,407 from vote “Defence Construction and Maintenance—Subdivision I—Navy”. The total expenditure for the previous financial year was £6,248,019.

Activities in 1959.—On 16 February H.M.N.Z.S. Endeavour, the Navy's Antarctic support ship, returned after restocking Scott Base and completing a 2,640-mile oceanographic cruise which had covered 24,000 square miles of the Ross Sea. The cruiser H.M.N.Z.S. Royalist left Auckland on 3 February for the Far East where she was until 26 June New Zealand's Naval contribution to the Commonwealth Strategic Reserve. Then on 13 July she left Auckland for a Vice-Regal cruise of the Pacific, during which she took the Governor-General, Viscount Cobham, to 14 islands, ranging almost as far north as the Equator. At the end of the year she took part in combined exercises off the New Zealand coast. Royalist took part in the thirty-ship SEATO Exercise “Sea Demon” while in the Far East in April. Then in August her successor on the station, the frigate H.M.N.Z.S. Pukaki took part in the Commonwealth training exercise “Jet” which was held in the Indian Ocean, In November H.M.A.S. Melbourne and H.M.A.S. Voyager joined ships, including Royalist, and R.N.Z.A.F. aircraft in combined exercises off the New Zealand coast.

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:

Royal Regiment of New Zealand Artillery.

Royal New Zealand Armoured Corps.

Corps of Royal New Zealand Engineers.

Royal New Zealand Corps of Signals.

Royal New Zealand Infantry Corps.

New Zealand Special Air Service.

Royal New Zealand Army Service Corps.

Royal New Zealand Army Medical Corps.

Royal New Zealand Army Ordnance Corps.

Corps of Royal New Zealand Electrical and Mechanical Engineers.

Royal New Zealand Dental Corps.

Royal New Zealand Chaplains Department.

New Zealand Army Pay Corps.

New Zealand Army Legal Service.

Royal New Zealand Provost Corps.

New Zealand Army Education Corps.

Royal New Zealand Nursing Corps.

New Zealand Women's Royal Army Corps.

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 undertake rapidly and efficiently the tasks which will fall to it.

Reorganization.—The White Paper Review of Defence 1958 laid down the proposals for the reorganization of the Army. The administrative and planning procedures necessary for the implementation of these proposals by 1 April 1959 were progressively effected and the main efforts during 1959 were directed towards recruiting and training personnel for the operational Regular units.

Because of the changed conditions the Army must meet in the event of hostilities, it is being reorganized to enable it to play a more effective role in the part it may be required to take in discharging New Zealand's obligations and commitments.

Basically the reorganization provides for:

  1. A static Regular Force.

  2. An operational Regular Formation organized as a brigade group.

  3. A Territorial Force organized as previously but on a voluntary basis.

The Static Regular Force.—The static Regular Force commands, trains, and equips the Army as a whole, including provision of cadre personnel for the Territorial Force.

The previous organization of Army and District troops remains but modifications have been made to the static Regular Force establishments to provide as many troops as possible for the Regular Brigade Group. The modified strength of the static force is approximately 2,500 all ranks, augmented by dual-role service units from the Regular Brigade Group.

The Operational Regular Formation.—The operational Regular Formation will provide an infantry brigade group prepared for overseas service. A battalion of this formation will be deployed overseas with the British Commonwealth Far East Strategic Reserve. In addition this formation assists in the training of the Territorial Force and the Cadet Corps.

The formation is organized on the same basis as the standard British Brigade Group with a strength of 5,619 all ranks.

The Territorial Force.—The volunteer Territorial Force will provide additional formations and certain theatre troops should additional forces be required. Reserves of trained officers and N.C.O.s will be provided from the Territorial Force as necessary to place the Army on a war footing including personnel for Emergency Force units not normally maintained in peace.

The Territorial Force will maintain its divisional structure modified in conformity with current military practice.

It is estimated that the volunteer strength of the Territorial Force will be approximately 7,000 all ranks.

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.

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.

From 1 April 1959 Territorial soldiers serve for a period of three years on the Active List without Reserve liability. On completion of this engagement annual extensions may be granted up to retiring age.

A gratuity of £60 is to be payable to volunteer Territorial Force personnel for each consecutive 3 years of efficient service completed from 1 April 1959.

Conditions of Service.— Regular Force: All officers and soldiers of the Regular Force are liable for service within New Zealand and, with the exception of minors and the 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 three, four, or five may be served on the Active List and the balance on the reserve. Re-engagement may be for a period to complete five, eight, or 12 years' service on the Active List or until retiring age. Reserve service after re-engagement will be for three years or until retiring age, whichever is the sooner.

Women: Three years, with re-engagement for one, two or three years or until retiring age.

Training.Regular Force: Except in the case of special entries all Regular officers are commissioned on graduation from the Royal Military Academy, Sandhurst, England, the Royal Military College, Duntroon, Australia, or from the Officer Cadet School, Portsea, Australia.

Post-graduate and specialist training is received either in New Zealand or at overseas training establishments. Candidates for Staff College must pass the same entrance examinations as British Regular officers except for military law, administration, and morale, upon which candidates are examined by Army Headquarters, Wellington.

Promotion to lieutenant, captain, and major is gained after two, six, and seven years' service respectively in the previous rank, provided that the prescribed promotion courses and examinations are passed.

Regular soldiers are trained at the Army Schools, Corps Depots, and in Regular units in New Zealand. In certain cases special training is received at overseas training establishments. Before promotion to corporal and sergeant, other ranks must pass the prescribed promotion examinations and before promotion to staff sergeant a promotion course.

Territorial Force: Volunteer officers and soldiers are required to carry out annually a minimum of twenty-six and twenty days training respectively to be classified as efficient. Of this training a minimum of fourteen days must be annual camp training.

The maximum number of days training, including attendance at courses, for which officers and soldiers can receive pay is: (a) commanding officers of units, sixty days; (b) other officers, fifty days; (c) non-commissioned officers, fifty days; and (d) privates, forty days.

Before promotion to captain and major, officers are required to qualify at prescribed promotion courses and examinations, and before promotion to lieutenant-colonel at a promotion course.

Training Establishments.The Army Schools: Headquarters, The 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 for officers and specialist non-commissioned officers of the Territorial Force and New Zealand Cadet Corps.

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. Trade training of cadets is carried out at the appropriate corps school or depot.

Other training establishments, the Armoured Corps Depot, School of Military Engineering, and the Medical Corps Depot are situated apart from the central Army School 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 Army in Malaya.—In accordance with New Zealand's undertaking to make a contribution to the British Commonwealth Strategic Reserve in Malaya, a small formation headquarters and an infantry battalion at lower establishment are at present serving in South-east Asia. The original force was replaced at the end of 1959 by a force which totalled approximately 39 officers and 686 other ranks.

New Zealand Cadet Corps.—There are 176 secondary schools with Cadet units. These units are designated by the name of the school. Service is voluntary, and annual training approximates 30 hours. All units are basically infantry, but provision is made in the larger units for such specialist activities as Sea Cadets, Artillery 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 1958-59.—With the abolition of compulsory military training and the reorganization of the Army pending, administrative activity had to be stepped up during the year.

In addition to supplying an officer in the rank of Colonel as New Zealand's senior planner with the SEATO Permanent Planning Organization, the New Zealand Army has provided a Brigadier to fill the international post of Chief, Military Planning Office of the Organization.

Training activities have covered the training of personnel enlisted to bring the Regular and Territorial forces up to strength, and in providing assistance to Territorial units during their period of reorganization and retraining following the release of national servicemen.

Assistance was continued to the Fiji Military Forces and, as previously, up to fifty personnel of these Forces have been seconded to the New Zealand Army for more advanced training.

Five Army officers were provided as United Nations Observers in Palestine and a further three continue to serve as United Nations Observers in India/Pakistan.

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.

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 149 rifle clubs and 24 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 1957-58 and 1958-59.

Year Ended 31 March £
1958Vote: Army7,051,648
 Vote: Defence Construction and Maintenance1,055,070
 Defence Fund579,280
     Total£8,685,998
1959Vote: Army5,943,000
 Vote Defence Construction and Maintenance809,208
 Defence Fund1,464,430
     Total£8,216,638

Strength of the Army.—The strength of the Army as at 30 September 1959 was as follows.

 OfficersSoldiersTotal
Regular Force (including force in Malaya, women, and personnel seconded from the British and Australian Armies)5634,6685,231
Territorial Force (Active)1,1904,0515,241
Reserve of Officers (Regimental List)165..165
Class A Reserve (Territorial Force)..60,74960,749
Class B Reserve (Regular Force)..261261

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 Acts of 1954 and 1959, 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; and 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. R.N.Z.A.F. Station Taieri closed on 31 December 1959, and its training functions have been transferred to Wigram. 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 are selected for apprentice training. This training was formerly carried out at the R.A.F. apprentice schools at Halton and Locking, but from 1960 is being provided by the R.A.A.F. Apprentice Schools at Wagga, New South Wales, and Canterbury, Victoria. Opportunities exist for re-engagement. To qualify for superannuation, it is necessary to complete a minimum period of twenty years' service before attaining the age of fifty-five years. 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 manned by volunteer officers and airmen with wartime experience; personnel with reserve obligations on the completion of regular service; and airmen completing obligations under the Military Training Act 1949. Members of the active reserve have an annual training liability, but at present only selected officers and aircrew are required to carry out training; members of the general reserve have no training obligation but are liable to be called up in the event of war.

The Air Training Corps provides a valuable source of recruits for the Regular Air Force and fosters airmindedness throughout the youth of New Zealand. Annual flying scholarships provide training at the Central Flying School for selected cadets.

Recruitment.—Recruiting is effected through two area recruiting offices located at Auckland and Christchurch, through R.N.Z.A.F. Headquarters, Wellington, and through the Air Training Corps Office in Dunedin.

Operational Units.—Operational units comprise a light bomber squadron and a medium-range transport squadron serving with the R.A.F. in Singapore, a maritime squadron stationed in Fiji, a long-range transport squadron at Whenuapai, and a light bomber squadron based at Ohakea. These squadrons are supported by operational conversion units and a transport support unit.

Training Establishments:Flying Training.—The training of all aircrew is undertaken at the Flying Training School at Wigram.

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 Wigram. 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., Wigram.

Officer training, other than that carried out by aircrew trainees as part of the F.T.S. Course is given at Whenuapai; the training of N.C.O.s and general service instructors is centred at Wigram.

Activities During 1959.—No. 75 Squadron, in Singapore, continues to operate in the light bomber role with squadrons of the R.A.F. and R.A.A.F., and has taken part in operations in Malaya.

No. 41 Squadron, which moved from New Zealand to Singapore in May 1955, also forms part of the British 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. 14 Squadron is re-equipping with Canberra aircraft, and is now training in the light bomber role. The Bomber Operational Conversion Unit has replaced the Jet Conversion Unit, and undertakes the training of pilots for jet aircraft and replacement crews for the light bomber squadrons.

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 conversion training of pilots on to multi-engined aircraft.

As in the previous season the R.N.Z.A.F. provided a measure of administrative support for United States forces stationed in New Zealand in the summer of 1958-59 in connection with Operation Deep Freeze.

An R.N.Z.A.F. Antarctic Flight has again been established and is deployed in support of the New Zealand Antarctic Expedition.

Strength of the Air Force.—The strength of the R.N.Z.A.F. at 31 March 1959 was—

Regular Air Force4,253
W.R.N.Z.A.F.294
Territorial Air Force128
Territorial Air Force Supplement1,554
Active Reserve1,366
General Reserve7,423

Air Force Expenditure.—The total expenditure of the Air Force for the year ended 31 March 1959 was £9,987,009. The comparable figure for 1957-58 was £10,834,826.

ARMED FORCES EMPLOYED OVERSEAS.—A brief summary of forces raised and employed overseas in the post-war period 1945-55 with the British Commonwealth Occupation in Japan, on service with the United Nations forces in Korea, and on garrison duties in Cyprus is given in the 1959 and earlier issues of the Year-Book.

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. 75 Bomber Squadron (which replaced No. 14 Squadron in 1958) and No. 41 Transport Squadron, together with occasional training visits by maritime reconnaissance aircraft. The Royal New Zealand Navy continues to maintain a frigate or a cruiser in the area.

STRENGTHS OF THE ARMED SERVICES IN WAR: 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 comprised 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-rive 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.—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 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
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

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 Force4,1492555203223 4,979
Mercantile Marine110......123..233
Totals11,62515,7497,2181,2511494636,038
Jay force (up to December 1948)11.........11
Korea (up to December 1954)—       
Navy21........3
Army37801......118
Totals39811......121
Malaya (up to September 1959)—       
Army713........20
Air Force52........7
Totals1215........27

SUMMARY OF WARTIME ACTIVITIES OF ARMED FORCES:—A condensed account of the wartime activities of the three armed services was given in the 1958 and earlier issues, of the Year-Book.

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. Under theEmergency Forces Rehabilitation Act 1953 regulations have been 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.

A Rehabilitation Board and a National Rehabilitation Council were set up under the Rehabilitation Act 1941. 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 1959 was 9.

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 in closing of all except two 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. From 1 January 1960 the Rehabilitation Division became part of the Social Security Department.

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 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. Business loans, miscellaneous loans, and related assistance ceased to be available at 31 March 1958.

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 assistance. Those who required 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 loan were required to make their applications within twelve months of the date of their discharge from the Emergency Forces, or their return to New Zealand, whichever was the earlier. Those who returned before 31 March 1957 had 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. The number of men who completed “A” Class training from the inception of the scheme to its closing on 31 March 1954 was 7,346.

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.

During the year ended 31 March 1959 “B” class training was completed by 25 ex-servicemen, and 16 were under training. The total trained under this scheme at 31 March 1959 was 4,304.

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 “C” Class training scheme caters for the resumption of apprenticeships interrupted by service.

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 523 men had completed their training by 31 March 1959. Twenty-one 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 57 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 following table shows the number of ex-servicemen settled and the number of ex-servicemen graded “A” awaiting settlement as at 31 March 1959.

Class of SettlementNumber
Settled on single units by Rehabilitation Loans Committee8,614
Settled on land settlement blocks by Rehabilitation Loans Committee3,151
Settled on land settlement blocks, financial adjustments yet to be made161
Employed by Department of Lands and Survey with promise of titles1
Settled on single units and blocks through Maori Rehabilitation Finance Committee175
Employed by Department of Maori Affairs on single units and blocks with promise of title4
Settled without rehabilitation assistance on freehold, Crown, and private leasehold properties1,065
Maori ex-servicemen assisted by Department of Maori Affairs under Maori Land Amendment Act 193689
        Total settled13,260
Number of “A” Grade ex-servicemen awaiting settlement422

The area of land acquired for the settlement of ex-servicemen up to 31 March 1959 was 2,333,894 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.

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.

During the year ended 31 March 1959 assistance was given to 51 ex-servicemen. Facilities had been granted in 54,374 cases up to 31 March 1959.

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. 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 required 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 with up to two children. The limit increases with the number of children to a maximum of £2,650 where there are five 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—  
    New2,5003
    Existing1,8003

In the case of business, farm, and housing loans the interest rate for the first year is reduced to 2 per cent per annum. Supplementary and suspensory interest-free loans are available in the case of housing loans in appropriate cases. Both classes of loan are on a percentage basis. Supplementary loans, which are interest-free and repayable only in the event of the sale of the security, amount to 5 per cent of the reasonable cost with a maximum of £100 in the case of new houses, and for existing dwellings are 5 per cent of the approved value with a maximum of £90. Suspensory loans, also interest-free, relate to new houses only and are cancelled after a period of seven years provided the owner fulfils the required occupancy conditions. They are limited to 10 per cent of the approved cost with a maximum of £200.

Supplementary loans have also been made available in a number of farm loans, and the Land Amendment Act 1950 extended the suspensory loan principle to cases where ex-servicemen are settled; under the Rehabilitation Act, on Crown land after 1 November 1950. The suspensory loan in such cases is for an amount not exceeding the difference between the 1942 value and the current market value. Such a loan will not be enforceable as long as the purchaser resides personally on the land and farms it for his own use and benefit and fulfils the conditions of any prior mortgage to the Crown or to the State Advances Corporation.

Provided the purchaser fulfils these conditions the loan is discharged at the end of ten years. These suspensory loans were introduced consequent upon the passing of the Servicemen's Settlement Act 1950, which provided that the value of land for the purposes of that Act was to be the current market value instead of the 1942 value.

Particulars of the various classes of loan authorized during the year ended 31 March 1959, and the totals to 31 March 1959, are as follows.

Class of LoanYear Ended 31 March 1959Totals to 31 March 1959
NumberAmountNumberAmount
Purchase of farms, etc.1572,261,49111,76570,901,103
Housing1,9374,165,79157,99884,998,851
Tools of trade....1,48148,914
Furniture29227,79663,4985,954,740
Business2119,83311,5167,518,791
Miscellaneous2100668131,807
        Totals2,4096,475,011146,926169,554,206

Rehabilitation expenditure (including loan authorizations) for the year ended 31 March 1959, together with the totals to 31 March 1959, was as follows.

ItemTo 31 March 1958 From OutsetYear Ended 31 March 1959To 31 March 1959 From Outset
Administration expenses, including advertising and publicity3.248.01741.0873.289.104
Educational facilities, including books, tuition fees, and subsistence allowance1.162.73911.9821.774.721
Trade training—   
  Grants to Disabled Servicemen's Re-establishment League308.3309.714318.044
  Land and buildings for trade-training schemes, Disabled Servicemen's Re-establishment Leagues, etc.285.7461.606287.352
  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)1.567.9988.7151.576.713
  Purchase and establishment of artificial-limb factories31.81322232.035
  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 and travelling expenses, tools, plant, and equipment)5.860.264..5.860.264
  Training of blinded ex-servicemen112.1633.100115.263
 8.369.00323.3578.392.360
Farm training and settlement (excluding loans)—   
Farm training, including fees and subsistence allowance at approved agricultural colleges and training farms, and subsidy to approved employers485.67426485.700
  Purchase of lands for settlement, development, and other expenses in connection therewith (excluding 25,204,085 recovered from Rehabilitation Loans Committee and shown under “Loans”)33,720,6041,316,62035,037,224
 34,206,2781,316,64635,522,924
Loans—   
  Interest concessions7.861.940762.0108.623.950
  Loans authorised (Maori Rehabilitation Finance Committee)2.557.317333.9592.891.276
  Loans authorised (Rehabilitation Loans Committee)163.079.1956.475.011169.554.206
  Reserve Fund contributions2.199.63179.7432.279.374
  Small Farms Act leases; losses and interest concessions55.327..55.327
  Suspensory loans (Maori Rehabilitation Finance Committee)99.01926.455125.474
  Suspensory loans (Rehabilitation Loans Committee)4.428.074341.3114.769.385
  Earthquake damage insurance633..633
 180.281.1368.018.489188.299.625
Grants—   
  Rehabilitation allowances431.885..431.885
  Special grants (including supplementary wage grants to children)107.351566107.917
  Special grants to Returned Services' Associations64.9662.44567.411
  Travelling expenses of ex-servicemen, including fares, furniture removals, and loss of earnings42.6432642.669
 646.8453.037649.882
Other items9.7099.709..
            Totals228.523.7279.414.598237.938.325

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 1959.

TypeNumberAmount
Butchery273239,662
Grocery, general store781691,901
Bakery, dairy, refreshment rooms483340,208
Milk rounds377314,070
Building trades1,031544,876
Mechanical trades543375,190
Manufacturing business343227,274
Stationery and fancy goods133101,394
Eggs and poultry4427,673
Professional equipment1,064555,355
Radio and electrical286160,626
Hotel and guest houses4548,888
Taxi, service car, and transport2,4101,338,367
Carriers and mail contractors1,4201,076,096
Hairdressers, tobacconists14578,215
Boot repairers17158,724
Painters and paperhangers365136,294
Fishing12280,384
Agricultural contractors453326,536
Chemists3944,380
Miscellaneous988725,867
Additional advances..26,811
        Totals11,5167,518,791

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. (See also page 282).

During the year ended 31 March 1959, 43 State rental houses and flats were allocated to ex-servicemen, making a total allocation to 31 March 1959 of 18,321.

The number of loan authorizations for the erection of new homes during the year ended 31 March 1959 was 1,293, making a total of 27,346 to 31 March 1959.

Loans for the purchase of existing dwellings were authorized in 644 cases in 1958-59, while the total up to the end of that period was 30,652.

MAORI REHABILITATION.—The following table gives particulars of assistance afforded to Maori ex-servicemen up to 31 March 1959. 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 1959, 5,352 Maori ex-servicemen had been demobilized, of whom 3,951 had served overseas.

Type of AssistanceNumber of Ex-servicemenAmount Authorized
Loans— £
  Farm2251,383,311
  Housing1,2191,927,264
  Furniture1,463143,822
  Business243106,983
  Tools of trade632,053
  Miscellaneous628,212
      Totals, loans3,2753,571,645
Educational assistance155..
Trade training—  
   “A” Class673..
   “B” Class66..
   “C” Class8..
   “D” Class72..
   “F” Class3..
    Total, trade training822..
Farm training277..
    Total number assisted4,529..

In addition, 89 ex-servicemen have been settled on farms under the Maori Land Amendment Act 1936 and 35 ex-servicemen have received housing assistance under the Maori Housing Act 1935.

DEMOBILIZATION.—Demobilizations as recorded by the Rehabilitation Division total, to date, 216,315.

Chapter 10. SECTION 10—EXTERNAL TRADE

10 A—GENERAL

THROUGHOUT its short history New Zealand has been dependent on overseas trade for its development and progress.

Early trade was principally with Australia. In the 1840's the foundations of the agricultural industries were laid. Sheep had already been introduced and the first shipment of wool was exported to Hobart in 1839. Dairying was established, grain and potatoes were cultivated, and kauri gum was dug from the ground in the far north. In 1853, when the population of New Zealand, exclusive of Maoris, was only 32,000, trade data were first compiled for New Zealand as a whole. The values of the main exports were: timber, £93,000; wool, £67,000; potatoes, £30,000; whale oil, £22,000; kauri gum, £16,000; and grain, £19,000. At this time Australia was settling into its “gold rush” period, and the demands of the rapidly increasing Australian population created an opportunity for increased exports from New Zealand, and quantities of butter and cheese were shipped across the Tasman. A rapid change then took place in the pattern of the trade. In 1855 the principal items were wool (25 per cent of total value), grain (22 per cent), and potatoes (25 per cent). By 1860 wool accounted for 76 per cent of total exports, and with the opening of the goldfields in 1861 wool and gold together accounted for 93 per cent of exports in that year.

During this period the imports far exceeded exports, being about double in value, and consisted mainly of capital goods for the development of new industries, together with clothing and foodstuffs to sustain the growing numbers of new settlers. The borrowing policy initiated by Vogel in 1870 for an extensive public works programme had the immediate effect of increasing imports and later gave an indirect impetus to exports.

The introduction of refrigeration in 1882 further changed the pattern of the trade, as it now became possible to ship perishable foodstuffs to more distant markets. This had the effect of increasing the share of New Zealand's trade enjoyed by the United Kingdom. In 1870 only 52 per cent of the exports went to the United Kingdom; by 1880 the proportion had increased to 75 per cent. Australia, which had been New Zealand's main trading partner in the early years, was receiving only 21 per cent of the exports in 1880 and 15 per cent in 1890, when the export trade was nearing £10 million, and imports were valued at some 6 million.

The following table shows the changing pattern.

Per Cent
YearUnited KingdomAustraliaUnited States of AmericaOther Countries
Exports
18607027 3
18705246 2
1880752122
1890751564
1900771463
191084934
1920745165
1930803512
194088345
19506631021
19585641525
Imports
1860564211
1870583615
1880563149
18906717610
190061171012
19106214816
192048171817
19304781827
194047161225
19506012721
19585317723
10—Ybk.    

New Zealand's secondary industries have not played a large part in the export trade. The change in the industrial background of the trade from its original state of being merely the shipment of natural resources of a basically pastoral economy is illustrated in the following table of exports giving annual percentages of total value.

Per Cent
YearDairyingOther PastoralAgriculturalMiningForestryOther
1880 55152055
1890260139610
190075991276
1910146521144
192022681234
193042502213
1940375713..2
1950306521..2
195823692..33

Since the Second World War New Zealand's external trade has expanded considerably and its importance to the New Zealand economy can be appreciated when it is realized that in recent years exports f.o.b. have averaged 26.8 per cent and imports c.i.f. 27.1 per cent of the gross national product. Moreover, the value per head of New Zealand's overseas trade is one of the highest in any country in the world.

The total values of exports and of imports have shown substantial increases since 1938, and, although price changes have contributed most to the very high values recorded for commodity trade in the post-war years, there have also been considerable increases in volume.

Except for the growth of trade in pulp and paper products, which have assumed importance in recent years, the composition of New Zealand's exports today does not vary greatly from that of pre-war years. About 90 per cent of the total value of exports is still derived from wool, meat, and dairy produce. Except for a period during the Second World War, wool has always been competed for at auction by a number of countries. New markets have been developed for meat; and since the end of bulk purchase by the United Kingdom there has been a considerable switch of meat to markets outside the United Kingdom; in fact in 1958 meat went to over 40 countries. The main new market is the United States of America where beef is imported in boneless packaged form.

Good export prospects are held for the products of the rapidly expanding exotic timber industry. The industry is paying careful attention to the requirements of the Australian market in the way of quality, grading, and packaging of timber, principally radiata pine.

Associated with the timber trade is the recent production of pulp and paper. Paper products— particularly newsprint, kraft paper, and pulp—have been added to the range of New Zealand's exports, the main market being Australia.

Other traditional items such as hides and skins, tallow, sausage casings, seeds. fresh fruit, and fish have, in general, retained their relative position over recent years.

Attention is being given to the development of exports of New Zealand manufactured goods, and, although the trade is still small, there has been some expansion. Trade commissions have surveyed market prospects for a variety of goods of a kind which are, or could be, made in New Zealand.

Over the years the pattern of imports has shown a significant change, due mainly to the growth of New Zealand industry. This has been reflected in an increase in raw material imports and a consequent drop in imports of finished goods. Against this, with the liberalization of New Zealand import policy from 1951 to 1957, there was some return to the pre-war pattern of imports.

Any analysis of the direction of New Zealand's external trade illustrates the importance of the United Kingdom both as a source supplier for import requirements and as the main market for our major exports.

So far as our export markets are concerned New Zealand has unrestricted access to the United Kingdom, but increased competition is being met from United Kingdom producers and other supplying countries.

Perhaps the most important development in recent years has been the expansion of British agriculture fostered by Government subsidies, the aim being to double the pre-war output. Consequently, New Zealand's chief competitor in the supply of some primary products is the United Kingdom farmer. The United Kingdom now produces three times as much meat as New Zealand exports. There has also been a large expansion of milk production in the United Kingdom, and during the last few years increased quantities have been going into the manufacture of butter, cheese, and dried and condensed milk. In addition to competition on the United Kingdom market from other primary producing countries and from home production, New Zealand butter has had to face competition from blended butter and margarine, and the depressing indirect effect of the existence of substantial North American surpluses. A further complication has been the move toward economic integration in Europe.

As a result, New Zealand has found it necessary in recent years to develop supplementary markets, but in doing so has had to face the quantitative restrictions which these potential markets have imposed on agricultural products. Nevertheless, compared with 1938, there has been a marked expansion of New Zealand's overseas markets. The decline in the share of exports to Commonwealth countries (from 91 per cent in 1938 to 65 per cent in 1958) is reflected mainly in the share (though not in the total volume of trade) taken by the United Kingdom, which has dropped from 84 per cent to 56 per cent over that period; this has been balanced by an increase in the share of exports taken by many foreign countries, notably the United States, France, Western Germany, and Japan.

The percentage distribution of New Zealand's import trade has also shown a marked change since 1938 and reflects to some extent both world supply problems and changes in New Zealand import licensing policy, which has been dictated by balance of payments considerations. The Commonwealth share has increased from 74 per cent in 1938 to 80 per cent in 1958, with the United Kingdom improving its position from 48 per cent to 53 per cent and Australia rising from 13 per cent to 17 per cent. The share supplied by the dollar area has shown a downward trend since 1948. Other countries have in general maintained their relative positions.

TRADE STATISTICS.—The statistics of the external trade of New Zealand given in this Section (comprising the three subsections) do not include the Cook Islands and Niue, which, though constitutionally part of New Zealand, are treated separately for trade statistics purposes, nor do they 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 this 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 trade 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.) all 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 15 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 for presentation 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 approximately 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. The movement of specie is not included in these figures.

£(000)
YearExports f.o.b.ImportsYearExports 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.
YEAR ENDED 31 DECEMBER
1949147.281120.033109.121..1955259.289..250.661287.134
1950183.752157.943143.585..1956277.483..234.779268.415
1951248.127206.534187.758..1957276.569..261.738297.098
1952240.561..229.447276.2151958250.173..252.800285.077
1953235.860..163.613192.1801959293.400..205.053231.113
1954244.466..213.155245.820     
YEAR ENDED 31 MARCH
1949148.288119.435108.577 1955235.008..226.769259.773
1950154.603134.825122.569 1956278.776..245.692281.455
1951197.173152.358138.503 1957275.634..236.875270.374
1952248.820246.901224.456 1958275.452..267.034303.438
1953238.413..198.713240.7251959250.179..233.454263.087
1954242.817..173.308201.915     
YEAR ENDED 30 JUNE
1949149.069110.492100.447..1955239.747..241.639277.211
1950162.040140.748127.953..1956270.663..241.782276.848
1951207.708164.902149.911..1957277.603..243.229276.681
1952254.000272.303247.548..1958272.023..268.280305.203
1953244.123..171.592208.2241959260.734..217.262244.641
1954241.829..182.080210.130     

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.
 £s.d.£s.d.£s.d.
193836683491070166
1939351211306665195
194045092918674193
194141763021171105
1942491163216118285
194343189584710234
19444619752379932
194548353210280137
194657116401369850
19477119571109143102
1948801157012150127
1949781396427142164
1950965082148178198
1951127811061023391
19521201031141811*23592*
19531152579172194197
19541161311101150218811
1955121451173923882
195612725107112234137
19571231771174824123
19581098111101111220010
195912513687168213102

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 some of the main trading countries. The source, in respect of data for other countries, 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 1958

£(Stg.)
CountryTotal External Trade Per Head
Belgium-Luxemburg235
New Zealand234
Switzerland224
Canada219
Netherlands219
Sweden215
Venezuela212
Denmark209
Norway208
Hong Kong173
Malaya140
United Kingdom131
Australia125
Ireland115
German Federal Republic111
Austria101
France86
United States of America63

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.
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*
19569,0689,068
1957–0,529*–20,529*
1958–34,904*–34,904*
195962,28762,287

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 during the last eleven years. Per Cent

YearUnited KingdomOther Commonwealth CountriesEuropean CountriesOther Countries
Proportions of Export Trade
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
195664.587.3719.039.02
195758.797.9821.3511.88
195855.788.7916.8818.55
Proportions of Import Trade
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
195751.3826.998.7212.91
195852.5327.088.9911.40

DIRECTION OF EXTERNAL TRADE

The following table shows for the year 1958 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, 1958

£(N.Z.)000
CountryExportsImports
New Zealand ProduceTotalBy Country of PurchaseBy Country of Origin
United Kingdom138,770139,105133,685132,804
Cyprus555960
Aden668580
Bahrain1010904940
North Borneo223131
Brunei....345..
Ceylon1771772,1992,203
Malaya3193191,8441,824
Singapore3493571,3191,152
Hong Kong2002051,090957
India7327365,9325,986
Pakistan36367272
Sarawak113045
Ghana22317513
Kenya and Uganda2323361366
Rhodesia-Nyasaland Federation25825887109
Mauritius34342727
Seychelles....6969
Tanganyika....307308
Union of South Africa6706771,1481,175
Bahamas75752..
Barbados276276....
Bermuda1481481212
British Guiana767647
Canada4,0604,0665,8485,925
Jamaica1,2321,232219227
Leeward and Windward Islands676722
Trinidad and Tobago766766133136
Australia9,74310,26644,34243,680
Fiji8701,0401,2551,218
Gilbert and Ellice Islands3944..91
Nauru2440205538
Tonga1721902929
Western Samoa695755552551
Other Commonwealth countries2442832120
    Totals, Commonwealth countries159,861161,036203,346201,257
Republic of Ireland1671673743
Austria78402430
Belgium-Luxemburg4,5014,5021,8631,939
Czechoslovakia988988440446
Bulgaria166166....
Denmark524526361370
Finland666697110
France14,67714,6801,7381,826
German Federal Republic6,9997,0287,4497,613
Germany, Eastern....121126
Greece3903901819
Italy6,2296,2311,4451,502
Netherlands2,9682,9823,2523,140
Norway6161794832
Poland2,5282,528914
Portugal385385250261
Rumania2323....
Spain77164216
Sweden7007011,9321,983
Switzerland55561,6411,756
Russia (U.S.S.R.)6886882764
Turkey1381384958
Yugoslavia8181811
Burma10510545
China978978247438
Indonesia3512,9373,094
Iran....1,1391,347
Iraq12104106
Israel15215233
Japan5,5135,5142,8212,832
Philippines2122126463
Saudi Arabia1111663663
Ethiopia....3641
Egypt32232211
Morocco696911
Mozambique525211
Brazil....3460
Chile996464
Mexico1111111748
Netherlands Antilles2902901,9891,996
Panama Canal Zone118118....
Panama, Republic2252251..
Peru9595319320
United States of America36,35536,44916,52817,173
Venezuela151587111
American Samoa12012111
Hawaii72072032
French Oceania99179281
Society Islands96971010
Antarctic Regions..141....
Remaining countries9896105123
    Totals, foreign countries88,02788,36649,45551,543
Ships' stores96771....
    Grand totals247,984250,173252,800252,800

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 subsequent years with those for 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 contained in one of the older headings used. From 1957 onwards separate records have been maintained for the Federation of Malaya and for Singapore.

The next table shows the values of New Zealand's trade with the various currency areas during the last six 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
* Not available.
Sterling Area
1954177,356167,459169,721
1955184,349189,051192,081
1956195,372178,870181,533
1957179,963198,648200,929
1958157,239195,487197,645
1959186,017150,878*
Dollar Area
195418,06922,52421,498
195520,36229,72028,651
195624,44024,21723,734
195727,64727,32126,658
195842,07223,33022,554
195948,08422,179*
O.E.E.C. Countries
195439,39918,08117,557
195544,48421,76620,837
195646,94119,75819,075
195752,71123,78323,104
195838,14224,04423,395
195944,87621,779*
Other Countries
19548,9755,0914,379
19559,46410,1249,092
195610,03411,93410,436
195715,46211,98611,047
195811,9499,9399,207
195913,65510,217*
All Countries
1954243,799213,155213,155
1955258,660250,661250,661
1956276,787234,779234,779
1957275,783261,738261,738
1958249,402252,800252,800
1959292,633205,053*

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 eleven years, for the quarter ended December 1956 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)ImportsGovernment Debt and Other ServicesOther PaymentsTotal
PrivateGovernment
Calendar year—
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
1957284.592328.584268.06830.50718.01244.175360.762−32.173
1958273.822358.717240.04634.27720.55850.687345.568+13.149
1959305.948348.825206.23622.73631.98860.983321.943+21.887
Quarter ended—
1956—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
1958—March75.47787.29657.9969.9993.29710.83982.132+ 5.164
      June72.12694.21764.2097.9295.46915.05492.662+ 1.554
      Sept.64.25680.99956.4807.1563.66812.16179.464+ 1.535
      Dec.61.96396.20661.3619.1938.12412.63391.310+ 4.895
1959—March75.24184.04544.8614.6334.64311.49465.631+ 18.414
      June88.44798.07848.8116.2754.44622.35281.884+ 16.194
      Sept.71.08080.95251.1236.4378.75413.11079.424+ 1.527
      Dec.71.18080.75161.4415.39114.14514.02895.004−14.253

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 With19581959
Six Months Jan.-JuneSix Months July-Dec.Six Months Jan.-JuneSix Months July-Dec.
United Kingdom—
  Receipts—
    Exports81.975.492.880.7
    Total108.192.5101.291.4
  Payments—
    Imports96.187.069.876.4
    Total118.9109.890.6100.9
  Surplus (+) or deficit (—)—
    On trade transactions−14.3−11.6+22.9+4.3
    On all transactions−10.9−17.2+10.6−9.5
Sterling Area (including United Kingdom)—
  Receipts—
    Exports90.684.4101.191.1
    Total122.2115.7117.6107.6
  Payments—
    Imports119.8111.787.799.7
    Total149.3142.6124.8133.7
Surplus (+) or deficit (—)—
    On trade transactions−29.327.2+13.4−8.6
    On all transactions−27.1−26.9−7.2−26.1
Dollar Area—
  Receipts—
    Exports25.123.529.122.9
    Total27.042.830.625.4
  Payments—
    Imports11.413.89.615.7
    Total15.118.314.330.3
  Surplus (+) or deficit (—) on all transaction+11.9+24.6+16.3−4.9
Non-Sterling European Payments Union countries and possessions—
  Receipts.—
    Exports24.013.926.119.3
    Total24.414.226.419.3
  Payments—
    Imports7.67.35.96.7
    Total8.88.16.77.6
  Surplus (+) or deficit (—) on all transactions+15.5+6.2+19.7+12.1
Grand totals (including other foreign countries)
  Receipts—
    Exports147.6126.2163.7142.3
    Total181.5177.2182.1161.7
  Payments—
    Imports140.1134.2104.9124.4
    Total174.8170.8147.5174.4
  Surplus (+) or deficit (—) on all transactions+6.7+6.4+34.6−12.7

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 300 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 1958 and 1959 calendar years.

£N.Z.(000)
ItemYear Ended 31 December
19581959
ReceiptsPaymentsReceiptsPayments
Merchandise—    
  Exports273.875..305.980..
  Licensed imports..184.793..199.223
  Decontrolled imports..50.667..4.114
  Government imports..34.277..22.736
  Other imports..4.771..3.098
        Totals, merchandise273.875274.507305.980229.171
Transport.—    
  Freights, fares, ships' charters Travel—4.46412.0464.41212.137
  Private and business (exclusive of fares) Insurance—3.2507.8693.0838.364
  Insurance, reinsurance, other transfers1.9602.3439442.424
International investment income—    
  Interest, dividends, and other private investment income4.3478.7474.8879.291
  Interest on Government and local authority loans..4.117..5.744
        Totals, international investment income4.34712.8654.88715.035
Government transactions—    
  Current expenditure by New Zealand Government overseas..7.226..8.003
  Current receipts by New Zealand Government and expenditure by other Governments in New Zealand2.971..2.194..
        Totals, Government transactions2.9717.2262.1948.003
Miscellaneous current transactions—    
  Commissions, royalties, rebates, etc.1.0363.0461.0293.013
  Films and entertainments..1.140..1.136
  Unilateral transfers (migrants' transfers, personal remittances, charitable, legacies, etc.)7.8537.8807.4219.653
  Expenses of business firms7183.9767943.989
  Other current transactions4981.6976811.639
        Totals, miscellaneous current transactions10.10517.7399.92519.430
Capital transfers—    
  Private6.0832.70412.1662.863
  Government44.1387.58110116.153
  Local authority 687 910
  Drawings Australian bank credit7.403 517.455
        Totals, capital transfers57.62410.97212.31827.380
Unidentified122 82 
        Grand totals358.717345.568343.825321.943

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
194872839786866575
194982859990896778
195081839086868083
195186727276768983
1952100100100100100100100
195392888990907883
195478999090909995
19558599969494118106
19569310597100100107104
1957859810099100116108
195894105106106106112109

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 1948-58, on base: 1952 (= 100).

VALUE INDEX NUMBERS OF EXTERNAL TRADE. Base: 1952 (=100)

YearExportsImportsTotal Trade
1948615156
1949614854
1950766369
19511038292
1952100100100
1953987184
19541029397
1955107109108
1956115102109
1957115114114
1958104110107

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 1913 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 was 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 eleven years 1948-58.

£(N.Z.)
YearSpecie ImportedSpecie ExportedExcess of Specie Imports (+) or Exports (-)
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
195748.93115.026+ 33.905
195897.577161.547−63.970

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.—The administration of the Import Control Regulations of 1938 is carried out by means of Import Licensing Schedules. The first four Schedules were for six-monthly periods and the first three were confidential to Government Departments. Since 1941 the Schedules have been issued for calendar years, with occasional extensions into the following year.

The items in the Import Licensing Schedules were originally divided into: basic items for which licences were allocated according to the applicant's import history in a base year; items subject to individual consideration (C); and items for which no licences were available (D). In the case of basic items there were differentiations between the sources of supply, with emphasis on sterling-area countries, and several hard-currency countries were excluded from the allocation of basic licences.

Import licences are issued by the Customs Department which is advised by the Department of Industries and Commerce on the import of materials and machinery for existing or planned New Zealand manufacturing industries and on the import of goods of a kind made in New Zealand.

In the 1949 Schedule provision was made for token licences to allow old-established business connections with United Kingdom exporters to be maintained on a small scale in cases where no allocation for such items had been made. The amount of token licences was a percentage of 1938 imports from the United Kingdom.

In May 1950 the Government set up an Import Advisory Committee for the purpose of examining the import licensing system and recommending improvements in its administration. The activities of the committee resulted in the extension of import licences on sterling-area countries to all non-scheduled countries commencing with the 1951 Schedule. Scheduled countries are those countries enumerated in the annual Import Licensing Schedule for which only individual licences, limited to the specific country, are issued.

The list of scheduled countries incorporated in the Import Licensing Schedule was reduced from time to time until by 1956 it comprised only the countries in the dollar area, and Japan and Korea.

Apart from the scheduled countries there was full equity from the import licensing point of view between all countries, thus enabling traders to buy from the best source within the non-scheduled countries.

The Import Advisory Committee, which was made the Board of Trade under the Board of Trade Act 1950 as from 1 December 1950, recommended to the Government a number of new departures from the usual set up of the Import Schedule. The innovations were the freeing of a large number of items from licensing if the goods were imported from non-scheduled countries; the introduction of world exemption items (“EE”); and the introduction of two categories of modified “D” items. These two categories were “SD” items which provided for licences for goods of a specific kind not made in New Zealand although similar and possibly competitive kinds may have been manufactured in New Zealand; and “OD” items (opened “D”) which provided for limited imports of goods (especially clothing) of a kind manufactured in New Zealand to give the consumer a greater variety of goods and to introduce some overseas competition in price and quality in fields previously reserved for domestic industries.

In May 1950, as a further liberalization of import licensing, the Government made provision for the issue of no-remittance licences which could be financed out of the applicant's own overseas funds. As no limit was placed on the nature or extent of imports that could be made, nor of the funds to be used, abuses soon became apparent and it was necessary to amend the scheme. A limitation was placed on the type of overseas funds which could be used and the amended scheme applied in general only to imports required by private individuals for their own use and not for purposes of resale.

The import of motor vehicles which had been freed from import licensing was brought back under control in March 1952. Since that date it has been usual to make a separate yearly announcement for motor vehicle imports. A few other items were also brought back under control, the most important being certain kinds of paper for particular uses; jams, jellies, and preserves; and woollen piece goods.

A relaxation of New Zealand's import policy towards Japan was introduced in 1954 and this was continued in subsequent years until in 1958 a trade agreement was completed removing Japan from the list of scheduled countries.

As the sterling area's gold and dollar reserves improved the policy for imports from the dollar area was relaxed. The dollar countries also benefited from the increase in the number of exemption items.

The 1958 Import Licensing Schedule was initially released in August 1957 but, because of New Zealand's balance of payments crisis, the Government found it necessary to withdraw this Schedule and issue a new one which restored import control on virtually all private imports, the main exceptions being passengers' effects and official supplies for diplomatic representatives. The new 1958 Schedule operated from 1 January 1958. Provision was made for goods that had been ordered under items previously exempt and shipped from the country of export to New Zealand not later than 31 December 1957. However, all licences for 1958 imports issued up to that time were revoked and licences were issued in accordance with the new Schedule. Any goods imported against the old 1958 licence and shipped to New Zealand from the country of export not later than 31 December 1957 were a charge against the new licences. All goods ordered overseas but not shipped before 1 January 1958, whether formerly exempt or not, were subject to the new 1958 allocation and importers were required to ensure that provision for them was made under their new licences.

An important change in the new Schedule was that it included all tariff items. The allocations for items were based on 1956 imports but some items were given a “B” category (or “B” plus percentage classification) and these allocations were related to the old 1958 Schedule provision. Other categories were the “C” (individual consideration) and “D” (no allocation) but the “E” (exempt) and “EE” (world exempt) categories were cancelled. It was also necessary to withdraw the scheme for token imports. However, a new category “A” was introduced under which licences were granted for imports from non-scheduled countries up to the full value sought.

For imports from scheduled countries it was provided that licences would be issued on the same basis as provided in the Import Licensing Schedule for similar goods from non-scheduled countries. This meant that imports from scheduled countries were reduced by the same percentage as from other sources.

Because of the further deterioration of New Zealand's balance of payments, the 1959 Schedule provided for lower imports than in 1958. The main features of the Schedule were the withdrawal of category “A” and the reintroduction of “global” licences, which can be used for imports from any source, for all items except a limited number designated “M”. Licences for “M” items were available for non-scheduled countries only. However, it was later decided to issue licences for scheduled countries on the same basis as that which applied to the same goods from other countries.

Towards the end of 1958 there was a considerable improvement in the overseas prices received for New Zealand's exports. This rise continued in 1959 and enabled the Government to make additional funds available for imports. Two major relaxations in April 1959 and June 1959 greatly extended the 1959 provision for imports.

The improvement in New Zealand's overseas reserves was reflected in the 1960 Import Licensing Schedule which was released on 8 October 1959. The new Schedule provides for a much higher value of imports than in 1959 and introduces several new features in licensing procedures. These new departures are aimed at giving the maximum flexibility to importers while retaining those minimum restrictions which were necessary for the effective protection of the balance of payments.

When releasing the Schedule it was announced that, because of the late releases of additional licences in 1959 and to overcome the difficulties associated with the ending of the licensing year during the Christmas and New Year holidays, the validity of 1959 licences was extended to 31 January 1960.

The new Schedule had an increased number of basic allocations, a total of 401 items being in this category. The basis was mainly the value of 1959 licences although in several cases other bases were used. Many items which were previously considered individual were made basic to let the importer know his entitlement as soon as possible, so eliminating delays in dealing with applications for licences.

The exemption of items from import licensing was reintroduced. Although the number of items is not large, their import value amounts to a considerable sum. The items are: raw sugar, crude oil, motor spirits, certain bulk oils (kerosene and lubricating oils), explosives, crude sulphur in bulk and manures. These items were particularly suited for exemption as they are essential, of major value, and are imported by relatively few firms so that actual and likely expenditure can be readily ascertained.

The token licence provision which had been cancelled because of the critical circumstances at the beginning of 1958 was reintroduced in a new form. Over a wide range of items, for which no other allocation has been made, token licences are available for imports from any source to the extent of 10 per cent of the value of imports of the same goods from any source in 1956. For a few items which were severely restricted in 1956 the basis is 100 per cent of the value of 1956 licences. The token licence procedure will permit overseas suppliers and their New Zealand customers to maintain trading contact; it will also introduce variety and keep overseas standards before manufacturers and consumers.

The most important new features of the Schedule were the replacement licence (“R”) scheme and the industry group scheme. The replacement scheme permits an importer to obtain his genuine import needs of an item (with a ceiling of 150 per cent of the value of 1959 licences). An importer is entitled to an initial licence representing 50 per cent of the value of his normal 1959 licence for the “R” items. Further licences will be issued up to the ceiling of 150 per cent in replacement of the value of actual imports made under his 1960 licence. The replacement licence may be issued for each shipment as it arrives or for several shipments, according to the importer's desire and to suit the nature of his business. The “R” system applies also to new importers. Any firm or person wishing to receive a new importer's entitlement must apply in writing to the Collector of Customs providing such information as may be necessary to establish that he has the facilities to engage in the business of importing those goods. The applicant will be told of the licence entitlement available under the “R” items for which he has applied but an actual licence will not be issued until there has been produced evidence of firm orders placed overseas and confirmation of a financial commitment entered into for the purchase of the goods.

The provision for “industry groups” was made with the object of allowing interested licence holders greater flexibility in the use of their total available licence value. There are 15 industry groups. An importer who has a licence entitlement to any of the items in a group may, if he so elects, apply for a licence for the group rather than for the individual items.

The application of “global” licences introduced in the 1959 Schedule was extended in 1960 so that the only goods remaining subject to the “M” limitation are motor vehicles (excluding spare parts) and most timbers. For these items the allocation for “scheduled” countries is the same as for “non-scheduled” countries.

The restoration of import control for all private imports and the selection of 1956 as the base year gave rise to a number of anomalies. Anomalies arose particularly in those cases where for some specific and valid reason an established importer had abnormally low imports in the base year, compared with previous and subsequent years. Some of these anomalies have been eliminated by the liberal provisions of the 1960 Schedule especially where the licence entitlements are no longer dependent on base year imports. Where importers still felt that they were placed at a real disadvantage they were invited to make application to the Customs Department which would examine each case on its merits with a view to establishing a normal pattern of imports.

Exchange Allocation.—With the intensification of import restrictions as from 1 January 1958 ordinary licences carry the right to exchange, but excess licences had to be referred to the Reserve Bank for individual consideration. Under the 1959 Import Licensing Schedule released in October 1958, where payment had not already been authorized or made under excess licences, the necessary exchange was made available before 31 March 1959.

For imports exempt from licensing under the 1960 Schedule (raw sugar, crude oil, motor spirits, certain bulk oils, explosives, crude sulphur in bulk, and manure) trading banks do not have to refer to the Reserve Bank for an exchange allocation.

The section on Banking and Currency contains detailed information on the exchange allocation system.

BOARD OF TRADE.—In May 1950 an Import Advisory Committee was established to examine questions relating to import control and associated matters and to make recommendations thereon to the Minister of Customs. The Committee comprised a chairman and three members. As a result of the Committee's recommendations, many items were exempted from import licensing on non-scheduled countries and a number of reforms were made in the import licensing system.

In December 1950 the Board of Trade Act 1950 was passed. This Act provided for the establishment of a Board of Trade to consist of not more than four members. From 1950 until November 1957 the membership of the Board comprised a chairman and two other members, each of whom had been a member of the Import Advisory Committee. A fourth member was appointed to the Board in November 1957. Members are appointed by the Governor-General on the recommendation of the Minister of Customs, for a term of three years and may from time to time be reappointed. The Board has the powers of a Commission of Inquiry under the Commission of Inquiries Act 1908, and may hold public inquiries and summon persons to give evidence.

The Board's principal function is to make recommendations, within the scope of the legislation, to the Minister of Customs, but it may also, when requested by the Minister of Customs, make recommendations to other Ministers. The advisory functions of the Board include the economic aspects of such matters as the rates of customs duties and the general effect of the operation of the Tariff; the maintenance and expansion of existing industries and the development of new industries;the administration of the licensing of imports and the licensing of exports (except in relation to agricultural or pastoral products) and applications and appeals relating thereto; international trade agreements and conferences; and the marketing and distribution of products and the obtaining of raw materials and other goods for use in industry except as may be specially provided in any other Act in respect of any particular industry or product.

As a result of the Board's recommendations, many additional items, covering a wide field, were removed from import licensing, and control was also relaxed on some other items. Prior to making its recommendations, the Board considered whether additional tariff protection was required and in some cases the tariff was increased.

An important part of the functions of the Import Advisory Committee, and then of the Board of Trade in relation to import licensing, concerned motor vehicles.

On 21 March 1956 Government informed the Board that it should undertake a general review of the Customs Tariff in place of the individual industry-by-industry inquiries and that, until completed, this would be the Board's major work. For the duration of the review, the then Comptroller of Customs would be associated with the Board. The terms of reference for the general review were as follows: “To inquire into the Customs Tariff of New Zealand and to recommend for consideration of the Government any alterations therein having regard to existing trade agreements to which New Zealand is a party; to the general financial, economic, and industrial conditions in, and requirements of, New Zealand; and to the interests of the primary and manufacturing industries, and of consumers”. Government also asked the Board to report particularly on the desirability of (i) changing the basis of value for duty from current domestic value plus 10 per cent to current domestic value or f.o.b. price, whichever is higher, and the abolition of the 10 per cent by a corresponding increase in the rates of duty; (ii) abolishing primage duty and surtax; and (iii) bringing the Tariff more into line with the Brussels Tariff Nomenclature.

The Board was occupied principally on the review throughout the remainder of 1956 and 1957.

In July 1958 the Board, on the request of Government, undertook an investigation into the supply of building materials used in New Zealand with a view principally to reducing the quantity and value of imports of these materials, to encouraging the use of locally-produced materials, and to reducing the costs of building.

During 1958 and 1959 the Board also, following appropriate inquiries, made recommendations to the Minister of Customs upon several tariff matters and upon the availability of supplies of motor vehicle spare parts. In addition the Board has examined and made recommendations on import licensing appeals which have been referred to it by the Minister of Customs.

TRADE COMMISSIONER SERVICE.—Facilities for the promotion of overseas trade are provided by the Department of Industries and Commerce through the service of Trade Commissioners, who are stationed in 13 posts—Sydney, Melbourne, Singapore, Kuala Lumpur, Hong Kong, Tokyo, New Delhi, London, New York, Washington, San Francisco, Montreal, and 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. This is further exemplified by the fact that six posts have been established in the last five years: New York and Singapore in 1956, Trinidad in 1958, San Francisco and Kuala Lumpur in 1959, and Hong Kong in 1960.

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. His task is made easier if he is given adequate notice of the visit.

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.

Business men 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.

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.
194847,84432.15644.5059.473147.821
194951.86730.43946.5546.679147.281
195054.61232.30274.6539.996183.752
195163.32431.302128.17612.862248.127
195279.85650.44581.9989.949240.561
195377.68447.82684.59810.692235.860
195466.79859.55688.43710.449244.466
195570.42368.19093.8879.223259.289
195682.22371.07991.53210.606277.483
195766.29270.706105.95910.117276.569
195858.50279.51880.0378.317250.173

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 is set out a table of volume index numbers for these commodities. A table showing the export price index numbers and terms of trade is given in Section 36.

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

YearValuePercentage*
* Of total exports of New Zealand produce.
 £(000) 
193854,29993.9
193953,74493.6
194069,05794.6
194162,23893.0
194274,36192.3
194361,02986.9
194458,94882.2
194568,11287.0
194689,58289.3
1947120,34294.2
1948137,75094.0
1949138,70295.0
1950174,39995.7
1951239,13797.1
1952228,17995.7
1953223,74695.8
1954229,20494.6
1955246,09395.7
1956259,66794.4
1957257,67693.9
1958231,28393.3

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. The export of scrap metal has also become an important business in the last few years.

Quantity figures of exports of the principal items of New Zealand produce are next given for the years 1956 to 1958, while the Statistical Summary, towards the end of the book, shows the figures for some of the more important commodities from 1909 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)195619571958
Mining products—    
  Coal(ton)6702,902580
  Pumice(cwt.)21,86131,38221,632
  Gold(oz.)20,45026,76919,392
  Scheelite(ton)401511
  Silver(oz.)1,959....
  Cement(cwt.)14,5502,390140
Fishery products—    
  Fish, fresh and frozen(cwt.)60,33765,46647,084
  Fish, other(cwt.)885415597
  Crayfish(cwt.)34,27038,98123,301
  Whale oil(gal.)258,720348,845445,725
  Fish oils and fish-liver oils(gal.)9,56313,27010,437
Forest products—    
  Kauri gum(ton)298197180
Timber—    
  Sawn(sup. ft.)31,049,36127,811,62235,194,070
  For cases in shooks(sup. ft.)3,613,8802,112,3914,881,496
  Wood pulp(ton)47,35564,99468,963
  Newsprint(cwt.)514,795718,134834,743
  Building board(sq. ft.)2,010,214736,8051,133,000
  Plywood(sq. ft.)9,4888,07817,453
Logs, radiata pine(cub. ft.)....1,137,712
Pastoral products—    
  Butter(cwt.)3,348,9882,901,4993,507,844
  Casein(cwt.)268,164282,567401,286
  Cheese(cwt.)1,777,5481,769,5291,788,554
  Milk, dried and condensed(cwt.)953,7301,354,2171,060,610
  Sugar of milk(cwt.)70,75687,27559,838
  Eggs—    
    In shell(doz.)41,58435,73848,646
    Not in shell(lb.)1,628,279418,2823,072
  Honey(lb.)2,092,0322,085,3742,980,069
  Meat, frozen and chilled(cwt.)8,283,0447,768,9198,108,010
  Meat, canned(cwt.)125,515102,85168,864
  Meat extract(lb.)581,969415,735369,233
  Other preserved meat(cwt.)11,18414,26414,040
  Sausage casings(lb.)7,219,5736,981,2057,371,644
  Liver meal(cwt.)32,48433,04434,682
  Cattle hides(number)837,387905,523904,102
  Horse hides(number)10,25010,5639,669
  Calf skins(number)1,117,3681,280,3161,015,100
  Deer skins(number)58,94262,45153,683
  Opossum skins(number)444,467334,144291,290
  Rabbit skins(number)95,51968,690..
  Sheep skins and pelts(number)20,358,75219,811,36920,593,518
  Hair(cwt+)976792768
  Wool(lb.)427,882,287431,529,366456,927,692
  Inedible offals (including dried blood)(cwt.)87,301117,220130,571
  Lard(cwt.)12,27112,20114,137
  Edible tallow(cwt.)188,754186,137225,801
  Edible stearine(cwt.)17,19415,59713,678
  Inedible tallow(ton)30,18036,90039,970
  Neatsfoot oil(gal.)104,045124,86990,986
  Live cattle(number)1051791,462
  Live sheep(number)7,1635,401834
  Live horses(number)301362354
Agricultural products—    
  Apples(lb.)62,471,65256,006,80068,992,960
  Pears(lb.)2,014,0981,382,2304,144,495
  Hops(lb.)262,454320,86490,121
  Potatoes(ton)2,0702,0102,786
  Onions(ton)2,9401,4161,969
  Canned vegetables(lb.)10,290,5798,070,9586,619,705
  Frozen vegetables(cwt.)12,83334,92137,178
  Peas, food(cental)107,853111,048142,851
  Peas, seed(cental)156,136190,024177,337
  Seeds, grass and clover(cwt.)146,403162,552148,230
  Linen flax(cwt.)2,480..133
Miscellaneous—    
  Biscuits(cwt.)2,7633,3933,040
  Ale, beer, stout(gal.)221,738209,367256,553
  Sugar(cwt.)7,7896,3133,123
  Cigarettes(lb.)10,25912,17216,616
  Cut tobacco(lb.)185,523203,655212,048
  Textile waste(lb.)2,004,4212,146,5211,983,731
  Soaps(lb.)1,178,1521,219,7661,416,642
  Scrap metal(ton)57,51492,88564,749
  Chamois leather(sq. ft.)1,301,485315,015221,938

The values of the principal exports are given in the following table.

£
Commodity (New Zealand Produce)195619571958
Mining products—   
  Coal4,25110,4743,511
  Pumice11,28516,10011,698
  Gold243,652310,951232,364
  Scheelite33,2947,7362,761
  Silver312....
  Cement9,2721,588106
Fishery products—   
  Fish, fresh and frozen469,377553,518428,097
  Fish, other28,69813,87617,617
  Crayfish1,175,4551,345,980811,195
  Whale oil77,079106,966110,047
  Fish oils and fish-liver oils31,55627,84342,418
Forest products—   
  Kauri gum33,58728,19620,885
  Timber—   
    Sawn873,944787,9301,032,131
    For cases in shooks185,493107,589272,636
    Wood pulp2,002,1862,625,7722,725,019
    Newsprint1,544,5332,169,5422,631,855
    Other paper and paper board150,269269,644253,298
    Building board38,22812,73119,119
    Plywood5676291,071
    Logs, radiata pine....133,462
Pastoral products—   
  Butter53,168,30938,455,96038,850,362
  Casein2,100,7452,236,9963,109,633
  Cheese22,244,37217,922,77412,401,609
  Milk, dried and condensed4,384,5275,741,4283,806,182
  Sugar of milk325,098436,535322,467
  Other dairy produce..1,408,68511,466
  Eggs—   
    In shell9,4318,40312,001
    Not in shell156,54041,272500
  Honey130,513133,368173,734
  Meat, frozen and chilled63,891,72664,077,63673,489,818
  Meat, canned1,980,8231,643,0381,257,925
  Meat extract151,629162,597114,999
  Other preserved meat156,523170,544173,424
  Sausage casings4,898,2544,652,2954,481,649
  Liver meal117,51586,12983,297
  Cattle hides2,006,9572,283,2232,148,850
  Horse hides25,50420,03217,808
  Calf skins957,967957,437843,603
  Deer skins76,79369,53945,534
  Opossum skins136,602100,14394,474
  Rabbit skins1,7841,734..
  Sheep skins and pelts7,382,3106,645,0155,147,364
  Hair28,18923,14220,366
  Wool91,531,867105,958,78780,036,777
  Inedible offals (including dried blood)362,908518,924417,408
  Lard73,65376,75984,407
  Edible tallow686,582647,565784,579
  Edible stearine69,68362,85654,424
  Inedible tallow1,968,6372,385,6132,628,925
  Neatsfoot oil42,72146,37832,837
  Live cattle25,27129,238108,701
  Live sheep154,793176,13749,586
  Live horses230,975243,028273,856
Agricultural products—   
  Apples1,965,5221,758,6702,159,091
  Pears63,80542,851130,249
  Hops64,27676,81222,607
  Potatoes111,11365,45462,970
  Onions121,27947,48947,430
  Canned vegetables521,441387,320315,335
  Frozen vegetables81,002307,697311,533
  Peas, food231,936263,574301,712
  Peas, seed609,815625,812525,793
  Seeds, grass and clover1,597,4671,189,6051,517,710
  Other seeds54,99445,90744,944
  Linen flax11,092..660
Miscellaneous—   
  Biscuits21,66524,90429,658
  Ale, beer, stout67,02165,01982,370
  Sugar23,67920,58010,843
  Soups490341826
  Infant and invalid food (cereal)110,65668,53827,439
  Cigarettes8,02410,20717,184
  Cut tobacco58,51654,08757,313
  Textile waste159,748186,664139,109
  Soaps48,28348,09451,941
  Scrap metal1,131,2981,860,721897,738
  Dairy machinery80,86193,21171,438
  Chamois leather116,36128,81823,732
  Vitamins and concentrates31,62121,01130,140
  Washing machines15,64919,14625,980
Other New Zealand produce1,399,3571,172,3801,250,617
    Totals, New Zealand produce275,099,210274,305,187247,984,217

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 were 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, and these were published in the 1954 issue of the “Report on and Analysis of External Trade Statistics”.

The following table gives such information for the years 1956-58.

£(000)
Exports—Section and Division195619571958
Section 0. Food   
  Div. 00 Live animals chiefly for food181208160
  Div. 01 Meat and meat preparations71.07970,70679,519
  Div. 02 Dairy produce, eggs, and honey80,10263,71355,257
  Div. 03 Fish and fish preparations1,6801,9191,260
  Div. 04 Cereals and cereal preparations15011465
  Div. 05 Fruits and vegetables3,2492,9933,401
  Div. 06 Sugar and sugar preparations357462340
  Div. 07 Coffee, tea, cocoa, spices, and manufactures thereof1064
  Div. 08 Feeding stuff for animals (not including unmilled cereals)204215197
  Div. 09 Miscellaneous food preparations821785935
            Totals, Section 0157,833141,120141,138
Section I. Beverages and Tobacco   
  Div. 11 Beverages9196109
  Div. 12 Tobacco and tobacco manufactures9398100
            Totals, Section 1183194209
Section 2. Crude Materials, Inedible, Except Fuels   
  Div. 21 Hides, skins, and fur skins, undressed10,60610,1178,318
  Div. 22 Oil seeds, oil nuts, and kernels8....
  Div. 23 Crude rubber, including synthetic and reclaimed   
  Div. 24 Wood, lumber, and cork8767911,166
  Div. 25 Pulp and waste paper2,0132,6352,735
  Div. 26 Textile fibres (not manufactured into yarn, thread, or fabrics and waste)91,766106,25480,227
  Div. 27 Crude fertilizers and crude minerals, excluding coal, petroleum, and precious stones517680
  Div. 28 Metalliferous ores and metal scrap1,1651,873900
  Div. 29 Animal and vegetable crude materials, inedible, n.e.i.2,7652,5182,646
            Totals, Section 2109,251124,26596,072
Section 3. Mineral Fuels, Lubricants, and Related Materials   
  Div. 31 Mineral fuels, lubricants, and related materials601670821
            Totals, Section 3601670821
Section 4. Animal and Vegetable Oils and Fats   
  Div. 41 Animal and vegetable oils (not essential oils), fats, greases, and derivatives2,2392,6572,887
            Totals, Section 42,2392,6572,887
Section 5. Chemicals   
  Div. 51 Chemical elements and compounds314153
  Div. 52 Mineral tar and crude chemicals from coal, petroleum, and natural gas1....
  Div. 53 Dyeing, tanning, and colouring materials374230
  Div. 54 Medicinal and pharmaceutical products1289295
  Div. 55 Essential oils and perfume materials, toilet, polishing, and cleansing preparations1706061
  Div. 56 Fertilizers, manufactured233
  Div. 59 Explosives and miscellaneous chemical materials and products2,1532,3273,251
            Totals, Section 52,5212,5653,494
Section 6. Manufactured Goods Classified Chiefly by Material   
  Div. 61 Leather, leather manufactures n.e.i., and dressed furs1677648
  Div. 62 Rubber manufactures n.e.i.735391
  Div. 63 Wood and cork manufactures (excluding furniture)235135305
  Div. 64 Paper, paperboard, and manufactures thereof1,7492,5362,992
  Div. 65 Textile yarn, fabrics, made-up articles, and related products14811865
  Div. 66 Non-metallic mineral manufactures n.e.i.434125
  Div. 67 Silver, platinum, gems, and jewellery22416
  Div. 68 Base metals2066352
  Div. 69 Manufactures of metal289328416
            Totals, Section 62,9333,3903,999
Section 7. Machinery and Transport Equipment   
  Div. 71 Machinery other than electric586498416
  Div. 72 Electric machinery, apparatus, and appliances139136138
  Div. 73 Transport equipment302231230
            Totals, Section 71,027865783
Section 8. Miscellaneous Manufactured Articles   
  Div. 81 Prefabricated buildings, sanitary, plumbing, heating and lighting fixtures, and fittings9109
  Div. 82 Furniture and fixtures1257
  Div. 83 Travel goods, handbags, and similar articles323
  Div. 84 Clothing997
  Div. 85 Footwear323
  Div. 86 Professional, scientific, and controlling instruments; photographic and optical goods, watches, and clocks386255
  Div. 89 Miscellaneous manufactured articles n.e.i.134135103
            Totals, Section 8209226188
Section 9. Miscellaneous Transactions and Commodities n.e.i.   
  Div. 91 Postal packages159....
  Div. 92 Live animals, not for food232247278
  Div. 93 Returned goods and special transactions..27
  Div. 95 Unclassified goods under £10 in value505963
  Div. 99 Gold244311233
            Totals, Section 9685618582
            Grand totals, merchandise exports277,483276,569250,173

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, in recent years, between one-half and two-thirds of the total value of all exports. In 1958 reduced prices for dairy produce, combined with increased exports of meat to the United States of America, had the effect of reducing the proportion of exports taken by the United Kingdom to 56 per cent.

The trade to European countries has increased considerably in recent years, with the result that the proportion of total exports taken by Commonwealth countries has been correspondingly reduced. In 1948 Commonwealth countries took 80 per cent of the total exports. By 1958 this proportion had fallen to 65 per cent. As is shown in a later table, the exports to European countries are comprised mainly of wool.

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.

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
1956178,7564,0268,43116,76110,40319,50839,598277,483
1957162,1314,43510,11321,69712,26021,73044,203276,569
1958139,1054,06610,26614,6807,02836,44938,579250,173

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 thetable. In the following table figures are given for the value of New Zealand's export trade to European countries during the period 1954-58, together with figures to show the importance of wool as the chief commodity in the trade.

£
Country19541955195619571958
Austria76,50926,05316,70348,9307,922
Belgium and Luxemburg3,401,8624,635,2805,726,0166,317,6414,501,704
Bulgaria1754163,18613,531166,106
Czechoslovakia252,0431,664,7811,775,771972,666987,774
Denmark695,894386,410438,685536,852526,152
Finland74,28948,530126,70362,64866,189
France14,674,98815,286,92016,761,13221,696,76214,679,704
German Federal Republic10,490,65212,687,69310,403,37912,259,6757,027,607
Germany (Eastern)135,827914162....
Greece295,764454,300757,872225,701389,818
Hungary10124049111,354100
Italy4,272,6394,736,9386,657,8126,217,7556,230,525
Netherlands4,073,9714,516,0664,617,4454,086,4872,982,440
Norway82,892111,62051,99153,30760,947
Poland2,278,1172,702,1232,209,6952,988,9842,527,526
Portugal23,36644,78477,344203,778384,668
Rumania233293,106..22,528
Russia (U.S.S.R.)2,942,5482,166,1342,048,6882,680,694687,816
Spain37,976170,36221,1817,6786,756
Sweden453,251462,981708,206511,182700,996
Switzerland110,417427,436147,96577,03155,924
Turkey..3625..137,939
Yugoslavia7,50920,10710,92668,78381,334
    Totals44,380,63450,550,09452,814,48459,041,43942,232,475
Per Cent
Percentage of total New Zealand exports taken by European countries (value basis)18.1519.5019.0321.3516.88
Value (£)
Value of wool exported to European countries35,331,16037,477,86539,152,90749,875,45534,815,615
Per Cent
Percentage of wool exports to total exports to European countries (value basis)79.6174.1474.1384.4882.44
Percentage of total New Zealand wool exports taken by European countries (value basis)39.9539.9242.7847.0752.77

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
Country19481949195019511952195319541955195619571958
United Kingdom73.3073.3866.4457.5765.3367.2166.9865.5964.5858.7955.78
India0.540.600.420.390.630.410.520.740.550.580.30
Pakistan0.050.110.060.080.190.020.01..0.030.01
Canada2.031.501.943.502.181.261.231.641.451.611.63
Australia2.692.562.612.071.641.982.642.593.053.674.12
Other British Commonwealth countries1.341.341.191.382.192.252.422.242.322.092.73
  Totals, British Commonwealth countries79.9079.4372.7164.9772.0573.3073.8172.8171.9566.7764.57
Netherlands1.941.661.871.320.851.041.671.751.671.481.20
Belgium1.021.241.612.121.251.481.401.792.072.291.81
France5.645.224.417.224.416.676.025.916.067.875.89
German Fed. Rep.1.852.043.243.57182.594.304.913.764.452.82
Italy0.510.981.041.561.822.101.751.832.412.252.50
Poland0.140.820.852.961.241.540.931.040.801.081.01
Russia (U.S.S.R.)1.731.980.560.50....1.210.840.740.970.28
Egypt0.140.170.080.140.060.060.060.140.240.030.13
Japan0.030.530.541.551.461.330.520.770.972.842.21
United States of America4.943.7510.0411.6711.387.825.705.847.057.8814.61
Remaining countries2.162.183.052.423.302.072.632.372.282.092.97
  Totals, other countries20.1020.5727.2935.0327.9526.7026.1927.1928.0533.2335.43

Exports to Each Country, 1956-58.—The table following shows 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.

£
Country195619571958
British Commonwealth Countries, Protected States, and Trust Territories   
Europe—   
  United Kingdom178,755,997162,130,837139,105,325
  Gibraltar8..1,763
  Malta294844
  Cyprus4,2206,4174,836
        Totals178,760,254162,137,302139,111,968
Asia—   
  Aden2,1623,6495,595
  Bahrain2,5466,73410,340
  North Borneo1,0641,7452,155
  Ceylon110,17674,080177,036
  Hong Kong236,082161,090205,111
  India1,531,7031,612,579736,202
  Pakistan13,86970,24635,977
  Malaya and Singapore544,754677,063676,095
  Other2,922195688
        Totals2,445,2782,607,3811,849,199
Africa—   
  Gambia and Sierra Leone5,652858..
  Ghana47,87518,8331,548
  Nigeria15,81812,0971,664
  Mauritius4,66920,61134,309
  Kenya and Uganda18,89618,78422,999
  Rhodesia-Nyasaland Federation143,01968,301257,996
  Union of South Africa372,539283,761676,743
  Other8,9961,6061,540
          Totals617,464424,851996,799
America—   
  Bermuda163,771154,919147,764
  British Guiana91,72176,74475,800
  British Honduras1,5073,0824,877
  Bahamas68,16376,26874,556
  Barbados221,938236,476276,429
  Jamaica947,2081,102,0481,232,177
  Leeward and Windward Islands37,61948,59767,375
  Trinidad and Tobago990,736774,815766,201
  Canada4,025,8724,434,5944,065,957
  Falkland Islands768346
          Totals6,548,5426,907,6116,711,482
Pacific—   
  Australia8,430,71710,112,91210,266,097
  Fiji1,323,3501,039,2661,039,917
  Gilbert and Ellice Islands60,16152,66343,936
  Nauru Island56,99569,67239,590
  Norfolk Island5,98812,41513,180
  Papua and New Guinea5,5306,2432,099
  Pitcairn Island1,7671,0131,536
  Solomon Islands4,3273,5822,331
  Tonga304,547300,161190,238
  Western Samoa559,801462,157755,274
  New Hebrides11,25610,8194,264
  Other1,1052,1892,016
          Totals10,765,54412,073,09212,360,478
Antarctic—   
  Ross Dependency....6,039
          Totals, British Commonwealth countries, etc.199,137,082184,150,237161,035,965
Other Countries   
  Europe—   
  Austria16,70348,9307,922
  Belgium and Luxemburg5,726,0166,317,6414,501,704
  Bulgaria163,18613,531166,106
  Czechoslovakia1,775,771972,666987,774
  Denmark438,685536,852526,152
  Finland126,70362,64866,189
  France and Monaco16,761,13221,696,76214,679,704
  Germany (Eastern)162....
  German Federal Republic10,403,37912,259,6757,027,607
  Greece757,872225,701389,818
  Hungary49111,354100
  Italy and San Marino6,657,8126,217,7556,230,525
  Netherlands4,617,4454,086,4872,982,440
  Norway51,99153,30760,947
  Poland2,209,6952,988,9842,527,526
  Portugal77,344203,778384,668
  Republic of Ireland158,672132,850166,724
  Rumania93,106..22,528
  Russia (U.S.S.R.)2,048,6882,680,694687,816
  Spain21,1817,6786,756
  Sweden708,206511,182700,996
  Switzerland and Liechtenstein147,96577,03155,924
  Turkey25..137,939
  Yugoslavia10,92668,78381,334
  Other261....
          Totals52,973,41759,174,28942,399,199
Asia—   
  Burma108,252123,461104,624
  China131,060595,356977,984
  Formosa912,0762,835
  Indonesia16,4641,37650,940
  Iraq5,0521,8391,665
  Israel1472,902151,827
  Japan2,679,3347,825,5315,513,926
  Korea, Republic57612,863..
  Lebanon6,9332172,338
  Philippines201,364483,849212,163
  Saudi Arabia1,76213,40410,844
  Syria3,4295,3119,229
  Thailand3,3398,89832,123
  Other340715..
          Totals3,158,0619,087,7987,070,498
Africa—   
  Algeria3,7465,9151,642
  Belgian Congo93,36284,000532
  Egypt656,40571,823322,475
  Liberia96761,506
  Morocco20,56414,88368,785
  Mozambique22,28811,17551,724
  Sudan25..10,105
  Other12363 
          Totals796,522188,535456,769
America—   
  Argentina1394,9342,483
  Brazil1,32243,480 
  Chile1,5344,9199,460
  Colombia53,80450,3304,595
  Haiti91..9,449
  Mexico121,679177,922110,592
  Netherlands Antilles282,655234,625290,120
  Panama Republic206,537261,794224,972
  Panama Canal Zone6,87311,311118,158
  Peru46,49519,64794,940
  United States of America19,507,99521,730,40836,448,948
  Uruguay34,66117,1971,602
  Venezuela2..14,545
  Other2,8501,6711,290
          Totals20,266,63722,558,23837,331,154
Pacific—   
  Guam....18,109
  Hawaii197,985366,099720,465
  New Caledonia5,67015,3911,237
  Society Islands136,306112,40996,926
  French Oceania3757779,196
  American Samoa114,459128,786121,007
  Other236....
          Totals455,031623,462966,940
Antarctic—   
  Foreign Antarctica....141,242
          Totals, other countries77,649,66891,632,32288,365,802
Ships' stores696,080786,449771,038
          Totals, all merchandise exports277,482,830276,569,008250,172,805

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 1957 and 1958.

Country to Which Exported19571958
QuantityValueQuantityValue
Wool (Greasy, Slipe, and Scoured)
 lb.£lb.£
United Kingdom160,283,53239,637,134171,115,37530,130,615
Union of South Africa417,776112,218714,714147,900
India1,516,638383,4921,377,879276,778
Canada7,207,8241,904,3733,065,008626,083
Australia5,432,3911,267,1664,744,744795,918
Republic of Ireland108,57525,106203,23534,964
Belgium22,805,7035,322,54925,093,3563,905,044
Bulgaria53,04013,531778,254166,106
Rumania....91,06222,528
Norway55,59716,412156,80038,587
Denmark1,437,118421,8032,077,205463,327
Finland69,72819,654112,84622,506
Poland11,782,9782,961,17111,412,6262,527,526
Portugal756,171186,7182,165,756368,080
German Federal Republic38,986,2879,810,14426,838,7585,110,281
Netherlands9,358,7832,263,45910,110,7891,703,656
France87,192,72120,803,92684,767,53214,128,512
Sweden1,452,544427,9702,389,970579,048
Switzerland134,82938,247129,08530,430
Italy15,314,3973,779,21621,851,1913,871,478
Czechoslovakia3,869,581971,8535,109,085987,643
Hungary51,79011,218....
Greece438,096136,661863,447196,031
Russia (U.S.S.R.)9,080,6742,680,6943,313,151687,816
Egypt281,36869,9731,189,949271,263
Morocco12,8664,05475,44813,373
Japan11,296,8393,080,74815,883,6683,056,984
China1,621,110456,0684,796,848929,741
Colombia163,06750,33030,9604,595
Mexico646,054177,571576,852110,592
United States of America39,647,1338,909,98555,803,0388,813,264
Other countries54,15615,34389,06116,108
        Totals431,529,366105,958,787456,927,69280,036,777
Frozen and Chilled Beef and Veal
 cwt.£cwt.£
United Kingdom1,054,1736,276,175257,3951,689,380
Malaya and Singapore4,59829,5451,71917,156
Bermuda1,15913,2991,75432,916
Bahamas3,35027,2324,52951,019
Barbados17,79798,12521,204160,401
Jamaica20,452119,44019,018142,454
Trinidad and Tobago31,253282,68521,434223,672
Canada26,792208,51381,959863,928
Fiji3,26731,3791,29620,525
Tonga1,47413,9359039,961
Western Samoa1,33011,4071,61916,288
Belgium68,361391,3581,81114,306
France11,60579,6922,04413,060
German Federal Republic85,661554,8628,05060,753
Greece7,39345,7825,07233,302
Italy95,466640,67835,482299,126
Netherlands49,311329,4987,71057,828
Panama Canal Zone254208,32274,211
Israel....23,945145,439
Philippines26,465157,5259,23193,526
Japan298,6371,965,53255,422307,787
Netherlands Antilles19,591153,83920,143206,296
United States of America449,3793,969,1621,680,59720,922,941
Guam  1,62515,207
Hawaii19,976204,14438,468542,853
American Samoa2,81930,2022,10922,842
Other countries10,61639,6792,53030,601
        Totals2,310,95015,674,1082,315,39126,067,778
Frozen Lamb and Mutton
 cwt.£cwt.£
United Kingdom4,864,23642,510,0855,045,14440,380,984
Ghana1,36912,963107999
Rhodesia-Nyasaland Federation2,76220,8353002,657
Barbados1,55014,0581,21511,531
Jamaica2,88123,5863,20422,517
Trinidad and Tobago5,03340,9675,11240,212
Bermuda3,39150,4103,25145,139
Canada55,466402,433141,3671,146,383
Fiji8,91954,3358,99650,575
Western Samoa2,17114,4213,55122,527
Belgium11,17357,9601,5175,309
Greece11,63741,78144,160157,616
Netherlands6,66723,9638,32426,434
German Federal Republic12,99454,8972,0077,759
Sweden....5,60633,545
Turkey....37,174137,939
Saudi Arabia1574,16461810,844
Netherlands Antilles1,15411,6187997,724
Panama Canal Zone95410,4669418,564
United States of America11,03045,78067,987539,685
Hawaii2,10823,5243,91038,103
Other countries7,15560,8916,38346,730
        Totals5,012,80743,479,1375,391,67342,743,776
United Kingdom66,418675,01257,000561,574
Hong Kong1,79021,6811,40315,241
Malaya and Singapore6,30075,3572,73429,718
Canada3084,5501,32118,199
Jamaica1,22915,2252,38925,053
Trinidad and Tobago4,70157,7427,61484,936
Australia2,36120,45379410,383
Fiji88811,2811,05711,308
Belgium12,208146,1976,30668,204
Other countries1,68920,0222,56128,882
        Totals97,8921,047,52083,179853,498
Other Frozen Meat
 cwt.£cwt.£
United Kingdom297,6493,547,641265,4713,475,478
Malaya and Singapore1,21410,7361,60213,326
Fiji2,36829,9332,69531,816
Jamaica4,18526,8468,31353,780
Trinidad and Tobago2,99119,3905,76142,381
Belgium2,29516,422204762
German Federal Republic1,68912,9713,01116,217
Australia5,70452,7662,75827,664
Western Samoa2,02712,4052,62216,144
Italy9,63325,0659,01025,667
Netherlands956501,23912,908
Netherlands Antilles1,36910,8111,54115,086
Japan6,95336,7845,04024,555
Philippines2,81819,8491,2606,153
United States of America1,6579,3152,34918,424
Hawaii4666,4111,57614,335
Other countries4,15739,1463,31530,070
        Totals347,2703,877,141317,7673,824,766
Canned Meat
 cwt.£cwt.£
United Kingdom60,2081,001,25339,528769,698
Jamaica7,59595,0226,99992,464
Canada96516,785  
Fiji7,675128,1874,76085,773
Tonga6,492106,5142,42843,122
Gilbert and Ellice Islands2,46328,5801,79729,300
Nauru2,71431,61084714,257
Western Samoa4,99280,6275,23996,770
Society Islands4,59473,8463,38957,781
American Samoa2,76545,5012,14040,666
Other countries2,38835,1131,73728,094
        Totals102,8511,643,03868,8641,257,925
Butter
 cwt.£cwt.£
United Kingdom2,717,57235,663,9823,356,48836,777,921
Hong Kong2,35534,89010,749127,946
Ceylon1,67525,6433,28941,067
India2,21732,8772823,734
Malaya and Singapore4,69369,7245,07061,489
Rhodesia-Nyasaland Federation203134,65761,020
British Guiana1,61124,1541,50918,656
Bermuda4,64666,8564,25951,132
Bahamas2,23732,03494610,816
Barbados1,81628,4481,64823,282
Jamaica24,951381,50731,127423,316
Trinidad and Tobago11,365165,50212,547148,169
Leeward and Windward Islands3775,7361,42617,131
Fiji4,63286,0695,39683,862
Tonga1,00015,75290613,768
Western Samoa1,42322,6191,49822,653
German Federal Republic27,357337,313....
Italy23,595318,87121,059274,191
Philippines20,007293,7423,38241,022
Belgian Congo5,55082,520....
Netherlands Antilles3,01746,6134,11654,327
Panama Canal Zone....2,32332,803
Panama Republic16,650253,34415,650218,316
Peru81515,3333,85963,688
United States of America16,194349,1599,327172,637
Hawaii3,76471,8082,51854,505
Other countries1,96031,1513,81352,911
        Totals2,901,49938,455,9603,507,84438,850,362
Cheese
 cwt.£cwt.£
United Kingdom1,703,12817,178,6221,671,45911,308,321
Union of South Africa4,07936,7399,21565,607
British Guiana3,17331,4364,17432,055
Barbados4,51347,6584,81144,309
Jamaica11,011137,59515,748183,383
Leeward and Windward Islands2,67932,6362,42227,779
Trinidad and Tobago13,897145,35912,864112,347
Australia3,37652,0504,03861,033
German Federal Republic7,17281,06726,274225,826
United States of America12,963135,84532,184287,251
Other countries3,53843,7675,36553,698
        Totals1,769,52917,922,7741,788,55412,401,609
Milk (Dried, Condensed, etc.)
 cwt.£cwt.£
United Kingdom873,2493,545,698743,0292,448,155
Ceylon1,1645,0175,10233,596
India181,116855,01158,607226,824
Malaya and Singapore71,447420,96373,351413,868
Pakistan7,01231,7835,44519,673
Union of South Africa3,59316,3045,29118,661
Mauritius4,05217,3268,93432,403
Rhodesia-Nyasaland Federation2,37913,5198502,460
Canada40,820172,592....
Trinidad and Tobago8,03132,20011,40749,792
Jamaica33,119135,64232,436118,224
Fiji8,15759,0499,18066,011
Western Samoa2,03217,0252,32618,396
German Federal Republic4,20014,9182,0007,020
Netherlands48,200165,16039,399131,814
Denmark12,00035,984....
Japan36,100115,98722,66063,206
Philippines1164523,74111,351
Peru1,3454,3143,90712,523
United States of America5,15316,07615,56845,638
Hawaii....4,37513,441
Society Islands1,99613,0792,77517,686
Other countries8,93653,32910,22755,440
        Totals1,354,2175,741,4281,060,6103,806,182
Edible Tallow
 cwt.£cwt.£
United Kingdom108.971368.79583.111275.493
India40.293144.83339.794132.387
Malaya and Singapore4851.7064.56016.824
Pakistan2.87210.75664225
Australia5.20219.28672.338268.720
Netherlands8.47829.4625.27817.479
Burma11.54142.1442.7189.964
Egypt4961.8505.59120.360
Japan1.3944.8395.51519.491
Other countries6.40523.8946.83223.636
Totals186.137647.565225.801784.579
Inedible Tallow
 Tons£Tons£
United Kingdom20,8001,309,18713,936894,272
Ceylon47532,1211,31693,040
India22216,08744131,253
Malaya and Singapore604,25392461,348
Kenya and Uganda1067524114,236
Pakistan37826,94319713,764
Union of South Africa87556,6906,131392,047
Rhodesia-Nyasaland Federation34824,0572,847183,625
Jamaica1,937130,3841,650113,915
Trinidad and Tobago38424,10582249,850
 Tons£Tons£
Australia25517,31971249,078
Fiji25618,78232322,331
Finland38526,99132622,106
Italy1318,72235724,474
Netherlands3,042181,44855930,242
Mozambique664,12171043,572
Burma1,04873,0301,34392,640
China....19013,242
Japan5,909412,3136,205433,791
Thailand251,65738825,552
Sudan....14510,105
Other countries29416,72820714,442
        Totals36,9002,385,61339,9702,628,925
Cattle Hides
 Number£Number£
United Kingdom113,539303,86997,355248,171
Canada  6,00412,386
Australia12,44928,30012,48533,989
Austria14,25436,1092,2805,450
Denmark8,16023,0872,0655,511
France7,81220,3491,5503,766
German Federal Republic297,093757,011324,525779,145
Italy256,610594,661267,524581,459
Netherlands54,354145,75442,999100,924
Norway13,05736,3938,25022,132
Poland12,00027,813....
Portugal4,4509,8705,82812,269
Yugoslavia25,13068,78330,17876,684
Japan63,770177,00374,026198,659
Morocco4,37310,82920,91547,754
Other countries18,47243,3928,11820,551
        Totals905,5232,283,223904,1022,148,850
Calf Skins
 Number£Number£
United Kingdom233,022172,752101,60978,955
Canada10,00010,00010,00011,000
Belgium20,04014,57057,08145,696
France84,71564,97539,39832,042
German Federal Republic129,62497,013146,158119,016
Netherlands258,817188,324225,143185,771
Italy249,346183,865324,096273,730
United States of America282,602215,572105,71592,236
Other countries12,15010,3665,9005,157
        Totals1,280,316957,4371,015,100843,603
Sheep Skins (With Wool)
 Number£Number£
United Kingdom253.113301,913152,900116,567
Belgium13,45324,25035,17943,201
France672,113641,025542,160329,777
Italy99,819137,193131,08084,803
Netherlands22,42518,14847,86022,294
Other countries5,4988,5825,3354,787
        Totals1,066,4211,131,111914,514601,429
Sheep Skins (Without Wool)
 Number£Number£
United Kingdom2,824,8861,117,9243,691,923993,821
Australia....160,85931,464
Belgium705,170286,612759,532259,204
Denmark....90,75617,623
Finland30,0005,13262,61610,978
France81,83135,376145,68028,782
German Federal Republic188,86083,767216,40367,791
Italy102,10840,960143,36946,292
Netherlands803,531302,8481,219,439373,263
Sweden174,15548,342192,40441,728
United States of America13,828,9893,590,62112,942,1612,602,829
Other countries5,4182,32253,86210,246
        Totals18,744,9485,513,90419,679,0044,484,021
Sausage Casings
 lb.£lb.£
United Kingdom3,296,2822,408,8653,803,6072,605,958
Canada1,644,4511,539,3961,475,9701,209,793
Australia233,27131,23641,66113,882
Denmark25,67315,36020,12518,094
German Federal Republic239,85941,167302,35371,495
United States of America1,539,839615,8481,711,242559,509
Other countries1,83042316,6862,918
        Totals6,981,2054,652,2957,371,6444,481,649
Casein
 cwt.£cwt.£
United Kingdom93.348735,001113,475881,723
India1,23110,5873,80229,434
Canada5,85046,1678,00061,900
German Federal Republic12,49195,35912,89994,314
Italy36,074274,58674,836559,858
Netherlands12,84291,71011,81176,683
Japan35,623300,81047,981410,385
United States of America83,442669,016127,544987,744
Other countries1,66613,7609387,592
        Totals282,5672,236,996401,2863,109,633
Apples (Fresh)
 lb.£lb.£
United Kingdom49,234,5601,544,36454,651,5201,707,852
Malaya and Singapore240,7206,802362,72011,335
Canada1,024,72032,0236,400201
Belgium....2,648,44082,675
Netherlands1,200,00037,4991,592,20049,757
Sweden....805,12025,160
France....1,225,00038,281
German Federal Republic3,668,480114,6405,811,560181,572
Venezuela....405,00012,500
Hawaii120,4003,762573,40017,919
Other countries517,92019,580911,60031,839
        Totals56,006,8001,758,67068,992,9602,159,091
Seeds (Grass and Clover)
 cwt.£cwt.£
United Kingdom76,161511,36057,770674,660
Canada2,12634,7043,15454,817
Australia62,217473,50546,688402,923
Republic of Ireland4,83236,63710,536101,270
Belgium6415,0052,00221,182
France5,57025,96010,08271,726
German Federal Republic91312,2954,19073,194
Italy151471,68614,422
Netherlands1,47917,9781,97127,284
United States of America3,68023,3208,67254,426
Uruguay88416,131....
Other countries4,03432,5631,47921,812
        Totals162,5521,189,605148,2301,517,716
Peas (Food)
 Cental£Cental£
United Kingdom96,278224,773121,171256,261
Belgium1,6763,4198,18416,703
United States of America5,24413,0777,86817,575
Other countries7,85022,3055,62811,173
        Totals111,048263,574142,851301,712
Peas (Seed)
 lb.£lb.£
United Kingdom9,758,806316,89410,336,197294,292
Australia8,662,213291,0496,714,434212,218
Other countries581,39417,869683,10519,283
        Totals19,002,413625,81217,733,736525,793
Wood Pulp
 Tons£Tons£
United Kingdom13,540491,75517,817593,495
India26612,757542,066
Australia42,6761,824,11848,3662,036,899
Korea35412,863....
China3,801124,1341,04132,913
Japan3,613134,615....
Philippines461,5631,50654,225
Other countries69823,9671795,421
        Totals64,9942,625,77268,9632,725,019
Timber (Sawn and Hewn)
 Sup. ft.£Sup. ft.£
Australia27,762,658785,24435,137,6151,029,482
Other countries48,9642,68656,4552,649
        Totals27,811,622787,93035,194,0701,032,131
Timber (for Cases, in Shooks)
 Sup. ft.£Sup. ft.£
Australia737,49036,212547,42027,845
Tonga434,95519,02256,8062,500
Western Samoa908,71150,7004,230,050239,574
Other countries31,2351,65547,2202,717
        Totals2,112,391107,5894,881,496272,636
Fish (Other than Canned)
 cwt.£cwt.£
Australia64,955550,08246,192424,004
United States of America38,6731,332,51322,831793,153
Hawaii28311,69938915,524
Other countries7868,6131,29210,137
        Totals104,6971,902,90770,7041,242,818
Newsprint
 cwt.£cwt.£
Australia718,0822,169,347833,6512,627,944
Other countries521951,0923,911
        Totals718,1342,169,542834,7432,631,855

EXPORTS BY PORTS.—The following table shows for the years 1954-58 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”. This practice was discontinued after 1956, and postal parcels are not now recorded in the export statistics.

£
Port19541955195619571958
* Parcels-post has not been included in New Zealand export statistics after 1956.
Auckland76,196,67889,281,66889,810,88380,495,98576,976,535
Tauranga1,331,3391,613,9783,874,8695,273,9186,217,902
Gisborne3,545,7933,334,3952,883,0183,187,2253,158,703
Napier22,214,54325,991,46924,685,20223,999,74321,475,235
New Plymouth13,362,42014,599,26416,996,72216,366,48116,265,400
Wanganui4422975641,335673
Wellington54,434,53245,320,40455,158,85155,739,84947,855,494
Picton21,93061,80668,07123,17890,321
Nelson906,4551,157,4291,591,9251,832,1281,909,218
Greymouth145,434176,405204,168250,376192,814
Lyttelton22,751,85521,832,93724,833,21226,893,22022,744,022
Timaru13,095,20014,422,41815,674,91716,245,82115,213,945
Oamaru9,0346,855..22810,060
Dunedin15,034,17718,102,58617,269,45319,330,24515,290,217
Bluff21,281,94823,259,81324,271,87026,929,27622,772,266
Parcels-post*134,426127,000159,105....
        Totals244,466,206259,288,724277,482,830276,569,008250,172,805

Auckland occupies a commanding position in the export trade of New Zealand, usually about one-third of all exports being dispatched from 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. The steady increase in the value of exports through Tauranga is attributed to the pulp, paper, and timber industries of the district.

EXPORTS FOR YEARS ENDED 30 JUNE.—As indicated elsewhere in this Section (page 310), 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 JUNE1957-59

Commodity1956-571957-581958-59
Mining products—    
  Coal(ton)2242,9017,718
  Gold(oz.)26,56423,28619,714
Fishery products—    
  Fish(cwt.)101,60893,71973,109
Forest products—    
  Kauri gum(ton)286182114
  Timber, sawn(sup. ft.)30,288,01831,556,97137,971,164
  Timber, for cases, in shooks(sup. ft.)2,590,1683,294,6144,495,633
  Logs, radiata pine(cub. ft.) 353,3802,279,511
  Wood pulp(ton)55,49369,15073,451
  Newsprint(cwt.)690,537777,771812,544
Pastoral products—    
  Butter(cwt.)3,143,8573,449,3213,455,768
  Casein(cwt.)258,622337,725535,901
  Cheese(cwt.)1,769,1241,825,5251,635,674
  Milk, dried(cwt.)1,111,4401,196,9531,139,901
  Milk, preserved(cwt.)93,89854,72935,783
  Sugar of milk(cwt.)72,94171,15479,615
  Eggs, not in shell(lb.)1,261,625143,3722,490
  Honey(lb.)1,688,7993,167,5871,994,470
  Beef, chilled(cwt.)494,816144,91110,952
  Beef, frozen(cwt.)1,817,1361,988,0461,891,816
  Lamb, frozen (whole carcases)(cwt.)4,335,6314,178,1764,658,641
  Mutton, frozen (whole carcases)(cwt.)1,292,865844,4861,116,863
  Pork, frozen(cwt.)145,06560,723115,859
  Veal, frozen(cwt.)269,475213,274185,746
  Other frozen meat(cwt.)445,639369,655456,404
  Meat, canned(cwt.)106,88499,68753,325
  Meat extract(lb.)551,803464,205349,384
  Sausage casings(lb.)6,559,4127,661,3058,270,217
  Liver meal(cwt.)22,45339,28643,313
  Inedible offals(cwt.)104,890122,187138,841
  Calf skins(number)1,283,8271,222,583965,816
  Cattle hides(number)816,487969,916905,454
  Rabbit skins(number)136,068....
  Opossum skins(number)392,631289,968300,843
  Sheep skins, with wool(number)1,083,5121,095,5711,069,162
  Sheep skins, without wool(number)16,772,60320,646,38523,561,660
  Wool lb.(000)420,621458,782515,582
  Edible tallow(cwt.)151.533220.567240.287
  Inedible tallow(ton)31.94738.65441.825
Agricultural products—    
  Apples(lb.)53.548.19771.846.15272.298.728
  Hops(lb.)249.544221.84690.133
  Potatoes(ton)1.6412.2912.839
  Onions(ton)2.6961.7913.309
  Canned vegetables(lb.)10.487.8866.635.0734.092.813
  Frozen vegetables(cwt.)27.30933.49549.846
  Peas(cental)284.452340.260337.444
  Seeds, grass and clover(cwt.)155.582176.015114.736
  Linen flax and tow(cwt.)1.170..551

VALUES OF PRINCIPAL ITEMS OF NEW ZEALAND PRODUCE EXPORTED YEARS ENDED 30 JUNE 1957-59

£
Commodity1956-571957-581958-59
Mining products—   
  Coal1.42710,47131,814
  Gold308,236279,396236,496
Fishery products—   
  Fish1,841,6861,700,8051,315,879
Forest products—   
  Kauri gum34,68323,95114,421
  Timber, sawn876,852904,1701,134,371
  Timber, for cases, in shooks135,787179,064248,821
  Logs, radiata pine 37,930253,197
  Wood pulp2,321,2832,731,5922,846,729
  Newsprint2,075,7632,404,9222,546,634
Pastoral products—   
  Butter42,265,77944,588,94038,699,171
  Casein2,017,9892,736,8314,047,089
  Cheese21,312,76613,158,51417,124,432
  Milk, dried4,695,5664,538,6774,050,226
  Milk, preserved519,878349,387209,010
  Sugar of milk357,670376,846404,458
  Other dairy products1,337,54584,26212,063
  Eggs, not in shell79,65014,414411
  Honey108,136197,134108,228
  Beef, chilled3,067,895972,724116,634
  Beef, frozen10,498,41717,902,37223,339,280
  Lamb, frozen (whole carcases)41,226,55038,826,90939,299,057
  Mutton, frozen (whole carcases)5,048,8883,173,8874,030,921
  Pork, frozen1,496,700650,7051,155,989
  Veal, frozen2,117,3721,929,9992,355,151
  Other frozen meat4,423,3864,031,5085,135,038
  Meat, canned1,721,1561,648,1141,030,535
  Meat extract154,954167,54885,612
  Sausage casings4,293,7374,898,8414,343,452
  Liver meal69,59698,859127,136
  Inedible offals494,598444,560472,978
  Calf skins1,039,088925,199868,375
  Cattle hides2,005,2382,439,4522,269,190
  Rabbit skins3,236....
  Opossum skins110,523101,53694,762
  Sheep skins, with wool1,012,1971,034,822595,915
  Sheep skins, without wool4,995,5515,225,1586,521,623
  Other hides and skins214,091127,304155,504
  Wool98,204,23197,171,79380,281,366
  Edible tallow535,715765,173845,434
  Inedible tallow2,089,7772,572,2172,680,965
Agricultural products—   
  Apples1,693,5602,246,8432,260,924
  Hops57,57356,12722,611
  Potatoes80,13760,50066,654
  Onions114,98055,36988,499
  Canned vegetables505,445321,733204,418
  Frozen vegetables228,211283,959478,489
  Peas890,146941,916846,203
  Linen flax and tow5,475..2,747
  Seeds, grass and clover1,537,5641,292,5921,345,959
Other New Zealand produce5,221,8234,740,0064,059,405
        Totals, New Zealand produce275,448,506269,425,031258,464,276

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 quarter and a third of the total reexports. The balance is made up principally of miscellaneous stores sent to the Pacific Islands and goods returned to the United Kingdom and Australia. Munitions and war stores comprised the bulk of the large totals for the later war years.

Particulars of re-exports over a period of twenty-one years are contained in the next table. Specie is not included in the figures.

 £
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
19572,263,821
19582,188,588

The destination of this re-export trade for the last three years is shown in the following table.

£
Country195619571958
United Kingdom568,279411,760335,812
Hong Kong38,4638,3585,402
India26,4436,6573,864
Malaya and Singapore9,3486,7197,898
Union of South Africa14,3587,5886,312
Canada10,10114,5785,614
Australia559,679607,842523,064
Fiji255,348174,240170,358
Gilbert and Ellice Islands11,04715,4744,548
Nauru Island16,12920,72715,350
Norfolk Island1,1675,7838,290
Papua and New Guinea1415,341372
Solomon Islands584779565
Tonga21,28626,92318,442
Western Samoa51,77144,13360,703
German Federal Republic29,24419,80528,746
Belgium7252,429588
France2,2822,0882,348
Sweden3,2612,851925
Switzerland4,0914,0371,156
Netherlands39,31143,45514,080
Indonesia16,05416547,832
Japan7375,404534
United States of America62,40788,13293,944
Society Islands6,154849532
Foreign Antarctic regions....141,242
Other countries21,23324,48015,268
Ships' stores613,977713,224674,799
          Totals (excluding specie)2,383,6202,263,8212,188,588

GOODS SHIPPED TO COOK ISLANDS AND NIUE.—Trade with the Cook and associated Pacific Islands is not regarded as external to New Zealand, but merely as interchange between different parts of the country, and it is therefore not included in the account of the external trade. The trade of these islands with other countries is also omitted from New Zealand trade statistics.

Separate returns are made of the transactions between New Zealand and these islands, and the values of goods shipped to the islands are summarized below.

£
YearExports
1948291,227
1949278,471
1950210,066
1951525,100
1952478,290
1953490,440
1954559,775
1955587,650
1956565,930
1957656,516
1958750,673

Further particulars regarding the trade of the islands will be found in Section 43, Island Territories.

10 C—IMPORTS

THE statistics of imports are compiled from entries passed at the Customs. The values shown in this section for imports, are c.d.v. (current domestic value in the country of export at time of shipment) unless otherwise stated. In certain tables the value c.i.f. (cost including insurance and freight) is also given. Import values are expressed in terms of New Zealand currency. In Section 10A will be found (in conjunction with export figures) a summary of import totals for recent years, expressed both in New Zealand currency and in sterling, together with a series of index numbers on import prices and of the volume of import trade. Import totals are exclusive of specie, except where the contrary is expressly stated. Reference should be made to Section 10A for details of the systems of valuation of imports as now used in these tables.

IMPORT CONTROL.—Reference to import control is made in Section 10A.

CLASSIFICATION OF IMPORTS.—The table following, classifying imports by broad divisions, is based on a grouping of the divisions given in the subsequent table. It illustrates the great variety of imports which New Zealand receives in exchange for its few basic exports. The headings used in this table differ from those used in issues of the Year-Book prior to 1957 on account of the change made in 1955 to the use of the Standard International Trade Classification, and no precise comparisons can be made with values under the headings in use prior to the introduction of the new classification.

£(000)
Calendar YearImports (c.d.v.)
Food, Beverages, and TobaccoMineral FuelsChemicals, Including Manufactured FertilizersBase Metals and Manufactures of MetalMachinery and Transport EquipmentTextiles, Clothing, and FootwearTotal*
* Including divisions not listed.
195017,53810,2147,74016,77236,40030,956143,585
195121,43910,74310,15120,08646,22643,607187,758
195223,71515,07412,16634,15566,67235,157229,447
195319,74113,0678,09722,87147,00723,573163,613
195424,82914,96413,23727,13561,48935,272213,155
195526,22616,55115,80135,16575,45637,229250,661
195625,23718,96915,51632,58367,27533,518234,779
195727,55521,87917,52138,63774,64237,638261,738
195824,76919,95220,70338,58871,23836,786252,800

Since 1914 the statistics of both imports and exports have been classified according to the nature of the commodity, the items being assembled in well-defined classes. In January 1949 the list of individual trade items within each class recorded for statistical purposes was greatly extended, and the contents of a few of the classes were slightly altered. At the same time a mechanical (punched card) system of compiling trade statistics was installed by the Customs Department.

In Section 10A 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 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, and these were published in the 1954 issue of the Report on and Analysis of External Trade Statistics.

The following table gives such information for the years 1957 and 1958, together with valuations both c.d.v. and c.i.f.

£(000)
Section and Division19571958
c.d.v.c.i.f.c.d.v.c.i.f.
Sect. 0. Food    
  Div. 00 Live animals chiefly for food40536683
  Div. 01 Meat and meat preparations310320366375
  Div. 02 Dairy produce, eggs, and honey29316453
  Div. 03 Fish and fish preparations1,2901,426841922
  Div. 04 Cereals and cereal preparations6,6327,7086,4057,708
  Div. 05 Fruits and vegetables4,7865,7944,1445,517
  Div, 06 Sugar and sugar preparations4,7985,6094,0014,761
  Div. 07 Coffee, tea, cocoa, spices, and manufactures thereof3,9705,3234,1565,360
  Div. 08 Feeding stuff for animals (not including unmilled cereals)861104659
  Div. 09 Miscellaneous food preparations311341156170
      Totals, Section 022,25326,71320,24625,008
Sect. 1. Beverages and Tobacco    
  Div. 11 Beverages2,6643,2071,9232,232
  Div. 12 Tobacco and tobacco manufactures2,6382,7602,6012,824
      Totals, Section 15,3025,9674,5245,056
Sect. 2. Crude Materials, Inedible, Except Fuels    
  Div. 21 Hides, skins, and fur skins, undressed53556466
  Div. 22 Oil seeds, oil nuts, and kernels407458247285
  Div. 23 Crude rubber, including synthetic and reclaimed1,6262,1531,8682.071
  Div. 24 Wood, lumber, and cork3,1834,3292,3553,434
  Div. 25 Pulp and waste paper316571381479
  Div. 26 Textile fibres (not manufactured into yarn, thread, or fabrics and waste)1,1601,3051,2101,361
  Div. 27 Crude fertilizers and crude minerals, excluding coal, petroleum, and precious stones2,7036,2452,7545,804
  Div. 28 Metalliferous ores and metal scrap121489
  Div. 29 Animal and vegetable crude materials, inedible, n, e.i.9971,1081,0221,127
      Totals, Section 210,45716,2399,90814,635
Sect. 3. Mineral Fuels, Lubricants, and Related Materials    
  Div. 31 Mineral fuels, lubricants, and related materials21,87928,13919,95225,209
      Totals, Section 321,87928,13919,95225,209
Sect, 4. Animal and Vegetable Oils and Fats    
  Div. 41 Animal and vegetable oils (not essential oils), fats, greases, and derivatives7778649101,026
      Totals, Section 47778649101,026
Sect. 5. Chemicals    
  Div. 51 Chemical elements and compounds4,0864,7475,2836,033
  Div. 52 Mineral tar and crude chemicals from coal, petroleum, and natural gas159269147290
  Div. 53 Dyeing, tanning, and colouring materials1,2291,3511,7761,949
  Div. 54 Medicinal and pharmaceutical products3,2683,2383,7963,727
  Div. 55 Essential oils and perfume materials, toilet, polishing, and cleansing preparations1,3281,330866896
  Div, 56 Fertilizers, manufactured1,0731,7641,2041,839
  Div. 59 Explosives and miscellaneous chemical materials and products6,3786,5057,6327,889
      Totals, Section 517,52119,20420,70322,623
Sect. 6. Manufactured Goods Classified Chiefly by Material    
  Div. 61 Leather, leather manufactures n.e.i., and dressed furs1,0221,0661,0091,049
  Div. 62 Rubber manufactures n.e.i.1,7141,6651,6901,615
  Div. 63 Wood and cork manufactures (excluding furniture)8451,047649835
  Div, 64 Paper, paperboard, and manufactures thereof6,7207,5996,6987,682
  Div. 65 Textile yarn, fabrics, made-up articles, and related products33,58036,30833,48736,396
  Div. 66 Non-metallic mineral manufactures n, e.i.4.3335,0664,1144,838
  Div. 67 Silver, platinum, gems, and jewellery1,0601,112670697
  Div. 68 Base metals26,35130,32127,93631,991
  Div. 69 Manufactures of metal12,28613,27010,65311,368
      Totals. Section 687,91197,45386,90596,471
Sect. 7. Machinery and Transport Equipment    
  Div. 71 Machinery other than electric34,67837,32232,26433,764
  Div. 72 Electric machinery, apparatus, and appliances14,92915,46917,42818,131
  Div. 73 Transport equipment25,03527,65521,54523,914
      Totals, Section 774,64280,44571,23875,809
Sect. 8. Miscellaneous Manufactured Articles    
  Div. 81 Prefabricated buildings, sanitary, plumbing, heating and lighting fixtures, and fittings1,0811,193715797
  Div. 82 Furniture and fixtures390438236278
  Div. 83 Travel goods, handbags, and similar articles1481625662
  Div. 84 Clothing3,0343,2552,3102,517
  Div. 85 Footwear1,0241,1259891,080
  Div. 86 Professional, scientific, and controlling instruments; photographic and optical goods, watches, and clocks4,8004,6844,6684,438
  Div. 89 Miscellaneous manufactured articles n.e.i.9,90010,5578,8769,516
      Totals, Section 820,37821,41417,85118,687
Sect. 9. Miscellaneous Transactions and Commodities n.e.i.    
  Div. 92 Live animals, not for food32286533
  Div. 93 Returned goods and special transactions878110489
  Div. 95 Unclassified goods under £10 in value446497344379
  Div. 99 Gold53535252
      Totals, Section 9617659564553
      Grand totals, merchandise imports261,738297,098252,800285,077

The next classification presented is that according to the purpose or use of commodities, particulars being given for the years 1947, 1956, 1957, and 1958. 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 Merchandise1947195619571958
Producers' materials—    
  Building and construction5,01310,61811,7259,399
  Farm2,5195,5574,6914,376
Manufacturing—    
  Food7,12210,94512,75011,965
  Beverages2391,0155901,111
  Tobacco1,1091,6811,6812,108
  Textiles (apparel or household goods)20,34620,58222,99924,793
  Other20,43849,27757,96664,738
Fuels and lubricants6,42118,27921,00219,220
Auxiliary aids to production3,4733,6604,2784,124
Producers' equipment—    
  Farm2,1407,2267,6406,130
  Commerce and industry16,60235,76740,48941,141
Transport equipment—    
  Railway1,4263,8384,9645,655
  Road12,79920,00020,64516,752
  Other2861,0351,4731,182
Consumers' goods—    
  Food2,5525,6856,8055,406
  Beverages3,0685,2195,7664,580
  Tobacco1,9809881,032539
  Clothing and accessories4,7174,6495,2024,111
  Household equipment6,83511,30811,8419,428
  Other8,29114,98216,42614,119
Unclassified1,2642,4681,7731,924
          Totals, merchandise imports128,641234,779261,738252,800

In the next table particulars are given of New Zealand's import trade for the years 1947, 1956, 1957, and 1958, 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)
1947195619571958
* Including unclassified items.
Producers' materials—    
  Crude8,92915,63215,51216,205
  Simply transformed12,89731,52338,20838,953
  More elaborately transformed34,96052,52058,68363,333
Fuels and lubricants—    
  Crude1,81450501
  Simply transformed4,60718,23020,95219,219
  More elaborately transformed........
Auxiliary aids to production—    
  Crude........
  Simply transformed........
  More elaborately transformed3,4733,6604,2784,124
Producers' equipment—    
  Crude89484066
  Simply transformed881,628710889
  More elaborately transformed18,56641,31747,37946,316
Transport equipment—    
  Crude........
  Simply transformed5766302,6972,306
  More elaborately transformed13,93524,24324,38621,282
Consumers' goods—    
  Crude3,8325,3496,0935,743
  Simply transformed250288588456
  More elaborately transformed24,62537,19340,39131,984
Total merchandise imports*    
  Crude14,66421,07921,69522,018
  Simply transformed18,41852,29963,15561,823
  More elaborately transformed95,559161,402176,888168,960
          Totals, all merchandise*128,641234,779261,738252,800

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
1947195619571958
* Including unclassified items.
Producers' materials—    
  Crude6.96.75.96.4
  Simply transformed10.013.414.615.4
  More elaborately transformed27.222.422.425.1
Fuels and lubricants—    
  Crude1.4......
  Simply transformed3.67.88.07.6
  More elaborately transformed........
Auxiliary aids to production—    
  Crude........
  Simply transformed........
  More elaborately transformed2.71.61.61.6
Producers' equipment—    
  Crude........
  Simply transformed..0.70.30.4
  More elaborately transformed14.417.618.118.3
Transport equipment—    
  Crude........
  Simply transformed0.40.31.00.9
  More elaborately transformed10.810.39.38.4
Consumers' goods—    
  Crude3.02.32.32.3
  Simply transformed0.20.10.20.2
  More elaborately transformed19.115.815.412.7
Total merchandise imports*    
  Crude11.49.08.38.7
  Simply transformed14.322.324.124.5
  More elaborately transformed74.368.767.666.8
          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 1957 only 51.4 per cent of imports came from that source. A slight rise in the proportion of imports coming from the United Kingdom, however, took place in 1958. The trade with Australia in most of the recent years has been between 10 and 14 per cent of the total. In 1957 and 1958, however, it rose to 17.3 per cent.

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
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
1957136,623,39770,758,57654,356,174134,487,75570,640,43756,609,955261,738,147
1958133,684,84169,660,78349,454,801132,803,80468,453,54351,543,078252,800,425

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 1956 to 1958,

£
Country195619571958
British Commonwealth Countries, Protected States, and Trust Territories   
Europe—   
  United Kingdom126.144,053134,487,755132,803,804
  Cyprus1,26782859,946
  Malta13,48123,18614,710
  Other313....
Asia—   
  Aden Colony and Aden Protectorate911,279720,76680,021
  Bahrain3,191,431903,872939,751
  North Borneo7,17918,93531,229
  Sarawak28,21033,29145,056
  Ceylon2,221,6292,577,9992,202,991
  Malaya and Singapore3,178,9393,221,4482,976,185
  Hong Kong941,929961,736956,972
  India3,458,1554,976,5355,985,880
  Pakistan88,47460,45472,115
Africa—   
  Seychelles..2869,169
  Gambia and Sierra Leone5,458....
  Ghana461,270286,427513,192
  Nigeria7,5174,4768,102
  Kenya and Uganda304,920183,076365,738
  Rhodesia-Nyasaland Federation16,38029,596109,248
  Mauritius28,16133,46426,535
  Swaziland, Bechuanaland, Basutoland..103525
  Tanganyika Territory255,028256,791307,641
  Union of South Africa1,010,5451,200,9381,175,232
  Zanzibar3,2053,1224,764
  Other46..30
America—   
  Bermuda109..11,553
  British Guiana26,20029,8817,487
  Jamaica246,651257,811226,680
  Trinidad and Tobago183,461344,186136,118
  Canada6,257,5076,633,6275,925,179
  Other1,5461,1392,849
Pacific—   
  Australia33,305,45845,184,80043,679,697
  Fiji1,463,2201,436,9191,217,700
  Gilbert and Ellice Islands152,438174,12890,731
  Nauru Island630,799623,845538,497
  New Zealand (re-imports)122,47958,31382,225
  Tonga62,82952,26328,982
  Western Samoa258,761336,747550,527
  Other11,6699,70710,286
        Totals, British Commonwealth countries185,001,996205,128,192201,257,347
Other Countries   
Europe—   
  Austria368,419438,687429,695
  Belgium and Luxemburg2,109,4452,012,8761,939,159
  Czechoslovakia345,965437,286446,254
  Denmark306,025481,907369,778
  Finland55,37768,738110,129
  France1,945,3861,768,7671,825,914
  German Federal Republic6,591,0097,815,8597,612,967
  Germany, Eastern59,81299,063125,778
  Greece4,58818,31619,266
  Republic of Ireland10,91633,71242,676
  Italy1,485,4941,599,8841,502,333
  Netherlands2,085,9662,450,3283,139,872
  Norway673,398742,392832,065
  Poland39,6696,52813,970
  Portugal193,676218,722261,175
  Russia (U,S,S,R,)32,65241,55564,375
  Spain143,116171,940215,973
  Sweden1,834,9512,540,8591,982,727
  Switzerland1,547,8461,849,1991,756,412
  Turkey46,43767,87457,601
  Yugoslavia4,2086,85211,323
  Other6,7244,2608,350
Asia—   
  Burma3,5091,8934,789
  China324,759340,764437,697
  Formosa14,39512,07213,384
  Indonesia6,311,4565,703,9503,094,213
  Iran1,583,5911,412,9831,347,278
  Iraq111,222117,811106,221
  Japan2,237,0412,236,3282,832,152
  Philippines51,61329,58162,888
  Saudi Arabia505,332650,107663,253
  Thailand29,97940,58429,675
  Other8,21016,3559,486
Africa—   
  Algeria3,3482,0674,792
  Belgian Congo3,0204,5545,379
  Ethiopia30,93735,96641,201
  Egypt3,2341,5951,329
  Tunisia100,8808,177 
  Sudan9,25411,27724,321
  Other6,2666,55314,188
America—   
  Argentina16,82023,4808,647
  Brazil70,15656,62960,295
  Chile100,20355,52464,387
  Ecuador9,32723,0295,141
  Mexico20,55755,92548,335
  Netherlands Antilles388,9501,643,4851,996,253
  Peru1,198544,817319,528
  United States of America17,803,57520,543,18017,173,171
  Venezuela72,72333,852110,841
  Other2,0711,7352,384
Pacific Islands—   
  French Oceania53,861108,760281,154
  Other8,17011,31812,904
        Totals, other countries49,776,73656,609,95551,543,078
        Totals, all countries234,778,732261,738,147252,800,425

The following table shows for the last eleven years the percentage of the value on basis of the country of origin of total imports (excluding specie) received into New Zealand.

Per Cent
Country19481949195019511952195319541955195619571958
United Kingdom52.2155.1360.0653.5954.9156.4556.6354.9953.7351.3852.53
Bahrain1.001.261.071.001.171.771.141.141.360.350.37
Ceylon1.851.411.261.840.591.191.241.000.950.980.87
India2.822.551.413.211.021.101.281.291.471.902.37
Pakistan0.010.020.040.010.020.020.020.040.020.02
Malaya and Singapore0.570.750.931.970.781.872.261.771.351.231.18
Union of South Africa0.560.400.620.830.550.660.580.380.430.460.46
Canada5.383.872.262.983.521.402.063.342.672.532.34
Australia11.1312.7912.0510.2910.6214.4512.9012.1614.1917.2617.28
Fiji1.720.770.710.541.020.840.860.690.620.550.48
Other British Commonwealth countries2.382.192.212.031.961.621.591.931.991.711.71
Totals, British Commonwealth countries79.6281.1382.6078.3276.1581.3780.5678.7178.8078.3779.61
Belgium1.191.640.741.462.090.910.790.940.900.770.77
France0.730.340.771.131.581.200.830.770.830.680.72
German Fed. Rep.0.070.280.140.700.991.202.052.742.812.993.01
Netherlands0.280.210.380.590.990.701.080.960.890.941.24
Italy0.230.140.170.460.650.530.540.480.630.610.59
Switzerland0.360.310.250.470.450.540.660.630.660.710.69
Sweden1.190.560.780.921.361.210.780.900.780.970.78
Iran1.701.492.311.270.09....0.350.670.540.53
Japan0050.300.301.181.640.240.501.010.950.851.12
Indonesia1.261.932.131.952.131.681.141.852.692.181.22
Netherlands Antilles......0.130.550.091.090.380.170.630.79
United States of America10.799.627.299.389.267.428.208.507.587.856.79
Other countries2.532.052.142.042.072.911.781.781.641.912.14
Totals, other countries20.3818.8717.4021.6823.8518.6319.4421.2921.2021.6320.39

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 79 per cent.

Origin of Principal Imports.—The table which follows shows, by main countries of origin, details of certain major imports into New Zealand for the years 1956 to 1958.

£(000)
Country of Origin195619571958
Canned Fish
United Kingdom889965
Union of South Africa16149
Canada496619387
German Federal Republic2042
Norway106133122
Japan679389
United States of America153..
Other countries558
        Totals813970682
Canned Fruit
United Kingdom42218
Ceylon19286
Malaya29153127
Kenya and Uganda252830
Union of South Africa131285295
Australia529479149
Fiji301..
Other countries151820
        Totals7821,014645
Dried Fruits
Union of South Africa213851
Australia8229041,044
Iran..2562
Iraq110116106
Spain..929
Turkey181921
United States of America102253227
Other countries562
        Totals1,0781,3701,542
Bananas
Fiji8813994
Tonga544218
Western Samoa125100274
Ecuador..17..
Other countries....1
        Totals267298387
Oranges
Cyprus....56
Union of South Africa526031
Jamaica127145124
Australia560521442
United States of America475119
        Totals786777672
Peanuts
Rhodesia - Nyasaland Federation3611
Tanganyika..1223
Union of South Africa104147125
Australia311..
China192917
India15....
Indonesia..134
Other countries2156
        Totals174223186
Wheat
Australia5,2036,0595,816
Raw Sugar   
Australia2,3002,8832,654
Fiji1,2731,239910
Indonesia..143..
Totals3,5734,2663,564
Cocoa Beans (Raw)   
Ghana446256467
Western Samoa1730227
Other countries14..
        Totals464290695
Coffee Beans
India2916
Kenya and Uganda119130210
Tanganyika523653
Indonesia182126
Ethiopia21117
Brazil4410
Other countries251926
        Totals222230358
Tea
Ceylon2,0752,3852,055
India241304282
Indonesia142856
Other countries61712
Totals2,3362,7342,405
Beverage Spirits   
United Kingdom2,1231,8621,437
British Guiana1087
Jamaica304633
Australia343860
France231235168
Netherlands283622
Other countries243112
        Totals2,4802,2561,739
Cigarettes
United Kingdom774785305
Australia6171127
Switzerland8168
Other countries464
        Totals847878444
Tobacco
United Kingdom15209
Rhodesia - Nyasaland Federation..585
Canada..619
Netherlands71110
United States of America1,6811,6631,998
Other countries3117
        Totals1,7061,7162,128
Wool
United Kingdom10011597
Australia222418405
Other countries..42
Totals322538504
Kapok
Ceylon9712
India282426
Pakistan1469
China....25
Indonesia9512789
Thailand54..
Other countries....8
        Totals151169169
Hat Hoods
United Kingdom11892106
Australia..1513
Czechoslovakia414145
France281837
Italy79101111
China171925
Formosa11911
Japan20186
Other countries383129
        Totals352344383
Hosiery
United Kingdom623425200
Hong Kong1141
German Federal Republic102..
Other countries1273
        Totals656438205
Gloves
United Kingdom135132113
Malta121914
Hong Kong545448
France9106
German Federal Republic617579
Italy868
Other countries8148
        Totals287310275
Infants' Wear
United Kingdom367439475
Hong Kong527451
Other countries8138
        Totals427526534
Footwear
United Kingdom702880845
Hong Kong132544
India132620
Malaya and Singapore182226
Australia6105
Italy16198
Netherlands333530
Other countries9711
        Totals8101,024989
Made-up Sheets, Table-cloths, Table Napkins, and Towels
United Kingdom1,0071,107877
Hong Kong184840
India517549
Canada1517..
Czechoslovakia184049
German Federal Republic202215
Netherlands222115
Japan394129
Other countries272934
        Totals1,2171,4001,108
Cheese Bandages and Meat Wraps
United Kingdom1,002944734
Hong Kong143760
India263174
        Totals1,0421,012869
Woven Cotton Piece-goods
United Kingdom5,1545,5225,593
Hong Kong79101226
India673922736
Canada101827
Australia324848
Austria283542
Belgium and Luxemburg113139147
Czechoslovakia617589
France697661
German Federal Republic198250459
Italy427054
Netherlands10884137
Spain131326
Switzerland131194216
China....14
Japan4587751,274
United States of America364527253
Other countries81617
        Totals7,5418,8659,419
Rayon Piece-goods
United Kingdom1,8891,8901,888
Canada8154
Australia132438
Austria13712
Belgium and Luxemburg192214
France918288
German Federal Republic514414313
Germany, Eastern22119
Italy1388193
Netherlands8611297
Switzerland636589
Japan369365286
United States of America279347365
Other countries91116
        Totals3,5663,4463,323
Nylon Piece-goods
United Kingdom591511481
Australia121521
Austria51712
France1104716
German Federal Republic18916
Italy713781
Netherlands1573
Switzerland342944
Japan708034
United States of America15817384
Other countries14129
        Totals1,098937802
Woollen Piece-goods
United Kingdom2,6892,9012,841
Australia266841
Belgium and Luxemburg372864
German Federal Republic102118
Italy384130
Other countries131711
        Totals2,8133,0763,006
Jute and Hessian Piece-goods
United Kingdom7212398
India353561438
Other countries413
        Totals429686539
Bags, Sacks, and Wool-packs
Ceylon6....
India1,1631,4881,330
Pakistan38....
Other countries10195
        Totals1,2171,5071,335
Woollen Carpets (Rolls, Squares, and Rugs)
United Kingdom1,4541,8771,634
India153640
Australia121111
Czechoslovakia8410
Other countries11168
        Totals1,5001,9441,703
Linoleum and Congoleum
United Kingdom901946612
Australia9197
India19192
United States of America116..
Other countries74..
        Totals947994622
Cotton Threads
United Kingdom527613683
Australia152742
Other countries..35
        Totals542643729
Cotton Yarn
United Kingdom562533694
Hong Kong2..17
India1034
Australia324752
Netherlands25....
Other countries....2
        Totals631583770
Synthetic Yarn
United Kingdom4565791,051
France131114
German Federal Republic1413
Netherlands104157
Norway2418
Switzerland1112
United States of America275042
Other countries7412
        Totals5176951,220
Wool Yarn
United Kingdom1,0881,5101,621
Australia565273
        Totals1,1441,5621,693
Motor and Aviation Spirit
Aden63163580
Bahrain2,582743780
India3639982,381
Malaya and Singapore532949731
Australia9671,2073,217
Indonesia4,1603,6001,660
Iran6311,132713
Saudi Arabia428557294
Netherlands Antilles2211,4351,627
Peru....24
Venezuela64....
United States of America446572120
        Totals11,02511,82911,629
Kerosene
Bahrain251643
Malaya and Singapore..3112
Indonesia215293227
Iran505372
Saudi Arabia....34
Netherlands Antilles....22
Other countries....7
        Totals290394417
Diesel and Fuel Oils
Aden24166..
Bahrain584145112
India3615..
Malaya and Singapore511245251
Australia1,1304,2072,958
Indonesia1,6051,157728
Iran779190419
Saudi Arabia7893335
Netherlands Antilles39204334
Peru..543294
Venezuela....83
Other countries....1
        Totals5,0036,8665,515
Lubricating Oils
United Kingdom540529628
Canada111138
Australia11816
Belgium and Luxemburg3....
Netherlands Antilles127..9
United States of America1,0341,043693
Venezuela83427
Other countries5138
        Totals1,7291,6391,519
Linseed Oil
United Kingdom194254205
India561910
Canada....11
Australia182313
Netherlands303417
Argentina14232
United States of America2411
Other countries82..
        Totals344356259
Gypsum
Australia476695
Other countries212
        Totals496797
Cement
United Kingdom2263435
German Federal Republic1311
Japan10....
United States of America8102
Other countries135
        Totals2584842
Iron and Steel—Pipes, Tubes, and Fittings
United Kingdom1,4991,6341,832
Union of South Africa172214
Canada834815
Australia271387458
France..136
German Federal Republic15410653
Italy1573
Netherlands272810
Sweden6165
United States of America316545
Other countries10415
        Totals2,1132,3302,457
   
Iron and Steel—Plate, Sheet, Hoop, and Strip   
United Kingdom3,7864,0794,420
Canada84170170
Australia1,8884,8484,199
Belgium and Luxemburg414950
France62916
German Federal Republic49131
Japan54....
United States of America126174158
Other countries612
        Totals6,0399,3649,015
Iron and Steel—Wire (excepting Barbed-wire)
United Kingdom1,1601,3261,598
Australia4818521,444
Belgium and Luxemburg36047199
France51218
German Federal Republic29183
Japan81....
United States of America26132
Other countries8..2
        Totals2,1962,2573,266
Iron and Steel—Bars, Rods, Billets, Bloom, and Pig
United Kingdom1,9232,6692,136
Hong Kong31..37
Canada136853
Australia3825671,227
Belgium and Luxemburg120161185
France486440
German Federal Republic568923
Ireland..178
Italy27....
Netherlands7121
Japan85....
United States of America222819
Other countries61412
        Totals2,9203,7433,732
Iron and Steel—Angles, Tees, Girders, and Channels
United Kingdom1,0051,0861,287
Australia162323448
Belgium and Luxemburg9713329
France79236
German Federal Republic32115
Netherlands202018
United States of America212223
Other countries345
        Totals1,3901,6311,830
Aluminium and its Alloys
United Kingdom7829591,386
Canada57153221
Australia375274
German Federal Republic9729
Netherlands1332626
United States of America466557
Other countries465
        Totals1,0681,2701,799
Copper
United Kingdom1,5211,7301,653
Canada275187312
Australia295462604
Other countries651
        Totals2,0972,3852,570
Tin
United Kingdom142031
Malaya and Singapore268238242
Australia252415
Other countries..3..
        Totals307285288
Artificers' Tools
United Kingdom822794542
Canada174224184
Australia9914282
German Federal Republic156161117
Sweden323132
United States of America289331194
Other countries242124
        Totals1,5961,7051,175
Ball and Similar Bearings
United Kingdom330286452
Canada91112
Austria10811
German Federal Republic9924
Italy1315
Sweden805971
United States of America90114111
Other countries4713
        Totals533497709
Electric Motors and Parts
United Kingdom8098671,057
Canada51110
Australia283940
German Federal Republic14920
Sweden373538
United States of America18515
Other countries314
        Totals9159661,185
Insulated Cable and Wire
United Kingdom2,7072,4992,387
Union of South Africa151251
Canada121..
Australia148112341
Netherlands359220
Sweden6885
United States of America24112
Other countries188
        Totals2,9162,7903,014
Telegraphy and Telephony Apparatus
United Kingdom1,6652,0422,748
Australia6211266
Netherlands..184
Sweden148118
United States of America463235
Other countries181831
        Totals1,8052,3032,902
Radio and Radar Apparatus
United Kingdom555457406
Australia11513886
German Federal Republic144346
Netherlands118152211
United States of America6416590
Other countries181522
        Totals884971860
Transformers and Converters
United Kingdom349498723
Australia34911
Austria4341..
German Federal Republic349169
Italy11317
Sweden13627129
Switzerland1066725
Other countries5312
        Totals6777081,087
Tractors and Parts
United Kingdom2,4443,3973,024
Australia424248
German Federal Republic773527
Italy7441
United States of America1,8612,3321,328
Other countries101116
        Totals4,4415,8214,484
Domestic Baths
United Kingdom17219679
Other countries1  
        Totals17319679
Sewing Machines
United Kingdom484364275
German Federal Republic475797
Italy11510142
Sweden4511956
Switzerland200179166
Japan1339169
United States of America5710481
Other countries458
        Totals965969893
Raw, Synthetic, and Reclaimed Rubber
United Kingdom283835
Ceylon101125
Malaya and Singapore1,5481,2971,349
Western Samoa10114
Canada1247391
United States of America74192364
Other countries105..
        Totals1,8041,6261,868
Sawn Timber
Malaya and Singapore162150109
Hong Kong27133
Ghana132644
Canada456728377
Australia419575507
British Guiana1521..
Japan148113219
United States of America133155249
Other countries212840
        Totals1,3941,8101,548
Plate and Sheet Glass
United Kingdom579478600
Belgium and Luxemburg294252329
France222022
German Federal Republic81232
United States of America9156
Other countries141524
        Totals9267941,014
Table Chinaware
United Kingdom907757713
Australia51514
German Federal Republic404233
Other countries403232
        Totals992846792
Table Glassware and Tumblers
United Kingdom15212247
Belgium10114
Czechoslovakia292326
German Federal Republic182514
Japan1242
Other countries191812
        Totals240203105
Newsprint
United Kingdom1,0261,060699
Canada666830666
Norway42174
Poland30....
Sweden3622
Japan17....
Other countries649
        Totals1,8231,9131,381
Other Printing Paper
United Kingdom716810997
Canada149122115
Australia105154293
Austria161126
Finland31217
German Federal Republic81315
Netherlands201815
Norway116144164
Sweden83125206
United States of America353225
Other countries215
        Totals1,2531,441,877
Writing Paper
United Kingdom226219201
Canada14147
Australia11113982
Norway222634
Sweden3139
Other countries552
        Totals381417335
Books, Magazines, Newspapers, and Music
United Kingdom2,2681,9722,139
Australia1,0251,090887
German Federal Republic8910
Netherlands162013
Japan172226
United States of America273312263
Other countries353940
        Totals3,6423,4643,378
Timepieces and Parts
United Kingdom158145110
German Federal Republic239273176
Switzerland291423261
Other countries201413
        Totals708855559
Common Salt
United Kingdom320282299
Australia716290
Other countries244
        Totals393348394
Crude Sulphur
Mexico..5039
United States of America926870593
Other countries222
        Totals928923634
Rock Phosphate
Gilbert and Ellice Islands15217491
Nauru Island631624538
French Oceania54109281
        Totals837907910
Basic Slag
Belgium and Luxemburg367300315
Japan10371..
Other countries  1
        Totals470371316
Chloride (Muriate) of Potash
France369177337
German Federal Republic2356105
Germany, Eastern16121
United States of America132170104
Other countries1..1
        Totals541415549
Aircraft and Parts
United Kingdom167188186
Canada2041
Australia161510
United States of America421583420
Other countries142
        Totals625793620
Bicycles
United Kingdom353327247
Czechoslovakia..110
Other countries11..
        Totals354329257
Motor Cycles
United Kingdom578682
Austria..2126
Czechoslovakia2411
German Federal Republic71215
Other countries271
        Totals68130135
Motor Cars
United Kingdom9,77510,8788,177
Canada819747664
Australia1,6311,661686
Czechoslovakia415731
France93175168
German Federal Republic411643414
Italy286750
United States of America186136136
        Totals12,98414,36610,325
Buses, Lorries, Trucks, and Vans
United Kingdom3,5963,1213,244
Canada235....
Australia785360414
German Federal Republic76120219
United States of America1297950
Other countries5..3
        Totals4,8263,6803,930
Motor Vehicle Parts
United Kingdom1,8001,9061,707
Canada969387
Australia217246262
France121112
German Federal Republic559194
United States of America248239168
Other countries357
        Totals2,4312,5912,337
Railway and Tramway Vehicles and Parts
United Kingdom2,7971,1752,069
Australia64725628
Italy15..53
Switzerland..10..
United States of America7244130
Other countries426
        Totals2,9521,9572,885
Railway and Tramway Rails and Rail Accessories
United Kingdom5001,2761,395
Australia2269273
Italy....13
United States of America..2862
Other countries39..
        Totals5251,6401,683
Pneumatic Tires and Tubes (over 1¾ in. Diameter)
United Kingdom344368394
Union of South Africa121337
Canada896141
Australia121429
German Federal Republic121829
United States of America105124122
Other countries679
        Totals581606662
Musical Instruments, Parts, and Gramophone Records
United Kingdom1,0001,2151,019
Australia11422167
Austria5613
Czechoslovakia8128
France171514
German Federal Republic11712484
Italy629264
Netherlands3881295
Norway..512
Japan15158
United States of America222525
Other countries102012
        Totals1,4081,8311,621
Thermosetting and Thermoplastic Resins
United Kingdom6458901,815
Canada704026
Australia12297121
German Federal Republic60153174
Netherlands374469
United States of America360489741
Other countries146
        Totals1,2951,7182,953
Agricultural Machinery (Cultivating)
United Kingdom159182159
Canada10115
Australia94127106
Other countries10117
        Totals275331277
Agricultural Machinery (Harvesting, Threshing, etc.)
United Kingdom559792554
Canada54554
Australia115582
German Federal Republic142172123
France91110
Netherlands226645
Sweden426841
United States of America463567328
Other countries....5
        Totals1,3041,7851,193
Agricultural Machinery (Dairying)
United Kingdom1445255
Canada12....
Australia352623
Denmark1451
German Federal Republic114310
France31027
Sweden483149
United States of America201510
Other countries4..3
        Totals291180177
Builders' Hardware
United Kingdom508446411
Australia13616296
United States of America2811
Other countries12138
        Totals658629525
Metal-working Machinery
United Kingdom9691,102766
Australia374351375
Denmark3106
France5124
German Federal Republic102158132
Italy1644
Sweden303430
Switzerland2185
United States of America172165147
Other countries192418
        Totals1,7121,8681,487
Woodworking Machinery
United Kingdom269208193
Canada204239171
Australia674115
German Federal Republic416442
Sweden253216
Switzerland161418
United States of America247302178
Other countries16187
        Totals885918640
Paper-mill and Pulp-mill Machinery
United Kingdom350257275
Canada1421530
Australia66..2
German Federal Rebublic2621
Switzerland68....
Sweden441512
Norway3994
Netherlands33....
United States of America2332351
Other countries511
        Totals1,006322375
Earth Moving and Road-making Machinery
United Kingdom1,5281,4081,302
Union of South Africa6211
Australia5319992
Belgium..2611
German Federal Republic811812
United States of America482772540
Other countries9145
        Totals2,1592,6731,962
Antiseptics
United Kingdom228228379
Hong Kong111013
Australia344163
Switzerland534138
United States of America63227
Other countries4617
        Totals335358538
Inorganic Colours
United Kingdom507559841
Australia434494
German Federal Republic7676147
Japan411622
United States of America63116
Other countries11612
        Totals7417111,122
Medicinal Preparations (Including Proprietary Medicines)
United Kingdom8491,0531,075
Union of South Africa21622
Australia134173319
German Federal Republic241532
Netherlands241614
Switzerland535595
United States of America673224
Other countries81214
        Totals1,1601,3721,595
Weed-killers and Scrub-killers
United Kingdom7186121
Australia157348161
Belgium..211
German Federal Republic93178133
United States of America5446104
Other countries10..6
        Totals384660538
Photographic Films
United Kingdom425324218
Australia409395553
Belgium343943
German Federal Republic515597
Italy121614
United States of America312023
Other countries8815
        Totals971857963
Jewellery and Imitation Jewellery
United Kingdom16019696
Hong Kong14174
Australia384515
Austria486342
Czechoslovakia212117
German Federal Republic158210108
Other countries242217
        Totals462573299
Railway Sleepers
Australia6301,057623
Totals6301,057623
Sports Goods and Materials for their Manufacture   
United Kingdom407346283
Hong Kong1475
Pakistan212614
Australia1088060
France282218
German Federal Republic645942
Italy12119
Norway101210
Sweden121211
Japan283619
United States of America262422
Other countries192321
        Totals750659514
ItemUnit of Quantity195619571958
Canned fishlb. (000)5,6416,3274,690
Fruit—
  Cannedlb. (000)13,82318,09512,292
  Driedlb. (000)19,13421,92324,111
Fresh—
  Bananaslb. (000)47,65250,71972,020
  Orangeslb. (000)32,16430,39025,648
Grain and pulse—
  WheatBush. (000)9,71910,5419,992
  Maizena and cornflourlb. (000)4,2904,0983,842
  Rice (other than rice flour and ground rice)Cwt.62,90051,60066,500
Nuts, ediblelb. (000)1,3461,6521,417
Desiccated coconutlb. (000)2,6373,0822,086
Jams, jellies and preserveslb. (000)1,337781326
Confectionerylb. (000)1,8532,347981
SugarCwt. (000)2,1032,1862,845
Tealb. (000)14,18417,49316,426
Coffee, rawlb. (000)1,6101,6552,505
Cocoa-beans, rawlb. (000)5,7084,8245,100
Cigaretteslb. (000)1,5541,663741
Tobaccolb. (000)6,2696,2237,480
Spirits (beverages)Liq. gals. (000)1,4801,3321,097
WineLiq. gals. (000)243275149
Cotton and linen piece-goods—
  Cheese-bandages and meat-wrapslb. (000)3,6563,5783,330
  Knittedlb. (000)60130143
  WovenSq. yds. (000)53,40760,47567,588
Woollen piece-goodsSq. yds. (000)5,1985,4535,351
Silk, and artificial and synthetic fibre piece-goods—
  WovenSq. yds. (000)23,68621,86321,829
  Knittedlb. (000)1,092719787
Yarns—
  Cottonlb. (000)2,2972,0402,833
  Silk and artificial silklb. (000)9261,6032,560
  Woollenlb. (000)1,4412,3752,272
Bags, sacks, wool-packsDoz. (000)1,3281,3141,539
Footwear—
  Children'sDoz. pairs56,30076,700113,500
  Adults'Doz. pairs30,20029,70022,900
Hosiery—    
  Full lengthDoz. pairs (000)113.290.733.5
  Half and three-quarter hoseDoz. pairs (000)63.140.924.6
GlovesDoz. pairs (000)119.6123.1103.1
Hat-hoods, felt, unblockedDoz. (000)108.793.3104.8
Mowers and harvestersNo.3,1374,9803,526
Cream separatorsNo.1,096514879
Electrical—
  Storage batteriesNo.21,51115,47113,649
  Wireless valvesNo. (000)8721,1171,062
Sparking plugsNo. (000)1,4281,7992,174
TypewritersNo.8,2259,4238,754
Sewing machines, domesticNo.31,87228,05334,814
Iron and steel—
  Bar, rod, billet, bloom, pigCwt. (000)1,4641,7121,819
  Angle, tee, channel, girderCwt. (000)705756856
  Plate and sheetCwt. (000)1,9562,7262,509
  Pipes, tubes, and fittingsCwt. (000)570564597
  WireCwt. (000)8528311,216
CopperCwt.96,000134,400174,300
Brass and muntzCwt.11,30013,80018,100
LeadCwt.109,60092,400104,500
TinCwt.8,6007,9008,100
Cordage of metalCwt.121,70076,100102,600
BicyclesNo.42,63337,40130,108
Motor cyclesNo.7121,4791,432
Motor carsNo.36,23741,45229,058
Lorries, trucks, etc.No.9,4806,6758,451
TractorsNo.6,61210,3756,414
Tires (excluding bicycle)No. (000)594867
Mineral oils—
  Motor spiritsGals. (000)242,868259,261243,925
  Lubricating oilGals. (000)9,9828,3308,282
  KeroseneGals. (000)7,0198,70410,025
  Crude petroleum, fuel oils, etc.Gals. (000)150,243173,996164,488
Chemicals—
  AcidsCwt.20,40028,60030,000
  Calcium carbideCwt.47,10048,60050,100
  SulphurTons85,77192,27065,195
  SaltCwt. (000)1,184957961
  Caustic sodaCwt.60,30066,60075,900
  Carbonate of sodaCwt. (000)299.6188.9251.6
Manures—
  Nitrate of sodaTons5,1132,9112,995
  PhosphaticTons671,014590,926530,300
  PotashTons42,11641,63555,234
  Sulphate of ammoniaTons4,5115,2345,341
Timber, sawnSup. ft. (000)28,69238,71532,876
Glass, plate and sheetSq. ft. (000)15,65012,69416,252
Linseed oilGals. (000)668673537
Plaster-of-parisCwt. (000)354.4334.8292.1
GypsumCwt. (000)714.0948.31,171.9
Asbestos, crudeCwt.54,50025,50078,300
CementCwt. (000)926.174.060.8
Pulp and paper building boardSq. ft. (000)7,1865,7751,196
Printing paperCwt. (000)997.1878.8776.4
Other paperCwt. (000)101.3116.3106.3
Cardboard, etc.Cwt. (000)76.187.167.0
RubberCwt. (000)159.0180.5209.9
Paraffin waxlb. (000)1,4724,4343,289
Wood and paper pulpTons3,6376,8358,546
PlywoodSq. ft. (000)4,2194,2211,381

Imports by Ports.—New Zealand 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 1954-58.

£
Port19541955195619571958
Auckland85,227,847100,180,43491,391,334105,183,554101,726,520
Tauranga72,015131,347195,2451,106,2021,406,889
Gisborne364,796448,656403,133470,080402,188
Napier2,416,0493,577,9333,311,9263,244,0803,916,869
New Plymouth2,837,1763,113,5643,131,2374,113,8483,448,425
Wanganui563,722690,984637,946695,890638,753
Wellington72,795,93785,752,96980,547,26385,802,03382,379,436
Picton98,735144,455145,930144,774129,568
Nelson625,348802,461886,7561,270,0411,381,484
Greymouth194,314156,891263,461555,157584,876
Lyttelton29,801,20934,324,50334,063,50837,875,61536,605,237
Timaru1,389,3841,464,1521,511,1241,977,6611,286,017
Oamaru108,163122,238113,907234,988226,883
Dunedin14,391,30616,517,55014,815,86615,060,15914,182,466
Bluff2,269,0363,232,8593,360,0964,004,0654,484,814
          Totals213,155,037250,660,996234,778,732261,738,147252,800,425

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.

GOODS SHIPPED 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. These islands are constitutionally part of New Zealand and the carriage of goods between them and the main islands of New Zealand is not really import trade, but is merely the transport of goods from one part of the country to another. The following table shows the movement of goods from these islands to the main islands of New Zealand. Particulars of the trade of the islands with other countries will be found in the Section dealing with Island Territories.

£
YearValue of Goods from Cook Islands
1948168,553
1949171,314
1950161,705
1951192,398
1952245,883
1953287,002
1954286,418
1955283,443
1956298,273
1957289,545
1958297,071

The principal goods brought to New Zealand from the Cook and associated islands are as follows.

£
Item195619571958
Fruits, fresh—
  Bananas1,5062,771485
  Oranges44,35764,63774,377
  Mandarins9,8366,54410,753
  Tomatoes54,56454,78636,870
  Other21,93712,07911,385
Copra, coconut oil and meal137,609100,51897,434
Apparel23,93440,02843,649
Vegetables1,7582,9958,143
Wickerware8521,0002,873
All other items1,9204,18711,102
          Totals298,273289,545297,071

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 1958.

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.

An agreement signed in Wellington in August 1959 between New Zealand and the United Kingdom made provision for the minimum margin of preference of 20 per cent accorded to British goods under the Ottawa Agreement to be reduced.

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; unsweetened fruit juices in bulk; 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; red lead; cork; engine packing; crude tanning materials; manures; skins and hides (undressed).

The following are entirely free or subject only to primage duty if British but dutiable at varying rates if of foreign origin:

Food for animals; mixed bird seed; chaff; tea in bulk; bananas; oranges, mandarins, and grapefruit; raisins; dried apricots; 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, sizes 0-8½ inclusive, 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 (other than certain sizes of plain non-ferrous wire); metal cordage (other than certain sizes of non-ferrous metal cordage); rails for railways and tramways; under-carriage springs and metal fittings for vehicles; asphalt and bitumen; table chinaware; bicycles and tricycles (other than power-operated).

CUSTOMS DUTIES.—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 1959 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.—On and after 26 July 1948 a duty of 4d. per pound was imposed on tea in bulk imported from most-favoured nations, and from the same date all tea imported under the British preferential tariff was exempted from surtax. On 3 September 1951 tea in bulk of British origin was exempted from all duty and the rates on foreign tea became most-favoured-nation, 1d., general tariff, 2d. per pound.

Sugar.—Since 9 February 1933 the duty on refined sugar has been 1¼d. per pound and on raw sugar 1d. per pound. Raw sugar imported for refining at Auckland enters free of duty under bond, an excise duty of 1d. per pound being levied on the refined products.

Tobacco.—Customs duties on tobacco are at the following rates (October 1959): Cigarettes not exceeding 2½ lb. per 1,000: British countries, 82s. per 1,000; general countries, 45s. 6d. per 1,000 with surtax, plus 36s. 6d. per 1,000. Cigarettes exceeding 2½ lb. per 1,000: British countries, 33s. per pound; general countries, 18s. 6d. per pound with surtax, plus 14s. 6d. per pound. Cigars: British countries, 22s. per pound with surtax and 10 per cent with surtax plus 6s. per pound; general countries, 26s. per pound with surtax and 10 per cent with surtax plus 6s. per pound. Snuff: All countries, 26s. per pound with surtax plus 6s. per pound. Tobacco (cut): All countries, 14s. per pound with surtax plus 11s. 1d. per pound. Tobacco (plug): All countries, 13s. 10d. per pound with surtax plus 11s. 3d. per pound.

NOTE: Surtax is one-twentieth of the duty in each case. In respect of British countries, surtax relates only to goods being the produce or manufacture of Canada, Pakistan, Union of South Africa, India, and the Republic of Ireland.

As from 27 June 1958 duties on tobacco were increased by the following amounts: Cigarettes not exceeding 2½ lb. per 1,000, 36s. 6d. per 1,000; cigarettes exceeding 2½ lb. per 1,000, 14s. 6d. per pound; cigars, 6s. per pound; snuff, 6s. per pound; tobacco, cut, 11s. 1d. per pound; tobacco, plug, 11s. 3d. per pound. A duty of ½d. (plus surtax at a rate of nine-fortieths of the duty) British preferential tariff or ¾d. (plus surtax at the rate of nine-fortieths of the duty) general tariff is levied on each 60 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 most-favoured nation and general tariff respectively. 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 was 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”.

From 27 June 1958 the duties on alcoholic beverages were increased by the following amounts: Ale, beer, etc., 3s. per gallon; spirits, 60s. per gallon.

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 27½ 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 was 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, but the suspension expired at the end of December 1957 and was not renewed.

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. Since 1958 a duty at the rate of 20 per cent under the British preferential tariff, 35 per cent under the most-favoured-nation tariff, and 55 per cent under the general tariff, has been imposed on certain synthetic textiles weighing over 6 oz. per square yard and containing man-made discontinuous fibres.

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.—Pneumatic rubber tires for motor vehicles, inner tubes of rubber therefor, and moulded rubber strip for repair of such tires are now dutiable at 2½d. per pound under the British preferential tariff and 8d. per pound under the general tariff. Solid rubber tires are liable to a duty of 1d. per pound and 4d. per pound under the British preferential and general tariffs respectively.

Motor Spirits.—Towards the end of 1927 the Motor Spirits Taxation Act of that year imposed a duty of 4d. per gallon (increased in 1930 to 6d.) on motor spirits. The proceeds of this tax were devoted to 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 was devoted to roading purposes from 1 April 1954. From 27 June 1958 the duty on motor spirits was increased by 1s. per gallon, this additional taxation going to the Consolidated Fund; this additional duty was reduced to 8d. per gallon on 4 November 1959 and then to 4d. per gallon on 22 December 1959.

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 prohibited 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 306.

EXCISE DUTIES:Beer.—As from 22 August 1947 the excise duty on beer became 3s. per gallon where the specific gravity of the worts used did not exceed 1,036, increased by 1d. for every unit of specific gravity above 1,036. From 27 June 1958 the excise duty on beer was increased to 6s. a gallon where the specific gravity does not exceed 1,036, advancing by 2d. 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.

Tobacco.—From 27 June 1958 the excise duty on tobacco was increased to the following amounts: Tobacco, cut, 22s. 9d. per pound; tobacco, plug, 22s. 9d. per pound; cigars and snuff, 12s. per pound; cigarettes not exceeding 2½lb. weight for 1,000, 70s. per 1,000; cigarettes exceeding 2½ lb. per 1,000, 28s. per pound. An excise duty of ½d. is levied on each sixty cigarette tubes or papers or the equivalent thereof.

Sugar.—The Customs Acts Amendment Act 1931 imposed an excise duty of ½d. per pound (increased to 1d. per pound from 9 February 1933) on sugar manufactured in New Zealand.

Alcohol.—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:Timber.—An export duty was 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.

Wool.—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 (see also Section 20D).

Meat.—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. 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 has in recent years when it has generally been less than one-fifth of total taxation. The figures for the last eleven years are as follows.

Year Ended 31 MarchTotal TaxationCustoms and Excise Duties
AmountPercentage of Total Taxation
 ££Per Cent
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
1958244,882,30039,002,71115.93
1959305,243,13151,289,61016.80

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 to 1957-58 all these receipts were paid into the National Roads Fund, and were therefore excluded from Customs duties. Such taxation is, however, included in total taxation. From 27 June 1958, the increase of 1s. per gallon on motor spirits was paid into the Consolidated Fund and this portion of the motor-spirits tax collected is included in the 1959 total of Customs and Excise Duties as well as being included in the total taxation figures for that year.

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 and a portion (approx. Is. 3½d. per gallon) of the motor-spirits taxation, although levied on imports and collected through the Customs, have been excluded because they are credited to the National Roads Fund. The balance (Is. per gallon) of the motor-spirits taxation is included in the 1958-59 figures.

£(000)
1955-561956-571957-581958-59
Customs duties—
  Wines and spirits3,3633,1943,7983,688
  Cigars, cigarettes, snuff, and tobacco2,6392,5992,3921,725
  Other duties, including primage and surtax16,88415,98818,06022,693
          Totals, Customs duties22,88621,78124,25028,106
Excise duties—
  Alcohol used in perfumed spirit, etc., in New Zealand55484240
  Cigarette papers and tubes76798079
  Tobacco, cigars, cigarettes, snuff, New Zealand manufactured6,1956,1576,68510,842
  Beer, New Zealand6,5676,7537,02011,258
  Sugar854873926965
          Totals, excise duties13,74713,91014,75323,184
          Grand totals, Customs and excise duties36,63335,69139,00351,290
Revenue per head of population—£s.d.£s.d.£s.d.£s.d.
From Customs duties10121091871015111247
From excise duties6710661061151019
          Totals1708165517742264

PREFERENCE AND RECIPROCITY.—Preference to British Commonwealth countries 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.

In 1958 New Zealand sought new arrangements with the United Kingdom and on 25 November 1958 the two Governments signed Heads of Agreement. This provided the basis for a new agreement to give New Zealand the right to reduce the margins of preference applied to United Kingdom goods entering New Zealand to 5 per cent on certain imports essential for industry, to 7½ per cent on an extensive list of welfare and producer goods, and to 10 per cent on all other goods. The formal text of the new New Zealand—United Kingdom Trade Agreement was signed in Wellington on 12 August 1959.

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.

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.

The following table shows the merchandise trade with the United Kingdom for the latest five years.

£(000)
YearMerchandise ImportsMerchandise Exports to United Kingdom
From United KingdomOf United Kingdom Origin
1954122,010120,714163,300
1955140,540137,831169,657
1956129,226126,144178,756
1957136,023134,488162,131
1958133,685132,804139,105

Reciprocity With the Union of South Africa.—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 for the latest five years.

£(000)
YearMerchandise ImportsMerchandise Exports to Union of South Africa
From Union of South AfricaOf Union of South Africa Origin
19541,1771,210548
1955881956450
19569891,011373
19571,1801,201284
19581,1481,175677

Reciprocity With Australia.—A trade agreement between Australia and New Zealand was first concluded on 11 April 1922. A new agreement, completed in April 1933 and confirmed by the Trade Agreement (New Zealand and Australia) Ratification Act of that year, came into operation on 1 December 1933, and remains in force until terminated by either party.

Under the agreement each country grants to the goods of the other the benefits of its British Preferential Tariff, except with regard to certain classes of goods, enumerated in the Schedules to the Agreement, on which special rates are fixed.

The agreement provides for lower duties than those prescribed under Australia's British Preferential Tariff on many classes of New Zealand products entering Australia, including fresh and frozen fish and fish pastes; dried peas; 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.

Minor modifications have been made to the Schedules of the agreement from time to time, but they remain substantially the same as originally negotiated.

Merchandise trade between New Zealand and Australia during the latest five years has been as follows.

£(000)
YearMerchandise ImportsMerchandise Exports to Australia
From AustraliaOf Australian Origin
195428,87527,4926,445
195531,42130,4786,692
195633,76533,3058,431
195745,65345,18510,113
195844,34243,68010,266

Reciprocity With Canada.—Reciprocal trade arrangements between Canada and New Zealand in respect of certain items were in force from October 1925 to May 1930. In 1932 a new agreement was negotiated, and this agreement remains in force until terminated by either party.

Under the terms of the agreement sausage casings, hides and skins, wool, apples, seeds, kauri gum, and phormium fibre are amongst the New Zealand products admitted free of duty. Certain other items such as butter, cheese, mutton, and lamb are admitted at rates of duty lower than the British Preferential Tariff.

Merchandise trade with Canada (including Newfoundland) during the latest five years is shown in the following table.

£(000)
YearMerchandise ImportsMerchandise Exports to Canada
From CanadaOf Canadian Origin
19544,4334,3802,997
19558,3688,3604,230
19566,2986,2584,026
19576,5906,6344,435
19585,8485,9254,066

Other Trade Arrangements.—New Zealand is also a party to certain commercial treaties, conventions, or arrangements with countries outside the Commonwealth. In some earlier cases New Zealand automatically became a party to arrangements concluded by the United Kingdom; in others she became a party by signifying her willingness to adhere to such arrangements. Other arrangements again resulted from direct negotiations between New Zealand and the countries concerned. In practice many of these arrangements (which generally provided for reciprocal most-favoured-nation tariff treatment) are superseded by New Zealand's accession to the General Agreement on Tariffs and Trade. However, some remain separately in force and, in addition to those countries which are contracting parties to the General Agreement, New Zealand grants most-favoured-nation tariff treatment to Argentina, China, Egypt, Israel, Liberia, and Spain.

Most-favoured-nation tariff treatment on certain items is extended to Switzerland as a result of a trade arrangement between Switzerland and New Zealand dating from 1938, under which New Zealand receives general most-favoured-nation tariff treatment and a guaranteed import quota for apples and pears. Since 1957 the arrangement has been extended also to Liechtenstein.

A trade agreement with Japan came into force on 9 September 1958 and remains in force for a period of three years. The agreement provides for reciprocal most-favoured-nation tariff treatment. Japan was removed from the list of scheduled countries for import licensing purposes and New Zealand is given the opportunity to compete for the Japanese allocation of exchange for imports of major interest to New Zealand. The agreement also includes a clause safeguarding New Zealand industry from serious injury caused or threatened to be caused by excessive imports from Japan.

An exchange of letters between Israel and New Zealand was completed in January 1959. The arrangement provided for imports from each country to receive most-favoured-nation tariff treatment in the other. A quota for imports of New Zealand beef into Israel was also provided. The arrangement was for one year, but at present there is reciprocal most-favoured-nation tariff treatment under an interim arrangement pending Israel's accession to GATT.

The Federal Republic of Germany and New Zealand concluded a trade agreement in April 1959. The agreement is designed to facilitate as far as possible the exchange of goods and services between the two countries. New Zealand is granted quotas on certain primary products while for some others New Zealand will be considered as a source of supply for imports into Germany under the import programme.

The agreement was concluded following international discussions under the General Agreement on Tariffs and Trade on problems arising out of the Federal Republic's import restrictions. The circumstances under which the negotiations with the Federal Republic were initiated were thus somewhat different from the usual, and because of this New Zealand is not required under the agreement to make any special arrangements regarding German exports. As contracting parties to the General Agreement the two countries already granted each other most-favoured-nation tariff treatment.

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.

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 (i.e., the most-favoured-nation rates) of duty apply by virtue of their membership in GATT are: Austria, Burma, Belgium (including overseas territories). Brazil, Chile, Cuba, Czechoslovakia, Denmark, Dominican Republic, German Federal Republic, Finland, France (including overseas territories), Greece, Haiti, Italy, Luxemburg, Netherlands (including overseas territories), Nicaragua, Norway, Peru, Republic of the United States of Indonesia, Sweden, Turkey, United States of America, Uruguay.

The following Commonwealth countries are members of GATT: Australia, Canada, Ceylon, Ghana, India, Malaya, Pakistan, Rhodesia and Nyasaland, and the Union of South Africa.

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 in 1954 and 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, was renewed in 1953 and 1956. Following conferences from January to March 1959 the 1956 Agreement, which was due to expire on 31 July 1959, was replaced by a new Agreement which differs on some major points from its predecessors.

The objectives of the International Wheat Agreement are to assure supplies of wheat to importing countries and markets for wheat to exporting countries at equitable and stable prices. Under the terms of the 1956 Agreement New Zealand guaranteed to import 160,000 metric tons (5,878,994 bushels) of wheat annually. The guarantee to purchase became operative only when the price was at the minimum laid down in the Agreement, and a similar guarantee to sell by exporters operated only when the price reached the maximum under the Agreement. The maximum and minimum prices were £2.00 and £1.50 based on Manitoba, Northern No. 1 wheat, in bulk, in store, Fort William/Port Arthur.

In the new Agreement, which came into force on 1 August 1959, New Zealand, as a signatory, has a contractual obligation to purchase 90 per cent of its imports under the Agreement while the price is between the maximum and minimum prices. The maximum price for the basic wheat has been reduced to £1.90 but the minimum remains at £1.50. At the maximum price importers are released from their obligation to purchase, while exporters are required to supply the average of each importer's purchases over the first five of the previous six years.

New Zealand is a member of the Executive Committee of the International Wheat Council for the 1959-60 crop year.

INTERNATIONAL SUGAR AGREEMENT.—A new International Sugar Agreement, replacing the Agreement negotiated in 1953, came into effect on 1 January 1959. The 1953 Agreement had 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 the new Agreement, which differs little from the previous one, 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 a specified percentage 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 new Agreement was negotiated at conferences held at Geneva in October 1958 under the auspices of the Economic and Social Council of the United Nations Organization. It terminates on 31 December 1963, although there is provision for a review of the price range and of basic export tonnages after three years.

New Zealand has not yet 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 105,000 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

THE Bay of Islands was the first New Zealand port used by commercial shipping, but port development soon followed in other northern harbours such as Hokianga, Mangonui, and Auckland. Wellington came later, followed by New Plymouth. With settlements becoming established in the South Island, shipping was next recorded at Nelson, Akaroa, and Port Chalmers. By 1853, when statistics were first compiled for New Zealand as a whole, eleven ports were receiving shipping direct from overseas. The number of ports in use by overseas vessels increased during the gold-rush period, but later decreased to a number which has not changed greatly during the past fifty years.

The following table, which enumerates entrances of ships direct from overseas, illustrates the changing pattern of overseas shipping since 1853, and indicates the great increase in the size of vessels during these years.

YearNumber of Ports EnteredNumber of VesselsTotal Tonnage of VesselsAverage Tonnage of Vessels
 No.No.TonsTons
18531123865,504275
186014398140,276352
187023756273,151362
188019730395,675542
189020744662,769891
190015616854,6321,387
1910176091,389,0312,281
1920177442,062,3702,772
1930156002,297,1423,829
1940156012,834,4994,716
1950135972,688,2234,503
1959158834,027,1254,561

The early development of coastal shipping is not easy to trace. Coastal movements of vessels were first recorded in the statistics in 1873, and no distinction was made between the movements of purely coastal vessels and the coastal movements of overseas vessels. This position obtained until 1921.

The following table includes all inward movements of ships, i.e., direct entrances from overseas, coastal movements of overseas ships, and entrances of coastal vessels. This gives some idea of the development of the activities of the ports over the period.

YearPorts Included in RecordsInward Movements of Vessels
*In these years data were collected from some minor ports which were later omitted from the records.
18733014,029
18803017,615
18903017,860
19003021,478
19103127,304
19203420,156
193051*20,834
194046*18,343
19503814,393
19593613,874

The tonnage of total shipping at the ports is not available on a comparable basis over this whole period of this table.

The Customs Department records statistics of the number and tonnage of all vessels arriving in New Zealand ports direct from overseas, and of the departures of all vessels for overseas destinations. The Department of Statistics receives monthly from each port a statement of all shipping handled.

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.

OVERSEAS SHIPPING.—In recording the statistics of overseas shipping only one entry and one clearance is counted for each voyage, viz., at the first port of call and at the port of final departure, regardless of the number of ports visited by the vessel while in New Zealand waters.

The following table gives the number and net tonnage of overseas vessels entering and clearing New Zealand ports during the years 1949-59, 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
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
19587943,445,5434,536,110135608,2259294,053,768
19597503,355,6483,989,897133671,4778834,027,125
Cleared
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
19585542,495,8081,531,0333571,478,4849113,974,292
19595772,506,5931,791,1653261,608,1369034,114,729

Direction of Overseas Shipping.—Particulars of the number and net tonnage of vessels entered and cleared between New Zealand and various countries during 1957 and 1958 are given in the following table.

19571958
EnteredClearedEnteredCleared
No.Net TonnageNo.Net TonnageNo.Net TonnageNo.Net Tonnage
United Kingdom1541,028,742148975,140144955,3451491,016,060
Aden14,93415,505115,01714,934
Sarawak....212,723........
Ceylon522,20924,797211,44917,176
Republic of India1148,064518,9381781,403728,150
Malaya38,101629,229212,053212,639
Singapore32168,596945,90925111,4632284,526
Union of South Africa1052,91926,9301047,58723,577
Canada831,865220,13623141,1851695,303
Australia3561,150,0463761,222,7623791,405,6023851,346,441
Fiji4385,02347106,68651158,0413996,798
Gilbert and Ellice Islands1559,954836,725835,854523,630
Nauru Island34136,25144169,70327118,77535151,918
Belgium210,030210,824732,90116,251
France....629,346....936,985
Sweden13,432....517,219....
Union of Soviet Socialist Republics........13,9422718,964
Bahrain421,7381171,92914,926426,437
Iran847,7121590,839949,248951,427
Indonesia1793,66624138,362843,3271485,832
Japan53124,20366130,25446103,51549129,123
Netherlands Antilles1168,20320125,4921277,0501381,512
United States of America75578,08856507,49443304,14458415,774
Whale Fisheries (Foreign)82,03915103132,30521,183
Other countries45194,12442179,62377291,41761249,652
        Totals8963,939,9398953,939,8569294,053,7689113,974,292

In earlier years the tonnage of shipping entering from and clearing for the United Kingdom was higher than that for 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 also. 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 and 1958 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 1954-58.

Net Tons
YearAustraliaUnited KingdomUnited States of AmericaCanadaPacific Islands
Entered
1954910,273853,927170,41894,004359,490
19551,046,2821,035,251199,666140,951342,638
1956966,502955,058188,06863,688365,335
19571,150,0461,028,742578,08831,865305,383
19581,405,602955,345304,144141,185422,736
Cleared
19541,023,809889,997125,36394,735345,275
19551,173,515965,94572,325113,140399,789
19561,089,0371,061,118152,66165,430357,224
19571,222,762975,140507,49420,136390,863
19581,346,4411,016,060415,77495,303358,363

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
195619571958195619571958
Auckland1,844,2562,200,6042,398,7961,225,6631,677,4491,592,093
Tauranga1,4301,90912,05273,528167,548258,098
Gisborne32132132132,13220,93116,996
Napier45,06759,06755,451166,215164,960137,916
New Plymouth73,25188,26694,389150,732193,328151,018
Wanganui3213217686423217,253
Wellington898,4891,083,552983,507894,443895,132959,931
Picton1,9094,1171,896923655378
Nelson12,55611,84826,12838,73348,44318,880
Greymouth1,0853101,073..1,2561,297
Lyttelton329,523314,351322,649256,794260,287251,705
Timaru29,55334,24818,04123,42626,11144,885
Oamaru......1,9037,6913,806
Dunedin113,088105,513109,767346,058327,398378,016
Bluff13,69935,51228,930153,529148,346152,020
          Totals3,364,5483,939,9394,053,7683,364,7213,939,8563,974,292

Outstanding in this table is the increase in tonnage of shipping making Tauranga the final port of departure. This port has recently been greatly improved to facilitate export of the output of the new pulp and paper industries, and of pine logs; the latter is a new item of export to Japan.

As will be seen, in 1958, 83 per cent of overseas vessels (on a tonnage basis) arriving in New Zealand made Auckland or Wellington their first port of entry, and 64 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 1954-58.

OVERSEAS SHIPPING INWARDS

Net Tons (000)
Country of Registry19541955195619571958
British Commonwealth—
  United Kingdom1,8802,1642,0222,0462,110
  New Zealand501482484581550
  Other British Commonwealth204205247251242
    With cargo2,3422,5572,4432,5502,479
    In ballast243294309328423
        Totals, British Commonwealth countries2,5852,8512,7522,8782,902
        Percentage of total8281827372
Net Tons (000)
Country of Registry19541955195619571958
Other—
  Norway253238192271306
  Sweden5769614741
  Netherlands346354142116
  Panama113988488104
  United States of America334446331364
  Remaining countries85164175183220
    Cargo541616580954966
    Ballast346032108185
        Totals, other countries5756766121,0621,151
        Percentage of total1819182728
        Grand totals3,1603,5273,3653,9404,054

The following table shows the changes that have taken place in recent years in the proportions of cargo carried to and from New Zealand in ships of different countries of registry. United Kingdom ships still carry the bulk of our external trade although the proportion of both the inward and outward cargo carried in vessels of this country of registry has tended to decrease over the period shown.

Per Cent
Country of Registry19541955195619571958
Cargo Inward from Overseas
United Kingdom56.856.852.248.050.3
New Zealand15.813.817.120.217.8
United States of America1.10.30.20.9 
Norway12.911.310.113.215.0
Panama5.84.54.13.84.4
Denmark0.93.03.41.61.0
Netherlands1.31.92.84.63.8
Sweden2.23.33.42.21.6
Other countries3.25.16.75.56.1
      Totals100.0100.0100.0100.0100.0
Cargo Outward for Overseas
United Kingdom79.581.775.571.671.8
New Zealand15.112.816.016.616.5
Australia1.51.61.41.01.4
Japan1.51.62.23.65.4
Panama..0.20.81.3..
Other countries2.42.14.15.94.9
      Totals100.0100.0100.0100.0100.0

The overseas passenger traffic is concentrated principally at Auckland and Wellington. Small numbers of overseas passengers, however, arrive at and leave from the other ports. The following table gives the numbers of passengers arriving at and departing from each port for the years 1954-58.

PortPassengers Arriving From OverseasPassengers Departing For Overseas
1954195519561957195819541955195619571958
Bay of Islands......4............
Auckland17,42718,16417,63820,64621,14016,25315,38213,76215,81817,756
Tauranga........13....1318
Gisborne7......4192837..19
Napier1624512261127695911986
New Plymouth64186925287122440
Wellington17,91720,70420,36020,69319,56212,64615,29316,91013,79014,646
Picton................4..
Nelson55.26............
Greymouth......5............
Lyttelton4395828567991,071161212160179204
Timaru1710 12 6246 
Dunedin522413056951101309489
Bluff414 512837404527
      Totals35,94839,52339,01542,26741,93529,32531,13431,10430,09232,885

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 the coastal movements of overseas vessels are included, each overseas vessel being recorded as such at every port of call. In the earlier tables overseas vessels were recorded only at the first port of arrival and the final port of departure.

The movement of overseas and coastal vessels on the New Zealand coast is well illustrated in the following table, which gives the total number and tonnage of all calls made during each of the years 1949-59.

YearOverseas VesselsCoastal VesselsTotal
NumberNet TonnageNumberNet TonnageNumberNet Tonnage
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
19582,97711,879,34212,7354,793,36415,71216,672,706
19592,87512,699,65210,9994,972,52913,87417,672,181

Figures for recent years show substantial increases in the overseas trade of ports. The coastal trade on this basis showed a decrease in 1951 as compared with 1950, which was 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 each overseas vessel calls at an average of 2.8 ports while in New Zealand waters.

The following table shows for the three years 1956-58 the number and net tonnage of overseas vessels arriving at New Zealand ports, either direct or coastwise.

Port195619571958
NumberTonnageNumberTonnageNumberTonnage
Bay of Islands....419,87323102,268
Whangarei2471,0231957,4592066,475
Auckland6272,710,2676933,189,2377943,474,309
Onehunga....132161,398
Tauranga66102,14894204,214125348,884
Tolaga Bay........1745
Gisborne22124,2212391,05834140,037
Napier127639,419127554,644178716,647
New Plymouth95489,560109512,567129562,058
Wanganui396326424768
Wellington4622,187,5584882,261,9545892,532,099
Picton710,981611,2161033,166
Nelson34107,74342135,94456139,636
Westport....238864,473
Greymouth118,61751,9542631,161
Lyttelton3541,468,9713591,434,1204181,609,102
Timaru87358,97984341,110116439,224
Oamaru815,1831218,763610,408
Dunedin2481,048,7782781,074,1323041,170,611
Bluff93408,35895395,317132495,873
        Totals2,2689,752,7692,44310,304,9132,97711,879,342

Overseas vessels are shown to have called at 16 ports in 1956, 19 in 1957, and 20 in 1958. Developments at Opua in the Bay of Islands enabled this port to be used by overseas vessels late in 1957. In the years 1936-38 approximately 24 New Zealand ports were visited by overseas vessels. The following table shows the percentages of inward overseas shipping tonnage recorded at the ports of Wellington, Auckland, and Lyttelton for the years 1954-58. In most years these three ports handle two-thirds of the total tonnage of overseas shipping.

Percentage
Port19541955195619571958
Auckland27.428.527.830.929.2
Wellington24.024.822.422.021.3
Other North Island12.712.914.714.016.4
        North Island64.166.264.966.966.9
Lyttelton14.513.615.113.913.5
Other South Island21.420.220.019.219.6
        South Island35.933.835.133.133.1
        New Zealand totals100.0100.0100.0100.0100.0

The following table shows for the years 1956-58 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.

Port195619571958
NumberTonnageNumberTonnageNumberTonnage
Awanui16412,02116311,35415911,108
Mangonui534,126564,268544,513
Whangaroa956,546704,536703,871
Bay of Islands824,7566723,51388105,925
Whangarei775223,756828228,265879239,654
Mangawai783,211........
Auckland5,2993,069,0485,6553,584,2045,6053,824,568
Onehunga8324,5788324,9199730,830
Raglan5616,6605116,2155117,400
Thames3698,6233609,0472485,566
Coromandel1042,6981043,1551333,593
Whitianga882,001972,198882,180
Tauranga204125,306242231,925266383,711
Whakatane and Ohiwa737,756828,579758,311
Kutarere242,530352,815343,679
Opotiki282,768242,0569916
Tokomaru Bay3311,477226,677216,668
Tolaga Bay258,828154,519144,791
Gisborne150188,495163150,238176196,446
Napier244689,542287625,981326777,066
New Plymouth208526,581207549,467235610,296
Patea14815,181889,262889,333
Wanganui32287,933318103,90329690,528
Wellington2,4423,943,2642,2623,922,4412,3954,214,266
Picton346280,505359253,985333305,639
Wairau726,336534,664645,632
Nelson738224,494662251,242660251,431
Motueka27929,64922031,41320725,657
Collingwood8730101,034....
Westport136113,805153135,010157131,232
Greymouth11499,457119112,26211297,930
Lyttelton1,1302,744,2471,1392,685,9861,2712,887,427
Timaru308453,090321440,367412553,693
Oamaru9758,6909959,53910554,511
Dunedin4171,124,4894461,148,7144841,246,525
Bluff345466,043391459,307382537,598
Half-moon Bay11518,84411919,57211820,212
        Totals15,25214,608,06415,37015,132,63215,71216,672,706

In 1958 Wellington ranked as the first port of New Zealand as regards aggregate tonnage of shipping entered, followed by Auckland, Lyttelton, Dunedin, Napier, New Plymouth, Timaru, and Bluff 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 logs and the output of the new pulp and paper industries of the district.

In the cases of Wellington, Lyttelton, and Picton, the figures are inflated by the recording of the regular inter-island ferry services.

Cargo Statistics.—The Department of Statistics collects from each port a monthly statement of the cargo handled. In this statement provision is made for analysis of the cargo under 38 commodity headings, for each of which is shown the quantity handled, both inwards and outwards, and the transhipments. Cargo statistics were first collected in 1922. The tables which follow are compiled from the data provided in these returns.

The following table gives a summary of the tonnage of cargo handled at all ports for the years 1949-59.

Manifest Tons
YearInwards*TranshipmentsOutwards*Total Tonnage
CoastalOverseasCoastalOverseas

*Excluding transhipments.

†Transhipments included twice.

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
19582,259,4874,865,187148,2822,018,0761,664,98411,104,298
19592,179,6894,494,627127,6331,930,0031,912,67710,772,262

The next table shows for each port the total cargo inwards and outwards in 1958. The high proportion of transhipments in the case of Wellington is due to the central position of the port and the fact that much overseas cargo is transhipped from Wellington to South Island ports.

Manifest Tons
PortInwards*TranshipmentsOutwards*Total Tonnage
CoastalOverseasCoastalOverseas

*Excluding transhipments.

†Transhipments included twice.

Mangonui2,219....594..2,813
Bay of Islands1,77610,511..49816,13428,919
Whangarei123,54340,939..157,2127321,701
Auckland604,2701,887,27636,886232,097511,9333,309,348
Onehunga45,6081,809..53,921564101,902
Raglan14,915....2,325..17,240
Thames4,572....717..5,289
Tauranga25,837148,813 23,088201,409399,147
Whakatane (including Ohiwa)6,394....7,729..14,123
Kutarere2,596....2,838..5,434
Opotiki614....874..1,488
Tokomaru Bay1,145....1,096..2,241
Tolaga Bay668471..476..1,615
Gisborne59,7092,95311111,32913,12787,340
Napier79,900203,6371,94311,725128,709427,857
New Plymouth50,518207,943343,925107,138369,592
Patea449....15,057..15,506
Wanganui102,4952,160..13,875..118,530
Wellington490,8981,155,56698,526437,665283,9602,565,141
Picton51,744510..46,98141299,647
Wairau6,168....3,590..9,758
Nelson69,32641,92198848,37741,119202,719
Motueka5,037....25,319..30,356
Westport6,4122,423..230,718..239,553
Greymouth10,29185..184,647..195,023
Lyttelton282,925658,1501,216321,655113,6431,378,805
Timaru37,66842,30013564,77067,581212,589
Oamaru14,63911,779..23,97719750,592
Dunedin109,092296,8758,44362,56270,930556,345
Bluff45,434149,066..26,932108,121329,553
Half-moon Bay2,625....1,507..4,132
        Totals2,259,4874,865,187148,2822,018,0761,664,98411,104,298

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. It is practicable to obtain the actual weights involved for only a portion of the goods handled. 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.

In the Section dealing with the export trade it is pointed out that pastoral products make up over 90 per cent of New Zealand's exports. The following table shows how the various ports participated in the handling of the main pastoral produce items in the outward overseas cargo during 1958. Although pastoral products constitute the bulk of New Zealand's exports on a value basis, a number of other types of commodities constitute an important part of the total outward overseas cargo. The table also shows the extent to which exporting ports participated in the handling of the major remaining items.

Manifest Tons
PortButterCheeseOther Milk ProductsFrozen MeatHides and SkinsTallowWool
Bay of Islands7,914....6,67462961488
Whangarei..............
Auckland146,02211,96897,27687,35414,04516,35734,184
Onehunga..1269........
Tauranga..........19484
Gisborne262....7,5786771,2082,991
Napier1086732845,9975,0364,60734,996
New Plymouth18,25439,5125,11925,9702,9804,7093,138
Wellington14,91121,12514,74771,18311,3408,72044,688
Picton..............
Nelson......2,2282501,081714
Lyttelton5731,2221,16639,4827,8308,40523,609
Timaru..1,336..37,7062,9263,69418,872
Oamaru..........197..
Dunedin1021,44640023,4612,7303,93625,981
Bluff1756,5643,44858,5184,0166,89724,358
        Totals188,32183,241122,753406,15152,45960,619213,703
PortFruit, freshIron and Steel, etc.Paper, Newsprint, etc.Timber, SoftwoodWood PulpAll Other GoodsTotal
Bay of Islands..........21516,134
Whangarei.........77
Auckland3,27921,36441910,36618,67850,621511,933
Onehunga..........294564
Tauranga12..47,96397,86152,0883,207201,409
Gisborne..........41113,127
Napier21,247....1,345..14,978128,709
New Plymouth..........7,456107,138
Wellington6,69214,217242,692..73,621283,960
Picton..........412412
Nelson22,4292,092..9,871..2,45441,119
Lyttelton76,27829131..24,911113,643
Timaru..........3,04767,581
Oamaru............197
Dunedin19510151,042..11,61270,930
Bluff......12..4,133108,121
          Totals53,86143,96148,450123,32070,766197,3791,664,984

Transhipments.—Transhipments of cargo during 1958 totalled 148,282 tons, of which 98,526 tons were transhipped at Wellington. As was noted earlier, the central position of this port tends to increase the quantity of goods transhipped. Quantities of cargo are carried to Wellington coastwise for transhipment there to overseas ships, and quantities of inward overseas cargo are transhipped at Wellington for delivery to South Island ports. Two notable contributions to transhipment at Wellington are apples carried by coasters across from Nelson and cheese brought by coastal vessels from Patea for eventual export at Wellington. (From August 1959 cheese, previously shipped from Patea, is now railed to New Plymouth.)

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 1958 was 4,945,692, and the total outward tonnage going overseas 1,718,365. Comparative figures for 1957 were 5,267,051 and 1,672,980 tons respectively.

The following table shows for 1957 and 1958 the transhipment trade of each port affected.

Manifest Tons
PortCoastal to CoastalCoastal to OverseasOverseas to CoastalOverseas to OverseasTotal
1957195819571958195719581957195819571958
Auckland2,3331,7935,5854,05537,75724,2537,3686,78553,04336,886
Onehunga7..............7..
Gisborne85..104111........189111
Napier71787267406371,125....1,4341,943
New Plymouth....782..1183451..95134
Wellington2,4532,15954,71848,29454,83644,9731,2823,100113,28998,526
Nelson375229..117..642....375988
Motueka60..............60..
Lyttelton505477..1981,109..533251,216
Timaru..........135......135
Dunedin156145..644,2808,234....4,4368,443
        Totals5,5904,45861,99253,38197,82680,5058,7019,938174,109148,282

The next table shows the various items of merchandise, etc., which comprised the transhipment trade in 1958.

Manifest Tons
ItemCoastal to CoastalCoastal to OverseasOverseas to CoastalOverseas to OverseasTotal
Beans and peas142181161349
Butter4157..19180
Cement128..33209370
Cereal products3061341126
Chaff, hay, and straw12......12
Cheese615,281....15,287
Coal50......50
Coke30......30
Fish47146....193
Flour8....311
Fruit, preserved23642,439212,547
Fruit, fresh419,54169..19,614
Grain32313..327
Hemp, linen-flax, and phormium....168..168
Hides, skins, and pelts2134212366
Honey133....34
Iron and steel, pipes, etc.1235216,4257516,675
Lime42.....42
Machinery43522,833863,014
Manures....1,118401,158
Meat, frozen..4,041....4,041
Meat, preserved43....7
Milk products (other than butter and cheese)120154....274
Motor spirit, kerosene....411859
Motor vehicles, parts and tires63139691711,216
Oil, other mineral175..3,2922,1005,567
Paper, newsprint, etc.50261,37331,452
Potatoes18153....171
Seeds3999447189
Sugar1....34
Tallow..887....887
Timber, hardwoods....7,858367,894
Timber, softwoods1721,769..1,788
Wines, spirits, and beer50..588134772
Wood-pulp....1,138..1,138
Wool1049,10629..9,239
All other goods2,9082,94940,1657,00953,031
          Totals4,45853,38180,5059,938148,282

Shipping Between New Zealand and Island Dependencies.—In the tables of overseas shipping no account is taken of ships moving between the main islands of New Zealand and the island dependencies of Cook Islands and Niue. These islands are constitutionally part of New Zealand, and shipping to or from them is not treated as overseas. The following table illustrates the extent of this shipping movement during the years 1954-58.

YearEntered New Zealand Ports from Cook Islands and Niue
With CargoIn Ballast
VesselsNet TonnageCargo (Manifest Tonnage)VesselsNet Tonnage
1954139,2976,827....
1955138,1076,3951122
19561310,59611,494....
19571813,6978,399176
19581620,68015,654310,152
YearCleared New Zealand Ports for Cook Islands and Niue
With CargoIn Ballast
VesselsNet TonnageCargo (Manifest Tonnage)VesselsNet Tonnage
1954149,4547,373....
19551412,0377,274....
1956136,8356,479....
1957179,3239,501176
19581211,37410,036180

In most years all the departures to the islands are from Auckland. This was so in 1958. The majority of the vessels in this trade are of New Zealand registry. Of the 16 vessels bringing cargo from the islands in 1958, 14 were of New Zealand registry, 1 was registered in the United Kingdom and 1 in Denmark.

Shipping on Inland Waters.—Although New Zealand is well supplied with rivers, few can be used by shipping for other than short distances. There are no regular passenger or cargo services on any of the rivers. The only inland-water shipping of consequence is the service on Lake Wakatipu operated with the Earnslaw. This vessel is the property of the New Zealand Railways. Passengers and cargo are carried from Queenstown to other points on the shores of the lake. Farmers use this service for transporting livestock. The next table shows the operations of this service during the years 1954-55 to 1958-59.

Year Ended 31 MarchPassengersLivestockTimberOther GoodsRevenueExpenditure
 No.No.Sup. ft.Tons££
   (000)   
195532,0569,5692456,02821,74726,893
195631,5765,8123024,52919,76129,147
195731,0638,6181914,38322,10126,594
195829,60210,2053264,78722,69927,173
195924,07810,2892044,33821,65127,479

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 vessels registered in New Zealand as at the end of each of the last eleven years are as follows.

YearSailing VesselsSteam and Motor VesselsTotals
VesselsGross TonnageNet TonnageVesselsGross TonnageNet TonnageVesselsGross TonnageNet Tonnage
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
1957361,8211,487490264,309134,669526266,130136,156
1958361,8211,487495271,179137,660531273,000139,147
1959412,3381,898490260,248131,409531262,586133,307

In the table which follows, the vessels on the New Zealand register at 31 December 1958 are classified into sailing, steam, and motor, and are listed for the various ports of registry.

Port of RegistrySailing VesselsSteam VesselsMotor Vessels
VesselsGross TonnageNet TonnageVesselsGross TonnageNet TonnageVesselsGross TonnageNet Tonnage
Auckland311,7841,4503210,2124,95128345,77822,279
Napier......2948537104,1961,896
Wellington537372987,47144,8706281,19043,076
Nelson......21,602627176,4502,764
Lyttelton......62,7981,021153,4551,666
Timaru......1942488......
Dunedin......57,3143,6731517,2899,229
Bluff......31,05642913478154
      Totals361,8211,48780112,34356,596415158,83681,064

Auckland is the port of registry of the majority of the vessels forming New Zealand's “mosquito” fleet, the average net tonnage of the 346 vessels on the Auckland register being only 83 tons.

In the next table vessels registered in New Zealand at the end of 1958 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 craft are not included. The total number of vessels engaged in trading was 158, of an aggregate net tonnage of 121,027.

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 tons36643........
50 and under 100 tons171,160........
100 and under 200 tons212,794........
200 and under 300 tons61,4691219....
300 and under 400 tons207,0871368....
400 and under 600 tons41,925........
600 and under 800 tons21,558....21,377
800 and under 1,000 tons1807190943,630
1,000 and under 1,200 tons............
1,200 and under 1,500 tons33,96011,297810,539
1,500 and under 2,000 tons11,62559,851815,458
2,000 tons and over39,710....1344,641
        Totals11432,738912,6443575,645

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. Further regulations provide for the examinations for marine engineers. In the year ended 31 March 1959 the total number of candidates examined for foreign-going certificates (of Imperial Validity), or parts thereof, was 156, of whom 26 gained certificates and 28 gained partial passes. In addition 1 candidate was examined, on behalf of the Ministry of Transport, London, for Part A of the Extra First Class Certificate. A total of 197 candidates was examined for home-trade and local certificates, of whom 105 passed, while a further 57 candidates were examined for the engineering section for master of a restricted limit motor ship not exceeding 10 register tons, of whom 44 passed.

As from 1 June 1957, second mates (foreign-going) have been required to pass a valid Radar Observer's Certificate of Proficiency before being issued with a Second Mate's (Foreign-going) Certificate. The Marine Department has provided at its School of Navigation, Auckland, a radar course to enable candidates to obtain the radar certificate. This certificate has been granted Imperial Validity. To 31 March 1959, 46 candidates have obtained certificates through this course.

Regulations provide for the examinations for masters and mates; in the year ended 31 March 1959 the total number of candidates examined for foreign-going certificates of Imperial Validity was 110, of whom 38 obtained certificates. In addition, 101 candidates were examined for home-trade and local certificates, of whom 74 obtained certificates.

There were also 115 candidates for eye-sight examination, of whom 103 passed.

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 1958 to 31 December 1958 certificates of survey were issued to the following categories of New Zealand ships:

Passenger ships engaged in international voyages6
Cargo steamships engaged in international voyages7
Cargo motorships engaged in international voyages36
Home-trade steamships13
Home-trade motorships76
Restricted-limits steamships34
Restricted-limits motorships310
          Total482

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 1958 there were 101 such certificates issued to New Zealand registered ships and 37 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 322.

LIGHTHOUSES.—Along the New Zealand coast there are eighty-seven coastal lights of various types. In twenty-seven 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 sixty 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, East Cape, 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 400 ft.), both of which have a visibility of 26 miles; Godley Head (altitude 317 ft.) and Portland Island (altitude 300 ft.), both visible at 24 miles. Thirteen other lights have a range of 20 miles or over, being Centre Island,Baring Head, 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 lamps, the keepers being competent to transmit messages by lamp, or receive messages by flags or lamp. In addition, eleven 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 1958-59 was as follows: salaries, wages, and overtime, £44,902; stores, general maintenance, transport, etc., £70,720; radio beacon improvements, £382; total, £116,004, excluding recoverable expenditure of £21,739 for cable repair vessel Matai and telephone and meteorological allowances of £1,471, and administration expenses. Light dues for 1958-59 totalled £157,743, an increase of £5,462 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 December 1958 are shown in the following table. It should be noted that figures list all casualties, including small craft.

Type of ShipMiscellaneous and Berthing, UnberthingMachinery BreakdownCollisionGroundingFireFounderingStrandingTotal
Passenger....12....14
Cargo21811172555
Fishing....1....214
Pleasure........1....1
  Totals21831384764

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 1865 began the construction of a line from Auckland to Drury.

Although practically the whole of the railways are now State-owned, some sections were built by private enterprise, notably the 83-mile line from Wellington to Longburn constructed by the Wellington and Manawatu Railway Co. Ltd. in 1882-86 and operated by the company until 1908.

By 31 March 1880, 1,182 miles of State-owned lines were open for traffic and by 31 March 1900 more than 2,100 route miles in ten separate sections were in use. The 369-mile trunk line between Christchurch and Invercargill was completed for through traffic as early as 1879, but the 426-mile North Island Main Trunk Railway between Auckland and Wellington was not completed until November 1908.

More recently, other main lines have been completed, linking up most of the hitherto isolated sections. Westland was connected with Canterbury via the 5½- mile Otira Tunnel in 1923; Whangarei was connected to the main North Island system in 1924; Gisborne and Dargaville to the same system in 1942; and Westport was linked with the South Island system in 1943. In 1945 the Christchurch-Picton main line was completed.

The past decade has seen the building of new lines to serve the extensive man-made forests in the North Island. An 18-mile branch railway from Putaruru through Tokoroa to Kinleith was opened in 1952 and the 9-mile Kawerau Branch and 36-mile Murupara Branch were completed in 1957.

Vast improvements have been made to existing railways during the past 60 years and many sections have been reconstructed at considerable expense to ease gradients, shorten distances and reduce curvature. The Auckland-Westfield deviation, opened in 1930; the Wellington-Tawa deviation, brought into full use in July 1937; and the Turakina-Okoia deviation, opened in December 1947, are typical examples. The most recent example is the Rimutaka deviation and its 5½-mile tunnel between Upper Hutt and Featherston, which was opened in November 1955 to eliminate the 1-in-15 Rimutaka Incline used from 1878.

The total route mileage of railways vested in the Railways Department and open for traffic at 31 March 1959 was 3,420—1,682 miles in the North Island and 1,738 in the South Island. In addition, traffic was being worked by the Railways Department over a further 6 miles of railways owned by other Government Departments. Double line was provided on 151 route miles of track.

The Otira - Arthur's Pass section of line, including the Otira Tunnel, was electrified in 1923, the Christchurch-Lyttelton section in 1929, the Wellington-Johnsonville line in 1938, and the Wellington-Paekakariki section in 1940. The first part of electrified services between Wellington and the Hutt Valley was brought into operation in 1953, and the last stage of this project was completed in July 1955.

The introduction of diesel-electric locomotives in 1952 was the beginning of a radical change in motive power operation in New Zealand. By 31 March 1958, 107 of these locomotives were in use. In addition 86 diesel shunting locomotives had been purchased. Between 1955 and 1959,35 new articulated diesel railcars were placed in service. Diesel traction was responsible for handling 39 per cent of the traffic during the year 1958-59. The total fleet of 50 railcars ran approximately 43 per cent of the total passenger train mileage.

Government railways in most instances have been constructed by the Ministry of Works and transferred to the Railways Department when completed. The gauge is 3 ft. 6 in. Standard rails for heavy traffic main lines weigh 91 lb. per lineal yard, and for secondary and branch lines 72 lb. per yard. At present much of the track is laid to the standards adopted prior to 1950—viz., 85 lb., 70 lb., and 55 lb. rails. Sleepers, 2,400 to the mile, are principally of Australian hardwood.

ADMINISTRATION.—In the year 1876 the railways that were operated by Provincial Governments passed into the control of the Public Works Department. In 1880 the opened lines were handed over to the Working Railways Department under a single management, but 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.

Following a 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 195531 March 195631 March 195731 March 195831 March 1959
*Equal to £36,135 per mile of open line. Includes cost of rolling stock, buildings, and equipment as well as right-of-way and track.
Open for traffic—
  Railway98,010,014101,417,942111,673,573115,746,328123,583,344*
  Lake Wakatipu steamer service22,55722,55722,55722,55724,235
  Subsidiary services5,521,5027,107,6858,405,1219,703,25710,335,862
        TOTALS103,554,073108,548,184120,101,251125,472,142133,943,441
Works under construction8,696,9909,704,4553,116,750298,991298,405
        Grand totals112,251,063118,252,639123,218,001125,771,133134,241,846

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 37 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 1959 is given in the following table.

*In addition there are 5 diesel-electric shunting locomotives in use in workshops and 87 diesel and petrol shunting tractors, both road and rail type, in use at stations.
Locomotives—
  Tender426
  Tank78
  Electric28
  Diesel electric107
  Diesel shunting86
          Total725*
Passenger vehicles—
  Sleepers18
  First class105
  Second class769
  Composite11
  Rail cars50
  Electric multiple units128
  Postal8
          Total1,089
Wagons—Four-wheeledBogie
  Horse boxes2751
  Cattle94738
  Sheep3,13529
  Frozen and chilled meat718793
  Cool, ventilated1,325..
  Covered goods393454
  High-side20,900298
  Low-side1,436..
  Platform..1,035
  Brake vans10446
  Other2,883643
 31,7743,787
      Total35,561

From 1901 to 1939 most of the locomotives and rolling stock were built in the railway workshops. Some special types, however, such as multiple-unit electric coaches and a number of electric locomotives, were imported from England. In addition, many steam locomotives and goods wagons were imported after the First World War. Since the 1939-1945 war, construction of steam locomotives and goods wagons has continued in New Zealand railway workshops, the annual output being dependent on the availability of staff and materials. It has been necessary to supplement this output with importations of locomotives, railcars, multiple-unit coaches, and goods wagons, mainly from England. Since 1945, more than 12,500 goods and livestock wagons of modern design have been placed in service, also 111 multiple-unit electric coaches, 35 diesel railcars, and many steam, diesel, and electric locomotives.

The last steam locomotives built in the North Island were completed at the Hutt Valley workshops in 1950. They were oil-fired, 145-ton locomotives of the KA class. Sixteen 110-ton JA class oil-fired locomotives were imported from Scotland in 1952 for North Island service. In the South Island, the last of 35 coal-fired JA class steam locomotives was completed at the Hillside railway workshops in 1956. These will probably be the last steam locomotives ever built for New Zealand Railways.

Four 25-ton diesel-mechanical shunting locomotives were imported in 1949 and gave such good results that 82 more of different types ranging in weight from 25 to 37½ tons and in power from 204 to 260 h.p. were later ordered for distribution to shunting yards throughout the system. Several smaller diesel locomotives, of 15 and 20 tons weight, have also been acquired for light shunting duties at busy stations.

The first diesel-electric locomotives for main-line service in New Zealand were 51-ton (660 h.p.) machines imported from England in 1952 and placed in service at Auckland and Wellington. They were followed in 1954 by ten 108-ton (1,500 h.p.) locomotives. Forty 78-ton (1,425 h.p.) locomotives—30from North America in 1955 and ten from Australia in 1957—have since been put into service. All of these were for the North Island. The present diesel-electric locomotive fleet is completed by 42 (750 h.p.) locomotives placed in service between 1955 and 1957, 31 in the North Island and 11 in the South Island. These were imported from England. Eighteen 40-ton (400 h.p.) diesel-electric locomotives for heavy shunting duties in the Auckland district were built in England and delivered during 1959.

The latest diesel railcars, of which 35 were placed in service between 1955 and 1959, each weigh 56 tons unladen and seat 88 passengers. Designed for a top speed of 65 m.p.h. on level track, they are powered by two 210 h.p. diesel engines. With 15 railcars of earlier design, they provide fast passenger services covering a total of more than 7,000 miles daily spread over 12 main lines.

Standard main-line passenger cars are 56 ft. in length, have chair seats, and are steam-heated and electrically lit. They are steel-sheathed and fitted with enclosed vestibules and gangways. Sleeping cars are provided with wash-basins in each two-berth cabin, wall mirrors, reading lights, and plug-in sockets for electric razors.

Typical of the modern wagons now in use are steel highside open wagons with a capacity of 15 tons; double-deck sheep wagons able to carry 80 sheep; covered goods wagons with capacity for 12 tons of goods; long 50 ft. covered goods wagons for express goods trains; and high-capacity all-steel insulated wagons for frozen meat and chilled beef traffic. A new type of wagon, 42½ ft. long and 9 ft. wide, for the Murupara-Kawerau log traffic, was specially designed for carrying a 26-ton bundle of logs loaded up to 12 ft. above rail level.

The types of motive power handling New Zealand's railway traffic are illustrated in the following table. Diesel power has increased while steam power has decreased.

In these traffic figures, the weight of motive power is excluded—except in the case of diesel railcars and multiple-unit electric trains.

1956-571957-581958-59
Gross Ton-miles (Million)Per CentGross Ton-miles (Million)Per CentGross Ton-miles (Million)Per Cent
Passenger trains—
  Steam locomotives396.250.79346.046.23329.243.96
  Diesel locomotives34.44.4240.45.4046.96.26
  Diesel railcars130.716.75143.619.19152.520.37
  Electric locomotives51.26.5650.26.7050.66.76
  Electric multiple-unit167.621.48168.322.48169.622.65
    Totals, passenger780.1100.00748.5100.00748.8100.00
Mixed and goods trains—
  Steam2,119.965.481,937.459.641,823.955.86
  Diesel1,038.232.071,233.437.971,365.041.80
  Electric79.52.4577.92.3976.52.34
    Totals, mixed and goods3,237.6100.003,248.7100.003,265.4100.00
All trains—
  Steam locomotives2,516.162.632,283.457.122,153.153.64
  Diesel locomotives1,072.626.701,273.831.871,411.935.17
  Diesel railcars130.73.25143.63.59152.53.80
  Electric locomotives130.73.25128.13.20127.13.17
  Electric multiple unit167.64.17168.34.22169.64.22
    Grand totals, gross ton-miles4,017.7100.003,997.2100.004,014.2100.00

REVENUE AND EXPENDITURE.—The total revenue from and expenditure on the railways (including subsidiary services) during each of the years 1948-49 to 1958-59 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.

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
195834,442,76935,588,196−1,145,427
195934,372,86435,137,305−764,441

The expenditure figures do not include interest on capital liability. With £5,195,683 interest added, the 1958-59 loss of £764,441 would become a loss of £5,960,124. The chief items of expenditure for 1958-59 were wages £20,341,132, locomotive fuel (including electricity) £2,152,385, stores and materials £4,502,060, depreciation and renewals £4,955,876, and miscellaneous £3,185,852.

A sum of £5,099,665 was set aside in 1958-59 for depreciation and track renewals, while expenditure from these funds amounted to £3,686,577. The amounts standing to the credit of the Depreciation and Renewals Accounts at 31 March 1959 were £11,211,215 and £262,577 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.
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*
195830,009,5464,433,22331,063,6494,524,547−1,054,103*−91,324*
195929,822,5014,550,36330,504,8534,632,452−682,352*−82,089*

The respective Island figures of revenue and expenditure for railway operation only (i.e., omitting subsidiary services) are given below for the 1958-59 year.

Section of RailwayRevenueExpenditureNet Revenue or LossRatio of Expenditure to Revenue
 £££Per Cent
North Island Main Line and branches19,945,13919,068,238876,90195.60
South Island Main Line and branches9,877,36211,436,615−1,559,253115.79
          Totals29,822,50130,504,853−682,352102.29

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
1957-581958-591957-581958-59
Lake Wakatipu steamers22,69921,65127,17327,479
Refreshment service359,264369,575389,128397,131
Bookstall service257,955268,440256,180262,074
Advertising service78,63681,15369,67972,599
Departmental dwellings340,872362,5871,006,0951,046,446
Leases of bookstalls, etc.113,381120,936103,145113,454
Road services—Passengers and goods2,649,6782,684,2152,673,1472,713,269
Miscellaneous receipts610,738641,806....
          Totals4,433,2234,550,3634,524,5474,632,452

Revenue.—In the following table the railway operating revenue during 1958-59 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
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
19582,777,929664,93125,846,909719,77730,009,546
19592,768,790651,55325,710,181691,97729,822,501

The revenue from passenger fares during the year 1958-59 represented an expenditure on railway travel of £1 4s. Id. per head of mean population. The total railway operating revenue was equal to £12 19s. 5d. per head.

On 21 June 1953 suburban fares were increased by 10 per cent, while increases varying from 5 per cent to 20 per cent were made in some goods rates, further increases in the latter class, mostly from 5 to 7 per cent, taking effect from 17 January 1954. 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 1958-59 represented 102.22 per cent of the gross earnings, and the operating expenses 102.29 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
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
1958103.51
1959102.29

The operating expenditure under various heads is now given for 1958-59 and for each of the previous ten years.

£
Year Ended 31 MarchMaintenance of Way and WorksMaintenance of SignalsMaintenance of Rolling StockLocomotive TransportationTraffic TransportationHead Office and General Charges*Total

*Including superannuation subsidy.

†Merged with Maintenance of Way and Works.

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
19588,790,806..6,862,4845,799,2438,838,065773,05131,063,649
19598,616,642..6,792,4865,585,7898,738,782771,15430,504,853

The increase in expenditure to 1958 had 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.

PASSENGER AND GOODS TRAFFIC.—From about 1925 until 1933 there was a steady decline in the number of passenger journeys recorded. This was attributed to the development of motor competition and, after 1930, to the severe economic depression. As economic conditions improved from 1933 to 1939 there was an upward trend, and from 1939 to 1944 there was a sharp increase caused by the wartime movement of members of the Armed Forces, the curtailment of road services, and the restrictions placed on private motoring by rationing of petrol and shortage of rubber tires.

In January 1944 train services had to be reduced drastically owing to shortage of coal. This fact, together with the large decline in Armed Forces traffic after the cessation of hostilities, caused the annual number of railway passenger journeys to recede considerably until the 1948-50 period, when restoration of a number of main-line and suburban passenger train services became possible. Many branch-line and country main-line mixed-train services that had been discontinued were not restored, however, and the short-distance traffic that they carried was transferred permanently to road services.

Curtailment of main-line and suburban services was again necessitated in 1951 because of shortage of coal arising from industrial disputes. Subsequent staff shortages prevented any large-scale restoration of services until more railcars could be introduced on main lines and until the Hutt Valley electrification scheme was nearing completion. Nevertheless, the number of passenger journeys per annum rose steadily from 1952 to 1957, reaching 25,377,170 in 1956-57. There was a decline to 24,816,639 in 1957-58, attributed partly to the continuing development of private-car competition and long-distance air services, and also to the exceptional series of floods and line blockages during the year, but an increase again in 1958-59 when the number of journeys rose to 25,437,083.

The quantity of goods traffic carried by New Zealand Railways increased steadily year by year until 1929-30, but declined considerably during the depression until 1933. Since 1933 there has been a steady upward trend, with only occasional and brief recessions reflecting fluctuations in economic activity, so that over the 26 years to 1959, the tonnage of goods carried has almost doubled (from 5,490,686 tons to 10,367,478 tons), and the ton-mileage has more than trebled (from 363.4 million to 157.6 million).

Revenue-earning ton-miles in 1958-59 (1,157.6 million) reached a record figure, being an increase of 0.62 per cent compared with 1957-58 traffic. The average distance that each ton of goods was hauled rose from 66 miles in 1932-33 to 112 miles in 1958-59.

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.
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
19583,46614,825,11024,816,6397,768,5791,461,14110,331,948
19593,42014,604,93125,437,0838,070,3411,490,73210,367,478

Passenger train-miles run during 1958-59 totalled 5,768,075, and the passenger revenue received represents 115.20d. per passenger train-mile, and £1,090 per mile of line operated by passenger services.

The number of ordinary passenger journeys in 1958-59 increased by 3.88 per cent, compared with the previous year. The tonnage of goods handled increased by 35,530 tons, or 0.34 per cent.

The numbers of livestock carried for the last two years were as follows.

1957-581958-59Variation
    Per Cent
Cattle and horses913,812882,175−31,637−3.46
Calves709,328640,961−68,367−9.64
Sheep6,512,3307,352,540+840,210+12.90
Pigs399,419453,706+54,287+13.59
        Totals8,534,8899,329,382+794,493+9.31
Equivalent tonnage620,524642,865+22,341+3.60
Revenue1,898,9531,899,861+908+0.05

Detailed figures showing the numbers of rail passengers carried and the numbers of season tickets issued during the last five years are given in the following table.

1954-551955-561956-571957-581958-59
Standard fare2,653,4182,382,5672,276,9712,036,2071,908,604
Suburban4,133,6664,638,7944,981,3604,944,3025,327,221
Other fares1,016,729953,835874,021788,070834,516
          Totals7,803,8137,975,1968,132,3527,768,5798,070,341
Estimated number of journeys on season tickets16,931,67617,100,04017,244,81817,048,06017,366,742
Number of season tickets issued—
  Suburban weekly567,641557,390564,462563,044574,585
  Weekly ten-trip32,47631,78528,00327,00528,245
  Bearer twelve-trip70,20481,62693,14497,482100,857
  Bearer six-trip790,100773,588745,551712,275724,043
  School17,23216,75116,64815,99415,425
  Tourist2636251329
  Travellers' annual6552544038
  Other41,27442,99244,76045,28847,510
          Totals1,519,0181,504,2201,492,6471,461,1411,490,732

The following table gives interesting information as to the constitution of the goods and livestock traffic and earnings for the year 1958-59.

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 seeds331,7133.2021,05963481,3381.872905.49
Meal111,5651.089,39184201,9900.793625.16
Fruit and vegetables61,9880.6010,016203242,2910.957824.10
Root crops and fodder116,0131.1115,812136257,5111.004453.91
          Totals621,2795.9956,278911,183,1304.613814.74
Animal and Other Products
Cattle, calves, horses326,0953.1534,857107846,7883.3051115.83
Sheep and pigs316,7703.0635,5421121,053,0734.106667.11
Meat, fresh and frozen411,4873.9717,12242931,6083.6345313.06
Butter189,2951.8317,21191498,9311.945286.96
Cheese102,1720.995,47954166,2890.653267.28
Wool243,7752.3521,78589777,8453.0363108.57
Dairy by-products80,2570.768,753109234,6890.915866.43
Fat, hides, and skins73,2860.705,05469200,3140.785489.51
Fish8,0650.081,39217336,1200.148976.23
          Totals1,751,20216.89147,195844,745,65718.485427.74
Products of Mines
Agricultural lime252,3512.4322,42189306,0061.192433.28
Coal, New Zealand hard632,4806.1046,69774732,5392.852323.76
Coal, New Zealand brown1,248,03012.04179,2421442,426,5329.4538113.25
Road metal73,2650.714,82666108,5490.422975.40
          Totals2,206,12621.28253,1861153,573,62613.913253.39
Products of Forests
Timber, imported24,8230.242,64510773,8820.295966.70
Timber, New Zealand698,4396.74125,5401802,050,6497.995893.92
Logs and poles, New Zealand744,7877.1834,34746435,8921.701183.05
Firewood, posts, etc.30,6220.303,57911753,6200.213503.60
          Totals1,498,67114.46166,1111112,614,04310.1934113.78
Manufactures, etc.
Benzine, gasoline, kerosene323,9073.1332,976102959,0613.735926.98
Cement244,8602.3645,024184738,9562.886043.94
Manures, phosphates, etc.847,1418.1786,8511031,565,19660936114.33
          Totals1,415,90813.66164,8511163,263,21312.704614.75
Miscellaneous2,874,29227.72370,01512910,303,84640.117186.68
          Grand totals10,367,478100.001,157,63611225,683,515100.004965.30

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.
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
195810,331,9489,092,6351,150,5432100216105.36
195910,367,4788,836,8561,157,63629621835.30

The following diagram illustrates the growth in the tonnage of goods and livestock carried over the last 80 years.

Tons (000)
Year Ended 31 MarchAgricultural and Pastoral ProduceAgricultural Lime and ManuresTimber and FirewoodCoalMotor Spirits and KeroseneOther
Agricultural ProduceDairy ProduceMeat, Fish, and LivestockWool
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
19585633751,0402241,3181,2981,8553473,312
19596213721,0632441,0991,4991,8813243,264

RAILWAY EMPLOYEES.—The average number of persons employed by the State railways throughout the year ended 31 March 1959 was 25,951. The staff is divided into two divisions— namely, the salaried division, and the general division—and is further classed in a number of branches, as shown in the following table.

Year Ended 31 MarchTrafficWay and WorksLocomotive RunningWorkshopsOther BranchesTotal
19557,5455,9273,4344,9632,81724,686
19567,7035,9413,4164,7872,79424,641
19577,9186,3803,5274,9072,82025,552
19588,0256,8043,6015,0682,83326,331
19597,8136,6573,5905,0752,81625,951

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.

Paid sick leave was introduced for employees in the general division in September 1956. Previously only salaried division employees had been entitled to paid sick leave.

RAILWAY ACCIDENTS.—During the year ended 31 March 1959, 29 persons were killed and 461 were injured in all kinds of accidents associated with train working and movements of rolling stock. Comparative figures for the previous year were 38 killed and 449 injured. These figures do not include employees who were killed or injured whilst engaged on other duties—e.g., railway workshops.

Of the 29 persons meeting with fatal accidents in 1958-59, one was a passenger and 8 were employees; of the remainder who were neither passengers nor employees, 5 were killed in accidents on the line, 11 at level crossings, and 4 from other causes. Of those injured 40 were passengers, 330 were employees (chiefly in minor accidents), and 91 were neither passengers nor employees. Of the 91 other persons, 67 were injured in crossing accidents.

PRIVATE RAILWAYS.—There are a number of short private railways in New Zealand, principally lines serving collieries and sawmills. The most important is the 7-mile line of the Ohai Railway Board, extending from Wairio (north-west of Invercargill) to coal-mines at Ohai and carrying a substantial coal traffic. The Whakatane Board Mills Ltd. in the North Island operates logging trains over the 15-mile Matahina Tramway from Matahina to Edgecumbe, thence by running rights over the Government railways for four miles to Awakeri and finally over their 6½-mile line from Awakeri to the mill at Whakatane. At Portland, near Whangarei, Wilsons Portland Cement Co. Ltd., operates an extensive private railway system serving its works.

Chapter 13. SECTION 13—URBAN TRANSPORT OPERATED BY LOCAL AUTHORITIES

Table of Contents

INTRODUCTORY.—In recent years the use of motor-bus and trolley-bus services has increased and electric tramways have become a small sector of the urban passenger services. Only one electric tramway system serving a city area continues to run, this being in Wellington.

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) motor-bus services only; (2) combined trolley-bus and motor-bus services; (3) combined tram, trolley-bus and motor-bus services.

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.

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. In Christchurch motor-buses only have been operated since November 1956.

ServiceYear Ended 31 March
195719581959
* April to September 1956 only. The Upper Hutt service was sold to a private enterprise which took over on 1 October 1956.
Number of Passengers Carried
Gisborne845,696795,007816,547
Palmerston North1,530,8581,541,1301,510,881
Upper Hutt76,327*  
Eastbourne1,242,9121,233,0161,275,260
Christchurch 20,461,85320,861,514
Timaru1,256,1891,280,3401,271,503
Invercargill2,942,7982,460,1422,363,746
Average Number of Passengers Per Mile Run
Gisborne5.224.484.27
Palmerston North5.094.444.45
Upper Hutt3.28*  
Eastbourne2.002.042.13
Christchurch 4.814.86
Timaru5.705.795.85
Invercargill6.014.984.85
Revenue
 £££
Gisborne23,44125,92625,638
Palmerston North32,18133,84335,306
Upper Hutt2,542*  
Eastbourne89,38078,68078,066
Christchurch 551,123569,349
Timaru31,35932,14032,150
Invercargill46,17547,94047,223
Expenditure
 £££
Gisborne24,84627,13226,631
Palmerston North48,92753,10850,555
Upper Hutt4,804*...
Eastbourne90,34269,76169,244
Christchurch 707,244726,997
Timaru32,41437,05939,010
Invercargill65,91167,68872,158

Passengers Carried.—The number of passengers carried on these services in the towns where motor-buses only have been operated during all the three years shown in the table decreased from 7,818,453 in 1956-57, to 7,309,635 in 1957-58, and to 7,237,937 in 1958-59.

Employees.—The number of employees engaged on these services during the past three years is now given.

ServiceYear Ended 31 March
195719581959
Includes six part-time employees.
Gisborne171616
Palmerston North292827
Upper Hutt3....
Eastbourne343635
Christchurch..445441
Timaru313031
Invercargill48*4344

Wages Paid.—The following table shows the amounts paid out in wages on these services.

£
ServiceYear Ended 31 March
195719581959
Gisborne12,36713,00212,843
Palmerston North23,72623,21722,853
Upper Hutt1,549....
Eastbourne32,93233,99332,182
Christchurch..369,348366,463
Timaru19,77120,35822,115
Invercargill35,50136,81036,399

Vehicles in Use and Miles Run.—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
195719581959
* April to September 1956 only.
Number of Buses in Use   
Gisborne91010
Palmerston North151515
Upper Hutt3*  
Eastbourne222222
Christchurch 168167
Timaru151417
Invercargill232019
Seating Capacity   
Gisborne288315317
Palmerston North524536518
Upper Hutt95*....
Eastbourne770770775
Christchurch..6,5526,680
Timaru565531641
Invercargill831726708
Miles Run During Year   
Gisborne162,104177,401191,025
Palmerston North301,052346,833339,858
Upper Hutt23,270*....
Eastbourne622,536605,478597,368
Christchurch..4,255,6004,289,189
Timaru220,482221,205217,282
Invercargill489,269494,443487,384

Capital Outlay.—The capital value of these systems is now shown, divided into main items.

£
As at 31 MarchLand and BuildingsVehiclesOther AssetsTotal
Gisborne
19571,28931,7071,51634,512
19581,60931,0271,52334,159
19591,60931,0271,80534,441
Palmerston North
19575,36764,8393,56673,772
19581,06169,364..70,425
19591,54368,442..69,985
Eastbourne
195710,859108,1553,633122,647
195811,378111,8523,633126,863
195911,378116,0653,838131,281
Christchurch
1958201,377924,83633,5861,159,799
1959256,0001,088,38332,2311,376,614
Timaru 
195721,61876,4684,507102,593
195821,61873,5254,50799,650
195921,61889,1194,507115,244
Invercargill
195721,013119,42810,623151,064
195822,377110,29510,651143,323
195922,377111,3917,294141,062

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 motor-buses only 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.

In Dunedin, since the cessation of electric trams in March 1957 the service has consisted of combined trolley-buses and motor-buses. Auckland has had this type of service since December 1956.

Route Mileage.—Lengths of routes in use at 31 March 1959 are given below.

ServiceTrolley-bus RoutesMotor-bus Routes
 M.ch.M.ch.
Auckland51468123
New Plymouth3291939
Dunedin25204235

Passenger Vehicles in Use.—The following table sets out details of the vehicles in use by these authorities during the last three years.

Year Ended 31 MarchNumber of VehiclesSeating CapacityNumber of Miles Run
Trolley-busesMotor-busesTrolley-busesMotor-busesTrolley-busesMotor-buses
Auckland
19581012654,39111,1452,783,6215,705,488
19591152494,89510,6942,745,0505,537,893
New Plymouth
195741716864779,134431,453
195841716864785,355421,310
195941716868186,281430,618
Christchurch
1957111614246,21360,8864,156,364
Dunedin
195872442,8801,4751,635,845975,502
195974372,9601,2431,603,864769,478

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
Auckland
1958699,295617,8382,965,234516,4634,798,830
1959723,502652,3492,941,486555,7914,873,128
New Plymouth
195715,4469,41185,46417,080127,401
195815,6519,13685,46417,273127,524
195915,6519,13684,52317,988127,298
Christchurch
1957202,152 881,74928,9871,112,888
Dunedin
1958137,630264,649791,215143,8891,337,383
1959139,526288,936772,437139,6721,340,571

Passengers Carried.—The following table shows the number of passengers carried on combined trolley-bus and motor-bus services during the last three years.

 195719581959
Auckland..54,598,87253,473,481
New Plymouth3,337,7853,231,3243,312,636
Christchurch20,723,223...
Dunedin..20,456,26018,792,336
          Totals24,061,00878,286,45675,578,453

Revenue and Expenditure.—The following table shows the financial position of these services for the last three years.

REVENUE

£
Year Ended 31 MarchPassenger FaresOtherTotal
Auckland
19581,645,68931,4891,677,178
19591,655,30322,4041,677,707
New Plymouth
195758,5472,17760,724
195861,0465,52166,567
195963,9041,66465,568
Christchurch
1957502,583172,669675,252
Dunedin
1958392,7937,179399,972
1959410,0017,684417,685

EXPENDITURE

£
Year Ended 31 MarchOperating ExpensesCapital ChargesOtherTotal
Auckland
19581,417,734289,124117,9381,824,796
19591,364,598308,437100,8861,773,921
New Plymouth
195765,891..8,28874,179
195869,299..8,28877,587
195964,598..8,32572,923
Christchurch
1957548,451134,582..683,033
Dunedin
1958411,76958,89264,224534,885
1959377,98253,18855,924487,094

Employees and Wages.—The following shows the numbers of persons engaged and wages paid in the operation of these services.

Year Ended 31 MarchAverage Number of Persons EngagedTotal Wages Paid
 No.£
Auckland
19581,2361,011,564
19591,158981,610
New Plymouth
19574934,471
19585042,103
19594941,363
Christchurch
1957441360,107
Dunedin
1958338293,708
1959310287,100

Summary of Operations.—Some figures derived from the information given for the last three years are set out in the following table.

Year Ended 31 MarchPassengers Per Mile RunAverage Fare Per PassengerRevenue Per Mile RunExpenditure Per Mile Run
 No.d.d.d.
Auckland    
19586.437.2347.4251.59
19596.467.4348.6151.40
New Plymouth    
19576.544.2128.5434.87
19586.384.5431.5336.75
19596.414.6330.4433.86
Christchurch    
19574.915.8238.4338.87
Dunedin    
19587.834.6136.7649.16
19597.925.2442.2449.26

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 December1956. Wellington has now the only electric tramway in New Zealand, and also the only cable tram service which runs from the centre of the city to Kelburn. Electric tramways reached the peak of mileage of track in use in 1929 when 170 miles of line were 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. 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.

In Wellington, the only city now with electric trams, there were at 31 March 1959, 15 miles 79 chains of tram route, 21 miles 16 chains of trolley-bus route, and 57 miles 18 chains of motor-bus route being operated.

The following tables all relate to the combined tramway, trolley-bus and motor-bus service in Wellington.

ASSETS

£
Year Ended 31 March
195719581959
Land and buildings459,879507,258537,566
Track and overhead equipment702,757606,465527,969
Vehicles997,0011,453,3261,659,359
Other assets179,898196,152203,624
          Totals2,339,5352,763,2012,928,518

VEHICLES IN USE, SEATING CAPACITY AND MILEAGE RUN

Year Ended 31 MarchTramcars and TrailersTrolley BusesMotor Buses
Number of Vehicles
19561554862
19571444859
195810548106
19598969112
Seating Capacity
19565,4142,0162,179
19575,0292,0162,095
19583,5832,0164,115
19593,0772,8984,305
Miles Run
19562,612,416730,718895,407
19572,324,681879,854748,373
19582,079,671884,4241,025,149
19591,355,9711,315,8121,723,294

SUMMARY OF OPERATIONS

Year Ended 31 March
195719581959
Number of passengers carried38,993,14037,203,39937,563,073
Passengers per mile run9.869.338.55
Average fare per passenger5.02d.5.57d.5.57d.
Total revenue£854,958£887,329£895,039
Revenue per mile run51.91d.53.38d.48.87d.
Total expenditure£967,952£997,901£1,069,129
Expenditure per mile run58.77d.60.04d.58.38d.
Average number of employees808793778
Total wages paid£694,842£736,853£713,065

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 1958 was 56,274, in addition to which there were 4,849 miles of bridle-tracks and 15,834 miles of unformed legal roads. Details are given in the following table.

Miles
CountiesBoroughsTown DistrictsRoad DistrictsTotal
Includes 962 miles of pumice roads.
Formed roads and streets—
  Sealed surfaces9,5833,50578413,170
  Metal or gravel surfaces35,5131,12613610136,876
  Unmetalled surfaces6,053*13134106,228
      Totals, formed roads51,1494,76224811556,274
Bridle-tracks4,749136814,849
Unformed legal roads15,479306301915,834
      Totals, all roads71,3775,08128421576,957

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 1958, 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 14 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 stone2,042211,87815816,6267383....2,207228,887
Steel and concrete61763,5697812,5515255....70076,375
Steel, concrete, and timber59850,292192,031271310562252,499
Steel and timber1,094101,362292,7365180....1,128104,278
Australian hardwood2,218202,415868,6093210....2,307211,234
Native timbers1,912111,355332,9523142104251,958114,874
          Totals8,481740,87140345,505251,241135308,922788,147

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.

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 State 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 local authorities for roading purposes.

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) the person holding the appointment in the Ministry of Works as Director of Roading; (c) an officer of the Ministry of Works; (d) an officer of the Transport Department; (e) two nominees of the New Zealand Counties Association (Incorporated); (f) two nominees 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 State 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 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 412 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 payment for 1958-59 was £1,500,000 to compensate for the reduction in roading revenue caused by the special additional petrol tax imposed from 27 June 1958.)

Since April 1954 a tax on motor spirits of Is. 3d. per gallon has been paid into the National Roads Fund. (Additional tax of Is. per gallon imposed from 27 June 1958, and reduced to 8d. from 4 November 1959 and then 4d. per gallon from 22 December 1959, has been paid to the Consolidated Fund.)

Expenditure from the Fund may be made without appropriation as follows:

  1. Payment of annual subsidies to local authorities for roading purposes;

  2. Payments by the Crown in respect of the construction, maintenance, and control of State highways;

  3. Compensation payable by the Crown for acquisition of land for a State 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 State 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.

Prior to 1 April 1960 the highways system consisted of State highways (5,394 miles) and main highways (7,787 miles). From 1 April 1960 this system is replaced by a network of State highways totalling 7,196 miles. The figures of expenditure, etc., quoted herein refer to the highways system as it existed up to 31 March 1960.

Following is a statement of receipts and expenditure of the National Roads Fund for the years ended 31 March 1958 and 1959.

 1957-581958-59
Receipts—££
  Petrol tax (net)14,595,90914,500,703
  Mileage tax309,521365,037
  Tire tax30,72629,678
  Fees and charges—
    Registration and licence fees2,344,3362,429,135
    Heavy traffic fees2,420,5492,473,770
  Contribution from Consolidated Fund1,000,0001,500,000
  Miscellaneous receipts—
    Repayments of plant purchases63,60273,865
    Repayments of advances to local authorities15,70712,749
    Rents15,59240,436
    Fees13428
    Sales of land and buildings13,18521,362
    Interest on plant purchases7,4058,028
    Interest on advances to local authorities2,3962,090
    General14..
  Culvert pipes1,9071,155
  Bailey bridging hire3,90420,626
  Interest on investments17,50026,416
            Total receipts20,842,38721,505,078
 1957-581958-59
Expenditure—££
  Highways maintenance4,681,9214,901,642
  Highways construction7,940,5278,782,976
  Payments to local authorities—
    Subsidies on rates or population3,685,6374,095,824
    Bridge renewal, flood damage, special and other grants1,661,7411,399,521
            Total payments to local authorities5,347,3785,495,345
  Maintenance of Government and county roads128,102109,980
  Administration and general expenses—
    Ministry of Works administration944,6221,095,817
    Abolition of toll gates595595
    Purchases of plant (local authority)75,09343,112
    Fees and travelling expenses5,9605,264
    Miscellaneous expenses367,646139,037
    Revenue collection expenses278,385370,083
            Total administration and general expenses1,672,3011,653,908
  Unauthorized expenditure1,684425
            Total expenditure19,771,91320,944,276
Balance in Fund at end of year1,791,6502,352,452

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 Expenditure1954-551955-561956-571957-581958-59
Construction and improvement4,945,1207,986,1688,503,7606,370,7507,298,287
Renewal of bridges1,273,0311,533,8951,857,4901,569,7771,484,689
Maintenance, repairs, etc.3,312,6884,178,8644,801,4354,681,9214,901,642
        Totals10,030,83913,698,92715,162,68512,622,44813,684,618

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.

1954-551955-561956-571957-581958-59
Percentage of New Zealand Totals
North Island—
  Maintenance expenditure66.5865.6867.7866.4165.41
  Motor vehicles66.9667.0667.1967.4167.37
South Island—
  Maintenance expenditure33.4234.3232.2233.5934.59
  Motor vehicles33.0432.9432.8132.5932.63

The following table shows the mileage of State and main highways in the North and South Islands at 31 March 1959, together with a classification as to the type of construction or surface.

Miles
Length of Highways
Dustless SurfaceGravel or Macadam SurfaceTotal
North Island4,2253,2477,472
South Island3,1162,5935,709
        Totals7,3415,84013,181

Assistance to Local Authorities.—On State highways the Board meets the whole cost of maintenance, construction, and reconstruction. On main highways (which existed up to 31 March 1960) a subsidy of not less than £3 for £1 was applicable to the cost of maintenance, construction, and reconstruction.

On State and main highways, a total amount of £13,684,618 was expended on maintenance and improvements by the National Roads Board during 1958-59.

Under the National Roads Amendment Act 1959 the National Roads Board pays from 1 April 1960 a subsidy at the rate of 15s. for each £1 that is spent by the local authority out of its own funds in the financial year on such programme of subsidized works as has been accepted for that financial year by the Board; the amount of subsidy is to be not less than 14 per cent of the Board's revenue in the case of boroughs and independent town districts, and not less than 30 per cent in the case of counties, dependent town districts, and road districts.

Prior to 1 April 1960 the Board also provided for local authorities: (a) annual subsidies for boroughs and independent town districts on a population basis, and for 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; and (b) additional subsidies on the cost of renewing bridges, restoring flood damage on local authority roads and streets, extraordinary damage and maintenance caused by certain types of heavy traffic, plus special monetary assistance to local authorities whose financial position was such that they could not cope with their roading responsibilities from their own resources and the various forms of subsidy available from the National Roads Fund.

During the year 1958-59 the Board expended the following sums on the additional forms of assistance mentioned:

 £
Bridge renewals660,198
Flood damage repair140,383
Extraordinary damage or maintenance127,141
Special financial grants284,835
Subsidized highways184,710
Municipal arterial roads2,254
                   Total1,399,521

The payment shown earlier as “subsidized highways” was a contribution made 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 subsidize 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 road. 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 £1,086,991, of which sum £125,269 was outstanding at 31 March 1959. New advances made and repayments received during 1958-59 totalled £32,572 and £73,548 respectively.

State Highways.—The National Roads Act provides for the declaration of roads as State highways with the approval of the Minister of Works.

The National Roads Board has the sole powers of construction, maintenance, and control of all State highways. These powers may be delegated, for any State 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 State highway. No new construction works are to be commenced by the Board, however, without the prior consent of the Minister of Works.

For State highways, the whole cost of construction is to be met from the National Roads Fund.

Highway Standards.—In order to qualify for highway subsidies 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 1959 was 30 miles 44 chains. During 1958-59, 9 motorway bridges, totalling 1,064 ft., were completed. Additional lengths are under construction at Auckland. The figures quoted for motorways' mileages and bridging are additional to those shown under highways.

Activity During the Year Ended 31 March 1959.—During the year ended 31 March 1959, 309 miles of new sealing on highways were completed, giving an aggregate of 7,341 miles of sealed roads, or 56 per cent of the total highway mileage. In addition, improvements to existing sealed surfaces were effected on 957 miles of highways.

New bridging totalled 13,546 lineal feet, compared with 12,482 lineal feet in the previous year.

REGISTRATION AND LICENSING OF MOTOR VEHICLES.—The following scale of fees is operative from 1 July 1960: 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, are credited to the National Roads Fund.

The Transport Act 1949 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 Is. 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
19551956195719581959
Figures now include trailers formerly included under the heading “vehicles exempted from payment of annual licence fees”.
Cars356,284393,504425,018462,439480,381
Light trucks (i.e., 2 tons and under, laden)59,00763,20060,94650,47250,235
Heavy trucks (i.e., over 2 tons laden)48,26351,96360,52264,87367,466
Contract vehicles2,1742,2072,1662,2481,730
Omnibuses2,0222,0552,1742,1932,268
Taxis2,3192,4362,4382,4312,442
Rental cars1,8392,0101,9772,2002,234
Private-hire cars257253246227184
Service cars699733733708673
Trailers54,76860,71077,988*83,410*91,283*
Vehicles exempted from payment of annual licence fees (other than exempted Government-owned vehicles)49,25650,68548,45950,81552,852
Government vehicles14,90515,78916,54316,68616,862
Motor cycles26,24424,59225,38926,08426,624
Power cycles4,1144,1805,7817,8139,544
        Totals622,151674,317730,380772,599804,778
Dealers' cars2,6532,8753,0793,2753,221
Dealers' motor cycles147130197253200
        Grand totals624,951677,322733,656776,127808,199

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 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 (Excluding Trailers)
19508.15.0
19517.74.7
19527.04.2
19536.64.0
19546.43.8
19555.93.7
19565.53.5
19575.23.4
19584.83.2
19594.83.2

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 of petrol consumption for recent years follow on the higher importations of motor vehicles, particularly of cars.

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 1948 to 1959.

Million Gallons
Calendar YearConsumption of Motor Spirits
By Motor VehiclesTotal Consumption
1948102.6118.3
1949111.5132.6
1950122.5145.8
1951139.4165.9
1952149.0182.7
1953160.5196.7
1954172.1213.0
1955185.0228.5
1956200.7244.6
1957207.0252.4
1958217.0263.7
1959218.7261.0

Consumption of motor-spirits for civilian purposes reached its lowest level since the depression in 1942, successive increases occurring from then until 1948, when consumption 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.

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 the subsequent 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 newly registered during each of the last five financial years. It should be noted that if 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
195540,4134,74728,77773,937
195645,1163,71033,51982,345
195738,3485,10634,09677,550
195841,1787,68233,72882,588
195929,8726,14931,20667,227

ROAD TRANSPORT.—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. The Traffic Regulations 1956, made pursuant to the Transport Act, set out the rules of the road, the requirements as to motor vehicle equipment, and the obligations of motor drivers and owners and pedestrians.

The Heavy Motor Vehicle Regulations 1955 fix, in respect of commercial vehicles of over 2 tons gross weight, heavy-traffic fees payable to local authorities for road-maintenance purposes, and also for classifying roads and providing other measures. Quarterly licence fees under the Heavy Motor Vehicle Regulations range from £2 3s. 4d. (not above 2½ tons) to £97 15s. (30 tons), with £3 10s. for each additional ton or part thereof above 30, commencing from) June 1954. The fees for farmers' trucks range from £1 Is. 8d. to £92 Is. 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 might 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.

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). From November 1953 the full duty was increased to Is. 3d. per gallon, and this amount is paid into the National Roads Fund instead of only the first 6d. per gallon. An additional duty of Is. per gallon (reduced to 8d. and then 4d. per gallon in 1959) was imposed by the Customs Acts Amendment Act 1958 and this is payable to the Consolidated Fund.

There is also a tire tax collected under the Customs Act and paid to the National Roads Fund.

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 2½ tons gross laden weight if there is an available route for the carriage of the goods that includes not less than 75 miles of open Government railway in the case of fresh meat or fresh fish, 50 miles in the case of biscuits or confectionery or 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 6½ tons, and if there is an available route that includes not less than 75 miles of open Government railway in the case of fresh milk, cream, vegetables, fruit, eggs, poultry, or meat, 50 miles in the case of livestock, or 30 miles in any other case. The position concerning the 50-mile and 30-mile limits and the term “available route” have been further clarified by the Transport Amendment Acts 1958 and 1959. 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 Services1954-551955-561956-571957-58
Revenue£29,703,00031,217,00033,623,00036,054,000
Capital£18,413,00019,715,00022,229,00024,966,000
Total vehicle-miles 208,100,000214,000,000224,000,000229,000,000
Number of goods service licences 5,9026,1946,9877,101
Average revenue per vehicle-miled.34.2635.0136.0637.85
Average number of miles per vehicle 15,27915,35015,16014,918

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 Services1954-551955-561956-571957-58
Traffic statistics—
Passengers carried 149,856,890153,809,946153,219,147149,786,871
Vehicle-miles 68,478,98068,518,69968,558,88070,588,393
Total revenue6£7,931,0148,289,6838,506,1538,990,027
Total revenue, per miled.27.7929.0429.7830.57
Number of vehicles included 3,1703,3143,4673,703

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. Since April 1953 local road safety committees have been formed to deal with local problems and make recommendations to the parent body. There are now 36 local organizations operating throughout New Zealand.

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. The terms of the compulsory disqualification for serious driving offences have been materially extended by the Transport Amendment Act (No. 2) 1958. For driving while under the influence of drink to such an extent as to be incapable of having proper control of the vehicle the minimum disqualification from obtaining a licence, unless the Court thinks fit to order otherwise, is now three years for the first offence and 10 years for any subsequent offence. For negligent or reckless driving the minimum cancellation of licence is now one year. Application may be made to the Court to review the disqualification within six months except for intoxicated driving for which the period is 12 months and two years for a subsequent offence. The Act prescribes penalties for careless or inconsiderate driving, certain accident promoting offences (3 months' 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 1956-59.

Type of Offence1955-561956-571957-581958-59

* Includes 470 motor cyclists exceeding 30 miles per hour without safety helmets.

† Includes 632 motor cyclists exceeding 30 miles per hour without safety helmets.

(a) Road traffic offences—
    Intoxicated in charge251210262190
    Negligent driving26122733
    Dangerous manner275194273252
    Dangerous speed153143152154
    Careless or inconsiderate driving638606805730
    Exceeding 30 m.p.h.2,6072,8383,1644,029
    Overtaking offences176168191294
    Failing to keep left445310406450
    Failing to yield right of way324263308342
    Driver's licence offences921746895879
    Licensing and registration offences614472551729
    Lighting offences7728548221,043
    Defective brakes140104106152
    No warrant of fitness1,5791,2311,3751,695
    Loading offences1339313488
    Exceeding 50 m.p.h.508528563879
    Cycling offences385302418394
    Failing to dip83726869
    Failing to give right of way to pedestrians616696110
    Exceeding 40 m.p.h. with pillion passenger318212239260
    L plate offences450356354410
    Crossing railway line41514654
    Compulsory stop468439621759
    Parking2,3942,9534,388.5,621
    Miscellaneous7585301,143*1,581
(b) Heavy motor-vehicle offences—
    Exceeding heavy-traffic licence494405398610
    Exceeding axle load5886226331,109
    No heavy-traffic licence538585497543
    Speeding689682662918
    No heavy-traffic disc or class plates7   
    Miscellaneous115534535
(c) Transport licensing offences—
    Unlicensed goods service235178168238
    Breach of goods service licence165134186312
    Unlicensed passenger service3226
    Breach of passenger service licence3425
    No certificate of fitness310223201230
    No vehicle authority45383746
    Drivers' hours breaches1613111
    Overloading21371888
    Rental vehicle offences36414559
    Miscellaneous transport offences17312926
(d) Miscellaneous offences under miscellaneous Acts and regulations23291216
            Totals17,82516,83020,34325,449

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 1958, 8,194 such accidents, resulting in 379 fatalities and in injuries to 11,408 other people, were reported. Comparative figures for 1957 and 1956 years were (1956 figures being given in parentheses): number of accidents, 7,948 (7,042); fatalities, 384 (329); persons injured, 11,053 (9,758). 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 1958 being 5.48. Details of the number and nature of road accidents for the five calendar years ended in 1958, which have been compiled by the Transport Department, are as follows.

Nature of AccidentNumber of Accidents
19541955195619571958
Collisions—
  Between two or more motor vehicles2,3002,6092,8613,2863,467
  Between motor vehicle and bicycle1,0821,2081,1661,3151,331
  Between motor vehicle and pedestrian1,0211,1201,1651,2361,294
  Between motor vehicle and fixed object326406503660654
  Between motor vehicle and animal or horse vehicle5455544654
  Between motor vehicle and railway train3445554049
  Between motor vehicle and tram201619108
  Multiple and other collisions209288240234188
        Totals, collisions5,0465,7476,0636,8277,045
Non-collisions—
  Drove off road193199193246228
  Went over bank236252308323295
  Overturned on roadway297353359401461
  Person fell from vehicle1029790122132
  Other2128292933
        Totals, non-collisions8499299791,1211,149
        Total accidents5,8956,6767,0427,9488,194

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 379 in 1958.

Nature of AccidentNumber of Fatal Accidents
19541955195619571958
Collisions, motor vehicle with—
  Pedestrian8579808987
  Motor vehicle7973749993
  Train81111910
  Tram ........
  Bicycle3826204137
  Horse vehicle or animal1311 
  Other3937404547
Otherwise8475807172
        Totals334304306355346

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 1958.

Classification of LocalityFatal AccidentsInjury AccidentsAll Accidents
NumberPercentage of TotalNumberPercentage of TotalNumberPercentage of Total

*Does not include four accidents that occurred on motorways in Auckland and Dunedin.

† Includes thirty-two accidents, one of which was fatal, that occurred on motorways, and two accidents, one of which was fatal, that occurred in limited speed zones.

Four main cities*5616.22,46331.42,51930.7
Secondary cities (11)308.71,08313.81,11313.6
Boroughs 6,000 to 20,000 population (27)349.81,14214.61,17614.4
Small boroughs, town districts, and closely populated localities319.081510.384610.3
          Total in built-up areas15143.75,50370.15,65469.0
State highways10831.21,35717.31,46517.9
Main highways4111.85176.65586.8
Other rural roads4613.34716.05176.3
          Total on rural roads19556.32,34529.92,54031.0
          Total accidents346100.07,848100.08,194100.0

The next table gives an analysis of the more important causes of accidents involving motor vehicles during the year ended 31 December 1958.

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 way26..16..
Failure to keep left8..8..
Driver/rider inattentive11..25..
Excessive speed10......
Intoxicated3......
Overtaking faults6......
Pedestrian crossing roadway heedless of traffic..51...
Pedestrian emerging from behind vehicle or object..16....
Pedestrian stepping into roadway without due care..12....
Pedestrian intoxicated..8....
Pedestrian confused by traffic..3....
Pedestrian failing to keep to side of road where no footpath..3....
Turning suddenly....10..
Failure to give proper signal....3..
Reckless emergence from another road....5..
Door opened in moving vehicle......9
Animals on roadway......12
Door of vehicle opened in path of other party......10
Road surface slippery from weather conditions......13
Excessive depth of loose metal......8
Weather conditions......11
Sundry causes3673337
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 1959 totalled 844. 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 in New Zealand and its island territories in 1958-59 was £2,563,155, compared with £2,038,619 in 1957-58.

Prior to 1 April 1957 New Zealand, as administering authority for the South Pacific Air Transport Council, provided for the establishment and maintenance costs of the International Airport at Nandi, Fiji. Approximately two-thirds of this expenditure was recoverable from other member Governments. From 1 April 1957, under revised accounting arrangements, the major member Governments (United Kingdom, Australia, and New Zealand) now make advance payments to a Pool Trust Account from which all costs are met. New Zealand now meets one-fifth of the cost and is no longer required to provide the initial finance.

AIR SERVICES LICENSING.—Licensing of air services in New Zealand is 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 1958-59, 139 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
Topdressing311064363
Scheduled services  2 1214
Non-scheduled services12 1173262
        Totals151231387139

Provision also is made in the Air Services Licensing Act for the appointment of an Appeal Authority of one member. During the year no appeals were lodged against any of the Authority's decisions.

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 1959, together with those for the two preceding years, are as follows.

 1956-571957-581958-59
 £££
Passenger fares2,380,0242,679,6932,944,269
Excess baggage30,64632,85533,807
Freight379,098442,277454,800
Mail113,668129,096130,956
Charters62,47263,15162,737
Incidental revenue69,11962,69270,869
        Totals3,035,0273,409,7643,697,438

Operating expenditure in 1958-59 totalled £3,480,694 (including depreciation on equipment), as compared with £3,174,694 in 1957-58 and £2,817,883 in 1956-57.

An operating profit of £216,744 for the year 1958-59 was recorded and, after adding interest on investments, deducting interest on capital loans, and allowing £82,117 as provision for taxation, a net profit of £60,976 remained. The corresponding net profit for 1957-58 was £67,136.

FLYING OPERATIONS: Domestic Scheduled Services.—Scheduled air transport operations over specific routes were first commenced in New Zealand in December 1934, on the route Inchbonnie - 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 between Christchurch and Nelson. A Rotorua-Wellington service was commenced by Bay of Plenty Airways Ltd. in September 1959.

At 30 September 1959 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-ChristchurchWellington5053 return flights daily.
Auckland-ChristchurchNil4791 return flight daily.
Auckland-WellingtonNil2841 return flight daily.
Wellington-ChristchurchNil2182 return flights daily.
Wellington-InvercargillChristchurch, Dunedin5231 return flight daily.
Christchurch-InvercargillDunedin3051 return flight daily and 1 south flight daily.
Invercargill-ChristchurchNil2891 north flight daily.
Christchurch-DunedinTimaru2021 return flight daily.
Christchurch-DunedinNil1982 return flights daily and 1 north flight daily.
Auckland-Palmerston NorthTauranga, Gisborne, Napier4001 return flight daily.
Auckland-WellingtonGisborne, Napier4431 return flight daily.
Auckland-NapierNil2221 return flight daily
Auckland-WellingtonNew Plymouth, Wanganui, Palmerston North3341 return flight daily.
Auckland-WellingtonNew Plymouth2981 return flight daily.
Auckland-WhangareiNil723 return flights daily plus 2 return flights weekly.
Auckland-KaitaiaKaikohe1421 return flight daily.
Auckland-DunedinHamilton, Blenheim, Christchurch6991 flight south daily.
Christchurch-AucklandBlenheim, Hamilton5011 flight north daily.
Auckland-WellingtonHamilton, Palmerston North3091 return flight daily.
Hamilton-WellingtonWanganui3391 return flight daily.
Christchurch-Palmerston NorthNil2701 return flight daily.
Wellington-BlenheimNil723 return flights daily.
Wellington-NelsonNil966 return flights daily.
Nelson-WestportNil951 return flight daily.
Westport-HokitikaNil753 return flights weekly.
 Freight Services  
Wellington-ChristchurchNil2182 return flights daily.
Christchurch-AucklandWellington, Wanganui, New Plymouth Hamilton5155 return weekly and flights others as required.
Auckland-ChristchurchGisborne, Napier, Wellington6615 return flights weekly and others as required.
Christchurch-DunedinNil1982 return flights weekly and as required.
 Sunday Services  
Auckland-InvercargillWellington, Christchurch, Dunedin8101 return flight.
Auckland-ChristchurchWellington5052 return flights and 1 flight south.
Auckland-ChristchurchNil4791 return flight.
Auckland-WellingtonNil2841 return flight and 1 flight north.
Wellington-DunedinChristchurch4161 return flight.
Christchurch-WellingtonNil2181 flight north.
Christchurch-DunedinNil1981 return flight.
Wellington-BlenheimNil722 return flights.
Wellington-NelsonNil962 return flights.
 Trans Island Airways Ltd.  
Christchurch-NelsonNil1603 return flights weekly.
 West Coast Airways Ltd.  
Hokitika-HaastFranz Josef, Fox, as required1254 return trips weekly.
 Straits Air Freight Express Ltd.  
Wellington-Nelson (freight) (freight)Nil96Daily as required.
Wellington-BlenheimNil72
 Bay of Plenty Airways Ltd.  
Rotorua-WellingtonNil2313 return trips weekly.

The following table gives the summarized results of the operations of scheduled commercial air services during the last nine years. Statistics for the New Zealand Railways Freight Service, operated by Straits Air Freight Express Limited since 1 April 1951, are excluded.

Year Ended 31 MarchHours FlownMiles FlownPassengersFreight (lb.)*Mail (lb.)Passenger-milesFreight Ton-milesMail Ton-miles

* Includes excess baggage.

† Includes excess baggage ton-miles.

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
195854,3097,106,525513,69420,853,6921,757,264130,265,9402,811,499277,286
195955,3567,481,450556,54521,329,2431,808,311146,392,0092,990,085278,639

Aircraft used in the operation of services on these routes were—

Beechcraft D. 18s1
Douglas D.C. 322
Douglas D.C. 3 (Freighter)4
D.H. 89B Dominie4
Lockheed 10A1
Viscount 8073
      Total35

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 1949 to 1959 are as follows.

Year Ended 31 MarchTrips FlownHours FlownMiles FlownFreight (lb,)Freight Ton-milesPassengers
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
19587,4153,826554,68867,857,3822,240,1561,660
19598,5634,365642,66676,280,1392,526,7341,437

Non-scheduled Air Services.—At 31 March 1959. twenty-six 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.). The R.N.Z.A.F. using Sunderland flying boats flew nine charter flights to the Chatham Islands during the year. Also engaged in non-scheduled operations were twenty aero clubs. The following is a traffic summary of these services for the years ended 31 March 1958 and 31 March 1959.

1957-581958-59
Commercial CompaniesAero ClubsTotalCommercial CompaniesAero ClubsTotal
Number of flights13,5296,59320,12213,2885,39918,687
Hours flown9,3084,20713,5158,5733,50812,081
Miles flown1,094,269446,4011,540,6701,020,603375,2011,395,804
Passengers carried30,25511,37941,63430,5189,99340,511
Freight carried (tons)5,260205,2804,607284,635

Agricultural Aerial 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 topdressing as a means of improving hill pastures and checking and preventing soil erosion. The R.N.Z.A.F. experiments were successful and as a result the interest of the farming community was aroused and private firms began commercially operating in 1949.

Spectacular progress has resulted since the commencement of commercial operations and the number of operators engaged in aerial work has grown from 9 at the end of 1949 to 69 in March 1959. The number of aircraft has increased from 12 aircraft in December 1959 to 269 in March 1959. By 1958 approximately half the fertilizer spread on New Zealand pastures was distributed by aircraft.

Aerial spraying of crops and noxious weeds has been increasing rapidly over the last few years and is now of secondary importance only to topdressing. Other aerial work rendering services to farmers and others are the dropping of rabbit poison, supplies, fencing materials, and seed from the air.

An interesting development in aerial work during 1957 was the experimental use of the aeroplane as a flying fire extinguisher. Tests organized by the Soil Conservation and Rivers Control Council have shown some promise. It is not expected, however, 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, where at Palmerston North on 9 and 10 November 1956 some 200 aircraft demonstrated the aerial farming techniques developed in this country.

At Wanganui in May 1959 an Agricultural Aviation Symposium was convened under the auspices of Civil Aviation Administration. Papers were presented at this meeting which were of great interest to the aviation industry. This was the first Agricultural Aviation Symposium to be held in New Zealand and promises to be an annual event.

A summary of aerial work operations for the year ended 31 March 1959 follows:

Top-dressing— 
  Hours flown55,142
  Fertilizer distributed (tons)403,206
  Area treated (acres)3,515,128
Seed sowing— 
  Hours flown990
  Seed sown (tons)633
  Area treated (acres)112,757
Rabbit poisoning— 
  Hours flown2,685
  Bait distributed (tons)4,080
Spraying— 
  Hours flown5,481
  Weed-killer and insecticide distributed (gallons)1,167,925
Aerial photography and survey— 
  Hours flown732
Supply dropping— 
  Hours flown477
Materials dropped (tons) Fence dropping—274
  Hours flown162
  Materials dropped (tons)335
Miscellaneous— 
  Hours flown1,307
  Tons dropped177

International Services.—In March-April 1954 broad proposals for the reorganization of the Pacific air services were announced. Tasman Empire Airways Ltd. became 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. The company's aircraft are based in New Zealand.

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 first of the Lockheed Electra aircraft was brought into use on the trans-Tasman service in December 1959, and the service has been operated with three of these aircraft from early 1960. A Melbourne-Auckland-Nandi service is carried out with Lockheed Super Constellation aircraft chartered from Qantas Empire Airways.

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 1959.

Route No.RouteRoute-milesScheduled Frequency
1Auckland-Sydney1,3406 return flights weekly.
2Auckland-Melbourne1,6362 return flights weekly.
3Christchurch-Sydney1,3302 return flights weekly.
4Christchurch-Melbourne1,5161 return flight weekly.
5Auckland-Nandi1,3263 return flights weekly.
6Suva-Papeete, via Apia, Aitutaki2,2723 return flights monthly.
7Suva-Apia7021 return flight monthly.
8Auckland-Norfolk Island6603 return flights monthly.
9Auckland-Brisbane1,4081 return flight weekly.

Revenue traffic statistics for the years ended 31 March 1958 and 31 March 1959 are given below.

Item1957-581958-59
Hours flown8,7129,958
Miles flown2,102,9562,464,516
Passengers61,90869,721
Passenger-miles83,687,18494,826,733
Available seat-miles105,437,504125,550,140
Passenger load factor (per cent)79,3775,53
Cargo (lb,)—  
  Freight1,059,711925,921
  Excess baggage124,566110,370
  Mail922,192908,634
Ton miles flown—  
  Passenger7,623,6848,632,678
  Excess baggage75,61266,881
  Freight630,345554,308
  Mail554,312534,125
        Total ton-miles8,883,9539,787,992
Available capacity ton-miles11,708,01213,965,992
Overall load factor (per cent)75,8870,08

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

* Includes excess baggage.

† Includes excess baggage ton-miles.

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
19588,7122,102,95661,9081,184,277922,19283,687,184705,957554,312
19599,9582,464,51669,7211,036,291908,63494,826,738621,189534,125

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 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. The service was commenced in 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 Aeriens 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, Darwin, and Brisbane.

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, Pan American World Airways and Transports Aériens Intercontinentaux to and from New Zealand for the year ended 31 March 1959, are given below, together with the total for 1957-58.

Year Ended March 1959Total 1958-59Total 1957-58
C.P.A.L.P.A.W.A.T.A.I.
Traffic entering New Zealand—     
  Passengers1,5832,6626684,9134,599
  Freight (lb,)56,004193,84823,521273,373381,108
  Mail (lb,)1,81193,5101,93097,251108,088
Traffic leaving New Zealand—     
  Passengers1,3562,3006324,2883,959
  Freight (lb,)16,607166,3248,687191,618206,361
  Mail (lb,)2,48916,2274,36023,07626,753

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 1958 and 1959. Air freight carried is also shown for the same years.

Country from Which Arrived or to Which DepartedEntrancesClearances
NumberAir Freight (lb.)NumberAir Freight (lb.)
19581959195819591958195919581959
United Kingdom112,2401,0601..2,100..
Canada505370,00063,296485314,72919,187
Enderbury-Canton Islands..1..2,786........
Fiji157169128,103122,88514817082,55396,622
Norfolk Island29215,1877,300292837,41734,981
Australia687786536,947729,965647762204,711256,241
Papua..........1....
Czechoslovakia..1..10,138........
France515126,81516,93651519,50418,115
Netherlands..1............
United States of America179116337,263176,319161118172,218131,878
        Totals1,1541,2001,106,5551,130,6851,0851,183523,232557,024

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'ed by the Government of subsidizing a limited number of light aeroplane clubs.

As from 1 April 1955 a new scheme of financial assistance to aero clubs has been in operation. This scheme was reviewed in 1957 and at present operates as follows: 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 5s. 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 250 hours per aircraft. During the year ended 31 March 1959 financial assistance to aero clubs and to pilots under training amounted to £37,276 compared with £44,647 paid in the previous year. At March 1959 there were 33 aero clubs affiliated to the Royal New Zealand Aero Club.

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
1955233,2122,431836,89016,770756
1956263,1963,3621089,09520,864894
1957333,2403,36810511,33827,309863
1958353,3693,75810910,76930,497720
1959363,5564,00610810,36529,355734

LICENCES.—A summary of licences and certificates current at 31 March 1959 is given below.

Flight Crew (I.C.A.O.) Type— 
    Pilot Licences—Number at 31 March 1959
        Student Pilot975
        Private Pilot1,291
        Commercial Pilot504
        Senior Commercial Pilot1
        Airline Transport Pilot153
    Pilot Licence Ratings— 
        Instructor172
        Instrument248
    Navigator Licences— 
        Flight Navigator36
    Licences to Operate Radio Equipment in Aircraft— 
        Flight Radio Operator14
        Flight Radio Telephone Operator846
    Flight Engineer Licences— 
        Flight Engineer18
Other Licences, Certificates, etc.— 
    Aircraft Maintenance Engineer Licences313
Aircraft— 
    Certificates of Registration647
    Certificates of Airworthiness595
Aerodromes— 
    Public Licences65
Air Service Certificates44

Chapter 16. SECTION 16—POST OFFICE

Table of Contents

INTRODUCTORY.—Post Office history in New Zealand began in 1831 when the Postmaster-General for New South Wales commissioned a resident of Kororareka in the Bay of Islands to make up and receive mails.

With the arrival of Governor Hobson in 1840, the first post office proper was set up at Kororareka (now Russell). The same year saw the establishment of offices at other settlements in the north and at Port Nicholson (Wellington), and the beginnings of overland mail routes.

By 1858, seventy-three post offices had been opened to provide communications services for the scattered settlers. In that year a Post Office Act was passed making the Post Office an independent Department of State. The Post Office had previously operated under the control of the Customs Department.

The system of communication by telegraph was inaugurated in the 1860's. A separate department, the Telegraph Department, was created by Act of Parliament in 1865 to take the responsibility for erecting telegraph lines, the opening of morse telegraph offices, and the laying and maintaining of lines of communication under Cook Strait to connect the telegraph lines of the North and South Islands. This Act vested the control of communication by electric telegraph in the new Department.

During 1881 the first New Zealand telephone exchanges were opened at Christchurch and Auckland. An amendment to the Electric Telegraph Act of 1875 had been passed in September 1880 extending the power of the Government, through the Telegraph Department, to control all electric communication by telephone and making it unlawful for any but the approved authority to establish telephone lines without express permission.

The telegraph and postal services were amalgamated at the beginning of 1881. The Postmaster-General became Minister of Telegraphs, and the Post and Telegraph Department was created to replace the two previous authorities. Under the Post Office Act 1959, which came into operation on 1 January 1960, the name of the Department became the Post Office, and the Minister's title became Postmaster-General.

Through its control of electric communications the Post Office has extended its functions to include communication by radio. In addition to administering New Zealand's radio regulations, the Post Office transmitting and receiving stations bring New Zealand into the world radio communications network. The overseas radio-telephone service was inaugurated with the Australian link in 1930 and since then New Zealand has extended its radio-telephone communication to most countries in the world. A further development in radio communication brought a radio-photograph service with Australia and the United Kingdom in 1947.

POSTAL BUSINESS.—At 31 March 1959 there were 1,443 post offices in New Zealand. In addition, there were 219 offices at which telephone business only was transacted.

The following table shows the numbers of articles posted during the years ended 31 March 1955 to 1959.

Million
Year Ended 31 MarchLetters, Lettercards, and PostcardsAccounts, Circulars, Newspapers, Packets, etc.ParcelsTotal Articles Posted
1955189.1199.86.5386.4
1956187.5213.76.8408.0
1957192.0213.47.0412.4
1958202.3229.46.9438.6
1959204.6234.67.2446.4

Compared with the year ended 31 March 1958, letters, lettercards, and postcards posted during the year ended 31 March 1959 showed an increase of 2.3 million (1.1 per cent); and accounts, circulars, etc., an increase of 5.2 million (2.3 per cent). Parcel postings increased by 302,000 during the year.

The average numbers of letters, etc., posted in New Zealand per head of population during the year ended 31 March 1959 were: letters, lettercards, and postcards, 89; accounts, circulars, newspapers, packets, etc., 101; parcels, 3.1.

During the 1958-59 year, 614,813 lb. of letters and 185,141 parcels were posted by inland air mails, and 227,917 lb. of letters, 70,555 lb. of newspapers and packets, etc., and 29,940 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 1959, 70,767 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 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 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 1948-49 to 1958-59 are shown hereunder.

Year Ended 31 MarchLettersParcels
* Abnormal increase due to interruption of surface connections owing to industrial dispute.
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
195824,596,000184,185
195924,592,000185,100

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. In normal weeks there are now seven to nine flights weekly between New Zealand and Australia.

New Zealand - United Kingdom Air Service.—This 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. Air lines now operate six weekly trips to San Francisco, and there is also a service between Auckland and Vancouver.

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 Polynesia). On 14 October 1952 Tasman Empire Airways replaced the National Airways Corporation services to Apia (Samoa). 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 a French air service. 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.

OVERSEAS PARCEL-POST.—Particulars of overseas parcels received and despatched in each of the years 1955 to 1959 are contained in the following table.

YearOverseas Parcels ReceivedOverseas Parcels Despatched
NumberWeightCustoms DutyNumberWeight
  lb.£ lb.
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
1958464,7004,182,300812,495158,7001,428,300
1959399,5003,595,000582,875156,1001,404,900

NEWSPAPERS.—In March 1959 there were 332 publications on the Post Office Register of Newspapers. Of these 43 are published daily, 11 being morning papers and 32 evening papers. Ten appear three times per week, 20 twice per week, 83 weekly, 30 fortnightly, 142 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 Commonwealth countries and also with the United States of America, the Republic of Ireland, and Tonga. Money orders may also be issued in New Zealand for payment in any other country with which the United Kingdom has exchanges of money orders.

For payment within New Zealand the maximum amount for a single order is £100, but there is no limit to the amount which may be remitted. The commission is computed on each individual order. Commission on inland money orders is 7d. for the first £10 and 3d. for each additional £5 or part thereof. A money order may be transmitted by telegraph for the addition 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 1958, 1,352,509 money orders were issued in New Zealand for a total of £25,039,096, and of that total 59,324 orders of a value of £309,081 were issued for payment overseas. Money orders issued overseas for payment in New Zealand in 1958 numbered 22,832 and totalled in value £127,440.

The analysis of the overseas money-order business for 1958 is now given.

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 Kingdom24,420191,0975,68355,917
United States of America9042,8031,4717,445
Australia29,91463,92711,34330,141
Canada2781,7541,3285,392
Ceylon967812
Republic of Ireland1,25413,25690744
Fiji94721,9061,3916,292
Hong Kong68664426
India8978,696**
Norfolk Island85164123994
Tonga486091,10718,176
Pakistan2011,828**
South Africa2992,3102842,301
Totals59,324309,08122,832127,440

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
   ££ £
19549801,235,97020,586,84845,8681,180,33220,273,271
19559851,336,54125,460,85249,7251,269,97225,116,062
19569911,382,63326,300,38751,8471,325,57926,061,638
19579981,339,26724,906,95953,3001,292,70124,775,472
19581,0201,352,50925,039,09654,4611,316,27724,897,000

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 1959, 2,239,901 postal notes valued at £1,230,201 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.
   ££ £
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
19581,1142,175,7751,135,58037,5692,208,9301,132,981
19591,1332,239,9011,230,20140,4962,254,6151,230,201

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 1959 the Post Office sold 818,398 British postal orders valued at £314,666, and paid 69,048 orders valued at £85,265.

POST OFFICE SAVINGS BANK.—Details on the Post Office Savings Bank are given in Section 32, Banking and Currency.

TELEGRAPH AND TELEPHONE SERVICES.—Up to 31 March 1959 a total sum of £61,755,611 had been expended on telegraph construction, including the construction of telephone exchanges. The amount expended during the financial year 1958-59 was £6,389,864.

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 Receipt:)Total Value of Business
Telegraph and TollTelephone Exchange
 Million£££
195542.05,115,8476,066,83711,182,684
195644.75,314,6516,538,80011,853,451
195747.05,694,9727,217,10712,912,079
195850.06,205,8588,166,09314,371,951
195951.76,410,3128,769,03915,179,351

The number of telegrams forwarded in 1958-59 was 7.8 million, while the number of toll communications at 43.9 million showed an increase of 2 million.

The charge for ordinary telegrams on week-days is 1s. 2d. for six words or less, and 1d. for each additional word. The charge for letter-telegrams, which are delivered by post on the morning following the day of lodgment, is a 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 11/2d. 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.

The delivery of telegrams, 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 42. In 1946 subscribers phoned in 28 per cent of the telegrams sent, while the present percentage is 49.8.

Machine-printing telegraphs operating at 45 words per minute were introduced on 5 December 1921. The system used was the Murray Multiplex, which operated on the time-division principle. The first of these circuits was used between Auckland and Wellington, Wellington and Christchurch, and Christchurch and Dunedin. This method of transmission was later provided at Napier, Gisborne, Wanganui, and New Plymouth. In 1929 the first Creed teleprinter circuit, working at a speed of 66 words per minute, commenced operation. These machines, combined with the use of voice-frequency telegraph systems, eventually replaced the Murray Multiplex, the last of which was withdrawn in 1954.

The first voice-frequency telegraph system - of three high-speed channels between Wellington and Christchurch - was installed in 1938. Since then a network embracing all the larger provincial towns has been developed. At 31 March 1959 there were 435 channels and more are to be provided in the near future.

Leased teleprinter service for business organizations had its origin in 1953. During the years which have followed an increasing interest in this service has been shown by the business world. There are now 61 organizations leasing 31,342 miles of telegraph circuit. Annual revenue from this source is £203,000.

Until 1951 daily newspapers received their outside news over the public telegraph system but in that year their national organization leased an extensive teleprinter network so that the news could be transmitted direct from Wellington into the various newspaper offices. Newspapers participating in this arrangement number 37.

TELEPHONE-EXCHANGE SERVICE.—At 31 March 1959 there were 478 telephone exchanges in New Zealand serving a total of 641,342 connections. Of these exchanges 309 were manually operated, serving 216,336 connections, or 34 per cent of the total, and 169 were automatic, serving 425,006 connections, or 66 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).

195119521953195419551956195719581959
* Represents separate instruments connected to main telephone system.
Exchanges364371381397405411440459478
Subscribers' main stations268,365285,171307,453330,825359,674386,732409,740434,804459,869
Service stations3,5703,5333,5963,7553,6873,7133,8583,9484,073
Toll stations1,7651,7191,6911,6591,6331,6051,5671,5311,507
public call stations1,9582,0852,2232,3412,4502,5452,6752,8032,912
Extension stations90,53698,239106,591114,193125,463136,658147,872159,646170,777
Private telephone lines3,7953,8193,6323,5163,3863,2482,6272,4922,204
    Telephone station totals*369,989394,566425,186456,289496,293534,501568,339605,224641,342
Number in stalled during year24,11126,53633,56036,15542,73841,01140,15243,74445,366
Number of waiting applicants58,48458,34854,94643,30333,34433,86235,33034,50132,087

The total number of telephone stations shows an increase of 271,353, or 73 per cent, during the period covered by the table, the net gain for each of the last five years being 40,004, 38,208, 33,838, 36,885, and 36,118 respectively. The increase in subscribers' main stations during the same period amounted to 191,504, or approximately 71 per cent, while extension stations show an increase of 80,241, or a little over 89 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 1959 the number of “party” lines was 54,017, serving a total of 183,808 stations.

According to the latest comparative data available (January 1958), compiled by the Chief Statistician of the American Telephone and Telegraph Co., New Zealand ranks fifth in the number of telephones per 100 of population, the leading countries being the United States of America (36.8), Sweden (32.6) Canada (28.6), Switzerland (26.8), New Zealand (26.6), and Denmark (21).

The first public call stations (coin-in-the-slot telephones) erected in New Zealand were installed at Wellington in August 1910, and 1,949 such instruments were in use at 31 March 1959.

The revenue from local calls from slot telephones during the year ended 31 March 1959 was £166,539. In addition, there are 963 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 1959 was £52,416,477.

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 I (Over 3,000 subscribers)Individual230013100
(Typical exchanges are Gisborne, Hamilton, Napier,2-party1712611150
New Plymouth, and Invercargill)3-party16761150
 4-party152610150
 5-party1250976
 6-10 party1126876
Class II (2,001 to 3,000 subscribers)Individual1917612100
(Typical exchanges are Hawera, Levin, and2-party1517610150
Greymouth)3-party141261050
 4-party13769150
 5-party11508100
 6-10 party10767126
Class III (1,001 to 2,000 subscribers)Individual181261200
(Typical exchanges are Taumarunui, Marton, and2-party15501050
Waimate)3-party14009150
 4-party12150950
 5-party10176826
 6-10 party10267100
Class IV (201 to 1,000 subscribers with continuousIndividual177611105
attendance)2-party141509150
(Typical exchanges are Piopio, Waipawa, Waverley,3-party13100950
and Picton)4-party12508150
 5-party10767150
 6-10 party9176750
Class V (Up to 1,000 subscribers with restricted attendanceIndividual141261050
and automatic exchanges with less than 2002-party12008100
subscribers)3-party1176800
(Typical exchanges are Akaroa, Kawhia, Te Akau,4-party101767100
and Waitotara)5-party9266126
 6-10 party8126626

For stations located outside the boundary of the base-rate area of an exchange a mileage rate 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. 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.—Toll rates for distances up to 30 miles range from 4d. to 10d. for each 3 minutes or fraction. They are the same day and night. For distances over 30 miles, the rates range from 1s. 4d. to a maximum of 7s. 9d. for 3 minutes' conversation. These rates are increased by approximately one-third of the relative initial rate for each minute exceeding 3. Between 6 p.m. and 8 a.m. on weekdays, and between midnight and 6 a.m. on Sundays and departmental holidays, the rates for calls over 40 miles are reduced and vary from 1s. 6d. to 5s. 10d. for 3 minutes' conversation, with a proportionate increase for each additional minute.

The charge for an urgent call is double the rate for an ordinary call.

OVERSEAS CABLE SERVICES.—Telegraphic communication overseas was first established between New Zealand and Australia by means of the Eastern Extension Telegraph Company's cable from Wakapuaka (Nelson) to Sydney in 1876, this cable being duplicated in 1890. Subsequent developments were the opening in 1902 of the Pacific cable between Auckland and Canada via Norfolk Island, Suva, and Fanning Island, with a connection linking Norfolk Island to Brisbane; the laying of a cable direct between Auckland and Sydney in 1912; shifting of terminals from Wakapuaka to Wellington in 1917; laying a cable direct between Auckland and Suva in 1923, and duplicating the Suva-Canada cable in 1927. In 1929 a merger of British cable and wireless companies resulted in the overseas cable services being brought under the control of one authority (the private company of Cable and Wireless, Ltd., with headquarters in London), following which one cable between Wellington and Sydney was abandoned, part of it being lifted for re-use, and the route of the other was altered to terminate at Auckland instead of Wellington. One of the two direct Auckland-Sydney cables later became faulty and has not been repaired, leaving only one direct cable link between Auckland and Sydney. Following upon a conference of representatives of Commonwealth Governments (including New Zealand) held in London in 1945, the Commonwealth's external telecommunications systems were brought under Government control and, in accordance with the Commonwealth Telegraphs Agreement 1948, the New Zealand Post Office purchased the assets of Cable and Wireless, Ltd., in New Zealand, and took over the operation of the overseas cable services.

RADIO COMMUNICATION: Government Stations.—The first wireless-telegraph station in New Zealand for communicating with ships at sea was opened at Wellington on 26 July 1911.

An event of major importance in the development of New Zealand's external telecommunication services was the opening of the Himatangi radio transmitting 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, Manono, Mulifanua, 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
   £  £
195541,002801,16610,34694,4801,775,25416,485
195646,067923,46711,240101,1601,976,96417,980
195745,725960,19712,016102,1752,033,23120,820
195847,9091,042,20014,340108,3392,528,41124,826
195947,9701,007,84913,801108,1442,400,23024,937

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 sixty-four 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 3,378 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 savings bank 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.

Eight radio firms and four educational institutions 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 Office for the last three financial years are now shown.

Receipts1956-571957-581958-59
* Net figure—i.e. receipts less payments.
 £££
Postages5,337,3965,710,9645,980,016
Money-order and postal-note commission86,01489,49092,754
Private box and bag rents and rural-delivery fees150,306147,086139,688
Miscellaneous receipts2,508,0452,930,2032,945,504
Telegrams939,621988,307970,075
Tolls4,484,2265,000,1885,164,313
Telephone-exchange rentals6,681,9927,500,6367,718,941
Overseas telecommunications357,930*373,903*358,915*
              Totals£20,545,530£22,740,777£23,370,206
Payments1956-571957-581958-59
 £££
Salaries9,468,63810,857,27910,929,797
Conveyance of mails by sea and air862,387924,968860,964
Conveyance of mails by road538,846578,905627,976
Conveyance of mails by railway345,390367,097365,217
Maintenance and renewal of telecommunication system1,203,8601,190,8971,069,881
Motor services and workshops1,224,2821,237,4561,200,965
Miscellaneous5,012,2115,400,9655,504,523
Interest on capital liability1,964,6072,179,6942,436,094
Sick-benefit Fund27,58529,18937,308
Post Office buildings427,409438,808480,133
Superannuation Fund subsidy333,000312,250345,000
 21,408,21523,517,50823,857,858
      Less transfers to Vote—Telegraph Extension2,114,6382,095,4312,194,175
              Totals£19,293,577£21,422,077£21,663,683

Receipts and payments for the last eleven years are shown by the following figures:

Year Ended 31 MarchReceiptsPayments
 ££
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
195822,740,77721,422,077
195923,370,20621,663,683

WORK PERFORMED FOR OTHER DEPARTMENTS.—In addition to its natural functions, the Post Office 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), Agriculture (inspection fees, etc.), Education (child welfare receipts and examination fees, etc.), Health, Inland Revenue (land tax and income tax, including social security income tax under PAYE system), Lands and Survey, National Roads Board (special mileage tax on motor vehicles), Public Trust Office, State Advances Corporation (State rents, loan and interest repayments). Electricity (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), Treasury (Government Superannuation and National Provident Fund receipts).

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 and military training medical examination payments), Maori Affairs (Maori Trust payments), National Roads Board (refunds of duty on motor spirits), Public Trust Office, Police (witness warrants), Treasury (Government Superannuation payments and miscellaneous payments for other Departments), Ministry of Works, and for Reserve Bank (interest warrants and coupons).

Other services performed by the Post Office 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 some of the smaller centres Postmasters act as Registrars of Births, Deaths, and Marriages, Registrars of Electors, and agents for the 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 Office entails the employment of a large staff. The Department is administered by the Postmaster-General, with the Director-General as executive head. The staff at 31 March 1959 was as follows: Permanent, 17,162, temporary, 6,021, non-classified, 379, total, 23,562. In addition there were 847 country postmasters and telephonists who acted as such in conjuction with other pursuits and did not rank as officers of the Department. There were also 43 officers of the Railways Department who acted as postmasters.

VEHICLES.—The Post Office motor vehicles fleet consists of 2,538 vehicles—1,876 trucks and vans and 662 motor cars. Of this fleet, 407 vehicles are used for hire to other departments, 1,659 for engineering construction work, and 472 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.

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.—On 1 November 1959 there were in New Zealand 33 medium-wave broadcasting stations and two short-wave transmitters of Radio New Zealand, the latter with 19 assigned frequencies. Two of the medium-wave stations (2XM and 4XD), are privately owned and operated with the assistance of a subsidy from the Broadcasting Account. Of those controlled by the New Zealand Broadcasting Service, eight are full-time national advertising stations, marked “(a)” in the following list, six are local stations carrying advertising for a maximum of 14 hours daily, listed as “(b)”, and four stations, marked “(c)”, are local stations carrying a limited number of advertisements each day. No advertising material is given on Sundays. The complete list of medium-wave stations follows.

MEDIUM-WAVE STATIONS

Call Sign and Location of StudioRadiated PowerFrequencyNormal Hours of Transmission Per Week
* Operates during period when 2YA is broadcasting proceedings of the House of Representatives.
 KilowattsKilocyclesHr. min.
1XN, Whangarei (b)2.00970113 30
1YA, Auckland10.00760121 20
1YC, Auckland10.0088042 0
1ZB, Auckland (a)10.001,070126 0
1YD, Auckland (c)2.501,25048 0
1XH, Hamilton (a)2.001,310118 30
1YZ, Rotorua10.00800108 30
1ZC, Rotorua (c)0.501,52035 0
2XG, Gisborne (b)2.001,010113 30
2XM, Gisborne0.091,18016 30
2XP, New Plymouth (b)2.001,370113 30
2YZ, Napier5.00860108 30
2ZC, Napier (a)2.501,280118 30
2XA, Wanganui (b)2.001,200113 30
2ZA, Palmerston North (a)2.00940118 30
2XB, Masterton (c)2.5084035 0
2YA, Wellington60.00570128 20
2YC, Wellington60.0066042 0
2YX, Wellington1.001,400*
2ZB, Wellington (a)10.00980126 0
2YD, Wellington (c)2.501,13021 0
2XN, Nelson (b)2.001,340113 30
3YZ, Greymouth10.00920103 30
3YA, Christchurch10.00690121 20
3YC, Christchurch10.00690121 20
3ZB, Christchurch (a)10.001,100126 0
3XC, Timaru (b)2.001,160113 30
4YA, Dunedin10.00780121 20
4YC, Dunedin10.0090042 0
4ZB, Dunedin (a)10.001,040126 0
4XD, Dunedin0.061,43012 0
4YZ, Invercargill5.00720114 20
4ZA, Invercargill (a)10.00820118 30

Each of the two short-wave transmitters employed by Radio New Zealand has a power of 7.50 kilowatts into the aerials, and frequencies used are in the 6, 9, 11, 15, and 17 megacycle bands. Frequencies are adjusted throughout the day and seasonally to give best reception in the target areas; of the various frequencies 15.28, 15.22 and 11.78 mcs. are commonly used for daily transmissions of the home service programme, and 9.54 and 6.08 mcs. for transmissions of special evening programmes to the Pacific Islands and Australia. Broadcasting hours amount to 151/2 hours daily to the Pacific Islands and 121/2 hours daily to Australia.

The total transmission time of all stations of the Service amounted during the year ended 31 March 1959 to 158,088 hours. Of this scheduled programme time, 151/2 hours were lost through technical faults.

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.

Programmes of the various stations are published in the New Zealand Listener, a weekly paper controlled by the New Zealand Broadcasting Service, which was first issued on 30 June 1939.

Radio Coverage.—The functions of medium-wave stations operated by the Broadcasting Service in the programme coverage of New Zealand are as follows:

  1. Stations 1YA, 2YA, 3YA, 4YA, 1YZ, 2YZ, 3YZ, and 4YZ broadcast non-advertising programmes to listeners throughout the country.

  2. Stations 1YC, 2YC, 3YC, 4YC, and 2YX provide alternative non-advertising programmes to those of the YA and YZ stations in (a) but with slightly less extensive coverage.

  3. Stations 1ZB, 2ZB, 3ZB, 4ZB, 1XH, 2ZA, 2ZC, 4ZA, 1YD, 1ZC, 2XB, and 2YD present advertising programmes mainly of a light character, coverage being comparable with stations listed in (a).

  4. Stations 1XN, 2XG, 2XP, 2XA, 2XN, and 3XC serve the immediate locality of the centres in which they operate and present advertising and non-advertising programmes during specified hours. Within their coverage range these stations give alternative programmes to those provided by stations listed in (a), (b) and (c).

Television.—The departmental committee set up by the Minister of Broadcasting in July 1949 has continued to study developments overseas in technical and programme aspects of television and to advise the Minister on the organization of television in this country. On 13 October 1958 the Minister announced the purchase of equipment for use in planning television coverage. This equipment has been used for experimental transmissions in Auckland as a necessary first step toward the introduction of a New Zealand television service.

In January 1960 the Government announced that a television system with both commercial and non-commercial services would be introduced by the Government. The system will be owned and controlled by the State and will be associated with the New Zealand Broadcasting Service. The first major station will be established in Auckland. Steps are being taken in 1960 to place further experimental stations in Wellington, Christchurch, and Dunedin.

SHORT-WAVE SERVICE.—Radio New Zealand broadcasts to the Pacific Islands a daily home-service programme from 5 a.m. to 5.45 p.m. on one frequency and a special evening programme from 6 p.m. to 8.45 p.m. on two frequencies. Its transmission to Australia comprises a daily home service programme from 8 a.m. to 5.45 p.m. on one frequency and a special evening programme from 9 p.m. to 11.45 p.m. on two frequencies. In addition to its large radio audience throughout Oceania, Radio New Zealand has listeners as far distant as the United Kingdom, Sweden, France, the United States, and Japan.

Radio New Zealand programmes illustrate many different aspects of life in this country. In addition to music performed by New Zealand artists, including the N.Z.B.S. National Orchestra, overseas listeners may hear talks and features on such subjects as “A Career in New Zealand Forestry”, “Maori Women and Leadership”, and the story of the early railway system, “Pride of the Manawatu”. New Zealand sports commentaries and results are broadcast regularly. A special weekly transmission, “Calling Antarctica”, brings news, sports review programmes, and matters of personal and general interest to New Zealand scientists working in the Ross Dependency.

NATIONAL (NON-COMMERCIAL) SERVICE.—An analysis of the combined programmes of the National non-commercial stations for a sample week in June 1959 showed that of the total broadcasting hours, 16.06 per cent was devoted to serious music, 45.52 per cent to light music, 1.41 per cent to modern dance music, 2.23 per cent to broadcasting Parliament, 8.48 per cent to plays, sketches, short stories, and dramatic serials, 4.22 per cent to sports commentaries and results, 10.46per cent to talks, documentaries and children's educational programmes, 7.14 per cent to news and commentaries, 2.23 per cent to church and devotional services, and 2.25 per cent to children's programmes.

Programmes broadcast by National stations of the Service are designed and classified to suit the major divisions of public taste and the Broadcasting Service is continually concerned to provide adequately for all sections of the community in all parts of the country.

The best musical and other talent available is engaged by the Service and, throughout the year, a large number of singers and other soloists as well as bands, choral, and instrumental groups of varying composition and size are broadcast from its studios or by relay of public concerts.

The National Orchestra of the New Zealand Broadcasting Service, formed in 1946, is managed by the Concert Section which also arranges series of concerts and broadcast recitals in New Zealand by overseas celebrity artists. Distinguished soloists, often from other countries, and choral groups frequently appear with the National Orchestra in public concerts in the main centres as well as in studio broadcast performances. Free concerts for school children are an established feature of the National Orchestra's tour programme.

The productions section is responsible for presenting plays, short stories and other dramatic as well as documentary features. Local dramatic talent is employed and every encouragement given to New Zealand writers to submit material suitable for radio.

“Broadcasts to schools” sessions are given for three hours weekly. Sessions include singing, music and movement, music appreciation, literature, book reviews, current events, social studies, science and, during the first and second school terms, French language for post-primary scholars. The Department of Education Correspondence School broadcasts to its pupils a weekday morning programme of one and one-half hours duration weekly. A special programme, “Kindergarten of the Air”, is produced three times weekly for younger children.

All proceedings of the House of Representatives are broadcast from Station 2YA. During broadcasts of Parliament the scheduled programmes of Station 2YA are broadcast by Station 2YC, and those of Station 2YC transmitted by Station 2YX.

Time signals from the Seismological Observatory are broadcast every day from Station 2YA or 2YC. 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 published in Section 44 (Miscellaneous) of this Year-Book.

COMMERCIAL SERVICE.—Following the coming into operation of the Broadcasting Act in 1936 the Government purchased Station 1ZB Auckland, previously a privately-owned station independent of the Broadcasting Board, and commenced the broadcasting of programmes which included advertising matter. Commercial stations were subsequently established at Wellington, Christchurch, and Dunedin in 1937, and at Palmerston North 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 on 1 October 1957, Station 2XB Masterton on 17 March 1958, and Station 1ZC Rotorua on 1 July 1959. Stations 1YD Auckland and 2YD Wellington, formerly non-commercial, from 1 October 1957 began to carry advertising for three hours each evening.

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, New Plymouth, Wanganui, and Nelson.

The emphasis in commercial programmes is upon entertainment and, in addition to advertising matter which occupies a relatively small proportion of total broadcasting time, listeners may hear variety, dramatic, and comedy programmes of high standard as well as informative sessions, reviews, and a comprehensive announcements service.

FINANCIAL STATISTICS.—The following tables show the financial results of the principal activities of the Service for the last four financial years.

1955-561956-571957-581958-59
* Net deficit.
Non-commercial Activities    
National stations—    
  Expenditure on programmes166,812182,874185,477190,991
  General administrative and running expenses508,485558,274566,112567,331
  Post Office charges for licence fee collection60,94696,244108,179109,150
  Depreciation123,777120,932124,886130,223
 860,020958,324984,654997,695
  Less recovery from commercial stations for provision of technical facilities and services98,141113,112116,737129,003
  Net expenditure761,879845,212867,917868,692
  Revenue808,756819,191881,904895,601
    Balance of revenue over expenditure46,877−26,02113,98726,909
National Orchestra and Concert presentation—    
  Net expenditure121,025127,513127,085129,306
      Less Concert proceeds38,73539,27032,00940,802
    Balance of expenditure82,29088,24395,07688,504
Experimental television—    
  Net expenditure......1,854
    Total deficit non-commercial activities35,413114,26481,08963,449
              Commercial Activities    
Commercial stations—    
  Expenditure on programmes73,94280,625126,177147,656
  General administrative and running expenses593,807664,207779,239848,456
  Charge from National for provision of technical facilities and services98,141113,112116,737129,003
  Net expenditure765,890857,9441,022,1531,125,115
  Revenue970,7361,050,8111,320,0981,486,152
  Net surplus before tax204,846192,867297,945361,037
New Zealand Listener    
  Printing, publishing and distribution costs75,47974,67580,34775,476
  General administrative and running expenses32,27338,31539,26938,175
  Net expenditure107,752112,990119,616113,651
  Revenue102,932125,372123,545116,793
  Net surplus before tax−4,820*12,3823,9293,142
  Total net surplus before tax200,026205,249301,874364,179
  Provision for taxation101,679105,797154,188179,594
  Net surplus after tax98,34799,452147,686184,585
                   Summary    
Total net deficit non-commercial activities35,413114,26481,08963,449
  Less Commercial surplus98,34799,452147,686184,585
Net surplus for Service62,934−14,812*66,597121,136
NOTE.—Minus sign(—) indicates an excess of expenditure over revenue.    

In the table for national stations the amount recovered from commercial activities on account of provision of technical services provides for Head Office engineering overhead and services, allowance for depreciation on assets in use commercially, and share of the costs of interference suppression and frequency measurement.

The Service has two principal sources of revenue, radio licence fees and sales of station time (advertising). While licence fee revenue is credited to the accounts of the non-commercial stations and sales revenue to those of the commercial stations, in fact the Service operates a common fund, all revenue being available for the general purpose of broadcasting. However, the commercial surplus is subject to taxation without any set-off from the deficit arising from the non-commercial activities.

Revenue from radio licence fees and from sale of station time for the last four financial years is shown in the following table.

£
1955-561956-571957-581958-59
Radio licence fees761,410765,177828,439835,949
Sale of station time952,4101,027,8981,217,1791,374,150
      Totals1,713,8201,793,0752,045,6182,210,099

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 from 1 January 1954.

At 31 MarchAucklandWellingtonCanterburyOtagoNew Zealand TotalsLicences Per Hundred of Population
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
1958206,755184,85390,27967,420549,30724.14
1959215,242189,16393,68269,077567,16424.38

A summary of all radio licences in force in New Zealand at 31 March 1959 follows.

DistrictReceiving StationsRadio DealersPrivate ExperimentalOtherTotal Licences
AmateurResearch
Auckland215,2421,0201,0036937217,371
Wellington189,1639681,0506020191,261
Canterbury93,682380493151994,589
Otago69,077364300201869,779
        Totals567,1642,7322,84616494573,000

A licence issued for a receiving station situated in a family residence is sufficient in respect of all stations in that residence other than stations owned and used by sub-tenants or lodgers occupying part of the premises in the residence.

Free licences are issued to blind persons and institutions for the blind, as well as to public hospitals and orphan and other charitable institutions where radio receivers are used for the benefit of patients or inmates. Free licence privileges are also extended to the operation of radio sets in schools for educational broadcast purposes. The total number of free licences issued for each of the last five years, at 31 March, was: 1955, 2,704; 1956, 2,804; 1957, 2,836; 1958, 2,874; and 1959, 2,932.

A penalty is attached to the operating of unlicensed radio apparatus. Requirements with respect to licences are set out in the Radio Regulations 1953.

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 district, is 66,390,700 acres. Of this total, 42,551,365 acres were assessed in 1957 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 1946, 1949, 1952, and 1957, are given below.

Area, in AcresNumber of HoldingsPercentage of Total
19461949195219571946194919521957
1 and under 1011,38011,46312,36311,76513-2013.1613.6913.90
10 and under 5014,01413,61113,71610,39616.2515.6315.1912.29
50 and under 10012,81212,96213,46011,93214.8614.8914.9114.10
100 and under 20016,69917,25018,10417,94919.3619.8120.0521.22
200 and under 3209,86210,08410,30810,28911.4411.5811.4212.16
320 and under 64010,39210,65311,08311,18412.0512.2312.2713.22
640 and under 1,0004,1544,2154,3824,3574.824.844.855.15
1,000 and under 5,0005,8825,8275,8665,7456.826.696.506.79
5,000 and under 10,0005565385355310.640.620.590.63
10,000 and under 20,0002872782762610.330.320.310.31
20,000 and under 50,0001451441431410.170.170.160.17
50,000 and under and over565152540.060.060.060.06
      Totals86,23987,07690,28884,604100.00100.00100.00100.00

Although approximately 40 per cent of holdings in 1957 were less than 100 acres in extent, the total area of such holdings represented only a little under 3 per cent of the occupied land of New Zealand. A further 21 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 under 8 per cent of the total. Holdings of 5,000 acres and upwards, of which there were 987 in 1957, 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 Acres1946194919521957
1 and under 1052,93853,05356,40150,871
10 and under 50356,797344,548346,400265,188
50 and under 100936,146949,958989,287882,805
100 and under 2002,338,3152,417,3422,536,2302,521,234
200 and under 3202,468,8172,527,4012,584,8762,579,161
320 and under 6404,697,2904,823,0685,011,0735,061,457
640 and under 1,0003,302,2243,349,9843,470,2973,452,809
1,000 and under 5,00011,498,50711,377,53911,367,37011,125,375
5,000 and under 10,0003,793,5913,661,1383,670,1823,592,587
10,000 and under 20,0004,012,3853,891,5863,870,9483,704,443
20,000 and under 50,0004,408,2094,457,0354,404,0014,326,151
50,000 and over5,214,7894,864,8474,912,6384,989,284
      Totals43,080,00842,717,49943,219,70342,551,365

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 1950Status of occupier—NumberPercentage of Total
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 1958 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.

† Included in orchards.

In principal cereal crops and crops for threshing*292,1300.68
In green, root, and other crops*783,8161.84
In fallow173,3780.40
In sown grasses and clovers—  
    Cut for hay, seed, or silage1,220,4832.86
    Not cut for hay, seed, or silage16,561,68838.81
Inorch ards36,9920.09
In market gardens, grape, passion fruit, hop vines, and nurseries 
In private gardens and grounds, etc,83,6120.20
In plantations906,2192.12
        Total area in cultivation20,058,31847.00
Unimproved land22,611,65953.00
        Total area in occupation42,669,977100.00

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 1958.

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 Auckland2,883118,739755,244231,34178,5811,186,788
South Auckland1,81654,9111,093,214400,677105,8611,656,479
Gisborne125130,496244,895153,79226,274555,582
Hawke's Bay39316,059341,12988,86133,623779,711
Taranaki608,876143,872181,69014,142348,640
Wellington6,262545,998597,960262,963101,5991,514,782
    North Island11,1851,175,0793,176,3141,319,324360,0806,041,982
Marlborough7381,395,814278,437104,280229,4582,011,727
Nelson2,484213,079352,894175,33938,786782,582
Westland4,07651,015191,601199,301117,415563,408
Canterbury4,9414,066,580213,651119,584615,3135,020,069
Otago2,5495,059,879633,878312,386457,8576,466,549
Southland6,3541,229,078309,689119,42360,7981,725,342
    South Island24,14212,015,4451,980,1501,030,3131,519,62716,569,677
    New Zealand35,32713,190,5245,156,4642,349,6371,879,70722,611,659

Tenure of Occupied Lands.—The area of land in occupation as at 31 January 1958, classified according to tenure, was as follows.

Acres
Crown land (including leases and licences)18,344,593
Freehold (including all land held on deferred payment)21,538,013
Leasehold2,787,371
        Total occupied area42,669,977

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 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 recreation 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 and Kapiti Island off Paraparaumu on the south-west coast of the Wellington district.

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.

Urewera National Park, which is administered by the Commissioner of Crown Lands at Hamilton, is the only park not yet under board control.

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 (453,971), Tongariro (161,552), Egmont (80,976), Abel Tasman (42,848), Nelson Lakes (139,833), Arthur's Pass (239,152) Mount Cook (172,979) and Fiordland (2,922,853).

SUMMARY OF AREAS RESERVED.—The following table of reservations may be of interest, the figures given relating to 31 March 1959.

Type of ReservationNo.Acres
Scenic and historic reserves967855,139
Public domains91878,621
National parks84,214,164

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 for South Australia.

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 since 1870, 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 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.

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 1952-53 to 1958-59 is given in the following statement.

Year Ended 31 MarchHomes Settled
19536,037
19544,808
19554,477
19565,363
19575,655
19586,262
19597,052

Certificates of Title Issued.—The following table shows the number of certificates issued for the last eight years.

Year Ended 31 MarchTotal
195223,663
195322,763
195426,907
195525,356
195624,069
195722,948
195823,590
195925,521

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
NumberAreaConsiderationFreeholdTotal Freehold and Leasehold
NumberAreaConsiderationNumberConsideration
  Acres£(000) Acres (000)£(000) £(000)£(000)
194930,49410,95424,8035,5011,28912,6646,07013,60738,410
195033,18210,82227,6295,3361,26912,2895,87613,03440,663
195149,88014,06361,5377,4191,16216,8868,05817,82379,360
195246,14512,08473,1659,6551,51434,01010,46435,965109,129
195339,32510,00865,4618,2851,34333,0509,05335,241100,702
195443,42710,92575,5038,4421,37136,5969,18838,915114,419
195546,97811,84088,7618,8041,72544,4609,59347,964136,725
195641,37810,36380,6847,1121,23737,3667,72240,256120,940
195738,0669,57875,6146,6771,20536,0897,26839,064114,678
195842,18310,39189,6417,7031,44046,1138,39050,060139,701
195941,85410,28385,2166,7961,07239,6197,29942,400127,616

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 during the previous two years 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 land sales control 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 high figure established in the previous year, the amount of consideration involved rose to £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 after 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 amounted 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 when compared with 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 1950-51 town and suburban total and the 1951-52 country total. The significant feature of the 1954-55 figures was the high value of the 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 no 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, where a drop of 3,312, or 8 per cent, occurred in number, than in rural properties. The total number of transactions was the lowest since 1949-50, a year that for the most part was under controls. The area and consideration dropped accordingly.

The trend in land transfer business, in contrast with the decline shown in the two previous years, showed a marked expansion in 1957-58. Consideration for all properties rose to the record figure of £139,701,000. This was a rise of £25,023,000, or 22 per cent. The number of urban transactions rose by 4,117, or 11 per cent, and the number of rural transactions by 1,122, or 15 per cent. The consideration for urban properties rose by £14,027,000 (19 per cent), and the consideration for rural properties rose by £10,996,000 (28 per cent).

In 1958-59 decreases were recorded in all categories. Consideration for all properties decreased by £12,085,000 (8.7 per cent) to £127,616,000. The number of urban transactions decreased by 329 to 41,854 and the number of rural transactions decreased by 1,091 to 7,299. Consideration for urban and rural properties decreased by £4,425,000, or 4.9 per cent, and £7,660,000, or 15-3 per cent, respectively.

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 for town and suburban property has been increasing each year during the past decade but showed a drop of £89 in 1958-59. The averages were £833 in 1949-50, £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, £1,986 in 1956-57, £2,125 in 1957-58, and £2,036 in 1958-59.

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£1,000-£9,999£10,000-£24,999£25,000 and OverTotals
NumberConsiderationAverageNumberConsiderationAverageNumberConsiderationAverageNumberConsiderationAverageNumberConsiderationAverage
  £ (000)£ £ (000)£ £ (000)£ £ (000)£ £ (000)£
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
195817,5127,77544424,26772,8083,0003034,23213,9661014,82647,78542,18389,6412,125
195918,1318,39146323,36269,9072,9922904,07114,038712,84640,08241,85485,2162,036

The following analysis shows, for 1958-59, transfers of country freehold properties classified by area groups. The average consideration per acre is also given for the two earlier years.

Size Group (Acres)NumberAreaConsiderationConsideration per Acre
1958-591958-591958-591958-591957-581956-57
  Acres££££
Under 303,40023,7958,985,964377.64363.76335.71
30 and under 5040816,1411,752,415108.57111.43108.57
50 and under 10082459,3864,900,68282.5284.5582.31
100 and under 2501,125175,8249,600,79354.6055.0646.74
250 and under 500528186,4246,161,96033.0531.1528.19
500 and over511610,0118,217,03613.4710.6010.33
      Totals6,7961,071,58139,618,85036.9732.0329.94

Further particulars relating to transfers of country freehold properties from the year 1948-49 onwards are contained in the next table. 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 MarchAverage Value per TransactionAverage Value per Acre
 ££
19492,3029.82
19502,3039.69
19512,27614.53
19523,52322.46
19533,98924.61
19544,33526.69
19555,05025.77
19565,25430.21
19575,40529.94
19585,98632.03
19595,83036.97

Monthly statistics of transfers on sale of land registered under the Land Transfer Act are published regularly in the Monthly Abstract of Statistics.

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.

The Act as amended in 1959 provides that persons purchasing or leasing farm land between 7 October 1959 and 31 August 1962 are required to reside personally on the land and farm it for their own benefit for a period of three years. The Act prevents, without the consent of the Minister of Lands, the purchase of farm land by a trustee for any person under the age of seventeen years, or the purchase by a company the members of which are less than ten in number, and include persons under the age of seventeen years or trustees for such persons.

Part I of the Act 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 unless the purchaser or lessee files a declaration with the District Land Registrar within one month of the date of the transaction to the effect that he owns no farm land, has no interest in any estate or trust owning farm land, has not since the passing of the Act transferred any farm land to any person as trustee for any person or created any trust in respect of any farm land, that he has entered into the transaction solely on his own behalf, and intends to reside personally on the land and farm it for his own benefit.

The matters to be considered by the Court or Committee in determining whether undue aggregation would result include (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) whether refusal of consent would result in unavoidable and substantial hardship to the vendor or lessor.

Marginal Lands Act 1950.—The objects of this Act, which came into force from 1 April 1951, are to assist farmers to restore, maintain, and increase production on marginal lands. The administration of the 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 assist it in the administration of the Act the Board has appointed Marginal Lands Committees in each land district. Each committee consists of three members—the Commissioner of Crown Lands for the land district, who is Chairman, an officer of the Department of Agriculture, and one other person selected from a panel of farmers appointed for each committee. This panel is limited by the Act to five members, who are selected for their experience in the farming or management of marginal lands.

The Board is empowered to make loans for clearing, cultivation, grassing, fencing, drainage, irrigation, buildings, farm machinery, livestock, in fact for any purpose having for its object the successful development and farming of a property regarded as suitable for a loan.

It is the policy of the Board not to compete with existing lending institutions and before it will make an advance the applicant must satisfy the Board that finance cannot be obtained through normal business channels. The Board will not normally provide finance for the improvement of a property unless it is capable of being developed into an economic unit. The policy is to assist competent men to make their holdings economic rather than help farmers already substantially established to bring into production additional land which could be developed from their private resources or out of revenue.

Activity under the Act in the initial period was slow and farmers appeared cautious in availing themselves of the assistance offering, but as the operations and purposes of the Act became more widely known a greater number of applications for advances were received. The scheme has been successful in that the objective of increasing production from marginal country has been achieved. Although there have been a few mortgagors who have not produced the results expected, many farmers on difficult and unattractive properties have, with Marginal Lands assistance and with application and energy, established and maintained profitable production. Many have completed their development programmes 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.

For the year ended 31 March 1959 the Board granted 53 loans totalling £258,848. In all, from the inception of the marginal lands scheme 682 loans have been approved, amounting to £2,806,890. The present rates of interest payable on advances are:

Current account first mortgage5 per cent.
Current account second and subsequent mortgages5½ per cent.
Instalment mortgage, first5½ per cent, reducible to 5 per cent.
Instalment mortgage, second and subsequent mortgages6 per cent, reducible to 5½ per cent.

SOIL CONSERVATION AND RIVERS CONTROL.—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, subdivisional fencing, stock water ponds, gully-control contour ploughing, terraces, grassed waterways, and spaced and close tree planting for stability.

Catchment Boards and Catchment Commissions.—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 nine or ten elected representatives of catchment districts 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.

The Waikato Valley Authority was constituted by special Act in 1956, and in terms of the Soil Conservation and Rivers Control Amendment Act 1959, the Council can declare any other part of New Zealand to be a catchment area, and appoint a catchment commission which, through delegation by the Council, can exercise the functions and powers of a catchment board in that catchment area.

To assist farmers directly to tackle their own problems subsidies are made 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 be subsidised up to £3 to £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. 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 1/12d. in the £ 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 soil conservation and rivers control work has grown to £1,500,000 a year to provide for subsidies and services.

Works Completed.—Soil conservation works completed in the period from 1952 to 1959 have included the planting of 3,137,000 trees, the terracing and grading of 239 miles of banks, and the erection of 307 miles of conservation fencing.

River and drainage works completed from 1948 to 1959 have included 3,700 miles of newly-dug or reconstructed drains; 1,774 miles of river channel cleared; 104 miles of river diversion cuts; 590 miles of stopbanks erected; and 942 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 administered under the authority of the Land Act 1948 and its amending Acts of 1950, 1951, 1952, 1953, 1954, 1956, 1958, and 1959. The Minister of Lands is charged with the administration of the Land Act, and his executive officer is the Director-General of Lands, who is the Permanent Head of the Department of Lands and Survey.

New Zealand is divided into twelve land districts, the executive officer for each district being a Commissioner of Crown Lands. The Act abolished the former Land Boards and 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.

The Land Settlement Board is 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. TheBoard 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.

SELECTIONS.—The following table shows details of the various freehold selections during the year 1958-59, together with totals for 1957-58.

FreeholdNumber of SelectorsTotal Area SelectedPurchase Price
Crown lands— Acres£
  Farm land2539,57745,741
  Urban land470180171,005
  Commercial or industrial land341859,338
  Land freeholded: Land Subdivision in Counties Act37912,685
  Cash sales: section 67, Land Act31141
        Totals, 1958-597979,795288,810
        Totals, 1957-586897,941360,645

Corresponding details concerning selections made under leasehold tenures are given for similar periods.

Leases and LicencesNumber of SelectorsTotal Area SelectedAnnual RentalAnnual Instalments

*Areas and rentals not shown; licences on royalty basis only.

† Rent free on condition improvements are effected.

Crown lands—    
  Renewable lease— Acres££
    Farm10537,17811,46858
    Urban3378810,032 
    Commercial or industrial1264,1495
  Deferred-payment licences—    
    Farm8312,736 5,212
    Urban1,733464 79,857
    Commercial or industrial4933 12,561
    Land Subdivision in Counties Act23459 10,192
  Special leases under section 67, Land Act351,2874,214110
  Special leases under section 165, Land Act*44   
  Special leases under section 166, Land Act11,30 
  Communal grazing lease, section 69, Land Act11,19314 
  Grazing and other licences: section 68, Land Act, etc.1,89258,78683,635 
        Totals4,526111,960113,512107,995
Endowment lands—    
  Westport Harbour Board endowments121,23729 
  Leases under section 47, Land Act112 
  Leases under section 48, Land Act662,3482,724 
  Sundry tenures28980649 
        Grand totals, 1958-594,633116,526116,916107,995
        Grand totals, 1957-584,882132,588120,129123,410

NOTE.—Section numbers refer to Land Act 1948.

LEASES AND LICENCES CURRENT AT 31 MARCH 1959.—The following table shows the total number of leases and licences current at 31 March 1959. 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 1959.

TenureNumberAreaAnnual RentAnnual Instalment (Including Improvement Loading)
* Areas and rentals not shown; licences on royalty basis only.
(a)Tenures Under the Land Act 1948
Crown lands— Acres££
  Renewable leases—    
    Farm4,4032,359,398381,98010,949
    Urban2,56789247,430275
    Commercial or industrial73939,872136
  Pastoral leases3465,516,16065,8931,522
  Pastoral occupation licences39396,5352,104..
  Deferred payment licences—    
    Farm1,229425,840..119,530
    Urban7,4321,967..318,519
    Commercial or industrial2281,989..51,915
    Land Subdivision in Counties Act716169..28,205
  Special leases (section 67, Land Act)—    
    Renewable—    
      Farm12128,0374,367703
      Urban11433514110
      Commercial or industrial12596,278228
  Non-renewable—    
    Farm5215,8432,237154
    Urban1513331..
    Commercial or industrial333,981..
    Licences for removal of minerals*181......
    Flax leases71,24698415
    Communal grazing licences42,58451055
    Miscellaneous licences5,236465,354105,524..
            Totals, Crown lands22,7789,216,215631,119532,716
Endowment lands—    
    Leases under section 169, Land Act242,795371..
  Leases under section 48, Land Act2225,20715,060..
  Leases under section 47, Land Act46762..
  Sundry tenures126196,1915,499..
        Totals, tenures under Land Act 194823,1549,420,475652,111532,716
(b)Tenures Under Acts Other Than the Land Act 1948
Crown lands— Acres££
  Renewable leases5,3381,504,551171,0313,023
  Leases under section 5, Discharged Soldiers' Settlement Amendment Act 1921-22388,8632,36034
  Special tenure leases429154,43020,767332
  Leases in perpetuity6,4301,311,258153,11867
  Perpetual leases824,208584..
  Mining district land occupation leases1141,668309..
  Pastoral regulation licences (mining districts)7312,53837354
  Small grazing-run leases149510,71814,830..
  Pastoral-run licences2312,504,72424,553..
  Education reserves: Public Bodies' Leases Act52051,7339,28483
  Occupation with right of purchase licences24711..
  Deferred-payment licences836175,665..33,795
  Miscellaneous licences75341,8675,058..
  Small farm leases50805425..
  Leases under Education Lands Act—    
    Leases16255,88613,654189
    Temporary tenancies1981,083..
  Agreements sale and purchase—    
    Waikato Land Settlement Scheme7759 1,030
  Hanmer Crown leases11228156110
  Cheviot grazing-farm leases1318,5514,364..
  Sundry leases141619047
        Totals, Crown lands15,3726,358,721422,45538,664
Endowment lands—    
  Westport Harbour Board Endowment56611,6312,756..
  Thermal Springs licences6637218..
  sundry other endowments98101,1704,41319
        Totals, tenures under Acts other than the Land Act 194816,1026,471,559429,84238,683
        Grand totals, all tenures39,25615,892,0341,081,953571,399

LEASES AND LICENCES FREEHOLDED.—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 1958-59, 345 leases were freeholded, either for cash or on deferred payments. The area embraced by these leases was 50,324 acres, and the total purchase price £355,689, of which £251,674 was on deferred payments. These figures are a decrease on those for 1957-58, when 371 leases over 95,294 acres were freeholded for a total of £481,275.

Leases and Licences FreeholdedNumberAreaPurchase Price
For cash— Acres£
  Crown lands13919,06798,087
  Endowment lands7565,928
On deferred payments—   
  Crown lands19531,199245,864
  Endowment lands425,810
        Totals34550,324355,689

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 Land Settlement Promotion Act 1952 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. 457).

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 settlement during the year ended 31 March 1959, and from the commencement of the scheme to 31 March 1959; 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 1959From Inception to 31 March 1959
AreaUnitsAreaUnits
ACQUISITIONSAcres Acres 
  (a) Purchased by voluntary negotiation33,231261,324,7812,354
  (b) Compulsorily acquired (Servicemen's Settlement and Land Sales Act 1943 and Servicemen'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 available14,8317710,2512,002
        Totals, aquisitions48,062332,333,8945,377
DISPOSALS    
  1. To Grade “A” Ex-servicemen—    
    (a) Developed units (including substitutions)27,859731,304,4273,340
    (b) Partially developed units....4,18232
    (c) Unimproved units....1,3145
    (d) General land settlement scheme....2,30015
 27,859731,312,2233,392
  2. To Non-graded Ex-servicemen and Civilians    
    (a) Developed units277211,92530
    (b) Partially developed units71146,22528
    (c) Unimproved units650132,63376
    (d) General land settlement scheme5,70039,34722
    (e) Miscellaneous....7,87058
 7,3381068,000214
  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, riverbank reserve, bush reserve, unsuitable for settlement, etc.1,636..108,7194
 1,636 123,12942
          Totals, disposals36,833831,503,3523,648
Land on hand planned for development....830,5421,729

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. Maori freehold land is the land held by Maoris under an ordinary freehold title, deriving, mainly, from the orders made by the Court on the investigation of the customary title.

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.

Since 1954, by virtue of various provisions in the Maori Affairs Act 1953, emphasis has been placed on the need for the improvement of existing Maori land titles by the elimination of small fractional interests and the reduction in the number of owners. The idea behind this is to clear the way for the better use of the land in an attempt to keep Maori freehold land in the possession of the Maoris.

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 50 years.

With regard to Maori freehold land, the Court during 1958-59 approved of new leases comprising 22,925 acres to Europeans and 15,255 acres to Maoris, the previous year's figures being 23,299 and 15,087 acres respectively. It confirmed transfers (apart from sales to the Crown) affecting 11,460 acres of freehold land to Europeans and 3,632 acres to Maoris in 1958-59, the corresponding 1957-58 figures being 18,893 and 4,316 acres respectively. During the year ended 31 March 1959 timber-cutting rights were confirmed by the Court in respect of 28,638 acres.

REMAINING LAND.—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.

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 of the Executive Council representing the Maori race or, if there is no such member, any member of the Executive Council appointed by the Governor-General to be a member of the Board, 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.

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.

A beginning was made in 1958 with the resumption of leaseholds of Maori vested lands by the Maori Trustee, with the ultimate purpose of settling Maori farmers on the blocks that have been resumed. In the North Auckland district two areas totalling 9,149 acres have been taken over and in the Wanganui district an area of 1,029 acres has been resumed and a further 2,921 acres will be added in 1960.

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 the responsibility for 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 is the collection and distribution to owners of rents from most other Maori land leased under Part XXIII of the Maori Affairs Act 1953.

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 1958 and 1959.

£
As at 31 March
 19581959
Assets—  
  Cash213,667212,660
  Investments—  
    Government securities2,214,8902,254,601
    Local authority debentures124,630123,532
    Mortgages, charges, and advances on overdraft937,1341,068,104
  Land, buildings, and miscellaneous116,141119,683
          Totals3,606,4623,778,580
Liabilities—  
  Amounts held for beneficiaries and sundry depositors2,815,9212,909,712
  Reserves and Appropriation Account786,951863,477
  Sundry creditors, etc.3,5905,391
          Totals3,606,4623,778,580

MAORI LAND DEVELOPMENT.—Maori land-development policy is directed to the settlement of Maori farmers on farms which will assure them of a reasonable standard of living based on today's costs and standards; to secure them the best possible tenure for the lands they farm; to assist them to develop the land and to teach them modern methods of farming. The means at the Department's disposal have permitted the development of approximately 10,000 acres of new land and the settlement of approximately 50 fully economic farms annually.

During the year ended 30 June 1959 just over 10,000 acres were developed to permanent grass. Steady progress was maintained in the Northland, Waikato, and King Country areas, but the largest individual area grassed was 1,400 acres of the Tauropaki scheme, near Atiamuri, in the pumice lands area. This scheme now has 5,353 acres in grass, with a further 1,100 acres programmed for grassing, over the next two years.

On many of the older stations the changeover from dry stock to breeding stock was completed and in the Rotorua district alone fifteen stations made profits totalling £86,850 compared with losses totalling £33,503 on the remaining ten stations; this satisfactory position was achieved despite the recession in the wool and lamb prices.

During the year twenty-two unit farms were settled, twenty with leasehold or freehold tenure and two with licences pending the granting of leasehold tenure. In addition, leasehold or secure form of tenure was arranged for seventy-eight settlers who previously had the status of nominated occupiers, i.e., settlers who receive a proportion of farm revenue but acquire no equity in either stock and chattels or improvements. This phase of the work involves a considerable amount of field and administrative research in presentation of facts to meetings of owners called for the purpose of obtaining their agreement by way of resolution to grant tenure in accordance with the policy of the Board of Maori Affairs.

Since the inception in 1931 of Maori land development 2,197 individual farms have been settled and only 1,199 remain under the control of the Department.

The following tables give statistical data on settlers and holdings at 30 June 1959.

At 30 June 1959TokerauWaikato-ManiapotoWaiarikiTairawhitiAoteaIkaroa and South IslandTotal
* The number of farms settled since the inception of Maori land development in 1931 now totals 2,197.
Total area gazettedAcres75,96929,89366,09024,05525,2132,689223,909
  (a) Permanent grassAcres49,99621,32038,47416,62920,5781,875148,872
  (b) Undeveloped but suitable for developmentAcres13,7805,3505,9564,6862,21532532,312
  (c) Unsuitable for developmentAcres12,1933,22321,6602,7402,42048942,725
  (d) Grassed during yearAcres6426951551685401322,332
Capital value£1,806,3341,190,9871,501,282380,311580,36581,5245,540,803
Number of settlersNo.5262002897789181,199
  (a) Subject to close supervision (total)No.28515610554443647
        (i) DairyNo.283106451632455
        (ii) SheepNo.114141823 70
        (iii) MixedNo.1364620181122
  (b) Subject to normal security supervision (total)No.24144184234515552
        (i) DairyNo.239278715135386
        (ii) SheepNo.252747853
        (iii) MixedNo. 12704252113
Units settled during year (total)*No.123....7..22
  (a) LeaseholdNo.31........4
  (b) FreeholdNo.92....5..16
  (c) Nominated occupiersNo.........2..2
Livestock (January figures)—        
  (a) Dairy cowsNo.18,1708,7919,8341,9131,73138040,819
  (b) Other dairy stockNo.10,6805,2414,1911,00481215822,086
  (c) Run cattleNo.3171,1062,6172,0662,0322268,364
  (d) SheepNo.7,48028,66044,40622,91425,96713,950143,377
Production for year—        
  (a) Butterfatlb.3,191,7471,423,7861,870,041311,727352,21466,1947,215,709
  (b) WoolBales1585861,0685476901983,247
Type of tenure—        
  (a) FreeholdNo.2327417285338
  (b) LeaseholdNo.160101186647312596
  (c) Nominated occupiersNo.13425861181265

Statistical data on Maori land development stations at 30 June 1959 are now given.

At 30 June 1959TokerauWaikato-ManiapotoWaiarikiTairawhitiAoteaIkaroa and South IslandTotals
Land Under Part XXIV of Maori Affairs Act 1953Land Under Maori TrusteeGrand Total
StationsNo.331225214385489
Area of stationsAcres46,84228,03574,5414,10048,80119,012196,75824,573221,331
Area in grassAcres29,63615,61547,2313,56124,12812,668115,32317,516132,839
Area grassed during yearAcres2,2482,4212,851..1,175..8,695..8,695
Area undeveloped but suitable Acres for developmentAcres9,0218,5168,27553518,7761,43544,7101,84846,558
Area unsuitable for developmentAcres8,1853,90419,03545,8974,90936,7255,20941,934
Planned subdivisions—total farmsNo.13578232..844533..533
SheepNo.39,65235,471110,1225,42149,62316,751231,15925,881257,040
Run cattleNo.5,2583,84015,5267475,3022,13629,6293,18032,809
Dairy cattleNo.2,749..........2,749..2,749
Gross revenue year ended 31 March 1959£124,775229,977462,0497,569212,82317,5671,054,760..1,054,760

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 of the Department of Lands and Survey, 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.

The period between 1906 and 1939 saw steady progress in land survey operations. In 1911 the first four of the baselines for the development of the overall geodetic triangulation of the country were measured in the North Island. These operations continued intermittently until 1946, when this monumental task was completed. It was fortunate that this geodetic control was sufficiently advanced to enable the topographical maps produced during the war period 1939-45 to be coordinated in terms of an overall military grid.

Immediately on the outbreak of war the Army requested the Department of Lands and Survey to undertake the responsibility for the production of military maps. At the end of the war half of the country had been mapped for military purposes.

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.

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.

AERIAL SURVEY AND TOPOGRAPHICAL MAPPING.—Prior to the Army demand for military maps the Department of Lands and Survey had in 1936 set up a small photogrammetric unit equipped with two small stereo plotters capable of plotting topographic detail from vertical aerial photographs. An area had been photographed by the R.N.Z.A.F. in the Haw Bay district in 1935, and by 1939 the first topographical map of the national 1 mile to an inch series produced. On the outbreak of the war an overall contract was entered into by the Army with a private operating company for a complete photographic coverage of New Zealand to be carried out in accordance with priorities fixed by the Department.

Gradually greater use was made of aerial photographs as a basis for topographical map production. The private company has continued to supply all the aerial photographic requirements of all Government Departments, orders for the supply of which are coordinated and issued by the Department of Lands and Survey. An up-to-date and well-equipped photogrammetric branch is now capable of producing any type and scale of topographic map or plan.

The responsibility for the production of all aeronautical charts for R.N.Z.A.F. and civil aviation purposes is also a permanent function of the Department of Lands and Survey. Assistance is also given to the hydrographic branch of the Navy Department in the establishment of shore beacons for the control of the offshore hydrographic survey at present being carried out by the Navy Department.

The benefits derived from the civil use of the military maps produced during the war period has created an increasing demand for topographical maps of all scales for land development, forestry, engineering, geological and soil survey, and other governmental purposes. New cartographic techniques have revolutionized the production of better and more varied scales and types of maps. In consequence it can now be claimed that New Zealand has a mapping organization that compares more than favourably with other overseas mapping agencies.

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.

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 two hundred and twenty 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:

    1. Survey District Series—1 inch to 1 mile.

    2. County Series—1 inch to 1 mile.

    3. Town Map Series—At various scales from 40 inches to 8 inches to 1 mile.

  3. TOPOGRAPHICAL MAPS.—The following medium and large scale maps are published:

    1. 1:63,360—1 inch to 1 mile.

    2. 1:25,000.

    3. 1:15,840—4 inches to 1 mile.

    4. 1:10,000 to 1:20,000—Street maps of towns.

    5. 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—

    1. Aerodrome approach and landing charts.

    2. Plotting charts at scales 1:1,000,000 and 1:3,000,000.

    3. Aeronautical charts 1:500,000 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 are being assessed for the ordinary rating roll. The values are generally revised at five-yearly intervals.

A heritage of the days of independent valuations by local authorities is the provision by which they can rate on the annual (rental) values of properties within their areas, these values being assessed by the local authorities' own valuers. The annual value is defined as the rent at which a property would let from year to year reduced by 20 per cent in the case of houses, buildings, and other perishable property, and by 10 per cent in the case of land, but it may not be less than 5 per cent of the value of the fee simple. A new valuation roll in this regard is prepared either annually or triennially.

CAPITAL AND UNIMPROVED VALUES OF LAND.—General valuations of land for the whole of New Zealand were made periodically up to the year 1897-98. Since that year no general valuations for the whole country have been made, but portions are revalued from time to time. As previously mentioned, however, it is now provided that every revision of a district valuation roll 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

£(000)
At 31 MarchCapital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)
187899,56762,574
1885113,271..
1888111,13875,497
1891122,22575,832
1897138,59184,401
1902154,81694,848
1905197,684122,937
1907236,645149,683
1909271,516172,760
1911293,117184,063
1913340,560212,963
1915371,077230,705
1916389,165241,322
1917405,466251,088
1918421,383260,922
1919445,533275,988
1920470,094290,880
1921518,584317,631
1922544,503329,174
1923553,404330,791
1924568,501333,870
1925587,350339,310
1926603,250341,048
1927618,264341,519
1928631,455335,217
1929655,907344,758
1930664,571338,887
1931667,911331,635
1932662,829321,799
1933653,708314,556
1934650,362309,770
1935637,604301,138
1936635,802295,696
1937632,230287,845
1938636,363282,326
1939652,899282,806
1940660,524278,881
1941673,118277,542
1942681,922276,885
1943684,181276,881
1944688,795277,039
1945697,366277,495
1946710,425279,214
1947746,412284,274
1948796,038291,617
1949889,268307,152
1950985,880324,465
19511,112,747349,160
19521,314,879394,228
19531,532,358449,814
19541,702,727487,125
19552,068,313579,128
19562,306,585644,410
19572,496,337697,540
19582,677,250751,129
19592,832,252805,299

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 conditioned by 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
1955129578,840172,579245,17988,067824,019260,646
1956125651,197189,604305,943110,951957,140300,555
1957122688,744199,839348,490125,5761,037,234325,415
1958121748,843216,519382,137139,1131,130,980355,632
1959121803,199233,712405,664148,4441,208,863382,155
Boroughs
1955146893,123231,573343,14085,6391,236,263317,212
1956145981,919255,608356,56186,5081,338,480342,116
19571431,054,113275,633395,28094,9951,449,394370,629
19581431,115,079293,589421,906100,5471,536,985394,136
19591431,167,280314,657446,487107,0921,613,767421,749
Independent Town Districts
1955196,0071,0302,0242418,0311,270
1956208,1311,4472,83429210,9651,739
1957177,4411,3072,2691899,7101,496
1958166,8171,1572,4672049,2841,361
1959167,0931,1902,5292059,6221,395
Grand Totals
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 1,093,872313,896438,486135,9171,532,358449,814
1954 1,223,171342,660479,556144,4651,702,727487,125
1955 1,477,970405,183590,343173,9462,068,313579,128
1956 1,641,247446,658665,338197,7522,306,585644,410
1957 1,750,298476,779746,039220,7612,496,337697,540
1958 1,870,739511,266806,511239,8642,677,250751,129
1959 1,977,571549,558854,681255,7412,832,252805,299

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 1959.

£(000)
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)
Counties727,793221,217376,907142,9121,104,700364,130
Boroughs1,048,947284,676399,39997,8701,448,345382,547
Town districts (independent)6,0111,0112,2431888,2541,198
        Totals1,782,751506,905778,549240,9702,561,299747,875

The next table shows the percentage distribution of area and population as at 1 April 1959, and of rateable property values between the different types of local authority districts as at 31 March 1959.

Local Authority DistrictAreaPopulationRateable Property Values
Capital ValueUnimproved ValueValue of Improvements
*Less than 0.05 per cent.
Percentage Distribution
Counties99.536.743.148.740.8
Boroughs0.562.856.651.158.8
Town districts (independent)0.0*0.50.30.20.4
        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—GENERAL PRODUCTION

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. In addition to this major series of revisions, minor amendments are made from time to time, as is necessary with this type of series, with some new sources of information becoming available and others ceasing.

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”, 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 items included in the pastoral group are wool production, livestock slaughterings, and changes in numbers of livestock on farms.

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, arising from higher or lower prices realized for wool carried over and sold in a subsequent season. Deductions have been made to cover the cost of transport of wool to selling centres; the Wool Board levy; brokers' commissions and other charges for receiving into store, cataloguing etc.; and for such services as binning, reclassing, and skirting when performed by brokers.

The value of livestock slaughtered has been assessed on the basis of live values at freezing works, and as such includes the returns from wool on slaughtered animals and from by-products. Deductions are made to cover the cost of transport from farm to works, saleyards, etc., and of commission on sales of livestock. The value of store stock or young lambs sold by one farmer to another is counted only once - that is, when sold for slaughtering as fat stock. In the 1955 revisions referred to earlier, slaughterings during years ended 30 June were substituted for the figures for years ended 31 March as used hitherto.

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 twenty-one production seasons from 1938-39 onwards, which is as far back as the main series of recent 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 YearAgriculturalPastoralDairying, Poultry, and BeesAll Farm Produce
ValuePer CentValuePer CentValuePer CentValuePer Cent

*Revised from previous year.

†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
1950-5120.87198.46871.425290.6100
1951-5223.511112.95182.538218.9100
1952-5324.49143.35593.736261.5100
1953-5427.010153.95692.034272.9100
1954-5527.410161.95792.233281.5100
1955-5627.410153.55596.835277.7100
1956-5726.19182.35999.0*32307.4*100
1957-5825.9*9*169.4*57102.034*297.3*100
1958-5927.810162.75792.333282.8100

The changes in gross farming income and its component groups are shown in the following diagram.

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

* Revised from previous year.

†Provisional.

1938-39100100100100100100100100
1939-4011611910298110107107104
1940-41124126122111119115121115
1941-42137128120110114109120111
1942-43160139121105110102121107
1943-4417314812610610896124106
1944-45198160149113130105146115
1945-4619214214111211892137107
1946-47192152164110144102159111
1947-48210144215115167104194114
1948-49236156223113188113209118
1949-50251150322123206117263123
1950-51251153642124230123415127
1951-52283148365124266123312126
1952-53294143464130302130373132
1953-54325155498136297123389132
1954-55330150524141297125402135
1955-56330148497143312130396138
1956-57314158590146319130439140
1957-58312*153*548*160329138*424*149*
1958-59335160527174298137403156

Over most of the period reviewed in this table the general upward movement in prices has resulted in the value series out-stripping the volume series. For the last two years, however, with falling prices, total value has decreased in spite of the continued rise in volume. 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 twenty-year period between the earliest and latest years shown, the annual increase in the volume series has been 2.2 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 other stocks 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. As the production years do not cover identical twelve-monthly periods, 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. The value of changes in number of livestock on farms is, on account of the complexities otherwise involved, wholly applied to 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 three 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 1955-561956-57 to 1958-59
Agricultural—      
  From exports12918121513
  From New Zealand consumption889182888587
        Totals100100100100100100
Pastoral—      
  From exports788186848482
  From New Zealand consumption221914161618
        Totals100100100100100100
Dairying, poultry, and bees—      
  From exports726865696461
  From New Zealand consumption283235313639
        Totals100100100100100100
All farm produce—      
  From exports666767717069
  From New Zealand consumption343333293031
        Totals100100100100100100

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 the gross farming income series appearing on the preceding pages, 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. Shorn wool is valued (as described under Gross Farming Income) at the average prices realized at sales for each season. This includes the value of wool purchased by the Wool Commission, as such purchases are included (once only and not when re-offered for sale by the Commission) in computing these average prices.

In classifying the value of production into the principal groups duplication has generally been avoided, 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. However, no deductions have been made for some major inputs into the primary industry groups—e.g., of fertilizers into farming.

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 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 under “Factory” in cases where the materials are produced in New Zealand and are not already included as production in some other group.

The 1955 and later 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.

† Revised from previous year.

‡ 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
1956-5726.2215.8107.8349.818.92.921.1169.560.1622.3
1957-5826.1203.0111.7340.818.63.022.8188.367.3640.8
1958-59329.8329.846.9202.367.4646.4

Taken together the farming groups outweigh all others so that the all-groups aggregate reflects largely the movements in these groups. Prices of primary products, particularly of wool, have been major factors influencing movements in the all-groups aggregate in recent years. However, in spite of the falling prices for these products over the past two years, the all-groups figure has continued to rise, on account of the increases in factory production.

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. Volume of Government civil construction is assessed from a consideration of the numbers of men engaged, with allowances for changes in working hours and increasing mechanization.

Items not included in the computations, mainly factories too small for the regular annual collection of factory production statistics, and non-Government civil construction, are not considered to have a significant effect on year-to-year movements in total physical production.

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.

† Revised from previous year.

‡ 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
1953-54308.1390132131.2430211518.6389152
1954-55319.2404135151.4496235565.1424164
1955-56318.5403138163.5536250581.6436169
1956-57349.8442140169.5556253622.3467171
1957-58340.8431149188.3617273640.8481183
1958-59329.8417155202.3663285646.4485190

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

* Revised from previous year.

† 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
1956-572,206622.3282.1467342171125
1957-58*2,259640.8283.7481344183131
1958-592,311646.4279.7485339190133

Chapter 20. SECTION 20—FARM PRODUCTION

20 A—GENERAL

NEW ZEALAND is largely 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 1959 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 5,973,000 cattle (of which 1,931,000 are dairy cows in milk) and nearly 47,000,000 sheep. After allowing for 9,500,000 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 270,000 acres, and green fodder and root crops for winter and summer supplementary feed for stock, 770,000 acres. In addition, a further 78,000 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. Here farmers have exploited the use of certified strains of grasses and clovers, phosphatic fertilizers, lime and trace elements. However, with the advent of mechanization, and, more particularly, the use of aircraft for top-dressing hill pastures, considerable areas of surface-sown grassland have been top-dressed in recent years. This treatment of country otherwise inaccessible to normal top-dressing methods, coupled with oversowing of grass, is resulting in considerable improvement to hill pasture, with a consequent increase in carrying capacity and production.

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 105,000 electric motors, which is 72 per cent of the total number used on farms in New Zealand. About 97 per cent of the dairy cows in New Zealand are machine milked.

The North Island.—Many parts of the North Island have proved very suitable for dairying because of the temperate climate, a fairly high rainfall well distributed over the year, and land reasonably flat and of average to good quality. 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.

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 capable of development 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 88 per cent of New Zealand's wheat, oats, and barley acreage is 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.—The total butterfat production “at the pail” during the 1958-59 dairy season is estimated to have amounted to 555-4 million lb., a decrease of 1.3 million lb., or 2.2 percent, on the 1957-58 record figure of 556.7 million lb.

The quantity of butterfat used for manufacturing purposes in 1958-59 is estimated at 489 million lb., compared with 491 million lb. processed by factories during 1957-58 and 472 million lb. processed during the previous 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.
 Million lb.(000)lb.
1949-504711,850252
1950-514951,898259
1951-525021,906262
1952-535351,962271
1953-544961,999247
1954-555061,995252
1955-56529*263
1956-575231,998261
1957-585571,967282
1958-595551,931288

The next table shows the estimated production and utilization of butterfat during each of the last five seasons.

Million lb.
Utilization1954-551955-561956-571957-581958-59

* Includes small quantities of creamery fat used in whey buttermaking.

† Including residual fat in skim milk from home separation.

Creamery buttermaking*344.6370.5367.2397.5403.6
Cheesemaking91.086.384.185.676.9
Whole milk products6.66.66.26.16.5
    Total442.2463.4457.5489.2487.0
Residual fat in skim milk products1.31.61.82.22.3
    Total processed by dairy factories443.5465.0459.3491.4489.3
Consumed as milk, cream, or ice cream44.645.646.347.748.6
Farm butter0.40.20.20.20.2
Fed to stock12.112.412.011.911.8
Wastage5.05.35.25.55.5
    Total production “at pail”505.6528.5523.0556.7555.4

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
1954-551955-561956-571957-581958-59
Butterfat received into factories from farms and used for—     
  Buttermaking77.980.080.381.382.9
  Cheesemaking20.618.618.417.515.8
Whole milk products1.51.41.31.21.3
      Totals100.0100.0100.0100.0100.0

The manufacture of butter during the 1958-59 season reached new record levels, being 1.6 percent greater than during the previous season. Cheese manufacture decreased, being 12.0 per cent below the previous season's output. The manufacture of condensed and whole-milk products increased by 1.6 per cent and the production of buttermilk powder increased by 4.3 per cent. Skim-milk powder decreased by 11.9 per cent whilst the production of casein continued to expand and reached the new record level of 27,076 tons, an increase of 20.3 per cent above the previous season's output

Production by dairy factories during the last five seasons is set out in the following table.

Tons (000)
1954-551955-561956-571957-581958-59
Creamery butter186.7200.0198.2215.1218.6
Whey butter3.13.03.03.02.9
Cheese102.296.394.696.685.0
Condensed and powdered whole milk16.714.715.513.613.8
Skim-milk powder31.235.350.646.140.6
Buttermilk powder9.712.514.115.816.5
Casein11.314.613.822.527.1

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 1956-57 season (=1000).

1954-551955-561956-571957-581958-59
Creamery butter9421009100010851103
Whey butter1033100010001012956
Cheese1081101910001021899
Condensed and powdered whole milk10829511000878892
Skim-milk powder6166981000911802
Buttermilk powder690888100011201168
Casein8201054100016281958
Butterfat processed by factories9661012100010701065

The following diagram shows the progress of the dairy industry during the last forty years.

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 the 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 Dairy Products Marketing Commission, the Dairy Industry Loans Council, 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 dairy produce—i.e., milk, cream, butter, cheese, and any other product of milk or cream—intended for sale for human consumption within New Zealand or for export.

Inspectors are empowered to inspect premises used for the production or manufacture of dairy produce. Any defects affecting the cleanliness and sanitation of the premises, or of the plant, machinery, and apparatus used in connection therewith, may be ordered to be remedied to the satisfaction of the inspector, and until so remedied their use in the production of dairy produce may be forbidden. Inspectors are authorized to condemn any dairy produce considered unfit for human consumption, and the sale of unwholesome milk or other dairy produce is prohibited.

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, 1958, and 1959 shows the total carcase weight of meat to be 669,900, 687,700, and 738,100 tons respectively. The following table shows in summary form production and disposal of meat for the years 1953-54 to 1957-58. Carcase meat is shown at bone-in weight.

Thousand Tons
1953-541954-551955-561956-571957-58
Production,
Beef178.1202.1236.5240.2244.9
Veal20.723.424.826.323.4
Mutton129.4137.9141.0125.7121.4
Lamb198.4208.0210.7209.7231.4
Pig meat—
  Porker18.814.414.314.012.8
  Baconer16.821.923.320.623.1
  Chopper2.12.52.82.62.2
Total carcase meat564.4610.2653.4639.1659.1
Edible offal24.227.028.430.828.6
          Total production588.6637.2681.7669.9687.7
Disposal
Exports to United Kingdom304.6398.8439.0428.8441.8
Other exports44.7
Ships' stores
For canning33.319.818.314.28.7
Local consumption205.9218.5224.4226.9237.1
        Total production588.6637.2681.7669.9687.7

Meat consumed in New Zealand during 1957-58 represented approximately 34 per cent of total production. The total consumption per head at 227.9 lb., is a decrease of 1.4 lb. per head on the previous year. 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
1955-561956-571957-581955-561956-571957-58
 Thousand Tonslb.
Beef101.8106.0107.9105.0107.0106.4
Veal5.96.46.96.06.46.8
Mutton69.367.767.571.568.466.5
Lamb8.47.99.98.78.09.8
Pig meat—
  Porker10.410.010.410.710.110.3
  Baconer19.418.618.120.018.817.8
  Chopper2.11.72.22.21.72.2
Total carcase meat217.3218.4222.9224.1220.4219.8
Edible offal9.08.98.39.38.98.1
          Grand totals226.3227.2231.2233.4229.3227.9

The 1958-59 production figures, with consumption figures in parentheses, were : beef 213,400 (96,200) tons; veal 22,900 (6,200) tons; mutton 168,400 (79,800) tons; lamb 255,400 (12,400) tons; pig meat 43,600 (35,100) tons; offal 34,500 (10,000) tons; total 738,100 (239,600) tons.

Details of sources of supply for local consumption in 1957-58 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 Slaughter-housesFarmsTotal
Beef65.15531.38910.623735107.902
Veal3.8002.912661086.886
Mutton28.49622.2363.90112.85967.492
Lamb2.6896.1081189849.899
Pig meat—
  Porker5.3694.25948232510.435
  Baconer3.12214.852..13418.108
  Chopper5941.604....2.198
Total carcase meat109.22583.36015.19015.145222.920
Edible offal3.1194.549597..8.265
          Totals112.34487.90915.78715.145231.185

The following table shows the numbers of the different classes of livestock slaughtered for food during each of the last eleven September years. The figures are for total killings—i.e., they include export works, abattoirs, rural slaughterhouses, and an allowance for killings on farms.

LIVESTOCK SLAUGHTERINGS

Carcases (000)
Year Ended 30 SeptemberSheepLambsCattleCalvesPigs
19494.83812.3746621.204674
19505.00012.7956931.275677
19514.43311.6946921.311707
19525.92212.4157431.311685
19535.63212.3006521.236740
19545.46713.3247801.330760
19555.73313.9929001.435778
19565.88614.8071.0001.406816
19575.19914.3021.0451.404748
19585.06915.8791.1061.314768
19597.40318.3509631.222883

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 1959 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.

To regulate and control the marketing of bobby calves, 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.

WOOL PRODUCTION.—Although about fifth in order in actual size of flocks, New Zealand holds third place in the world as a producer of wool, and second place as an exporter. New Zealand specializes in the production and export of crossbred wool. 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. From then until 1957-58 local consumption ranged between 11,000,000 lb. and 13,500,000 lb., rising to 14,200,000 lb. in 1958-59.

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 last eleven seasons.

Season Ended 30 JuneTotal Wool Production (Greasy Basis)Average Price Per Pound (Greasy Basis)Estimated Value of Total Wool Production
 lb.(million)d.£(m.)
194936725.8139.5
195039037.9861.7
195139087.84142.7
195240740.1968.2
195341846.1980.4
195442650.2589.2
195545549.6794.2
195646246.1988.9
195749154.76112.0
195849641.1685.1
195954036.0781.2

On account of lack of information on changes in stocks of wool on farms, the above figures of production should not be taken as precise measures of actual production in each season.

An analysis of wool sold at New Zealand auctions, according to quality groups, is given in the following table.

Quality Group1954-551955-561956-571957-581958-59
BalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total Sales
60-64's and up15.7901.617.5371.719.1741.715.4201.413.6671.1
60's11.2651.110.4961.011.8341.311.6681.110.4720.9
58-60's, 58's, and 56-58's98.2709.996.4579.5101.7979.595.3858.789.2697.4
50-56's and 56's132.32613.3127.42212.7131.04112.5125.35011.4116.5839.7
52's68.5346.968.2216.873.6077.065.1685.950.2034.2
50's139.77514.1145.71014.5158.76915.0145.35713.2147.95912.3
48-50's176.47517.7174.37617.3167.43116.0151.70013.8187.04915.6
46-50's and 48's252.99425.4268.59926.7289.88327.5326.25829.7377.68731.5
46-48's79.7668.079.8087.982.7087.8111.24110.1150.53812.6
46's and lower20.3112.019.0811.919.4191.751.4264.756.9094.7
        Totals995.506100.01.007.707100.01.055.663100.01.098.973100.01.200.336100.0

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, and with the New Zealand Meat Producers Board and the New Zealand Dairy Board. 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 Wool Industry Act authorizes a levy on all wool produced in New Zealand, the rate of the levy to be fixed each season by the Board. Under the Wool Commission Act, payment of this levy is at present suspended, the expenses of the Board and of the Commission being met, half from a charge imposed by regulation under that Act on all wool exported or used in New Zealand, and half from a special reserve account held by the Commission. The charge over the past few years has been 3s, per bale, with an equivalent amount, being released from the reserve account, and was raised to 4s. per bale as from October 1959.

References to the activities of the Wool Commission set up under the Wool Commission Act 1951 are to be found on pages 539 and 542.

DEPARTMENT OF AGRICULTURE.—The Department of Agriculture has existed as a separate Department since 1892. 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 six Divisional Directors of Animal Industry, Animal Research, Dairy, Farm Advisory, Horticulture and Administration.

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 Farm Advisory 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 Farm Advisory Division is concerned with research and advisory work in soil management, crop and pasture production, and farm management. A field staff of farm advisory officers 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, soil conservation, farm management and economics, 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; and the following soil-conservation demonstration farms and areas: Waerenga-o-kuri, Tangoio, Makara, Cannock, Wither Hills, Moutere Hills, Adair, Tara Hills, Mid-Dome, Lake Cameron, and Oruanui.

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.

Microbiologists at the Bureau are making a survey of all soil micro-organisms and have isolated a fungus which has been found to be the cause of facial eczema disease in sheep. This discovery should not only facilitate control of this serious disease but also suggest a new method of approach to many animal nutrition and health problems.

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 Wool Industries' Research Institute studies all aspects of wool manufacture, the Meat Research Institute studies problems affecting the meat industry, 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 building, 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. The Hop Research Station has recently developed two new hop varieties of improved quality and good yield, and with effective resistance to the serious disease, root-rot. Effective control has been secured over a wide range of plant diseases. Ball smut and loose smut of cereals have almost disappeared, dry rot of brassicas has materially lessened, and blast of stone fruit has been controlled. 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 Grasslands and Crop Research Divisions has resulted in the development and expansion of a profitable farm-seeds industry. 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 to lead the world in grassland farming, and raise its per-acre yield of meat and dairy produce. Research leading to successful pasture establishment on pumice soils of the central North Island has greatly increased production in this area. Rape and turnip seed, hitherto imported from overseas, are 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.

The Wheat Research Institute, in collaboration with the Crop Research Division, has been responsible for improvement in wheat, flour, and bread quality by breeding several new varieties of wheat specially suited for local conditions. The latest variety developed, Aotea, has shown an increase in yield of more than 20 per cent over Cross 7, which was itself an improved variety developed 20 years previously. This advance in yield has been achieved without loss of baking quality. The Institute has also devised methods of utilizing sprouted wheat and of controlling the vitamin B content of flour.

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.

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.

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.1956-571957-581958-59
* Refer text of following paragraph.
Carriage of lime455.632*401.112*325.306*
Stock Act: compensation and incidental expenses65.394117.914127.113
Compensation for loss of production, ex-gratia payments for hardship from compulsory tuberculosis test38.89764.98167.854
Meat Act: compensation15.20316.28315.556
Grants to Agricultural Colleges215.645228.393230.826
Subsidies to Rabbit Boards500.958528.391508.496
Grants to Rabbit Boards247.000250.000180.000
Cow-testing organizations35.58335.46126.583
Destruction of wild pigs1.448....
Destruction of kea221333105
Veterinary Services Council50.00050.00050.000
Nassella Tussock Act: subsidies to Boards27.45023.59269.174
Noxious Weeds Act: subsidies to County Councils and Road Boards27.39526.71437.912
Compensation and incidental expenses to control outbreaks of scrapie disease17.73210.8245.000

In regard to the carriage of lime there was an agreement between the farmers' organizations and the Government that certain proportions of the subsidy paid could be recovered from the various stabilization or reserve accounts of the farming industry. The total amount recovered in each of the three (July) years was £412,966 in 1956-57, £387,729 in 1957-58, and £311,203 in 1958-59.

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.

Lime usage reached a peak of 1,535,000 tons in 1954, but receded to 1,337,000 tons in 1956, 1,174,000 tons in 1957, and 1,046,000 tons in 1958 (calendar years). The main factor in the decline is thought to be the growing use of the trace element molybdenum in partial substitution for heavy liming in some areas.

The cost of the lime transport assistance scheme dropped from £455,632 in 1956-57 to £401,112 in 1957-58 and to £325,306 in 1958-59. The cost was 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. As a result, however, of the exhaustion of the Dairy Industry Account no recovery was made from the Dairy Industry Account for its 15 per cent share of 1957-58 and 1958-59 costs, the Government paying both its share and the Dairy Board's share. In 1959 the Dairy Board and the Meat Producers Board informed the Government that they were discontinuing their contributions to the subsidy. The system which had operated from 1947 therefore ceased on 30 November 1959.

Since 30 November 1959 a subsidy on lime transport has been paid to farmers applying lime to newly developed land which has not previously been limed and which is cultivated and sown for the first time; or, if it cannot be cultivated, which receives its first dressing of lime. Farmers pay full transport costs and are entitled to claim a refund from the Department of Agriculture.

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.

Rabbit Boards.—In the post-war years a determined effort has been made to rid the country of rabbits which were lowering the carrying capacity of farmland and causing a loss of production running into many million pounds in value annually. Rabbit-infested areas were brought under rabbit board control. In 1948 there were 47 boards in the South Island and 61 in the North Island covering 18 million acres. By 1959 there were 146 South Island and 62 North Island boards covering 35 million acres. Rabbit board rates paid by some 30,000 farms are subsidized by the Government, which also makes grants to rabbit boards. Good progress has been made towards the eradication of the rabbit and this goal is now in sight in many areas.

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, 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, in certain cases.

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 (as at 1950)
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.

Since 1950 there have been changes in county structure which have affected the boundaries of regional areas and these will be taken into account when the classification of holdings is revised; relevant changes are the absorption of Eden County into Auckland City, of Weber County into Dannevirke County, of Whangamomona County into Stratford County, of Castlepoint County into Masterton County, and the partition of Kawhia County between Otorohanga and Waitomo Counties.

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 premium 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 Plateau2842.2664419921136931131147203.309
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; 1955, 62,137; 1958, 73,499; 1959,75,291.

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. 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.

Agricultural Tractors.—During the fifteen years from 1942 to 1957 the number of agricultural tractors employed on holdings of 1 acre and over outside borough boundaries rose from 13,967 to 71,456. These figures do not include rotary hoes or garden tractors, which showed an increase from 813 in 1942 to 4,380 in 1952.

The number of holdings on which tractors were located in 1952 was 38,434 out of a total of 90,288. 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.

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 a substantial proportion of wheat requirements has been imported.

Local 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 the North Island, 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 relative place of vegetable growing in agricultural production cannot be accurately measured (a considerable 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 1958-59, 66 per cent of New Zealand's wheat yield, 47 per cent of the oats threshed, and 76 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 1958-59, 63 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 and Hawke's Bay districts are famed for their apple orchards, a high percentage of the crop from these districts normally being exported. Central Otago is well suited to the growing of stone fruits, notably apricots. Hawke's Bay and Nelson are also noted for their peach production; special mention may be made of citrus culture in Tauranga and North Auckland.

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 Holding
With SheepWith DairyingWith BeefWith Horse RaisingWith PoultryWith HorticultureWith Mixed Farming
* For details of counties included see page 502.
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........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........422275
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. The area-unit sample was selected for farms of under 2,000 acres, and all farms of 2,000 acres and over were automatically added to the 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 to 1958-59. Estimates have been made of areas of wheat, oat, barley, pea, and potato crops for the 1959-60 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 1958-59 season and the percentage area in each land district are given in the following table.

Name of CropAreaLand District Percentages
North AucklandSouth AucklandGisborneHawke's BayTaranakiWellingtonNorth IslandMarlboroughNelsonWestlandCanterburyOtagoSouthlandSouth Island
For threshing—Acres              
  Wheat132.913..0.1..1.50.15.57.22.30.1..65.114.211.192.8
  Oats34.011..0.10.10.6..1.92.71.20.3..56.216.123.597.3
  Barley53.620..0.30.52.9..10.013.73.04.5..74.04.60.286.3
  Maize6.6127.123.563.06.2..0.2100.0..............
  Peas26.0800.10.10.32.1..11.514.111.81.0..63.46.63.185.9
For chaff, hay, or silage—
  Oats23.4462.67.00.72.13.38.424.13.81.60.732.218.918.775.9
  Grasses, clovers891.63414.338.91.93.410.38.477.21.01.80.69.35.05.122.8
  Lucerne136.5480.78.20.54.00.72.516.62.61.2..49.922.47.383.4
Green fodder—
  Oats36.1381.41.30.73.71.06.214.35.61.80.455.718.43.885.7
  Rape143.2230.81.20.24.20.14.911.42.40.60.149.323.512.788.6
  Kale (including chou moellier)145.0882.712.90.617.13.624.461.31.20.90.114.010.611.938.7
Wheal, barley, and maize for chaff, hay, silage, or green fodder18.1596.514.53.09.02.611.847.47.510.00.123.410.310.352.6
Root crops—
  Swedes182.6931.114.20.62.33.36.127.60.41.00.711.821.237.372.4
  Turnips215.7684.013.20.92.81.36.028.21.11.91.243.112.212.371.8
  Turnips and rape45.7490.41.40.12.20.12.87.01.50.70.132.319.538.993.0
  Potatoes23.79614.0502.17.21.015.644.91.34.8..40.55.43.155.1
Grasses, clovers, and lucerne for seed173.4380.40.50.95.20.1301013.91.5..62.511.110.989.9
Orchards20.29219.59.32.619.50.32.453.62.719.16.15.818.30.446.4
Market gardens13.32830.35.62.811.10.616.466.82.09.4..13.48.20.233.2
Vegetable crops for processing13.7525.82.811.051.8..0.772.10.710.2..14.42.6..27.9

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 Bushel
Wheat60
Oats40
Barley50
Maize56
Peas60
Ryecorn56
Beans65
Grass seed20
fruitWeight of Bushel
Apples40
Pears38
Quinces40
Peaches42
Nectarines42
Apricots42
Plums42
Cherries42
Oranges42-43
Lemons (uncured)42

AREA UNDER CULTIVATION.—A general summary of the areas under cultivation during each of the last eleven years is given in the following table. The statistics quoted in this and other tables in this subsection relate to holdings of 1 acre or upwards outside borough boundaries.

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.

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
1957-5816.561.6882.296.429906.21920.518173.378100.08620.058.318
1958-5916.614.0712.344.175921.86420.292138.05499.12320.137.579

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 1953-54 to 1958-59.

Acres
Crop1953-541954-551955-561956-571957-581958-59

* Including turnips and rape mixed.

† Excluding wheat, oats, barley, maize, and peas fed off.

‡ No available.

§ Included under “other crops”.

|| Rape, kale, and chou moellier only.

Wheat115.875108.61768.31586.254135.583
Oats75.681101.742136.31987.26093.595
Barley75.09452.29169.20675.34263.587
Maize8.5038.26710.43911.39812.134
Peas for threshing30.88929.50625.23924.75931.87626.080
Linseed2.8227.741§§§
Linen flax1.886304555685774761
Potatoes21.65121.37317.66522.51924.04723.796
Turnips and swedes*474.966504.728443.952429.386444.210
Mangolds2.0102.052§§§
Onions1.2981.6161.4421.3631.3991.305
Tobacco3.1013.104§§§
Green fodder309.643306.258269.919||277.748288.311
Grasses, clovers, and lucerne for seeds153.910189.187274.643209.669173.438
Grasses and clovers for hay or silage680.523691.6621.001.371920.341865.699891.634
Lucerne for hay or silage89.09793.958137.908145.115136.548
Other crops13.72919.21746.82150.46253.193
          Totals2.060.6782.141.6232.427.1892.296.4292.344.175

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 additional 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
 AcresAcresAcresAcresAcres
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
1957-5883.93629.98165.8816.34631.876
1958-59132.91334.01153.6206.61226.080
1959-60*161.00033.00062.00026.000
  Total Yields   
 BushelsBushelsBushelsBushelsBushels
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
1957-583.727.1171.460.1493.552.229302.6181.046.847
1958-596.038.8221.575.7552.661.090378.908829.852
1959-60*8.462.0001.767.0003.368.000
  Yields Per Acre   
 BushelsBushelsBushelsBushelsBushels
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
1957-5844.4048.7053.9247.6932.84
1958-5945.4346.3349.6357.3131.82
1959-60*52.0053.0054.00

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, rape, and kale. 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 held pride of place in the area grown for grain between 1941 and 1957. In the 1951-52 season second and fourth places were taken by Fife Tuscan and Tainui respectively, the former bred by the Wheat Research Institute, the latter selected by them from an importation.

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 was further increased to two shillings per bushel from the 1957-58 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, was first grown on a commercial scale in the season 1958-59.

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. 83,936 acres were threshed in 1957-58.

With an immediate target of 150,000 acres the Government increased the price of wheat grown in the South Island by 2s. a bushel and in the North Island by 6d. a bushel from the 1958-59 season. Current prices are 13s. 6d. a bushel in the South Island and 14s. 6½d. in the North Island. The introduction of these prices was attempt to reduce the steadily increasing wheat imports which over the three years ended 1958 averaged 10,080,000 bushels annually.

As a result of the increase in the overall price of wheat, combined with the release of Arawa and later Aotea varieties, and also the drop in the fat lamb prices, the acreage threshed increased by 49,000 acres, from 83,936 acres in 1957-58 to 132,913 acres in 1958-59, and it is estimated that there was a further rise in the acreage planted in the 1959-60 season of nearly 30,000 acres.

The following diagram shows the fluctuations that have occurred in the area sown in wheat during the last 32 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 9 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 3,900,000 bushels, while imports over the same period have risen to an annual average of 9,300,000 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. Changes in the total amount of each variety of wheat handled for milling by the Wheat Committee are useful in the appraisal of the importance of individual wheats. The figures now given are based on approximately 45 per cent of the wheat harvested.

Variety for MillingPercentage of Total Production*
195619571958
* Excluding sales for feed and seed.
Arawa1.4619.0543.91
Cross 768.5960.3032.09
Hilgendorf3.833.0010.82
Tainui5.547.995.14
Gabo0.020.704.93
Dreadnought11.834.170.84
Fife Tuscan3.502.150.78
Yielder3.441.800.68
Tuscan0.790.190.59
Atle0.230.320.11
Hunters0.570.110.03
Marquis0.170.110.03
Hybrid 46..0.110.03
Aotea....0.02
Jumbuck0.03....

OATS.—The area under oats declined steadily after the Second World War, the greatest decrease being in oats for chaff, hay, and silage. This decline resulted largely from the replacement of horses by tractors. During the five years 1944-45 to 1948-49 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 1950-51 to 1954-55 the comparable figures were 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., fluctuates between 46 and just over 54 bushels, depending on seasonal conditions.

It is estimated that some 33,000 acres will yield an expected 1,767,000 bushels for 1959-60 based on a pre-harvest yield of 53 bushels per acre; this is an increase on the preceding year.

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 up to 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 up to 1957-58, some 49,195 acres being harvested in 1955-56, 59,776 acres in 1956-57 and 65,881 acres in 1957-58 with a fall to 53,620 acres in 1958-59.

Of the total area grown, 84 per cent was threshed for grain in 1959, the remaining 16 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 1959-60 is estimated at 62,000 acres, and, if pre-harvest yield estimates are realized, some 3,368,000 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 27,492 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 this 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 487,000 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. For the three years ended 1958 an annual average of 7,515,000 lb. of canned peas has been exported. In 1958, 27,850 cwt. of frozen peas were exported.

POTATOES.—The production of potatoes is usually adequate to meet the home market.

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, 24,047 acres in 1957-58, and 23,796 acres in 1958-59.

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 1959-60 season the Board has undertaken to compensate contract growers for any declared unsold number one grade contract produce held by growers at the end of the season. The amount involved varies according to varieties from £12 to £15 per ton in the South Island and £14 to £17 per ton in the North Island. These amounts need not necessarily apply to any other season.

Figures for area and yield of potatoes for the last five years are as follows.

YearAreaTotal YieldYield Per Acre
 AcresTonsTons
1954-5521,373144,1586.74
1955-5617,665100,6775.70
1956-5722,519145,2476.45
1957-5824,047157,1056.53
1958-5923,796149,9266.30

The estimated area for 1959-60 is placed at 21,000 acres. No advance estimates of yield are attempted.

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 1954-55 to 1958-59 are as follows.

YearAreaTotal YieldYield Per Acre
 AcresTonsTons
1954-551.61614.9529.25
1955-561.44213.4169.30
1956-571.36313.5739.96
1957-581.39913.3639.55
1958-591.30511.9599.16

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 2,500 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 re-opened again in 1957 in order to conserve overseas funds. A quantity of linseed is also used in stock feed mixtures.

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 1958-59.

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 in 1952-53,96,778 acres in 1956-57, 74,110 acres in 1957-58, and 77,743 acres in 1958-59.

† Not available.

‡ 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
1956-57*1.058.249*269.919§443.952§1.868.898||
1957-58*1.010.814*277.748429.386§1.792.058||
1958-59*1.028.182*288.311444.210§1.838.446||

In 1958-59 grasses and clovers cut for hay or silage totalled 891,634 acres and lucerne 136,548 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 23,446 acres. Oats also was the principal cereal crop fed off to stock, amounting to 36,138 acres. The principal green-fodder crops apart from oats are rape (143,223 acres) and kale, including chou moellier (145,088 acres). Swedes and turnips are the principal root crops grown in New Zealand, the total area sown in these crops in 1958-59 being 444,210 acres (including 45,749 acres of turnips and rape mixed).

GRASS SEED.—The total area of grasses, clovers, and lucerne cut for seed during the 1958-59 season was 173,438 acres, as against 209,669 acres in 1957-58. Canterbury, Otago, and Southland land districts between them provided 84 per cent of the area cut for seed.

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
Crop1953-541954-551956-571957-581958-59
Ryegrass—
  Perennial33.68150.80479.76641.96040.651
  Italian5.2618.1209.2306.0106.635
  Short-rotation (H1)16.89821.61725.11815.70717.532
Cocksfoot6.2797.1457.9239.13910.826
Chewings fescue8.5879.9885.9283.9313.693
Crested dogstail4.5406.43911.1468.4576.631
Red clover (including cow-grass)17.11820.19727.79627.38019.281
White clover45.06949.48684.46665.89744.061
Other grasses and clovers16.47715.39123.27031.18824.128

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 (Year Ended 31 October)
195719581959
Ryegrass—
  PerennialBush.1.720.056513.746739.318
  Short rotation (H1)Bush.500.469231.612303.857
  Italian (including W. Wolths)Bush.143.32881.71979.647
  Cocksfootlb.1.220.7781.430.0551.097.080
  Chewings fescuelb.723.768315.146313.818
  Crested dogstaillb.1.584.011977.019643.552
  Brown toplb.679.933746.685235.608
  Timothylb.310.873583.497747.182
  White cloverlb.8.211.3176.899.1772.992.945
  Suckling cloverlb.455.553345.979116.367
  Suckling white mixturelb.603.495742.960177.472
  Cowgrass (including broad red clover)lb.1.576.2091.482.1611.449.802
  Montgomery red cloverlb.768.343775.897843.535
  Lucernelb.569.953531.084382.022
  Other grasses and cloverslb.211.151115.63547.174

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 1959 there were 18,035,491 acres under artificially sown grasses (including 1,201,620 acres cut for seed, hay, or silage during the season), and in addition 13,186,261 acres of occupied land still remained in tussock or naturally established native grasses, making a total of 31,221,752 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 220,000 acres also sown with crops.

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
1957-581,220,48316,782,34713,206,70131,209,531
1958-591,201,62016,833,87113,186,26131,221,752

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 were until 1959 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 boards are not now contributing to this scheme which is being continued on a modified basis by the Government.

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 87 per cent of the total cattle, accounted in 1958-59 for 75 per cent of the area top-dressed.

The following table gives particulars of areas of grassland top-dressed during the latest five years.

Acres
YearGrassland Area Top-dressed
With Artificial Fertilizer OnlyWith Lime OnlyWith Both Artificial Fertilizer and LimeTotal Grassland Top-dressed
* Not available.
1954-556,016,738550,4371,673,4508,240,625
1955-56***8,932,515
1956-577,191,188520,9511,457,8139,169,952
1957-587,309,985514,3411,433,3389,257,664
1958-597,174,256450,5911,177,1038,801,950

The productive capacity of fertilizer manufacturers has been increased in recent years with the establishment of four new works. The fall in the use of fertilizers in 1958-59 is attributable to a reduction in farm incomes. Ruling prices for farm produce have since improved and the demand for fertilizer is again increasing.

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....7..223235
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 last five years are given below. 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 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.
1953-5415,3091,51793,242967,666
1954-5517,7951,52294,727962,592
1956-5713,5292,80580,683915,132
1957-5813,5652,90983,612906,219
1958-5913,3282,98482,811921,864

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 but with the revocation of the Act only estimates can now be made (including gardens within boroughs). The Department of Agriculture estimates that 2,658 growers were gardening an area of 23,270 acres in 1959. Processing firms are estimated to have used produce from approximately half the total 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 raspberry, for which 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. The 1958-59 season produced an estimated record crop of 800 tons of raspberries, while strawberries were estimated at 707 tons, blackcurrants 91 tons, gooseberries 137 tons, and boysenberries at 27 tons.

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 no sell trees or plants. The number of nurseries so registered at 31 December 1958 totalled 454.

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 specified cases, 49.73 per cent of householders did not grow potatoes and 39.36 per cent did not grow other types of vegetables.

Of the total households where a return was made 62 per cent kept a garden and 38 per cent had no garden. Where only 37 per cent of dwellings with one occupant returned “yes”, this rose sharply to 59 per cent of households with two occupants. The proportions answering “yes” to this question increased continuously from 2 to 6 occupants, and declined from 7 occupants onwards.

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 20,292 acres at 31 January 1959.

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. This levy (at present £1 10s.) is used as required in assisting and developing the industry.

During 1958 the Department of Agriculture made the second comprehensive field survey of fruit trees in commercial orchards. (It is proposed to continue to carry out similar surveys 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 numbers of fruit trees of principal kinds in commercial orchards based on 1958 survey figures: apple, 1,087,116; pear, 144,701; quince, 6,073; peach, 306,902; nectarine, 32,235; apricot, 121,426; plum, 104,744; cherry, 19,091; lemon, 41,235; orange, 40,616; grapefruit, 48,651; mandarin, 13,213; tangelos, 1,037.

The growing of outdoor grapes is chiefly confined to the districts situated between the North Cape and Hawke's Bay. The vineyard area in wine grapes in 1956 was estimated at 895 acres in full bearing and 92 acres in partial bearing. A further 75 acres were established in dessert varieties, while glasshouse vineries occupied about 175 acres. In 1940 the quantity of wine produced was 185,000 gallons from a licensed vineyard area of 469 acres. The figures for 1958 show wine production at 630,400 gallons made by 152 licensed wine makers.

Apples and Pears.—A summary of the activities of the New Zealand Apple and Pear Board appears on pages 539-540.

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
19541,436,102322,5771,758,679
19551,442,990397,7611,840,751
19561,482,853359,1341,841,987
19571,388,478349,1191,737,597
19581,605,086365,8451,970,931

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 1958-59 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 Zealand by the Apple and Pear BoardExported to United KingdomExported to Other CountriesEstimated Total Production*
* Estimated by Horticulture Division, Department of Agriculture.
Apples—
  Sturmer Pippin277,500343,777153,481943,100
  Delicious238,300131,655123,442564,700
  Jonathan183,800150,972148,558523,000
  Granny Smith182,700138,05059,798500,400
  Cox's Orange Pippin81,400153,548750281,400
  Ballarat Seedling64,00035,01825,976175,300
  Golden Delicious62,20073,54430,105193,600
  Gravenstein118,900..743153,900
  Dougherty32,70066,1004,674139,400
  Rome Beauty49,90017,6281,55482,600
  Others234,00076,41027,801416,100
        Totals, apples1,525,4001,188,702576,8823,973,500
Pears—
  Williams' Bon Chretien90,400....230,600
  Winter Cole135,70065,8471,057211,100
  Winter Nelis65,60042,250360110,300
  Others155,90046,8711,390235,000
          Totals, pears447,600154,9682,807787,000

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
YearGrapefruitLemons*Sweet OrangesMandarins and other Citrus Fruits
* Figures for lemons relate to packed 3/4 bushel cases.
1954144,80093,80020,3001,700
1955124,50090,90021,7001,500
1956124,700101,80017,3002,000
195792,000105,60012,9003,600
1958130,50089,00014,8003,400

Reference to the Citrus Marketing Authority is to be found on page 541.

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 production figures for 1958 for the Kerikeri, Auckland, Tauranga, and Te Puke districts are: tree tomatoes, 713 tons; passion fruit, 94 tons; Chinese gooseberries, 352 tons; feijoas, 39 tons. The Bay of Plenty produced more than half of this crop, Kerikeri more than one-third, and the remainder was grown at Auckland.

HOPS.—Practically the whole of the hop gardens are located in Waimea County. Production per acre usually ranges between 1,200lb. and 1,500lb., and the aggregate crop is usually sufficient to satisfy local requirements as well as to provide a surplus for export. Production in the 1958-59 season was 1,090,239 lb., compared with 884,840 lb. in the previous year. The 1958-59 yield met all requirements and there was an export surplus of 332 lb., compared with 90,121 lb. in 1957-58.

The hop area at the end of 1959 was estimated at 667 acres, 92 acres more than the previous year. Though small extensions had been made in some gardens, a number of gardens had been reduced through the removal of areas which had become uneconomic on account of root-rot disease which is still a major limiting factor in hop production.

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 5,436,314 lb. in 1950-51. 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. Some 7,431,466 lb. of raw tobacco leaf was imported for the calendar year 1958.

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 PlantedProductionEstimated Value of Crop
  Acreslb.£(000)
1954-554123,0824,135,921829
1955-564183,1374,733,086979
1956-574163,1384,463,976922
1957-584113,2654,650,711962
1958-594693,5345,606,9511,156

The production figures represent the weight of the leaf purchased from growers before redrying. Flue-cured leaf accounted for 99.02 per cent and air-dried leaf for 0.98 per cent of the 1958-59 crop.

Mechanization of the industry on the growing side continues to increase. Picking and tying, however, are still done by hand, although a tobacco-harvesting machine imported from the United States of America has been highly successful.

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 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 and further decreases occurred, 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 five seasons: 1955-56, 304 acres; 1956-57, 685 acres; 1957-58, 774 acres; and 1958-59, 761 acres.

The 1958 harvest yielded 1,442 tons of straw. The crop from the 774 acres was very good, the average yield of fibre being 10.4 per cent, compared with 9.7 per cent for the preceding season.

The Linen Flax Corporation of New Zealand reported that production from the single factory still operating was as under:

Tons
195619571958
Straw processed9315531,233
Scutched fibre8754128
Seed7949131
Tow212657
Linmeal553788

There is a strong demand for all linen fibre produced in New Zealand from a local manufacturer of twine who uses this kind of fibre in the making of bag- and bale-closing twine, meat- and ham-rolling twine, and for other purposes which require a twine made from a strong durable fibre.

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 (H,) rye-grass, cocksfoot, timothy, brown-top, Phalaris tuberosa, white clover, cow-grass (broad red clover), Montgomery red cover, 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. The area-unit sample was selected for farms of under 2,000 acres, and all farms of 2,000 acres and over were automatically added to the 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, 1957-58, and 1958-59.

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.

19551956195719581959

* Includes those in boroughs and on holdings under 1 acre.

† Not available.

Horses147,063139,114129,309123,261122,957
Dairy cows in milk1,994,7611,997,8191,966,5471,931,112
Cattle (including dairy cows)5,886,7775,808,6355,885,5845,973,352
Sheep shorn during season37,354,58837,868,86839,769,52342,106,637
Lambs shorn during season8,138,8409,022,4249,873,47210,795,836
Lambs tailed during season24,239,18924,921,46425,496,27527,798,98130,574,832
Sheep (including lambs)*39,117,30040,255,48842,382,00846,025,93046,876,222
Breeding ewes*26,186,35827,015,61228,899,47030,875,70431,816,093
Pigs (total)681,359602,469627,812691,568
Breeding sows88,96985,46383,90587,92592,970

In the following table figures for livestock other than sheep are given for each land district and Island for the 1958-59 season.

Land DistrictHorsesDairy Cows in MilkTotal CattleBreeding SowsTotal Pigs
North Auckland17,891434,916980,58023,749182,992
South Auckland25,933763,2201,824,86133,602240,441
Gisborne11,34939,054397,2572,51815,150
Hawke's Bay10,40343,528533,4202,26716,276
Taranaki6,614255,239467,8158,54569,850
Wellington18,955213,517988,47511,20979,419
    North Island91,1451,749,4745,192,40881,890694,128
Marlborough1,92813,70071,4591,0198,186
Nelson1,80734,44487,3822,57320,738
Westland83114,09255,6371,2729,484
Canterbury12,98662,449267,4554,02332,803
Otago8,44727,751147,0011,1329,103
Southland5,81329,202152,0101,0617,126
    South Island31,812181,638780,94411,08087,440
    New Zealand122,9571,931,1125,973,35292,970691,568

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 Auckland1,907,870668,6581,264,7171,476,9382,188,089
South Auckland5,470,5382,256,9503,888,9854,329,7496,226,695
Gisborne2,008,520872,8591,090,5151,396,6072,308,875
Hawke's Bay4,918,3941,998,6033,447,6263,751,7025,695,176
Taranaki1,019,319405,398740,907759,4911,077,522
Wellington7,503,8403,114,4605,055,9335,453,5808,389,389
    North Island22,828,4819,316,92815,488,68317,168,06725,885,746
Marlborough1,136,765135,538665,028755,5321,250,975
Nelson503,82875,185303,571353,741568,538
Westland109,93126,12486,108104,255134,778
Canterbury7,190,324563,5285,708,5565,711,8098,002,995
Otago5,082,231276,2503,621,1613,716,0545,653,978
Southland5,255,077402,2834,701,7254,006,6355,379,212
    South Island19,278,1561,478,90815,086,14914,648,02620,990,476
    New Zealand42,106,63710,795,83630,574,83231,816,09346,876,222

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 87 per cent of the total cattle and 91 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 8: 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 61 per cent of the pig population and Wellington for 11 per cent. Taranaki, however, which is mainly a cheese-producing district, has 13.2 per cent of New Zealand's milking cows, but only 10.1 per cent of the pigs, while Nelson, Westland, and Canterbury, which together have only 5.8 per cent of the cows in milk, have 9.1 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, Hawke's Bay, Otago, and Southland, in that order, these six districts accounting for over 84 per cent of the total sheep population in 1959.

Per Cent
Land DistrictDairy Cows, Two Years Old and Over (in Milk)Beef Breeding Cows. Two Years Old and OverTotal CattleBreeding SowsTotal PigsTotal HorsesSheep Shorn*Lambs Shorn*Lambs Tailed*
* Sheep shorn, lambs shorn, and lambs tailed during 1958-59, remaining particulars for stock at 31 January 1959.
North Auckland22,5210,3816,4225,5426,4614,554,536,194,14
South Auckland39,5221,3630,5536,1434,7721,0913,0020,9112,72
Gisborne2,0213,376,652,712,199,234,778,083,57
Hawke's Bay2,2516,318,932,442,358,4611,6818,5111,28
Taranaki13,222,587,839,1910,105,382,423,762,41
Wellington11,0619,9316,5512,0611,4915,4217,8228,8516,54
  North Island90,5983,9386,9388,0887,3674,1354,2286,3050,66
Marlborough0,711,781,201,101,181,572,701,252,18
Nelson1,781,031,462,773,001,471,200,700,99
Westland0,731,000,931,371,370,670,260,240,28
Canterbury3,245,224,484,334,7410,5617,085,2218,67
Otago1,443,462,461,221,326,8712,072,5611,84
Southland1,513,582,541,131,034,7312,473,7315,38
  South Island9,4116,0713,00711,9212,6425,8745,7813,7049,34

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 1959 the number of breeding ewes was 31,816,093 and of total sheep 46,876,222, both these totals setting new record peaks. The increase of 940,389 breeding ewes was a little less than half the previous year's increase. Although there was an increase in the total sheep, the increase was a small one when compared with other recent years, amounting to only 1.85 per cent.

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 63.47 per cent by 1947. The proportions as at 30 June 1957, 1958, and 1959, were 68.19 per cent, 67.08 per cent and 67.87 per cent respectively. 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 FarmingNoArea
* For list of counties included see page 502,
           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
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
195825,047,81554.4220,978,11545.5846,025,930
195925,885,74655.2220,990,47644.7846,876,222

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
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
195816,421,13253.1814,454,57246.8230,875,704
195917,168,06753.9614,648,02646.0431,816,093

The following table shows the number of rams, wethers, breeding ewes, dry ewes, and ram, wether, and ewe hoggets in New Zealand for the last eight years, together with a broad classification into stud and other groups for the years 1952 and 1957. Figures are at 30 June. The statistics of breeds of sheep are now being collected at five-yearly intervals.

YearRamsWethersBreeding EwesDry EwesHoggetsTotal
RamWetherEwe
* Change in classification.
Totals
1952632,0862,979,15622,963,340450,734167,4022,589,9375,601,61535,384,270
1953639,5502,660,76823,781,376444,624176,0862,690,4205,800,11136,192,935
1954669,0962,719,58924,850,530428,757192,9472,815,1076,334,92838,010,954
1955702,3062,558,62126,186,358479,130199,9602,562,8286,428,09739,117,300
1956729,1652,495,28427,015,612477,271206,6942,712,8506,618,61240,255,488
1957770,7392,261,99428,899,470430,539234,2962,786,0056,998,96542,382,008
1958805,4612,600,58030,875,704445,850269,3793,092,9487,936,00846,025,930
1959836,5612,438,09931,816,093494,574278,1322,880,2178,132,54646,876,222
Stud Sheep (Entered in Flock Book)
195212,828..331,1805,937118,675..129,810598,430
195717,045..440,6625,503153,037..167,532783,779
Sheep of a Distinctive Breed but not Entered in Block Book
1952*587,5452,393,10517,804,304356,55442,4071,997,0314,482,90027,663,846
1957720,3301,969,95424,698,756352,03672,1642,336,0206,095,52336,244,783
Crossbred Sheep
1952*31,713586,0514,827,85688,2436,320592,906988,9057,121,994
195733,364292,0403,760,05273,0009,095449,985735,9105,353,446

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 1,054 in 1955, 1,055 in 1956, 1,092 in 1957, 1,148 in 1958, and 1,141 in 1959. Over the five-yearly period 1955-59 the average size of flocks increased by 8.25 per cent. A classification according to size for the last five years shows the following position.

Size of Flocks19551956195719581959
1 and under 1003,8454,2394,1804,0714,568
100 and under 2002,9843,0592,9402,8883,050
200 and under 5006,8576,8326,6006,6516,669
500 and under 1,0008,9259,1829,1368,9349,023
1,000 and under 1,5006,5836,6747,0347,3837,422
1,500 and under 2,0003,4563,5383,8404,3554,438
2,000 and under 2,5001,7211,7671,9962,2642,297
2,500 and under 5,0002,1442,2822,4422,8492,920
5,000 and under 7,500363375396451463
7,500 and under 10,000112111110128121
10,000 and under 20,000100100107110111
20,000 and over1113131419
        Total flocks37,10138,17238,79440,09841,101

CATTLE.—The total number of cattle in 1959 was calculated to be 5,973,352 as against 5,885,584 in 1958.

Dairy stock—19581959
    Breeding bulls, two years old and over52,06348,712
Cows and heifers, two years old and over—
        Cows in milk during season1,966,5471,931,112
        Heifers not yet in milk72,18665,779
37 Cows not in milk during season, but intended to be used again for dairying36,06534,587
Heifers—
        One and under two years old375,404411,300
        Under one year old423,877455,744
    Bulls and bull calves under two years old to be used for breeding purposes44,10356,467
             Totals, dairy stock2,970,2453,003,701
Beef stock—
      Breeding bulls, two years old and over33,55234,260
      Breeding cows and heifers, two years old and over1,069,4431,084,699
      Cows, two years old and over, not used for breeding96,85786,082
Heifers—
          One and under two years old283,892312,824
          Under one year old339,282348,425
      Steers, two years old and over453,565417,125
Steers and bulls—
          One and under two years old296,395325,466
          Under one year old342,353360,770
            Totals, beef stock2,915,3392,969,651
            Totals, cattle5,885,5845,973,352

Numbers 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 1959, with the milestone of 2 million cows in milk still not reached. A continuing build-up of replacement dairy stock is needed to improve upon the number of cows milked.

The following table shows the number of holdings with dairy cows in milk, grouped according to size of herd in milk, for the three last five yearly intervals 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 10 or more Cows in Milk
10-1920-2930-3940-4950-5960-6970-7980-8990-99100 and Over
19475,1355,4995,9474,8763,5222,7621,9461,3148141,89133,706
19524,3684,5365,5275,2454,4383,6652,5121,7261,1052,53235,654
19573,4773,5634,5494,8354,5894,3053,0712,0231,3513,09434,857

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
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
Manawatu36......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 1959 figure of 691,568 shows a decrease of 109,234, or 13.6 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.
1954417,992129,03114,77587,104648,902
1955434,400142,24615,74488,969681,359
1956***85,463*
1957518,56483,905602,469
1958539,88787,925627,812
1959598,59892,970691,568

Particulars as to pig breeds collected in 1950 showed that 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 classified as crossbreds.

HORSES.—The following table includes the latest information available of the number of horses in each class shown, excluding horses in boroughs.

19551956195719581959
Draught and three-quarter draught147,063139,11432,46328,75828,469
Spring cart (including half-draught)
Hacks and light working horses72,96470,87871,440
Thoroughbred and other horses23,88223,62523,048
        Total horses147,063139,114129,309123,261122,957

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 1959 the number of heavy-type horses had fallen to 28,500 while tractors had increased to 75,300.

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 count of dogs registered during the 1958 registration year showed that there were 178,303 dogs registered in counties, of which 118,441 were in the North Island and 59,862 in the South Island. The total number of dogs registered in boroughs was 36,846, in town districts 1,104, and in road districts 322. 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. Egg production has been steadily increasing, sales through licensed distributors rising from 14,398,745 dozen in 1957-58 to 15,990,090 dozen in 1958-59. It is estimated that approximately one-third of the total egg production passes through these channels.

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 1959 was 185, covering some 167,165 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 1958 was 6,472, covering an aggregate of 1,816,704 birds. Although the number of registered flocks fell to 6,340 at 31 May 1959 the aggregate number of birds increased to 1,906,507.

Reference to the field covered by the Egg Marketing Authority is given in Section 20D 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.

Production for the year ended 31 March 1959 was the lowest recorded over the past ten years, being estimated at 3,786 tons of honey and 132,510lb. of commercial beeswax, approximately 2,099 tons of honey and 73,490 lb. of beeswax less than the previous season.

Over the past five seasons the annual export of honey has averaged 2,641,000 lb.

Registrations under the Apiaries Act show that at 31 May 1959 there were 4,974 beekeepers with a total of 11,536 apiaries and 176,350 established hives. Sixty-six per cent of hives and sixty-three per cent of apiaries were in the North Island. 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
Beekeepers3,403962366243
Apiaries3,4901,2191,6615,166
Hives established7,60910,86828,913128,960

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.

In view of the greatly increased amount of crop spraying for weed and pest control it has been necessary to bring down regulations prohibiting the application to cruciferous and leguminous field crops of sprays and dusts that are toxic to bees at any time during the period between 1 September in any year and 31 March in the following year when the crop is in flower, except with a permit issued by the Department of Agriculture.

Exports of honey for the last five years ended 31 December are given below.

YearQuantity lb.Value £
* Provisional.
19554,556,021230,963
19562,092,032130,513
19572,085,374133,368
19582,980,069173,734
1959*1,491,99980,432

Reference to the activities of the Honey Marketing Authority is given in Section 20D of this issue.

20 D—MARKETING OF PRIMARY PRODUCE

GENERAL MARKETING SITUATION: Meat.—Most meat produced in the world is used for domestic consumption, and only about 6 per cent of world output enters into international trade. About three-quarters of all meat exports come from five countries. In order of importance these are Argentina, New Zealand, Denmark, Australia, and the Netherlands. The import trade is dominated by the United Kingdom, which takes about two-thirds of the total exports. Next in importance as importers are the United States of America, and the Western European countries such as Italy, Western Germany, and France.

The principal class of meat in the world trade is beef and veal, which trade is continuing to expand rapidly. Mutton and lamb imports on the other hand have not tended to increase very greatly in recent years. New Zealand faces a problem of disposing of a rapidly increasing quantity of sheep meats in world markets where an increasing proportion of the present demand is for beef. The United Kingdom has been a sheep-rearing country for centuries, and her people have developed a taste for mutton and lamb. In other likely markets the taste must to some extent be cultivated.

The population of the United Kingdom is increasing only slowly, and although there has been increased consumption per head in recent years it seems that the capacity of the country to consume greater quantities of meat is slowing down. At the same time the United Kingdom Government is encouraging home production by a system of guaranteed agricultural prices.

Though the United Kingdom is traditionally New Zealand's export market for meat and must remain so in the foreseeable future, there has been for some years a growing realization of the need for supplementary markets. Efforts made during the past few years to develop alternative markets have had a good deal of success.

In the past the main markets outside the United Kingdom for New Zealand's meat have been the countries of Western Europe, but in recent years exports to these areas have declined, as these countries have built up protection of their agricultural industries. Market opportunities may also be affected by the formation of the European Economic Community, comprising Belgium, France, Italy, Luxemburg, the Netherlands, and Western Germany, and also by the European Free Trade Area of the Seven, comprising United Kingdom, Austria, Denmark, Norway, Portugal, Sweden, and Switzerland.

Canada and the United States of America offer prospects of developing into important supplementary markets for lamb, 1,653 tons and 1,277 tons respectively being exported to these countries in the year ended 31 December 1959.

In recent years a reduction in size of beef herds in the United States of America following a drought and low prices in 1955-56 has led to a demand for imported beef by that country. In 1958 New Zealand became a leading exporter of beef to the United States with shipments totalling about 91,000 tons, mostly boneless. In 1958 Canada also bought 4,100 tons of New Zealand beef and veal, with the result that 76 per cent of New Zealand's 1957-58 beef exports went to North American markets. In 1958-59, however, there was a drop in shipments to both the United States and Canada, partly because there was less beef for export and partly from competition from a greater supply of Australian beef following an amendment to the United Kingdom-Australian long-term agreement on meat which permitted Australia to divert a larger proportion of her production to markets outside the United Kingdom.

A rise in domestic production of meat in the United States can be expected and this could affect the demand for imported beef, but substantial exports of New Zealand meat to that country can be expected to continue with the trade contacts that have been developed, and the availability of refrigerated shipping. In the last two years packers have modernized their plants and trained staff to prepare the beef, inspect it, and pack it in heavy cardboard cartons lined with polythene.

The following table shows the main destination of exports of frozen and chilled beef and veal for the four latest years.

Country (of Import)1956195719581959*
* Provisional.
 Tons£(000)Tons£(000)Tons£(000)Tons£(000)
United Kingdom69,3858,56252,7096,27612,8701,6897,3521,181
United States1,57627022,4693,96984,03020,92368,25118,002
Japan1421514,9321,9662,7713081,307210
Other countries46,6825,73025,4383,46316,0993,14811,6382,710
    Totals117,78514,577115,54815,674115,77026,06888,54822,103

Wool.—New Zealand is one of the largest exporters of wool in the world but marketing presents no difficulties. Most of the wool is auctioned in New Zealand and buyers come from interested countries to make their purchases of wool. A small percentage of wool produced is shipped to England for sale on the London market. Prices fluctuate according to the demand for wool, but the present market requirements are such that the Wool Commission has not had to buy in very much wool under its minimum price scheme, and even then has had to hold it only temporarily. The threat of competition from synthetic materials is such that the International Wool Secretariat is actively promoting advertising, merchandising, and research.

Dairy Produce.—For the sale of dairy products New Zealand is very largely dependent on the United Kingdom market, which is practically the only open market of any size for butter and cheese. Some countries have adopted agricultural income and price support policies to maintain and stabilize farming incomes. Only industrialized countries with a low proportion of their national income derived from agriculture can continue support measures on a large scale. International trade is adversely affected in several ways. To maintain prices at support levels many countries have restricted imports of agricultural products, so that entry into markets, in which New Zealand's exports could effectively compete, has often been denied. High support prices and consequent high domestic prices discourage consumption and often lead to the accumulation of supplies which are surplus to domestic requirements. Surpluses generated in this manner are frequently disposed of in other markets at prices well below the cost of production. New Zealand's position in the United Kingdom market was adversely affected in 1958 when some European countries dumped on the market such quantities that there were serious falls in prices.

Since 1958 price reductions in some European countries have to some extent stimulated consumption in them, and increasing effort is being directed towards the elimination or reduction of subsidized dairy production that led to dumping. It is essential for New Zealand to maintain strong and consistent pressure in international councils so that these measures are furthered.

The United States of America for a time followed a policy under her commodity disposal programmes which embarrassed other exporters of certain kinds of dairy produce. Although the United States of America reduced the quantities of butter and cheese for surplus disposal, she continued to ship milk powder abroad at uneconomic prices. Canada was for a time disposing of skim milk powder at uneconomic prices, but is rectifying the position by substantially reducing or eliminating the support price paid to dairy farmers for skim milk powder.

New Zealand is moving towards the development of more supplementary markets for dairy produce, although quantities that can be disposed of in them are relatively small compared with the United Kingdom, New Zealand's long-standing market.

TRADE AGREEMENTS.—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. Under the Ottawa Agreement of 1932 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 quota 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.

During the trade talks in the United Kingdom in April-May 1957 the question of a review of the Ottawa Agreement was raised, and following discussions which took place in New Zealand early in 1958 on the occasion of the visit of the United Kingdom Prime Minister it was agreed desirable to review the provisions of the Ottawa Agreement which had remained substantially unaltered since 1932. Negotiations were opened by a New Zealand official delegation in London on 17 April 1958, and an agreement to form the basis of a new trade pact was signed in Wellington on 25 November 1958.

The agreement gave new flexibility to New Zealand's international trading and negotiating position. The levels of preferences of the 1932 Agreement could be modified but the basic principle was retained to ensure that the close and mutually beneficial economic partnership between the United Kingdom and New Zealand would continue. Recognizing that, because of changed conditions, the balance of advantage under the 1932 Trade Agreement had moved against New Zealand,the United Kingdom Government agreed to New Zealand having the right to reduce the 20 per cent margin of preference on British goods. (See Section 10D—Customs Tariff and Revenue.)

The greater flexibility which will result will assist in reducing the cost of imports, and also enable other markets for an increasing volume of exports to be maintained and developed. New Zealand must be able to produce exports at competitive prices and to do this it is essential that plant and raw material used in production be imported on the most favourable basis. Provision has also been made for New Zealand to resort to a limited measure of bilateral trading with third countries, without causing serious harm to the trade of the United Kingdom.

In the new agreement all existing rights and preferences for New Zealand goods entering the United Kingdom market are preserved. These include the 1957 supplementary agreement providing for annual consultations on the agricultural production and marketing policies of the two countries, as well as the ten-year right of entry to the United Kingdom market, without restriction as to quantity, of butter, cheese, skim and butter-milk powders, casein, and chilled and frozen pork. The 15-year right of entry for New Zealand meat, agreed to in 1952 outside the 1932 pact, remains in force.

Under the agreement the United Kingdom and New Zealand Governments recognize that each other's trade may be materially injured by competition from dumped or subsidized exports from third countries. If, after consultation, it is established that such injury is being caused or threatened, each Government will consider remedial action consistent with its own laws and its international obligations.

A revised trade agreement had earlier been negotiated between the United Kingdom and Australia.

A treaty establishing the European Economic Community entered into force on 1 January 1958. Under the terms of this treaty, the six member countries, Belgium, France, Germany, Italy, Luxembourg and the Netherlands will, over a transitional period of 12 to 15 years, eliminate tariffs and other restrictions to trade within the Community. At the same time the tariffs on goods entering each member country from outside the Community will be adjusted until all the six countries have a common external tariff. If the Community adopts a common agricultural policy aimed at self sufficiency in foodstuffs, New Zealand's limited access to the agricultural markets of the Six could be even more restricted.

The establishment of the European Economic Community was followed by revived negotiations concerning a European free trade area embracing 17 countries, including the Six. The proposals for a free trade area involved the gradual abolition of tariffs and other restrictions on trade within the area, but each member would retain its own individual tariff on imports from outside the area. Negotiations broke down for a Free Trade Area of the 17 nations but there has now been formed a Free Trade Area of the Seven (United Kingdom, Austria, Denmark, Norway, Portugal, Sweden, and Switzerland). One of the primary objectives of this smaller Free Trade Area is to link in some way its activities with the Six. The Free Trade Area of the Seven will have special rules regarding agricultural products.

UNITED KINGDOM MARKET.—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 29,800 tons in 1958. Domestic cheese supplies, on the other hand, are comparatively large, the total for 1958 being 95,200 tons.

Country (of Export)ButterCheeseMilk, Preserved
195719581957195819571958
Tons (000)Per CentTons (000)Per CentTons (000)Per CentTons (000)Per CentTons (000)Per CentTons (000)Per Cent
New Zealand14640170408569816837703154
Australia531549121210767131119
Denmark87249522119108........
Republic of Ireland144164........5959
Finland205143................
Netherlands134307659824611
Other countries31849129712102447
        Totals3651004231001231001191005310057100

The following table shows the imports of meat into the United Kingdom from the principal countries for the year ended 31 December 1958, by country of export.

Country (of Export)Mutton and LambBeef and VealAll Meats
Tons (000)Per CentTons (000)Per CentTons (000)Per Cent
New Zealand2577514329621
Australia45131253124017
Argentina2682566436426
Denmark........26118
Other countries1247225818
        Totals3411004021001,418100

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 one of the leading suppliers, accounting in 1958 for 75 per cent of the mutton and lamb and 21 per cent of total meat products. Corresponding figures for 1957 were 73 per cent and 22 per cent respectively.

It should be noted that over half of the meat consumed in the United Kingdom is now obtained from domestic supplies, the production figures for 1958 being: Beef and veal, 812,700 tons; mutton and lamb, 189,900 tons; all meats, excluding bacon and ham, 1,568,800 tons.

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 1958, when New Zealand supplied 75 per cent of frozen mutton and lamb imported into the United Kingdom, whereas the proportions supplied by other countries were: Australia 13 and Argentina 8 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 addition in recent years a market for boneless packaged beef has been developed in North America, particularly in the United States, and supplies have been diverted there. In 1958 New Zealand supplied approximately 3 per cent of the United Kingdom's total imports of beef, as compared with only 7 per cent in 1938.

New Zealand pork 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 later 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 controlled 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, or the return to private enterprise with the Boards assuming mainly their former pre-war functions.

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 Acts 1956 and 1958.

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 on the recommendation of the Minister of Agriculture. 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 the control of 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 acquires and markets all New Zealand butter and cheese intended for export, controls the export of other dairy products, and regulates the marketing of butter and cheese in New Zealand. In selling the industry's exportable surplus of milk powder and casein, the Commission is guided by an advisory committee 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.

Under the Meat Export Control Amendment Act 1959 the Meat Board may purchase meat for sale outside New Zealand to promote the sale of meat in other countries.

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. The Wool Commission Act authorizes a charge on all wool sold or exported to be used to cover administration costs of the Commission and in substitution for the levy, at present in abeyance, which may be imposed under the Wool Industry Act 1944 for the purposes of the Wool Board. For the season which commenced on 1 October 1959 a charge under the Wool Commission Act of 4s. a bale was made on all wool which is exported from New Zealand or is delivered to a wool manufacturer for use in New Zealand.

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, 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 Agriculture, who declares the cost of production. This cost of production has, since the passing of an amending Act in 1954, become the average price to be paid for apples and pears for the season concerned. 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. 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. Until the reserve fund reached £1,000,000 the whole of the annual profit was paid into it. From then until the fund reached £1,250,000 the profit was distributed in the proportion of 25 per cent to the growers and 75 per cent to the fund. This amount having been reached, the profit is now allocated 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 was able to declare a bonus to fruitgrowers for five seasons from 1953-54, the average amounts paid out per case being for 1954, 4.09d.; for 1955, 2.37d.; for 1956, 3.98d.; for 1957, 14.07d.; and for 1958, 4.92d. In 1959 a loss of £433,963 was incurred by the Board.

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. As at 1 December 1953 the Board purchased from the Government the greater part of the facilities then in use for the handling of the crop. They included cool stores and ancillary equipment. Since then, however, the reserve fund, which has been built up from profits derived almost solely from exports, has been invested in a chain of modern cool stores and mechanical equipment designed for the improved handling of fruit.

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, 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 fixed by the Minister of Agriculture after consultation with the Milk Board. Intermediate margins, such as those for chilling and bottling milk and to vendors for its delivery, are fixed by the Government on the recommendation of the Board. 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).

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 ½d. per pound on honey sold by beekeepers within New Zealand, subject to certain small exceptions. At a later date regulations under the Marketing Acts set up the Honey Marketing Committee which at first was advisory in nature, but some years later was given virtually executive powers. The Honey Marketing Authority Regulations 1953, made under the Primary Products Marketing Act 1953, amalgamated all the foregoing provisions and provided for a Honey Marketing Authority, which undertakes the task of packing and marketing honey within New Zealand and for export, and 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 equalizing the return received by those whose honey has been exported by the Authority with the return from honey sold on the local market.

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 1948-49 to 1959-60. 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.

† See latest statistical information.

 lb.(000)£(000)d.d.
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
1958-59406,26161,06436.0733.00
1959-6033.00

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. 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.

‡ See latest statistical information.

 d. 
1948-4926.10686
1949-5037.981000
1950-5187.472299
1951-5241.591088
1952-5347.071219
1953-5450.831310
1954-5549.981286
1955-5646.981208
1956-5756.151430
1957-5842.721089
1958-5937.59962
1959-60

Dairy Produce.—A contributory factor to the drop in dairy produce realizations in the United Kingdom for the 1956-57 and 1957-58 seasons was the dumping of large quantities of butter on the British market by Finland, Sweden, the Republic of Ireland and Argentina. These countries charged their own people very high prices, dumped their surplus on the British market and subsidized their dairy farmers. For 1957 the total imports into the United Kingdom were 365,300 tons, of which 61,100 tons came from the countries which were found to be indulging in export subsidization. Dumped butter had the effect of depressing the market, and the price received for New Zealand butter was considerably less than the amount required to meet the guaranteed price.

In February 1958 representations were made by the New Zealand Government to the United Kingdom Government because it was considered that the serious fall in butter and cheese prices during the previous nine months which had contributed to the deterioration in the position of New Zealand's balance of payments was largely attributable to the unfair trading practices adopted by a number of countries. A formal request was made to the Board of Trade in London to impose anti-dumping or countervailing duties under the Customs Duties (Dumping and Subsidies) Act 1957 on butter imported into the United Kingdom from Finland, the Republic of Ireland, Sweden, and Argentina. In May 1958 the President of the Board of Trade announced that the Government agreed that exports from the four countries were subsidized and that there had been material injury to the New Zealand dairy industry. It had therefore asked Finland and Sweden to eliminate the practice of subsidization or to keep their exports within agreed limits. In the event of non-compliance the United Kingdom Government stated its intention to impose countervailing duties. Finland and Sweden agreed to limit their exports. The United Kingdom considered that the position in respect of the Republic of Ireland would be satisfactory and that the level of imports from Argentina in 1958 would not be sufficiently large as to justify action in the meantime.

In announcing the United Kingdom Government's decision, the President of the Board of Trade stated that it had been decided that imports of butter from Poland should also be limited and that the open licence for imports of butter from Eastern Europe generally and from Belgium was being withdrawn.

The measures introduced by the United Kingdom Government were, no doubt, an important factor contributing to the improvement in the price of butter which took place in the second half of 1958.

In December 1958, however, the United Kingdom Government decided to uplift the quota restrictions previously imposed and withdrew its requests to Sweden and Finland to limit their exports and informed the Republic of Ireland that arrangements with it could lapse. The United Kingdom Government stated that if at any future time the imports of dumped or subsidized butter from any country should assume such proportions as to cause or threaten material injury to the New Zealand producers, application could again be made by New Zealand under the Customs Duties (Dumping and Subsidies) Act, and an assurance was given that any application would be dealt with expeditiously.

Largely as a result of an exceptionally dry summer in Europe in 1959, which reduced dairy production and resulted in depleted stocks in the United Kingdom, the price of New Zealand butter rose remarkably during the year to reach a peak of 410s. per hundredweight in October. Early in 1960 the price commenced a downward trend following a loss of some trade to margarine and greater shipments from Europe.

Cheese supplies on the United Kingdom market were short at the same time, and the price of cheese reached the relatively high level of 300s. per hundredweight in October. Prices for cheese also dropped early in 1960.

The following table shows the average weekly sterling price for New Zealand butter ex-store for each month in the past three years, along with the average weekly sales on the London market during the same period. The number of weeks in any month is determined by the number of Saturdays falling within the month. Figures for earlier years have been adjusted to give comparability with the latest year. (Source: Dairy Products Marketing Commission.)

Period (Number of Weeks Given in Brackets)Butter
(Finest and First Grades) Average Price per Cwt.(All Grades) Weekly Average Sales
1956195719581959196019561957195819591960
 s.s.s.s.s.TonsTonsTonsTonsTons
January (4)3962612522904031,5772,5782,3722,7262,611
February (4)3662542402903542,0404,2242,5792,7922,552
March (4)3422592322903342,5401,4812,6933,6792,424
April (5)3132562072902922,7253,6384,0013,9202,984
May (4)342291206302..5,3303,0953,7513,425..
June (4)330316207328..1,4851,5073,6463,145..
July (5)306313223354..1,3002,3654,2313,008..
August (4)292310235376..4,8894,1073,4012,955..
September (4)318310235392..1,7891,4173,2803,095..
October (5)299299241399..1,6822,0024,2913,115..
November (4)294276266410..2,5982,3365,2433,442..
December (5)278260289410..2,5182,7273,8172,872..
    Annual average (52)312280231343..2,5842,5973,6563,199..

The next table gives similar information for the London sales of New Zealand cheese. (Source: Dairy Products Marketing Commission).

Period (Number of Weeks Given in Brackets)Cheese
(Finest and First Grades) Average Price per Cwt. (Crated)(All Grades) Weekly Average Sales
1956195719581959196019561957195819591960
 s.s.s.s.s.TonsTonsTonsTonsTons
January (4)2732471302902901,2351,4712,6291,6831,064
February (4)2752381432902521,5141,5602,6781,5051,387
March (4)2732331512902301,4021,1827511,1541,584
April (5)2632051502902301,6481,0952,0872,3521,814
May (4)251191150290..2,4892,8461,8981,248..
June (4)264195159290..2,7347812,2951,523..
July (5)282182181290..8401,0721,9721,295..
August (4)281179184290..1,6751,3861,2391,392..
September (4)292170185290..1,4671,4352,6791,159..
October (5)297147207295..1,0361,5851,5661,044..
November (4)297129290300..1,1472,8101,278885..
December (5)265129291300..7521,4371,1421,133..
    Annual average (52)273179177294..1,4781,5121,8531,409..

The movements in prices and sales of dairy produce are shown in the following diagram.

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 prior 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 not members of the Dairy Board, but nominated at the annual conference of the Dairy 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. In practice these loans are for improvements to plant and buildings.

The Dairy Products Prices Authority consists of a chairman who is appointed by the Government and approved by the Dairy Board, 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 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. Section 12 lays down that, if the season's operations result in the accumulation of a surplus, the first call upon this surplus will, unless the Dairy Board agrees otherwise, be a payment to suppliers to bring the pay-out up to the level of the assessed costs of production. Provision is made in the same section for the building up of reserves, after this has been done. It is stated that after the price of butter and cheese has been equalized with the costs of production, “If the amount of the 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 after consultation with the Dairy Board.

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 price of butterfat for the year at 36.25d., this being 95 per cent of the former figure in terms of the price for butter.

The dairy industry reserve funds were exhausted during the 1957-58 season principally because the general world over-supply of butter and the dumping of large quantities by European countries on the United Kingdom market resulted in realizations being far below the basic price. In April 1958 the London price for finest butter was as low as 206 shillings a hundredweight, whereas the guaranteed price equivalent was 345 shillings a hundredweight. By July 1958, following action taken by the United Kingdom Government against the practice of dumping, the price had recovered to only 235 shillings a hundredweight (2s. 1d. per pound) although it was considered that the price might reach 2s. 9d. per pound by the end of the year.In these circumstances the legislative restriction limiting any reduction in the guaranteed price to five per cent of that of the previous season became impractical. Following discussions between representatives of the industry and the Government it was announced at the end of August that sufficient assistance would be provided to enable dairy farmers producing butterfat for butter to receive a price of approximately 32d. per pound of butterfat. Assistance would take the form of a loan to the industry and would be repaid as soon as market realizations allowed this to be done. The fixed price for butter at 29.6895d. per pound represented a reduction of 10.4 per cent on the previous season's price. The Dairy Products Marketing Commission Amendment Act 1958 provided the necessary authority for this change by suspending for the 1958-59 season the application of the section in the 1956 Act which laid down the criteria to be observed in fixing the price including the provision that it must be not less than 95 per cent of that fixed for the previous season. The Dairy Products Prices Authority later fixed the basic price for butterfat for butter at 32d. per pound, and for butterfat for cheese at 35d. per pound.

For the 1959-60 season the basic price for butterfat for butter remained at 32d. per pound, but the basic price of butterfat for cheese was increased to 38d. per pound.

In his Budget statement at the end of June 1958 the Minister of Finance announced that up to £5 million would be provided by way of loan for assistance to the dairy industry, as a deficit for the season of up to £12 million was expected at the time.

Of the amount of £5 million, an advance of £0.2 million was made, and then £4.8 million was paid to the credit of the Dairy Industry Account by the Government in March 1959. At that time butter was still being sold in London below the guaranteed price equivalent in New Zealand and the overseas market situation was still uncertain and a further addition to the deficit could have been incurred.

With the marked improvement in overseas prices after this date there was a surplus in the 1958-59 trading, and the £5 million advance was not required to finance that year's operations. It was repaid in April 1960.

When a surplus is achieved in any one trading year the Dairy Products Marketing Commission Act 1947, as amended in 1956, provides that it shall be paid out to producers up to the assessed cost of production for that year (the trading period is defined by the Act as the 12 months ending 31 May). As early as July 1959 it had become clear that the industry's account for the year ending 31 May 1960 was likely to show a surplus. An understanding was reached between the industry and the Government that half of any such surplus would be paid to the producers and half would be retained in the Dairy Industry Account.

The fixed prices in pence per pound of butter and cheese for export paid to dairy factories are now given. The prices for the 1959-60 season were fixed by the Dairy Products Prices Authority on 22 July 1959.

Pence per 1b.
SeasonCreamery ButterCheese
Finest, 94 Points and OverFinest, 93-93 Points (Basic Grade)First 92-92 PointsSecond GradeFinest, 94 Points and OverFinest, 93-93 PointsFirst, 92-92 Points (Basic Grade)Second 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.
  1950-14Feb. 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
1958-5929.877029.689529.502027.689517.274717.177216.962213.2122
1959-6029.952829.765329.577827.765318.557318.459818.244814.4948

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 1959-60. 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)
* An additional 2d. per pound of butterfat was paid in 1955-56 to factories on all butterfat used for cheesemaking during the season.
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
1955-5636.45938.459*36.54738.730
1956-5737.54840.54837.47940.887
1957-5836.25039.25036.32239.822
1958-5932.00035.00032.35235.271
1959-6032.00038.000....

In addition to the basic 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. In 1955-56 payments were made to cheese companies, thus increasing the differential as mentioned later. At the end of the 1955-56 season an additional payment of 0.7d. per pound of butterfat was made.

With the decline in butter prices during 1956 and the heavy falls for both butter and cheese during 1957 and into 1958, the funds in the Dairy Industry Account, amounting to £27 million at the start of the 1956-57 season, were exhausted during 1958. After the completion of sales of butter and cheese produced in the 1957-58 season the account was in debit to an amount of £7,349,485, but the sales of the 1958-59 production at higher prices brought about a recovery in the Account.

Conditions governing the disposal of any surpluses for seasons after 1956-57 are set out in the Dairy Products Marketing Commission Amendment Act 1956.

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, 2½d. for 1951-52, 3d. for 1952-53 and 1953-54, 2½d. 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 basic 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, 1957-58 and 1958-59 the price differential was 3d., but for 1959-60 it was increased to 6d. to maintain the volume of cheese production.

There is an assumption implicit in the basic price scheme that the payout to butter factory suppliers is for cream at the farm and the payout to cheese factory suppliers is for whole milk delivered to the factory. Where a factory receives whole milk and makes butter, the residual skim milk can be manufactured into any of several products, the main ones being skim milk powders and casein. The only possible products of a cheese factory additional to those covered by the guaranteed price for cheese are products of separated whey and of relatively insignificant value. Because of the existence of the price differential of butterfat for manufacture of cheese over that for manufacture of butter, factories with the necessary equipment generally make butter and skim milk powder or butter and casein only where the combined returns are likely to be at least equal to the return from cheese.

Meat.—With the cessation of contract prices, the only overseas information at present available consists of ruling wholesale prices for representative qualities of meat sold during the particular week. The Imported Meat Trade Association in the United Kingdom compiles weekly London wholesale meat prices. The basis of quotation for frozen meat was altered from the beginning of March 1958 from “ex-store London” to “ex-hooks to retailers at Smithfield market”, this change resulting in the comparative prices quoted since then being approximately ½d. per pound higher than on the old basis. The next table gives prices at the end of the last week in the month from March 1956. 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. With the reduction of regular supplies of quarter beef to the United Kingdom, price quotations have been infrequent since the beginning of 1958. There was a substantial drop in the London prices for mutton and lamb during 1959. The principal cause of the fall in prices was the heavy increase in production of mutton and lamb from United Kingdom farms, the home output being some 25 per cent greater than the previous year. The increase in domestic production was based on a rise of breeding ewe population, under the stimulus of a substantial Government subsidy, but was added to by an inrush of domestic supply in August and September following the extremely dry summer in the United Kingdom. An additional factor contributing to over-supply of the market was an increase in imports, including additional lamb carcases from New Zealand as a result of the steady rise in sheep population.

Pence (stg.) per lb.
Lamb (First Quality)MuttonBeef
WetherEweChilled OxFrozen Ox (First Quality)
28 lb. and under29 to 35 lb.49 to 56 1b.57 to 64 1b.49 to 56 1b.57 to 64 1b.HindsForesHindsFores
100 to185 1b.161 to 210 1b.145 to 210 1b.

* Nominal; figures so marked have, in the absence of actual quotes, been carried forward from earlier weeks in the same month, 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.

† Basis of quotation for frozen meats altered - see Notes of the Month in Monthly Abstract of Statistics, April 1958.

‡ 4 July 1958.

§ 19 December 1958.

End of last week in—
  1957—March28½24½-2516½15½  20-2110-10½16½11
        June2926½16½159821-2310-1117½*11½*
        September28½27½-27¾15½1322*11*13½*
        December25¾24½14½1210¼20*12*1410½
  1958—March 24½-2521½-2214½131210½19-2115-1620*15*
        June27-27½24½-2617-17½151210½2115....
        September29½27-27½17½15½12½11.......
December§28½25½-26½13½-141210-1110........
  1959—January26½-27½24½-25½12½-1310½10-10½10......19½-20
        February22½-23½21-221210-10½10-10½10....21-2220½-21
        March22½21-221210½-11109½-10........
        April21½-2221-21¼1210½9........
        May21½-2221-21¾121187-7½........
        June20½-2120½-211312½8........
        July19½-2018½-19 138-8½........
        August19½-2018½-1913½13½9-9½8........
        September19½-2018-18½11½-1211-11½9........
        October19½-2017½-1810½9½-108........
        November20½-21½19-19½10-10½9½-108......16½-17
December2725-2610-10½9½-108-8½....22-22½17½-18
  1960—January28-28½26-27½141198....22½-2318-18½
February2723½-2513-13½11½9½-10....23½19½*

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 by products 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 1950-51 to 1959-60 seasons are given below.

ItemSeason
1950-51*1951-521952-531953-541954-551955-561956-571957-581958-591959-60

* Owing to the late commencement of the season, figures quoted are the effective opening prices issued in December 1950.

† From 1950-51 to 1952-53 price is given for 720 1b. and under, for 1953-54 the average price relates to carcases of up to 880 1b., and from 1954-55 to 1957-58 the price refers to carcases of up to 800 1b.

‡ ½d. per pound less paid for weight 49 1b.—56 1b.

Price of Lamb, Wether, and Ewe Mutton, in Pence per Pound
Lambs-
  Downs (29-36 1b.)191618¾19¾272423262013½
  Canterbury (29-36 1b.)16¾19½20¼13
  Crossbred (29-36 1b.)18¾16½1919¾13½
  Seconds (29-36 1b.) (N.I.)17¾1518¼192623½22251912½
Wethers—
  Primes (48 1b. and under)—
    North Island10½101112½14¾16¼15¾1411¾6
    South Island10910½11¾14½15½1513½11
  Seconds (48 1b. and under)—
    North Island99⅛10⅜11¾13¼12¾11¾
    South Island988⅝11½12½12119
Ewes (48 1b. and under) (N.I.)8⅝64
Price in Shillings and Pence, Per 100 1b. of Beef (N.I.)
Quarter beef, North Island—
Ox, chiller beef (680 1b. and under)Ox—...... 12701400120080095013001350
    G.A.Q. (680 1b. and under) 700910100010401240110060080013001350
    F.A.Q. (all weights)5866708869201076100055075011761176
  Heifer—
    G.A.Q. (680 1b. and under) 700910100010401240110055072612261276
    F.A.Q. (600 1b. and under)5866708869201076100050070011761176
  Cow, G.A.Q. (all weights)580646750730100090050065010001100
Boner beef (cow)48050075060085080070082614001200

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 1959-60 season.

Class of MeatGrade of MeatMinimum Price Per Pound f.o.b.
  d.
LambPrime Down Cross 29-36 1b.15¾
Wether muttonPrime 49-56 1b.9
Ewe muttonPrime 49-56 1b.5⅜
Chilled beefOx 680 1b. and under13¾
Ox and heifer quarter beefG.A.Q.: 680 1b. and under11
Quarter cow beefG.A.Q.: 600 1b. and under8⅜
Boner cow, ox, and heiferAll weights, boned-out value10½
Boner bull11
Veal (sides or quarters)Under 280 1b.9
PorkersPrime 60-80 1b.15½
BaconersPrime 111-160 1b.14

Deficiency Payments.—Payments are made from the Meat Industry Reserve Account when the f.o.b. equivalents 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. In the 1957-58 season there were no payments under the scheme. Some payments were made in the 1958-59 season and the amount involved was £79,000. In the 1959-60 season deficiency payments were made on new season's lambs killed for export at the rate of 2¼d. per pound from the end of September, dropping to 1½d. per pound in early December and then ceasing; deficiency payments were also made on wethers, hoggets, and ewes killed for export.

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 Account*Wool Capital Account Wool Contributory ChargeWool Retention Moneys

* As at 30 September from 1948.

† 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.

§ No balance remained in wool retention accounts after 31 January 1957.

| At 31 July 1959 the Dairy Industry Account was in credit to the amount of £1,569,683 but this was not an actual reserve balance - it was being held subject to end-of-season payout arrangements to be completed for the trading year ended 31 May 1960.

1942..749,801......
1943..1.883.547......
19444.075.0944.317.432......
19454.841.0609.159.084......
19464.896.05812.201.928......
19476.831.51218.222.1405.046.287 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) 
195224.556.64640.429.37926.672.68528.093.000
195325.528.11740.449.82227.630.16321.801.000
195425.127.49939.550.76128.387.86816.174.000
195524.530.15540.276.65228.230.36010.226.000
195627.146.28740.681.00928.990.9863.798.000§
195713.912.50641.292.09829.751.198..
1958−7.349.48542.227.69930.522.781..
1959|43.218.14831.268.223.. 

Chapter 21. SECTION 21—FORESTRY

Table of Contents

HISTORICAL INTRODUCTION.—New Zealand, except in certain limited areas*, possesses a climate favourable to forest growth, and in ancient times the land was almost entirely forest clad. Volcanic action in the central North Island, decreasing rainfall in the east of both islands, and cultivation and use of fire by the Maoris substantially reduced the forest area; nevertheless, the first white settlers found a land which may have been two-thirds covered by dense forest.

In the early days of settlement the demand for timber was met by exploitation of the kauri forests of the far north. These forests were almost completely destroyed by logging and subsequent burning of the cut-over areas. Wide areas of podocarp-broadleaf forest in both islands were cleared, often without extraction of timber, to make way for farms. Although Acts of Parliament passed in the 1870's and 1880's made provision for the setting aside of forest reserves, there was little interest in conservation, and land-clearing operations extended well beyond the limits now considered desirable in the public interest. Towards the end of the century the need to conserve the forests of the high mountain watersheds was recognized. National parks, scenic and “climatic” reserves amounting to about two million acres, in all constituting 3.1 per cent of the land area of New Zealand, had been set aside as “permanent forest” by the early 1900's.

In 1909, in addition to this “permanent forest”, there were more than seven million acres of privately-owned forest (including forest on Maori land) and nearly eight million acres of Crown-owned forest. The whole of these latter areas was open to exploitation and the forest was being rapidly destroyed in the production of the annual cut of some four hundred million board feet of timber. Although some “State forests” had been proclaimed, the name did not, as now, imply forest preservation, and the State forests were subject to the same lifting of reservations and the same destruction as other forests on Crown land. Milled areas were either sold for settlement or replanted with exotics.

It was at that time universally believed that the indigenous timber trees were too slow growing to have any place in schemes of forest management for continuous yield, that New Zealand's millable indigenous forests would be exhausted some time in the 1940's, and that future timber supplies must come from imports and from the exotic plantations which the State had been steadily establishing since 1898. In 1913 a Royal Commission on Forestry recommended extension of the permanent forests of the mountainous regions by nearly two million acres. However, it sanctioned the continued destruction of the indigenous milling forest on the ground that no land should be permitted to remain under forest if it could be “occupied and resided upon in reasonably limited areas”. The Commission recommended greatly increased State plantings of exotics (especially radiata pine and eucalypts) to provide for future needs, but the rate of planting remained the same (about 2,000 acres a year) until the 1920's.

The First World War brought a timber famine and high prices. Awakened public opinion, alarmed at the prospect of the exhaustion of indigenous timber supplies within a generation, demanded a new approach to the question of forestry. The full impact of the recommendations made by overseas professional foresters who had from time to time reported on the forests at the request of the Government was at last to be felt. In 1919 the Commissioner of State Forests formulated a policy of permanent dedication to forest management of all Crown forested lands valuable chiefly for forestry and timber production, and of extended State planting to provide supplementary timber supplies.

In 1920 a new administrative agency, the State Forest Service, was created to carry out this policy. At its head, as Director of Forestry, was placed a highly trained and experienced forester. Professional forestry officers were appointed, and henceforward the forests were to be managed on scientific principles.

In the period 1923-36 State planting was greatly expanded, 376,500 acres being planted with exotics. In the same period afforestation companies created 297,000 acres of exotic forest. This activity was designed to provide exotic forests whose produce would offset the forthcoming acute shortage of native timber. The resulting forests are characterised by lack of variety in age and species (88 per cent of commercial plantings were radiata pine), by large areas which are poorly stocked, owing to unsuitable siting and the use of inferior strains, and by lack of silvicultural tending. Although these characteristics render them extremely susceptible to insect and fungal attack, NewZealand's exotic forests have not been devastated by epidemics; but as the trees mature the danger increases. The Forest Service recognizes these facts, and the policy since 1937 has been to plant at a slower rate (several thousand acres each year), to establish a wider range of species, to use the best seed, and to pay attention to correct siting and tending. A Forest Biology Survey has been established to operate a sentinel service for the detection of incipient insect or fungal epidemics.

* The exceptions are: land above 4,000-5,000 ft. (North Island), above 3,500-4,500 ft. (South Island), and above 1,000-1,500 ft. (Stewart Island), and parts of the eastern South Island.

Owing to the ever-present threat of disease in the exotic plantations, the Forest Service is preserving, as a safeguard, as much as possible of the indigenous forests which, by reason of their adaptation to the country and their tremendously varied composition are much less vulnerable.

The indigenous forests are still, despite the greatly increased use of exotic timber, being depleted to provide some 300,000,000 board feet of timber annually. However, as public acceptance of exotic timbers becomes more complete, it will be possible to reduce the output of indigenous timber to a level at which cutting is more in line with conservation policy.

NATIONAL FOREST POLICY.—The aim of the Forest Service is to manage the national forest estate in such a way that it will provide the greatest possible economic and social benefits for the people of New Zealand. These benefits include the production of timber, paper pulp, and other forest products; the prevention of erosion and the regulation of stream flow; and the provision of scenic and recreational resources.

The national forest policy requires (a) the conservation of the indigenous forests for perpetual (though of necessity limited) timber production, for soil protection, and for recreation; and (b) the extension of the exotic forests to maintain the pulp and paper industry, and to make possible, by providing additional timber supplies, the conservation of the indigenous forests.

FOREST RESOURCES: Forest Produce Supplies.—The salient features of the supply situation are:

  1. The National Forest Survey has shown that of the remaining indigenous forest some 2,000,000 acres contain timber merchantable by today's standards. It has been estimated that the amount is 3,200 million cubic feet, representing 20,500 million board feet of sawn timber. In addition, there are about 900,000 acres of exotic forests.

  2. The indigenous forests, from which 20 years ago 86 per cent of rough-sawn timber supplies were obtained, at present supply approximately 50 per cent. In 20 years' time they are expected to provide about 14 per cent. In the distant future the amount of produce obtained from them will depend upon the successful introduction of management practices.

  3. It can be expected that a high proportion of the exotic forests will be worked on a sustained- yield basis. Besides supplying 50 per cent of the rough-sawn timber cut at present, they yield in addition 37 million cubic feet for posts and poles and for conversion into pulp.

  4. Imports of timber have varied from 30 to 60 million board feet during the past 10 years. They are composed of special-purpose timbers—large-dimension Oregon pine for structural use, joinery timbers, and Australian hardwood poles and sleepers.

  5. While supplies of produce from indigenous forests will decrease in the future, the area in exotic forests and the produce from them will increase. Timbers from exotic species could also in time largely replace imported timber and, provided the increase in forest area is sufficient, will provide a substantial amount of produce for export.

Extent of Forested Land.—All readily accessible native forests have now 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.

Classification of Forests.—More than three-quarters is not merchantable forest and is termed “other land classed as forest”. This is mainly Crown-owned, indigenous forest, 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 includes considerable areas of potentially 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 this class of forest.

Some 5 per cent of the forested area may be classed as “potentially merchantable” forest—forest which, owing to inaccessibility, has not yet been exploited but would be merchantable if such factors as demand and transport become favourable. “Potentially merchantable” forests also lie mainly on Crown land, and are entirely indigenous.

“Fully merchantable” forests are more diverse in tenure and composition than either of the other two classes already mentioned because they include almost all the planted (exotic) forests, of which nearly half are owned privately or by local authorities. Fully merchantable 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 merchantable 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
(a) Merchantable—
    Indigenous1,534..5792,11313.8
    Exotic465374129145.9
        Totals1,999379913,02719.7
(b) Potentially merchantable—
      Indigenous700..1018015.2
      Exotic     
          Totals700..1018015.2
(c) Other land classed as forest—
    Indigenous8,906..2,65011,55675.0
    Exotic12.. 120.1
        Totals8,918..2,65011,56875.1
(d) Grand totals—
    Indigenous11,140..3,33014,47094.0
    Exotic477374129266.0
        Total forest area11,617373,74215,396100.0

NOTES

  1. 1. State forest includes all forest under the control of the State through the New Zealand Forest Service or other Government Departments.

  2. 2. Communal forest includes all forest under the control of local (i.e., public) authorities other than the State.

  3. 3. Maori forest is included under private forest.

  4. 4. Areas of communal and private forests are approximate only.

Botanical Composition of Forests.—The indigenous forests of New Zealand may be grouped very broadly into two main formations, mixed temperate evergreen forest and southern-beech forest. The former is 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).

In general terms, the mixed temperate evergreen forests are the forests of the north and of the warm, wet lowlands and lower mountain slopes. Their upper altitudinal limit becomes gradually lower from north to south. The beech forests are the forests of the south, of the high mountains, and of the drier lowlands. But the beech species are absent from many localities, e.g., Stewart Island and Mount Egmont, where their presence might be expected. There are also extensive areas, especially in the north-west and south-west of the South Island, and on the mountain ranges of the North Island, where the two types mingle to form forests of very varied composition.

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 (mixed temperate evergreen forest in which kauri is the dominant species) once occupied much of the area north of a line joining Port Waikato to Tauranga, but, except for limited reservations and small pockets, it has disappeared. The main secondary tree species are taraire and tawa. Mixed podocarp forest (the principal podocarp is rimu; the important secondary ones, totara, matai, and miro) was found at all latitudes in the 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. solandri). 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 western 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, not already mentioned, are kaikawaka (Libocedrus bidwillii) and thin-bark totara (Podocarpus hallii).

In the undisturbed indigenous vegetation there were limited transition areas between tussock grassland and forest proper that carried manuka (Leptospermum scoparium and L. ericoides), and sometimes bracken fern (Pteridium esculentum). With the destruction of much tussock grassland and forest, these belts have extended, and manuka has even occupied extensive areas of destroyed forest remote from any original manuka stands. These stands are important because they are often a stage in succession back to mature forest. Manuka is also a very useful fuel.

Much land now classified as forest consists of a second growth of broad-leaved shrubs and trees which have come in after milling operations or on abandoned farm land.

Exotic plantations over ten acres in extent now total some 875,000 acres, besides which there is a large total acreage of smaller farm woodlots and shelter belts. These areas of exotic species already provide nearly half of the country's timber requirements, and before many more years 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 and 1935. Other plantations are scattered throughout the country, although there are still some timberless districts with few plantations, notably Taranaki, Poverty Bay and the East Coast, and South Canterbury.

NATIONAL FOREST ADMINISTRATION: Forest Authority.—The administration of State forests and afforestation activities was for many years under the control of the Department of Lands and Survey. But in 1918 the office of Commissioner of State Forests was separated from that of Minister of Lands, and in 1919 a forestry sub-department was formed. In 1920 the State Forest Service was established as a separate department of State, which was given statutory recognition and administration authority by the Forests Act 1921-22. The Forests Act 1949 consolidated previous legislation and changed the title of the Minister from Commissioner of State Forests 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, 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 control of the Forest Service is exercised by the Director of Forestry from the head office in Wellington. A Conservator of Forests, who is the local representative of the Director of Forestry, controls each of the seven conservancies into which New Zealand is divided. Forest Rangers responsible to the Conservators, have charge of districts, which are subdivisions of the conservancies. Each district contains one or more managed forests. The central administration of forest policy is carried out by seven divisions, each under an Inspector in Charge.

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 1949.

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 Act 1956.—This Act transfers to the Forest Service the responsibility for controlling and eradicating noxious wild animals, and confers on the Minister of Forests the appropriate powers. These activities were formerly carried out by the Wildlife Branch of the Department of Internal Affairs under the Wildlife Act 1953; but the Forest Service, being responsible for the welfare of the forests and having a greater knowledge of their needs, is now considered to be the more appropriate authority.

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.

Fire Prevention and Control.—The Forest and Rural Fires Act 1955, and the Fire Services Act 1949, provide for fire prevention and control throughout New Zealand.

The Forest and Rural Fires Act 1955 makes each county council a fire authority for the county area under its control, and provides for the setting up of rural fire districts each administered by a committee, or by the Minister of Forests, as fire authority. The Minister of Forests is the fire authority also for almost all unoccupied Crown-owned land outside rural fire districts, while the Soil Conservation and Rivers Control Council is the fire authority for soil-conservation districts. Rural fire districts, soil-conservation districts, most unoccupied Crown-owned land, and urban fire districts, are excluded from the control of county councils. Regulations in force 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: Objectives.—In the field of production forestry, as distinct from protection forestry, the management activities of the Forest Service are directed towards two ends:

  1. To protect, conserve, and, if possible, perpetuate the remaining indigenous forests of the country.

  2. To create an exotic estate large enough and sufficiently diverse to supply the future needs of New Zealand in timber and other forest produce, and to provide an exportable surplus.

Indigenous-forest Management.—Conservation measures in indigenous production forests involve regulation and restriction of the permissible annual cut, protection against fire, a careful watch for trespass and the prosecution of offenders caught, rigid insistence on close utilization, both of forests and forest products, and finally block sales of carefully measured and appraised standing timber. Of these measures the last one is particularly important. The system of block sales introduced by the Forest Service in 1921 is in sharp contrast to the previous method of “royalty payment off the saw”. The present system encourages close utilization since the sawmiller is required to pay for all timber measured; the previous one encouraged unnecessary waste both in the forests themselves and in the subsequent milling processes. It is estimated that through this administrative reform the Forest Service has succeeded in conserving some 700,000,000 board feet of timber which would otherwise have been left to rot in the forests or been thrown away in slab heaps. A large part of the indigenous-forest officers' work is in the routine administration of the block sale system, i.e., in the careful measurement and appraisal of trees for sale and in the periodic and equally careful inspection of milling operations to ensure that waste is not taking place.

Of equal importance to this policy of “conservation through close utilization” is that of rationing the cut of indigenous timbers so that the remaining supplies, particularly of high-quality wood, are spread out over as long a period as possible instead of being used up 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 may 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 timbers.

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 places podocarp forests are being logged by the Forest Service, with a view, among other things, to reserving 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 places further stability is being sought by the practice of interplanting logged areas with exotic species (mainly Douglas fir and western red cedar), combined where possible with the planting of adjacent areas of open country. By this means a sustained yield, part exotic and 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 the vast forests from which timber was first felled in 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 improve 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, wind throw, 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; for the beech seedlings are continuously grazed and regeneration is effectively prevented. Work in the intensive management of the beech forests has been commenced in selected areas. In virgin forests it consists in preparing the ground for the reception of seed, marking seed trees for retention, erecting deer-proof fences, felling and utilizing merchantable trees, and, finally, felling 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 reservation of seed bearers and the imposition of diameter-limit restrictions prohibiting the felling of young vigorous trees will materially aid the regeneration and improvement of the forests.

It is confidently expected that as a result of these measures future generations of New Zealanders will become heir to beech forests as healthy and productive as the best hardwood forests in the Old World.

Recreation in Forests.—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 along 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—loblolly, slash, and long leaf pines—have found a place in the more northerly forests. Minor species planted on a restricted scale are larch, lodgepole, strobus, and patula pines, Japanese cedar, Lawson cypress, Monterey cypress, and western red cedar.

The estimated species distribution in State and private plantations at 31 March 1959 was:

SpeciesAcres (000)Percentage
Radiata pine54559
Ponderosa pine809
Corsican pine829
Douglas fir525
Others and mixtures17118
        Totals930100

In spite of failures New Zealand now has a large and valuable exotic-forest estate which is providing approximately one-half of the annual sawn-wood requirements and, in addition, is supporting a large and growing pulp and paper industry. 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. In the absence of tending this will result in a corresponding peak in production of mature timber, leading to utilization difficulties. The position is much the same with the other major species.

  2. The High Proportion of Radiata Pine: Some 60 per cent of the total area is in radiata pine, but 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 asP. 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 spacing, and the failure during the same period to plant up gaps in the 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 into long-term schemes for sustained-yield operation. Working plans, which when approved have ministerial authority, are prepared for all exotic forests, with the object of coordinating all these operations for a term of 5 to 10 years. They 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 many cases natural regeneration has followed logging, and second-rotation crops are now well established. In order to grow high-quality timber, to get the maximum production from the soil, and to lessen the chances of insect or fungal attack, these dense young stands must be thinned early and often. This work is given a high priority.

Production from State exotic forests is now over 36,000,000 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 wood pulp permits the clearing of much produce previously wasted as unsaleable.

Soil Conservation and Water Regulation.—Through its ownership and control of some 6,000,000 acres of protection forest the Forest Service is deeply involved in the vital national question of conserving soil and water resources. Ever since its inception the Forest Service has insisted that maintenance of an adequate vegetative cover on steep country is the only means of preventing accelerated soil erosion and one of the main means of regulating stream flow. Engineering work in the lower reaches of rivers is essential to reclaim swamps and to prevent flooding of alluvial flats, but these must be protected by adequate measures in the headwaters and catchments of rivers. Soil erosion, which both denudes the catchments and aggrades the rivers, can be prevented only by a continuous cover of vegetation.

Guided by these convictions the policy of the Forest Service in soil-conservation measures is clear cut. It is simply to initiate or encourage any action which would conserve or improve the existing cover, and to prevent or discourage any action which would have the reverse effect. This policy dictates the management activities of all State forests where soil erosion is an important consideration; it is advocated by the Forest Service as the correct policy for all types of eroded land, irrespective of land tenure.

The forest-management activities undertaken in protection forests are protection from fire, prohibition and control of grazing, limitation of sawmilling activities, reservation of secondary species in some logging operations, control of animal pests, and, in some cases, artificial re-establishment. Of these, the most important are fire prevention and suppression and the control of introduced animal pests.

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.

Stabilization of Sand Dunes.—Sand-dune fixation is under the joint control of the Department of Lands and Survey and the New Zealand Forest Service. The objective is twofold; the stabilization of dunes for the protection of agricultural and pastoral land, and the establishment of production forests. The Forest Service plants marram grass, sows lupin, and later establishes trees on certain protective zones and on areas that have no agricultural or pastoral potential. Four schemes are in operation—at Woodhill, Waiuku, Waitarere, and Santoft—the total gross area of which is 45,791 acres. About 11,000 acres of trees have been planted. Much of the area permanently fixed with trees will become productive forest in years to come.

Protection of Forests and Timber:Protection against Fire.—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 protective 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 Forest and Rural Fires Act by other fire authorities.

An efficient fire-fighting service is maintained wherever the Department has fire-fighting responsibilities, according to the needs of each district. This reaches its highest level of organization in the larger exotic forests, where standard Forest Service lookout cabins equipped with fire finders, radio, and telephones are located. Trained fire-fighting crews with modern equipment can be brought into action at a minute's notice and controlled through a radio network. Aerial patrols operate during each fire season in the important Rotorua area.

The provision of a fire-hazard prediction and warning service is an essential function of the fire-protection organization. A nation-wide network of fire-weather and radio stations is maintained, and the fire-hazard situation in any part of the country is known at the Head Office of the Forest Service in Wellington each day during the 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.

The legislative provisions for fire protection are outlined earlier.

Protection Against Noxious Animals.—It is the function of the Noxious Animals Division to control deer, goats, opossum, wallabies, chamois, pigs, thar, and other introduced wild animals.

The widespread populations of many of these animals have a serious effect on the regeneration of forest trees and of ground-cover vegetation both in forests and on the alpine meadows above the mountain forests. The natural forest floor of ferns, mosses, and shrubs has been extensively damaged by such ground-browsing animals as deer and goats, while simultaneously the upper storey is being adversely affected by the canopy-feeding opossum. These changes have led to a much accelerated water run-off with consequent soil erosion, root exposure, river-bed aggradation, and flooding. Damage resulting from the impact of noxious animals on protection forest and in contiguous alpine areas, while not as devastating as that from fire, is continuous and much more widespread.

Damage by deer and opossums in commercial exotic forests over the past few years has made it necessary to extend control measures into these forests.

Though hundreds of thousands of noxious animals are destroyed each year and though modern facilities, such as the dropping of supplies by parachute to field parties in remote and mountainous regions, are made use of, the task of control is arduous and dangerous, and overall progress is slow.

Noxious-animal advisory committees have been established to assist in coordinating various public interests and to encourage the sportsman and private hunter to take a more active part in the control of noxious animals. Mass killing methods more effective than killing with the rifle are necessary and the possibilities of employing these are being investigated.

Small field-investigation teams of the Development Division are concerned with the development of improved techniques of control. When the latter pass out of the experimental stage they are applied on a large scale by the Noxious Animals Division.

Control of Insects and Fungi.—Sound silvicultural practices are the first line of defence, rendering trees less vulnerable to attack.

Biological control over insect pests is exerted by their natural enemies, insect or fungal parasites. Introduced species frequently come into the country without their natural enemies; part of the work of the biologist is to breed and liberate the latter.

Chemical control is an emergency measure to deal with outbreaks. It includes spraying of affected forests from aeroplanes, chemical treatment of nursery soils, and the dipping of timber to prevent attack by bark beetles and fungi.

Observers of the Forest Biology Survey maintain a constant watch on the exotic forests and on woodlots and shelter belts, and it is planned to extend this surveillance to the indigenous forests. The observers send thousands of representative collections of insects and fungi to the Biology Survey laboratory at the Forest Research Institute, Rotorua, where the material is identified and studied. Thus any incipient epidemics can be detected in time for effective control measures to be taken; and much useful data is accumulated which helps to elucidate the relationships between the organisms and the forests.

Timber Inspection and Quarantine.—In keeping with current world trends, the Forest Service has developed an efficient quarantine service which covers all timber entering or leaving New Zealand.

In the past, this country has enjoyed comparative freedom from introduced insect pests, but the ever increasing tempo of international trade has multiplied the chances of accidental importation of harmful insects. Timber quarantine as practised in New Zealand embraces all imported timbers (including sawn, hewn, and natural round produce), ship's dunnage, and imported cases and crates. These are inspected, and if necessary are treated to destroy harmful insects.

The same care is given to export timber, which must be completely free of insect attack before export is permitted.

Research.—The complexity of the many indigenous-forest and exotic-forest problems requires the maintenance of an organization to ensure the continuity and co-ordination of research effort. Since 1947 all forestry and forest-products research (including research on noxious animals) administered by the Forest Service has been undertaken or co-ordinated by the Forest Research Institute, Rotorua. In addition, the Department of Scientific and Industrial Research, the universities, and private industrial organizations undertake research into certain aspects of forestry and forest products.

The scope of present research by the Forest Research Institute is outlined below.

  1. Silviculture.Intensive study of the ecology of beech, kauri, and podocarp forests leading to the development of systems of silviculture which will provide the basis of sustained-yield management.

  2. Establishment of a series of permanent sample plots in commercial exotic forests to study the response to various grades of thinning and to obtain data on growth and yield throughout the rotation.

  3. Research on the origin and quality of seed, applied to the breeding of improved strains of trees, and on the 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 or tree growth.

  4. Development of national arboreta in geographically representative localities, and a central herbarium of forest vegetation.

Mensuration.—The compilation of volume tables for both standing forests and logs, in respect of both indigenous and exotic species. Yield tables for exotic species; increment studies; research on timber conversion factors and log scaling; and form-class investigations applicable to chief exotic conifers.

Forest Pathology.—The investigation of organisms and other factors harmful to the growth of forests. The work includes a New Zealand wide forest biology survey and the biological control of insect pests. Mycological work concentrates on fungi attacking radiata pine and beech forests. (See also Control of Insects and Fungi earlier.)

National Forest Survey.—The present work follows three distinct lines:

  1. The survey of all State-owned and privately owned exotic plantations.

  2. The ecological survey of all indigenous forests, which aims at understanding and being able to predict the ecological changes which are of importance for production forestry and protection forestry, and the rates at which they occur.

  3. The protection-forest survey which is being carried out by the staff of the Forest and Range Experiment Station, located at Rangiora, to determine the present condition and trends in condition of the protection forests and associated lands (e.g., subalpine scrub, alpine meadows) of the principal mountain ranges.

Animal Research.—The various aspects of forest-animal interactions are being studied, so that a sound knowledge of ecology may form the basis of animal-population control. It is hoped that this work will assist in maintaining or, where necessary, improving the protective vegetation. (See also Protection against Noxious Animals earlier.)

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 other forest products. Parallel with the basic studies are those relating to the establishment of grading rules, to air seasoning and kiln drying, and to wood preservation and wood use generally. The research data are used also in the preparation of standard specifications and codes of practice, for instance in revision of the building code for timber construction, which has been a major task during recent years. Work is undertaken by the Department of Scientific and Industrial Research on wood chemistry, paints and other coatings, and wood preservatives, especially in relation to timber-boring insects. Larger companies engaged in utilization of exotic-forest softwoods are building up technical and research staff whose contributions are more especially in the pulp, paper, and timber-utilization fields.

Training in Forestry.—The Forest Service recruits its forest rangers and professional officers as “technical trainees” at the age of 17 to 19 years. They work for one year in the forests, after which future forest rangers attend a ranger school for two years. A few are chosen as “professional trainees” and are assisted to obtain a B.Sc. degree (or an arts degree for an administration career); after graduation the former are eligible for selection to attend a school of forestry overseas to complete a degree in forestry.

To build up a permanent and efficient skilled-labour force, the Forest Service now recruits each year about 70 youths of 15 to 17 years of age. These “junior woodsmen” undergo a four-year course of training in practical forestry at one of the three woodsmen schools which are situated at Kaingaroa, Golden Downs, and Totara Flat. In 1959 a scheme for the training of hunters for wildlife control was inaugurated. Those selected attend a four-week induction course at the Glen Hunter Training School at Golden Downs and then receive field training at one of three extension camps. Refresher courses and courses for timber graders, timber inspectors, and other specialized workers are held periodically at the Forestry Training Centre, Rotorua.

The Government also offers bursaries to help science graduates not in its employ to qualify at recognized overseas forestry schools. Other scholarships for study or for research are available from a private fund.

Public and Private Forestry:Extension Services.—Private and local-authority planting commenced as early as 1855, and for some years afterwards encouragement was given by means of grants of land or money. In 1916 the State commenced selling trees to private planters at very cheap rates, and later further assistance was afforded by the appointment of extension-forestry officers. Both these services were discontinued in 1931 after strong representations from the Horticultural Trades Association, and since then extension-forestry work has become part of the duties of Forest Service field staff. Recent discussions with the association resulted in a plan of co-operation between the State and the trade for the supply of planting stock in bulk lots.

The sale of cheap trees, coupled with a revival of interest in private planting through the establishment of farm forestry associations throughout the country, has resulted in an increase in extension forestry work.

Private Forestry.—Afforestation companies boomed in the 1923-30 period, when huge areas were planted. The species used was almost wholly radiata pine. Utilization, which has been in operation for some time now, has endeavoured to bring this short-period establishment into a normal series of age gradations, and the area cut over is already being regenerated.

The private forest estate (i.e., forest holdings other than State) was reported in 1952 to be 432,000 acres, in the following ownership categories:

 Acres
Afforestation companies311,000
Local authorities30,000
Private persons (mostly farmers)91,000
                   Total432,000

It is doubtful whether the plantings since 1951 have done much more than replace the acres of mature timber felled each year for utilization purposes, so that the present acreage is probably little more than the figure quoted above. The exotic-forest survey being inaugurated at the present time will, in due course, yield more accurate information on the exotic-forest estate.

Forest Taxation.—Regular income from the sale of trees is taxable in the same way as other income. However, in recent years some measure of tax relief has been afforded to farmers who own plantations. Expenditure incurred by a farmer in planting and maintaining shelter belts and woodlots may be offset against income for tax purposes. Income from the intermittent sale of farm trees may, on application to the Commissioner of Taxes, be spread over a period of five years in order to mitigate the effects of the higher graduated tax. Both provisions give encouragement to farm tree planting.

FINANCE OF STATE ACTIVITIES.—Indigenous forests from which timber is sold are revenue producing. Exotic forests become revenue producing as they come to maturity, and indeed, a few of the older exotic forests have already reached this stage. Overall, at present more money is being spent on the establishment and tending of forests than is obtained in revenue.

Expenditure by way of general administration of forestry as distinct from the development of State forests for subsequent management is 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 latest five years.

£
Year Ended 31 MarchExcess of Expenditure Over Forest RevenueExcess Financed from—
LoansConsolidated Fund
19551,510,000723,000787,000
19562,014,0001,156,000858,000
19572,268,000897,0001,371,000
19581,998,000513,0001,485,000
19591,505,000Cr. 11,0001,516,000

The following table provides a summary of receipts and payments from all sources for the latest five financial years.

£
Item1954-551955-561956-571957-581958-59
Receipts
Indigenous forests—
  Sales of standing timber292,881360,081374,067377,882458,885
  Log sales from managed forests190,870202,203192,911193,393195,632
  Miscellaneous67,23376,60157,98956,44543,866
Exotic forests: log sales, poles, posts, firewood, etc.686,163727,032875,099913,906939,617
Sawmills, etc.—
  Sawn timber1,031,853894,757556,968739,935819,655
  Treated products237,216265,869305,986242,368340,116
  Box shooks154,333201,384152,41993,58754,900
  Miscellaneous13,07125,53734,51331,89432,603
Miscellaneous credits48,97643,616115,866106,310125,533
          Totals2,722,5962,797,0802,665,8182,755,7203,010,807
Payments
Allocation of revenue—
  Local authorities55,00161,19871,06763,96368,533
General management charges—
  Salaries686,01849,396881,5331,043,7711,100,854
  General expenses239,052252,714559,949552,182548,240
Land purchase13,82221,83241,46317,51140,554
Forestry projects under development and management—
  Exotic1,166,1731,292,3401,557,2541,455,7031,367,274
  Indigenous209,787223,391216,260211,611293,672
Sawmills, etc.—
  Operating expenses1,157,7591,135,142924,635942,8021,030,593
  Capital extensions184,537225,689156,07356,06632,342
Murupara pulp, paper, and sawmilling project—equipment, roading, etc.519,410849,102526,136410,66334,635
        Totals4,231,5594,810,8044,934,3704,754,2724,516,697

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 viewpoint be regarded as largely a wasting asset. Consequently, as far as the indigenous forest is concerned, the sawmilling industry has had to follow a constantly receding forest edge—with the inevitable result that the industry his 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 25 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 1930's 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 put on rapid growth, and the primary and original aim has been their management for sustained yield providing for 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 box making as there was still ample indigenous timber for all more demanding needs.

At the end of the 1930's 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. Several 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 1921 onwards.

Board Feet (Million)
Year Ended 31 MarchSoftwoodsHardwoodsGrand Total
IndigenousExoticTotalIndigenousExoticTotal
192129010300718308
1926335734210111353
1931208132219..9230
19362493428310..10293
19412775433111..12343
19462269732319322345
195130119049232436528
195230223353437441575
195330422953337340573
195428924353237341572
195528528957439442616
195627530558043346626
195727428155638341597
195828327856132436597
195928731460132436637

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.

The growth of exotic-timber production compared with the relatively steady production of indigenous timber is shown in the following diagram.

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).

Million Board Feet
SpeciesYear Ended 31 March
19551956195719581959
Rimu and Miro211208212219220
Matai3835333335
Totara1512101113
Kahikatea1918171818
Tawa1718161315
Beech1920191514
Other indigenous65565
        Totals, indigenous324318312314319
Exotic pines281297273268303
Douglas fir44567
Eucalypts33333
Other exotic66675
        Totals, exotic292308285282318
        Totals (all species)616626597597637

The Pulp and Paper Industry.—The New Zealand pulp and paper industry is now equipped for the substantial utilization of the big exotic forests on the volcanic plateau of the North Island. There are five plants, three of which are integrated with sawmilling. The integrated plants are pulping radiata pine logs from their own or from State exotic forests. There is no pulping of indigenous species.

The basic products of the industry are mechanical and chemical pulp, which are converted into such products as newsprint, kraft and other paper, paperboard, and fibreboard.

The following table gives the production of pulp in New Zealand since 1939-40.

Tons
Year Ended 31 MarchWoodpulp
ChemicalMechanical
1940..217
1945..15,434
1950..21,438
195543,20429,568
195661,39537,994
1957115,42375,897
1958118,63690,801
1959131,708103,512

NOTE.—Mechanical pulp includes ground-wood pulp and defibrated pulp.

All mechanical pulp is used in the manufacture of paper, paperboard, and fibreboard, but there is a deliberate surplus of chemical pulp for export. (See table on Trade in Pulp and Paper, pages 575-576).

Production figures of pulp products in New Zealand since 1939-40 are as follows.

Tons
Year Ended 31 MarchNewsprintOther PaperPaperboardFibreboard
1940..6,2536,620 
1945..6,33514,2846,862
1950..7,11114,67613,526
1955..22,49417,77920,591
19569,00028,15420,22521,340
195752,70030,83824,73221,415
195864,70037,99828,28221,000
195975,30043,86432,48423,030

The rise of production of pulp and pulp products is clearly shown in the following diagram.

Tasman Pulp and Paper Co.—This company was formed in 1952 to utilize timber from the Kaingaroa State Forest. Practical encouragement and financial backing were given by the New Zealand Government, which is represented on the Board of Directors. The Company's plant is at Kawerau, Bay of Plenty. The pulp and paper mill came into operation late in 1955 and the sawmill early in 1956. The annual rated capacity of the sawmill is 36 million board feet of sawn timber in one shift, while the capacity of the pulp and paper plant is 80,000 tons of newsprint, 60,000 tons of chemical pulp, and 65,000 tons of mechanical pulp. In September 1959 the company announced a further expansion with the installation of a second paper machine and ancillary plant as soon as possible to increase the annual newsprint capacity to 180,000 tons.

A subsidiary, the Kaingaroa Logging Co., whose headquarters is at Murupara, was formed to handle the log supply for the Tasman mills. Its directorate represents both Government and Tasman interests.

For details of the history of the Murupara scheme see the 1958 and earlier issues of the Year-Book.

New Zealand Forest Products Ltd.—This public company is already utilizing over 20,000,000 cubic feet of timber a year from its own 176,000 acres of radiata pine forest. Plant capacity is 30,000 tons of kraft paper, 65,000 tons of kraft pulp, and 75,000,000 board feet of sawn timber each year. In addition, the company is equipped to convert 10,000,000 board feet into wooden cases and to produce 100,000,000 square feet of veneer, 75,000,000 square feet of fibre board, 25,000,000 multi-wall paper bags, and 10,000,000 fibre containers. Less than half the annual increment of the company's forest is at present being utilized, and a programme of vigorous expansion is taking place, including the installation of a second and third paper machine and a second fibreboard mill. The integrated pulp mill, kraft-paper mill, and sawmill is located at Kinleith, near Tokoroa, while the fibre board, multiwall paper bags, and solid-fibre containers are manufactured in Auckland.

Other Enterprises.—Whakatane Board Mills Ltd. now operate two paperboard machines, with an annual production capacity of 32,000 tons. The company manufactures its own mechanical and semi-chemical pulp, and is self sufficient for more than 90 per cent of its raw materials.

Butter-box board is manufactured in Auckland by a company financed jointly by New Zealand Forest Products Ltd. and Whakatane Board Mills Ltd.

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., owns a mill making tissue and various light-weight papers adjacent to the Tasman Pulp and Paper Company's plant a 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.

The Mataura mill of New Zealand Paper Mills Ltd. has been in operation for more than 80 years. Its three machines produce a wide range of papers from fine tissues to heavy krafts, as well as paper felt, pressings, and manilas for special trade requirements. The mill is powered by its own hydroelectric and steam-turbo generating plants, and uses New Zealand made sulphate pulp, imported sulphite pulp, and waste paper. Annual production capacity is 8,000 tons.

Plywood and Veneer Manufacture.—Five factories are engaged in the manufacture of plywood, and the total output for the year ended 31 March 1959, when reduced to a uniform basis of 3/16 in. thickness, was 39,960,000 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 (1/16 in.)
Thousand Square FeetValueThousand Square FeetValue
  £ £
195532,699908,71427,060114,868
195635,6601,003,24140,438205,735
195737,8311,129,42949,986199,813
195838,7691,219,77650,763217,253
195939,9601,347,15964,283274,905

NOTE.—Quantities are shown on a common thickness basis.

(b) Species and Volume of Logs Used
(Volume in thousand cubic feet)
Year Ended 31 MarchSpeciesTotalValue
RimuMataiKahikateaRadiata PineOther
       £
1955879171108163101,331293,276
1956856107167341331,504328,951
195788596163488891,721380,062
195898999121477611,747412,557
1959973951175111031,799468,376

Production of Round and Split Produce.—Considerable quantities of native timbers have been required in the past to meet the needs for mining, fencing timbers, and firewood, and for a proportion of sleeper, pole, and bridge-timber requirements. Thinnings and small-diameter logs from exotic forests should now make useful contributions towards satisfying those needs, and justify the operation of commercial-sized preservative treating plants.

Wood Preservation.—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-head basis New Zealand is now by far the world's largest producer of preservative-treated timber for building purposes. House construction has traditionally been based on the use of heartwood of the indigenous softwoods, this 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 general owing to the depletion of indigenous resources. The further diminution in supply of both heartwood 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 arose 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 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 inspectorial 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 table shows the importance of this new industry.

PRESERVATIVE TREATMENT OF SAWN TIMBER

Board Feet (000)
YearOpen TankDiffusion Impregnation*Pressure ImpregnationTotal
* Mainly boron.
1954-55536,98461,48468,520
1955-56 7,30781,96789,274
1956-57 8,82983,79292,621
1957-58521,63783,522105,163
1958-59 47,18796,584143,770

In addition to the above, 1,266,000 cubic feet of roundwood, such as poles and fencing materials, was treated by the open-tank method, by diffusion, and by pressure impregnation.

Employment Statistics.—The following table shows the number of employees in the forest industries at 15 October in the years stated. (Source: Labour and Employment Gazette, Department of Labour.)

At 15 OctoberForestryLoggingSawmillingPulp and Paper IndustryOtherTotal
* Included in Other.
19461,8071,760*1,86815,04920,484
19502,1332,202*2,22218,07424,631
19552,2072,8426,3283,57313,67928,629
19562,4902,8546,2364,13813,52929,247
19572,4462,6805,9344,12913,63328,822
19582,5642,7386,2214,52014,12430,167

Notes:

  1. Forestry includes silviculture, nurseries, etc.

  2. Logging includes felling, cutting, and haulage.

  3. Pulp and Paper Industry includes manufacture of pulp and conversion of pulp into paper, paperboard, fibreboard, and paper products (excluding stationery).

  4. Other includes plywood and veneer manufacture, timber merchanting, and other wood-using industries.

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 to 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. Trade with Japan in pine logs is a recent development. In 1958, 1.5 million cubic feet of logs were exported.

Tables giving the details of the external trade in timber since 1954 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 ZEALAND

Million Board Feet
Calendar YearSawn TimberSleepersLogs and PolesTotal, All Timber
Australian HardwoodsNorth American Softwoods*OakOtherTotal
* Douglas fir, redwood and cedar.
19547.416.21.92.728.27.12.637.9
19558.822.03.04.738.57.84.250.5
19568.013.11.66.028.712.25.746.5
195710.619.51.67.038.719.45.463.6
19589.915.23.15.033.212.14.850.1

NOTE.—Figures have been adjusted to include items not given in board feet in published statistics.

ANNUAL IMPORTS OF TIMBER INTO NEW ZEALAND: COUNTRIES OF ORIGIN

Calendar YearAustraliaCanadaUnited States of AmericaJapanOther CountriesTotal
Million Board Feet
195417.111.34.82.02.737.9
195520.716.55.63.24.550.5
195625.810.42.81.85.746.5
195735.317.12.51.77.163.6
195826.98.55.93.25.550.1
£(000)
19547044361861431021,571
19559286632472811852,305
19561,2584561341482372,233
19571,9347291541132493,180
19581,3023572492192082,336

TIMBER EXPORTS FROM NEW ZEALAND

Million Board Feet
Calendar YearIndigenous TimberRadiata PineOther ExoticsTotal ExoticsTotal, All Sawn Timber
SawnCases
19540.131.02.2..33.233.3
19550.138.54.2..42.742.8
1956..30.93.60.134.634.7
1957..27.22.10.629.929.9
19580.433.44.91.339.740.1

NOTE.—Small quantities of roundwood are included in the exports.

ANNUAL EXPORTS OF TIMBER FROM NEW ZEALAND: DESTINATION

Calendar YearAustraliaPacific IslandsOther CountriesTotals
QuantityValueQuantityValueQuantityValueQuantityValue
 Million Bd. Ft.£(000)Million Bd. Ft.(£000)Million Bd. Ft.£(000)Million Bd. Ft.£(000)
195430.97941.9930.41733.3903
195539.61,0963.2164....42.81,261
195632.59472.1113....34.71,059
195728.58211.474....29.9896
195835.71,0574.4246..140.11,305

Total production of the pulp and paper industry will almost fully meet New Zealand's requirements, limit imports of these products, and leave a considerable surplus for export of 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 1954-58.

Imports

Calendar YearWood PulpFibreboardPaper and Paperboard
NewsprintOther PrintingGreaseproofWrappingPaperboardOther PaperTotal
* In thousand square feet.
Tons
19545,3432,136*37,8969,7012,0781,0516,9587,61865,302
19555,4629,869*45,92615,7963,3985,7898,6967,02986,634
19563,6377,186*39,87612,7442,7402,9483,8685,03667,212
19576,8355,775*32,75914,2072,9003,3444,3684,03461,612
19587,7581,335*23,85416,2663,1283,2143,2216,07255,755
Value £(000)
19542411631,9241,1422561335741,0275,056
19552562262,4511,8614264787181,2057,139
19561951071,8231,6343652864331,1415,683
1957316871,9131,8593823114481,1166,029
1958352191,3712,1174253403981,4996,149

NOTE.—(i) “Other Paper” includes all other paper imported, but not manufactures of paper and paperboard; values include items for which no quantities are given. (ii) Basis for valuation—current domestic value in country of origin.

Exports

Calendar YearWoodpulpFibreboardPaper and Paperboard
NewsprintPaperboardOther PaperTotal
* In thousand square feet.
Tons
195419,5831,359*283836102
195527,3411,616*36029515670
195647,3552,010*25,7402,21110328,054
195764,994737*35,9071,8691,18338,959
195868,9631,053*41,7371,0961,59844,431
Value £(000)
19548173154716
19551,131282121345
19562,002381,545138121,695
19572,626132,1701351352,439
19582,721182,632811722,885

NOTE—(i) “Other Paper” includes all other paper exported, but not manufactures of paper and paperboard; values include items for which no quantities are given. (ii) Basis for valuation—free on board at port of shipment.

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); The Physical and Mechanical Properties of the Principal Indigenous Woods of New Zealand (Entrican, Ward, and Reid); New Zealand Building Timbers (Reid); and the annual reports of the Forest Service and Forest Research Institute. See also the list of works on flora of New Zealand, page 14.

Scenic New Zealand

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 coasts 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, Stewart Island, and at Chatham Islands.

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 flat fish and snapper.

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.

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 1955.

STATISTICS OF FISHERIES.—Of the 1,473 licensed boats operating during 1958 those vessels whose income was over £200 totalled 863, compared with 812 in 1957. In this group 684 boats earned more than £500 in 1958. The number of persons employed on the boats which earned over £500 was 1,484.

The estimated total quantity and value of the principal classes of fishery products marketed in the years 1957 and 1958 were as follows.

UnitQuantityValue
1957195819571958
    ££
Wet fishCwt.498,302494,1731,503,9141,586,300
Whitebait (West Coast, South Island only)Cwt.3,3122,266113,865101,517
Oysters (dredged)Sacks77,69783,255155,393166,510
Oysters (rock)Sacks4,6663,95712,22312,226
MusselsSacks28,41438,74013,20818,522
CrayfishCwt.99,17887,351800,638728,637
Whale oilTons1,4401,373115,20068,650
Fish liverslb.258,073348,63820,41726,765
          Total value......2,734,8582,709,127

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.£ 
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
1957498,3021,503,914
1958494,1731,586,300

Kind or Class of Wet Fish Caught.—The following table shows the quantity and value of each kind of “wet fish” caught during 1957 and 1958.

Snapper was again the principal “wet fish” taken in 1958 and exceeded tarakihi by 43,031 cwt. The snapper catch was down 15,354 cwt. and tarakihi 4,599 cwt. below the 1957 catch but these decreases were largely offset by slight increases in many of the other varieties. Tarakihi and snapper comprised 50.96 per cent of the total “wet fish” landed in 1958.

Kinds or Class of FishQuantityValue
CwtPercentage of Total£Percentage of Total
19571958195719581957195819571958
Snapper162,789147,43532.6729.83423,055388,22828.1424.48
Tarakihi109,003104,40421.8721.12297,783284,88219.8117.97
Gurnard40,80939,4768.197.9991,72780,8906.105.11
Blue cod37,37630,8697.506.25102,18589,1536.805.62
Hapuku26,92230,1485.406.10163,608185,23910.8711.67
Trevally27,49828,7865.535.8436,67738,2182.452.41
Elephant fish21,04424,3814.224.9592,125104,7586.126.61
Sole10,21817,2002.053.4874,971128,8354.989.12
Flounder10,84116,4942.183.3493,124145,0846.199.16
Pioke7,4688,2241.501.6716,18220,1321.081.27
Moki6,2417,3321.261.4816,02218,3001.081.15
Shark5,9296,3741.191.299,45110,4140.630.66
Ling4,6485,2000.931.0517,50218,1491.161.14
Mullet4,0185,1660.811.0512,05815,4540.800.98
Barracouta5,1914,7061.040.959,1877,3060.610.46
John Dory3,3024,4570.670.909,45813,1170.630.83
Warehou2,4902,1930.490.445,7155,1760.380.33
Red cod3,9481,9310.790.398,9424,8320.590.30
Hake8191,6800.160.343,8946,7260.250.42
Butterfish1,2381,4580.260.307,0668,2120.470.52
Kahawai8781,1350.170.231,2551,4140.080.09
Whiptail1,2259120.250.181,7711,3070.120.08
Monkfish4978620.090.171,1431,9950.070.13
Mixed rounds1,4587510.290.152,5471,2640.170.07
Parore3814570.080.094765210.030.03
Herring4554560.090.091,0821,0310.070.06
Brill2764040.050.081,7793,0750.120.19
Skate4293830.080.084234940.020.03
Kingfish5413250.120.071,5966850.120.04
Mackerel1441810.030.041601740.010.01
Sardine481630.010.031354560.010.03
Conger eel1483..0.0219214..0.01
Trumpeter92670.020.014752770.030.01
Garfish44370.01..2551800.010.01
Maomao121....374....
Perch1916....5523....
Creamfish63....42....
Bonita11....14....
Frostfish11....33....
Whiting..1......2....
          Totals498,302494,173....1,503,9141,586,300....

Methods of Capture.—A table showing the total quantity of “wet fish” caught in 1958 by each of the common methods of fishing is shown below, with the figures for 1957 included for comparison.

Method of FishingQuantityValue
CwtPercentage of Total£Percentage of Total
19571958195719581957195819571958
Trawl335,841342,16467.4069.24959,6321,035,67463.8165.29
Danish seine30,29527,7436.085.6167,51463,5514.494.01
Long and hand lines99,59389,47619.9818.11355,430341,87223.6321.55
Set and drag nets32,57334,7906.547.04121,338145,2038.079.15
      Totals498,302494,173....1,503,9141,586,300....

The steam trawlers landed a total catch of 17,582 cwt. (3.55 per cent), while motor trawlers landed 324,582 cwt. (65.68 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
CwtPercentage of Total£Percentage of Total
19571958195719581957195819571958
Auckland116,400115,18323.3723.31251,196256,22216.7116.15
Wellington50,16445,30110.079.17167,257163,96811.1310.34
Timaru38,51840,9947.738.30173,658180,67911.5411.39
Napier25,52428,9615.125.8670,10081,9894.665.16
Lyttelton21,94926,9424.405.4597,378107,8886.476.80
Manukau33,82724,6926.795.0069,19052,5734.613.31
Gisborne27,15524,6575.454.9960,77556,4634.053.56
Nelson23,23219,7564.664.0068,23361,0874.533.85
Chatham Islands23,76418,1574.763.6735,16026,9272.331.70
Tauranga17,30117,1223.473.4641,70345,8082.772.89
Thames14,79014,4542.972.9345,31442,6953.022.69
Port Chalmers14,31414,0302.872.8451,90169,6933.454.39
Bluff10,67810,7502.142.1849,74150,0513.303.16

The total quantity of fish landed at these ports was 400,999 cwt., which was 81.14 per cent of the grand total.

EXPORTS.—The total value of fish and shellfish exported during 1958 was £1,258,694.

A table showing the principal classes of fishery products exported during each of the last three years is set out below.

QuantityValue
Unit195619571958195619571958
     £££
Oysters, frozenCwt.923..217665..
Mussels, etc.Cwt.9445961,0765421,180
Fish, frozenCwt.59,84165,51747,157473,101553,580428,600
Crayfish, frozen, including cray tailsCwt.43,85638,98123,3011,175,3111,345,980811,195
Fish, smoked, dried, etc.Cwt.3832772263,6693,0322,437
Fish and shellfish, cannedlb.94,65866,05458,61129,00012,25715,282
    Total values........1,682,3741,916,0561,258,694

Fish-liver Oil.—The quantity of fish livers processed during 1958 was 348,638 lb., 90,565 lb. more than in 1957. The total oil produced was 18,303 gallons, an increase of 3,818 gallons over the 1957 production. There was an increase in the supply of high-quality livers to the two factories operating, resulting in a higher output.

The bulk of the oil produced was exported. The 1958 exports were 15,661 gallons, compared with 13,105 gallons in 1957.

The total weight of livers processed and the quantity of oil produced in each of the last five years was as follows.

YearWeight of Livers Treated lb.Quantity of Oil Produced Gallons
1954773,66138,953
1955636,76431,696
1956370,92020,409
1957258,07314,485
1958348,63818,303

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 1958 season 83,225 sacks of oysters were dredged from Foveaux Strait, compared with 77,697 in 1957.

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 was undertaken by the State, private picking being prohibited. In 1958 a change was made in the marketing procedure, and sales to the public through the oyster depot were discontinued. The total supply of oysters is now allocated direct to the trade in an endeavour to achieve wider distribution through the retail fish shops.

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 by the State in 1958 totalled 3,957 sacks, compared with 4,666 sacks in 1957.

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.

YearQuantity Cwt.Value £
1954108,849658,515
1955116,670782,269
1956128,609964,134
195799,178800,638
195887,351728,637

WHALING.—The 1958 total catch was 183 whales, all humpbacks. Only one company was in operation during 1958. At Hauraki Gulf survey operations were conducted preparatory to an active season during 1959. In 1957 two companies caught a total of 186 whales. In the Cook Strait area the season commenced on 22 May 1958 and finished on 5 August 1958.

The total yield for the season was 1,373 tons of whale oil, 400 tons of whale meat, and 120 tons of bone dust.

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 1958 season (from November 1957 to June 1958), big-game fish caught included 9 black marlin, 541 striped marlin, 3 blue marlin, 249 mako shark, and 109 other species. Figures for the 1957 season recorded 13 black marlin, 433 striped marlin, 4 blue marlin, 212 mako shark, and 47 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 2,266 cwt. were caught in 1958.

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 season are £3 for male adults and £1 10s. for females and males under seventeen years, 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 open season for Taupo waters extends 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 1956, the Upper Hinemaiaia river in 1957, and Lake Opouri in 1957.

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

MINERAL PRODUCTION.—New Zealand's mineral resources are limited, particularly as regards metallic ores.

For many years following the first discovery of gold at Coromandel in 1852, and later in the South Island, gold mining was of great importance to New Zealand's economy. From an output of 10,437 oz. in 1857, gold production reached a peak of 735,376 oz. in 1866, then valued at £2,844,157. Since then a steady decline has resulted in gold production amounting to only 24,981 oz. in 1958.

Coal has for many years been New Zealand's most important mineral, the value of production being £7,820,000 in 1958.

With New Zealand's increasing agricultural and industrial needs, quarrying has grown in importance over the past 20 years, production in 1958 being valued at over £10 million. By far the largest contributor to non-metallic production is sand, rock, gravel, and aggregate for building purposes and road making, while limestone-quarrying is also an important industry.

The following table shows the production of metals and minerals during 1957 and 1958 from mines and quarries.

Mineral19571958
QuantityValueQuantityValue
Fuels
Coal2,612,463 tons7,540,0002,720,034 tons7,820,000
Petroleum (crude)205,215 gal.8,548192,000 gal.8,000
Natural gas6,781,500 cu. ft.1,6015,431,800 cu. ft.1,494
Metals
 Oz.£Oz.£
Gold30,195376,22324,981313,068
Silver1,2793362,339587
 Tons Tons 
Iron ore2,39910,1251,5337,825
Manganese ore36108103798
Tungsten ore30½10,0123577
Non-metallics
 Tons£Tons£
Asbestos2069,95140520,069
Bentonite1,57320,8981,80124,266
Clay for bricks, tiles, etc.256,279138,316296,257158,360
Clay for pottery, fillers, etc.5,91710,5237,79017,715
Diatomite3,15818,3415,65739,489
Dimension stone for building25,55362,78523,77365,088
Dolomite2,78416,1473,05217,702
Limestone for agriculture1,174,3361,117,2021,046,8371,040,031
Limestone for industry39,98344,44447,16255,844
Limestone, marl, silica sand, etc., for cement1,012,062310,6841,083,373342,322
Magnesite6026481,2001,855
Perlite (manufactured value)2751,89236010,000
Pumice15,17115,97723,08218,295
Quartzite....3712,041
Rock for harbour work776,566358,3231,234,873608,541
Salt7,650107,10020,300275,300
Sand rock, gravel, etc., for building aggregate2,585,9441,921,1642,717,3111,915,924
Sand, rock, gravel, etc., for roads and ballast9,467,2844,754,76810,503,0205,228,954
Sand for industry103,75970,391104,71570,621
Serpentine113,631221,07098,121209,431
Silica sand24,04893,15025,05393,452
 ..17,240,727..18,367,649

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), Reefton (Garvey Creek).

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: Nelson (Puponga, Westhaven), Murchison.

Lignite: Canterbury (numerous small deposits), Otago, Charleston (Westport).

Coal Utilization and Research.—Coal utilization and research is guided by three committees. 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 Assistant Under-Secretary of Mines, Assistant Secretary of Department of Scientific and Industrial Research, Chief Inspector of Coal Mines, and a research officer of the School of Mines, University of Otago. 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, a representative of Electricity 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.

Legislation.—The law relating to coal mining is contained in the Mining Act 1926, the Coal Mines Act 1925, and the Coal Act 1948, and their amendments. 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.

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.

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

The distribution of these resources over the various coalfields is shown in the 1958 and earlier editions of the Year-Book. Not all coal seams are suitable for mining. Such factors as the lack of persistence of individual seams (few individual coal seams extend more than two or three miles), the existence of stone bands in the seams, the presence of impurities in certain coals, and the folding and fracturing of the strata, all combine to limit coal-mining operations. Nevertheless, at the present rate of consumption there is enough coal to last for two centuries without recourse to the lower grades.

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 1954130,591,770..........594
19542,594,2561,5063,2854,7911.540.834
19552,556,6531,4943,0354,5291.570.894
19562,627,7161,5143,0344,5481.520.884
19572,612,4631,6413,0164,6570.760.432
19582,720,0341,6623,0844,7464.402.5212
    Totals143,702,892..........620

Underground Mines.—The following table gives particulars of the operations of underground mining during the last five years.

Calendar YearOutput (Tons)Men Employed UndergroundTons Per Man UndergroundMen Employed on SurfaceTons Per Man on Pay-roll
19541,888,1363,2855751,172424
19551,789,3473,0355901,152427
19561,830,7263,0346031,194433
19571,875,0413,0166211,236440
19581,930,3013,0846261,168454

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.

There were 123 underground mines in operation in 1958, and of these 24 operated by the State produced 1,340,335 tons of coal. Production from individual State mines is set out in the Mines Statement, parliamentary paper C. 2.

Opencast Mines.—Production of coal from opencast mines in 1958 amounted to 789,733 tons, which was 52,311 tons more than the production in 1957. The proportion of the total production of coal obtained from opencast mines amounted to 29 per cent.

There were fifty-seven opencast mines in operation in 1958, and of these twelve operated by the State produced 361,106 tons. All of these State mines have come into production since the beginning of 1944. The progress of opencast mining during the last five years is illustrated by the following table.

YearOutput (Tons)Men EmployedTons Per Man Employed
1954706,1203342,114
1955767,3063422,243
1956796,9903202,490
1957737,4224051,820
1958789,7334941,599

Derived Products.—Low-temperature carbonization works, using the Lurgi process, established at Rotowaro, 70 miles south of Auckland, in 1931, produced during 1958, 16,349 tons of carbonettes, 308,642 gallons of tar and oil, and 2,472 tons of char from 32,586 tons of slack coal, which was part of the output of a group of local mines.

The Sockburn plant, near Christchurch, produced 30,591 gallons of tar and 5,978 tons of coke during 1958.

Coal Consumption.—The approximate distribution of coal consumption during each of the five years 1954-58 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
19541955195619571958
* Includes hospitals, hotels, etc.
Railways399,000371,000311,000269,000238,000
Coastal shipping35,00029,00032,00028,00025,000
Gasworks266,000268,000261,000256,000271,000
Factories*1,359,0001,383,0001,493,0001,519,0001,633,000
Households550,000520,000540,000550,000550,000
        Total consumption2,609,0002,571,0002,637,0002,622,0002,717,000

Mercer Power Station.—Of the greatest importance to the coal industry has been the building of 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. One-third of the coal requirements is being provided from the Huntly coalfield from existing mines plus some additional opencast development.

The remaining two-thirds is being 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 purchase of coal mines by the State in 1940, together with subsequent purchases, left only three large private mines in production. A proposal to purchase all coal in the ground, including unworked coal, by the Coal Act 1948, was reversed by a change of Government, when the Act was repealed.

During 1958 there were 36 State coal mines in operation and the average number of persons employed was 3,490.

Financial—Sales of coal, etc., through the medium of the depots totalled 1,518,722 tons (value £6,588,241) for the year ended 31 December 1958. This compares with 1,469,420 tons (value £6,485,008) for the year ended 31 December 1957.

There was a loss on trading of £403,840 before charging interest on loan capital for 1958. Non-trading profits reduced this loss to £388,916. The interest charge for the year was £333,745, all of which was remitted. Specific reserves increased by £48,035 during the year. There were no funds available to meet the statutory sinking fund instalment.

Capital expenditure on fixed assets for 1958 was £736,083. Depreciation written off was £406,705, so that the net valuation of fixed assets increased by £329,378.

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 1958 the number of loans granted was 32 for a total amount of £27,177. During the period this scheme has been in operation some 699 loans have been granted for a total amount of £511,262. The erection of new houses accounted for 170, purchase 487, and repairs, etc., 42.

Accident Insurance.—The number of compensatable accidents at State coal mines for the year ended 31 December 1958 was 1,854, as compared with 1,821 for the year ended 31 December 1957.

The cost of claims per cent on wages paid amounted to £4 12s. 2d. for the year, compared with £5 12s. 9d. for the previous year.

The Accident Insurance Working Account showed a surplus of £41,346 for the year ended 31 December 1958 as compared with £9,779 for the previous year. The surplus was transferred to the Accident Insurance Reserve. At 31 December 1958 this reserve stood at £401,873.

Coal Mining Districts' Welfare and Research Fund.—This fund, into which is paid a levy at the rate of 9d. per ton on coal other than lignite and 7½d. per ton on lignite, 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 for the year ended February 1959 for grants and loans for amenities in mining townships totalled £24,725 and covered a variety of projects including school baths, water and sewerage schemes, fire-fighting equipment, school assembly halls, public halls, 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 £3,230 has been carried out by the University of Otago and the Department of Scientific and Industrial Research.

Rescue station maintenance and team training cost £14,246, and the high standard of efficiency of the various teams was maintained.

Retiring allowances for the period amounted to £15,797, representing payment to 83 miners, an average payment of £190, compared with the preceding year's average of £174. Relief fund payments amounted to £7,042.

Advertising, publicity, and public relations cost £5,340. The magazine Coal has proved a valuable publication for public relations in the industry, circulation being maintained at 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.

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. 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 recently been developed a laboratory process of smelting that promises to lead to the establishment of an economic method of smelting, and the Government is furthering investigations in conjunction with commercial interests.

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 1958 was 1,533 tons, 998 from North Auckland, and 535 from Onekaka.

URANIUM AND THORIUM.—While the existence in minute amount of uranium- and thorium-bearing minerals in beach sands and alluvial deposits had been known for some years, it was not until 1955 that their occurrence in solid formation was discovered. The first discovery was made in a lode traversing the Hawk Crag Breccia at Batty Creek in the Buller Gorge. Following on this discovery prospecting of an area of Hawk Crag Breccia on the north side of the Buller River has revealed the presence of bedded mineralized horizons in the breccia containing uranium-bearing minerals and these horizons have been traced over considerable distances, the horizons proved to underlie extensive areas and the deposits to be of potential value. These deposits occur in steep, broken country which is heavily covered with bush, the area is subject to heavy rainfall and access is difficult, all of which have combined to make investigation work difficult. An access road to the mineralized outcrops has now been completed and a systematic sampling programme is now under way which should permit the value of the deposits being assessed. Similar mineralized horizons have more recently been found to exist in Hawk Crag Breccia situated in the headwaters of Bullock Creek and of the Porarari River in the Punakaiki area and these appear to be of sufficient potential value to justify a prospecting programme which is at present under way. Other areas containing Hawk Crag Breccia, particularly the area south of the Buller River, are known to contain similar mineralization and these also appear worthy of investigation. Float boulders containing thorium minerals were located near the Haast River, South Westland, in 1955, but have not been traced to their source.

The Atomic Energy Amendment Act 1957 amended 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.

GOLD.—The gold-mining industry, which in its early stages contributed greatly to the progress and settlement of New Zealand, declined in importance with the exhaustion of the more accessible alluvial-gold deposits and of ore from the zones of enrichment. Annual production is now almost confined to dredging.

The following table gives particulars of the estimated gold content of gold/silver/bullion production for the last three years.

QuantityValue
195619571958195619571958
 Oz.Oz.Oz.£££
Quartz mining68902588371,0423,109
Alluvial mining7617458258,6148,84910,047
Dredge mining25,23429,36023,898313,381366,332299,912
        Totals26,06330,19524,981322,832376,223313,068

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 were found alloyed. A small quantity of silver is won in the process of gold dredging.

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.

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. Access and transport present difficulties, and production costs are relatively high. Owing to the price of tungsten ores continuing at a low level, scheelite mining was on a much reduced scale during 1958.

In 1958, 3¼ tons of scheelite were produced as compared with 30½ tons in 1957. Production was confined to the Glenorchy field in Otago.

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. 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 1958 totalled 103 tons, compared with 36 tons in 1957.

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 were 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.

ANTIMONY.—Small quantities of antimony ore have been won from deposits in the South Island but there has been no production since 1953.

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.

PLATINUM.—Platinum occurs in several places, associated generally with gold in gravel, but quantities produced have been insignificant, and production has now ceased.

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. 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.

Under the Petroleum Act 1937 there are 159 petroleum prospecting and mining licences, covering an area of 24,128 square miles, current in New Zealand. These licences are distributed as follows:

DistrictNo. of LicencesArea Square Miles
Auckland10656
Taranaki-Wellington335,722
Gisborne - Hawke's Bay - Wellington7713,198
Marlborough6655
Nelson-Westland8557
Canterbury172,786
Otago4227
Southland4327
        Totals15924,128

Although there are a number of licence holders, only two large concerns are operating—in Taranaki and in the Gisborne - Hawke's Bay area. These concerns, operating in areas prospected between 1937 and 1944, have carried out extensive geological and geophysical programmes.

As a result of these investigations, drilling was decided upon. One well has already been drilled to a depth of 13,040 ft. at Kapuni in Taranaki, and wet gas has been encountered in the structure explored by the well. Although the full significance of the gas has not yet been assessed, it is most encouraging and it is proposed to continue with further geophysical work and the drilling of another well.

A drilling site has been selected in the Gisborne district and drilling operations commenced in May 1960.

Although other licensees have not carried out the extensive geological and geophysical programmes conducted in Taranaki and on the East Coast, a considerable amount of prospecting work has been done and some wells drilled. Since 1954 nine wells have been drilled, ranging in depth from 500 ft. to 13,040 ft.

For many years small quantities of petroleum have been produced at New Plymouth. The company operating in this area is currently producing approximately 200,000 gallons of crude oil from four wells at Moturoa. In addition, about 600,000 cubic feet of natural gas, chiefly methane, is supplied to the New Plymouth Gas Co. for domestic and industrial use.

Production for 1958 was 192,000 gallons of crude oil, from which was obtained:

 Gallons
Motor spirit41,425
Distillate10,340
Power kerosene38,450
Diesel oil39,230
Residual oil52,955
          Total182,400

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. 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 total production of crude petroleum to 31 December 1958 is estimated at 6,066,683 gallons.

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. The quantity of bentonite produced in 1958 was 1,801 tons of a value of £113,322.

PERLITE.—During 1958, 360 tons of perlite was obtained from deposits at Atiamuri and processed at Wellington. The estimated value was £10,000.

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. In 1955 production of asbestos was resumed after a temporary cessation. The quantity of asbestos produced in 1958 was 405 tons valued at £20,069.

KAURI GUM.—Production of kauri gum has been at a comparatively low level in recent years. During 1958, 180 tons of kauri gum, valued at £20,885, 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 but the more favourable sections of the deposit have been exhausted.

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 1958, 1,130,824 tons of serpentine had been mined, including 98,121 tons in 1958.

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 £8,750. Owing to unfavourable weather conditions, there was no production in 1953, but in 1954, 1,500 tons valued at £18,750 was produced. In 1955 the harvest was 3,000 tons valued at £45,900, in 1956 it was 10,400 tons valued at £135,200, in 1957 it was 11,200 tons valued at £151,200, in 1958 it was 7,650 tons valued at £107,100, and in 1959 it was 20,300 tons valued at £275,300.

BUILDING AND ORNAMENTAL STONES.—New Zealand possesses a great variety of handsome and durable building stones scattered throughout both Islands. Their distribution is described in the 1958 and earlier issues of the Year-Book.

QUARRIES.—The Quarries Act 1944 covers any place with a face of more than 15 ft. 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. In 1958 there were 4,345 persons employed on stone 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; (5) research by the Dominion Laboratory.

Geological Survey.—Imperative to long-term assessment of New Zealand's mineral resources is an understanding of the country's geology. In New Zealand almost all Government geological work is carried out by the New Zealand Geological Survey, a scientific institution founded in 1865, which since 1927 has been a branch of the Department of Scientific and Industrial Research. Mines, Works, and other Government Departments consult the Geological Survey on geological problems, and do not themselves maintain a geological staff. The Geological Survey has a staff of 36 professional and 45 non-professional officers; its Head Office is in Lower Hutt, and there are district offices in Auckland, Rotorua, Christchurch, Dunedin, and Greymouth. The Survey's petrological and paleontological collections and laboratories are at Lower Hutt.

The Survey's principal work is to prepare geological maps of New Zealand and to determine the country's geological structure and geological history. Along with this, the Survey studies and helps assess the country's mineral deposits and underground water resources, and gives advice on geological problems encountered in State and private civil engineering projects such as the construction of hydro-electric dams, bridges, tunnels, roads, and building foundations.

The Geological Survey has in the past done most of its regional geological mapping on a scale of one mile to the inch, about one-third of the country so far being covered by maps on this scale. Most of these maps have been issued in groups with a text describing the geology and mineral resources of the regions concerned. Paleontological bulletins are also issued. To speed the geological mapping of the country, the Survey in 1956 embarked on a programme to map the whole country on a less detailed scale by 1963. These new maps are on a scale of 1: 250,000 and are known as the “Four Mile” series. They will carry about 3,000 words of descriptive text in their margins; there will be 28 of them altogether. The first two were published in 1959. One mile maps and bulletins will continue to be issued at intervals for areas of special economic or scientific importance. Geological mapping has also been carried out recently in New Zealand's Island Territories and in the Ross Dependency.

Mineral Resources Surveys.—As well as its systematic geological exploration of the country, the Geological Survey makes detailed study of areas with mineral deposits of present or potential economic value. Field studies are made by the geologists, and laboratory examination of ores by the petrology specialists. Chemical analysis is usually done by the Dominion Laboratory, Department of Scientific and Industrial Research. The Petrology Section makes free identifications or rocks and minerals forwarded by Mines Department, prospectors, and others.

Metallic Minerals.—In earlier years when gold was of major importance the Survey reported on most of the goldfields, several bulletins being published. Deposits of ores of iron, copper, tungsten, manganese, chrome, and other metals have also been investigated over the years. Much field and laboratory work has been done since 1955 on the uranium deposits of the Buller Gorge and other West Coast districts (see 1959 Year-Book, pages 583-4, for details).

Coal.—Coal is still New Zealand's most important mineral, and mapping the coalfields in detail has been one of the Survey's major undertakings in economic geology. Preliminary assessment of the geology and coal quantities of some coalfields was made by the Survey earlier this century, but in 1936, after the setting up of a coal survey committee, intensive study was made of all New Zealand coalfields. Work has proceeded in co-operation with Mines Department and with the Dominion Laboratory, Department of Scientific and Industrial Research, where thousands of analyses of New Zealand coals have been made. Detailed maps and bulletins on Greymouth, Reefton, and Kaitangata coalfields have been published, while those for the Waikato and Ohai fields will be the next to be issued. Although the mapping of the coalfields is largely complete, Survey geologists continue to help with a large number of day-to-day problems in the coalfields.

Oil.—The Government does not undertake oil exploration. Oil companies however draw on Survey maps and bulletins for basic information about the country's stratigraphy and geological structure, which enables them to narrow down areas deserving more detailed examination. Close and mutually beneficial co-operation has usually developed between Survey geologists and paleontologists and those of oil companies. Copies of oil company reports and maps are deposited with the Government at the close of operations.

Other Non-metallic Minerals and Rock Products.—So far as is possible with the staff available, the Survey advises Ministry of Works and local authority engineers, contractors, and other users on where rock materials for road metal, aggregate, building stone, sand, etc., can be obtained. Marl, limestone, and pozzolana for cement manufacture, perlite, bentonite, clays, talc, mica, magnesite are other non-metallic minerals in whose utilization the Survey has played a part.

Limestone suitable for agricultural use is abundant in some parts of New Zealand and scarce in others. Limestone investigations are an important part of the Survey's mineral work. North Island supplies of serpentine rock for the manufacture of serpentine superphosphate are nearly exhausted, and Survey officers have assisted mining companies by reporting on the quantities of serpentine and dunite in certain South Island deposits. A search for phosphate minerals has recently been made in the Chatham and Cook Islands and in Western Samoa, Niue Island, and Tonga, in conjunction with the Commonwealth Bureau of Geology and Mineral Resources, Canberra, Australia.

Chapter 24. SECTION 24—MANUFACTURING INDUSTRIES

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 domestic 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 manufacturing growth.

Auckland early established itself as the predominant manufacturing province in New Zealand but in the general prosperity following the gold boom of the sixties there was a spectacular increase in manufacturing activity in Otago which led Auckland until the nineties. Canterbury was the next most important manufacturing province. Today, Auckland, Wellington, and Canterbury are ahead of Otago.

With the rising population and increased export income during the first decade of this century, 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, and the metal-working, furnishings, and apparel industries. 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 great impetus to industrial development. The engineering and apparel industries, which contributed so much to war needs, made the greatest progress.

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 import 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 made-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 manufacturing since 1949-50. The expansion in this field was stimulated especially by mechanization on farms, the high level of investment in New Zealand, the demand for consumer durables and the increased imports of motor vehicles.

The growth in 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 improvement 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 £436 in 1945-46, £633 in 1950-51, rising to £1,074 in 1955-56, £1,158 in 1956-57, and £1,169 in 1957-58.

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 was 2.86, in 1945-46, 2.97; in 1955-56, 4.43; and in 1957-58, 4.59. 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 1957-58 the use of electric motors in factories accounted for 92 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 non-electrical 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. In 1957-58 nearly 63 per cent of the factories employed 10 persons or less, a reflection of the fact that, partly as a result of geographical configuration, many factories still supply small local markets. Although these small factories are numerous, they accounted for only 14 per cent of the total value of factory output. There were only 110 factories (about 1.3 per cent of the total) in 1957-58 where the number of persons engaged exceeded 200, but these factories accounted for nearly 34 per cent of total value of output. They were engaged in processing goods for export (34 were meat-freezing works) or supplying the national market.

Manufacturing plays a vital part in employment. In April 1959 about 25 per cent of the total labour force was employed in manufacturing industries. Of these, females comprised 30 per cent of the persons so engaged.

The Industrial Efficiency Act of 1936 was passed “to promote the economic welfare of New Zealand by providing for the promotion of new industries in the most economic form and by so regulating the general organization, development, and operation of industries that a greater measure of industrial efficiency will be secured”. The provisions of the Act were used more especially to rationalize some of the distributive industries, and to prevent redundancy in some manufacturing industries, where the size of the market for their products would not permit the economic operation of more than a few units. This Act was repealed in 1956, but the licensing of certain industries was continued under the Industries and Commerce Act 1956 and the Licensed Industries Regulations 1957. These existing licensed industries are the manufacture of pulp, paper and board, and multi-walled paper bags; paua shell for sale; and pneumatic rubber tires and tubes for motor vehicles.

In the latter part of 1957 and in early 1958 the terms of trade changed substantially to New Zealand's disadvantage and a serious depleting of overseas reserves resulted from the effects of heavy importing in 1957 and the fall in price of our main export commodities. To reduce overseas expenditure and arrest this drain on the reserves New Zealand reintroduced comprehensive import controls which became effective on 1 January 1958.

Because of the present and future importance of manufacturing industries in the employment of a rapidly increasing labour force and the necessity for these industries to expand their output of goods and to produce new goods in substitution of imports, imported materials for industry received considerable priority. However, this necessary expansion of manufacturing was threatened by the shortage of overseas funds which, in turn, was accentuated because of New Zealand's heavy reliance on imported raw materials for manufacturing. Thus, it is estimated that materials and plant and equipment for manufacturing comprise directly about 51 per cent of total imports. It therefore seems desirable for manufacturing output to expand in depth as well as in breadth by increasing the New Zealand content of a range of manufactured goods. This would involve manufacturing in a number of industries being taken back to more basic stages rather than being, for example, the mere assembly of imported components; making greater use of New Zealand's already available raw materials, such as wool and timber; developing if possible any potential raw materials hitherto unexploited, such as iron ore. To ensure that the necessary future expansion of industry would not be retarded by temporary difficulties, the Government allocated in mid-1959, £11 million of exchange as an “Industrial Development Fund”. This exchange was reserved for imports of capital plant for new industries and substantial extensions of existing industries where these requirements could not be met out of funds normally allocated in the Import Licensing Schedule.

Manufacturing industries have already responded admirably to the twin spurs of necessity and Government encouragement. Despite reduced imports and reduced internal demand in 1958, the volume of production rose, on provisional figures, by 4.3 per cent between 1957-58 and 1958-59. In addition to significant increases in output by existing industries such as woollen mills, clothing and footwear factories, the pulp and paper industry, rubber factories, and electrical machinery and appliances factories, a number of new industries have been established and many new products made. These include the manufacture of steel drums, fork-lift trucks, forage harvesters and other agricultural machinery, launderers' washing machines and tumbler dryers, axminster carpets, kerosene heaters, soluble coffee, and glucose and dextrose.

There are also plans for a number of “heavy” industries which, when established, will greatly affect the pattern of manufacture in New Zealand. These are now set out.

Oil Refinery.—In May 1959 the Shell Company of New Zealand Ltd. announced its plans to build an oil refinery in New Zealand. Capital cost will be about £20 million, of which 40 per cent will be subscribed in New Zealand, the balance being invested by the Shell Company and the other five oil companies operating in New Zealand. It is expected that production will begin in 1964 and that the output will be 1.88 million tons a year.

Because of the unusual pattern of demand for petroleum products in New Zealand—almost 50 per cent being for motor spirits and aviation gasoline—it is proposed to import enriched crude oil instead of the normal crude oil. This will enable the pattern of demand to be met at a lower initial capital cost than would otherwise be the case. The refinery will, however, be sufficiently flexible to use various types of crude oil and will be capable of expansion. Labour required will be about 350 persons.

Merchant Bar Mill.—Final plans have been announced by two New Zealand companies for the joint establishment in Auckland of a mill to make steel products from steel scrap collected in New Zealand. The mill will have an output of 50,000 tons a year on a one-shift basis and of 120,000 tons a year on a three-shift basis. A range of merchant bar products—rounds, angles, flats, and squares—will be produced and production will begin about the end of 1961.

Capital required is £3.6 million and about 60 per cent of the equity capital will be held in New Zealand. Some 250 people will be employed.

Iron and Steel Industry.—The Government announced in May 1959 its intention to set up a company to investigate the feasibility of an iron and steel industry using New Zealand ironsands as its raw material. It is estimated that the sum of £250,000 will be required to carry out the necessary investigations and it is proposed that the Government will hold 51 per cent of the shares in the investigating company and that private interests will hold the remaining 49 per cent.

Aluminium Fabricating Industry.—A United Kingdom subsidiary of a major Canadian aluminium producing company is to establish an aluminium fabricating plant in New Zealand to make various aluminium products from imported ingots. Employing about 250 skilled men the plant will have an initial production capacity of 5,000 tons a year of aluminium sheet and foil products and 2,000 tons of aluminium wire and cable for electrical transmission lines. The capital cost will be approximately £2 million. The company commenced production of corrugated aluminium sheet from imported aluminium strip in temporary premises early in 1960 and hopes to have its main plant operating in mid-1961.

Aluminium Smelting.—On 19 January 1960 it was announced that an agreement had been signed between the New Zealand Government and the Consolidated Zinc Company Pty. Ltd. giving the latter company the right to establish an aluminium smelting works based on the power potential of the Lake Manapouri - Te Anau area. Much investigation work is necessary to establish whether the power potential is adequate and whether it can be realised at a price which would make the industry viable. If the investigations show that the industry so situated is economic it is likely that the agreement will pave the way for the establishment of a vast industrial undertaking producing for world markets. The capital cost of such an industry, which would provide employment for some 10,000 people, would be between £100 million and £200 million.

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 foregoing 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 (205,700—average of October 1957 and April 1958 surveys) to the figure recorded in these statistics for 1957-58—162,985. 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 in June and September respectively.

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. Throughout this table the logging industry and gas and electricity supply are excluded.

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
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
1948-497,852132,42751,402195,05321,955286,39691,34373,585
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
1955-568,515158,148107,871384,87856,541586,047201,169169,873
1956-578,488156,651110,868394,89459,890601,900207,006181,423
1957-588,529162,985119,989417,91866,052645,109227,191190,587
1958-598,565168,772128,318418,64770,321659,455240,807204,284

NOTE.—Further figures for the year 1958-59 are given in the Latest Statistical Information Section at the back of this Year-Book.

The overall totals for New Zealand's factory production in the 1957-58 year recorded an increase of 7.2 per cent in volume over the previous year; this rate of increase has been exceeded only once since 1949-50. The annual increases in volume of output in the two previous years were 0.7 per cent for 1956-57 and 5.7 per cent in 1955-56. Only one group of industries dropped in output in 1957-58, namely wood and cork products, and the decrease amounted to only 1.1 per cent. In four groups the volume rose by over 10.0 per cent compared with the previous year—paper and paper products, 22.0 per cent; electrical machinery and appliances, 15.3 per cent; textiles, 11.4 per cent; and tobacco manufactures, 10.8 per cent.

In the 8,529 establishments recorded in 1957-58 the number of persons engaged was 162,985, an increase of 6,334, or 4.0 per cent over the 8,488 establishments from which returns were obtained in 1956-57. The amount of salaries and wages paid increased by £9.1 million, or by 8.2 per cent, and wage-earners worked 20,431,809 hours of overtime, an increase of 1,188,735 hours, or 6.2 per cent. Cost of materials used rose by £23.0 million, or by 5.8 per cent; value of output increased by £43.2 million, or by 7.2 per cent; and added value increased by £20.2 million, or by 9.6 per cent.

The following table gives the main statistics by provincial districts for the year 1957-58.

Provincial DistrictNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of MaterialsValue of OutputAdded Value
TotalPercentage of Total
  No.£(000)£(000)£(000)£(000) 
Auckland3,38267,75449,636182,608281,80699,19843.66
Hawke's Bay3755,9834,54618,63226,9248,2923.65
Taranaki3715,5274,33625,14632,5507,4043.26
Wellington1,81934,92126,48190,820139,79548,97521.56
Marlborough1011,0277312,1903,2911,1020.49
Nelson2552,6861,9685,1489,2204,0721.78
Westland959747111,5612,8301,2690.56
Canterbury1,23326,94918,96151,90385,13333,23014.63
Otago—       
  Otago portion56212,2088,46022,88738,76215,8756.99
  Southland portion3364,9564,16117,02324,7977,7743.42
    Totals8,529162,985119,989417,918645,109227,191100.00

Further analyses by industrial groups of the figures shown in this table will be found at the appropriate contexts in the following pages.

In the next table the statistics for the year 1957-58 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. Greymouth now includes Westport employment district, figures for which were previously shown separately.

Employment DistrictNumber of FactoriesPersons EngagedSalaries and Wages PaidCost of MaterialsValue of OutputAdded Value
MalesFemalesMalesFemalesTotalPercentage of Total
  No.No.(£000)£(000)£(000)£(000)£(000) 
Whangarei2462,4602031,9458113,15218,1444,9912.20
Auckland2,06333,21115,33628,0236,692108,766171,11062,34427.44
Hamilton5336,0998034,85433528,94539,15710,2134.50
Paeroa1261,4293011,07211111,25613,8972,6411.16
Tauranga115892195658743,9385,2501,3120.58
Rotorua2055,1433544,71316113,20529,19515,9897.04
Gisborne1141,3203661,0471473,8376,0602,2230.98
Napier1531,6163971,3181575,1678,0882,9211.29
Hastings1643,0275462,54225011,95316,8114,8582,14
New Plymouth3554,0337703,32628921,78828,1026,3142.78
Wanganui2302,6868472,31134210,72415,2984,5732.01
Palmerston North4334,5721,4893,77959620,70528,6917,9863.51
Masterton1491,6422981,3591177,0709,4402,3711.04
Lower Hutt3167,9232,6127,4001,29736,68454,34217,6587.77
Wellington7458,8394,7767,7472,25620,01737,49117,4747.69
  Totals, North Island5,94784,89229,29372,09412,905317,207481,075163,86972.13
Blenheim100848176659702,1853,2851,0990.48
Nelson1801,8003711,4301464,2947,6873,3931.49
Greymouth1631,228229991862,3864,2911,9050.84
Christchurch1,00916,5676,82113,5002,83841,06969,79428,72512.64
Ashburton72895238732832,8674,2911,4240.63
Timaru1602,0763871,6881498,00111,1283,1271.38
Oamaru58870183706673,0434,5631,5200.67
Dunedin5048,1752,9806,4621,22419,84434,19914,3556.32
Invercargill3364,4884683,97918217,02324,7977,7743.42
  Totals, South Island2,58236,94711,85330,1474,844100,712164,03463,32227.87
  Totals, New Zealand8,529121,83941,146102,24017,749417,918645,109227,191100.00

A further summary of the operations of factories is given below for the three latest years.

1955-561956-571957-58
Number of establishments 8,5158,4888,529
Persons engagedNo.158,148156,651162,985
Production costs—    
  Salaries, wages£107,870,738110,868,088119,989,253
  Materials£384,878,179394,894,095417,918,274
  Other expenses£56,540,80359,890,15166,052,015
        Totals£549,289,720565,652,334603,959,542
Value of output£586,047,289601,900,034645,108,872
Manufacturers' surplus£36,757,56936,247,70041,149,330
Value added in manufacture£201,169,110207,005,939227,190,598
Overtime worked by wage-earnersHrs.21,037,04919,243,07420,431,809
Volume index for industry: Base 1956-57(= 1000)99410001072
Premises and plant—    
  Value at end of year—    
    Land and buildings£97,014,215105,237,510113,358,584
    Plant and machinery£72,859,18976,185,93477,228,492
  Capital expenditure during year—    
    Land and buildings£10,400,4619,573,8489,420,308
Plant and machinery£15,113,20514,769,53513,801,687

The following table gives a summary of some of the principal production statistics for the year 1957-58 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 preserving3515,64114,699,559108,188,44822,119,967
Ham and bacon curing44977776,0986,906,9641,554,225
Sausage casings11156121,744840,792207,362
Processed cheese46436,624582,268118,174
Ice cream43525352,9582,011,6401,029,260
Butter and cheese2773,2342,534,77683,373,8305,373,339
Milk products other than butter and cheese1041,5831,321,70910,128,4884,208,527
Fruit and vegetable preserving382,0241,390,8157,416,9092,915,324
Fish preserving64426,636166,28546,574
Grain milling45805587,8264,680,7801,300,310
Biscuits91,223761,4893,462,5071,592,615
Cocoa, chocolate, and sugar confectionery421,8111,050,0325,265,1472,118,302
Feeds for animals and fowls36291226,7462,530,242581,624
Food preparations n.e.i.551,4571,083,51710,815,8842,585,379
        Totals74929,83524,970,529246,370,18445,750,982
Beverage Industries
Wine-making1911183,512362,114197,020
Brewing of ale and stout251,3591,185,7597,550,9353,698,748
Malting5145127,2611,279,376432,289
Aerated waters and cordials71707484,9781,956,8581,199,037
Totals1202,3221,881,51011,149,2835,527,094
Tobacco Manufactures
Tobacco, cigars, and cigarettes71,184736,0066,729,8201,824,778
Manufacture of Textiles
Woolscouring23423372,08911,092,599714,070
Woollen milling202,6271,608,3935,365,7482,711,225
Other spinning and weaving mills12985669,5582,948,4551,307,025
Hosiery and other knitting mills864,0852,321,5098,513,0544,048,297
Phormium flax1612588,477269,366149,046
Linen flax13623,78021,07214,989
Textiles n.e.i.21390329,8941,811,853857,100
          Totals1798,6715,413,70030,022,1479,801,752
Manufacture of Footwear, Other Wearing Apparel, and Made-up Textile Goods
Leather gloves and apparel1614072,834219,958112,858
Men's and boys' outerwear1754,4522,263,6697,601,7462,946,951
Women's and girls' outerwear3285,6212,694,5558,134,7433,792,742
Underclothing431,623750,2303,035,0161,049,526
Hats, caps, and millinery541,025534,4881,543,593793,063
Corsetry231,021507,7531,494,493795,033
Neckties8197105,910479,260213,542
Shirts and pyjamas461,672761,0912,748,4121,070,519
Wearing apparel n.e.i.1113,7541,810,5026,416,3542,562,799
Fur coats and necklets31188123,377324,733176,325
Footwear (other than rubber)1214,7732,916,5778,047,1274,093,155
Canvas goods45430262,802983,559416,208
Made-up textiles (other than wearing apparel)57578311,5811,695,406631,687
        Totals1,05825,47413,115,36942,724,40018,654,408
Manufactures of Wood and Cork (Except Manufacture of Furniture)
Sawmills5015,8834,645,75917,739,7249,839,384
Planing mills1461,7981,309,9978,101,5972,622,175
Joinery3603,2372,539,4718,144,7294,001,820
Wooden containers47593459,2832,258,059802,333
Plywood and veneer8538427,4751,566,611862,367
Wood products n.e.i.48352254,015836,992464,447
        Totals1,11012,4019,636,00038,647,71218,592,526
Manufacture of Furniture and Fixtures
Furniture4614,2863,087,3528,762,0814,443,008
Mattress manufacture37592407,2792,084,178738,449
Venetian blinds26234179,987977,058323,993
        Totals5245,1123,674,61811,823,3175,505,450
Manufacture of Paper and Paper Products
Pulp, paper, and paperboard62,0772,233,65315,378,08410,805,333
Cardboard boxes, cartons, and paper bags516381,086,9206,813,0212,275,408
Paper products n.e.i.461,143756,0194,863,3631,730,791
        Totals1034,8584,076,59227,054,46814,811,532
Printing, Publishing, and Allied Inds.
Printing and publishing955,1464,160,98513,139,3498,647,120
Job and general printing2754,5183,353,2359,026,6865,490,408
Service industries for printing trade35438371,809729,288588,243
      Totals40510,1027,886,02922,895,32314,725,771
Manufacture of Leather and Leather Products (Except Footwear)
Tanning12651496,2012,123,601806,222
Fellmongery67556,273674,07391,826
Leather goods75739437,6891,312,368667,284
        Totals931,465990,1634,110,0421,565,332
Manufacture of Rubber Products
Motor tires and tubes38631,037,7865,190,9242,478,867
Rubber goods (other than motor tires and tubes)231,3641,051,6343,683,5601,932,087
Vulcanizing and tire retreading59578458,6632,025,5531,063,976
        Totals852,8052,548,08310,900,0375,474,930
Manufacture of Chemicals and Chemical Products
Chemical fertilizers91,2311,078,00210,108,4572,864,098
Vegetable and animal oils and fats40412348,9782,032,319944,387
Ink710072,190349,106171,947
Soap and candle14474369,9662,453,0541,008,906
Paint and varnish27885688,5355,398,3111,599,286
Pharmaceuticals, toilet goods, and cosmetics41729434,2193,014,3751,273,241
Chemical products n.e.i.781,245919,7075,558,0482,291,078
        Totals2165,0763,911,59728,913,67010,152,943
Manufacture of Products of Petroleum and Coal
Petroleum and coal products11162138,6891,534,604332,218
Bituminous paving and roofing materials31213181,6971,401,105512,781
        Totals42375320,3862,935,709844,999
Manufacture of Non-metallic Mineral Products (Except Products of Petroleum and Coal)
Structural clay products481,028816,4612,033,2421,874,269
Pottery, china, and earthenware6455296,379665,363550,582
Cement5704679,5845,170,9124,019,945
Glass and glass products471,013770,1762,598,7491,566,460
Concrete products2882,1831,715,8016,190,2913,350,062
Lime80389300,4801,274,960891,321
Fibrous plaster64350262,774750,363389,775
Non-metallic mineral products n.e.i.9419359,9861,994,260803,840
        Totals5476,5415,201,64120,678,14013,446,254
Basic Metal Industries
Basic metal industries84850723,8473,298,9121,373,777
Manufacture of Metal Products (Except Machinery and Transport Equipment)
Sheetmetal working1553,5312,817,09710,276,0534,904,431
Wire working29482384,5351,953,552777,731
Nail making612299,8711,015,997189,019
Electroplating and metal polishing47385323,740627,668495,302
Metal products n.e.i.1523,3822,751,8309,878,3674,798,189
        Totals3897,9026,377,07323,751,63711,164,672
Manufacture, Assembly, and Repair of Machinery (Except Electrical Machinery)
Agricultural and pastoral machinery861,038763,5085,739,2971,417,142
Machinery n.e.i.4197,9256,444,21122,439,68210,698,622
        Totals5058,9637,207,71928,178,97912,115,764
Manufacture of Electrical Machinery, Apparatus, Appliances, and Supplies
Rangemaking7912639,9751,904,4111,013,294
Radio assembly and manufacture221,032677,2913,248,6221,111,818
Electrical machinery, appliances n.e.i.1062,1371,530,5247,403,1013,176,630
        Totals1354,0812,847,79012,556,1345,301,742
Manufacture of Transport Equipment
Boat building and ship repairing521,208970,7252,015,2081,296,823
Motor vehicle assembly133,2062,910,58028,975,2636,368,198
Motor body building741,163869,6852,204,7951,262,821
Repairs to motor vehicles1,75514,34410,076,10728,251,68415,567,997
Aircraft maintenance and repair181,4191,162,4662,263,8981,613,470
Perambulators15170111,078308,430162,606
Transport equipment n.e.i.27484390,0321,245,564755,067
        Totals1,95421,99416,490,67365,264,84227,026,982
Miscellaneous Manufacturing Industries
Optical, surgical, and dental, etc., equipment29177125,214311,983173,147
Jewellery58439300,361760,011420,801
Brushes and brooms13419264,857980,521446,896
Toys and sports goods22425255,331949,006454,820
Manufacturing industries n.e.i.1021,5141,034,1654,102,5952,033,246
        Totals2242,9741,979,9287,104,1163,528,910
        Grand totals8,529162,985119,989,253645,108,872227,190,598

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 when 8,547 factories were included in the survey. This number after a slight contraction in 1953-54 and 1954-55 has remained fairly stable and stands at 8,529 in 1957-58. Employment on the other hand has increased by 43.6 per cent since 1944-45, at an annual average increase of approximately 4,000 persons.

The following table shows the number of factories in each provincial district for the three latest years.

Provincial DistrictNumber of Factories
1955-561956-571957-58
Auckland3,3443,3313,382
Hawke's Bay369363375
Taranaki359371371
Wellington1,8361,8161,819
Marlborough9899100
Nelson267256256
Westland989795
Canterbury1,2261,2351,233
Otago—   
  Otago portion571572562
  Southland portion347348336
        Totals8,5158,4888,529

An analysis of the 1957-58 totals by industrial groups appears in the next table.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
Number of Factories 1957-58
Food2402812213113234925343749
Beverages411482217312102120
Tobacco manufactures21..4............7
Textiles56914416135188179
Footwear, other wearing apparel, and made-up textile goods469211728335217669131,058
Wood and cork products (except furniture)423585116018844515165551,110
Furniture and fittings19930111237163952515524
Paper and paper products491..27......1583103
Printing, publishing, etc.148149120465602910405
Leather and leather products (except footwear and apparel)45311711..174493
Rubber products38331911..144285
Chemicals and chemical products82676624..31162216
Petroleum and coal products151311......75..42
Non-metallic mineral products n.e.i.1934222987165854039547
Basic metal manufactures35..219..1..196284
Metal products (except machinery and transport equipment)1867492232542712389
Machinery (except electrical)1982217109983812830505
Electrical machinery and appliances535..44......2571135
Transport equipment81310990359307422228135941,954
Miscellaneous products97137111 36131224
        Totals3,3823753711,819100256951,2335623368,529

The number of factories and persons engaged are shown together in the following table, classified by industrial groups. 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
1955-561956-571957-581955-561956-571957-58
Food77775274928,46928,64429,835
Beverages1291261202,1952,2392,322
Tobacco manufactures7771,1001,1091,184
Textiles1831771798,3238,2738,671
Footwear, other wearing apparel, and made-up textile goods1,1051,0661,05825,65024,27925,474
Wood and cork products (except furniture)1,1431,1251,11012,91612,45112,401
Furniture and fittings5335305244,9504,9445,112
Paper and paper products102981034,3544,6154,858
Printing, publishing, etc.4033984059,4579,68410,102
Leather and leather products (except footwear and apparel)10497931,6121,4941,465
Rubber products8585852,8482,8332,805
Chemicals and chemical products2152142164,9114,9715,076
Petroleum and coal products363942298320375
Non-metallic mineral products n.e.i.5425495476,3346,1866,541
Basic metal manufactures898784861841850
Metal products (except machinery and transport equipment)3863953897,5057,4537,902
Machinery (except electrical)4994975059,1478,7338,963
Electrical machinery and appliances1361311354,2853,8514,081
Transport equipment1,8301,9001,95420,21920,96421,994
Miscellaneous products2112152242,7142,7672,974
Totals8,5158,4888,529158,148156,651162,985

Persons engaged are shown in the table below for the year 1957-58 classified into working proprietors, managerial and clerical staff, and wage-earners.

Industry GroupWorking Proprietors, Managers, Clerical StaffWage-earning EmployeesAll Persons Engaged
MalesFemalesMalesFemalesMalesFemalesTotal
Persons Engaged 1957-58
Food3,0541,04022,1123,62925,1664,66929,835
Beverages3221201,788922,1102122,322
Tobacco manufactures76443557094317531,184
Textiles5172703,8584,0264,3754,2968,671
Footwear, other wearing apparel, and made-up textile goods1,4301,0634,58118,4006,01119,46325,474
Wood and cork products (except furniture)1,72228610,26013311,98241912,401
Furniture and fittings6901753,8384094,5285845,112
Paper and paper products4451853,0681,1603,5131,3454,858
Printing, publishing, etc.1,2767666,5731,4877,8492,25310,102
Leather and leather products (except footwear and apparel)174538553831,0294361,465
Rubber products3181181,9783912,2965092,805
Chemicals and chemical products7563293,1598323,9151,1615,076
Petroleum and coal products66152831134926375
Non-metallic mineral products n.e.i.8481795,2992156,1473946,541
Basic metal manufactures14331669781238850
Metal products (except machinery and transport equipment)9872776,0076316,9949087,902
Machinery (except electrical)1,4343917,053858,4874768,963
Electrical machinery and appliances3951762,7038073,0989834,081
Transport equipment3,54096817,27720920,8171,17721,994
Miscellaneous products3551541,5758901,9301,0442,974
Totals18,5486,640103,29134,506121,83941,146162,985

Further information is given in the following table on persons engaged in 1957-58. Totals in each industrial group are shown by provincial districts.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
Number of Persons Engaged 1957-58
Food11,3362,3842,3194,289248712274,2702,3801,87029,835
Beverages1,1011186018185225323224302,322
Tobacco manufactures10189..994............1,184
Textiles2,216163291,939444582,5811,5271108,671
Footwear, other wearing apparel and made-up textile goods11,9003776045,864157671164,7451,48316125,474
Wood and cork products (except furniture)6,2323985611,563716403951,30662660912,401
Furniture and fittings2,208282711,0064094139093591305,112
Paper and paper products3,36425..765......2672292084,858
Printing, publishing, etc.3,5473612543,11057132701,48983724510,102
Leather and leather products (except footwear and apparel)74518513133..333183441,465
Rubber products742212258554..1,3922772,805
Chemicals and chemical products1,7781802211,6843732..640488165,076
Petroleum and coal products187912103......4024..375
Non-metallic mineral products n.e.i.2,9822569588644194251,2285183136,541
Basic metal manufactures320..107178..2..178587850
Metal products (except machinery and transport equipment)4,14868291,65964741,125738787,902
Machinery (except electrical)3,5523183692,0148336591,5926053358,963
Electrical machinery and appliances1,29671..1,363......96838124,081
Transport equipment8,5838217275,5492326231823,1161,37378821,994
Miscellaneous products1,4162442858324 44714832,974
        Totals67,7545,9835,52734,9211,0272,68697426,94912,2084,956162,985

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. At present this percentage is 25.2.

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 1957-58 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 175 females to every 100 males, and footwear and other wearing apparel, etc., where there were 324 females per 100 males. The lower table on the previous page shows the average number of males and females engaged according to industry groups for the year 1957-58.

Further information is available in the table below on the extent to which females are engaged in factories in New Zealand for 1957-58. 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 1958Total Persons Engaged Per Thousand of Population
 No.No.No.   
Auckland50,19817,55667,754286923,98673
Hawke's Bay4,9481,0355,983478106,50056
Taranaki4,7387895,52760197,00057
Wellington25,0089,91334,921252443,20079
Marlborough8511761,02748427,30038
Nelson2,2744122,68655272,70037
Westland78518997441518,70052
Canterbury19,5047,44526,949262323,62983
Otago—      
  Otago portion9,0453,16312,208286172,30071
  Southland portion4,4884684,95695990,20055
        Totals121,83941,146162,9852962,275,51572

A classification of the establishments, according to the number of persons engaged, is given at five-yearly intervals from 1929-30 onwards. Figures for the two latest years are added. 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
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
1956-575,4181,5161,0362922268,488
1957-585,3611,5571,0763032328,529
Number of Persons Engaged
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
1956-5727,30422,03331,87920,19755,238156,651
1957-5827,24222,65133,34121,34658,405162,985

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 62.9 per cent of the total number of factories in 1957-58.

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 1957-58.

Industry GroupEstablishments (E) Persons (P)Factories With Persons Engaged Numbering—Total
Under 66 to 1011 to 2021 to 5051 to 100101 to 200Over 200
FoodE209190161106301538749
 P7331,4782,2953,2552,1682,08717,81929,835
BeveragesE43322411541120
 P1422623513613644853572,322
Tobacco manufacturesE....113..27
 P....1239258..8751,184
TextilesE30294037231010179
 P992205901,1581,6091,6943,3018,671
Footwear, other wearing apparel, and made-up textile goodsE1902102892588120101,058
 P6441,6524,3338,1485,6622,5672,46825,474
Wood and cork products (except furniture)E4353252331019431,110
 P1,4882,4833,4502,93866851685812,401
Furniture and fittingsE262126765010....524
 P8329851,1041,503688....5,112
Paper and pulp productsE21121734874103
 P78902651,1006068751,8444,858
Printing, publishing, etc.E13492776326310405
 P4507121,1141,9421,9583833,54310,102
Leather and leather products (except footwear and apparel)E4021141233..93
 P122169210387247330..1,465
Rubber productsE302611922585
 P1112041462631173711,5932,805
Chemicals and chemical productsE684836428113216
 P2343785261,3015401,4726255,076
Petroleum and coal productsE216123......42
 P644817885......375
Non-metallic mineral products n.e.i.E2951207639773547
 P9259291,1201,1574471,0778866,541
Basic metal manufacturesE38241471....84
 P14220718222198....850
Metal products (except machinery and transport equipment)E1379863572095389
 P4927499071,9221,3791,1531,3007,902
Machinery (except electrical)E20612276672077505
 P7019231,1102,0831,3531,0031,7908,963
Electrical machinery and appliancesE3630172714101135
 P1182112408059911,3823344,081
Transport equipmentE94755128912725781,954
 P3,3524,1384,0423,8921,6179643,98921,994
Miscellaneous productsE11839312583..224
 P387290476781576464..2,974
        TotalsE3,2602,1011,5571,0763031221108,529
 P11,11416,12822,65133,34121,34616,82341,582162,985

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.

£
YearMalesFemalesBoth Sexes
TotalAverageTotalAverageTotalAverage
1953-5473,489,68867213,089,43535386,579,123591
1954-5583,397,42172914,965,40838198,362,829641
1955-5691,796,03577716,074,703402107,870,738682
1956-5794,700,45280416,167,636416110,868,088708
1957-58102,240,30483917,748,949431119,989,253736

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 24.9 per cent and for females by 22.1 per cent since 1953-54.

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
1955-561956-571957-58
Food21,74522,90824,971
Beverages1,6871,8141,882
Tobacco manufactures614643736
Textiles4,9384,9785,414
Footwear, other wearing apparel, and made-up textile goods12,41212,16413,115
Wood and cork products (except furniture)9,2419,2979,636
Furniture and fittings3,2423,3303,675
Paper and pulp products3,1853,5244,077
Printing, publishing, etc.6,7807,1937,886
Leather and leather products (except footwear and apparel)1,021976990
Rubber products2,2892,4212,548
Chemicals and chemical products3,6223,7243,912
Petroleum and coal products231271320
Non-metallic mineral products n.e.i.4,7844,7685,202
Basic metal manufactures674700724
Metal products (except machinery and transport equipment)5,8695,7976,377
Machinery (except electrical)6,9686,7607,208
Electrical machinery and appliances2,8402,6142,848
Transport equipment14,06515,24916,491
Miscellaneous products1,6651,7331,980
Totals107,871110,868119,989

In the following table an analysis is made of the 1957-58 totals according to provincial districts in which the industries were carried on.

£(000)
Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.
Salaries and Wages Paid 1957-58
Food9,0441,9932,1723,712218517213,5661,8121,91524,971
Beverages8869236319*4121266192*1,882
Tobacco manufactures**..*............736
Textiles1,394129*1,317*24*1,515912775,414
Footwear, other wearing apparel, and made-up textile goods6,1981752563,1217327512,4227266613,115
Wood and cork products (except furniture)4,9183104121,204514763409974504789,636
Furniture and fittings1,67219550746305710609220853,675
Paper and paper products3,0689..559......1661251504,077
Printing, publishing, etc.2,7192481942,64942103561,0736271767,886
Leather and leather products (except footwear and apparel)500**87**..22213526990
Rubber products6601916615**..1,20322*2,548
Chemicals and chemical products1,2991641801,324*26..484391*3,912
Petroleum and coal products159*1190......3517..320
Non-metallic mineral products n.e.i.2,3662067474330199228934112575,202
Basic metal manufactures276..*148..*..15047*724
Metal products (except machinery and transport equipment)3,40761221,299*35*900586606,377
Machinery (except electrical)2,9482502851,7046227361,1924382667,208
Electrical machinery and appliances88254..991......643276*2,848
Transport equipment6,2525474824,6451594301312,32297355016,491
Miscellaneous products988921441,2096492230397541,980
Totals49,6364,5464,33626,4817291,96971118,9618,4604,161119,989

A further analysis of salaries and wages paid is given in the table below for 1957-58, 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 1957-58
Food3,18849519,7691,51922,9572,01324,971
Beverages337581,442451,7791031,882
Tobacco manufactures9525288329382354736
Textiles6321372,9641,6803,5961,8175,414
Footwear, other wearing apparel, and made-up textile goods1,6306313,3717,4835,0018,11413,115
Wood and cork products (except furniture)1,7471307,698619,4451919,636
Furniture and fittings735832,6871693,4222533,675
Paper and paper products556952,9364903,4925844,077
Printing, publishing, etc.1,3993625,4736536,8711,0157,886
Leather and leather products (except footwear and apparel)18626599178785205990
Rubber products395591,9041892,3002482,548
Chemical and chemical products8701692,5273453,3975143,912
Petroleum and coal products778230530713320
Non-metallic mineral products n.e.i.913854,116875,0291725,202
Basic metal manufactures17314534370618724
Metal products (except machinery and transport equipment)1,1381404,8092905,9474306,377
Machinery (except electrical)1,5811915,385506,9672417,208
Electrical machinery and appliances444911,9473652,3924562,848
Transport equipment3,39642912,54412315,93955116,491
Miscellaneous products406791,1183771,5244561,980
          Totals19,9003,30682,34114,443102,24017,749119,989

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
1947-48428336661409406224401211421216
1949-50491346730463460266460248481253
1950-51531399797499511296514281535286
1951-52596459871525576330566311591317
1952-53628436922568626354593324621331
1953-54746497995590688388639344672353
1954-557975431,071655734410696373729381
1955-568405971,127683795435741390777402
1956-578915621,179723822457764404804416
1957-589196211,241744848477797419839431

MOTIVE POWER.—A supply of cheap motive power is a material element in industrial development. New Zealand industries were formerly 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 development of the country's electric power resources (as described in Section 26A) has been a potent factor in industrial growth, especially as the rates compare very favourably with those in other more highly industrialized countries. (The overall price for a unit retailed in 1957-58 was 1.11d. with much lower rates for industrial supply in the urban areas.) Despite the fact that since the outbreak of the Second World War shortage of electricity generating capacity has from time to time led to restrictions on the use of electric current, manufacturing production has not been materially affected. These restrictions have been lifted since July 1956 in the South Island and since the end of 1958 in the North Island.

The following table shows the number and aggregate horse-power of each class of engine used in factories in 1927-28, 1937-38, 1947-48 and the last two years available.

Class of Engine 1927-281937-381947-481956-571957-58
ElectricNo.12,42825,62670,274141,971149,819
 H.P.111,942181,757342,408657,487688,987
SteamNo.1,8691,4701,001542521
 H.P.63,93050,73634,78822,26221,553
Petrol and light oilNo.2975111,015738716
 H.P.25,30214,60014,699
Heavy oilNo.3,76912,333411343315
 H.P.20,26720,31318,771
OtherNo.53025587119102
 H.P.16,3676,0592,8853,7733,498
        TotalsNo.15,12427,86272,788143,713151,473
 H.P.196,008250,885425,650718,435747,508

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 1957-58.

Industry GroupRated Horsepower of Engines in Use
ElectricSteamPetrol and Light OilHeavy OilOtherTotal
Food164,6409,8371,0412,264219178,001
Beverages10,92831865109..11,420
Tobacco manufactures1,258......151,273
Textiles29,54694444272..30,806
Footwear, other wearing apparel, and made-up textile goods14,358342189182115,072
Wood and cork products (except furniture)110,9797,9677,99011,7911,194139,921
Furniture and fittings15,31765....15,328
Paper and paper products91,77426779180..92,300
Printing, publishing, etc.16,30762492880618,071
Leather and leather products (except footwear and apparel)6,079110262..286,479
Rubber products22,3443795101831223,563
Chemicals and chemical products32,85560827922333434,299
Petroleum and coal products2,917513162543,313
Non-metallic mineral products n.e.i.66,2735901,3422,23547470,914
Basic metal manufactures4,817..249..4,850
Metal products (except machinery and transport equipment)24,4352953783025,039
Machinery (except electrical)30,59787353722431,736
Electrical machinery and appliances8,032..9....8,041
Transport equipment28,602521,2331504530,082
Miscellaneous products6,92939155127,000
Totals688,98721,55314,69918,7713,498747,508

CONSUMPTION OF COAL.—During the year 1957-58, 1,053,204 tons of New Zealand coal were used in industries covered by the statistics of factory production. Comparable figures for the two previous years were: 1956-57, 1,031,980 tons, and 1955-56, 988,535 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 1957-58 used 255,822 tons and 154,574 tons of coal respectively.

The following table shows for the year 1957-58 the consumption of coal by industrial groups.

Industry GroupTons of Coal Used
Food524,934
Beverages21,229
Tobacco manufactures223
Textiles41,321
Footwear, other wearing apparel, and made-up textile goods2,655
Wood and cork products (except furniture)940
Furniture and fittings189
Paper and paper products124,465
Printing, publishing, etc.228
Leather and leather products (except footwear and apparel)6,975
Rubber products20,249
Chemicals and chemical products26,453
Petroleum and coal products39,519
Non-metallic mineral products n.e.i.237,643
Basic metal manufactures142
Metal products (except machinery and transport equipment)1,683
Machinery (except electrical)820
Electrical machinery and appliances1,275
Transport equipment904
Miscellaneous products1,357
        Total1,053,204

Approximately 84.2 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 1957-58 are as follows.

IndustryTons
Milk products other than butter and cheese207,430
Cement173,284
Meat freezing and preserving158,322
Pulp paper and paperboard124,385
Butter and cheese104,641
Structural clay products44,429
Petroleum and coal products38,914
Food preparations n.e.i.29,755
Woollen milling21,299
Brewing of ale and stout17,578
Vegetable and animal oils and fats12,571
Rubber goods other than tires and tubes11,197
Lime11,152

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 £200,619,202 and the goods produced were valued at £246,370,184, while the materials used in the manufacture of wood and cork products cost £20,055,186 and finished goods produced were valued at £38,647,712.

The cost of materials used in each industrial group and in all industries for each of the latest three years is given hereunder.

£(000)
Industry GroupCost of Materials Used
1955-561956-571957-58
Food186,884192,833200,619
Beverages5,1145,4035,622
Tobacco manufactures4,3944,3994,905
Textiles20,43121,65220,220
Footwear, other wearing apparel, and made-up textile goods23,56322,30324,070
Wood and cork products (except furniture)19,10319,06120,055
Furniture and fittings5,1375,3966,318
Paper and paper products9,43110,37712,243
Printing, publishing, etc.7,0987,5648,170
Leather and leather products (except footwear and apparel)2,8242,5822,545
Rubber products5,0435,5355,425
Chemicals and chemical products17,09517,54418,761
Petroleum and coal products1,4811,6622,091
Non-metallic mineral products n.e.i.6,4386,5277,232
Basic metal manufactures1,8192,0531,925
Metal products (except machinery and transport equipment)10,82210,72912,587
Machinery (except electrical)14,85714,96816,063
Electrical machinery and appliances6,1906,1627,254
Transport equipment34,46935,22438,238
Miscellaneous products2,6852,9213,575
        Totals384,878394,894417,918

An analysis by provincial districts of the cost of materials used for the year 1957-58 is given below.

£(000)
Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.
Cost of Materials Used 1957-58
Food93,97511,17720,64227,0761,5222,82742920,11410,31112,547200,619
Beverages3,03215775648*80361,174392*5,622
Tobacco manufactures**..*............4,905
Textiles5,0462,659*4,467*42*4,9762,16176720,220
Footwear, other wearing apparel, and made-up textile goods11,1213426115,986170481384,3701,15912624,070
Wood and cork products (except furniture)10,5627387132,834939796681,76787083120,055
Furniture and fittings2,971254671,3513757109944541216,318
Paper and paper products8,72340..2,042......64630448712,243
Printing, publishing, etc.3,1491871302,4992669221,2516951428,170
Leather and leather products (except footwear and apparel)1,158**138**..4343763572,545
Rubber products1,41530251,328**..2,55944*5,425
Chemicals and chemical products6,8151,0021,2406,064*152..1,4861,922*18,761
Petroleum and coal products1,042*37752......18953..2,091
Non-metallic mineral products n.e.i.3,6263091151,00240289179146262937,232
Basic metal manufactures1,089..*351..* 19138*1,925
Metal products (except machinery and transport equipment)6,744113572,868*50*1,5281,11210912,587
Machinery (except electrical)6,9225244834,1855038262,69877836016,063
Electrical machinery and appliances2,51877..2,334......1,982338*7,254
Transport equipment10,55863765919,5291875101334,1091,12379438,238
Miscellaneous products2,1423862945,365621083522129893,575
Totals182,60818,63225,14690,8202,1855,1521,56151,90322,88717,023417,918

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, £200,619,202, represented 48 per cent of the total cost of materials used by all industries, £417,918,274. 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, due to the operation of the different primary produce price stabilization schemes, the price levels within the country for these products may not be identical with the price levels on overseas markets.

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
1955-561956-571957-58
Food228,179235,982246,370
Beverages10,00910,36611,149
Tobacco manufactures6,0696,0736,730
Textiles29,13230,23930,022
Footwear, other wearing apparel, and made-up textile goods41,12339,47342,724
Wood and cork products (except furniture)36,47836,49838,648
Furniture and fittings9,94310,37111,823
Paper and paper products19,07322,32327,054
Printing, publishing, etc.19,81720,87322,895
Leather and leather products (except footwear and apparel)4,4764,0904,110
Rubber products9,96410,56510,900
Chemicals and chemical products26,07927,02628,914
Petroleum and coal products2,1302,4132,936
Non-metallic mineral products n.e.i.18,16918,52820,678
Basic metal manufactures3,1313,3803,299
Metal products (except machinery and transport equipment)20,98020,88823,752
Machinery (except electrical)26,42726,10228,179
Electrical machinery and appliances11,09110,69312,556
Transport equipment58,24560,09265,265
Miscellaneous products5,5325,9267,104
        Totals586,047601,900645,109

A similar analysis by provincial districts, but limited to the year 1957-58, is now given.

£(000)
Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.
Products 1957-58
Food111,59314,69024,11533,4491,7743,74947026,44313,92516,162246,370
Beverages5,3833721551,625*201892,232998*11,149
Tobacco manufactures** *............6,730
Textiles7,6242,893*7,024*81*7,5273,76890730,022
Footwear, other wearing apparel, and made-up textile goods20,0446011,02710,421270822187,7202,11722442,724
Wood and cork products (except furniture)20,6861,3851,4354,9321821,8511,3113,4441,6791,74238,648
Furniture and fittings5,4735251372,50176135221,90280624711,823
Paper and paper products21,40465..3,192......1,01457980027,054
Printing, publishing, etc.8,2276774677,3221192401113,3071,90651922,895
Leather and leather products (except footwear and apparel)1,999**278**..7385754064,110
Rubber products2,86371652,581**..5,17293*10,900
Chemicals and chemical products10,2781,5221,7819,504*225..2,5832,842*28,914
Petroleum and coal products1,486*56993......26996..2,936
Non-metallic mineral products n.e.i.10,1357162432,408971,302542,7122,07194120,678
Basic metal manufactures1,637..*620..*..453109*3,299
Metal products (except machinery and transport equipment)12,632214985,386*105*3,0252,07120323,752
Machinery (except electrical)11,8359859597,15713276874,6501,49580328,179
Electrical machinery and appliances4,106141..4,216......3,324760*12,556
Transport equipment20,3341,5331,43228,1824351,1503297,6202,6071,64265,265
Miscellaneous products4,0675315818,004198301399992662017,104
Totals281,80626,92432,550139,7953,2849,2272,83085,13338,76224,797645,109

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 1957-58 totals according to the provincial districts in which the industries were carried on.

£(000)
Industry GroupAdded Value
1955-561956-571957-58
Food41,29543,15045,751
Beverages4,8944,9635,527
Tobacco manufactures1,6751,6731,825
Textiles8,7018,5869,802
Footwear, other wearing apparel, and made-up textile goods17,56017,17018,654
Wood and cork products except furniture)17,37517,43718,593
Furniture and fittings4,8064,9755,505
Paper and paper products9,64211,94614,812
Printing, publishing, etc.12,71913,30914,726
Leather and leather products (except footwear and apparel)1,6521,5081,565
Rubber products4,9215,0295,475
Chemicals and chemical products8,9839,48210,153
Petroleum and coal products649751845
Non-metallic mineral products n.e.i.11,73112,00113,446
Basic metal manufactures1,3121,3271,374
Metal products (except machinery and transport equipment)10,15810,15911,165
Machinery (except electrical)11,57011,13412,116
Electrical machinery and appliances4,9014,5315,302
Transport equipment23,77624,86927,027
Miscellaneous products2,8473,0043,529
        Totals201,169207,006227,191

The analysis for 1957-58 by provincial districts now follows.

£(000)
Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.
Added Value 1957-58
Food17,6183,5133,4736,374252921426,3293,6143,61545,751
Beverages2,35121581977*120531,058605*5,527
Tobacco manufactures**..*............1,825
Textiles2,578234*2,557*40*2,5511,6071409,802
Footwear, other wearing apparel, and made-up textile goods8,9232594164,43510034803,3509599818,654
Wood and cork products (except furniture)10,1246477222,098908736421,67780891218,593
Furniture and fittings2,502271701,1494077129083511265,505
Paper and paper products12,68125..1,150......36827531214,812
Printing, publishing, etc.5,0784903374,82394172902,0561,21137614,726
Leather and leather products (except footwear and apparel)842**140**..304198491,565
Rubber products1,44842401,253**..2,61349*5,475
Chemicals and chemical products3,4635215413,440*73..1,097920*10,153
Petroleum and coal products444*19241......8043..845
Non-metallic mineral products n.e.i.6,5094071281,405571,013371,7981,44464813,446
Basic metal manufactures548..*268..*..26271*1,374
Metal products (except machinery and transport equipment)5,888102412,518*55*1,4979599411,165
Machinery (except electrical)4,9134614762,9728338611,95271744312,116
Electrical machinery and appliances1,58865..1,882......1,342422*5,302
Transport equipment9,7768967738,6532486401973,5121,48584827,027
Miscellaneous products1,9251452882,63913620554771371123,529
Totals99,1988,2927,40448,9751,0994,0741,26933,23015,8757,774227,191

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. (The first table on page 601 also gives information by employment districts.)

£(000)
Industry GroupAucklandLower HuttWellingtonOther North Island DistrictsChristchurchDunedinOther South Island DistrictsTotal for New ZealandPercentage of Total

*Included in Miscellaneous.

† Excludes total for New Zealand of tobacco manufactures.

Added Value 1957-58
Food10,5431,44695718,0314,5642,9187,29145,75120.14
Beverages1,7551074621,2999526053465,5272.43
Tobacco manufactures****......1,8250.80
Textiles2,3178695711,6531,7851,3841,2249,8024.32
Footwear, clothing8,0987362,5912,6083,30695336218,6548.21
Wood manufactures2,38248739010,3321,3787272,89718,5938.18
Furniture and fittings2,2713854049328573493075,5052.42
Paper and paper products3,1792715419,86536827531214,8126.52
Printing, publishing4,0491883,9152,5761,8071,1711,02114,7266.48
Leather and products830248371298198601,5650.69
Rubber products1,2251,065634292,61349305,4752.41
Chemicals and products3,3021,6401,2711,7531,05689423710,1534.47
Petroleum, coal products33154182155774338450.37
Non-metallic mineral products3,1574662794,5481,4021,3222,27313,4465.92
Basic metal products48311310432724071351,3740.61
Metal products5,5939721,0849001,46095220511,1654.92
Machinery3,6911,1049743,0531,76662490412,1165.33
Electrical products1,4274371,4042671,34242235,3022.33
Transport5,9525,6091,4607,0772,9761,2632,69027,02711.90
Miscellaneous1,7571,684740516477137423,5291.55
Totals, added value62,34417,65817,47466,39228,72514,35520,242227,191100,00
Percentage of New Zealand Total27.447.777.6929.2312.646.328.91100.00..

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 5,0002,3917,8795,1918,09015,7467,656972
5,000-9,9992,30415,38810,44122,11538,66516,5501,075
10,000-19,9991,82022,66815,41643,51169,18025,6701,132
20,000-49,9991,28632,55622,07673,662113,24839,5871,216
50,000-99,99939719,77613,98668,10095,29427,1941,375
100,000-499,99927236,60826,98483,089137,29454,2051,481
500,000 and over5928,11025,894119,352175,68156,3302,004
Totals8,529162,985119,989417,918645,109227,1911,394

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.

FACTORY PRODUCTION

EXPENSES OF OPERATION.—Total operating costs of factory production for the year 1957-58 amounted to £603,959,542, of which salaries and wages accounted for £119,989,253, cost of materials for £417,918,274, and other expenses for £66,052,015 while value of output totalled £645,108,872.

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 1957-58.

£(000)
Industry GroupCoalElectricityCoke, Gas, Oils, etc.InsuranceInterest on Loans, etc.DepreciationRentRepairs and MaintenanceOtherTotal
Food2.4171,2832906865253,6451593,0003,08415,090
Beverages10968655987609203675651,949
Tobacco manufactures2713241377938322505
Textiles19615368139159692595448952,905
Footwear, other wearing apparel, and made-up textile goods14162421351824884993901,3503,263
Wood and cork products (except furniture)53221574803591,295981,1961,9535,865
Furniture and fittings1568925815399106317890
Paper and paper products4947203142237642,863718881,6658,002
Printing, publishing, etc.1109471241198721383331,7793,522
Leather and leather products (except footwear and apparel)28214291364227193346
Rubber products99115857523445221845431,590
Chemicals and chemical products123157951581211,040686148633,239
Petroleum and coal products4193615565953102307
Non-metallic mineral products n.e.i.1,3033483791711101,171431,1398995,563
Basic metal manufactures125441822721546101342
Metal products (except machinery and transport equipment)7130901431805141333139802,489
Machinery (except electrical)5136921741954961402851,1402,663
Electrical machinery and appliances682516145192511615911,239
Transport equipment52741023471989204486662,4185,377
Miscellaneous products75014523519977131339905
        Totals4,8284,2361,9963,2073,21415,8692,17910,52519,99866,052

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 1957-58. For the year 1957-58 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 of End of Year (including Estimated Value of Rented Assets)
Land and BuildingsPlant and MachineryTotalLand and BuildingsPlant and MachineryTotal
Totals—
  1955-5610,400,46115,113,20525,513,66697,014,21572,859,189169,873,404
  1956-579,573,84814,769,53524,343,383105,237,51076,185,934181,423,444
1957-58—
  Food2,169,6174,460,1696,629,78528,075,77519,946,63548,022,410
  Beverages528,490644,5861,173,0763,587,3932,960,3726,547,765
  Tobacco manufactures22,619182,342204,961687,792499,0791,186,871
  Textiles367,081716,1301,083,2113,815,6073,365,0007,180,607
  Footwear, other wearing apparel and made-up textile goods387,968576,229964,1978,804,3003,054,36611,858,666
  Wood and cork products (except furniture)522,341954,2721,476,6137,377,2807,194,39714,571,677
  Furniture and fittings168,496171,524340,0202,735,807895,1263,630,933
  Paper and paper products247,755945,4381,193,1937,175,67811,637,95918,813,637
  Printing, publishing, etc.525,819906,6791,432,4986,281,1505,201,78711,482,937
  Leather and leather products (except footwear and apparel)22,09034,42656,516583,286314,284897,570
  Rubber products106,777341,450448,2271,809,0731,612,9463,422,019
  Chemicals and chemical products504,003597,8681,101,8715,801,3123,420,4659,221,777
  Petroleum and coal products60,53769,566130,103440,066328,095768,161
  Non-metallic mineral products n.e.i.539,965877,2131,417,1785,452,8425,162,79310,615,635
  Basic metal manufactures46,550151,838198,388669,509457,3091,126,818
  Metal products (except machinery and transport equipment)642,562548,1131,190,6754,809,5442,576,5737,386,117
  Machinery (except electrical)331,137469,825800,9625,085,2142,668,4517,753,665
  Electrical machinery and appliances540,076149,078689,1542,191,482804,6522,996,134
  Transport equipment1,603,278805,2052,408,48315,942,7664,163,81820,106,584
  Miscellaneous products83,147199,736282,8832,032,708964,3852,997,093
        Totals, 1957-589,420,30813,801,68723,221,995113,358,58477,228,492190,587,076

MANUFACTURERS' STOCKS.—A quarterly survey of manufacturers' stocks has been conducted by the Department of Statistics since 1957. The survey is carried out on a sample basis, the selection representing approximately 10 per cent of all the factories covered by the annual census of factory production. The number of establishments included in the sample is approximately 900 and their combined stocks as returned in the annual survey at March 1957 represented 67 per cent by value of total manufacturers' stocks.

The following table compares in summary form the results of the quarterly surveys from their inception to 31 March 1959. In presenting the results, the chief seasonal industries—meat processing and dairy products manufacture—have been segregated to assist in the interpretation of movements in stock holdings. The heading “Materials” wherever shown includes work in progress, fuel, and miscellaneous supplies.

Total StocksMovement in Stocks at Annual IntervalsPercentage Movement in Stocks at Annual Intervals
Finished GoodsMaterialsTotalFinished GoodsMaterialsTotalFinished GoodsMaterialsTotal
Including Primary Produce Processing Industries£(000)£(000)£(000)£(000)£(000)£(000)Per CentPer CentPer Cent
  31 March 195746,37371,247117,620............
  31 March 195846,27874,682120,960− 95+ 3,434+ 3,339− 0.21+4.82+ 2.84
  30 June 195740,71373,944114,658............
  30 June 195846,37677,073123,449+ 5,663+ 3,129+ 8,791+ 13.91+ 4.23+7.67
  30 September 195740,98574,312115,297      
  30 September 195841,73577,283119,018+750+2,971+3,721+1.83+4.00+3.23
  31 December 195744.76773,360118,128............
  31 December 195845,22978,444123,673+462+5,683+5,545+1.03+6.93+4.69
  31 March 195846,27874,682120,960      
  31 March 195947,11880,896128,014+840+6,214+7,055+1.82+8.32+5.83
Excluding Primary Produce Processing Industries         
  31 March 195721,82866,66888,495............
  31 March 195823,54669,99593,541+1,718+3,327+5,046+7.87+4.99+5.70
  30 June 195722,85169,53492,385............
  30 June 195824,63772,67197,308+1,786+3,137+4,923+7.81+4.51+5.33
  30 September 195724,63469,52794,161............
  30 September 195826,19372,15298,346+1,559+2,626+4,185+6.33+3.78+4.44
  35 December 195723,86568,55492,418............
  31 December 195824,47373,55298,025+609+4,999+5,607+2.55+7.29+6.07
  31 March 195823,54669,99593,541............
  31 March 195924,44876,525100,973+902+6,530+7,432+3.83+9.33+7.95

More detailed information on stocks is given in the next table showing by industry groups comparative stock figures at the end of March for the years 1958 and 1959.

£(000)
Industry GroupStocks at 31 MarchIncrease or Decrease in Stocks March 1958 to March 1959
19581959
Finished GoodsMaterialsTotalFinished GoodsMaterialsTotalFinished GoodsMaterialsTotal
Primary Produce Processing Industries         
  Meat freezing, ham, bacon, and casings15,6843,73719,42116,0233,43919,462+339−298+41
  Dairy7,0489497,9986,6479327,580− 401− 17− 418
    Totals22,7324,68627,41922,6704,37127,041− 62− 316− 377
Other food3,4875,8939,3814,1396,57910,718+ 652+ 686+ 1,337
Beverages1,0091,9192,9291,1361,7712,907+127− 149− 22
Tobacco manufactures..5,1715,171..5,9975,997..+ 827+ 827
Textiles1,5254,8796,4031,6155,4057,020+90+ 526+ 616
Footwear, clothing2,0917,1329,2232,3657,6309,995+ 274+ 498+ 772
Wood manufactures2,7182,8895,6072,7933,6556,447+ 75+ 766+ 840
Furniture and fittings4561,7162,1724581,8112,268+1+ 95+ 96
Paper and products1,3003,6064,9061,0704,4195,489−230+ 813+583
Printing, publishing1794,3574,5362344,6504,883+ 55+ 292+ 347
Leather and products2897231,0123228521,174+ 33+ 129+ 163
Rubber products1,0551,7172,7721,0631,7662,829+ 8+ 49+ 57
Chemicals and products2,5865,3017,8872,7725,4628,234+186+ 161+ 347
Petroleum, coal products10832543373339412− 35+ 14− 21
Non-metallic mineral products1,3462,3963,7421,2872,7864,073− 58+ 389+ 331
Basic metal products9042451488567655− 2+ 143+ 140
Metal products7454,7685,5128235,2346,057+ 78+ 467+ 545
Machinery2,1105,1807,2901,5966,1497,745−514+ 969+ 455
Electrical products9002,8703,7718113,8964,707− 90+ 1,026+ 936
Transport9177,3558,2721,0075,7806,788+ 90− 1,575− 1,485
Miscellaneous6341,3742,0087971,7782,575+162+ 404+ 567
    Totals23,54669,99593,54124,44876,525100,973+902+6,530+7,432
    Grand totals, all factory industries46,27874,682120,96047,11880,896128,014+840+6,214+7,055

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-five 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 1957-58 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)£
Individual9994,6753,0464,6889,5304,8414,846
Private firm or partnership5252,8241,8883,2746,3603,0865,878
Public registered company84253,22240,816132,929219,01786,088102,242
Private registered company5,65394,61668,219191,755312,594120,83921,376
Municipal and Government1042,6052,1091,9384,8772,93928,263
Co-operative and miscellaneous4065,0433,91283,33492,7319,39723,146
        Totals8,529162,985119,989417,918645,109227,19126,637

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 half times as high as that for private registered companies. Private companies, however, occupy a very high place, both numerically and in the share they contribute to the total added value created in New Zealand factories (53.2 per cent in 1957-58, as compared with 37.9 per cent in the case of public companies).

Since 1951-52, the first years of the new series, private and public registered companies have increased their combined share of added value from 87.8 per cent to 91.1 per cent. The separate share of public companies increased from 34.7 per cent to 37.9 per cent, and that of private companies from 53.1 per cent to 53.2 per cent. All other types of organizations listed recorded declines in their share of added value over this period.

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.

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 and 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: 1956-57 (= 100)
Production YearIndex Numbers of-
Value Added in ManufactureValue of OutputVolume of Production
1950-51556375
1951-52687281
1952-53707781
1953-54798285
1954-55909294
1955-56979799
1956-57100100100
1957-58110107107

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: 1956-57 (= 1000)
Industry GroupValue of OutputValue Added in ManufactureVolume of Production
1955-561956-571957-581955-561956-571957-581955-561956-571957-58
* Indices not available for the groups, but allowed for in compiling total index.
Food967100010449571000106099310001063
Beverages966100010769861000111495210001048
Tobacco manufactures99910001108100110001091101910001108
Textiles9631000993101310001142100310001114
Footwear, other wearing apparel, and made-up textile goods104210001082102310001086103210001053
Wood and cork products (except furniture)999100010599961000106610021000989
Furniture and fittings9591000114096610001107***
Paper and paper products854100012128071000124085210001220
Printing, publishing, etc.949100010979561000110695810001057
Leather and leather products (except footwear and apparel)109410001005109510001038110110001015
Rubber products9431000103297910001089101410001098
Chemicals and chemical products965100010709471000110999910001047
Petroleum and coal products8831000121786410001125***
Non-metallic mineral products n.e.i.9811000111697610001120103110001074
Basic metal manufactures926100097098910001035***
Metal products (except machinery and transport equipment)100410001137100010001099***
Machinery (except electrical)101210001080103910001088***
Electrical machinery and appliances103710001174108210001170103210001153
Transport equipment9691000108695610001087***
Miscellaneous products9341000119994810001175***
Totals974100010729721000109899410001072

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)
1955-561956-571957-58
Food6.223,0456,204,7126,385,230
Beverages514,241537,356531,347
Tobacco manufactures164,234173,437202,765
Textiles681,653588,208717,444
Footwear, other wearing apparel, and made-up textile goods722,239639,628740,032
Wood and cork products (except furniture)1,482,7561,262,5821,418,209
Furniture and fittings377,310375,282476,858
Paper and paper products538,871542,517709,348
Printing, publishing, etc,786,898708,399816,120
Leather and leather products (except footwear and apparel)140,571124,519124,576
Rubber products488,132425,006426,446
Chemicals and chemical products972,756828,321803,396
Petroleum and coal products37,92440,64039,182
Non-metallic mineral products n.e.i.1,555,5241,396,4091,399,719
Basic metal manufactures137,208138,090134,154
Metal products (except machinery and transport equipment)1,670,4691,331,4431,382,243
Machinery (except electrical)1,576,4921,159,2371,335,509
Electrical machinery and appliances459,505385,541453,324
Transport equipment2,320,8752,177,6652,114,280
Miscellaneous products186,346204,082221,627
Totals21,037,04919,243,07420,431,809

The next table shows, by industry groups, the hours of overtime worked during 1957-58 by males and females separately.

Industry GroupTotal Overtime Hours Worked by Wage-earnersAverage Overtime Hours Worked by All Wage-earners
MalesFemalesMalesFemales
Food5.952,131433,099269.18119.34
Beverages525,5555,792293.9362.96
Tobacco manufactures118,78983,976334.62118.44
Textiles561,281156,163145.4838.79
Footwear, other wearing apparel, and made-up textile goods363,006377,02679.2420.49
Wood and cork products (except furniture)1,414,9683,241137.9224.37
Furniture and fittings460,59016,268120.0139.78
Paper and paper products643,48165,867209.7456.78
Printing, publishing, etc.735,44380,677111.8954.25
Leather and leather products (except footwear and apparel)112,09612,480131.1132.58
Rubber products417,2779,169210.9623.45
Chemicals and chemical products774,14829,248245.0635.15
Petroleum and coal products38,832350137.2231.82
Non-metallic mineral products n.e.i.1,384,91414,805261.3568.86
Basic metal manufactures133,654500199.7871.43
Metal products (except machinery and transport equipment)1,325,61356,630220.6889.75
Machinery (except electrical)1,325,36510,144187.92119.34
Electrical machinery and appliances398,83354,491147.5567.52
Transport equipment2,094,59219,688121.2494.20
Miscellaneous products192,73328,894122.3732.47
        Totals18,973,3011,458,508183.6942.27

SUMMARY OF OPERATIONS.—The following table by assembling data from previous pages affords an analysis of production costs in 1957-58, 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
Food24,971200,61915,090240,679246,3705,691
Beverages1,8825,6221,9499,45311,1491,697
Tobacco manufactures7364,9055056,1466,730584
Textiles5,41420,2202,90528,53930,0221,483
Footwear, other wearing apparel, and made-up textile goods13,11524,0703,26340,44842,7242,276
Wood and cork products (except furniture)9,63620,0555,86535,55638,6483,092
Furniture and fittings3,6756,31889010,88311,823941
Paper and paper products4,07712,2438,00224,32127,0542,733
Printing, publishing, etc.7,8868,1703,52219,57822,8953,317
Leather and leather products (except footwear and apparel)9902,5453463,8804,110230
Rubber products2,5485,4251,5909,56310,9001,337
Chemicals and chemical products3,91218,7613,23925,91228,9143,002
Petroleum and coal products3202,0913072,7182,936217
Non-metallic mineral products n, e.i.5,2027,2325,56317,99620,6782,682
Basic metal manufactures7241,9253422,9913,299308
Metal products (except machinery and transport equipment)6,37712,5872,48921,45423,7522,298
Machinery (except electrical)7,20816,0632,66325,93428,1792,245
Electrical machinery and appliances2,8487,2541,23911,34112,5561,215
Transport equipment16,49138,2385,37760,10565,2655,159
Miscellaneous products1,9803,5759056,4607,104644
        Totals119,989417,91866,052603,960645,10941,149

LIST OF CERTAIN COMMODITIES PRODUCED IN RECENT YEARS.—The following is a list of certain commodities produced in New Zealand during the years 1955-56 to 1958-59.

1955-561956-571957-581958-59
ToastersNo.30,31533,78428,55933,640
IronsNo.64,22119,9458,93919,872
Jugs and kettlesNo.41,99947,13155,74447,169
RadiatorsNo.28,97824,47735,12951,117
Vacuum cleanersNo.31,39928,44934,78438,210
Washing machinesNo.45,45833,74636,59735,866
Refrigerators (home and commercial and freezers)No.71,56458,80963,02550,918
Electric rangesNo.31,04926,02829,13034,806
Electric rangettesNo.5,4694,0584,3794,286
RadiosNo.100,76497,870106,304127,632
Women's fully fashioned nylon hose Doz.prs.359,576406,930453,332444,931
Men's half hose Doz.prs.285,365227,722256,928316,083
BlanketsPairs144,671154,006151,872167,827
Floor coverings (textile top coverings)Sq. yd.1,671,1061,526,2151,827,7352,343,823
Mattresses—     
  Innerspring—     
    SingleNo.21,29926,26633,59637,964
    DoubleNo.18,43120,39824,16725,116
  Soft filled—     
    SingleNo.84,99882,63784,67273,428
    DoubleNo.26,83223,78123,49721,896
    InfantsNo.16,91917,96416,41014,937
Venetian blindsSq. ft.4,369,9824,331,5424,172,7703,661,819
Newspapers produced—     
    DailiesThousand269,313276,514282,133290,052
    Other than dailiesThousand43,86845,73645,49746,474
Hot-water bottlesNo.378,166193,319194,191292,897
Soap—     
    ToiletTon2,9303,3142,8803,297
    BarTon5,2784,7885,1805,065
    Powder and flakeTon9,72810,04010,99012,689
Paints—     
  Ready mixed—     
    Oil and alkyd-vehicle typeGallons1,533,8481,813,8901,824,7871,860,555
    EnamelsGallons927,162680,975721,587738,757
ToothpasteCwt.8,4378,8058,7419,340
Furniture and floor polishCwt.23,81525,35524,71222,221
Shoe polishes and cleanersCwt.3,4303,8783,7883,385
Water heaters—     
  Under 10 gallonsNo.13.67412.09515.56912.820
  10 gallons and overNo.34.11336.68236.34435.725
Sinks: stainless steelNo.18.74123.60230.87345.368
Sink tops: stainless steelNo.14.68314.61616.93416.352
WheelbarrowsNo.10.3997.08614.11913.256
Lawnmowers (hand and power)No.59.79562.93465.49859.889
Prams, pushchairs, strollers—     
  Cane (inc. dolls')No.10.50810.26712.9089.653
  Other than caneNo.20.47221.38522.50924.456
ToothbrushesNo.2.111.4121.838.7241.914.6242.082.960

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.

1955-561956-571957-58

* Revised.

† Includes products of establishments classified in other industries.

* Includes production by establishments classified in other industries.

† In addition, in 1955-56, 92,565 gallons; in 1956-57, 104,589 gallons; and in 1957-58, 99,256 gallons were recorded by establishments classified in other industries.

* Principal products shown for this industry include the production of establishments classified in other industries.

Meat Freezing and Preserving
Number of establishments 363635
Persons engagedNo.14,77114,69015,641
Production costs—    
  Salaries, wages£12,752,53913,292,87214,699,559
  Materials£78,410,34382,936,02386,068,481
  Other expenses£4,958,0055,564,6935,994,101
        Totals£96,120,887101,793,588106,762,141
Value of output£100,008,434104,843,412108,188,448
Value added in manufacture£21,598,09121,907,38922,119,967
Overtime worked by wage-earnersHrs.3,949,5363,800,8853,916,662
Principal products—    
  Meat—    
    Lamb carcasesNo.14,430,17513,925,97615,479,240
 Cwt.4,131,1414,034,2614,533,697
    Mutton carcasesNo.3,273,4622,912,7302,773,694
 Cwt.1,536,1911,379,5081,240,109
    Boned muttonCwt.76,73073,09065,741
    Mutton and lamb piecesCwt,28,62035,41828,627
    Beef quarters, shipped bone inCwt.1,981,5211,996,2251,173,910
    Beef quarters, without boneCwt.21,49063,75940,497
    Boneless beefCwt.593,603793,2401,345,345
    Bobby vealCwt.202,097197,109184,434
    Other vealCwt,61,37396,26565,011
    PorkCwt.486,942435,383424,495
    Edible offalsCwt.497,486514,994507,585
By-products—    
  Runners (not processed)No.4,134,9863,998,3694,493,209
  CasingsBundles3.577,7673,395,5933,927,454
  Woolly sheepskinsNo.182,968166,815166,448
  PeltsNo.19,436,13718,343,94519,200,868
  Cow hidesNo.472,326469,370560,518
  Ox and bull hidesNo.257,544306,437276,178
  Bobby calf hidesNo.1,351,3421,330,1341,225,247
  Other calf hidesNo.40,28359,61045,600
  Woollb.50,363,43847,657,38752,897,378
Boiling-down products—    
  TallowCwt.857,384876,7841,048,375
  Neatsfoot oilGallons108,885111,375115,808
  ManuresCwt.665,413642,571712,564
  LivermealCwt.24,51519,17740,996
  MeatmealCwt.319,102318,184335,691
  Canned and other preserved meats, pastes, extracts, and miscellaneous canningsCwt.176,265145,499109,305
Ham and Bacon Curing
Number of establishments 424344
Persons engagedNo.892937977
Production costs—    
  Salaries, wages£663,828721,554776,098
  Materials£4,588,3524,989,1405,352,739
  Other expenses£337,515336,571355,640
        Totals£5,589,6956,047,2656,484,477
Value of output£5,982,3976,419,0836,906,964
Value added in manufacture£1,394,0451,429,9431,554,225
Overtime worked by wage-earnersHrs.152,713162,194154,421
Pigs dealt with—    
  CarcasesNo.385,497400,214407,338
  Cost£3,743,4444,118,4634,127,482
Principal products—    
  Ham and baconCwt.289,617307,555303,011
  Frozen porkCwt.33,35732,02728,179
  Small goodsCwt.174,221169,744174,408
  Lard (edible)Cwt.11,33212,35912,875
Butter, Cheese, and Other Milk Products
Number of establishments—    
  Butter and cheeseNo.292285277
  Other milk productsNo,9990104
Persons engagedNo,4,5804,6804,817
Production costs—    
  Salaries, wages£3,431,3363,658,4183,856,485
  Materials£81,752,49581,891,31283,920,452
  Other expenses£4,231,2774,576,0324,834,740
        Totals£89,415,10890,125,76292,611,677
Value of output£89,873,89490,526,811*93,502,318
Value added in manufacture£8,121,3998,635,499*9,581,866
Overtime worked by wage-earnersHrs.894,183885,167842,112
Butterfat used—    
  For creamery butterlb.(000)369,883367,231397,689
  For cheesemakinglb.(000)85,71483,92485,670
For whey butter making—    
    Recoveries from own wheylb.(000)3,3793,0463,016
    Whey fat purchasedlb.(000)2,1022,4502,461
    Second grade creamery butterfatlb.(000)185153127
    Total for whey butterlb.(000)5,6665,6495,604
  For other manufacturing or for separation for cream saleslb.(000)7,1626,8627,355
Principal products—    
  Creamery butterTons200,174199,096214,930
  Whey butterTons3,0673,0553,025
  CheeseTons95,93994,14196,483
  Condensed and powdered whole milkTons14,67415,29013,466
  Skim-milk powderTons36,09951,18446,214
  Buttermilk powderTons11,99213,41815,870
  CaseinTons14,76913,89822,924
Ice-cream
Number of establishments 434343
Persons engaged*No.491543525
Production costs*    
    Salaries, wages£297,555340,340352,958
    Materials£940,2741,124,251982,380
    Other expenses£309,132371,300399,271
        Totals£1,546,9611,835,8911,734,609
Value of output*£1,850,6372,161,6842,011,640
Value added in manufacture*£910,3631,037,4331,029,260
Overtime worked by wage-earnersHrs.37,85242,45334,744
Main materials used—    
    MilkGallons562,193569,643505,589
    CreamGallons34,45234,89237,677
    Ice-cream mixtureCwt.46,12560,48550,969
    Butterlb.1.261,5681,286,5441,250,480
    Skim-milk powderlb.1,600,4801,607,5361,529,024
    SugarCwt.27,39732,45027,162
Products—    
    Bulk ice-creamGallons2,311,8982,431,6792,231,663
Ice-cream, cartoned, wrapped, chocolate-coated, etc.*Gallons1,683,4921,805,8311,896,894
    Iced lolliesGallons364,461565,359472,882
Grain Milling
Number of establishments 454545
Persons engagedNo,803804805
Production costs—    
  Salaries, wages£530,560569,923587,826
  Materials£3,120,4573,284,1603,380,470
  Other expenses£382,306415,462452,800
        Totals£4,033,3234,269,5454,421,096
Value of output£4,361,3304,539,2344,680,780
Value added in manufacture£1,240,8731,255,0741,300,310
Overtime worked by wage-earnersHrs.93,331100,50597,890
Main materials used—    
  WheatBushels8,196,8758,462,5608,748,292
  OatsBushels557,044617,313588,384
Principal products—    
  Flour Shorttons179,591184,623191,397
  Wholemeal, wheatmeal Shorttons8,7869,4048,557
  Bran and pollard Shorttons50,97253,15254,995
Prepared cereals for human consumption—    
  Oatmeal, rolled oats Shorttons5,8546,4115,969
  Other (including cereals in biscuit and flake form)†Short tons5,8316,4086,567
Biscuits
Number of establishments 10109
Persons engagedNo.1.3611,2941,223
Production costs—    
  Salaries, wages£727,090730,139761,489
  Materials£1,764,3631,789,5881,869,892
  Other expenses£544,758555,580529,132
        Totals£3,036,2113,075,3073,160,513
Value of output£3,084,8653,288,4983,462,507
Value added in manufacture£1,320,5021,498,9101,592,615
Overtime worked by wage-earnersHrs.201,792164,712216,766
Main materials used—    
  FlourShort tons10,42710,97510,695
  SugarTons4,0473,7863,545
  ChocolateCwt.6,2076,4075,303
  Margarine, lard, confectionery fatCwt,47,16351,38853,645
Biscuits manufacturedTons15,12515,88916,289
Cocoa, Chocolate, and Sugar Confectionery
Number of establishments 494642
Persons engagedNo.1,8401,8211,811
Production costs—    
  Salaries, wages£964,7361,000,8021,050,032
  Materials£3,251,1333,022,5683,146,845
  Other expenses£552,719555,698630,576
        Totals£4,768,5884,579,0684,827,453
Value of output£4,942,8904,911,4465,265,147
Value added in manufacture£1,691,7571,888,8782,118,302
Overtime worked by wage-earnersHrs.164,173169,265162,993
Main materials used—    
  SugarTons9,0119,0009,561
  Cocoa beansCwt.47,60543,17942,040
  Cocoa butterCwt.7,3248,0418,837
  GlucoseCwt.58,16961,34963,634
Confectionery manufactured—    
  Chocolate and chocolate-coatedTons6,5066,5866,900
  SugarTons9,7489,6659,855
Fruit and Vegetable Preserving
Number of establishments 393838
Persons engagedNo.1,7511,8642,024
Production costs—    
  Salaries, wages£1,003,2461,183,8891,390,815
  Materials£3,055,7703,572,1524,501,585
  Other expenses£571,226701,965963,741
        Totals£4,630,2425,458,0066,856,141
Value of output£4,889,5645,844,0147,236,909
Value added in manufacture£1,833,7942,271,8622,735,324
Overtime worked by wage-earnersHrs.422,787621,758682,586
Main materials used—    
  FruitTons8,7948,87611,930
  Vegetables and tomatoesTons20,68827,28534,130
  SugarTons3,2833,6774,873
Principal products—    
  Canned fruitCwt.91,99277,946103,907
  Canned beans in sauceCwt.46,92847,53847,518
  Canned peasCwt.108,064102,463170,374
  Canned green beansCwt.17,32024,70336,125
  Other canned vegetables (not tomatoes)Cwt.16,27246,80846,744
  Tomato soupGallons344,264349,456374,650
  Pickles and sauces*Gallons508,611544,384651,585
  Jams, jellies, and conservesCwt.48,08363,20581,671
  Canned spaghetti in sauceCwt.49,60251,58058,411
  Canned tomatoes (whole and halves)Cwt.13,14313,22911,729
Quick-frozen vegetables—    
    PeasCwt.75,265111,948140,012
    BeansCwt.17,49323,25223,716
    OtherCwt.6,95511,91722,457
Breweries
Number of establishments 272625
Persons engagedNo.1,3551,3351,359
Production costs—    
  Salaries, wages£1,113,0851,178,7461,185,759
  Materials£3,608,7393,723,0313,852,187
  Other expenses£1,111,8051,227,6341,338,561
        Totals£5,833,6296,129,4116,376,507
Value of output£7,061,8987,074,8657,550,935
Value added in manufacture£3,453,1593,351,8343,698,748
Overtime worked by wage-earnersHrs,424,105450,671433,553
Main materials used—    
  MaltBushels1,375,1921,420,9131,468,288
  HopsCwt.6,8746,8527,062
  SugarCwt.74,12983,77989,815
Beer produced for saleGallons46,470,82448,216,41850,772,729
Stout produced for saleGallons447,663435,632482,639
Aerated Waters and Cordials
Number of establishments 737271
Persons engagedNo.592666707
Production costs—    
  Salaries, wages£379,489441,329484,978
  Materials£614,886675,072757,821
  Other expenses£251,478284,622346,128
        Totals£1,245,8531,401,0231,588,927
Value of output£1,470,7591,689,0171,956,858
Value added in manufacture£855,8731,013,9451,199,037
Overtime worked by wage-earnersHrs,29,68332,57242,999
Main materials used—    
  SugarTons4,0214,2684,762
  Essential oils and essenceslb.110,416132,485163,212
  Fruit extracts and juicesGallons74,88377,67376,642
Aerated waters madeGallons5,973,5486,601,0007,121,693
Cordials madeGallons398,349411,343417,922
Tobacco, Cigars, and Cigarettes
Number of establishments 777
Persons engagedNo,1,1001,1091,184
Production costs—    
  Salaries, wages£613,617643,374736,006
  Materials£4,393,8554,399,1314,905,042
  Other expenses£417,165458,164505,072
        Totals£5,424,6375,500,6696,146,120
Value of output£6,069,0386,072,6076,729,820
Value added in manufacture£1,675,1831,673,4761,824,778
Overtime worked by wage-earnersHrs.164,234173,437202,765
Tobacco leaf used in manufacturelb.9,945,2459,780,45810,618,608
Cigarettes madeMillion1,9031,9292,150
Tobacco madelb.5,318,7544,945,0715,024,114
Woollen Milling
Number of establishments 202020
Persons engagedNo.2,5622,5692,627
Production costs—    
  Salaries, wages£1,506,9731,509,7671,608,393
  Materials 2,480,6152,260,7912,654,523
  Other expenses£789,960705,875804,147
        Totals£4,777,5484,476,4335,067,063
Value of output£5,001,4104,489,8675,365,748
Value added in manufacture£2,520,7952,229,0762,711,225
Overtime worked by wage-earnersHrs.195,479194,370258,789
Main materials used—    
  Wool fibres—    
  Greasy and slipe woollb.7,826,2366,830,4747,347,152
  Scoured woollb.480,981539,203441,419
  Tops, noilslb,580,132511,316816,778
  Woollen and worsted yarnlb.88,169114,243114,180
  Non-wool fibres—    
  Artificial and syntheticlb.82,029232,505568,107
  Otherlb.11,9941,4582,802
Principal products—    
  Woollen clothYd. 54 in.895,059838,7851,002,728
  Worsted clothYd. 54 in,1,074,661921,2911,050,381
  FlannelYd. 54 in.444,589282,161284,959
  BlanketsPairs144,671154,006151,872
  RugsNo.50,96755,32349,762
  Yarn produced for sale or transfer—    
    Fingeringlb.315,561314,945401,289
    Machine knittinglb,1,947,1131,650,6721,739,313
Hosiery and Other Knitting Mills
Number of establishments 898786
Persons engagedNo.3,7773,7434,085
Production costs—    
  Salaries, wages£2,088,7072,094,4702,321,509
  Materials£3,779,7463,763,0004,464,757
  Other expenses£959,093977,4701,116,318
        Totals£6,827,5466,834,9407,902,584
Value of output£7,164,4037,242,6538,513,054
Value added in manufacture£3,384,6573,479,6534,048,297
Overtime worked by wage-earnersHrs.152,090131,070179,940
Clothing
Number of establishments 811788788
Persons engagedNo.19.33218.29619.365
Production costs—    
  Salaries, wages£8.830.7328.701.9879.428.198
  Materials£17.790.64516.760.95618.229.442
  Other expenses£1.950.9031.992.3642.233.724
        Totals£28.572.28027.455.30729.891.364
Value of output£30.216.73028.951.04631.453.617
Value added in manufacture£.12.426.08512.190.09013.224.173
Overtime worked by wage-earnersHrs.437.173358.066403.883
Footwear
Number of establishments 133121121
Persons engagedNo.4.9574.6454.773
Production costs—    
  Salaries, wages£2.871.4382.719.7202.916.577
  Materials£4.007.9743.734.3463.953.972
  Other expenses£715.131710.082796.485
        Totals£7.594.5437.164.1487.667.034
Value of output£7.904.0517.451.0798.047.127
Value added in manufacture£3.896.0773.716.7334.093.155
Overtime worked by wage-earnersHrs.250.820235.831280.262
Main materials used—    
  Upper leatherSq. ft.9.417.4458.476.7258.865.564
  Sole leatherlb.4.776.9863.891.9003.703.186
  FeltSq. yd.161.927134.650128.910
Principal products—    
  Men's and boys' boots and shoesPairs1.023.419916.376924.043
  Women's and girls' shoesPairs1.884.8971.766.8652.096.093
  Sandals (all kinds)Pairs779.871759.769768.604
  Slippers, leather and felt, etc.Pairs1.669.7571.400.4211.471.581
Sawmills
Number of establishments 544522501
Persons engagedNo.6.2785.7865.883
Production costs—    
  Salaries, wages£4.613.6424.397.2314.645.759
  Materials£7.640.5257.505.8987.900.340
  Other expenses£3.448.7813.612.6203.950.920
        Totals£15.702.94815.515.74916.497.019
Value of output£16.898.71116.421.66517.739.724
Value added in manufacture£9.258.1868.915.7679.839.384
Overtime worked by wage-earnersHrs.620.339440.059592.621
Rough sawn timber producedThousand ft. b.m.633.559584.710593.628
Planing Mills
Number of establishments 144140146
Persons engagedNo.1.8611.8671.798
Production costs—    
  Salaries, wages£1.268.6261.328.6391.309.997
  Materials£5.285.8575.193.3205.479.422
  Other expenses£580.524640.904654.012
        Totals£7.135.0077.162.8637.443.431
Value of output£7.757.6277.817.0408.101.597
Value added in manufacture£2.471.7702.623.7202.622.175
Overtime worked by wage-earnersHrs.268.005220.677202.936
Rough sawn timber used in manufactureThousand ft. b.m.120.821116.726115.161
Dressed timber produced—    
  FloorboardsThousand ft. b.m.34.07233.38031.283
  WeatherboardsThousand ft. b.m.23.87821.77820.571
  OtherThousand ft. b.m.49.04042.54449.026
Joinery work done£1.258.8361.157.1271.236.371
Joinery
Number of establishments 340353360
Persons engagedNo.3.1723.2393.237
Production costs—    
  Salaries, wages£2.258.0352.424.9332.539.471
  Materials£3.890.3964.025.5554.142.909
  Other expenses£597.379650.883674.134
        Totals£6.745.8107.101.3717.356.514
Value of output£7.489.4607.852.2508.144.729
Value added in manufacture£3.599.0643.826.6954.001.820
Overtime worked by wage-earnersHrs.424.188438.399444.915
Timber used in manufactureThousand ft. b.m.61.16957.92755.636
Dressed timber produced—    
  FloorboardsThousand ft. b.m.3.7043.2103.611
  WeatherboardsThousand ft. b.m.1.9101.9271.685
  OtherThousand ft. b.m.3.4583.8354.097
Joinery and other woodwork£7.003.7027.350.1207.597.879
Furniture
Number of establishments 470463461
Persons engagedNo.4.1674.1434.286
Production costs—    
  Salaries, wages£2.718.7802.786.8373.087.352
  Materials£3.367.8253.604.6534.319.073
  Other expenses£598.297605.107670.296
        Totals£6.684.9026.996.5978.076.721
Value of output£7.207.3067.526.0928.762.081
Value added in manufacture£3.839.4813.921.4394.443.008
Overtime worked by wage-earnersHrs.316.716324.853413.813
Pulp, Paper, and Paperboard
Number of establishments 566
Persons engagedNo.1.8081.9942.077
Production costs—    
  Salaries, wages£1.660.1811.879.1022.233.653
  Materials£3.418.4973.987.8734.572.751
  Other expenses£5.616.0076.441.7536.989.108
    Totals£10.694.68512.308.72813.795.512
Pulp, Paper, and Paperboard—continued
Value of output£9.886.30212.397.55715.378.084
Value added in manufacture£6.467.8058.409.68410.805.333
Overtime worked by wage-earnersHrs.284.083283.788399.953
Principal products—    
  NewsprintTons39.00660.33974.711
  Other paperTons28.88030.92738.872
  PaperboardTons22.24725.80830.918
  FibreboardSq. yd. (000)7.6507.3528.314
  Wood pulp for saleTons50.61069.09579.846
Cardboard Boxes, Cartons, and Paper Bags
Number of establishments 484651
Persons engagedNo.1,4581.5321.638
Production costs—    
  Salaries, wages£869.614940.6171.086.920
  Materials£3.524.0313.722.2234.537.613
  Other expenses£538.231513.267603.510
        Totals£4.931.8765.176.1076.228.043
Value of output£5.327.1145.721.8426.813.021
Value added in manufacture£1.803.0831.999.6192.275.408
Overtime worked by wage-earnersHrs.157.326155.795195.915
Paper used in manufactureTons7.5657.6678.786
Cardboard used in manufactureTons26.48627.22234.619
Cardboard boxes, cartons, made£3.968.0504.231.5594.985.793
Paper bags, made£1.087.4341.159.2801.326.227
Printing and Publishing
Number of establishments 969695
Persons engagedNo.4.7644.9505.146
Production costs—    
  Salaries, wages£3.590.9393.855.5814.160.985
  Materials£3.924.6874.215.5734.492.229
  Other expenses£1.829.6131.968.1112.123.645
        Totals£9.345.23910.039.26510.776.859
Value of output£11.305.33812.034.51813.139.349
Value added in manufacture£7.380.6517.818.9458.647.120
Overtime worked by wage-earnersHrs.280.824277.112308.848
Newsprint usedTons46.31648.99150.882
Other paper usedTons3.1083.1473.048
Job and General Printing
Number of establishments 275269275
Persons engagedNo.4.3054.3404.518
Production costs—    
  Salaries, wages£2.889.5313.010.9543.353.235
  Materials£3.067.1673.223.8983.536.278
  Other expenses£1.086.8181.138.8591.291.676
        Totals£7.043.5167.373.7118.181.189
Value of output£7.902.6608.198.9199.026.686
Value added in manufacture£4.835.4934.975.0215.490.408
Overtime worked by wage-earnersHrs.462.650392.231464.623
Newsprint usedTons809735940
Other paper usedTons11.67512.05112.555
Cardboard usedTons3.4383.6494.093
Tanning
Number of establishments 141412
Persons engagedNo.702666651
Production costs—    
  Salaries, wages£508.463497.129496.201
  Materials£1.529.5471.361.8181.317.379
  Other expenses£199.516194.933204.911
        Totals£2.237.5262.053.8802.018.491
Value of output£2.383.8052.115.7172.123.601
Value added in manufacture£854.258753.899806.222
Overtime worked by wage-earnersHrs.95.02386.62486.053
Main materials used—    
  Cattle hidesNo.307.255278.044289.924
  Yearling and calf hidesNo.166.81996.53996.062
  PeltsNo.497.563354.933219.587
  Sheep-skinsNo.28.99028.60035.059
Principal products—    
  Leather—    
    Hides—Bendslb.2.336.4892.191.4682.047.361
    Shoulderslb.1.294.7281.189.0821.002.361
    Bellieslb.1.294.6701.324.9601.079.094
    Chrome and other sidesSq. ft.7.445.2736.507.0827.194.752
    YearlingSq. ft.840.095730.635833.628
    CalfSq. ft.854.457466.737459.357
    Sheep—BasilsSq. ft.160.656119.099116.207
    RoansSq. ft.854.909726.477564.770
    ChamoisDoz.22.58020.6426.949
    Woolly skinsSq. ft.144.357166.349158.230
Rubberware
Number of establishments 282726
Persons engagedNo.2.2692.2682.227
Production costs—    
  Salaries, wages£1.857.3721.969.7692.089.420
  Materials£4.274.2054.623.1934.463.530
  Other expenses£1.141.6661.192.0401.260.451
        Totals£7.273.2437.785.0027.813.401
Value of output£8.265.0998.682.6328.874.484
Value added in manufacture£3.990.8944.059.4394.410.954
Overtime worked by wage-earnersHrs.415.483356.275355.262
Crude rubber usedlb.(000)16.19513.69611.982
Principal products—    
  Motor tiresNo.601.504622.306692.022
  Motor tubesNo.525.956390.165349.885
  Camelbacklb.3.442.1733.571.9533.819.721
Milking rubberware£944.4331.013.1311.138.370
Bicycle tires and tubes
Battery containers
Rubber and canvas footwear
Chemical Fertilizers
Number of establishments 999
Persons engagedNo.1.2611.2481.231
Production costs—    
  Salaries, wages£1.095.7291.064.8541.078.002
  Materials£7.344.7197.254.6597.244.359
  Other expenses£990.1911.021.0351.138.551
        Totals£9.430.6399.340.5489.460.912
Value of output£10.153.72610.031.80410.108.457
Value added in manufacture£2.809.0072.777.1452.864.098
Overtime worked by wage-earnersHrs.516.911434.397410.749
Main materials used—    
  Rock phosphateTons568.663549.633507.841
  Serpentine rockTons89.98881.67098.312
  SulphurTons108.876103.77598.973
  Carbonate of limeTons23.36216.85211.319
  Nitrate of sodaTons4.7974.4113.888
  PotashTons17.14522.11027.899
Principal products—    
  Serpentine superphosphate and mixturesTons333.652302.983231.122
  Basic and reverted superphosphate and mixturesTons66.34049.27436.536
  Straight super and mixturesTons652.515628.640466.184
Aerial super and mixturesTons £147.175
other (including ground rock)Tons6.280
Soap and Candle Manufacture
Number of establishments 141414
Persons engagedNo.512472474
Production costs—    
  Salaries, wages£391.102354.244369.966
  Materials£1.318.3421.362.6541.444.148
  Other expenses£265.743324.433341.786
        Totals£1.975.1872.041.3312.155.900
Value of output£2.131.2122.313.3032.453.054
Value added in manufacture£812.870950.6491.008.906
Overtime worked by wage-earnersHrs.82.11857.59051.292
Main materials used—    
  TallowTons9.80010.08910.491
  Other oilsTons9489891.055
  Caustic sodaTons1.6621.6591.725
  Soda ashTons2.4392.3002.730
Principal products—    
  Soap—    
    ToiletTons2.9303.3142.880
    BarTons5.2784.7885.180
    Powder and flakesTons9.72810.04010.990
  CandlesTons299427219
  SandsoapTons519526572
Paint and Varnish
Number of establishments 272727
Persons engagedNo.756829885
Production costs—    
  Salaries, wages£587.958622.803688.535
  Materials£3.400.4923.593.0313.799.025
  Other expenses£406.038456.006453.431
        Totals£4.394.4884.671.8404.940.991
Value of output£4.837.5325.147.0275.398.311
Value added in manufacture£1.437.0401.553.9961.599.286
Overtime worked by wage-earnersHrs.154.960126.351118.993
Main materials used—    
  White leadCwt.24.85220.26820.873
  Other pigments and extendersCwt.187.474179.036184.914
  Linseed oilGallons570.523480.196493.591
  SolventsGallons1.555.1221.583.9131.561.441
  Gums and resinsCwt.56.45967.98071.883
Principal products—    
  Ready mixed paintsGal(000)1.6771.9692.041
Varnishes (for sale)Gal(000)115110140
Enamels, lacquersGal(000)1.098854933
Pharmaceuticals, Toilet Goods, and Cosmetics*
Number of establishments 424241
Persons engagedNo.735733729
Production costs—    
  Salaries, wages£394.614426.396434.219
  Materials£1.459.5201.609.4331.741.134
  Other expenses£230.662241.827264.060
        Totals£2.084.7962.277.6562.439.413
Value of output£2.549.4812.776.3613.014.375
Value added in manufacture£1.089.9611.166.9281.273.241
Overtime worked by wage-earnersHrs.16.74618.79922.683
Principal products—    
  Pharmaceutical products£1.299.0521.354.9731.520.097
  Toilet preparations and cosmetics—    
    Dentifrices£270.071305.616353.152
    Cosmetic creams and lotions£141.281153.870152.698
    Hair dressings£320.116374.871398.405
    Powder, face and talcum£188.373191.882192.085
    Lipstick£67.67164.72465.565
Structural Clay Products
Number of establishments 484848
Persons engagedNo.1.0361.0051.028
Production costs—    
  Salaries, wages£790.382784.987816.461
  Materials£168.609167.005158.973
  Other expenses£747.929757.008823.269
        Totals£1.706.9201.709.0001.798.703
Value of output£1.908.7001.867.9202.033.242
Value added in manufacture£1.740.0911.700.9151.874.269
Overtime worked by wage-earnersHrs.255.184248.972231.182
Clay used—    
  PurchasedTons26.07521.03413.444
  From own quarryTons269.911235.695288.137
Principal products—    
  FirebricksNo.4.015.5983.258.7583.729.135
  Building bricksNo.48.101.36743.834.66149.294.429
  Roofing tilesNo.2.201.6001.766.0001.047.900
Salt-glazed pipes—    
  Above 6 in.No.15.81511.47214.839
  6 in. and belowNo.2.372.9812.394.9642.352.371
Pottery, China, and Earthenware
Number of establishments 766
Persons engagedNo.477389455
Production costs—    
  Salaries, wages£302.333239.616296.379
  Materials£119.61999.931114.781
  Other expenses£183.946174.730208.234
        Totals£605.898514.277619.394
Value of output£656.259556.165665.363
Value added in manufacture£536.640456.234550.582
Overtime worked by wage-earnersHrs.119.66139.73966.106
Principal products—    
  Insulators and refractory insulator elements£210.940184.893224.836
  Crockery, artware, and novelties, stoneware£271.872245.254250.516
  Other earthenware including sanitary-ware£141.620123.104148.761
Cement
Number of establishments 335
Persons engagedNo.549589704
Production costs—    
  Salaries, wages£490.704526.608679.584
  Materials£850.728955.6791.150.967
  Other expenses£1.900.9371.923.6952.377.399
        Totals£3.242.3693.405.9824.207.950
Value of output£3.708.7014.311.1295.170.912
Value added in manufacture£2.857.9733.355.4504.019.945
Overtime worked by wage-earnersHrs.307.557299.054419.421
Principal materials—    
  LimestoneTons310.532324.541375.663
  Clay, marl, cement rockTons425.167554.577666.994
  GypsumTons14.86214.95819.215
Cement madeTons422.735472.090543.967
Concrete Products
Number of establishments 279290288
Persons engagedNo.2.0362.0622.183
Production costs—    
  Salaries, wages£1.559.5891.588.1331.715.801
  Materials£2.476.2272.566.7722.840.229
  Other expenses£611.321673.688775.527
        Totals£4.647.1374.828.5935.331.557
Value of output£5.412.0715.579.3586.190.291
Value added in manufacture£2.935.8443.012.5863.350.062
Overtime worked by wage-earnersHrs.360.304347.635306.955
Materials used—    
  Portland cementTons77.06877.20383.932
  Sand, shingleYd.329.418327.300355.591
  ReinforcingTons10.93311.19612.703
  PumiceYd.36.02629.68230.611
Principal products—    
  Roofing tilesNo.12.428.29010.235.7189.546.265
  Fencing postsNo.3.111.0192.973.6993.201.563
  Housing bricks and blocksNo.5.824.6906.177.8507.289.467
  Coppers, boilersNo.9.7187.2295.812
  PipesTons82.08092.100101.803
Plywood and Veneer
Number of establishments 898
Persons engagedNo.532570538
Production costs—    
  Salaries, wages£355.524429.763427.475
  Materials£573.070660.600704.244
  Other expenses£245.948244.708270.332
        Totals£1.174.5421.335.0711.402.051
Value of output£1.331.2271.469.9871.566.611
Value added in manufacture£758.157809.387862.367
Overtime worked by wage-earnersHrs.53.02160.42047.997
Species of logs used—    
  RimuFt. (H. Dahl)8.066.3278.337.8919.318.884
  MataiFt. (H. Dahl)1.014.166905.347932.818
  KahikateaFt. (H. Dahl)1.570.5961.541.7501.142.206
  Radiata pineFt. (H. Dahl)3.211.2424.598.1954.498.732
  OtherFt. (H. Dahl)311.430839.336571.400
Plywood made (3/16 in. basis)Sq. ft.35.660.10837.830.76038.769.091
Range Making*
Number of establishments 977
Persons engagedNo.1.065900912
Production costs—    
  Salaries, wages£736.812617.799639.975
  Materials£927.803729.951891.117
  Other expenses£259.896237.439239.179
        Totals£1.924.5111.585.1891.770.271
Value of output£2.004.3761.592.6081.904.411
Value added in manufacture£1.076.573862.6571.013.294
Overtime worked by wage-earnersHrs.157.500103.681107.629
Iron and steel usedTons4.6383.9944.366
Principal products—    
  Domestic electric rangesNo.31.04926.02829.130
  Domestic electric rangettesNo.5.4694.0584.379
  Domestic coal rangesNo.3.6133.2403.624
Radio Assembly and Manufacture*
Number of establishments 201922
Persons engagedNo.1.0149051.032
Production costs—    
  Salaries, wages£642.802576.035677.291
  Materials£1.756.4021.726.9732.136.804
  Other expenses£247.506200.972224.399
        Totals£2.646.7102.503.9803.038.494
Value of output£2.787.0642.680.3823.248.622
Value added in manufacture£1.030.662953.4091.111.818
Overtime worked by wage-earnersHrs.77.40657.73697.861
Principal products—    
  Radio receivers, table models—    
    BroadcastNo.36.35435.27335.369
    Broadcast and short-waveNo.12.4967.0746.293
    RadiogramNo.9.3046.1383.855
  Radio receivers, console models—    
    BroadcastNo. 381174
    Broadcast and short-waveNo.73194 
    RadiogramNo.12.23619.20928.435
  Portable receiversNo.9.0069.18410.922
  Automobile receiversNo.21.29520.41721.256
Motor Vehicle Assembly
Number of establishments 111213
Persons engagedNo.2.8452.9213.206
Production costs—    
  Salaries, wages£2.463.3162.548.9172.910.580
  Materials£19,852,09320,237,43922,607,065
  Other expenses£930,940928,0941,018,097
        Totals£23,246,34923,714,45026,535,742
Value of output£25,652,78725,942,07628,975,263
Value added in manufacture£5,800,6945,704,6376,368,198
Overtime worked by wage-earnersHrs.780,870718,983729,162
Vehicles assembled—    
  CarsNo.32,31532,11736,168
  BusesNo.82119117
  VansNo.1,6911,3251,380
  TrucksNo.7,4315,9674,821
Motor Body Building
Number of establishments 808174
Persons engagedNo.1,1721,1901,163
Production costs—    
  Salaries, wages£841,452881,026869,685
  Materials£1,027,135970,172941,974
  Other expenses£228,671224,644227,740
        Totals£2,097,2582,075,8422,039,399
Value of output£2,353,6022,319,8442,204,795
Value added in manufacture£1,326,4671,349,6721,262,821
Overtime worked by wage-earnersHrs.127,798122,025101,766
Main materials—    
  TimberFt. b.m.1,293,0091,349,2531,275,031
  PlywoodSq. ft.280,149315,376346,651
  Paints and oilsGallons26,71027,57727,974
Motor bodies built—    
  BusesNo.219197185
  VansNo.790436213
  TrucksNo.1,7411,7601,549
Motor Repairs
Number of establishments 1,6251,6951,755
Persons engagedNo.13,25313,71214,344
Production costs—    
  Salaries, wages£8,589,1389,319,57710,076,107
  Materials£11,749,58211,904,27012,683,687
  Other expenses£2,750,6502,934,5873,293,627
        Totals£23,089,37024,158,43426,053,421
Value of output£25,052,27326,054,74228,251,684
Value added in manufacture£13,302,69114,150,47215,567,997
Overtime worked by wage-earnersHrs.802,608729,456749,025
Sheetmetal Working
Number of establishments 167164155
Persons engagedNo.3,5673,4623,531
Production costs—    
  Salaries, wages£2,674,7222,642,2232,817,097
  Materials£4,950,1034,759,5715,371,622
  Other expenses£1,002,564998,3501,144,567
        Totals£8,627,3898,400,1449,333,286
Value of output£9,567,0159,373,98510,276,053
Value added in manufacture£4,616,9124,614,4144,904,431
Overtime worked by wage-earnersHrs.839,811633,488612,266
Metal Products n.e.i.
Number of establishments 143153152
Persons engagedNo.3,0913,1353,382
Production costs—    
  Salaries and wages£2,514,1412,478,3102,751,830
  Materials£3,988,7274,378,5255,080,178
  Other expenses£1,022,926979,6861,043,583
        Totals£7,525,7947,836,5218,875,591
Value of output£8,289,0348,703,8289,878,367
Value added in manufacture£4,300,3074,325,3034,798,189
Overtime worked by wage-earnersHrs.655,741542,487566,401
Agricultural and Pastoral Machinery
Number of establishments 898986
Persons engagedNo.1,2881,1311,038
Production costs—    
  Salaries, wages£907,000797,281763,508
  Materials£3,328,0763,855,2684,322,155
  Other expenses£265,542242,315272,779
        Totals£4,500,6184,894,8645,358,442
Value of output£4,903,9275,253,8165,739,297
Value added in manufacture£1,575,8511,398,5481,417,142
Overtime worked by wage-earnersHrs.125,41295,17685,296
Machinery n.e.i.
Number of establishments 410408419
Persons engagedNo.7,8597,6027,925
Production costs—    
  Salaries, wages£6,061,1575,963,0326,444,211
  Materials£11,528,67811,113,02311,741,060
  Other expenses£2,048,0582,137,4752,390,064
        Totals£19,637,89319,213,53020,575,335
Value of output£21,522,83420,848,43122,439,682
Value added in manufacture£9,994,1569,735,40810,698,622
Overtime worked by wage-earnersHrs.1,451,0801,064,0611,250,213

Chapter 25. SECTION 25—BUILDING AND HOUSING CONSTRUCTION; AND TENANCY

Table of Contents

INTRODUCTORY.—An interesting feature of building and housing 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 increasing housing needs of a growing population have been 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. The diversification of factory industries in recent years has involved extensive building operations while modernization of factory equipment and of shop and office accommodation has been responsible for a further appreciable proportion of building activity.

Private building suffered severely during the depression, but later revived substantially to reach its pre-war peak in 1938-39. The cumulative effect of the war may be gauged from the record low level of building permits for urban districts in 1942-43, their value being £2.7 million 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 were two slight annual decreases, until 1957-58 when a large increase was recorded. The value of building permits in urban districts for 1958-59 totalled £80.3 million compared with £79.4 million in 1957-58. The total value of permits for New Zealand in 1958-59 was £101.5 million, which was a small drop of £0.3 million, or 0.3 per cent, below the 1957-58 figure.

Building controls introduced as war-time emergency regulations to conserve materials and manpower were finally removed in December 1956. It is significant that 1957-58, which was the first full financial year after the complete removal of building controls, should see a record level reached in the value of building permits, this level being almost maintained in 1958-59.

Statistics of the Nature of Building Activity.—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 and the types of construction; a statement summarizing the activities of owner-builders was given separately.

Trends in Average Costs of Some Representative Lines.—The following table is of interest in that it illustrates trends in the cost of representative lines of building activity over a period with general characteristics of rising costs.

Cost in Year Stated
19391945End of 1950End of 1955End of 1959
State rental house (976 square feet)£1,061£1,479£2,172£2,582£2,714
Buildings (reinforced concrete): For similar size and type£10,000£15,700£25,100£28,800£30,400

Building Materials.—Most materials are manufactured in New Zealand with current production meeting demand. With the reintroduction of import licensing in 1958 supplies of imported materials were restricted but building operations were only mildly hampered.

The expansion in the quantity and range of materials manufactured in New Zealand is still continuing.

The following materials called for special comment at the end of 1959:—

Timber.—Domestic production of timber satisfies the demand for most light construction with the exception of finishing timbers used for joinery and weatherboards. Production of the finishing timbers is static and in some cases declining. Improved method of preservation, new construction techniques, and development of standards of grading have increased sales of exotic timber which is in good supply.

Portland Cement.—With six plants in operation productive capacity is more than adequate to meet demand.

Bricks.—Supplies are adequate although local shortages still persist in some North Island areas particularly of certain fancy types. Major brickworks are considering or have executed plans for expansion.

Plywood.—New Zealand plywoods are available in good quantities but it is still necessary to import speciality plywoods which have qualities not found in the domestic product. Logs are being imported to supplement the range and quantity available from New Zealand forests.

Veneers.—It has been necessary to continue to import veneers in order to provide greater variety than that offered by domestic manufacturers.

boards.—Production of fibreboards (both insulating and hardboard) continues to rise and the high demand is being sustained. The sole manufacturer proposes to increase production.

Ceramic Tiles.—Imports are still necessary as domestic production is inadequate in quantity and variety to meet demand.

Sanitary Earthenware.—Domestic production meets only a portion of demand and imports on a larger scale than in 1959 may be necessary to cope with increased requirements.

Structural and reinforcing steel and steel sheet are in good supply and ample provision is made for imports.

Galvanized corrugated iron is imported and is not yet freely available, but alternative roofing materials are in plentiful supply.

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*PlywoodWallboardPaints, etc.
PaintsVarnishesEnameis, Lacquers

* Asbestos-cement and cement sheet.

† Includes fibrous plasterboard.

 Ft. b.m. (million)Sq. ft. (million)Gallons (thousand)
1949470.376.215.225.379.91,179215542
1950478.476.218.626.085.51,048182586
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
1957596.9110.126.237.8125.11,969110854
1958596.8105.728.138.8125.52,041140933
1959636.8119.328.740.0141.22,153128956
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)
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
19581.09.549.30.66.72.35544.0
19591.29.452.20.68.42.28542.1

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 OilCommon Window Glass
* Asbestos-cement and cement sheet.
 Ft. (b.m.) (million)Sq. ft. (000)Sq. ft. (000)Sq. ft. (000)Gallons (000)Sq. ft. (000)
194926.42,8181,1094,3417229,285
195019.54,1098288,2031886,933
195121.39,3241,57611,8396377,427
195238.85,9032,31720,30138012,779
195320.4414201,910349,278
195428.23179182,34655310,138
195538.56214,88615,95796112,616
195628.72334,09416,44266813,903
195738.72783,84713,5076739,752
195832.9668494,40353712,727
195924.7..73717142313,015
Year Ended 31 DecemberPlaster of ParisGypsumAsbestos, CrudeCementGalvanized-iron SheetAluminium Sheet
CorrugatedFlat
Cwt.(000)
1949185.8786.430.3631.86010657
1950168.5566.275.71,424.910211770
1951141.2304.347.02,868.113112250
1952365.2702.094.92,466.321716376
1953222.0610.236.53,863.840414515
1954330.8788.369.03,727.164529319
1955425.9781.281.22,695.079925433
1956354.4714.055.7926.150922926
1957334.8948.325.574.093824232
1958292.11,171.978.360.863634747
1959220.51,153.283.039.766223043

THE HOUSING SITUATION—The number of new houses and flats constructed each year has approximately doubled since the pre-war period. A peak of 19,600 was reached in the year ended 31 March 1959. 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 1959 there were 492 builders participating in the scheme, and 12,692 houses had been programmed; of these 10,325 had been completed and sold, and 721 were under construction.

Among other policy changes made 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.) Withdrawals could also be made at any time from 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 of Housing in September 1957. The maximum loan on the normal two-thirds lending basis was increased from £2,250 to £2,500, while the maximum for special loans in excess of the two-thirds lending margin was increased from £2,000 to £2,400 according to the size of family. These loans were inclusive of any loans granted under the suspensory loan scheme which was instituted in December 1949. The Corporation had been providing mortgage finance for 35 per cent of all houses constructed, and the higher loan limits caused an upsurge in applications for housing loans, and also an increase in building permits issued.

In February 1958 the Minister 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 at 4¾ per cent interest to those not eligible for the reduced rate. The availability of loans at 3 per cent interest from the State Advances Corporation has attracted large numbers of borrowers. The ruling rate of interest for first mortgages charged by private lending institutions averages about 5½per cent. For the year ended 31 March 1959 the Corporation authorized loans valued at £23.2 million, of which £15.8 million was at the 3 per cent rate. For the same period of the previous year the total of all new housing loans granted by the State Advances Corporation was £16.1 million.

In 1958 there was passed the Family Benefits (Home Ownership) Act providing for payment in a lump sum of the Social Security family benefit, the capitalized benefit to be applied towards the provision of a family home. The scheme became operative on 1 April 1959 for approved cases. Any number of benefits may be capitalized, provided the aggregate advance is less than £1,000.

Since 1937 the State, using the services of private contractors, has been building rental dwellings. At 31 March 1959 over 54,000 of these houses and flats had been built and, since 1950, 15,321 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 £805 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 thirty-five 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 developed through 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). The Housing Act 1955 consolidated and amended the Housing Act 1919 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. 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.

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 3½ 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 1959 Government subsidies of £657,329 had been granted to local authorities and also loans of £815,375. Local authorities were providing accommodation for 1,435 elderly persons. (These subsidies are separate from those granted to religious and relief organizations—see Section 5B.)

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 4½ 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 1959, £1,113,933 (in respect of 821 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 £2,525; 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.

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 1956 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. Under the Town and Country Planning Act 1953 the aim is to develop and reconstruct areas in such a way as to promote their healthfulness and convenience.

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.

JOINT FAMILY HOMES.—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, 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 themselves and the members of their household. No one can register more than one home as a family home. Registration is cancelled when the land is sold or when both husband and wife have died or have ceased permanently to reside and have their home on the land. The benefits of registration are considerable. Once the home is registered the husband and wife have equal rights in connection with ownership and possession while they are both living. On the death of either of them the joint family home becomes the property of the survivor. To encourage the adoption of the scheme provision is made that the settled home shall be protected against the claims of creditors to the extent of £2,000, and an amount of £3,000 will 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 454 of this issue.

STATISTICS OF THE 1956 CENSUS.—Figures on dwellings are available from the population census of 17 April 1956. All figures in the following tables include dwellings occupied by Maoris. 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.

Nature of Dwelling.—The following table shows the nature of dwellings at the last two censuses.

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....

Between 1951 and 1956 the number of inhabited permanent private dwellings increased by 69,040, or 14 per cent, while the population increased by 12.1 per cent, and there were also substantially more uninhabited dwellings in 1956.

Tenure of Dwelling.—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.

Amenities of Dwellings.—The next two tables present the various amenities in permanent private dwellings in 1956 and whether they were 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 had the sole or shared use of refrigerators and 57.3 per cent had the sole or shared use of washing machines. Almost 14 per cent of dwellings did 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, stove88,81815.85
Gas cooker, stovette, ring, etc.4110.07
Coal, wood, coke, range108,29119.32
Oil range, stove5910.10
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 specified2,5390.40
        Total563,052100.00

Considering only cases where one means of cooking is used, the electric range held 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 was 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 were 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.

Size of Dwellings.—The following table classifies the inhabited permanent private dwellings into categories varying according to the number of rooms in each dwelling.

Number of RoomsNumber of DwellingsPercentage of Total Specified
1951195619511956
  19,2967,6731.901.37
  220,84620,8294.253.71
  339,30943,5408.027.75
  4124,088135,48925.3224.13
  5167,773206,02434.2336.69
  685,70998,99417.4917.63
  727,20531,2585.555.57
  89,51810,6151.941.89
  93,3503,7340.680.66
101,5971,7260.330.31
11 and over1,4431,6080.290.29
Not specified3,8781,562....
        Totals494,012563,052100.00100.00

Apart from one-roomed and two-roomed dwellings, which decreased by 1,623 and 17 respectively between 1951 and 1956, all other specified categories recorded numerical increases, although some decreased as a percentage of the total. The most noticeable increase was that in five-roomed dwellings, from 167,773 in 1951 to 206,024 in 1956, a rise of over 38,000. As a percentage of the total, this group increased from 34.23 to 36.69 between 1951 and 1956. In general, this group would represent the normal three-bedroomed house.

It is significant that, in the houses with one to ten rooms inclusive, the total number of rooms available in inhabited permanent private dwellings increased by almost 370,000, or 15.9 per cent, between 1951 and 1956.

Occupants of Dwellings.—The table following classifies dwellings according to the number of occupants.

Total OccupantsNumber of DwellingsPercentage of Total
1951195619511956
  144,93456,4149.1010.02
  2115,369135,78523.3524.12
  3102,905108,47420.8319.27
  497,247107,62719.6819.11
  563,85774,67512.9313.26
  635,17741,3107.127.34
  716,95019,6563.433.49
  88,4509,3051.711.65
  94,1974,5820.850.81
10 and over4,9265,2241.000.93
        Totals494,012563,052100.00100.00
Average number of occupants per dwelling3.613.58....

Between 1951 and 1956 there was a substantial numerical and proportionate increase in those dwellings with one or two occupants only.

Rooms by Occupants.—The following table classifies inhabited permanent private dwellings in 1956 according to the number of rooms and the number of occupants.

Number of OccupantsNumber of Rooms
1234567
  15,2447,7778,20114,99312,4005,2531,464
  21,2297,12414,86040,97644,40718,8365,085
  34882,8538,69530,11839,41518,1975,437
  42711,4165,80725,63544,65220,2056,123
  51816852,91912,79733,59116,0695,375
  6933761,3655,71917,69110,0463,760
  7662417122,5387,5895,2372,010
  8391553711,2503,2562,564973
  927882566181,5081,254471
10 and over351143548451,5151,333560
        Totals7,67320,82943,540135,489206,02498,99431,258
      Average number of occupants1.712.252.853.183.794.064.29
Number of OccupantsNumber of RoomsTotal
891011 and OverNot Specified
  1466160858228956,414
  21,753622281247365135,785
  31,836598312294231108,474
  41,948711305296258107,627
  51,77462826021917774,675
  61,26745923219011241,310
  77152541231175419,656
  83901485872299,305
  9208683140134,582
10 and over258863951345,224
      Totals10,6153,7341,7261,6081,562563,052
    Average number of occupants4.394.404.364.553.473.58

Of the total number of dwellings, 440,507, or 78.5 per cent, had either four, five, or six rooms, and 282,441 of these were occupied by either two, three, or four persons.

The number of one-occupant houses increased from 44,934 to 56,414, a rise of 11,480, or 25.5 per cent, but houses with four or five rooms and only one occupant increased from 19,692 in 1951 to 27,393 in 1956, a rise of 7,701, or 39.1 per cent.

Of the 135,420 two-occupant dwellings with the numbers of rooms stated there were 104,219, or 77 per cent, which had either four, five, or six rooms.

Materials of Outer Walls.—The following table gives an analysis showing the materials of which the outer walls of inhabited permanent private dwellings were constructed.

Material of Outer WallsNumber of Dwellings
19511956
Wood374,566411,370
Stone1,0861,121
Concrete, including concrete blocks14,46517,869
Concrete and wood1,3751,087
Brick, including hollow brick34,56147,420
Brick and wood3,6803,332
Brick and other material2,9393,401
Wood and iron5,2703,721
Wood and proprietary wallboard2,4072,369
Iron5,3573,862
Asbestos1,5432,011
Proprietary wallboards of asbestos type19,00226,250
Rough-cast on wood lath and plaster5,31323,999
Rough-cast not otherwise defined8,2093,945
Other materials5,4323,922
Not specified8,8077,373
Totals494,012563,052

Although the number of houses with outer walls of wood increased by almost 37,000 between the 1951 and 1956 censuses, as a percentage of all inhabited permanent private dwellings they decreased from 75.8 to 73.1.

Houses with outer walls constructed of concrete, brick, proprietary wallboards of asbestos type, and rough-cast increased both in number and as a percentage of the total, thus continuing the trend established between the 1945 and 1951 censuses.

GOVERNMENT CAPITAL ASSISTANCE ON NEW HOUSING.—The following table gives the Government's total capital assistance on new housing in the year ended 31 March 1959, and includes both direct expenditure by Government Departments and money advanced by way of mortgages and loans by State lending institutions. Expenditure on new housing by hospital boards, education boards, etc., is not included.

 £
Land purchase and development, State house construction, etc.8,602,243
Expenditure by Housing Division for other Departments1,503,167
Department of Maori Affairs1,489,156
Department of Lands and Survey277,412
Ministry of Works construction workers' houses64,170
State Advances and rehabilitation loans paid out for new urban houses, including suspensory loans20,822,999
State Advances and rehabilitation loans paid out for new rural houses, including suspensory loans268,924
State Advances loans paid to local authorities for rural housing, pensioners' housing, etc.361,542
Department of Health subsidies paid to local authorities for pensioners' flats176,019
        Total, year ended 31 March 195933,565,632

STATE HOUSE CONSTRUCTION.—A programme of building State rental houses and flats was commenced in March 1937. These are for letting (and subsequent purchase if the occupier wishes) to people in the moderate income group according to need. Since 1950 there has been an income bar (at present £805 per annum) on applicants for tenancies of State rental units, increased slightly in respect of special classes of accommodation.

A housing Construction Branch of the State Advances Corporation was set up in September 1936. In 1944 this branch was merged with the Public Works Department and became the Housing Division of what is now the Ministry of Works. The Housing Division acquires and develops sites for houses and flats and arranges contracts 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 1959 are as follows.

Housing District1958-59Previous TotalTotal to 31 March 1959
Auckland49115,97916,470
Hamilton1665,2775,443
Napier1613,1623,323
Palmerston North2135,0795,292
Wellington34111,68912,030
Christchurch1557,6347,789
Dunedin1203,5843,704
        Totals1,64752,40454,051

The totals of State rental units completed and handed over for occupation year by year since 1948-49 are shown in the following table.

YearNumber of UnitsCumulative Total
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
1957-581,85352,404
1958-591,64754,051

Special Types of Accommodation.—Included in the 1,647 units handed over in 1958-59 were 23 houses built in 20 different localities for occupancy by casual farm labourers and by employees of rabbit boards.

Flats and Multi-Unit Dwellings.—In compliance with Government policy aiming at higher density housing in the interests of conserving land and at the same time arresting urban sprawl, the State has continued to build increasing numbers of multi-unit dwellings, mainly two- and four-units, also a number of 3-storey blocks of flats each comprising 12 units. The following table sets out the number of multi-units in relation to single units built by the Housing Division up to 31 March 1959.

State HousesGovernment Department HousesTotal
Single units41,5217,58449,105
Double units9,5221429,664
Three units180..180
Four to eight units1,032991,131
        Total houses52,2557,82560,080
Flats—   
  Multi-storey765..765
  Pensioners'1,031..1,031
        Total houses and flats54,0517,82561,876

Government Department Houses.—The Government Department houses referred to in the previous table are houses built for Departments mainly for the accommodation of their own employees. The total number of departmental houses built by the Division to 31 March 1959 was 7,825. This includes houses built at the site of major construction jobs such as electric-power schemes.

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 the annual expenditure from the Housing Construction “vote”.

£
Year Ended 31 MarchState HousingGovernment 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
19584,816,24256,2882,695,372569,9708,137,872
19594,864,72326,0883,112,886598,5468,602,243

The next table shows the annual total expenditure by the Housing Division in the latest three years.

£
Year Ended 31 MarchVote, Housing ConstructionVote, Murupara DevelopmentOn Behalf of Other DepartmentsTotal

* Includes (a) 26,088 spent on behalf of other Departments and charged meantime to vote, Housing Construction, and (b) £17,678 spent on account of Murupara development charged in previous years to that vote.

† This amount charged directly against other Departments' votes.

19579,954,739548,7521,328,69211,832,138
19588,137,872141,7021,191,4059,470,979
19598,602,243*..1,503,16710,105,410

Room Content of Units (State Houses and Government Department Houses).—The types of units according to the number of bedrooms in units built during 1958-59 as compared with the previous year, also the totals to date, are shown in the following table.

1957-581958-59Total to Date
Number of UnitsPercentage of TotalNumber of UnitsPercentage of TotalNumber of UnitsPercentage of Total
One-bedroom or one bed-sitting room1305.5261.33,6616.0
Two bedrooms38216.032815.720,94233.8
Three bedrooms1,67470.41,54073.833,27753.8
Four or more bedrooms1928.11929.23,9966.4
        Totals2,378100.02,086100.061,876100.0

Sheathing Materials Used (State Houses and Government Department Houses).—The sheathing materials used in the units built during 1958-59 as compared with the previous year, also the total to date, is as follows.

Material1957-581958-59Total to Date
Weatherboard1,12392936,581
Brick30331711,708
Concrete3682843,285
Other sheathing58455610,302
      Totals2,3782,08661,876

Land Acquisition.—During 1958-59 a total of 917 developed unit sites was purchased as a charge against the Housing Construction “vote”, also some 1,065 acres of undeveloped land estimated ultimately to yield 3,745 unit sites. About three-fifths of these sections are intended for State rental units and two-fifths for the group building scheme sponsored by the Government.

State Rental Housing Tender Prices.—The following table shows typical tender prices being accepted in the four main centres at the end of each financial year since 1949-50 for similar types of three-bedroom State rental houses of equivalent floor space. In each case the house is a typical single unit on a flat section, built in weatherboards with a tiled roof. The price includes drainage, fencing, paths, toolshed, revolving clothes-line, and letterbox. The cost of the section is not included. The figures in parentheses represent the cost per square foot.

YearAucklandWellingtonChristchurchDunedin
 £s.d.£s.d.£s.d.£s.d.
1949-502,192(430)2,169(405)2,095(388)2,188(410)
1950-512,490(472)2,357(462)2,170(428)2,388(446)
1951-522,705(501)2,613(482)2,324(4410)2,482(4710)
1952-532,762(519)2,618(4910)2,348(450)2,570(501)
1953-542,809(539)2,762(501)2,406(474)2,576(502)
1954-552,890(554)2,896(530)2,600(484)2,634(480)
1955-563,062(584)2,964(568)2,710(517)3,001(572)
1956-573,085(589)3,007(573)2,557(488)3,054(582)
1957-583,051(582)3,002(572)2,545(486)3,031(579)
1958-593,009(574)3,022(577)2,538(484)2,952(563)

MAORI HOUSING.—Financial assistance towards the erection of houses, including the purchase of building sites, additions, repairs to existing dwellings, and for the purchase of houses, is available to Maoris under the Maori Housing Act 1935, the lending authority being the Board of Maori Affairs. Section 18 of the Maori Housing Amendment Act 1938 provided for the Special Housing Fund to be set up. The use of this fund as a reserve enables the Board of Maori Affairs to cater for families who are unable to meet the full repayments normally required.

In addition to providing loans, the Department, through its building organization, arranges for construction of the houses in many cases. Private building contractors are used where the applicant is able to arrange for construction by these means. The Department has available a comprehensive plan service covering varying bedroom types to meet the special needs of the Maori people. In determining its building programme the Department endeavours to ensure that the most needy cases are given priority.

The extended loan limits and 3 per cent interest rate are available to Maoris on similar conditions as apply to Europeans. Where the applicant does not qualify for these special concessions loans are granted at an interest rate of 47/8 per cent, suspensory interest-free loans also being available in such cases, subject to usual conditions.

Special “pools” of State rental houses are established in some of the larger towns and cities to help meet the housing needs of Maori families. The quota of houses available to these special “pools” is based on the number of urgent Maori applications held in relation to European applications, and allocations to eligible Maori families are made by special allocation committees which have been set up.

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 1957, 1958, and 1959.

Total to 31 March
195719581959
Houses erected5,7636,3136,888
Houses purchased450460465
Other building work (including erection of other buildings, renovations, and additions to houses and other buildings)3,9924,3164,472
        Totals10,20511,08911,825

In addition to the above, there were 187 houses in course of erection at 31 March 1959.

BUILDING PERMITS: Annual Statistics.—Building permit statistics for cities, boroughs, and town districts have been compiled since 1921-22, while the scope of the collection was extended in 1937-38 so that all local authorities in New Zealand, including rural counties, were included. The annual statistics are compiled from returns from local authorities, Government Departments, hospital and education boards.

The returns from local authorities that operate a building permit system cover all private and local authority building subject to permit, and to enable a complete picture of building activity to be shown construction by Government Departments, hospital and education boards is included, even though permits are not actually taken out.

In using these figures as a guide to short-period fluctuations in building activity, it should be noted that the value shown represents in the majority of instances, the total contract price or estimated cost of the building. A permit for a large building may involve work spread over several years, whereas in the permit statistics the value is shown entirely for the year or month in which the permit is issued. This qualification applies with greater force to the monthly than the annual statistics, and applies more particularly to large buildings, other than houses and flats.

A further point worth considering, is that the value placed on a building is usually less than the actual cost. This applies particularly to large new buildings which take a considerable time to complete. In these cases the final cost, owing to wage increases, rising costs of materials, etc., may be greater than originally estimated. This increase is not reflected in building permit figures and should be borne in mind when use is being made of these statistics.

Building Permits in Urban and Rural Districts Combined.—The following table gives a summary for New Zealand of building permits (including State building operations) for the years ended 31 March 1958 and 1959.

1957-581958-59
New Houses and Flats: NumberNew Houses and Flats: ValueTotal, All Buildings: ValueNew Houses and Flats: NumberNew Houses and Flats: ValueTotal, All Buildings: Value
  ££ ££
Urban districts13,77239,254,48579,437,59915,59044,500,78780,308,906
Rural districts5,18313,249,35122,329,0334,97812,512,87321,157,249
        Totals, New Zealand18,95552,503,836101,766,63220,56857,013,660101,466,155

Although statistics of building activity have been collected since 1921-22 for urban districts, as stated above, the collection of rural statistics was not commenced until 1937-38. In many cases, in earlier years, 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 now issue building permits, the local authorities make an estimate.

The following table shows a summary of New Zealand building activity since 1948-49.

Year Ended 31 MarchPermits Issued for New Houses and FlatsTotal Value, All New Houses and FlatsTotal Value, All Buildings
PrivateGovernmentTotal
    ££
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
195816,9851,97018,95552,503,836101,766,632
195918,1212,44720,56857,013,660101,466,155

The following diagram illustrates building-permit figures relating to New Zealand totals since 1938-39.

Building Permits in Urban Districts.—In the next table, figures are given under two headings, one showing the totals for all urban districts covered in the particular year, and the second showing the totals for only cities, boroughs, and town districts. Data in respect of rural building will be found later in this Section.

Year Ended 31 MarchAll Urban Districts CoveredCities, Boroughs, and Town Districts
Number of New Private 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)
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
195813,77239,25423,19079,43810,11329,31021,01466,103
195915,59044,50117,97880,30911,27832,64516,42464,968

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 1959, 276 blocks of flats, totalling 967 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
195062174
195151141
195264223
195354207
195473189
1955141615
1956118515
1957167558
1958278953
1959262929

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 five 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
1958711700685
1959810792778

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.

In 1958-59 the number of permits for houses and flats showed a substantial increase of 1,818, or 13 per cent, over 1957-58. In fact the 15,590 permits issued in 1958-59 exceeded the previous record figure for urban districts of 15,443 for the year ended 31 March 1955.

The value of permits for houses and flats in 1958-59 rose by £5,246,302, or 13 per cent, over the preceding year. The average permit value in 1958-59 was £2,854, as against £2,850 in 1957-58 and £2,765 in 1956-57.

For new buildings other than houses or flats, together with alterations and additions, the value of permits issued showed a decrease of £4,374,995, or 11 per cent, on the 1957-58 figure.

The following table arranges urban local authorities with building values of over £500,000 in 1958-59, in descending order.

 £(000)
Auckland City5,862
Christchurch City5,372
Wellington City4,874
Waitemata County4,257
Manukau County3,217
Waimairi County2,999
Dunedin City2,387
Lower Hutt City2,226
Hutt County2,133
Hamilton City2,028
Palmerston North City1,707
Mount Roskill Borough1,525
Tauranga Borough1,516
Invercargill City1,417
Hastings City1,347
Makara County1,343
Wanganui City1,256
Napier City1,219
Tawa Borough1,083
New Plymouth City1,077
Gisborne City1,018
Timaru City1,012
Manurewa Borough961
Upper Hutt Borough956
Mount Wellington Borough852
Takapuna Borough850
Rotorua Borough815
Otahuhu Borough804
Nelson City752
Masterton Borough732
Paparua County721
Whangarei Borough647
Papatoetoe Borough622
Taupo Borough569
Oamaru Borough561
Mosgiel Borough537
Papakura Borough537

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 district 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 1958-59 amounted to £21,157,249, a decrease of £1,171,784 as compared with the 1957-58 figures for the same districts. The number of new dwellings was 4,978, a decrease of 205 on the preceding year.

The following table arranges rural local authorities with building values of over £500,000 in 1958-59 in descending order.

County£(000)
Southland2,008
Rotorua1,039
Waikato1,027
Waipa954
Matamata939
Tauranga798
Hawke's Bay727
Horowhenua654
Taupo602
Taranaki554

The total value of building for the nine counties included in the total for urban districts in 1958-59 was £15,340,572, and the number of new houses and flats 4,312. The comparable value for 1957-58 was £13,334,502, and the number of new houses and flats 3,659.

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
19504,130686
19512,020734
19521,914386
19532,880435
19542,572615
19552,871438
19562,610438
19572,250232
19581,567253
19592,107212

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 the following Government figures.

In addition, houses and flats are erected by the Ministry of Works, Department of Lands and Survey, Department of Justice, etc.

In all, there were 2,447 Government houses and flats (2,120 in urban and 327 in rural districts) commenced in 1958-59 compared with 1,970 (1,576 in urban and 394 in rural districts) in 1957-58 The value of the houses and flats commenced in 1958-59 was £7,257,000 as against £5,738,785 in 1957-58.

The following table shows urban local authorities in which twenty or more houses and flats were commenced during the year ended 31 March 1959, together with the comparable number commenced for the year ended 31 March 1958, by the various Government Departments concerned.

New Houses and Flats
1957-581958-59
Cities and Boroughs—  
  Northcote..40
  Takapuna222
  Auckland City87145
  Mount Albert137
  Mount Roskill7976
  Hamilton City69119
  Gisborne City3159
  Napier City4773
  Hastings City4081
  New Plymouth City3058
  Wanganui City5833
  Palmerston North City7692
  Lower Hutt City7954
  Wellington City1124
  Tawa..98
  Masterton922
  Christchurch City47104
  Timaru City1954
  Mosgiel4473
  Invercargill City3367
  Others439288
          Totals1,2011,619
Counties and Road Districts—  
  Manukau46152
  Makara147302
  Others17730
          Totals370484
Independent Town Districts517
Dependent Town Districts  
        Totals, Urban Districts1,5762,120

Rural districts (counties) in which the number was twenty or more in 1958-59, with comparable figures for the previous year shown in brackets, were: Waikato 69 (66); Rotorua 51 (24); Taupo 85 (130).

Other Government Building Operations.—In 1958-59 Government building commenced, other than houses and flats, totalled £4,134,176 in value. The comparable figure for 1957-58 was £5,232,111. 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 1959 the value of building commenced for hospital boards amounted to £3,536,088, while that commenced for education boards was valued at £3,414,182. The comparable figures for 1957-58 were: hospital boards £5,586,347; education boards £2,831,173.

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 62 per cent of the total population, they represent 70 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
1958 £(000) £(000) £(000) £(000)
January7782,3308674,1311,3679122,2345,043
February9642,8101,0643,8051,8961,1942,9604,998
March1,1243,2811,2748,1622,4121,5843,6869,746
April1,0052,7691,1084,0552,3291,2103,4375,266
May1,1113,2351,2544,6062,6621,3813,9165,987
June1,1003,1631,2384,8962,1081,1123,3466,008
July1,1933,3911,3334,7512,4621,2303,7955,981
August1,2183,5281,3314,3362,2051,0213,5365,356
September1,2393,6651,3624,6112,2292,1113,5916,722
October1,4914,2871,6326,0562,3651,1293,9977,184
November1,1053,2331,2234,3262,0369973,2595,322
December9732,8431,0944,7511,9391,2413,0335,991
1959        
January8112,3928973,7301,2271,0482,1244,778
February1,1723,4091,2733,9291,8411,0603,1144,989
March1,2013,3431,3155,2902,1902,1423,5057,432
April1,2633,6981,3844,8142,4571,0563,8415,870
May1,1803,3581,2834,5822,1751,1533,4585,736
June1,1883,4431,3144,2892,3341,8193,6486,109
July1,4364,2041,5645,6702,2191,1883,7836,858
August1,4054,0651,5285,4072,1271,5203,6556,927
September1,4624,2521,6125,9332,2721,8943,8847,826
October1,4544,1721,5935,2932,2071,8773,8007,170
November1,4994,3271,6445,1392,2191,2983,8636,437
December1,0773,2061,2145,6992,0131,3593,2277,058

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.

District1954-551955-561956-571957-581958-59
Urban districts13,90014,20014,30013,70014,800
Rural districts4,6005,0004,9004,9004,800
        Totals18,50019,20019,20018,60019,600

The number of houses and flats completed in 1958-59 was the highest recorded since the inception of this collection in 1948-49, being 400 higher than the previous record figure for 1956-57 and 1,000, or 5.4 per cent, greater than in 1957-58.

TENANCY.—The Tenancy Act 1955 is the enactment at present governing tenancy and rents. This Act, which is administered by the Department of Labour, consolidated and amended the Tenancy Act 1948 and its amendments. Earlier the Tenancy Act 1948 had replaced the considerable body of Fair Rents legislation passed during the period 1936 to 1947. (This legislation was summarized on pages 1076-77 of the 1958 issue of the Year-Book and in earlier volumes).

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 provided for a further increase of 20 per cent on the 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 landlord or a tenant may 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 did not alter 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. 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 have been abolished.

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 26. SECTION 26—ELECTRIC POWER AND GAS: GENERATION AND SUPPLY

26 A—ELECTRIC POWER: GENERATION AND SUPPLY

ELECTRIC power distributed for public use in New Zealand has been generated principally by water power, most of the fuel plants in operation previously having been maintained for standby purposes and to meet peak loads. This is not the case with Wairakei geothermal steam station and Meremere coal-fired steam station both of which commenced generating late in 1958, for both these will operate at a high-load factor. During the year ended 31 March 1959 a total of 5,666,732,000 kWh. was generated by public utilities, of which 5,274,909,000 kWh. (93 per cent) was generated by water power, 391,090,000 kWh. by steam engines, and 733,000 kWh. by oil engines. A further 10,680,000 kWh. was purchased by public supply authorities from generating stations operated by industrial establishments and fed into the supply system, making a total of 5,677,412,000 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 4,971,895,000 kWh. by the use of water-power, 391,090,000 kWh. by use of steam power, and 68,000 kWh. by use of oil 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; the addition of Whakamaru station in 1956 was not sufficient to permit the lifting of restrictions, but at the end of 1958 hydraulic conditions in the North Island had so improved that it was possible to lift all 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.

The following table shows the annual and daily average quantities of electricity generated for public supply over the last eleven years. Index numbers are on base 1954 (= 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. 
19491,925,9005,27670918,5052,516722,844,4057,79371
19502,024,5715,547731,011,2002,770803,035,7718,31775
19512,054,6965,629741,042,0002,855823,096,6968,48477
19522,335,7026,382841,126,6003,078883,462,3029,46086
19532,391,8276,553871,187,2003,253933,579,0279,80689
19542,758,1327,5571001,271,3593,4831004,029,49111,040100
19553,066,9708,4031111,316,2553,6061044,383,22512,009109
19563,323,8889,0821201,424,4463,8921124,748,33412,974118
19573,540,0889,6991281,427,2743,9101124,967,36213,609123
19583,955,78210,8381431,688,3674,6261335,644,14915,463140
19593,892,37710,6641411,785,0354,8911405,677,41215,555141

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 authorizing that Department, in certain circumstances, to delegate the right to use water power for the generation of electricity. Amended regulations concerning delegation of this right were published in 1934, and in 1945 the Electricity Act was passed, creating the State Hydroelectric Department which under this Act took over the control of hydro-electric development previously exercised by the Public Works Department. With the passing of the Electricity Amendment Act 1958 the official name of the Department became New Zealand Electricity Department as from 23 September 1958, and the Minister-in-charge became the holder of the major portfolio of Minister of Electricity.

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 empowered electrical supply authorities to acquire essential gas undertakings. In 1958 the Gas Industry Act, which revoked the 1956 Act, set up the New Zealand Gas Council which administers the Gas Industry Account from which subsidies and grants are paid. The Council advises the Government on matters relating to the preservation and expansion of the gas industry.

DEVELOPMENT OF WATER POWER: North Island.—The Waihi Gold Mining Company, Limited, constructed the first large hydro-electric scheme at Horahora, which supplied power for the operation of a quartz battery at Waikino and the mine at Waihi, supply commencing in 1913. This station was purchased by the Government in 1919, and its capacity of 6,300 kW. was increased to 10,300 kW. in 1925, work being commenced on the Arapuni Station (also on the Waikato River) at about the same time. These two stations were linked when Arapuni came into operation (with one unit) in 1929, but Arapuni was closed down between 1930 and 1932 as a result of damage caused by an earth movement. By 1946 Arapuni had eight units operating, while construction work was in progress at Karapiro (commenced 1940) and Maraetai (commenced 1945). Karapiro station came into operation in 1947-48 with three units, each of 30,000 kW., the Horahora station ceasing generation prior to its site being submerged by the newly-formed Karapiro lake. This artificial lake is 14 miles long and extends up river to Arapuni. Late in 1952 the Maraetai station was brought into operation 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. Atiamuri station was begun in 1953 and the first machine was commissioned in November 1958, reaching its originally planned capacity of 63,000 kW. from three machines in May 1959. The station will now have installed an additional machine for peak load purposes.

Arapuni, Karapiro, Maraetai, Whakamaru, and Atiamuri power stations have been constructed on the Waikato River. Two other stations are in the course of construction—namely, Waipapa and Ohakuri (scheduled for first operation in 1961). A station to be built at Aratiatia is scheduled for completion in 1964 with a capacity of 90,000 kW. Government has also approved the duplication of Maraetai powerhouse with two 36,000 kW. machines to be installed initially. 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 designed capacity of 75,000 kW. This was later increased by the addition of two further units which came into operation in May and June 1954. With a total capacity of 105,000 kW. Waitaki is the next largest station to Roxburgh operating in the South Island. Further use of the Waitaki River at Black Jack's Point is to be made, where Benmore station of at least 540,000 kW. capacity is in the initial stages of construction. Control works were built at Lakes Pukaki and Tekapo, to ensure an adequate water supply to Waitaki stations 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. Preliminary work has begun on the installation of 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. A 220,000 volt line was constructed from Roxburgh to a major substation at Islington to bring the power from Roxburgh. From Islington a 220,000 volt line was extended to Kikiwa in the Nelson Provincial District and completed in 1958. This linked the Nelson-Marlborough area with the main South Island network.

Government Hydro-electric Stations.—The following table covers all Government hydro-electric plants in operation and those under construction or for which contracts for machinery have been let, and shows the installed capacity and ultimate installed capacity, together with the static head.

Name of StationInstalled Capacity at 31 March 1960Ultimate Installed CapacityStatic Head (Feet)
Number of UnitskW.kVA.Number of UnitskW.kVA.
* Under construction.
Arapuni8157,800180,0008157,800180,000175
Karapiro390,000100,000390,000100,000100
Maraetai5180,000200,00010360,000400,000200
Whakamaru4100,000111,1004100,000111,100124
Atiamuri363,00046,666484,00093,33382
Waipapa*......351,00056,66754
Ohakuri*......4112,000124,444115
Aratiatia*......390,000100,000109
Matahina*......270,00077,778195
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*......6540,000675,000305
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 has been constructed near Mercer, on the Waikato River. Overseas consultants were engaged for the design and supervision of the contractors who constructed this station. Meremere Station, as it is called, was commenced in 1956 and first commissioned in August 1958. The station is planned for a capacity of 180,000 kW. Coal to feed the boilers is being obtained from Huntly mines and is also being brought by aerial cableway across the swamps from open-cast mines at Maramarua. By 31 July 1959 the capacity had been brought up to 120,000 kW.

GEOTHERMAL STEAM.—At Wairakei station, a few miles north of Taupo, geothermal steam is being harnessed for the generation of electricity and the first machine in the initial 69,000 kW. development commenced generating in November 1958. 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.

Steam is collected from a number of wells after being separated from the water that is ejected with it and piped to the power station through steel mains. From the mains the steam passes through high-pressure, intermediate-pressure, and low-pressure turbo-alternators, after which it is condensed to water and discharged into the Waikato River. The initial development of 69,000 kW. from seven turbo-alternators is known as Stage I, and all the plant is housed in a building known as Station A. Stage II development was authorized by Government in September 1957 and will bring the station capacity up to 151,400 kW. Some of the plant for Stage II will be housed in space left for the purpose in Station A, but most of it will be located in a new building to be known as Station B. This building will also provide space for a projected further development, which could bring the total capacity up to 250,000-280,000 kW.

With Stage II an experimental pilot plant for converting some of the hot water from the wells into steam at a lower pressure will be installed. The steam will be produced by piping the hot water to the station at a high pressure and spraying it into “flash” tanks where, due to a drop in pressure, it will be “flashed” into steam and fed into the low-pressure steam mains and thence to the turbines.

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. The interconnection by a direct-current cable designed for 600,000 kW. capacity is being investigated and a trial length of cable which was laid in Cook Strait in May 1958 was lifted in March 1960 and returned to the manufacturers in England for inspection. An overseas firm of consultants furnished an independent report in 1959 for Government consideration. The report stated that the installation of submarine power cables across Cook Strait would be difficult but the project was feasible.

BASIS OF FORWARD PLANNING.—In March 1957 a Combined Committee consisting of two members of the State Hydro-electric Department (now the Electricity 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. 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 being estimated to cost some £235 million in the 13 years from 1958 onwards. The Committee's report was published. In August 1958 a statement was presented to Parliament reviewing the position and introducing modifications to the plan, and it was then announced that a permanent departmental committee was to be set up to report annually on the whole matter of power planning, and that another committee with representatives of the New Zealand Electricity Department, the Government Statistician, and of electrical supply authorities would be appointed to report annually on future power requirements; the first reports of these committees were presented to Parliament in September 1959. The committee to review power requirements considered estimates from the supply authorities and estimates from the Government Statistician before recommending schedules for the use of the Planning Committee. The Planning Committee, under the Chairmanship of the Minister of Electricity, with representatives of the New Zealand Electricity Department Ministry of Works, and Treasury accepted the schedules from the power needs committee and recommended that in addition to the works in hand the Matahina scheme on the Rangitaiki River should be approved as preferable to the Kaituna scheme. Further planning for the future could not be completed in the absence of the consultant's report on the inter-Island connection by submarine cable, and it was stated the committee would meet again as soon as that report was available to give urgent consideration to the steps to be taken to cope with the North Island problem from 1965 onwards. Up to that date the power supply in both Islands should be satisfactory.

To finance the huge outlay involved in electricity development the New Zealand Electricity Department drew up a plan which involved decreasing dependence on loan moneys, thus reducing the interest bill as well as stabilizing the price. Legislation was passed in 1957 which made the Department no longer liable for income tax, provided that interest formerly capitalized be charged to revenue, and allows for revenue to provide a direct contribution towards capital requirements. This last provision has been deferred meanwhile until 1960.

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 1959 had approved subsidies on 5,875 route-miles of line, to supply some 9,579 consumers. At this date 4,854 miles of line were completed and 8,127 consumers connected. The total capital expenditure was estimated at £4,187,380 and the annual subsidy approved amounted to £185,099.

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 £413 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 1959 totalled approximately 84,700 square miles, with a population of 2,312,720 people or 99.4 per cent of the total population of New Zealand.

Of the forty-three Electric Power Boards actively functioning at 31 March 1959, twelve operated generating stations as well as distributing power, and the remaining thirty-one distributed power purchased in bulk, mainly from Government stations. Only one Board generated sufficient power to meet fully its entire needs; the other eleven which operated generating stations purchased most of the power distributed by them.

In February 1959 a Commission of Inquiry was appointed to inquire into the organization and efficiency of the distribution of electricity, the retail charges therefor, and other relevant matters and reported in December 1959.

REVIEW OF OPERATIONS: Government Establishments.—The following table gives details of the operations of Government establishments generating and distributing electricity during the years 1956-57, 1957-58, and 1958-59. It includes Southland electric power supply, operated by the New Zealand Electricity Department, and Rotorua electric power supply, operated by the Tourist and Publicity Department.

Year Ended 31 March
195719581959
EstablishmentsNo.191920
Persons engagedNo.2,2672,3372,578
Salaries and wages paid£1,868,1792,062,4752,217,022
ConsumersNo.28,03529,27529,933
Prime movers—    
  Hydrob.h.p.1,504,9001,504,9001,564,900
  Thermalb.h.p.81,13981,139245,139
          Totalsb.h.p.1,586,0391,586,0391,810,039
Generators (capacity)—    
  A.C.kW.1,119,0701,119,0701,281,070
kVA.1,269,9921,269,9921,457,658
Revenue—    
  Sales of power—    
    Retail£1,091,4631,241,1791,751,856
    Bulk and interchange£8,676,4969,704,02513,863,931
    Other£90,748105,885123,091
          Total revenue£9,858,70711,051,08915,738,878
Expenditure—    
  Power purchased (including interchange)£440,864299,861385,414
  Generating costs£1,706,6392,301,3692,422,989
  Transmission and distribution costs£1,045,4491,129,0181,363,490
  Management and general£858,139986,0231,040,725
  Capital charges£5,822,0396,346,9949,700,058
          Total expenditure£9,873,13011,063,26514,912,676
Capital outlay—    
  Total expenditure to date£143,799,903165,312,326182,850,603
  Expenditure during year£17,255,88621,512,42317,538,277
Generation—    
  Hydro(000) kWh.4,508,9515,086,2594,971,895
  Steam(000) kWh.179,963247,970391,090
  Oil(000) kWh.4,23932468
          Totals(000) kWh.4,693,1535,334,5535,363,053
  Retail sales(000) kWh.273,159330,526347,758

22*

Electric Power Boards.—This table gives similar information concerning generation and distribution by Electric Power Boards.

Year Ended 31 March
 195719581959
EstablishmentsNo.434343
Persons engagedNo.2,7682,9003,060
Salaries and wages paid£2,169,4642,378,6302,616,691
ConsumersNo.465,213483,634503,060
Prime movers—    
  Hydrob.h.p.24,63324,63322,398
  Thermalb.h.p.4,8904,8904,690
          Totalsb.h.p.29,52329,52327,088
Generators (capacity)—    
  A.C.kW.20,27420,27418,765
kVA.24,28624,28622,770
Revenue—    
  Sales of power—    
    Retail£12,571,54714,132,88517,590,137
    Bulk and interchange£584,232676,1171,029,139
    Other (including rates)£364,427383,847317,979
          Total revenue£13,520,20615,192,84918,937,255
Expenditure—    
  Power purchased (including interchange)£6,441,3817,187,95510,285,212
  Generating costs£46,54060,41446,586
  Transmission and distribution costs£1,817,6692,068,3722,197,397
  Management and general£1,212,0361,353,0151,433,178
  Capital charges£2,661,4732,950,8753,265,195
          Total expenditure£12,179,09913,620,63117,227,568
Capital outlay—    
  Total expenditure to date£43,577,53747,189,17350,649,331
  Expenditure during year£2,946,7593,611,6363,460,158
Generation—    
  Hydro(000) kWh.83,00084,78890,778
  Oil(000) kWh.345474
          Totals(000) kWh.83,03484,84290,852
Retail sales(000) kWh.2,574,0342,907,3432,939,878

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 1959 of twenty-one Government owned establishments, three limited liability companies, forty-three Electric Power Boards, ten City Councils, nineteen Borough Councils, four County Councils, and two Town Boards.

Year Ended 31 March
 195719581959
EstablishmentsNo.101101102
Persons engagedNo.6,2386,7857,064
Salaries and wages paid£5,090,2085,736,8676,004,971
ConsumersNo.725,947751,363777,462
Prime movers—    
  Hydrob.h.p.1,617,9371,613,1881,670,798
  Thermalb.h.p.95,01093,510255,065
          Totalsb.h.p.1,712,9471,706,6981,925,863
Generators (capacity)—    
  A.C.k.W.1,205,1901,201,0351,359,976
kVA1,375,1111,369,9021,554,112
Revenue—    
  Sales of power—    
    Retail£19,034,91921,602,79727,317,304
    Bulk and interchange£9,342,01510,391,37614,808,821
    Other (including rates)£629,802651,181735,190
          Total revenue£29,006,73632,645,35442,861,315
Expenditure—    
  Power purchased (including interchange)£9,625,48210,543,67715,029,713
  Generating costs£1,901,6952,476,9632,587,124
  Transmission and distribution costs£3,766,6744,232,9194,704,208
  Management and general£2,523,3462,787,3223,028,163
  Capital charges£9,286,67710,170,61713,919,846
          Total expenditure£27,103,87430,211,49839,269,054
Capital outlay—    
  Total expenditure to date£203,087,812229,340,654251,703,892
  Expenditure during year£22,137,42026,252,84222,363,240
Generation—    
  Hydro(000) kWh.4,763,1625,363,5515,274,909
  Steam(000) kWh.183,098247,970391,090
  Oil(000) kWh.5,3421,732733
          Totals(000) kWh.4,951,6025,613,2535,666,732
Generation per head of mean populationkWh.2,2572,4992,465
Retail sales(000) kWh.4,064,2924,653,0024,702,100

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 1959.

Persons EngagedSalaries and Wages Paid
MalesFemalesTotalTo MalesTo FemalesTotal
 No.No.No.£££
Administrative, engineering, and clerical staff1,7706552,4251,849,287322,9452,172,232
Employees engaged in operation and maintenance4,577624,6393,804,21928,5203,832,739
          Totals6,3477177,0645,653,506351,4656,004,971

Capital Outlay.—The following figures of capital expenditure during 1958–59, and of capital outlay to 31 March 1959, include capital invested in trading departments and in other activities.

£
Class of ExpenditureExpenditure During Year Ended 31 March 1959Total Capital Outlay to 31 March 1959
Land in connection with powerhouses, headworks, pipe lines, etc.7,867,45478,612,916
Powerhouse buildings, cottages, etc.2,707,09517,766,349
Generating plant and machinery4,490,13728,828,781
Transmission and distribution lines, substations, land, and cottages6,556,18294,775,034
Street lighting120,2351,195,136
Office and store buildings, workshops, garages, houses, and service buildings190,7756,073,300
Loose tools, meters, instruments, furniture, trucks, motor-cars, and equipment656,32711,309,435
Miscellaneous expenditure (costs of raising loans, loan-conversion premiums, surveys, preliminary expenses, and interest during construction, etc.)Cr. 224,96713,142,941
          Total capital outlay22,363,238251,703,892
Capital cash on hand and investments of capital..1,124,222
Capital funds used to finance advances to consumers and trading departments..153,974
          Total capital assets..252,982,088

Additions to the capital value of all electrical systems during 1958–59 totalled £22,710,750, while deductions, i.e., sales and amounts written off, amounted to £347,512. The previous table shows for each item the net expenditure only during the year.

Of the total capital additions during 1958–59, £17,538,277 was contributed by the Government, £3,748,684 by electric power boards, £1,410,671 by other local authorities, and £13,118 by companies. The chief items of Government expenditure were: additions to generation systems, £15,399,198, and transmission system, £2,040,046.

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 1959190,861,673 
    Reserve created by loan repayments to date29,585,879 
 ..220,447,552
Appropriations from revenue..14,416,128
Other reserves used, i.e., depreciation, etc...17,317,292
Temporary advances, capital creditors, etc...801,116
    Total capital receipts..£252,982,088

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 1959, in addition to setting out the reserves and invested funds.

Liabilities£
Sundry creditors6,989,337
Advances from capital for trading departments, etc.
Reserves—£
  Sinking fund reserve2,017,932 
  Depreciation reserve6,878,794 
  Renewal fund reserve939,811 
  General reserve3,051,480 
  Other reserves 
  12,888,017
Credit balance, net revenue accounts4,346,676
Total£24,224,030
Assets£
Trading department assets, stocks, etc.3,161,598
Cash, debtors, and other current assets13,806,275
Invested reserve funds—£ 
  Sinking funds1,902,890 
  Depreciation funds2,643,204 
  Renewal funds868,275 
  Other reserve funds1,841,788 
  7,256,157
Total£24,224,030

Power Plant.—Particulars relating to the power plant in use during the year ended 31 March 1959 are set out hereunder.

Source of PowerNo.B.h.p.
Steam12233,700
Water1281,670,798
Oil3021,365
          Totals1701,925,863

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 New Zealand Electricity 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 New Zealand Electricity 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 MarchGeneratedSold in BulkPurchased in BulkNet TotalSold (Retail)Lost in Transmission, Used Free of Charge, etc.
19554,366,0383,887,6503,904,8354,383,2253,541,050842,175
19564,734,1694,219,2894,233,4544,748,3343,876,311872,023
19574,951,6024,348,7584,364,5184,967,3624,064,292903,070
19585,613,2534,904,3514,916,7855,644,1494,653,002991,147
19595,666,7324,933,9004,944,5805,677,4124,702,100975,312

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 MarchDomesticCommercial and IndustrialStreet LightingTramwaysElectric RailwaysOther PurposesTotal
19552,141,5991,317,45221,79232,96018,4088,8393,541,050
19562,314,6661,476,53123,79528,86521,88510,5693,876,311
19572,366,7071,624,56725,51324,46922,8981434,064,292
19582,750,4331,827,74229,36722,04223,262164,653,002
19592,741,0701,884,59032,00920,95222,9705094,702,100

The following diagram portrays the growth in the use of electric power, and shows also the principal purposes for which the power was employed.

Revenue.—Revenue is derived chiefly from the sale of power, and in 1958–59 this source was 97.4 per cent of the total. The following table sets out the revenue from all sources (excluding bulk sales) for the years 1954–55 to 1958–59.

£
Year Ended 31 MarchSale of Power (Retail)Profits from TradingMiscellaneousInterestTotal*

* Excluding revenue from interchange of power.

† 1958 miscellaneous figure includes interest.

195516,645,243124,417469,9927,99517,247,647
195618,112,682109,207479,98015,35418,717,223
195719,034,91990,638513,68825,47619,664,721
195821,602,797109,850541,331..22,253,978
195927,317,304118,007617,183..28,052,494

Expenditure.—Of the total expenditure of £24,296,443 (excluding cost of interchange of power in bulk) recorded in the year ended 31 March 1959, 69.8 per cent represented overhead costs (comprising management expenses and capital charges), while operating expenses of prime costs stood at 30.2 per cent.

Power may be sold more than once in bulk before reaching the retailing authority, and in these tables the revenue from such interchange of power between authorities is set off against the cost, the net figure for cost of power purchased representing the cost to the industry of purchases from outside sources. In this connection mention may be made of certain contracts existing between the Government and some local authorities, whereby the latter are required to maintain their plants and to operate them, whenever called upon, to supplement the State electricity 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
1956195719581959

* Does not include the interchange of power between supply authorities.

† 1956–57 costs incorporated in generation costs.

Operating Expenditure
Cost of power purchased*109,389114,37120,23657,102
Cost of generation827,026648,737925,216830,760
Fuel953,466958,0981,328,0351,507,290
Repairs and stores66,550294,860223,712249,074
Standby plant38,765....
Cost of transmission1,087,9051,176,9154,130,0714,597,033
Cost of distribution2,370,7802,503,399
Public (street) lighting70,55186,360102,848107,175
          Totals5,524,4325,782,7406,730,1187,348,434
Miscellaneous Expenditure
Cost of management1,987,8142,133,3782,701,0392,916,958
Losses from trading11,1019,4016,6305,503
Other expenditure and insurance352,035380,56779,653105,702
          Totals2,350,9502,523,3462,787,3223,028,163
Capital Charges (Including Taxation)
Interest3,624,1665,084,9685,648,4917,688,107
Sinking fund413,418420,017435,4321,425,340
Renewals496,052563,281651,043769,439
Depreciation1,508,7592,075,4282,129,7222,577,883
Loan repayment1,598,0251,142,9831,305,9291,459,077
Taxation699,223......
          Totals8,339,6439,286,67710,170,61713,919,846
          Grand totals16,215,02517,592,76319,688,05724,295,443

The distribution of the expenditure per unit sold retail is given hereunder.

d.
Year Ended 31 March
1956195719581959
Operating expenses0.3420.3410.3470.375
Miscellaneous expenses0.1460.1490.1440.155
Capital charges0.5160.5490.5250.710
          Totals1.0041.0391.0161.240

26 B—GAS: GENERATION AND SUPPLY

HISTORY AND DEVELOPMENT.—The gas industry was amongst the first industrial enterprises founded in New Zealand. 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 in 1916 there were 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.

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 cope with rising costs and to meet competition with electricity, so much so that a number have either sold out or closed down, leaving thirty-three works still operating in 1958.

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. 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. The annual average prices of gas in the four main centres during the period 1910–11 to 1958–59 are shown in the following table. It should be noted that for the three latest years shown there was a Government subsidy of 2s. per thousand feet of gas sold. Thus the actual average price to consumers was 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
1949–508106106962
1956–5714611910891
1957–5815012611395
1958–5915212611395

The decline of the gas industry was 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, an Electricity and Gas Co-ordination Committee was set up in 1955 and commenced its work in January 1956, at which time 34 gas undertakings were in operation. 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.

The Electricity and Gas Co-ordination Act 1956 established an Electricity and Gas Co-ordination Board to advise the Minister on the co-ordination of the electricity and gas industries. Following a report from the Board regarding the difficulties to be overcome in effecting local mergers, legislation was passed in 1958 setting up a Gas Council in place of the Board. The main functions of the new Council are to advise the Government and the industry regarding the preservation and expansion of gas supplies, and to operate the Gas Industry Account, from which subsidies, grants, and loans may be made to assist the industry.

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, 1867–1959

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.

† Includes revaluation in certain cases.

 No.No.£(000)£(000)Cub. ft. (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
1957–58331,5609145,2385,311
1958–59331,5608665,3505,520

LEGISLATIVE AUTHORITY.—The actual conditions governing the sale of gas, first stated in an 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.

A Borough Council is authorised under the Municipal Corporations Act to establish gasworks.

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 Electricity and Gas Co-ordination Act 1956 empowered a supply authority to acquire and carry on a gas undertaking and required each supply authority which controlled an essential gas undertaking to carry on the undertaking in such manner as to ensure that, as far as practicable, the supply of gas was maintained and that available supplies of electricity were conserved by the encouragement of the use of gas for the generation of heat and power. The Gas Industry Act 1958 repealed the 1956 Act, but any gas undertakings taken over under that Act may be carried on as if the Act had not been repealed.

Under the Gas Industry Act 1958 there has been set up the New Zealand Gas Council of ten members with the Minister of Electricity as chairman. The main functions of the Council are to advise on the preservation and expansion of the gas industry and to operate the Gas Industry Account. As from 1 April 1959 money may be paid from the Consolidated Fund into this Account from which the Council may pay subsidies, and make grants and loans available to assist the industry.

RECENT STATISTICS.—Statistics for the years 1956–57 to 1958–59 are set out in the table which follows.

1956–571957–581958–59

* Includes revaluation in certain cases.

† Including natural gas.

WorksNo.343333
Value of land and buildings£681,125914,337*865,907*
Value of plant (generating and distributing)£5,185,5965,238,2065,349,794
Persons engagedNo.1,5661,5601,560
Salaries and wages paid£1,214,6321,230,1941,262,370
Coal used—    
  QuantityTons260,788255,822271,005
  Cost£1,571,5521,570,0201,620,784
Cost of purifying and other materials£64,43279,58377,055
Other expenses (other than salaries and wages and materials)£741,175874,958938,193
Total expenditure£3,591,7913,754,7553,898,402
Total revenue£3,601,0823,741,3183,892,782
ConsumersNo.178,604175,910170,995
Gas generatedCub. ft. (000)5,239,9305,310,7575,520,377
Gas sold retail—    
  QuantityCub. ft. (000)4,146,7544,241,3984,379,893
  Value£2,698,9382,870,7032,981,011
Average price of gas to consumer per thousand cubic feet11s. 0d.11s. 6d.11s. 7d.

A further analysis of the 1958–59 statistics is given below, these being dissected by locality of gasworks (North and South Island) and character of organization. It will be seen that 68.3 per cent of the total quantity of gas was generated in the North Island and 31.7 per cent in the South Island, while proportions generated by registered companies and municipal authorities were 70.4 per cent and 29.6 per cent respectively.

Registered CompaniesMunicipal AuthoritiesTotal

* Depreciated values.

† Undepreciated. Depreciation funds amounted to £37,722.

‡ Including natural gas.

North Island
WorksNo.81018
Value of land and buildings£515,687*100,502616,189
Value of machinery and plant£2,004,697*1,423,8033,428,500
Capital additions during year—    
  Land and buildings£24,3334,03728,370
  Machinery and plant£132,56238,881171,443
Persons engaged—    
  MalesNo.7982201,018
  FemalesNo.681280
          TotalsNo.8662321,098
Salaries and wages paid—    
  To males£654,994191,577846,571
  To females£32,4614,13736,598
          Totals£687,455195,714883,169
Motive power—    
  Engines in useNo.173100273
  Total horse-powerH.p.3,1585383,696
Materials used—    
  CoalTons136,59141,523178,114
 £841,629271,9021,113,531
  OilGal.884,68411,316896,000
 £51,68993652,625
Products—    
  Gas generatedCub. ft. (000)3,066,534702,2713,768,805
  Gas sold retailCub. ft. (000)2,358,101561,8312,919,932
 £1,669,077450,1372,119,214
  CokeTons27,7439,11336,856
 £202,39786,672289,069
  TarGal.1,255,746361,7551,617,501
 £125,70733,116158,823
  Other residuals£40,1396,36446,503
Total expenditure£2,062,417664,0322,726,449
Total revenue£2,084,453594,4592,678,912
ConsumersNo.85,70126,314112,015
Registered CompaniesMunicipal AuthoritiesTotal

* Depreciated values.

† Undepreciated. Depreciation funds amounted to £337,122.

South Island
WorksNo.31215
Value of land and buildings£88,880*160,838249,718
Value of machinery and plant£725,867*1,195,4271,921,294
Capital additions during year—    
  Land and buildings£..6,1266,126
  Machinery and plant£54,93925,82880,767
Persons engaged—    
  MalesNo.205229434
  FemalesNo.181028
          TotalsNo.223239462
Salaries and wages paid—    
  To males£168,822197,953366,775
  To females£7,5804,84612,426
          Totals£176,402202,799379,201
Motive power—    
  Engines in useNo.72145217
  Total horse-powerH.p.9159121,827
Materials used—    
  CoalTons42,74150,15092,891
 £216,776290,477507,253
  OilGal...292,812292,812
 £..20,01220,012
Products—    
  Gas generatedCub. ft. (000)821,283930,2891,751,572
  Gas sold retailCub. ft. (000)696,631763,3301,459,961
 £394,337467,460861,797
  CokeTons20,89914,73835,637
 £113,461102,516215,977
  TarGal.463,032500,122963,154
 £56,82140,54197,362
  Other residuals£8,6991,75310,452
Total expenditure£512,747659,2061,171,953
Total revenue£583,294630,5761,213,870
ConsumersNo.20,85438,12658,980

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. Following revisions and corrections in the value of production estimates consequent corrections are made in this series.

The following descriptive notes under the respective headings will serve to indicate the nature and scope of the figures of production, exports, and imports used in this Section.

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.

Since the value of production figures are on the basis of prices received by producers, adjustments have necessarily been made to the export value figures (which are based on overseas realizations) for credits to, or drawings from, the primary produce stabilisation accounts.

Adjustments have also 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. This applies to the volume as well as the value series.

Various adjustments were also made to the figures for the war years to ensure the exclusion from the domestic market supplies of goods supplied to the New Zealand and allied forces, etc.

Imports.—For the period 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. For the years 1949–50 to 1951–52 some information on actual c.i.f. (cost including insurance and freight) values of imports was available to help in making assessments of value on this basis. From 1952–53 onwards the official Customs c.i.f. values have been used.

Further adjustments have been made for the realization on certain war assets.

Unfortunately, comprehensive statistics of 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. Some overstatement of the value of goods available for use in 1948–49 may have occurred through the adjustment of the value of the New Zealand pound to parity with sterling as from 20 August 1948. Figures are given for the year 1938–39 and for each of the last eleven years.

Year Ended 30 JuneProduced in New ZealandImportedAll Goods Available for Use in New Zealand
TotalExportedAvailable for Use in New ZealandTotalPer Head
TotalPer Head
VALUES
 £(m.)£(m.)£(m.)££(m.)£(m.)£
1939133.358.075.346.659.1134.483.1
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
1954518.6229.2289.4139.6210.1499.5240.9
1955565.1240.7324.4153.3277.2601.6284.2
1956581.6264.1317.5146.9276.8594.3275.0
1957622.3276.7345.6156.6277.7623.3282.5
1958640.8287.8353.0156.2305.2658.2291.3
VALUE INDEX NUMBERS: BASE 1938–39 (= 100)
1939100100100100100100100
1948199208193171262223199
1949218208225196197213186
1950258237274235253265227
1951352402313262296305256
1952323336314257496394323
1953362398333266352342273
1954389395384300355372290
1955424415431329469448342
1956436455422315468442331
1957467477459336470464340
1958481496469335516490351

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 and are shown in the table following for the same years as in the preceding table.

(On basis of unit values ruling in 1938–39)
£(million)
Year Ended 30 JuneProducedExportsImportsAvailable for Use
* Revised from figures shown in previous years. The next table gives volume index numbers corresponding to these values.
1939133.358.059.1134.4
1948164.465.969.1167.6
1949173.070.259.3162.1
1950182.568.772.1185.9
1951187.866.576.3197.6
1952192.272.6106.9226.5
1953196.278.174.1192.2
1954203.373.282.0212.1
1955218.574.5109.7253.7
1956225.583.1107.4*249.8*
1957228.181.8105.8*252.1*
1958243.989.8116.3270.4

The next table gives volume index numbers corresponding to these values.

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
*Revised from figures shown in previous years.
1939100100100100100100100
1948123113131117117125111
1949130121137119100121105
1950137118151129122138118
1951141114161135129147123
1952144125159130181169138
1953147134157125125143114
1954152126173135139158123
1955164128191146186189144
1956169143189141182*186*139
1957171141194142179*188*138*
1958183155205146197201144

It should, perhaps, be emphasized that the tables cover 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 the low levels of the war years the volume of goods available for use began to rise from 1945–46, the level of 1938–39 being passed by total goods available in 1946–47, and by goods available per head in 1947–48. The rising trend has continued since those dates, being interrupted on three occasions in the case of total goods available (four for goods available per head). Year-to-year fluctuations have tended to reflect variations in volume of imports rather than of retained domestic production.

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
1956–575842
1957–585743

While strict accuracy cannot be claimed for these figures—particularly in respect of single years—they afford a useful indication of trends. 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 reflect 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 full employment and the absence of real poverty 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.

The proportion of the total production that is consumed in New Zealand and the proportion which is exported, of the main food products in which an export trade is maintained, are shown in the next table.

 Consumed in New Zealand Per CentExported Per Cent
Butter20.279.8
Cheese6.893.2
Beef and veal42.757.3
Mutton51.748.3
Lamb4.395.7
Pig-meat80.819.2

Local (New Zealand) consumption of all meats combined, during this same three-year period, amounted to 33 per cent of total meat production.

PER HEAD QUANTITIES OF PRINCIPAL FOODSTUFFS AVAILABLE FOR CONSUMPTION.—Estimates of annual consumption per head of 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 25.4 per cent of total dairy production in 1958–59 was used for local human consumption. A further 3.1 per cent was accounted for by stock feeding, wastage, changes in stocks, etc., leaving 71.5 per cent for export in the form of butter, cheese, processed milk and casein. Estimated figures of annual consumption levels for individual items of dairy produce, pre-war and for recent periods, are given below.

 Pre-war1956–571957–581958–59
Whole milk (pint)220.0336.5335.3337.1
Cream (pint)6.94.14.04.0
Ice-cream (pint)3.215.514.715.6
Cheese (lb.)4.56.06.36.3
Butter (lb.)41.243.342.443.3
Processed milk (lb.)4.713.013.114.7

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 publication Dairy Produce, issued by the Intelligence Branch of the Commonwealth Economic Committee.

BUTTER AND CHEESE CONSUMPTION PER HEAD lb.

ButterCheese
1938 or 1938–391957 or 19581938 or 1938–391957 or 1958
United Kingdom24.120.28.99.9
Sweden24.117.412.814.3
Denmark18.322.014.115.7
Netherlands12.38.617.016.0
United States of America16.68.55.98.0
Canada31.920.33.66.6
Republic of Ireland32.244.80.82.1
Australia (1957–58)32.628.34.36.1
New Zealand (1958–59)42.843.34.56.3

In considering New Zealand's relatively high consumption of butter it should be noted that the the of margarine as a spread, common in some countries, is unknown in New Zealand.

Meats.—In estimating the average annual 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-war1957–581958–59
Beef (lb.)112.0106.492.7
Veal (lb.)7.56.85.9
Mutton (lb.)60.066.576.9
Lamb (lb.)6.59.811.9
Pork, including chopper meat (lb.)9.012.420.0
Ham and bacon (lb.)17.017.913.9
Edible offal (lb.)9.08.29.7

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-war19571958
Potatoes (lb.)120120120
Kumeras (lb.)7.57.57.5
Cabbages and leaf greens (lb.)30–3530–3530–35
Carrots (lb.)10–1510–1510–15
Tomatoes (lb.)202121
Apples (lb.)443540
Pears and quinces (lb.)689
Stone fruits (lb.)102022
Citrus fruits (lb.)232016
Bananas (lb.)212230
Pineapples (lb.)10.20.1

Canned Fruit and Vegetables.—

Total consumption of canned fruits and vegetables per head is estimated as:

 Pre-war19571958
Canned fruit (lb.)10 to 1112.010.4
Canned tomatoes, including sauces and soups (lb.)Not available4.24.8
Canned vegetables (lb.)1.69.113.9

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-war19571958
Canned fruit (lb.)7.68.15.3
Canned tomatoes, including sauces and soups (lb.)..0.50.3

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 was a marked recovery from 1947. There has also been some progress in the local canning of fruit, but consumption per head of all canned fruit is still only at about pre-war level.

The consumption of canned vegetables, 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. Consumption per head in New Zealand for the latest three years for which figures are available is estimated as:

 195619571958
Fruits (lb.)0.10.20.1
Vegetables (lb.)—
    Peas4.14.76.3
    Beans0.81.00.7
    Other0.50.60.7

Other Foodstuffs.—Estimated annual consumption levels for other items of foodstuffs are given hereunder.

 Pre-war1956–571957–58
Poultry (lb.)3.93.53.5
Fish—edible portion, excluding processed imports (lb.)11.012.012.0
Shell fish—edible portion (lb.)0.91.51.5
Eggs (dozen)20.021023 0
Honey (lb.)2.15.54.5
Refined sugar (lb.)104.092092.0
Dried peas and beans (lb.)1.63.03.0
Flour, wheaten (lb.)185.0179.0179.0
Oatmeal, oaten products (lb.)10.55.35.1
Rice (lb.)5.32.63.3
Tea (lb.)6.86.76.7
Cocoa (lb.)1.81.61.6

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 pre-war consumption. In interpreting the big increase in beer consumption from pre-war years it should not be overlooked that as a war measure the alcoholic strength of beer was, in 1942, reduced by about one-quarter, and it is possible that on account of this, consumption was higher than it would otherwise have been. Although this restriction was removed at the end of 1948 the additional duty on beer exceeding the reduced strength has had much the same effect as the former restriction in limiting to production of stronger beers.

Domestic wine production has increased during recent years and now accounts for the greater part of total consumption.

The 1958 figures given below show the decreases in consumption resulting from the higher Customs and excise duties imposed on these commodities in that year.

 Pre-war19571958
Beer (gallons)10.822.821.1
Grape wine (gallons)0.200.330.41
Spirits (proof gallons)0.260.490.34
Tobacco (lb.)3.95.34.9

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 United Nations 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 Year-book. 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 such as this 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
FatProteinPer DayPercentage of Animal Origin

*Excluding butter.

Including butter.

Negligible.

§Percentages for earlier post-war years in these cases.

||Not available.

Kilograms Per Person Per Year
AustraliaPre-war1014953212065163,30040
 1956–57935051311576163,240||
CanadaPre-war93604366287193,01039
 1957–5872684357889193,07044§
New ZealandPre-war875048310988173,26048
 195886594441051110203,44051
United KingdomPre-war95824256855213,11038
 1957–5886964967177233,29038
Union of South AfricaPre-war15616232383332,30018
 195615321403413362,65021
United States of AmericaPre-war90654477287213,22038
 195767504179299203,10042
ArgentinaPre-war106662721075692,73036
 1954–551008533710355132,84036
DenmarkPre-war941205017588273,42035
 1957–588712947573810293,50040
FrancePre-war1241432486145142,87031
 1956–571061312667067172,920||
NetherlandsPre-war1071162963878212,84032
 1957–5887914153978272,89029§
SwedenPre-war96122444491110183,12038
 1957–5874101414531010202,95039
IndiaPre-war143813223422*1,9708
 1956–571361114302214*1,950||
JapanPre-war158461433312,0505
 1956148571332432,100||

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 table following shows the total cost of the foregoing subsidies and in addition the cost of the subsidy paid on the transport of citrus fruit, for the financial years 1957 to 1960.

£(000)
Subsidy ItemsYear Ended 31 March
1957195819591960
*Subsidy ceased 1 April 1959.
Butter, milk, and eggs8,8808,8497,9717,661
Bread and flour3,0033,6004,5004,500
Gas465479466440
Transport of citrus fruit323*
    Total subsidies12,35112,93012,94012,601

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 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 1960.

 s.d. 
Butter 8per lb.
Milk 3.77per quart.
Bread 3per 2 lb. loaf.
Flour47.9per 25 lb. bag.
Gas20per 1,000 cubic feet sold.
Eggs 4per dozen.

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. Preliminary results were published in a Supplement to the December 1958 issue of the Monthly Abstract of Statistics. Detailed tables were later published in a volume entitled Census of Distribution 1958.

The first quarterly sample survey of retail trading related to the 1953 Census of Distribution for base data. With the completion of the 1958 Census of Distribution it became necessary to commence a new quarterly sample survey related to the 1958 census results. The new survey was commenced in June 1959, covering retail trading during the three-monthly period ended 30 June 1959.

Census of Distribution 1958.—New Zealand's second Census of Distribution was taken in 1958, the period for which the information was requested, and to which most of it related, being the year ended 31 March 1958.

In general the 1958 census followed the same plan as that of the earlier census. In 1958, however, milk vendors and chartered clubs (the latter in respect of sales of liquor and tobacco and cigarettes) were included. Some revised classifications were also introduced so that (for instance) some firms coded as general stores in 1953 were classed as grocers in 1958 where the store had 60 per cent or more of its annual turnover in groceries. In 1953 stock and station agents (so stated) were classified as wholesale, but in 1958 such stores were classified according to the dominant method of selling as specified by the firm concerned.

In 1958 the method of selling was obtained under six headings, cash, charge account, hire-purchase, budget account (limited credit account, store currency account, etc.), cash-order coupons, and other instalment (including lay-by). Two questions, those relating to capital invested and periodicity of stocktaking, were excluded from the 1958 inquiry, which, however, included one completely new question—on the use of “self-service” units—applied exclusively to those businesses handling groceries.

The following tables give results of the Census of Distribution 1958 in a summarised form.

Retail Establishments.—Of the 26,876 retail stores covered by the census, 18,502, or 68.8 per cent, were situated in the North Island, and 8,374, or 31.2 per cent, in the South Island.

The following table shows details by provincial districts. The figures quoted in parentheses are in each case the percentage of total.

Provincial DistrictPopulation at 31 March 1958Number of StoresPurchases During 1957–58Sales or Turnover During 1957–58Stocks at Close of Year (March 1958)
 (000) £(000)£(000)£(000)
Auckland921.9 (40.6)10,804 (40.2)180,048 (38.5)231,808 (38.7)36,352 (37.4)
Hawke's Bay106.4 (4.7)1,333 (5.0)23,869 (5.1)30,156 (5.0)5,071 (5.2)
Taranaki97.0 (4.3)1,104 (4.1)20,961 (4.5)26,141 (4.4)4,243 (4.4)
Wellington442.0 (19.5)5,261 (19.6)95,249 (20.4)122,872 (20.5)20,502 (21.1)
Marlborough27.3 (1.2)314 (1.2)5,071 (1.1)6,441 (1.1)1,105 (1.1)
Nelson72.7 (3.2)885 (3.3)12,958 (2.8)16,545 (2.7)2,667 (2.7)
Westland18.7 (0.8)324 (1.2)4,093 (0.9)5,268 (0.9)866 (0.9)
Canterbury322.5 (14.2)3,644 (13.5)67,004 (14.3)86,041 (14.4)14,152 (14.6)
Otago—
  Otago portion172.1 (7.6)2,176 (8.1)35,678 (7.6)45,392 (7.6)7,549 (7.8)
  Southland portion89.8 (3.9)1,031 (3.8)22,487 (4.8)28,114 (4.7)4,647 (4.8)
        Totals2,270.4 (100.0)26,876 (100.0)467,418 (100.0)598,778 (100.0)97,154 (100.0)

The principal centres of population (urban areas) include 55.2 per cent of New Zealand's people, but contained 60.8 per cent of all retail stores, with 65.8 per cent of total sales or turnover.

The following table shows details by urban and rural areas. The figures in parentheses are in each case the percentage of total.

Location GroupPopulation at 31 March 1958Number of StoresSales or Turnover During 1957–58Stocks at Close of Year (March 1958)
 (000) £(000)£(000)
Main urban areas (including Hutt Urban Area)940.5 (41.4)11,795 (43.9)274,696 (45.9)43,158 (44.4)
Secondary urban areas (excluding Hutt Urban Area)313.7 (13.8)4,540 (16.9)119,462 (20.0)20,221 (20.8)
Smaller centres164.5 (7.3)3,323 (12.4)82,252 (13.7)14,394 (14.8)
Other urban159.7 (7.0)3,564 (13.2)67,039 (11.2)11,620 (12.0)
Rural692.0 (30.5)3,654 (13.6)55,329 (9.2)7,761 (8.0)
        Totals2,270.4 (100.0)26,876 (100.0)598,778 (100.0)97,154 (100.0)

The information in the preceding table is presented graphically in the following diagram.

Just over half the total number of retail stores were in the food and drink group - grocers, butchers, dairies, hotels, etc. This group accounted for only 34 per cent of the turnover, however, the average turnover per store being £15,000. As against this, the automotive group, which accounts for only 4 per cent of all retail stores, handled 11 per cent of the turnover, with an average turnover of £61,200 per store.

The following table shows details by store-type groups.

Store-type GroupNumber of StoresNumber of Paid Employees on 15 April 1958Total Labour Force on 15 April 1958Average Labour Force per StoreSalaries and Wages Paid During 1957–58Sales or Turnover During 1957–58Average Sales or Turnover per Unit of Labour ForceStocks at Close of Year (March 1958)
MalesFemalesTotal
       £(000)£(000)££(000)
Food and drink13,46415,90110,82326,72445,0533.315,366201,7714,47912,189
Apparel3,8513,5637,67811,24114,9983.96,14665,3964,36021,215
Furniture1,3394,3441,6555,9997,1175.34,11738,6845,4358,979
Automotive1,0324,5397455,2846,1976.03,71663,11610,1857,376
Hardware7742,8019893,7904,4885.82,71330,5746,8126,726
Chemicals (chemist, etc.)8861,2731,1332,4063,1813.61,47712,4973,9292,714
Department, variety, and general stores6895,4878,98014,46715,01821.87,59269,7564,64514,047
Miscellaneous4,84110,3995,47415,87320,6374.310,382116,9845,66923,908
  Totals, all retail stores26,87648,30737,47785,784116,6894.351,509598,7785,13197,154

The following table shows details by turnover size groups.

Amount of Total TurnoverNumber of StoresNumber of Paid Employees on 15 April 1958Total Labour Force on 15 April 1958Salaries and Wages Paid During 1957–58Sales or Turnover During 1957–58Stocks at Close of Year (March 1958)
MalesFemalesTotal
££     £(000)£(000)£(000)
Under5,0005,2256081,5342,1428,79577815,9133,121
  5,000–9,9997,1652,7894,3077,09616,5303,20952,6767,874
  10,000–19,9997,7707,3367,98415,32024,9128,293110,34416,590
  20,000–49,9994,78712,9418,11921,06025,44613,358141,56422,154
  50,000–99,9991,0997,5493,66111,21011,7967,46675,66612,472
100,000–249,9996157,7724,34512,11712,3338,09391,97016,304
250,000–499,9991524,3722,3786,7506,7784,34751,4768,621
500,000and over634,9405,14910,03910,0995,96559,16910,018
Totals, all retail stores26,87648,30737,47785,784116,68951,509598,77897,154

Just under 44 per cent of retail stores were returned as being under individual ownership, while 35 per cent were shown as operated by private registered companies, 15 per cent by partnerships, and 4 per cent by public registered companies.

The following table shows details by type of organization. The figures quoted in parentheses are in each case the percentage of total.

Type of OrganizationNumber of StoresTurnover During 1957–58Stocks at Close of Year (March 1958)
  £(000)£(000)
Private registered companies9,486 (35.3)300,519 (50.2)55,828 (57.5)
Public registered companies1,099 (4.1)116,541 (19.5)20,503 (211)
Individual ownership11,759 (43.8)109,516 (18.3)12,470 (12.8)
Partnership4,042 (15.0)51,222 (8.5)5,467 (5.6)
Other490 (1.8)20,980 (3.5)2,886 (3.0)
    Totals26,876 (100.0)598,778 (100.0)97,154 (100.0)

The number of multiple stores engaged in retail trading represented only 10 per cent of the total stores, but accounted for 28 per cent of the total turnover. A multiple store was so termed where the store was one of a group of four or more under common ownership.

Store-type GroupNumber of StoresSales or Turnover During 1957–58Stocks at—
Start of Year (April 1957)Close of Year (March 1958)
Multiple Stores
  £(000)£(000)£(000)
Food and drink1,09831,1131,6341,707
Apparel33910,2852,8293,082
Furniture1678,0171,3201,468
Automotive356,8748331,047
Hardware719,6921,6841,748
Chemicals (chemist, etc.)23687130137
Department, variety, and general stores22038,2476,9237,013
Miscellaneous76464,92112,13812,795
        Totals2,717169,83627,49128,997
Other Stores
Food and drink12,366170,6589,25010,482
Apparel3,51255,11117,00418,133
Furniture1,17230,6676,5967,511
Automotive99756,2425,5736,329
Hardware70320,8824,6474,978
Chemicals (chemist, etc.)86311,8102,2172,577
Department, variety, and general stores46931,5096,3007,034
Miscellaneous4,07752,06310,54711,113
        Totals24,159428,94262,13468,157

The following table shows the disposition of the different methods of selling by store-type group and by location group. The figures quoted in parentheses are in each case the percentage of total.

£(000)
Turnover (1957–58) in the Form of—Total Sales or Turnover (1957–58)
CashCharge AccountHire PurchaseBudget, Store Credit, etc.Cash Order CouponsOther Instalments
Store Type Croups
Food and drink167,990 (47.9)33,777 (16.2)......4 (0.1)201,771 (33.7)
Apparel53,897 (15.4)9,131 (4.4)200 (0.6)377 (32.0)148 (63.8)1,643 (54.4)65,396 (10.9)
Furniture12,075 (3.4)15,688 (7.5)10,505 (30.2)89 (7.5)11 (4.7)316 (10.5)38,684 (6.5)
Automotive25,685 (7.3)23,981 (11.5)13,366 (38.4)..2 (0.9)82 (2.7)63,116 (10.5)
Hardware7,829 (2.2)22,526 (10.8)198 (0.6)..1 (0.4)20 (0.7)30,574 (5.1)
Chemicals (chemist, etc.)10,411 (3.0)2,048 (1.0)26 (0.1)1 (0.1)..11 (0.4)12,497 (2.1)
Department, variety, and general stores34,765 (9.9)29,676 (14.2)3,826 (11.0)600 (50.9)51 (22.0)838 (27.7)69,756 (11.7)
Miscellaneous38,199 (10.9)71,892 (34.4)6,656 (19.1)112 (9.5)19 (8.2)106 (3.5)116,984 (19.5)
    Totals, all retail stores350,851 (100.0)208,719 (100.0)34,777 (100.0)1,179 (100.0)232 (100.0)3,020 (100.0)598,778 (100.0)
Location Groups
Main urban areas (including Hutt Urban Area)176,236 (50.2)74,335 (35.6)20,749 (59.6)851 (72.2)220 (94.8)2,305 (76.3)274,696 (45.9)
Secondary urban areas (excluding Hutt Urban Area)65,646 (18.7)45,780 (21.9)7,479 (21.5)162 (13.7)9 (3.9)386 (12.8)119,462 (20.0)
Smaller centres43,002 (12.3)34,716 (16.6)4,300 (12.4)44 (3.7)1 (0.4)189 (6.3)82,252 (13.7)
Other urban35,954 (10.2)29,142 (14.0)1,730 (5.0)89 (7.6)2 (0.9)122 (4.0)67,039 (11.2)
Rural30,013 (8.6)24,746 (11.9)519 (1.5)33 (2.8)..18 (0.6)55,329 (9.2)
    Totals, all retail stores350,851 (100.0)208,719 (100.0)34,777 (100.0)1,179 (100.0)232 (100.0)3,020 (100.0)598,778 (100.0)

The following table shows, by the store-type group, average turnover and average labour force per establishment, turnover per unit of labour force and per head of population, and the approximate number of times stock was turned over per annum.

Store-type GroupAverage Sales or Turnover per EstablishmentAverage Labour Force per EstablishmentSales or Turnover per Unit of Labour ForceSales or Turnover per Head of PopulationNumber of Times Stock Turned Over per Annum
 £ ££ 
Food and drink14,9863.34,47988.8716.6
Apparel16,9823.94,36028.803.1
Furniture28,8905.35,43517.044.3
Automotive61,1596.010,18527.808.6
Hardware39,5015.86,81213.474.5
Chemicals14,1053.63,9295.504.6
Miscellaneous33,7696.45,23782.254.9
    Totals, all retail stores22,2794.35,131263.736.2

The 1958 Census of Distribution schedule included a question directed exclusively to those businesses handling groceries, inquiring whether or not the business was conducted as a self-service unit, using a check-out point. The following table shows the results of this inquiry by turnover-size groups. It will be noted that the percentage of self-service units rose progressively with the increase in turnover size until in the highest group, that comprising stores with an annual turnover of £50,000 or over, 72.2 per cent of stores handling groceries operated self-service units.

Turnover SizeWith Self-service UnitsWithout Self-service UnitsPercentage of Self-service Units to Total Stores
Number of StoresSales or Turnover During 1957–58Value of StocksNumber of StoresSales or Turnover During 1957–58Value of Stocks
Start of YearClose of YearStart of YearClose of Year
££ (£000)£(000)£(000) £(000)£(000)£(000) 
Under5,000257911202729241101328.4
5,000 to9,99910079471927375,66955760911.9
10,000 to19,9994306,5025716461,49021,4681,9322,13822.4
20,000 to29,9992676,59752458253912,9211,1871,29033.1
30,000 to39,9991214,0993083501434,83642147845.8
40,000 to49,999602,652175210351,50317218763.2
50,000 and over523,638343379201,62716519072.2
Totals1,05524,3612,0032,2793,23648,9484,5445,02424.6

Wholesale Establishments.—The total of 2,595 wholesale stores included in the tables accounted for a turnover of £433,296,000, or an average turnover of £167,000 per store.

The principal centres of population (urban areas) contained 87.4 per cent of wholesale stores with 94.5 per cent of total turnover. Auckland and Wellington (including Hutt) urban areas together accounted for 46.9 per cent of stores and 60.7 per cent of turnover.

The following table shows the distribution of wholesale trading by provincial districts and by main location groups. The figures in parentheses are in each case the percentage of total.

Population at 31 March 1958Number of StoresPurchases During 1957–58Sales or Turnover During 1957–58Stocks at Close of Year (March 1958)
 (000) £(000)£(000)£(000)
Provincial Districts
Auckland921.9 (40.6)979 (37.7)130,751 (36.3)157,205 (36.3)23,199 (36.3)
Hawke's Bay106.4 (4.7)101 (3.9)8,114 (2.3)9,648 (2.2)1,380 (2.2)
Taranaki97.0 (4.3)63 (2.4)5,272 (1.5)6,368 (1.5)854 (1.3)
Wellington442.0 (19.5)650 (25.1)123,665 (34.3)146,995 (33.9)21,834 (34.1)
Marlborough27.3 (1.2)22 (0.8)1,894 (0.5)2,099 (0.5)297 (0.5)
Nelson72.7 (3.2)50 (1.9)3,261 (0.9)4,278 (1.0)484 (0.7)
Westland18.7 (0.8)17 (0.7)1,165 (0.3)1,404 (0.3)129 (0.2)
Canterbury322.5 (14.2)440 (17.0)54,502 (15.1)66,446 (15.4)10,348 (16.2)
Otago—
  Otago portion172.1 (7.6)193 (7.4)23,600 (6.5)29,181 (6.7)4,242 (6.6)
  Southland portion89.8 (3.9)80 (3.1)8,145 (2.3)9,672 (2.2)1,216 (1.9)
    Totals, all wholesale stores2,270.4 (100.0)2,595 (100.0)360,369 (100.0)433,296 (100.0)63,983 (100.0)
Location Groups
Main urban areas (including Hutt Urban Area)940.5 (41.4)1,771 (68.2)291,287 (80.8)351,715 (81.2)54,261 (84.8)
Secondary urban areas (excluding Hutt Urban Area)313.7 (13.8)497 (19.2)48,525 (13.5)57,655 (13.3)7,126 (11.1)
Smaller centres, other urban and rural1,016.2 (44.8)327 (12.6)20,557 (5.7)23,926 (5.5)2,596 (4.1)
    Totals, all wholesale stores2,270.4 (100.0)2,595 (100.0)360,369 (100.0)433,296 (100.0)63,983 (100.0)

The following tables show details of wholesale establishments by store-type groups.

Store-type GroupNumber of StoresNumber of Paid Employees on 15 April 1958Total Labour Force on 15 April 1958
MalesFemalesTotal
Food and drink6226,4631,8718,3348,803
Apparel2891,6291,9553,5843,774
Furniture1469652611,2261,322
Automotive1943,0407093,7493,801
Hardware2883,4077814,1884,276
General merchants2024,2401,3205,5605,619
Miscellaneous8547,6252,88310,50810,888
    Totals, all wholesale stores2,59527,3699,78037,14938,483
Store-type GroupAverage Labour Force per StoreSalaries and Wages Paid During 1957–58Sales or Turnover During 1957–58Average Sales or Turnover per Unit of Labour ForceStocks at Close of Year (March 1958)
  £(000)£(000)££(000)
Food and drink14.26,060104,83811,9096,851
Apparel13.12,27929,4677,8086,470
Furniture9.190915,04511,3802,142
Automotive19.62,84358,53015,3997,558
Hardware14.83,05138,3518,9699,159
General merchants27.84,05970,56712,5599,517
Miscellaneous12.77,853116,49810,70022,286
    Totals, all wholesale stores14.827,054433,29611,25963,983

A classification by size of turnover shows that stores with under £20,000 turnover numbered 680, (26.2 per cent), but accounted for only £6,661,000, or 1.5 per cent of turnover. At the other end of the scale a total turnover of £216,203,000, (49.9 per cent), was accounted for by only 183 stores, (7.1 per cent), which had a turnover of £500,000 or more.

Amount of Total TurnoverNumber of StoresNumber of Paid Employees on 15 April 1958Total Labour Force on 15 April 1958Salaries and Wages Paid During 1957–58Sales or Turnover During 1957–58Stocks at Close of Year (March 1958)
MalesFemalesTotal
££     £(000)£(000)£(000)
Under 5,000160658014532462476102
5,000–9,9992122841854697132661,586307
10,000–19,9993087435001,2431,4797374,599794
20,000–49,9995572,4001,1023,5023,8182,44518,6023,654
50,000–99,9994603,0189783,9964,1613,01732,7336,525
100,000–249,9994655,5231,6957,2187,3525,44572,90012,649
250,000–299,999871,3614291,7901,8141,32223,7373,499
300,000–399,999972,0017622,7632,7672,07333,1075,055
400,000–499,999662,0635372,6002,6111,91529,3534,390
500,000 and over1839,9113,51213,42313,4449,772216,20327,008
Totals, all wholesale stores2,59527,3699,78037,14938,48327,054433,29663,983

Service Establishments.—Only a selected group of services was included in the Census of Distribution 1958. These were grouped in three broad divisions, personal, business and community, and other services.

Nine-months of service establishments provided services only while in the remainder some secondary form of trading was carried on.

Services covered by the census totalled 2,702 establishments of which 1,888, or 69.9 per cent, were in the North Island and 814, or 30.1 per cent, in the South Island.

The principal centres of population (urban areas) contained 67.3 per cent of service establishments, with 83.5 per cent of the total turnover of such establishments.

The following table gives details of numbers and location of those services covered by the census.

Personal ServicesBusiness and Community ServicesOther ServicesTotal
Number of establishmentsNo.1,6403537092,702
Sales or turnover during 1957–58£(000)9,0886,3362,57718,001
Location of establishments—
  Main urban areas (including Hutt Urban Area)No.7592223251,306
  Secondary urban areas (excluding Hutt Urban Area)No.32664123513
  Smaller centresNo.2334489366
  Other urbanNo.24217104363
  RuralNo.80668154
Paid employees on 15 April 1958—
  MalesNo.2,5366385413,715
  FemalesNo.4,605467665,138
    TotalsNo.7,1411,1056078,853
Total labour force on 15 April 1958No.8,9031,4531,38111,737
Salaries and wages paid during 1957–58£(000)3,4669483924,806

Service establishments are further analysed in the following table.

Amount of Total TurnoverNumber of EstablishmentsNumber of Paid Employees on 15 April 1958Total Labour Force on 15 April 1958Salaries and Wages Paid During 1957–58Sales or Turnover During 1957–58
MalesFemalesTotal
££     £(000)£(000)
Under 1,0005919526169815370
1,000–2,9991,0571406207601,9662651,902
3,000–4,9993882494727211,1503301,482
5,000–9,9993425766301,2061,5836352,361
10,000–19,9991836906271,3171,4727972,487
20,000–49,999919041,3002,2042,2551,1152,800
50,000–99,999304664959619885722,093
100,000 and over206819421,6231,6251,0774,506
Totals2,7023,7155,1388,85311,7374,80618,001

Special Analyses.—Special analyses were taken out to show total retail trading by retail and service establishments, and at the same time, details were also obtained of total services provided.

The following table shows details of retail trading as above by commodity groups.

Commodity GroupSales or Turnover During 1957–58
AmountPer Cent of Total
 £(000) 
Groceries and small goods (including butter, bacon, etc.)78,72313.2
Meat and fish (uncooked)33,3675.6
Fruit and vegetables17,71130
Other foods (baked and cooked foods, meals, etc.)17,9693.0
Milk, ice-cream, confectionery, soft drinks24,7904.2
Beer, wine, and spirits36,6896.2
Tobacco, cigarettes, and tobacconists' sundries16,6332.8
Chemists' goods, toiletries, cosmetics (including dispensing)14,2982.4
Clothing, drapery, dress piece goods76,59412.9
Footwear13,1282.2
Furniture, bedding, floor coverings, soft furnishings and household textiles29,3874.9
Musical instruments (including radios)7,6891.3
Household appliances and electrical goods20,0083.4
Domestic hardware, china, and glassware14,6742.5
Builders' hardware and materials (excluding timber, bricks, and roofing tiles)26,1834.4
Books, stationery, and newspapers14,6242.4
Motor vehicles, parts, accessories (excluding petrol and oil)64,49910.8
Bicycles, parts and accessories1,9150.3
Coal, coke, and firewood3,9220.6
Fertilizers and manures11,5101.9
Florists' goods8750.1
Grain, seed, and fodder12,4032.1
Jewellery (including watches, clocks and precious stones)4,5270.8
Leather, luggage, and harness1,5820.3
Agricultural machinery13,0302.2
Office machinery3,8460.6
Other machinery8,0351.3
Paint, glass, and wallpaper5,2820.9
Photographic supplies and equipment1,2490.2
Plumbing equipment and piping9680.2
Professional and scientific equipment2,3670.4
Rubber goods5790.1
Sewing machines and accessories1,5700.3
Sports goods (including toys and games)4,1670.7
Seeds, plants, and garden supplies2,1860.4
Other goods8,3031.4
        Totals, retail commodities595,282100.0

The following table shows details of total services provided by retail and service establishments.

Type of ServiceNumber of Establishments Handling Service SpecifiedSales or Turnover During 1957–58
Personal service provided by establishments classified as— £(000)
  Service establishments1,6408,882
  Retail stores8261,160
        Totals, personal services2,46610,042
Community and business services provided by establishments classified as—  
  Service establishments3536,301
  Retail stores11691
        Totals, community and business services4696,392
Other services provided by establishments classified as—  
  Service establishments7092,197
  Retail stores1,4122,866
        Totals, other services2,1215,063
         Grand totals, all services5,05621,497

The following table shows a commodity analysis of wholesale trading.

Commodity GroupSales or Turnover During 1957–58
AmountPer Cent of Total
 £(000) 
Groceries and small goods (including butter, bacon, etc.)64,34014.8
Meat and fish (uncooked)8,5292.0
Fruit and vegetables21,9825.1
Other food (bread, cakes pastry, etc.)6,1461.4
Milk, ice-cream, confectionery, soft-drinks13,6303.1
Beer, wine, and spirits17,4754.0
Tobacco, cigarettes, and tobacconists' sundries26,2916.1
Chemists' goods, toiletries, cosmetics15,1843.5
Clothing, drapery, and piece-goods31,6777.3
Footwear4,7101.1
Furniture, bedding, floor coverings, soft furnishings, and household textiles11,4722.6
Musical instruments (including radios)3,2630.8
Household appliances and electrical goods21,9915.1
Domestic hardware, china, and glassware9,0892.1
Builders' hardware and materials (excluding timber, bricks, and roofing tiles)17,7484.1
Books, stationery, and newspapers6,2901.4
Motor vehicles, parts, accessories (excluding petrol and oil)58,82013.6
Coal, coke, and firewood4,4851.0
Fertilizers, manures, grain, seed, and fodder13,7313.2
Jewellery (including watches, clocks, and precious stones)2,4600.6
Leather, luggage and harness2,6700.6
Agricultural machinery5,9251.4
Other machinery20,1424.6
Paint, glass, and wallpaper6,5171.5
Photographic supplies and equipment2,6180.6
Plumbing equipment and piping5,9311.4
Rubber goods (excluding tyres and tubes)1,5730.4
Seeds, plants, and garden supplies1,3540.3
Sports goods (including toys and games)3,4870.8
Other23,7665.5
    Totals, wholesale commodities433,296100.0

QUARTERLY SURVEY OF RETAIL TRADING.—Following the Census of Distribution in 1953 a continuing quarterly sample survey of retail trade was inaugurated, the results of the census forming a framework from which a random sample of firms, stratified by broad geographical divisions and size of turnover, was drawn. The first inquiry related to trade during the three-monthly period ended 31 March 1954, and the survey was continued at three-monthly intervals up to and including the quarter ended 31 March 1959.

Commencing with the quarter ended 30 June 1959, retail trade statistics have been compiled using a newly introduced sample of retail stores based on the 1958 Census of Distribution. The new sample selects stores by location and is of a type known as an area-unit cluster sample. A description of this sample will be found in a Supplement to the November 1959 issue of the Monthly Abstract of Statistics.

The sample excludes certain types of retail stores which were included in the Census of Distribution 1958; these store types are hotels, chartered clubs, wine and spirit merchants, milk vendors, and the complete automotive group. Besides the above exclusions, for purposes of the sample survey some changes in the grouping of store types have been made. In the following table comparable census figures are given together with the estimates of turnover, based on sample results, for the quarters ended 30 June 1959 and 30 September 1959. The composition of the store-type groups can be readily seen.

Store Type and GroupingSales or Turnover
Year Ended 31 March 1958 (Census Figures)Quarter Ended
30 June 195930 September 1959
Butcher, etc.31,9598,4338,725
Grocer73,30918,98119,456
Other food and drink.—   
  Baker, pastrycook, etc.7,919....
  Confectioner1,436....
  Dairy, milk bar16,004....
  Fish, fish and chip shop2,883....
  Fruiterer, greengrocer14,142....
  Restaurant, cafeteria, tearoom8,139....
  Other food and drink442....
        Total, other food and drink50,96513,11113,734
Footwear10,0562,7772,346
Other apparel—   
  Draper, etc.41,700....
  Men's and boys' clothier12,396....
  Other apparel1,244....
        Total, other apparel55,34014,89812,648
Furniture and soft furnishings22,0715,1465,402
Household appliances, electrical goods, radios, etc.—   
  Household appliances, radios, etc.16,613....
  Electrical goods2,529....
  Music store3,370....
  Sewing machine dealer1,580....
        Total, household appliances, electrical goods, radios, etc.24,0924,9705,291
Hardware, builders' hardware, paints, etc.—   
  Hardware, builders' hardware, etc.23,980....
  Paints and varnishes4,997....
  Other hardware1,597....
        Total, hardware, builders' hardware, paints, etc.30,5747,3397,302
Chemist12,1903,1893,267
General department and variety69,75618,15517,414
Other—   
  Bookseller, newsagent, stationer12,330....
  Coal and wood merchant3,499....
  Florist837....
  Jeweller4,747....
  Pawnbroker, second-hand dealer1,609....
  Seedsman, nurseryman4,081....
  Tobacconist6,026....
  Toys, novelties, etc.1,238....
  Other chemicals307....
  Stock and station agents42,021....
  Miscellaneous33,117....
        Total, other109,81226,61927,729
        Totals, New Zealand490,124123,618123,314

Information for later quarters will be found in the section on Latest Statistical Information.

It will be noticed that total turnover for retail stores for the year ended 31 March 1958, as shown above, £490,124,000, differs from the figure, £598,778,000, in respect of all retail trading as quoted on a preceding page. The sample does not purport to cover all aspects of retail trading, but covers all store types with the exception of the exclusions already specified.

The following table gives details of value of sales or turnover by store-type groups for each of six geographical regions for the quarters ended 30 June and 30 September 1959 and figures on a comparable basis (adjusted Census of Distribution figures) for the year ended 31 March 1958.

VALUE OF SALES OR TURNOVER

£(000)
Store-type GroupNorth IslandSouth IslandTotals, New Zealand
Auckland Urban AreaWellington and Hutt Urban AreasRemainder of North IslandTotals, North IslandChrist-church UrbanDunedin Urban AreaRemainder of South IslandTotals, South Island
Year Ended 31 March 1958
Butcher, etc.6,7023,97911,67922,3602,9391,7224,9389,59931,959
Grocer12,4078,48628,65949,5526,8373,69013,23023,75773,309
Other food and drink12,4726,46218,02036,9544,8002,3336,87814,01150,965
Footwear2,0961,3703,5587,0241,0395411,4523,03210,056
Other apparel10,2646,65921,98038,9034,7962,8128,82916,43755,340
Furniture and soft furnishings5,4952,9727,04615,5132,5031,3632,6926,55822,071
Household appliances, electrical goods, radios, etc.4,3483,6568,98016,9842,0141,2803,8147,10824,092
Hardware, builders' hardware, paints, etc.4,6764,56513,03722,2783,2801,4153,6018,29630,574
Chemist2,8501,3414,5788,7691,1086181,6953,42112,190
General, department and variety15,5386,13424,94946,6218,8443,15511,13623,13569,756
Other17,34510,53844,73772,6209,7735,77221,64737,192109,812
    Totals94,19356,162187,223337,57847,93324,70179,912152,546490,124
Quarter Ended 30 June 1959
Butcher, etc.1,9009832,9265,8097414821,4012,6428,433
Grocer3,3262,2877,18712,8001,7849163,4816,18118,981
Other food and drink3,4401,6154,4309,4851,2905771,7593,62613,111
Footwear5903499541,8932891854108842,777
Other apparel2,7741,9135,78610,4731,1767532,4964,42514,898
Furniture and soft furnishings1,2447221,6813,6475503166331,4995,146
Household appliances, electrical goods, radios, etc.8417372,0373,6154092107361,3554,970
Hardware, builders* hardware, paints, etc.1,1051,0963,3265,5277743287101,8127,339
Chemist7493701,1882,3073131444258823,189
General, department and variety4,0701,8086,49712,3752,1349112,7355,78018,155
Other3,9642,31311,80618,0832,2221,4444,8708,53626,619
    Totals24,00314,19347,81886,01411,6826,26619,65637,604123,618
Quarter Ended 30 September 1959
Butcher, etc.1,9141,0263,0175,9578275131,4282,7688,725
Grocer3,3972,4347,34713,1781,8929593,4276,27819,456
Other food and drink3,5751,7424,5839,9001,3845961,8543,83413,734
Footwear5043007731,5772941673087692,346
Other apparel2,4081,6394,7908,8371,0916752,0453,81112,648
Furniture and soft furnishings1,3807561,7303,8665133346891,5365,402
Household appliances, electrical goods, radios, etc.8399322,1373,9084481887471,3835,291
Hardware, builders' hardware, paints, etc.1,0491,0973,2555,4018143227651,9017,302
Chemist7563681,2542,3783311374218893,267
General, department and variety3,7191,6076,38911,7152,2198572,6235,69917,414
Other3,9072,38711,90718,2012,3121,6905,5269,52827,729
    Totals23,44814,28847,18284,91812,1256,43819,83338,396123,314

Revision of Statistics for Earlier Quarters.—During the currency of the former retail trade sample, numbers of new stores of various types were established throughout the country. This growth in the number of stores, which is still continuing, causes considerable difficulty in the field of statistical collection if the retail trading of such new stores is to be adequately allowed for in the quarterly surveys. Experience has shown that the originally used type of sample, while not unsatisfactory is not the most efficient from either the statistical or administrative aspects for coping with this changing aggregate of stores. Whereas the compilation procedures used in conjuction with the area-unit sample will automatically allow for the retail trade of new stores, if and when they are established, the old sample failed to do this. The old sample, therefore, yielded statistics which accurately described the retail trade of established stores but understated that for new stores.

A number of alterations in the grouping and coverage of store types in the survey of which details have already been given, have also been made with the introduction of the new sample. These changes are of major importance for some store-type groups and consequently statistics of turnover, based on the new area-unit sample, both for individual store-type groups and for all groups, are not directly comparable with previously published statistics.

For this reason, together with the understatement of turnover of new stores in the old survey, there was a need for revised statistics of sales turnover with which the statistics for the new sample could be directly related. Such revised statistics extending back to the March 1954 quarter are given in the next table.

REVISED* QUARTERLY SALES OR TURNOVER—STORE-TYPE GROUPS

£(000)
Quarter EndedRevised Turnover for Store-type Group
Butcher, etc.GrocerOther Food and DrinkFootwearOther ApparelFurniture and Soft FurnishingHousehold Appliances, Radios, etc.HardwareChemistGeneral, Department and VarietyOtherAll Groups

* Corrected for changes in store-type groupings and coverage, and understatement of new-store turnover in old survey.

As determined by new sample survey.

1954—
  March6,21614,92310,9181,75310,1253,8684,1425,7521,98713,35020,71093,744
  June6,79314,98210,6252,18912,9484,7084,7646,9092,03114,98271,960102,891
  Sep7,01315,57410,5431,86911,4964,8094,9506,9512,13214,37322,595102,305
  Dec7,23217,21911,8642,49014,4345,3546,1917,6622,47718,10327,130120,156
1955—
  March6,85615,27811,0931,87310,7764,0794,9536,4702,10314,49422,831100,806
  June7,13515,50910,9882,26913,3304,9165,1697,4102,25715,44423,637108,064
  Sep7,51216,26211,5081,96112,2424,8135,2127,3522,46815,59423,240108,164
  Dec7,47917,46212,6702,53414,9905,2306,5647,5702,82318,35728,210123,889
1956—
  March7,04016,24211,7841,99911,5404,1344,9646,8872,39414,78523,083104,852
  June7,35016,63911,8042,34113,5534,9394,6527,1042,52815,89624,359111,165
  Sep7,43417,05412,2192,02811,8975,0764,9967,0962,50115,27124,567110,139
  Dec7,65918,65713,3842,65414,7785,6397,0817,5832,88818,78029,594128,697
1957—
  March7,23416,89512,3212,09211,2764,2475,5026,9012,60515,32225,309109,704
  June7,82017,65412,2592,60314,8765,3485,0147,4142,87916,85125,557118,275
  Sep8,12118,01812,2732,19012,4755,5585,4957,6422,93916,18826,386117,285
  Dec8,44719,39413,7122,84515,5536,2147,6727,9363,42520,07131,469136,738
1958—
  March7,57118,24312,7212,41812,4364,9515,9117,5822,94716,64626,400117,826
  June8,19118,53612,4852,68515,6476,0555,9188,1902,98418,46027,997127,148
  Sep8,38618,53612,7122,30412,9495,3935,0918,0192,96816,87326,840120,071
  Dec8,45520,33313,8572,86815,3405,7776,2898,8123,47920,31030,189135,709
1959—
  March7,55218,32112,6572,29011,4534,4094,5186,9632,91015,73324,000110,806
  June8,43318,98113,1112,77714,8985,1464,9707,3393,18918,15526,619123,618

Retail Stocks.—The following table shows stock values as at 31 March 1957 and 1958 (comparable Census of Distribution figures) and as at 30 June and 30 September 1959 (new sample survey figures).

£(000)
Store-type GroupValue of Stocks
As at 31 March 1957As at 31 March 1958As at 30 June 1959As at 30 September 1959
Butcher, etc.328405397423
Grocer6,5477,3037,6867,731
Other food and drink1,7982,0421,9552,055
Footwear3,4003,6594,0174,242
Other apparel16,43317,55619,84820,799
Furniture and soft furnishings5,0845,7305,5415,601
Household appliances, electrical goods, radios, etc.4,1894,8324,9314,915
Hardware, builders' hardware, paints, etc.6,3316,7266,9726,895
Chemist2,3102,6772,6872,703
General, department and variety13,22314,04715,58816,943
Other21,36522,36224,35225,137
        Totals81,00887,33993,97497,444

The figures for March 1958 showed an increase of 7.9 per cent as compared with stock values at 31 March 1957, increases being recorded in all store-type groups.

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)
PeriodCashCash OrderCharge AccountsInstalment or LaybyHire PurchaseTotals
Calendar year—
  195316,7367713,12183110,14240,907
  195419,3516015,0111,06712,62448,113
  195520,1775416,7951,04312,14850,217
  195619,7764717,2591,18212,17450,438
  195721,3013818,2581,34613,51654,459
  195820,4123318,5961,59213,32253,955
  195918,9893017,0081,58713,13350,747
Quarter ended—
  1958–31 December5,61594,6014093,55614,190
  1959–31 March4,09373,7683522,44810,668
        30 June4,74984,2244222,87612,279
        30 September4,50563,9853943,32112,211
        31 December5,64295,0314194,48815,589

Statistics of turnover for 1937–38 based on those cases where the information was available indicate that turnover has increased by 359 per cent since that year. (To provide a basis for comparison, gross national expenditure increased by 437 per cent over the same 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 1959 were 37 per cent, 34 per cent, and 26 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 of 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 was eighteen months. A further amendment on 23 December 1958 reduced the minimum deposit required on certain household goods to 7½ per cent and increased the maximum credit period to two years. On 10 July 1959 hire-purchase controls were removed from all goods other than motor cars and motor cycles. For new motor cars, the minimum deposit of 50 per cent and the maximum repayment period of eighteen months was retained. For motor cars which have travelled more than 5,000 miles, the minimum deposit was reduced to 33⅓ per cent and the maximum period of credit extended to twenty-four months. This latter provision also applied to motor cycles, whether new or second hand.

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 1937–3818,771141
Calendar year—
  19534,280509
  19545,156554
  19557,052479
  19566,673484
  19577,473443
  19586,503461
  19598,020422
Quarter ended—
  1958–31 December1,702463
  1959-31 March1,571453
        30 June1,774408
        30 September2,338396
        31 December2,337437

The following table shows the percentage of the cash payments to the total value of goods sold.

PeriodTotal Value of GoodsDetails of PurchasePercentage in Cash to Total Value of Goods Sold
Cash PaymentsAmount Financed Under Hire-purchase Agreements
 £(000)£(000)£(000) 
Motor Vehicles
Financial year 1937–382,4659271,53837.6
Calendar year—
  19532,3319901,34142.5
  19542,9511,2851,66643.5
  19553,5631,7701,79349.7
  19563,4451,7771,66851.6
  19573,6391,8301,80950.3
  19583,1531,5951,55850.6
  19593,1811,5891,59250.0
Quarter ended—
  1958–31 December85344740652.4
  1959–31 March69035533551.4
        30 June80040839251.0
        30 September82941541450.0
        31 December86241145147.7
Household and Personal Goods
Financial year 1937–388119271911.3
Calendar year—
  19533,0484142,63413.6
  19543,6915123,17913.9
  19553,7736053,16816.0
  19563,8556983,15718.1
  19574,4766243,85213.9
  19584,3836003,78313.7
  19594,7855514,234115
Quarter ended—
  1958–31 December1,1761611,01513.7
  1959–31 March85112372814.5
        30 June1,03414089413.5
        30 September1,2541441,11011.5
        31 December1,6461441,5028.7

NOTE.—The values quoted in the above tables are exclusive of insurance and hiring charges.

The amounts owing under hire-purchase agreements with firms covered by this survey, amounted to £11,780,000 at 31 December 1959. 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.

As at—Amount Owing Under Hire-purchase AgreementsPercentage of Payments Overdue
* Estimated.
 £(000) 
End of financial year 1937–384,560*5.08
  1953–31 December7,7964.14
  1954–31 December9,9643.80
  1955–31 December9,6633.70
  1956–31 December9,6003.76
  1957–31 December11,2644.23
  1958–31 December10,8304.48
  1959–31 March10,1144.51
        30 June9,7314.40
        30 September10,2644.40
        31 December11,7804.32

The preceding information is based on a restricted survey which is confined to the larger retail firms and institutions financing hire-purchase and similar trading.

An analysis of the method of selling for the 26,876 retail stores included in the Census of Distribution for the year ended 31 March 1958 gave the following results.

AmountPercentage of Total
 (£000)Per Cent
Cash sales350,85158.6
Charge-account sales208,71934.9
Hire-purchase sales34,7775.8
Budget, store credit, and similar type of account sales1,1790.2
Cash-order coupons232..
Other instalment3,0200.5
        Total598,778100.0

Chapter 29. SECTION 29—SOCIAL ACCOUNTS

29 A—NATIONAL INCOME AND EXPENDITURE

INTRODUCTORY.—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 1958–59.

PRINCIPAL INCOME AGGREGATES

£(million)
Year Ended 31 March(26) Private IncomePlusLess Transfer Incomes(9) Net National Income at Factor Cost(10) Plus Indirect Taxation(11) Less Subsidies(12) Net National Income at Market Prices(13) Plus Depreciation Allowances(14) Gross National Product
(6) Government Trading Income(7) Lump Sum Payments from United Kingdom Government(22) Social Security Benefits and Pensions(8) Interest on Public Debt Paid in New Zealand
* Provisional.
1938–39200.28.8 −7.5−7.0194.520.6−0.6214.517.02315
1939–40215.710.53.0−11.2−7.5210.521.0−0.5231.018.0249.0
1940–41235.012.03.0−12.3−7.8229.922.3− 1.6250.618.0268.6
1941–42256.613.63.0−12.7−8.4252.123.2−2.7272.618.0290.6
1942–43294.916.73.0−14.0−9.4291.228.0−3.3315.919.0334.9
1943–44331.817.93.0−15.5−11.3325.931.8−3.1354.620.0374.6
1944–45339.514.75.0−17.2−12.9329.134.0−4.6358.521.0379.5
1945–46360.515.65.0−20.6−13.8346.737.3−6.6377.422.0399.4
1946–47397.315.15.0−34.4−15.1367.943.0−11.8399.126.0425.1
1947–48446.413.95.0−37.2−15.3412.853.0−13.6452.229.0481.2
1948–49464.512.9 −39.0−15.5422.946.1−11.5457.532.0489.5
1949–50526.214.6 −42.2−16.2482.449.8−14.6517.635.0552.6
1950–51659.516.8 −47.1−17.0612.255.6−9.4658.439.0697.4
1951–52675.620.1 −53.0−17.4625.371.0−16.1680.243.0723.2
1952–53709.819.4 −53.7−17.2658.367.0−15.0710.348.0758.3
1953–54786.424.9 −57.7−18.3735.367.5−15.5787.355.0842.3
1954–55853.630.1 −61.3−20.2802.280.7−13.4869.563.0932.5
1955–56897.131.8 −64.4−20.9843.685.3−12.3916.669.0985.6
1956–57945.130.9 −66.3−23.3886.484.1−13.3957.272.01,029.2
1957–58992.634.1 −70.0−26.3930.491.2−13.61,008.076.01,0840
1958–59*1,034.635.8 −80.1−28.0962.3104.1−13.51,052.984.01,136.9

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 718–722.

Estimates of gross national product from 1932–33 to 1937–38 are as follows:

 1932–331933–341934–351935–361936–371937–38
Gross national product £(million)113.7127.0135.6155.4192.3211.9

These estimates are based upon former computations of aggregate private income, with suitable adjustments to bring them into line with present-day concepts.

From 1938–39 to 1957–58, inclusive, the main source of information for estimating national income was the social security charge levied under the Social Security Act of 1938. For the year 1958–59, however, information from this source was no longer available owing to alterations in taxation procedure; some changes have therefore had to be made in the manner of estimating certain items.

The various aggregates are conventionally measured in New Zealand over periods of one year, ending 31 March. Monetary values in all cases are given in New Zealand currency without adjustment for price changes between individual years. Full details of the methods used and a description of the items in the following tables are given in the Report on the Official Estimates of National Income and Expenditure for the Year 1958–59, obtainable from the Government Printer, Auckland, Wellington, and Christchurch.

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 adopted by necessity does not permit 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 these aggregates 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 718, 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 720). 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

1938–391943–441954–551955–561956–571957–581958–59*
* Provisional.
National income (9)£m.195326802844886930962
Gross national product (14)£m.2323759339861,0291,0841,137
Personal expenditure on consumer goods and services (15)£m.162179614649673726748
  As percentage of gross national product 70486666656766
Gross capital formation in New Zealand (17)£m.4439241240235261253
  As percentage of gross national product 19102624232422
Cost of Government provided goods and services (16)£m.32161117128140148158
  As percentage of gross national product 14431313141414
Private income (26)£m.2003328548979459931035
Private savings (29)£m.14777274879466
  As percentage of private income 72388996

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 718–722.

Between the March years 1958 and 1959 the national income of New Zealand increased from £930 million to £962 million, an increase of 3.4 per cent. Gross national product, on the other hand, increased by 4.9 per cent to £1,137 million.

During the last five years the gross national product valued at prices current in each period increased by the following percentages above the preceding year.

GROSS NATIONAL PRODUCT—ANNUAL INCREASE

In 1954–55 by 10.8 per cent.
In 1955–56 by 5.7 per cent.
In 1957–58 by 5.3 per cent.
In 1058–59 by 4.9 per cent.
In 1956–57 by 4.4 per cent.

The year 1958–59 was the fifth year in succession in which final domestic expenditure exceeded gross national product or, which is to say the same thing, a balance of payments deficit was recorded. The following tabulation illustrates this point.

As Percentages of Gross National Product
1954–551955–561956–571957–581958–59
Current personal and collective expenditure on goods and services78.378.879.080.679.7
Private and Government capital formation25.824.322.824.122.3
 104.1103.1101.8104.7102.0
Excess of domestic expenditure over gross national product (balance of payments deficit on current account)4.13.11.84.72.0

The improvement in the balance of payments in 1958–59 was contributed to by reductions in both the rate of capital formation and the rate of current personal expenditure.

Capital expenditure in the private sector was at the level of 14.2 per cent of the gross national product in 1957–58 and at 12.8 per cent in 1958–59. Capital expenditure by General Government and local authorities also fell from 9.9 to 9.4 per cent.

Personal expenditure accounted for 65.8 per cent of gross national product in 1958–59 after being 67.0 in the previous year. On the other hand, current expenditure by Government (including local authorities) was slightly higher than in the previous year with a rise from 13.7 to 13.9 per cent of gross national product.

These changes (valued in current prices) show that a rise in demand of £32 million for consumer goods and services was partly offset by a decrease in capital formation expenditure of £8 million. The resultant net overall increase in demand was more than met by a rise in national production of £53 million which allowed £29 million to be used for reduction of the deficit on balance of payments. The deficit of £51 million in 1957–58 was thus reduced to £22 million in 1958–59.

As regards the pattern of private outlay, the proportion of private income spent on consumer goods and services declined slightly in 1958–59 but an increase in the proportion of direct tax payment and a fall in the rate of saving were more marked. This is illustrated by the following table.

As Percentages of Private Income
1957–581958–59Average of All Post-war Years
Personal expenditure on goods and services73.172.369.9
Direct taxation17.421.419.4
Private savings9.56.410.7
        Totals100.0100.0100.0

The advance of the national income by 3.4 per cent in 1958–59 over the previous year (as against 5 0 per cent in 1957–58) shows the lowest rate of annual increase since 1951–52 when the rise was 2.1 per cent. Of the factor rewards gained by constituent groups, the total of salary and wage payments rose by 5.2 per cent to £562 million. This compares with an advance of 7.9 per cent in 1957–58 but represents a larger share of the national income (58.4 per cent as against the 57.4 per cent of the previous year). Company incomes increased by £7 million (or 6.7 per cent) to £112 million and formed 11.6 per cent of the national income compared with 11.3 per cent in the previous year. On the other hand, other personal incomes declined from £246 million in 1957–58 to £242 million in 1958–59; this, at 25.1 per cent of the national income, shows a fall from the 26.5 per cent recorded in the previous year.

Current incomes of farmers (i.e., after deduction of stabilization account losses) are estimated to have declined from £123 million to £118 million in 1958–59. Net “cash” incomes of farmers (i.e., before losses of stabilization accounts and other dis-savings) were reduced from £142 million to £123 million.

The four tables on pages 718–722 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.

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 722, 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 twenty-one years which has included 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.

The following are the four tables mentioned.

NATIONAL INCOME AND EXPENDITURE

£(million)
March Year(1) Salary and Wage Payments(2) Pay and Allowances of Armed Forces(3) Rental Value, Owner-occupied Houses(4) Other Personal Income(5) Company Income(6) Government and Local Authority Trading Income(7) Lump Sum Payments from United Kingdom Government(8) Less Public Debt Interest Paid in New Zealand(9) Net National Income at Factor Cost(10) Plus Indirect Taxation(11) Less Subsidies(12) Net National Income at Market Prices(13) Plus Depreciation Allowances(14) Gross National Product
* Provisional.
INCOME
1938–391111655209..−719521−121517232
1943–441415897236183−1132632−335520375
1946–4718781011048155−1536843−1239926425
1947–4821061112953145−1541353−1445229481
1948–492275121344813..−1642346−1245832490
1949–502505131595815..−1648250−1551835553
1950–512796142437117..−1761256−965839697
1951–523288151928020..−1762571−1668043723
1952–5334811162047819..−1765867−1571048758
1953–5438412182249025..−1873568−1678755842
1954–5543112202329730..−2080281−1387063933
1955–5646812222369432..−2184485−1291769986
1956–5749512242509831..−2388684−13957721,029
1957–58534132524610534..−2693091−141,008761,084
1958–59*562122724211236..−28962104−141,053841,137
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 Investment Overseas (18)Gross National Expenditure (19)
Private (a)Government (b)Changes in Stocks (c)
EXPENDITURE
1938–391623217225−6232
1943–44179161131412−4375
1946–472575437272129425
1947–4829263433356−6481
1948–49351654840−195490
1949–50358725748144553
1950–514157874514930697
1951–5247596915337−29723
1952–53471108987313−5758
1953–5453711610478−2128842
1954–556141171308229−39933
1955–566491281299219−31986
1956–5767314012210310−191,029
1957–5872614813810716−511,084
1958–59*74815813610710−221,137

The graph which follows demonstrates the use to which resources available in New Zealand were put during selected years. The numerical values for this graph are derived from the expenditure part of the preceding account, and total resources available in New Zealand are equivalent to gross national product plus deficit or minus surplus on current balance of payments accounts.

TOTAL AVAILABLE RESOURCES

PRIVATE INCOME AND OUTLAY £(million)

£
March Year(20) Salary and Wage Payments(21) Pay and Allowances of Armed Forces(22) Social Security Benefits and Pensions(23) Rental Value of Owner-occupied Houses(24) Other Personal Income(25) Company Income Before Distribution(26) Private Income (Before Tax)
(a) Professional Occupations(b) Commerce, Trade, or Business(c) Farming(d) Change in Balances of Primary-produce Stabilization Accounts(e) Change in Balances in Wool Retention Moneys(f) Interest, Rent, etc.(g) Other
* Provisional.
INCOME
1938–391111865926−2..15220200
1943–44141581697236332
1946–47187834109214712..16548397
1947–482106371111246012..16653446
1948–492275391212256411..16648465
1949–502505421314278411..16758526
1950–51279647141633148173318871660
1951–523288531518381056−3181080676
1952–5334811541619411164−6191178710
1953–5438412581821461301−6201290786
1954–5543112612022511321−6201297854
1955–5646812642223531285−6201394897
1956–574951266242458144−5−6211498945
1957–585341370252562142−19..2115105993
1958–59*5621280272562123−5..22151121,035
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
1938–391622414200
1943–441797677332
1946–47257781646397
1947–48292772156446
1948–4935194911465
1949–50358961854526
1950–5141511326106660
1951–524751422534676
1952–534711461974710
1953–545371542966786
1954–556141682844854
1955–566491742153897
1956–576731852562945
1957–587261732866993
1958–59*74822132341,035

The following diagram presents the distribution of private outlay (shown in the second part of the preceding table) in graphical form.

PRIVATE OUTLAY

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..153
1949–50975015−2..160
1950–511155617−2..186
1951–521447120−2..233
1952–531486719−2..232
1953–541566825−2..246
1954–551718130−3..279
1955–561778532−3..291
1956–571888431−3..300
1957–581759134−2..298
1958–59*22310436−3..360
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)
EXPENDITURE
1938–3932871653
1943–4416116113−63128
1946–475434151226141
1947–486337151420149
1948–496539161222153
1949–507242161516160
1950–51784717934186
1951–529653171651233
1952–5310854171538232
1953–5411658181639246
1954–5511761201368279
1955–5612864211266291
1956–5714066231357300
1957–5814870261440298
1958–59*15880281481360

COMBINED CAPITAL ACCOUNT

£(million)
March YearPrivate Savings (42)Revenue Balances: General Government and Local Authorities (43)Depreciation Allowances (44)Total Savings (45)
* Provisional.
SAVINGS
1938–391461738
1943–4477−632035
1946–47622626114
1947–48772029126
1948–4920223274
1949–50721635123
1950–511323439204
1951–52595143152
1952–53933848179
1953–54953955189
1954–55726863202
1955–56746669209
1956–57875772216
1957–58944076210
1958–59*668184231
March YearGross Capital Formation in New Zealand (46)Net Investment Overseas (47)Total Investments (48)
Private (a)General Government (b)Local Authorities (c)Changes in Stocks (d)
INVESTMENTS
1938–39171665−638
1943–441310412−435
1946–47372162129114
1947–484326756−6126
1948–4948328−19574
1949–5057399144123
1950–517441104930204
1951–5291411237−29152
1952–5398551813−5179
1953–541045721−2128189
1954–55130592329−39202
1955–56129662619−31209
1956–57122723110−19216
1957–58138723516−51210
1958–59*136713610−22231

THE GOVERNMENT SECTOR.—The information given in the General Government revenue account and ranging over a span of twenty-one years illustrates the changing role which the Government has played in the economic affairs of the country. Prior to the 'thirties, the most important aim of Government policy was to obtain sufficient current revenue to cover its ordinary and recurring expenditure. Since then, fiscal policy has widened its scope in several directions. Taxation policy has had the effect of redistributing the national income. Transfer payments—social security cash benefits and subsidies—are an example of the use of taxation to achieve a redistribution of incomes. Another development was the increasing tendency to achieve a surplus of current revenue over current expenditure; this surplus is essentially a form of saving which is used to meet part of the Government's capital expenditures. These measures have affected the pattern of saving as between the private and public sector of the economy and reduced the extent of the Government's borrowing from the private sector. Finally, fiscal policy has been used to assist in correcting balance of payments difficulties and in influencing private consumption.

Against this background, the substantial increase in taxation over the past twenty-one years can be seen in its correct perspective. To obtain a correct appreciation of the changes which have taken place, it is not sufficient to examine the change and growth of individual items of revenue and expenditure over time; it is necessary to project them against the wider frame of reference of national income or gross national product in order to assess their impact on the economy as a whole.

(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 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.

Although all the other forms of Government expenditure such as transfer payments—social security cash benefits, interest on public debt, and subsidies—and transfers to local authorities are also paid from taxation and trading revenue of General Government, they do not form part of Government final expenditures but only become final expenditures when consumption takes place in the hands of recipients. For this reason their effect can only be measured by a comparison with national income from which they are met.

The cost of Government-provided goods and services has increased from £23.2 million in the last pre-war year to £44.8 million in the first post-war year and to £114.3 million in 1957–58; the latest figure is £121.4 million. Attention has, however, already been drawn to the fact that expenditures expressed in money terms do not afford a meaningful basis of comparison. Expressed in ratios to gross national expenditure—of which the cost of Government-provided goods and services is a part—percentages of 10.0, 10.5, 10.5, and 10.7 are obtained. For the thirteen post-war years the average percentage is 10.4 per cent. It is thus that the five-fold increase in the money cost of Government services is shown in proper perspective.

Social security cash benefits amounted to £7.5 million in 1938–39 and £34.4 million in 1946–47, after which they advanced to £70.0 million and £80.1 million in the last two years. In percentages of national income the four years above were represented by 3.9, 9.4, 7.5, and 8.3 per cent. Incidentally, the 1946–47 figure of 9.4 per cent was also the peak figure of the twenty-one year series; after the first post-war year the relative importance of social security monetary benefits and pensions steadily declined until the rise shown in the latest year.

Subsidies were of a much lesser importance than social security cash benefits, both relatively and absolutely. In 1938–39, £0.6 million was paid in subsidies against £13.5 million in 1958–59; expressed in percentages of national income it is 0.3 and 1.4 per cent, respectively. Interest on the public debt, although its importance has been steadily growing over the past five years or so, represented only 2.4 per cent of national income in 1958–59, the same proportion as the 2.4 per cent before the war, in spite of its value increase from £4.7 million to £22.7 million.

Transfers to local authorities is a flow which can be usefully measured against current General Government revenue. Although these payments have been increasing in an almost uninterrupted fashion over the twenty-one years presented in these accounts, rising from £5.3 million in 1938–39 to £23.7 million in 1958–59, in percentages of current Government revenue they were only 7.2 per cent in 1958–59 as against 12.3 per cent before the war.

GENERAL GOVERNMENT—REVENUE ACCOUNT

£(million)
1938–391953–541954–551955–561956–571957–581938–59*

* Provisional.

Includes contribution under Colombo Plan in each year.

REVENUE
1.Taxation
    (a) Direct—
        Income tax9.380.888.390.798.177.8109.4
        Social security taxation5.549.756.259.961.666.380.6
        Land tax1.11.61.01.21.41.31.4
        Death duties1.88.79.48.58.39.010.4
        Other0.1      
          Totals17.8140.8154.8160.3169.4154.4201.9
    (b) Indirect—
        Sales tax3.621.122.623.422.324.225.8
        Customs and excise duties11.732.234.236.635.739.041.6
        Motor vehicles taxation3.16.216.117.518.419.728.7
        Other1.76.57.06.97.07.67.4
          Totals20.066.079.984.583.490.5103.4
2. Totals, all taxation37.8206.8234.8244.8252.9244.9305.2
3. Trading income5.419.423.024.223.024.125.4
4.   Less direct taxation paid by trading Departments−0.2−2.0−2.6−3.0−3.0−2.2−2.5
      Totals5.217.420.421.220.021.922.9
5. Lump sum payments from United Kingdom Government..............
6. TOTAL REVENUE43.0224.2255.2266.0272.9266.8328.1
7. Cost of Provision of Goods and Services
EXPENDITURE
    (a) General administration2.213.715.015.215.616.417.8
    (b) Interest on General Government debt paid overseas6.82.52.83.33.43.74.6
    (c) Law and order0.81.61.92.02.53.23.1
    (d) Development of primary and secondary industries0.76.66.57.19.19.59.9
    Social services—
    (e)Health0.84.74.95.45.96.67.0
    (f)Education4.217.319.221.223.125.727.9
    (g)Non-monetary social security benefits 10.612.615.516.817.118.7
    (h)Other social services3.31.31.31.41.61.61.6
    (i) Defence and war2.128.123.625.026.124.925.7
    (j) Rehabilitation 0.81.01.01.00.90.8
    (k) Maintenance of public works and services2.34.33.13.64.44.74.4
        Totals23.291.591.9100.7109.4114.3121.4
Transfer Income
  8.  Monetary social security benefits and pensions7.557.761.364.466.370.080.1
  9.  Interest on General Government debt paid in New Zealand4.715.617.217.719.421.622.7
            Totals12.273.378.582.185.691.6102.8
10.  Transfers to Local Authorities
      (a) Hospital Boards0.910.310.710.712.915.415.8
      (b) Other4.42.95.66.27.07.47.9
            Totals5.313.216.316.919.922.823.7
11.  Subsidies
    (a) Shipping, transport, and incidental 0.2     
    (b) Primary production0.40.10.1    
    (c) Essential clothing and foodstuffs0.213.711.910.912.412.512.5
    (d) Miscellaneous 0.20.50.50.10.50.5
    (e) Housing suspensory loans 1.30.91.00.90.60.5
            Totals0.615.513.412.413.313.613.5
12. TOTAL EXPENDITURE41.3193.5200.1212.1228.2242.2261.4
13.  Balance of revenue over expenditure1.730.755.153.944.724.666.7
14.  TOTAL EXPENDITURE PLUS REVENUE BALANCES43.0224.2255.2266.0272.9266.8328.1

(b) 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)

1938–391953–541954–551955–561956–571957–581958–59*d
* Provisional.
REVENUE
15. Taxation—
    (a) Direct: Rates6.214.816.216.718.620.421.2
    (b) Indirect: Licence fees0.61.50.80.70.70.70.7
        Totals6.816.317.017.419.321.121.9
16. Trading income3.45.57.27.67.910.010.4
17. Grants from General Government5.313.216.316.919.922.823.7
18. TOTAL REVENUE15.535.040.541.947.153.956.0
19. Cost of provision of goods and services8.524.124.726.930.833.936.8
EXPENDITURE
20. Interest on local authority debt paid in New Zealand2.32.73.03.24.04.75.3
21. TOTAL EXPENDITURE10.826.827.730.134.838.642.1
22. Balance of revenue over expenditure4.78.212.811.812.315.313.9
23. TOTAL EXPENDITURE PLUS REVENUE BALANCES15.535.040.541.947.153.956.0

(c) 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, 1958–59 (PROVISIONAL)

 £(m.)
24. Balance of revenue over current expenditure, per National Income Accounts (table on page 725)66.7
Less
25.   Amortization of debt charged to Consolidated Fund−8.8
26.  Transfers to other accounts−14.9
27.   Capital expenditure charged to Consolidated Fund and National Roads Fund−24.4
28.   Advances to the dairy industry−5.0
Plus
29.   Current expenditure charged to Defence Fund8.8
Adjustment for Trading Income
30.   Profits of Trading Departments−25.4
31. Plus transfers of profits to Consolidated Fund19.9
        Total16.9
32. Consolidated Fund surplus 1958–590.4
33. Social Security Fund surplus 1958–5915.9
34. National Roads Fund surplus 1958–590.6
        Total surplus of Consolidated Fund, Social Security Fund, and National Roads Fund as shown in the Public Accounts B-1 (Pt. I) 1958–5916.9

For the reconciliation for earlier years between the balances of revenue over expenditure and the Budget surpluses (or deficits), reference should be made to the previous issues of the Year-Book.

Firstly, it has been necessary to bring into account revenue and expenditure received and incurred by the Government other than that recorded within the limited confines of the Consolidated Fund. From 1950–51 the only other accounts involved were the Social Security Fund and the Public Works Account, the remaining accounts used in earlier years either having been closed or involving negligible amounts. The National Roads Fund, which came into existence on 1 April 1954, also forms part of the General Government Revenue Account.

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 719–720) for the years 1938–39, 1943–44, and 1946–47 to 1958–59. An analysis of private income, in less comprehensive form, is given below for the years between 1938–39 and 1958–59. 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)
1938–39111.30.97.56.454.519.6200.2
1939–40110.82.911.26.759.424.7215.7
1940–41117.815.612.37.458.323.6235.0
1941–42120.825.512.77.762.327.6256.6
1942–43126.846.014.08.167.232.8294.9
1943–44140.658.315.58.672.436.4331.8
1944–45147.148.517.28.979.937.9339.5
1945–46162.039.420.69.487.441.7360.5
1946–47186.58.234.410.1110.247.9397.3
1947–48210.16.437.210.9129.152.7446.4
1948–49227.24.539.011.6133.948.3464.5
1949–50250.14.642.212.7158.857.8526.2
1950–51278.55.947.113.6243.371.1659.5
1951–52327.88.453.014.8191.580.1675.6
1952–53348.010.653.716.3203.677.6709.8
1953–54384.411.957.718.4223.690.4786.4
1954–55431.112.161.319.8231.997.4853.6
1955–56468.412.064.421.7236.494.2897.1
1956–57495.112.166.323.7249.598.4945.1
1957–58534.012.970.025.2245.6104.9992.6
1958–59*561.912.380.126.9241.6111.81,034.6
As Percentage of Private Income
1938–3955.60.43.73.227.29.8100.0
1939–4051.41.35.23.127.511.5100.0
1940–4150.16.65.23.124.810.0100.0
1941–4247.19.94.93.024.310.8100.0
1942–4343.015.64.72.722.811.1100.0
1943–4442.417.64.72.621.811.0100.0
1944–4543.314.35.12.623.511.2100.0
1945–4644.910.95.72.624.211.6100.0
1946–4746.92.18.72.527.712.1100.0
1947–4847.11.48.32.428.911.8100.0
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
1951–5248.51.27.82.228.311.9100.0
1952–5349.01.57.62.328.710.9100.0
1953–5448.91.57.32.328.411.5100.0
1954–5550.51.47.22.327.211.4100.0
1955–5652.21.37.22.426.410.5100.0
1956–5752.41.37.02.526.410.4100.0
1957–5853.81.37.12.524.710.6100.0
1958–59*54.31.27.72.623.410.8100.0
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..459158202244198
1947–48189..496170237269223
1948–49204..520181246246232
1949–50225..563198291295263
1950–51250..628213446363329
1951–52295..707231351409337
1952–53313..716255374396355
1953–54345..769288410461393
1954–55387..817309426497426
1955–56421..859339434481448
1956–57445..884370458502472
1957–58480..933394451535496
1958–59*505..1068420443570517

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 718–722.

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 55.6 per cent in 1938–39 to 424 per cent in 1943–44, and other personal income which decreased similarly from 27.2 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 54.3 per cent in 1958–59. This latter figure was still below the only recorded pre-war percentage (55.6 per cent in 1938–39).

Another item which has played an important part in altering the distribution of private income is social security benefits and pensions which, as a percentage of private income, increased from 3.7 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, falling to 7.1 per cent of private income in 1957–58, but have risen to 7.7 per cent in 1958–59. 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.

PRIVATE INCOME AND TOTAL TAXATION

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.

 £(m)£(m)£(m)£(m)£(m) 
1938–39200.223.820.6−0.643.821.9
1939–40215.730.521.0−0.551.023.6
1940–41235.045.622.3−1.666.328.2
1941–42256.651.423.2−2.771.928.0
1942–43294.966.428.0−3.391.130.9
1943–44331.875.531.8−3.1104.231.4
1944–45339.581.234.0−4.6110.632.6
1945–46360.584.937.3−6.6115.632.1
1946–47397.378.243.0−11.8109.427.5
1947–48446.477.453.0−13.6116.826.2
1948–49464.593.546.1−11.5128.127.6
1949–50526.295.649.8−14.6130.824.9
1950–51659.5113.155.6−9.4159.324.2
1951–52675.6142.071.0−16.1196.929.1
1952–53709.8145.767.0−15.0197.727.9
1953–54786.4153.667.5−15.5205.626.1
1954–55853.6168.480.7−13.4235.727.6
1955–56897.1174.085.3−12.3247.027.5
1956–57945.1185.084.1−13.3255.827.1
1957–58992.6172.691.2−13.6250.225.2
1958–59*1,034.6220.5104.1−13.5311.130.1

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 718–722.

Subsidies in this table are treated as negative indirect taxes and deducted from total taxation. Taxation less subsidies as a percentage of private income increased steadily throughout the war years from 21.9 per cent in 1938–39 to a peak of 32.6 per cent in 1944–45. Immediately following the war, with the reduction in the war loading on income tax from 33⅓ per cent to 15 per cent, and the removal of the National Security charge, the percentage decreased steadily to 26.2 per cent of private income in 1947–48. 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 descernible from 1951–52 (at 29.1 per cent) onwards. Since that period total taxation as a percentage of private income fell to 25.2 per cent in 1957–58, but has risen to 30.1 per cent in the latest year. This sudden increase can be partly explained by higher taxation rates imposed and partly by the change in taxation procedure with the introduction of PAYE.

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)

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.

 £(m)£(m)£(m)£(m)£(m)£(m)£(m) 
1938–39200.2−14.5185.743.8−14.5..29.315.8
1939–40215.7−18.7197.051.0−18.7−0.931.415.9
1940–41235.0−20.1214.966.3−20.1−1.644.620.8
1941–42256.6−21.1235.571.9−21.1−2.348.520.6
1942–43294.9−23.4271.591.1−23.4−3.564.223.6
1943–44331.8−26.8305.0104.2−26.8−4.572.923.9
1944–45339.5−30.1309.4110.6−30.1−5.075.524.4
1945–46360.5−34.4326.1115.6−34.4−5.675.623.2
1946–47397.3−49.5347.8109.4−49.5−6.253.715.4
1947–48446.4−52.5393.9116.8−52.5−7.057.314.5
1948–49464.5−54.5410.0128.1−54.5−7.965.716.0
1949–50526.2−58.4467.8130.8−58.4−8.563.913.7
1950–51659.5−64.1595.4159.3−644.1−8.786.514.5
1951–52675.6−70.4605.2196.9−70.4−9.4117.119.3
1952–53709.8−70.9638.9197.7−70.9−10.4116.418.2
1953–54786.4−76.0710.4205.6−76.0−10.6119.016.8
1954–55853.6−81.5772.1235.7−81.5−12.6141.618.3
1955–56897.1−85.3811.8247.0−85.3−15.5146.218.0
1956–57945.1−89.6855.5255.8−89.6−16.8149.417.5
1957–58992.6−96.3896.3250.2−96.3−17.1136.815.3
1958–59*1,034.6−108.1926.5311.1−108.1−18.7184.320.0

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 713–722.

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
1938–39111.30.97.560.919.6200.2
1939–40110.82.911.266.124.7215.7
1940–41117.815.612.365.723.6235.0
1941–42120.825.512.770.027.6256.6
1942–43126.846.014.075.332.8294.9
1943–44140.658.315.581.036.4331.8
1944–45147.148.517.288.837.9339.5
1945–46162.039.420.696.841.7360.5
1946–47186.58.234.4120.347.9397.3
1947–48210.16.437.2140.052.7446.4
1948–49227.24.539.0145.548.3464.5
1949–50250.14.642.2171.557.8526.2
1950–51278.55.947.1256.971.1659.5
1951–52327.88.453.0206.380.1675.6
1952–53348.010.653.7219.977.6709.8
1953–54384.411.957.7242.090.4786.4
1954–55431.112.161.3251.797.4853.6
1955–56468.412.064.4258.194.2897.1
1956–57495.112.166.3273.298.4945.1
1957–58534.012.970.0270.8104.9992.6
1958–59*561.912.380.1268.5111.81,034.6
Less DIRECT TAXES
1938–394.9....11.97.023.8
1939–408.0....13.39.230.5
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..29.625.484.9
1946–4723.81.2..29.224.078.2
1947–4823.60.4..30.822.677.4
1948–4924.70.5..37.830.593.5
1949–5026.50.5..39.529.195.6
1950–5132.50.5..48.032.1113.1
1951–5236.00.6..65.939.5142.0
1952–5343.90.8..60.140.9145.7
1953–5446.40.8..65.540.9153.6
1954–5549.91.0..71.546.0168.4
1955–5652.21.0..70.850.0174.0
1956–5761.51.0..72.050.5185.0
1957–5846.71.1..73.751.1172.6
1958–59*66.71.5..99.552.8220.5
DISPOSABLE INCOME
1938–39106.40.97.549.012.6176.4
1939–40102.82.911.252.815.5185.2
1940–41105.314.812.346.910.1189.4
1941–42105.224.412.749.313.6205.2
1942–43107.342.814.051.213.2228.5
1943–44117.254.815.555.113.7256.3
1944–45122.844.717.262.411.2258.3
1945–46135.436.120.667.216.3275.6
1946–47162.77.034.491.123.9319.1
1947–48186.56.037.2109.230.1369.0
1948–49202.54.039.0107.717.8371.0
1949–50223.64.142.2132.028.7430.6
1950–51246.05.447.1208.939.0546.4
1951–52291.87.853.0140.440.6533.6
1952–53304.19.853.7159.836.7564.1
1953–54338.011.157.7176.549.5632.8
1954–55381.211.161.3180.251.4685.2
1955–56416.211.064.4187.344.2723.1
1956–57433.611.166.3201.247.9760.1
1957–58487.311.870.0197.153.8820.0
1958–59*495.210.880.1169.059.0814.1

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 718–722.

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 727. 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.
AS PERCENTAGE OF PRIVATE DISPOSABLE INCOME
1938–3960.30.54.327.87.1100.0
1939–4055.51.66.028.58.4100.0
1940–4155.67.86.524.85.3100.0
1941–4251.311.96.224.06.6100.0
1942–4347.018.76.122.45.8100.0
1943–4445.721.46.121.55.3100.0
1944–4547.517.36.724.24.3100.0
1945–4649.113.17.524.45.9100.0
1946–4751.02.210.828.57.5100.0
1947–4850.51.610.129.68.2100.0
1948–4954.61.110.529.04.8100.0
1949–5051.90.99.830.76.7100.0
1950–5145.01.08.638.27.2100.0
1951–5254.71.59.926.37.6100.0
1952–5353.91.79.628.36.5100.0
1953–5453.41.89.127.97.8100.0
1954–5555.61.69.026.37.5100.0
1955–5657.61.58.925.96.1100.0
1956–5757.01.58.726.56.3100.0
1957–5859.41.58.524.06.6100.0
1958–59*60.91.39.820.87.2100.0
AS INDEX NUMBERS (1938–39 = 100)
1938–39100..100100100100
1939—4097..149108123105
1940–4199..1649680107
1941–4299..169101108116
1942–43101..187104105130
1943–44110..207112109145
1944–45115..22912789146
1945–46127..275137129156
1946–47153..459186190381
1947–48175..496223239209
1948–49190..520220141210
1949–50210..563269128244
1950–51231..628426320310
1951–52274..707287322302
1952–53286..716326291320
1953–54318..769360393359
1954–55358..817368408388
1955–56391..859382351410
1956–57408..884411380431
1957–58458..933402427465
1958–59*465..1068345468462

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, 405 (365) per cent; other personal incomes, 341 (245) per cent; and company incomes, 471 (368) 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.

THE ACCOUNTS OF THE GOVERNMENT SECTOR.—The accounts of the Government sector as set out in preceding pages 723–727, have now been complemented by a new publication The Accounts of the Government Sector 1955–56 to 1958–59 issued as a special supplement to the report on the Official Estimates of National Income and Expenditure for the Year 1958–59 and available from the Government Printer. The publication of these new accounts is the first stage in a major revision of the national accounts but until this revision is completed it will not be possible to integrate the new accounts of the Government sector into the overall national accounting structure.

The accounts of the Government sector present the first comprehensive and consistently classified statement of all central Government transactions. In preparing these accounts coverage has been extended to all Government accounting units, and all transactions have been classified according to a consistent economic analysis of receipts and payments. As it stands the new system of accounts is a valuable addition to the material available to the public and to the policy maker on Government finance. The bulk of Government accounting material hitherto available has been of a detailed nature designed to permit parliamentary and audit control of various departmental expenditures. Although this detailed presentation is essential for these purposes, it has had the undesirable effect of obscuring the broad pattern of Government operations.

The assumption by Governments of overall responsibility for the health of the national economy has created a need for a presentation of Government accounts in a form which reveals the broad types, of financial flows through which the Government can influence the growth and stability of the economy. Although most of the main items included in such flows as direct taxation, subsidies, and Government transfer payments are easily obtainable by any person familiar with the public accounts, it has not been possible to obtain total figures for any of these flows. The accounts of the Government sector enable such a view to be obtained.

In addition to providing improved measures of the current account transactions as recorded in the General Government - Revenue Account (see page 724), the new accounts include a full analysis of the Government's capital transactions. Details of Government lending and borrowing are classified according to changes in claims on, and in liabilities to, local authorities, the private sector, and the rest of the world.

A major problem encountered in the preparation of the new accounts has been the elimination of numerous transfers between the many separate Government accounting units. The existence of these inter-account transfers has made it difficult for the public to understand the net effect of Government transactions. For example, public attention is frequently drawn to changes in the public debt, which is usually regarded as measuring changes in Government borrowing from non-government sources. In fact the Government is one of the main holders of New Zealand Government securities and what appear as changes in the public debt may in fact reflect no more than the transfer of Government money from one Government account to another.

It is hoped that the new Government accounts by eliminating all such internal transactions and by classifying transactions in a consistent manner will, in addition to assisting those concerned with policy, improve general understanding of the nature of Government transactions.

29 B—INTER-INDUSTRY STUDIES AND SECTOR ACCOUNTS

INTRODUCTION.—This section presents the main results of the second inter-industry or input-output study of the New Zealand economy undertaken by the Department of Statistics.* Readers are referred to the first study (Report on the Inter-Industry Study of the New Zealand Economy in 1952–53, special supplement to the February 1957 issue of Monthly Abstract of Statistics) for details of the nature of these investigations, but a brief summary is given here for convenience.

For the purposes of input-output studies, production is regarded as a process of combining together certain goods and services, called inputs, to form other goods and services, called outputs. Inputs are of two sorts:

  1. Primary inputs comprising imported goods and labour and property services of all kinds; and

  2. Intermediate inputs comprising all other goods and services required in the course of production.

Outputs are similarly divided into two groups:

  1. Intermediate outputs consisting of goods and services which enter into current production at a later stage; and

  2. Final outputs consisting of goods and services requiring no further processing within the country.

Intermediate inputs and outputs are thus identical, and overall the process of production consists in converting primary inputs into final outputs in the form of exports, consumer or producer goods, and additions to stocks.

The economy is divided into a number of groups of related industries, called sectors, and information is collected concerning each sector's purchases of inputs and sales of outputs. When this information is complete it is arranged in the form of a two-way table showing in each row the disposal of a sector's output and in each column the origin of its inputs. This table is bordered by rows and columns showing purchases of primary inputs and sales of final outputs respectively, while the inner square gives the pattern of relationships between intermediate inputs and outputs. It will be noted that inputs and outputs are measured in money terms, as this is the only way of aggregating different goods and services in a meaningful manner. For each sector, row and column totals must be equal, since all receipts appear in the row and all payments (including profit and depreciation allowances) appear in the column.

The pattern of inputs in any column represents the cost structure of the sector, and this is assumed to be relatively constant over time, or at least to change slowly and in a known manner. For this reason only current inputs are included, since there can be no justification for assuming that purchases of capital equipment, etc., remain constant, although the outputs of capital goods from the various sectors involved form part of final sales. The separation of current from capital purchases requires additional research, since the New Zealand tables are prepared on a sector account basis, whereas in other countries they are commonly built up on a commodity basis. Transactions connected with capital formation are shown separately in this report along with the pattern or “matrix” of total inter-industry purchases and sales; the current transaction table being derived simply by subtracting the capital matrix from the total matrix.

STATISTICAL TABLES: Sector Accounts, 1952–53 and 1954–55.—The New Zealand input-output tables are compiled by first estimating all inter-sector transactions and these may be shown in a useful manner in the form of sector accounts. Tables 112 comprise the sector accounts for 1954–55, and in view of the fact that it has been possible to make improvements in the 1952–53 figures the tables show these figures as well. Tables 1318 show additional information on final demand. These accounts relate to current domestic expenditure, capital formation, and overseas transactions. In addition a separate Defence Account is given in Table 19.

* Report on the Inter-Industry Study of the New Zealand Economy in 1954–55 obtainable from the Government Printer.

Inter-Industry Tables.—The information contained in the sector accounts (Tables 118) is summarized in the total inter-industry transaction Tables 20 and 21. The patterns of transactions connected with capital formation are shown in Tables 22 and 23, and the derived input-output or current transactions matrices form Tables 24 and 25.

The direct input coefficients or requirement ratios found, derived from the input-output tables, are given in Tables 26 and 27. The total of direct and indirect requirements per £100 of final sales are shown in Tables 28 and 29. For technical details readers should consult the earlier report already referred to, but some information on sources and methods of compilation are given on pages 738–740.

Comparisons Between 1952–53 and 1954–55.—No great changes are apparent in direct input requirements, as indicated by Tables 26 and 27. This is, of course, encouraging, for it suggests that the crucial assumption underlying input-output analysis, viz., the constancy of input patterns, is not too unrealistic—at least over short periods. An important point must, however, be made here. Strictly speaking, the concept of stable input relationships applies to real or physical input, whereas all our measurements are of payments for inputs, i.e., values. The usual method of comparing input coefficients in two different years is to revalue the actual input payments in the second year in terms of base-year prices. The calculation of coefficients is then proceeded with in the usual manner. Satisfactory “price deflators,” as they are called, are not yet available, but it has been decided not to delay publication of these tables which have considerable value in their present form.

Caution should be exercised before drawing sweeping conclusions from comparisons of direct or inverse coefficients but a few comments appear justified.

  1. In the farming sector there appears to have been a fall in real inputs from manufacturing; this is largely the result of higher net farm income in 1954–55 (relative to total costs of production), and is probably one case where the absence of price deflators has serious consequences.

  2. The very small inter-sector flows in the forestry, hunting, and mining sectors must lead to relatively large errors in coefficients so that no significance should be attached to quite large changes in them.

  3. Coefficients for the manufacturing and building sectors show remarkable stability and may reasonably be interpreted as showing that few important changes in structure took place in these industries between 1952–53 and 1954–55.

  4. In the public utilities sector, inputs from mining declined relatively to total inputs, no doubt as a result of shutting down gasworks. Utilities' relative inputs from manufacturing also declined, and this may be accounted for by lower maintenance costs due to this same factor.

  5. There was also a marked fall in the proportion of total inputs to the distributive sector coming from manufacturing. This may be plausibly explained in terms of the smaller stock build-up by wholesalers and retailers in 1954–55.

  6. The remaining service sector coefficients show some changes but none appear to be particularly significant.

In view of the changes which did occur in direct input patterns, it is striking how little change took place in the inverse matrix of total requirements. The inverse is rather insensitive to moderate changes in input coefficients. This means that small errors of estimation will not make much difference to the inverse. This is only another way of saying that a given change in direct requirements of an industry may not have an unduly large effect on direct and indirect requirements because the latter figure is affected also by requirements in other industries. This tendency for the inverse to be comparatively unresponsive to changes in a particular direct input is, of course, a characteristic of the economy itself rather than of the methods used. Fortunately, it is a characteristic which makes the inverse particularly suitable as a basis for projections into the future, provided its use is limited to those cases where it is an estimate of direct and indirect requirements whichever is appropriate. Changes in direct input coefficients naturally affect mainly the corresponding inverse coefficients, so that most of the above discussion of changes carries over to Tables 28 and 29.

Conclusion.—The Department of Statistics regards the 1952–53 and 1954–55 inter-industry studies as largely pilot ventures. Work is now proceeding on a much larger (40 x 40) table for 1959–60, and when this is completed the structure of inter-sector transactions will be much more adequately depicted. At the same tune efforts are being made to compile indices of price movements in inter-sector flows (in order to properly compare input coefficients in different years), and attention is being directed towards a more complete integration of capital formation changes and subsequent production possibilities.

Even in their at present comparatively undeveloped state the New Zealand inter-industry studies have already been extremely useful in providing background information for economic policy purposes. To give particular examples they have been used to estimate import and labour requirements at the expected rate of growth of various New Zealand industries, and to estimate the amount of final demand output which is likely to result from those growth rates. It is expected that considerable further use will be made of the studies in their present form, but of course the more detailed Cables when available will have wider application.

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.

The account is arrived at by an aggregation of sample accounts of certain characteristic farming pursuits (e.g., dairy or sheep farming, agricultural farming, orchards, and others) or a weighted combination of samples for mixed farms. The samples were multiplied by the number of units revealed by the World Census of Agriculture of 1950. The resulting aggregates were checked against such control data as wages, wool-retention receipts, and inputs into other industries or final consumption.

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.

The cost structure of logging operations was obtained from information previously collected by the Industrial Production Branch of the Department, and was applied to the known log input into the sawmilling industry. Information on afforestation operations—almost exclusively conducted by the New Zealand Forest Service—was obtained from departmental reports.

Hunting, Fishing, etc.—Includes operations of Rabbit Boards and Government pest-control services.

Gross output of the fishing industry was obtained from the report of the Marine Department on total catches, fish and shellfish. The destination of output was calculated by reference to exports and input into canning industries, with household consumption as the residual balance. In addition, information was obtained from the Department of Internal Affairs on subsidies on pest control and other expenditures, and from Rabbit Boards in respect of their activities.

Mining.—Operations of State coal depots are excluded (these are part of Wholesale and Retail Trade).

Gross output was calculated from data appearing in the Mines Statement in regards to coal, gold, and other mining and quarrying. The cost structure of State coal mines was available from departmental sources, but that of private mining and quarrying firms was obtained from sample accounts.

Manufacturing, Primary Produce Processing.—This industry includes only two main 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.

The basic information derives from Industrial Production statistics with corrections from a seasonal basis to March years. Value of input is checked against the relevant output of the farming sector, with allowances for farm sales of livestock, milk for home consumption, etc. Output is checked against export data, again with allowances for home consumption.

Manufacturing, Other.—Industrial production statistics are the main source for this industry. Commodity inputs and outputs are allocated to various industries and allowances are made for short coverage by comparison with labour force figures reported by the Department of Labour. As the sources available measure output at ‘factory gate’, allowances are made to bring these up to sellers' price; percentage margins for individual industries were obtained by a separate investigation. Several industries are not covered by the annual industrial production census, e.g., bakeries, abattoirs, naval dock yard, Government railway workshops- local authority tramway workshops, boot-repair workshops, etc., and separate information, either from published accounts or separate surveys, had to be obtained.

Building and Construction.—Includes all building and construction firms, contractors, the Ministry of Works, but does not include construction activities of the New Zealand Electricity 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 bodies.

Information for this industry derives from a variety of sources. As nearly all building activity is subject to permits, the value of gross output was estimated from permit statistics. Almost all other construction work (other than buildings) is undertaken for or by the State and local bodies, and reference was made to public accounts. Other sources, such as gross income of companies in the industry and gross income of builders (which are available from taxation statistics), were also used to establish a check on gross output. Inputs were estimated either from information available from the last survey of the building industry in 1951–52 or from costing samples made available from other sources.

Public Utilities.—The main undertakings in this sector are the New Zealand Electricity Department, private and municipal gas works, Electric Power Boards, and municipal electricity departments. Waterworks, drainage, and sewerage services are part of the sector.

All establishments within this industry—except for privately owned gasworks—are publicly owned, and data were extracted from Government and local body accounts and supplemented by annual returns furnished to the Department of Statistics.

Transport and Communications.—Includes industries, private and Government, usually associated with this industry. The waterfront industry and local transport boards are included.

Much of the information for this sector is found in the reports presented to Parliament by various Government Departments and trading undertakings such as the Railways Department, the Post Office, the Air Department, the Transport Department, the Waterfront Industry Commission, and the National Airways Corporation. Statistics of shipping and tramways are also used.

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 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.

The total value of distributive margins (i.e., gross profit on goods sold) which, by definition, is taken as the gross output of the industry, was derived basically from the Census of Distribution of 1953. Owing to the limited scope of the Census, which restricted units surveyed to certain type qualifications, allowances had to be made for units not covered and information had to be obtained about types of businesses not covered by the Census. Extensive use was also made of samples for cost breakdowns of gross profits whenever these could be obtained. Operational accounts of statutory boards acting in a distributive capacity were obtained from published accounts, but these had to be adjusted from seasonal years to a March year.

Banking and Insurance.—The major Government undertakings included here are the State Advances Corporation and the Government Life and State Fire Insurance offices, as well as all other private financial institutions. Holding companies and real estate companies are also included.

Although considerable data for this sector were derived from statistics published by the Department and extensive use was made of other official publications much material could only be obtained from special enquiries conducted on a confidential basis. The transactions of private householders in their capacity of owners of rental property have been included in this sector.

Public Administration.—This sector contains those general Government and local authority functions not included in other sectors—i.e., the functions of public administration in the strictest sense and the operation of public funds. All other industrial functions of Government are included in their respective sectors, and these notes give some indication where the non-administrative departments of local authorities or general Government are included.

The two main sources of information for this sector were the departmental votes as detailed in Parliamentary Paper B 7 (Part I) and the relevant statistics in the Local Authorities Handbook.

Defence.—Excludes administrative civilian staff of defence departments. For this sector the votes of the three service departments were analyzed.

Services.—This sector includes a wide range of businesses, institutions, local authorities, and departments of State. All the community and business services and professions are included, e.g., schools (private and public), universities, 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 Studios) is also in this sector. Finally, the major group of personal services—hotels, restaurants, and a great variety of other industries—is included.

The statistical material required for the construction of the tables varied greatly in extent and quality. Published accounts were available for hospital services, schools, and certain religious organizations, but these had to be supplemented by sample inquiries of servicing trades, various incorporated societies, etc. Outside published accounts, available statistical documentation was rather poor, and whatever sample accounts could be obtained had to be rated up to national scale on the basis of incomplete information.

The receipts of this sector include the receipts of Public Administration and Defence on account of their sales of goods and services. These transactions have been treated thus to enable Government to enter the input-output tables solely as a consuming sector. At the same time sales of goods and services by Public Administration and Defence are included with the twelve producing sectors. An equivalent amount has been transferred from the salaries and wages of the Government sectors to the salaries and wages of the Services sector. This treatment enables the two Government sectors to be included in the productive structure in so far as they produce saleable commodities, while ensuring that their prime role as consumers of final output is not diminished.

Households.—Only a relatively small number of items of household consumption could be checked directly with reference either to Census of Distribution data or with reference to investigations of household consumption made for purposes of revision of the Consumers' Price Index weights. The majority of items derive directly from estimates obtained in the investigation of producing industries.

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 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.

Physical goods were analyzed on the basis of trade statistics (f.o.b. and c.i.f. values) according to exporting and importing sectors, and a separate inquiry was conducted to ascertain industrial origins and destinations of “invisible” payments in so far as they were not already known from material obtained by the Department for balance of payments purposes.

Capital Account.—This account merely brings together various items of savings and investment. It does not account for financial (capital) flows from sectors where they originate to the sectors which utilize them.

The same sources from which data were obtained for current transactions were also used for capital formation and the industrial origin of capital assets and services.

Table 1. FARMING ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming62.770.2
  Forestry and logging0.10.1
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing132.0136.7
  Manufacturing, other22.028.5
  Building and construction....
  Public utilities....
  Transport and communications....
  Wholesale and retail trade0.20.1
  Banking and insurance0.30.3
  Public administration and defence1.11.3
  Services1.52.2
  Households18.522.8
  Rest of the world55.765.5
Other receipts from public administration—
  Subsidies....
  Charge on public revenue0.10.1
  Transfers....
Rates....
Stock change5.32.4
Capital formation20.219.3
          Total credits319.7349.5
Debits1952–53 Total1954–55 Total
Salaries and wages25.128.7
Surplus127.3144.4
Net output152.4173.1
Net factor payments to the rest of the world0.1..
Net domestic output152.5173.1
Purchases of goods and services from sectors—
  Farming62.770.2
  Forestry and logging1.01.0
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing1.11.4
  Manufacturing, other36.338.4
  Building and construction3.92.4
  Public utilities0.91.2
  Transport and communications7.59.0
  Wholesale and retail trade16.318.0
  Banking and insurance3.12.8
  Public administration and defence....
  Services5.94.9
  Households....
  Rest of the world15.812.8
Indirect taxes0.70.4
Depreciation12.013.9
        Total debits319.7349.5

Table 2. FORESTRY AND LOGGING ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming1.01.0
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining0.16.1
  Manufacturing, primary produce processing....
  Manufacturing, other6.27.1
  Building and construction....
  Public utilities....
  Transport and communications....
  Wholesale and retail trade....
  Banking and insurance....
  Public administration and defence....
  Services....
  Households0.40.5
  Rest of the world....
Other receipts from public administration—
  Subsidies....
  Charge on public revenue0.30.4
  Transfers....
Rates....
Stock change....
Capital formation2.02.5
          Total credits10.011.6
Debits1952–53 Total1954–55 Total
Salaries and wages3.64.2
Surplus2.72.9
Net output6.37.1
Net factor payments to the rest of the world....
Net domestic output6.37.1
Purchases of goods and services from sectors—
  Farming0.10.1
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing....
  Manufacturing, other0.81.4
  Building and construction0.30.2
  Public utilities....
  Transport and communications0.30.5
Wholesale and retail trade0.30.4
  Banking and insurance0.10.1
  Public administration and defence....
  Services0.1 
  Households....
  Rest of the world1.11.2
Indirect taxes0.1 
Depreciation0.50.6
        Total debits10.011.6

Table 3. HUNTING, FISHING, ETC. ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming....
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing0.10.1
  Manufacturing, other0.10.2
  Building and construction....
  Public utilities....
  Transport and communications....
  Wholesale and retail trade....
  Banking and insurance....
  Public administration and defence....
  Services0.10.3
  Households0.81.1
  Rest of the world1.11.2
Other receipts from public administration—
  Subsidies....
  Charge on public revenue0.90.9
  Transfers....
Rates0.40.4
Stock change....
Capital formation0.10.3
          Total credits3.64.5
Debits1952–53 Total1954–55 Total
Salaries and wages1.01.0
Surplus1.41.9
Net output2.42.9
Net factor payments to the rest of the world....
Net domestic output2.42.9
Purchases of goods and services from sectors—
  Farming....
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing....
  Manufacturing, other0.60.6
  Building and construction..0.1
  Public utilities....
  Transport and communications0.10.1
  Wholesale and retail trade0.20.2
  Banking and insurance..0.1
  Public administration and defence....
  Services0.1..
  Households....
  Rest of the world0.10.4
Indirect taxes....
Depreciation0.10.1
        Total debits3.64.5

Table 4. MINING ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming....
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing0.90.9
  Manufacturing, other2.13.0
  Building and construction2.64.1
  Public utilities1.01.1
  Transport and communications1.21.2
  Wholesale and retail trade....
  Banking and insurance0.10.2
  Public administration and defence....
  Services0.60.7
  Households1.21.7
  Rest of the world0.80.5
Other receipts from public administration—
  Subsidies0.1..
  Charge on public revenue0.20.2
  Transfers....
Rates....
Stock change0.1..
Capital formation1.41.2
        Total credits12.314.8
Debits1952–53 Total1954–55 Total
Salaries and wages4.86.6
Surplus1.01.4
Net output5.88.0
Net factor payments to the rest of the world0.1..
Net domestic output5.98.0
Purchases of goods and services from sectors—
  Farming....
  Forestry and logging0.10.1
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing....
  Manufacturing, other2.02.2
  Building and construction0.80.6
  Public utilities..0.1
  Transport and communications1.21.4
  Wholesale and retail trade0.40.7
  Banking and insurance0.30.2
  Public administration and defence....
  Services0.40.2
  Households....
  Rest of the world0.60.7
Indirect taxes....
Depreciation0.60.6
        Total debits12.314.8

Table 5. MANUFACTURING, PRIMARY PRODUCE PROCESSING ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming1.11.4
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing1.42.0
  Manufacturing, other7.78.8
  Building and construction....
  Public utilities....
  Transport and communications0.10.2
  Wholesale and retail trade..0.1
  Banking and insurance0.30.3
  Public administration and defence....
  Services1.41.6
  Households15.520.0
  Rest of the world140.3136.9
Other receipts from public administration—
  Subsidies....
  Charge on public revenue....
  Transfers....
Rates....
Stock change2.03.9
Capital formation4.16.4
        Total credits173.9181.6
Debits1952–53 Total1954–55 Total
Salaries and wages12.214.6
Surplus6.05.3
Net output18.219.9
Net factor payments to the rest of the world0.40.8
Net domestic output18.620.7
Purchases of goods and services from sectors—
  Farming132.0136.7
  Forestry and logging....
  Hunting, fishing, etc.0.10.1
  Mining0.90.9
  Manufacturing, primary produce processing1.42.0
  Manufacturing, other4.64.0
  Building and construction1.32.2
  Public utilities0.70.7
  Transport and communications5.45.7
  Wholesale and retail trade1.21.4
  Banking and insurance0.50.5
  Public administration and defence....
  Services0.50.6
  Households....
  Rest of the world4.94.2
Indirect taxes....
Depreciation1.81.9
        Total debits173.9181.6

Table 6. OTHER MANUFACTURING ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming36.338.4
  Forestry and logging0.81.4
  Hunting, fishing, etc.0.60.6
  Mining2.02.2
  Manufacturing, primary produce processing4.64.0
  Manufacturing, other77.391.0
  Building and construction40.549.0
  Public utilities3.63.6
  Transport and communications17.717.4
  Wholesale and retail trade16.016.7
  Banking and insurance4.13.9
  Public administration and defence5.64.4
  Services11.517.0
  Households170.4218.6
  Rest of the world16.918.8
Other receipts from public administration—
  Subsidies0.60.1
  Charge on public revenue0.50.4
  Transfers....
Rates....
Stock change1.410.9
Capital formation25.526.5
          Total credits435.9524.9
Debits1952–53 Total1954–55 Total
Salaries and wages91.3113.4
Surplus31.142.2
Net output122.4155.6
Net factor payments to the rest of the world4.34.8
Net domestic output126.7160.4
Purchases of goods and services from sectors—
  Farming22.028.5
  Forestry and logging6.27.1
  Hunting, fishing, etc.0.10.2
  Mining2.13.0
  Manufacturing, primary produce processing7.78.8
  Manufacturing, other77.391.0
  Building and construction7.88.5
  Public utilities2.93.6
  Transport and communications8.212.3
  Wholesale and retail trade10.015.3
  Banking and insurance5.66.1
  Public administration and defence  
  Services4.35.5
  Households....
  Rest of the world114.4127.1
Indirect taxes32.936.0
Depreciation7.711.5
        Total debts435.9524.9

Table 7. BUILDING AND CONSTRUCTION ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming3.92.4
  Forestry and logging0.30.2
  Hunting, fishing, etc...0.1
  Mining0.80.6
  Manufacturing, primary produce processing1.32.2
  Manufacturing, other7.88.5
  Building and construction....
  Public utilities11.411.7
  Transport and communications5.36.4
  Wholesale and retail trade3.27.3
  Banking and insurance14.114.9
  Public administration and defence2.82.6
  Services13.614.8
  Households38.953.4
  Rest of the world..0.1
Other receipts from public administration—
  Subsidies....
  Charge on public revenue23.427.4
  Transfers0.40.7
Rates0.40.6
Stock change1.53.7
Capital formation3.76.4
          Total credits132.8164.0
Debits1952–53 Total1954–55 Total
Salaries and wages30.641.7
Surplus18.319.7
Net output48.961.4
Net factor payments to the rest of the world....
Net domestic output48.961.4
Purchases of goods and services from sectors—
  Farming....
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining2.64.1
  Manufacturing, primary produce processing....
  Manufacturing, other40.549.0
  Building and construction....
  Public utilities0.20.2
  Transport and communications6.17.8
  Wholesale and retail trade10.713.5
  Banking and insurance1.01.3
  Public administration and defence....
  Services0.50.7
  Households....
  Rest of the world20.223.4
Indirect taxes0.3..
Depreciation1.82.6
        Total debits132.8164.0

Table 8. PUBLIC UTILITIES ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming0.91.2
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining..0.1
  Manufacturing, primary produce processing0.70.7
  Manufacturing, other2.93.6
  Building and construction0.20.2
  Public utilities0.20.3
  Transport and communications0.20.3
  Wholesale and retail trade1.51.8
  Banking and insurance0.40.5
  Public administration and defence0.20.4
  Services2.12.3
  Households7.111.3
  Rest of the world....
Other receipts from public administration—
  Subsidies0.60.4
  Charge on public revenue1.01.1
  Transfers....
Rates0.50.6
Stock change0.20.1
Capital formation18.520.5
        Total credits37.245.2
Debits1952–53 Total1954–55 Total
Salaries and wages7.18.8
Surplus5.09.9
Net output12.118.7
Net factor payments to the rest of the world....
Net domestic output12.118.7
Purchases of goods and services from sectors—
  Farming....
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining1.01.1
  Manufacturing, primary produce processing....
  Manufacturing, other3.63.6
  Building and construction11.411.7
  Public utilities0.20.3
  Transport and communications1.11.3
  Wholesale and retail trade2.03.0
  Banking and insurance0.20.2
  Public administration and defence....
  Services0.20.2
  Households....
  Rest of the world4.33.5
Indirect taxes....
Depreciation1.11.6
        Total debits37.245.2

Table 9. TRANSPORT AND COMMUNICATIONS ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming7.59.0
  Forestry and logging0.30.5
  Hunting, fishing, etc.0.10.1
  Mining1.21.4
  Manufacturing, primary produce processing5.45.7
  Manufacturing, other8.212.3
  Building and construction6.17.8
  Public utilities1.11.3
  Transport and communications5.86.5
  Wholesale and retail trade19.523.1
  Banking and insurance1.92.9
  Public administration and defence2.22.7
  Services3.34.3
  Households18.825.3
  Rest of the world20.217.6
Other receipts from public administration—
  Subsidies0.60.2
  Charge on public revenue1.11.9
  Transfers....
Rates....
Stock change0.1..
Capital formation18.819.7
        Total credits122.2142.3
Debits1952–53 Total1954–55 Total
Salaries and wages47.959.7
Surplus11.011.7
Net output58.971.4
Net factor payments to the rest of the world 1.0
Net domestic output58.972.4
Purchases of goods and services from sectors—
  Farming....
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining1.21.2
  Manufacturing, primary produce processing0.10.2
  Manufacturing, other17.717.4
  Building and construction5.36.4
  Public utilities0.20.3
  Transport and communications5.86.5
  Wholesale and retail trade5.25.8
  Banking and insurance1.51.8
  Public administration and defence....
  Services1.21.3
  Households....
  Rest of the world16.517.3
Indirect taxes0.52.3
Depreciation8.19.4
        Total debits122.2142.3

Table 10. WHOLESALE AND RETAIL TRADE ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming16.318.0
  Forestry and logging0.30.4
  Hunting, fishing, etc.0.20.2
  Mining0.40.7
  Manufacturing, primary produce processing1.21.4
  Manufacturing, other10.015.3
  Building and construction10.713.5
  Public utilities2.03.0
  Transport and communications5.25.8
  Wholesale and retail trade3.34.2
  Banking and insurance2.12.8
  Public administration and defence0.91.0
  Services2.54.7
  Households104.7132.5
  Rest of the world18.617.7
Other receipts from public administration—
  Subsidies12.511.8
  Charge on public revenue..0.1
  Transfers....
Rates....
Stock change20.112.0
Capital formation5.914.0
          Total credits216.9259.1
Debits1952–53 Total1954–55 Total
Salaries and wages51.460.7
Surplus59.476.4
Net output110.8137.1
Net factor payments to the rest of the world2.01.7
Net domestic output112.8138.8
Purchases of goods and services from sectors—
  Farming0.20.1
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing..0.1
  Manufacturing, other16.016.7
  Building and construction3.27.3
  Public utilities1.51.8
  Transport and communications19.523.1
  Wholesale and retail trade3.34.2
  Banking and insurance6.88.3
  Public administration and defence....
  Services9.29.8
  Households....
  Rest of the world11.86.1
Indirect taxes26.733.7
Depreciation5.99.1
        Total debits216.9259.1

Table 11. BANKING AND INSURANCE ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming3.12.8
  Forestry and logging0.10.1
  Hunting, fishing, etc...0.1
  Mining0.30.2
  Manufacturing, primary produce processing0.50.5
  Manufacturing, other5.66.1
  Building and construction1.01.3
  Public utilities0.20.2
  Transport and communications1.51.8
  Wholesale and retail trade6.88.3
  Banking and insurance2.53.1
  Public administration and defence1.41.4
  Services3.75.5
  Households16.025.0
  Rest of the world1.63.1
Other receipts from public administration—
  Subsidies0.7 
  Charge on public revenue0.10.1
  Transfers..1.0
Rates....
Stock change....
Capital formation10.410.1
        Total credits55.570.7
Debits1952–53 Total1954–55 Total
Salaries and wages10.815.1
Surplus11.016.9
Net output21.832.0
Net factor payments to the rest of the world−0.6−0.7
Net domestic output21.231.3
Purchases of goods and services from sectors—
  Farming0.30.3
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining0.10.2
  Manufacturing, primary produce processing0.30.3
  Manufacturing, other4.13.9
  Building and construction14.114.9
  Public utilities0.40.5
  Transport and communications1.92.9
  Wholesale and retail trade2.12.8
  Banking and insurance2.53.1
  Public administration and defence....
  Services3.84.3
  Households....
  Rest of the world1.31.5
Indirect taxes0.40.5
Depreciation3.04.2
        Total debits55.570.7

Table 12. SERVICES ACCOUNT

£(million)
Credits1952–53 Total1954–55 Total
Sales of goods and services to sectors—
  Farming5.94.9
  Forestry and logging0.1..
  Hunting, fishing, etc.0.1..
  Mining0.40.2
  Manufacturing, primary produce processing0.50.6
  Manufacturing, other4.35.5
  Building and construction0.50.7
  Public utilities0.20.2
  Transport and communications1.21.3
  Wholesale and retail trade9.29.8
  Banking and insurance3.84.3
  Public administration and defence8.211.9
  Services18.020.1
  Households59.868.6
  Rest of the world2.63.0
Other receipts from public administration—
  Subsidies....
  Charge on public revenue32.036.8
  Transfers0.30.5
Rates1.52.9
  Stock change0.6..
Capital formation10.415.2
        Total credits159.6186.5
Debits1952–53 Total1954–55 Total
Salaries and wages50.059.5
Surplus37.035.5
Net output87.095.0
Net factor payments to the rest of the world−0.2−0.2
Net domestic output86.894.8
Purchases of goods and services from sectors—
  Fanning1.52.2
  Forestry and logging....
  Hunting, fishing, etc.0.10.3
  Mining0.60.7
  Manufacturing, primary produce processing1.41.6
  Manufacturing, other11.517.0
  Building and construction13.614.8
  Public utilities2.12.3
  Transport and communications3.34.3
  Wholesale and retail trade2.54.7
  Banking and insurance3.75.5
  Public administration and defence....
  Services18.020.1
  Households....
  Rest of the world7.08.1
Indirect taxes4.24.9
Depreciation3.33.2
Transfers to the rest of the world..2.0
        Total debits159.6186.5

Table 13. DOMESTIC INCOME AND EXPENDITURE-RELATIONSHIP BETWEEN FINAL INTERNAL CONSUMING SECTORS (HOUSEHOLDS AND GOVERNMENT) AND THE REMAINING SECTORS, 1952–53

£(million)
Sources of FundsSalaries and WagesOther Factor ReceiptsIndirect TaxesTotal
Farming25.1127.40.7153.2
Forestry and logging3.62.70.16.4
Hunting, fishing, etc.1.01.4..2.4
Mining4.81.1..5.9
Manufacturing, primary produce processing12.26.4..18.6
Manufacturing, other91.335.432.9159.6
Building and construction30.618.30.349.2
Public utilities7.15.0..12.1
Transport and communications47.911.00.559.4
Wholesale and retail trade51.461.426.7139.5
Banking and insurance10.810.40.421.6
Services50.036.84.291.0
          Totals335.8317.365.8718.9
 Salaries and WagesOther Factor ReceiptsTotal
Sales of factor services—
  Households1.822.824.6
  Government16.40.116.5
  Rest of the world..−4.7−4.7
 ....36.4
Capital formation—
  Households..34.8..
  Government..10.7..
 ....45.5
Indirect taxes paid by households....1.5
          Total income....802.3
Disposition of FundsHousehold PurchasesGovernment PurchasesSubsidiesTotal
Farming18.51.2..19.7
Forestry and logging0.40.3..0.7
Hunting, fishing, etc.0.81.3..2.1
Mining1.20.20.11.5
Manufacturing, primary produce processing15.5....15.5
Manufacturing, other170.46.10.6177.1
Building and construction38.927.0..65.9
Public utilities7.11.76.69.4
Transport and communications18.83.30.622.7
Wholesale and retail trade104.70.912.5118.1
Banking and insurance16.01.50.718.2
Services59.842.0..101.8
        Totals452.185.515.1552.7
Consumption of factor services—
  Households....24.6..
  Government....16.5..
    41.1
Imports from rest of the world—
  Households....49.1..
  Government....18.2..
 ......67.3
Depreciation......2.6
Indirect taxes paid by households......1.5
Savings......137.1
        Total expenditure......802.3

Table 14. DOMESTIC INCOME AND EXPENDITURE—RELATIONSHIP BETWEEN FINAL INTERNAL CONSUMING SECTORS (HOUSEHOLDS AND GOVERNMENT) AND THE REMAINING SECTORS, 1954–55

£(million)
Sources of FundsSalaries and WagesOther Factor ReceiptsIndirect TaxesTotal
Farming28.7144.40.4173.5
Forestry and logging4.22.9..7.1
Hunting, fishing, etc.1.01.9..2.9
Mining6.61.4..8.0
Manufacturing, primary produce processing14.66.1..20.7
Manufacturing, other113.447.036.0196.4
Building and construction41.719.7..61.4
Public utilities8.89.9..18.7
Transport and communications59.712.72.374.7
Wholesale and retail trade60.778.133.7172.5
Banking and insurance15.116.20.531.8
Services59.535.34.999.7
          Totals414.0375.677.8867.4
 Salaries and WagesOther Factor ReceiptsTotal
Sales of factor services—
  Households2.127.729.8
  Government21.20.621.8
  Rest of the world..−5.9−5.9
 ....45.7
Capital formation—
  Households..48.0..
  Government..17.0..
 ....65.0
Indirect taxes paid by households....2.1
          Total income....980.2
Disposition of FundsHousehold PurchasesGovernment PurchasesSubsidiesTotal
Farming22.81.4..24.2
Forestry and logging0.50.4..0.9
Hunting, fishing, etc1.11.3..2.4
Mining1.70.2..1.9
Manufacturing, primary produce processing20.0....20.0
Manufacturing, other218.64.80.1223.5
Building and construction53.431.3..84.7
Public utilities11.32.10.413.8
Transport and communications25.34.60.230.1
Wholesale and retail trade132.51.111.8145.4
Banking and insurance25.02.5..27.5
Services68.652.1..120.7
        Totals580.8101.812.5695.1
Consumption of factor services—
  Households....29.8..
  Government....21.8..
 ......51.6
Imports from rest of the world—
  Households....65.8..
  Government....16.9..
 ......82.7
Depreciation......3.8
Indirect taxes paid by households......2.1
Savings......144.9
        Total expenditure......980.2

Table 15. CAPITAL ACCOUNT, 1952–53

£(million)
Savings
 Depreciation AllowancesUndistributed Company ProfitsOther SavingsTotal
Farming12.00.7−6.16.6
Forestry and logging0.5....0.5
Hunting, fishing, etc.0.1....0.1
Mining0.60.1..0.7
Manufacturing, primary produce processing1.83.3..5.1
Manufacturing, other7.74.8..12.5
Building and construction1.83.0..4.8
Public utilities1.10.13.34.5
Transport and communications8.10.80.49.3
Wholesale and retail trade5.99.23.618.7
Banking and insurance3.01.6..4.6
Public administration and defence....34.034.0
Services3.30.8..4.1
Households2.6..77.580.1
        Totals48.524.4112.7185.6
        Total savings......185.6
Investments
 Capital FormationChanges in StocksTotal
Farming20.25.325.5
Forestry and logging2.0..2.0
Hunting, fishing, etc.0.1..0.1
Mining1.40.11.5
Manufacturing, primary produce processing4.12.06.1
Manufacturing, other25.51.426.9
Building and construction3.71.55.2
Public utilities18.50.218.7
Transport and communications18.80.118.9
Wholesale and retail trade5.920.126.0
Banking and insurance10.4..10.4
Public administration and defence10.7..10.7
Services10.40.611.0
Households34.8..34.8
        Totals166.531.3197.8
Rest of the world—
  Balance of payments on current account (net overseas investment)....−5.2
  Adjustment for stocks in transit....−7.0
      Total investments....185.6

Table 16. CAPITAL ACCOUNT, 1954–55

£(million)
Savings
 Depreciation AllowancesUndistributed Company ProfitsOther SavingsTotal
Farming13.90.4−5.78.6
Forestry and logging0.6....0.6
Hunting, fishing, etc.0.1..0.40.5
Mining0.60.2..0.8
Manufacturing, primary produce processing1.91.4..3.3
Manufacturing, other11.57.2..18.7
Building and construction2.60.90.64.1
Public utilities1.6..0.62.2
Transport and communications9.41.00.510.9
Wholesale and retail trade9.19.30.819.2
Banking and insurance4.22.7..6.9
Public administration and defence....59.159.1
Services3.21.03.47.6
Households3.8..61.164.9
        Totals62.524.1120.8207.4
        Total savings.....207.4
Investments
 Capital FormationChanges in StocksTotal
Fanning19.32.421.7
Forestry and logging2.5..2.5
Hunting, fishing, etc.0.3..0.3
Mining1.2..1.2
Manufacturing, primary produce processing6.43.910.3
Manufacturing, other26.510.937.4
Building and construction6.43.710.1
Public utilities20.5−0.120.4
Transport and communications19.7..19.7
Wholesale and retail trade14.012.026.0
Banking and insurance10.1..10.1
Public administration and defence17.0..17.0
Services15.2..15.2
Households48.0..48.0
        Totals207.132.8239.9
Rest of the world—
  Balance of payments on current account (net overseas investment)....−39.1
  Adjustment for stocks in transit....6.6
        Total investments....207.4

Table 17. REST OF THE WORLD ACCOUNT, 1952–53

£(million)
Credits (Exports and receipts for services)
 Factor Receipts by SectorsSales of Goods and Services by SectorsTotal
Farming..55.755.7
Forestry and logging......
Hunting, fishing etc...1.11.1
Mining..0.80.8
Manufacturing, primary produce processing..140.3140.3
Manufacturing, other0.116.917.0
Building and construction......
Public utilities......
Transport and communications0.120.220.3
Wholesale and retail trade0.518.619.1
Banking and insurance2.91.64.5
Public administration and defence0.70.41.1
Services0.32.22.5
Households0.7..0.7
Rest of the world..1.61.6
        Totals5.3259.4264.7
        Total credits....264.7
Debits(Imports and payments for services)
 Factor Payments from SectorsPurchases of Goods and Services by SectorsTransfers from SectorsTotal
Farming0.115.8..15.9
Forestry and logging..1.1..1.1
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..20.2..20.2
Public utilities..4.3..4.3
Transport and communications0.116.5..16.6
Wholesale and retail trade2.511.8..14.3
Banking and insurance2.31.3..3.6
Public administration and defence..16.91.318.2
Services0.17.0..7.1
Households..42.96.249.1
Rest of the world..1.6..1.6
        Totals10.0259.47.5276.9
Stocks in transit......−7.0
Balance of payments on current account (net overseas investment)......−5.2
        Total debits......264.7

Table 18. REST OF THE WORLD ACCOUNT, 1954–55

£(million)
Credits (Exports and receipts for services)
 Factor Receipts by SectorsSales of Goods and Services by SectorsTotal
Farming..65.565.5
Forestry and logging......
Hunting, fishing, etc...1.21.2
Mining..0.50.5
Manufacturing, primary produce processing..136.9136.9
Manufacturing, other0.218.819.0
Building and construction..0.10.1
Public utilities......
Transport and communications0.217.617.8
Wholesale and retail trade0.717.718.4
Banking and insurance4.53.17.6
Public administration and defence0.60.41.0
Services0.32.62.9
Households0.9..0.9
Rest of the world..1.81.8
        Totals7.4266.2273.6
        Total credits....273.6
Debit (Imports and payments for services)
 Factor Payments from SectorsPurchases of Goods and Services by SectorsTransfers from SectorsTotal
Farming..12.8..12.8
Forestry and logging..1.2..1.2
Hunting, fishing, etc...0.4..0.4
Mining..0.7..0.7
Manufacturing, primary produce processing0.84.2..5.0
Manufacturing, other5.0127.1..132.1
Building and construction..23.4..23.4
Public utilities..3.5..3.5
Transport and communications1.217.3..18.5
Wholesale and retail trade2.46.1..8.5
Banking and insurance3.81.5..5.3
Public administration and defence..15.41.516.9
Services0.18.12.010.2
Households..58.87.065.8
Rest of the world..1.8 1.8
        Totals13.3282.310.5306.1
Stocks in transit......6.6
Balance of payments on current account (net overseas investment)......−39.1
        Total debits......273.6

Table 19. DEFENCE ACCOUNT (INCLUDED IN DOMESTIC EXPENDITURE ACCOUNT)

£(million)
Credits1952–53 Total1954–55 Total
*In the main sector accounts these receipts have been treated as receipts by Services and the total has been offset against pay and allowances of the armed forces.
Sales of goods and services to sectors*  
  Farming0.20.1
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing....
  Manufacturing, other..0.1
  Building and construction....
  Public utilities....
  Transport and communications0.1..
  Wholesale and retail trade....
  Banking and insurance....
  Public administration and defence....
  Services....
  Households1.72.6
  Rest of the world0.10.2
Other receipts from public administration—
  Subsidies  
  Charge on public revenue24.822.1
  Transfers....
Rates....
Stock change....
Capital formation....
          Total credits26.925.1
Debits1952–53 Total1954–55 Total
Pay and allowances10.612.1
Surplus....
Net output10.612.1
Net factor payments to the rest of the world....
Net domestic output10.612.1
Purchases of goods and services from sectors—
  Farming0.50.6
  Forestry and logging....
  Hunting, fishing, etc.....
  Mining....
  Manufacturing, primary produce processing....
  Manufacturing, other3.31.3
  Building and construction2.52.1
  Public utilities0.10.1
  Transport and communications1.01.1
  Wholesale and retail trade0.50.4
  Banking and insurance0.10.1
  Public administration and defence....
  Services0.30.2
  Households....
  Rest of the world8.07.1
Indirect taxes....
Depreciation....
          Total debits26.925.1

Table 20. TOTAL INTER-INDUSTRY TRANSACTION, 1952–53, INCLUDING NET APPRECIATION OF STOCKS

£(million)
Purchases of/Sales ofIndustrial SectorsFinal DemandTotal Sales
1  Farming2  Forestry and Logging3  Hunting, Fishing, etc.4  Mining5  Manufacturing, Primary Produce Processing6  Manufacturing, Other7  Building and Construction8  Public Utilities9  Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services13 Household Purchases14 Government Purchases15 Rest of World—Exports16 Stocks—Net Appreciation17 Capital Formation
Primary InputsFarming162.70.1....132.022.0......0.20.31.518.51.255.75.320.2319.7
Forestry and logging21.0....0.1..6.2............0.40.3....2.010.0
Hunting, fishing, etc.3........0.10.1..........0.10.81.31.1..0.13.6
Mining4........0.92.12.61.01.2..0.10.61.20.20.80.11.412.2
Manufacturing, primary produce processing51.1......1.47.7....0.1..0.31.415.5..140.32.04.1173.9
Manufacturing, other636.30.80.62.04.677.340.53.617.716.04.111.5170.46.116.91.425.5435.3
Building and construction73.90.3..0.81.37.8..11.45.33.214.113.638.927.0 1.53.7132.8
Public utilities80.9.... 0.72.90.20.20.21.50.42.17.11.7 0.218.536.6
Transport and Communications97.50.30.11.25.48.26.11.15.819.51.93.318.83.320.20.118.8121.6
Wholesale and retail trade1016.30.30.20.41.210.010.72.05.23.32.12.5104.70.918.620.15.9204.4
Banking and insurance113.10.1..0.30.55.61.00.21.56.82.53.716.01.51.6 10.454.8
Services125.90.10.10.40.54.30.50.21.29.23.818.059.842.02.60.610.4159.6
Industrial SectorsNet domestic output13152.56.32.45.918.6126.748.912.158.9112.821.286.824.616.5−4.7....689.5
Rest of world—imports1415.81.10.10.64.9114.420.24.316.511.81.37.049.118.21.6−7.0..259.9
Net indirect taxes150.70.1..−0.1..32.30.3−0.6−0.114.2−0.34.21.5........52.2
Depreciation1612.00.50.10.61.87.71.81.18.15.93.03.32.6........48.5
Capital formation by consuming sectors17................................45.545.5
        Total purchases319.710.03.612.2173.9435.3132.836.6121.6204.454.8159.6529.9120.2254.724.3166.52,760.1

Table 21. TOTAL INTER-INDUSTRY TRANSACTION, 1954–55, INCLUDING NET APPRECIATION OF STOCKS

£(million)
Purchases of/Sales ofIndustrial SectorsFinal Demand
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services13 Household Purchases14 Government Purchases15 Rest of World—Exports16 Stocks—Net Appreciation17 Capital FormationTotal Sales
Primary InputsFarming170.20.1....136.728.5......0.10.32.222.81.465.52.419.3349.5
Forestry and logging21.0....0.1 7.1............0.50.4....2.511.6
Hunting, fishing, etc.3........0.10.2..........0.31.11.31.2..0.34.5
Mining4........0.93.04.11.11.2..0.20.71.70.20.5 1.214.8
Manufacturing, primary produce processing51.4......2.08.8  0.20.10.31.620.0..136.93.96.4181.6
Manufacturing, other638.41.40.62.24.091.049.03.617.416.73.917.0218.64.818.810.926.5524.8
Building and construction72.40.20.10.62.28.5 11.76.47.314.914.853.431.30.13.76.4164.0
Public utilities81.2....0.10.73.60.20.30.31.80.52.311.32.1 −0.120.544.8
Transport and Communications99.00.50.11.45.712.37.81.36.523.12.94.325.34.617.6..19.7142.1
Wholesale and retail trade1018.00.40.20.71.415.313.53.05.84.22.84.7132.51.117.712.014.0247.3
Banking and insurance112.80.10.10.20.56.11.30.21.88.33.15.525.02.53.1..10.170.7
Services124.9....0.20.65.50.70.21.39.84.320.168.652.13.0..15.2186.5
Industrial SectorsNet domestic output13173.17.12.98.020.7160.461.418.772.4138.831.394.829.821.8−5.9....835.3
Rest of world—imports1412.81.20.40.74.2127.123.43.517.36.11.510.165.816.91.86.6..299.4
Net indirect taxes150.4........35.9..−0.42.121.90.54.92.1........67.4
Depreciation1613.90.60.10.61.911.52.61.69.49.14.23.23.8........62.5
Capital formation by consuming sectors17................................65.065.0
        Total purchases349.511.64.514.8181.6524.8164.044.8142.1247.370.7186.5682.3140.5260.339.4207.13,271.8

Table 22. INTER-INDUSTRY TRANSACTIONS CONNECTED WITH GROSS DOMESTIC CAPITAL FORMATION, 1952–53

£(million)
Purchases of/Sales of1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Service13 Household Purchases14 Government PurchasesTotal Sales
Farming11.9..............      1.9
Forestry and logging2................       
Hunting, fishing, etc.3................      0.2
Mining4................0.2     0.2
Manufacturing, primary produce processing5..............................
Manufacturing, other67.70.20.10.41.37.81.11.34.31.80.20.60.427.2 
Building and instruction7300.3..0.70.85.7 11.03.62.810.09.134.8 9.190.9 
Public utilities8..............................
Transport and communications90.90.2 0.10.30.40.10.70.70.2 0.2  3.8
Wholesale and retail trade102.80.1 0.10.40.80.10.41.40.2 0.1  6.4
Banking and insurance11..............................
Services12..............................
Net domestic output130.20.8....0.10.2..3.22.1..........6.6
Rest of world-imports143.70.4..0.11.210.62.41.96.50.90.20.4..1.229.5
        Total purchases20.22.00.11.44.125.53.718.518.85.910.410.434.810.7166.5

Table 23. INTER-INDUSTRY TRANSACTIONS CONNECTED WITH GROSS DOMESTIC CAPITAL FORMATION, 1954–55

£(million)
Purchases of/Sales of1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Service13 Household Purchases14 Government PurchasesTotal Sales
Farming11.6..........................1.6
Forestry and logging2..............................
Hunting, fishing, etc.3..............................
Mining4..............................
Manufacturing, primary produce processing5..............................
Manufacturing, other69.60.50.10.32.27.92.01.42.64.50.11.0..0.332.5
Building and construction71.40.20.10.41.84.1 11.44.66.89.813.048.015.5117.1
Public utilities8..............................
Transport and communications91.10.3..0.10.40.50.20.90.80.5 0.2  5.0
Wholesale and retail trade103.20.2..0.20.51.10.20.91.61.0 0.3 0.29.4
Banking and insurance11..............................
Services12..............................
Net domestic output130.40.8....0.10.10.64.02.6..........8.6
Rest of the world—imports141.90.50.10.21.412.83.41.97.51.20.20.7..1.032.8
Depreciation150.1..........................0.1
        Total purchases19.32.50.31.26.426.56.420.519.714.010.115.248.017.0207.1

Table 24. INPUT-OUTPUT TRANSACTIONS, 1952–53

£(million)
Input/OutputIndustrial SectorsFinal Demand
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services13 Household Purchases14 Government Purchases15 Rest of World—Exports16 Stocks—Net Appreciation17 Capital FormationTotal Sales
Industrial SectorsFarming160.80.1....132.022.0......0.20.31.518.51.255.75.31.9299.5
Forestry and logging21.0....0.1..6.2............0.40.3......8.0
Hunting, fishing, etc.3........0.10.1..........0.10.81.31.1....3.5
Mining4........0.92.12.61.01.0..0.10.61.20.20.80.10.210.8
Manufacturing, primary produce processing51.1......1.47.7  0.1..0.31.415.5..140.32.0..169.8
Manufacturing, other628.60.60.51.63.369.539.42.313.414.23.910.9170.45.716.91.427.2409.8
Building and construction70.9....0.10.52.1..0.41.70.44.14.54.117.9..1.590.9129.1
Public utilities80.9......0.72.90.20.20.21.50.42.17.11.7..0.2 18.1
Transport and communications96.60.10.11.15.17.86.00.45.119.31.93.118.83.320.20.13.8102.8
Wholesale and retail trade1013.50.20.20.30.89.210.61.63.83.12.12.4104.70.918.620.16.4198.5
Banking and insurance113.10.1..0.30.55.61.00.21.56.82.53.716.01.51.6....44.4
Services125.90.10.10.40.54.30.50.21.29.23.818.059.842.02.60.6..149.2
Final DemandNet domestic output13152.35.52.45.918.5126.548.98.956.8112.821.286.824.616.5−4.7 6.6689.5
Rest of world—imports1412.10.70.10.53.7103.817.82.410.010.91.16.649.117.01.6−7.029.5259.9
Net indirect taxes150.70.1..−0.1..32.30.3−0.6−0.114.2−0.34.21.5........52.2
Depreciation1612.00.50.10.61.87.71.81.18.15.93.03.32.6........48.5
        Total input299.58.03.510.8169.8409.8129.118.1102.8198.544.4149.2 495.1109.5254.724.3166.52,593.6

Table 25. INPUT-OUTPUT TRANSACTIONS, 1954–55

£(million)
Input/OutputIndustrial SectorsFinal Demand
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services13 Household Purchases14 Government Purchases15 Rest of World—Exports16 Stocks—Net Appreciation17 Capital FormationTotal Sales
Industrial SectorsFarming168.60.1....136.728.5......0.10.32.222.81.465.52.41.6330.2
Forestry and logging21.0....0.1..7.1............0.50.4......9.1
Hunting, fishing, etc.3........0.10.2..........0.31.11.31.2....4.2
Mining4........0.93.04.11.11.2..0.20.71.70.20.5....13.6
Manufacturing, primary produce processing51.4......2.08.8....0.20.10.31.620.0 136.93.9..175.2
Manufacturing, other628.80.90.51.91.883.147.02.214.812.23.816.0218.64.518.810.932.5498.3
Building and construction71.0....0.20.44.4..0.31.80.55.11.85.415.80.13.7117.1157.6
Public utilities81.2....0.10.73.60.20.30.31.80.52.311.32.1 −0.1 24.3
Transport and communications97.90.20.11.35.311.87.60.45.722.62.94.125.34.617.6..5.0122.4
Wholesale and retail trade1014.80.20.20.50.914.213.32.14.23.22.84.4132.50.917.712.09.4233.3
Banking and insurance112.80.10.10.20.56.11.30.21.88.33.15.525.02.53.1....60.6
Services124.9....0.20.65.50.70.21.39.84.320.168.652.13.0....171.3
Primary InputNet domestic output13172.76.32.98.020.6160.360.814.769.8138.831.394.829.821.8−5.9..8.6835.3
Rest of world—imports1410.90.70.30.52.8114.320.01.69.84.91.39.465.815.91.86.632.8299.4
Net indirect taxes150.4........35.9..−0.42.121.90.54.92.1........67.4
Depreciation1613.80.60.10.61.911.52.61.69.49.14.23.23.8......0.162.5
        Total input330.29.14.213.6175.2498.3157.624.3122.4233.360.6171.3634.3123.5260.339.4207.13,064.7

Table 26. DIRECT PURCHASES PER £100 OF OUTPUT, 1952–53

£
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services
Farming120.31.3....77.75.4......0.10.71.0
Forestry and logging20.3....0.9..1.5............
Hunting, fishing, etc.3........0.1............0.1
Mining4........0.50.52.05.51.0..0.20.4
Manufacturing, primary produce processing50.4......0.81.9....0.1..0.70.9
Manufacturing, other69.57.514.314.81.917.030.512.713.07.28.87.3
Building and construction70.3....0.90.30.5..2.21.70.29.23.0
Public utilities80.3.... 0.40.70.21.10.20.80.91.4
Transport and communications92.21.32.910.23.01.94.62.25.09.74.32.1
Wholesale and retail trade104.52.55.72.80.52.28.28.83.71.64.71.6
Banking and insurance111.01.3 2.80.31.40.81.11.53.45.62.5
Services122.01.32.93.70.31.00.41.11.24.68.612.1
Net domestic output1350.968.868.654.610.930.937.949.255.356.847.758.2
Rest of world-imports144.08.82.94.62.225.313.813.310.05.52.54.4
Net indirect taxes150.21.3..−0.9..7.90.2−3.3−0.17.2−0.72.8
Depreciation164.06.32.95.61.11.91.46.17.93.06.82.2
        Total100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0

Table 27. DIRECT PURCHASES PER £100 OF OUTPUT, 1954–55

£
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services
Farming120.81.1....78.05.7........0.51.3
Forestry and logging20.3....0.7..1.4............
Hunting, fishing, etc.3........0.1............0.2
Mining4........0.50.62.64.51.0..0.30.4
Manufacturing, primary produce processing50.4......1.11.8....0.2..0.50.9
Manufacturing, other68.79.911.914.01.016.729.89.112.15.26.39.3
Building and construction70.3....1.50.20.9..1.21.50.28.41.1
Public utilities80.4....0.70.40.70.11.20.20.80.81.3
Transport and communications92.42.22.49.63.02.44.81.64.79.74.82.4
Wholesale and retail trade104.52.24.83.70.52.88.48.63.41.44.62.6
Banking and insurance110.81.12.41.50.31.20.80.81.53.65.13.2
Services121.5  1.50.31.10.40.81.14.27.111.7
Net domestic output1352.369.269.058.811.832.238.660.557.059.551.755.3
Rest of the world—imports143.37.77.13.71.622.912.76.68.02.12.15.5
Net indirect taxes150.1........7.2..−1.61.79.40.82.9
Depreciation164.26.62.44.41.12.31.66.67.73.96.91.9
        Total100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0

Table 28. DIRECT AND INDIRECT REQUIREMENTS PER £100 OF FINAL DEMAND, 1952–53

£
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services
Farming1127.52.51.82.1100.310.83.61.81.81.43.53.8
Forestry and logging20.7100.10.31.30.61.90.60.40.30.20.30.2
Hunting fishing etc.3  100.0 0.1      0.1
Mining40.20.10.2100.30.80.82.35.81.20.30.70.8
Manufacturing, primary produce processing50.80.20.40.5101.62.40.80.40.50.31.21.4
Manufacturing, other617.010.519.322.116.8123.940.419.918.912.418.713.7
Building and construction70.90.30.41.81.11.0100.62.82.21.110.54.0
Public utilities80.60.20.30.31.01.00.6101.40.41.01.41.8
Transport and communications94.32.14.312.16.83.57.34.8106.511.26.93.7
Wholesale and retail trade106.73.16.74.46.13.810.010.44.9102.97.23.2
Banking and insurance112.11.70.73.82.12.32.12.22.24.3107.13.5
Services123.72.04.05.33.52.32.02.62.26.211.3114.6

Table 29. DIRECT AND INDIRECT REQUIREMENTS PER £100 OF FINAL DEMAND, 1954–55

£
1 Farming2 Forestry and Logging3 Hunting, Fishing, etc.4 Mining5 Manufacturing, Primary Produce Processing6 Manufacturing, Other7 Building and Construction8 Public Utilities9 Transport and Communications10 Wholesale and Retail Trade11 Banking and Insurance12 Services
Farming1128.32.61.52.01011.33.61.41.81.22.84.4
Forestry and logging20.6100.20.21.1..1.80.60.20.30.10.20.2
Hunting, fishing, etc.3....100.0..0.10.1..........0.2
Mining40.20.10.2100.40.80.93.04.81.20.30.80.7
Manufacturing, primary produce processing50.90.30.30.4101.92.30.80.30.50.30.91.4
Manufacturing, other615.413.115.920.514.4123.539.214.117.39.614.515.5
Building and construction70.80.30.52.11.01.400.71.72.00.99.31.8
Public utilities80.70.20.21.01.01.00.6101.50.51.01.21.8
Transport and communications94.63.13.711.57.14.37.73.9106.211.27.34.3
Wholesale and retail trade106.83.05.75.36.24.710.510.04.7102.67.04.4
Banking and insurance111.81.53.02.31.92.12.01.72.24.4106.44.4
Services122.90.50.82.62.82.21.91.91.95.59.3114.2

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 on 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 718). A current surplus or net overseas investment means in this context that a certain portion of the gross national product has been expended on or disposed of—in the same way as other portions of the gross national product are expended on private consumption, Government consumption, or the formation of new physical capital assets—to create a financial claim on nonresidents. It should be noted that in this instance only the net balance is integrated into a system of national accounts.

Apart from its place 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 1958–59, obtainable from the Government Printer.

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 non-monetary gold which, in essence, represent net additions to gold reserves. The difference between current credits and current debits is the balance of payments surplus (deficit) on current account; it is the measure of the extent to which a country does or does not live within its current income. It is the most significant datum emerging from a balance of payments compilation.

Capital Account.—The capital account records all known changes in claims on, or liabilities to, the rest of the world. Of the items comprising the capital account, the category of net overseas assets—the overseas exchange holdings of New Zealand's banking system—is most widely known and appreciated. Its importance lies in the fact that it records changes in overseas liquid resources which by their nature can be made immediately available for purposes of imports, public debt repayments, capital investments, etc. But within the confines of the balance of payments capital account the movement in net overseas assets is only one of several other capital movements with which it forms an integral part; it is the combination of all these capital changes which must be studied in order to understand the financing of the current surplus or deficit.

Attention is drawn to the item “Other short-term capital movements, including errors and omissions”, which is a balancing residual in the capital account. Apart from certain inevitable errors of estimation and omissions due to incomplete information available, the above-mentioned item gives a valuable pointer to year to year changes in “leads and lags” of short-term commercial credit (time extensions or restrictions in credit facilities to New Zealand exporters or importers by overseas buyers or sellers) and other capital movements not explained elsewhere.

BALANCE OF PAYMENTS AND EXCHANGE RECORD.—There are several very important differences between a balance of payments statement and the statistics of overseas receipts and payments which are included in an exchange record, e.g.—

  1. The former attempts to show all economic transactions between residents of one country and residents of other countries, whereas the exchange record shows only transactions involving remittances:

  2. The import and export figures in the balance of payments are based on trade (Customs) statistics, which enable goods to be valued at a definite and uniform valuation boundary—viz., f.o.b. country of export; 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 785) 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.

BALANCE OF PAYMENTS 1958–59.—During the year ended 31 March 1959, New Zealand's transactions on current account with other countries resulted in a balance of payments deficit of £23.0 m. Although still a deficit, this result compares favourably with the deficit of £51.6 m. incurred in the previous year, 1957–58. In particular, the value of exports once again exceeded the value of imports to the extent of £30.1 m. Indeed the main factor making for an improvement in the balance of payments position was the reintroduction of full import licensing early in 1958. As a consequence the value of imports fell from £273.2 m. in 1957–58 to £233–9 m. in 1958–59. Thus the level of imports in the latest year was more comparable with that of 1954–55 (£228.8 m.) than with any of the preceding three years. Although export prices had recovered during 1958–59, this recovery was not sufficient to prevent the value of exports falling by £4.2 m. during the year.

A further £6.5 m. of the gain from the reduction in the value of imports was lost when the net balance in ‘invisibles’ (i.e., excluding merchandise exports and imports) deteriorated from a deficit of £46.5 m. in both 1956–57 and 1957–58 to a deficit of £53.0 m. in 1958–59. Invisible payments remained constant at £86.9 m. in both 1957–58 and 1958–59, while the corresponding receipts declined from £40.4 m. to £33.9 m. The stability in these other payments was more apparent than real as it was only achieved by a reduction in payments for transportation of £3.2 m. This was due to a decline in import freights as a result of the curtailment of imports. Otherwise it could be said that non-merchandise receipts fell during 1958–59 at the same time as payments rose, if we disregard payments on account of transportation for the moment.

It is well known that New Zealand is a net importer of services. Previously it had been estimated that a surplus of exports over imports of the order of £40 m. to £50 m., was required in order to balance external payments. The latest figures would indicate that a sum of the order of £55 m. may be necessary.

The only other payment item to show a decline was current New Zealand Government expenditure overseas which fell from £9.6 m. to £7.1 m. Income from direct investment in New Zealand rose by £1.9 m. and interest paid by the Government and official institutions by £0.9 m. Both developments are not altogether unexpected in view of the high increase of direct investment in New Zealand by overseas interests during the last five years, and the recent borrowing by the Government and the Reserve Bank.

Insurance receipts declined to £0.2 m., but they had been at the unusually high figure of £1.1 m. in 1957–58. Investment income received by the Government and official institutions fell by £1.4 m. both as a consequence of the liquidation of certain assets to meet current payments and the repayments of the wool loan by France in the previous year. Funds brought into the country by immigrants fell by £0.9 m. at the same time as the outward remittance of emigrants' funds increased by £1.1 m.

An examination of New Zealand's balance of payments with individual monetary areas reveals several significant points. The first is that, although there was a general reduction of imports, the United Kingdom was the area most affected by the reintroduction of import licensing. Imports from this area fell from £1470 m. in 1957–58 to £120.7 m. in 1958–59 and the percentage of New-Zealand's total imports from 53.8 to 51.6. Imports from other sterling countries were lower by £2.0 m., leaving a severe trade imbalance with these countries of £42.4 m., an improvement of only £1.4 m. on 1957–58. Imports from dollar countries, the two most important of which are the United States of America and Canada, were reduced by £5.3 m., from O.E.E.C. countries by £3.0 m. and from other countries by £2.9 m.

The changes in the direction of export trade are interesting. The total value of exports was £264.0 m. as compared with £268.2 m. in 1957–58. Of this total the United Kingdom bought 57.8 per cent as compared with 57.6 per cent in 1957–58, while the rest of the sterling area took 7.0 per cent as compared with 7.1 per cent. Considerable sales of wool to western European countries and to the U.S.S.R. during 1957–58 were not sustained in the ensuing year and exports to O.E.E.C. countries and other countries fell by £14.2 m. and £5.8 m. respectively. This meant a decline in the share of exports from 18.9 per cent to 13.8 per cent in the case of O.E.E.C. countries and from 6.0 per cent to 3.9 per cent for other countries. On the other hand the share of exports taken by the United States of America and Canada increased from 10.1 per cent to 17.4 per cent of the total. In money values, exports to the United States of America and Canada increased from £23.3 m. in 1956.57, to £27.2 m. in 1957–58, and £45.9 m. in the latest year. The result was a record balance of payments surplus with the two countries of £17.1 m., principally due to a steep rise in meat exports.

The capital account shows how the deficit on current account was financed. In 1958–59 direct investment in New Zealand by overseas firms and persons amounted to £13.2 m., while the corresponding direct investment overseas by New Zealand residents was £1.1 m. Both figures were at levels comparable with recent years. Although direct investment in New Zealand was higher than in either 1956–57 or 1957–58 (£9.9 m. and £11.9 m. respectively) this was achieved by building up inter-company indebtedness and net branch assets rather than by increasing the paid-up capital of New Zealand subsidiaries. The net assets of branches of companies located in other sterling countries in particular rose from less than £0.1 m. in 1957–58 to £1.4 m. in 1958–59 while those of branches of United States and Canadian companies increased by a record amount of £0.4 m. This figure may be compared with a decrease of £0.3 m. in the previous year. Direct investment by New Zealand companies overseas continued the pattern of 1957–58.

The net inflow of direct investment funds was, therefore, £12.2 m. and accounted for 53 per cent of the deficit on current account. The remaining 47 per cent was more than covered by £39.6 m. of Government borrowing—£200 m. in London and £19.6 m. in New York. The purpose and the result of this Government borrowing was to replenish the net overseas assets of the banking system. These reserves constitute New Zealand's supply of international cash. By January 1958 they had fallen to the critically low level of £42.6 m. The proceeds of the 1957–58 export season were not sufficient to restore them to a satisfactory level and it was only possible to raise them by £25.1 m. during 1958–59 in spite of nearly £40 m. Government borrowing overseas.

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 769–779.

£(N.Z.)000
Current Account1954–551955–561956–571957–581958–59
Credits
Exports f.o.b.237,050261,100271,200268,150263,950
Non-monetary gold     
Transportation9,15011,5509,80011,40011,000
Travel2,0002,4503,1503,5502,950
Insurance1501504001,050200
International investment income—
  Income from direct investment2,1501,9001,8001,8001,750
  Other private investment2,5501,8001,9502,0502,500
  Government and official institutions2,7003,2003,8003,3001,950
        Totals7,4006,9007,5507,1506,200
Government transactions—
  Foreign Government expenditure550600800700600
  New Zealand Government receipts4508009501,850950
        Totals1,0001,4001,7502,5501,550
Miscellaneous receipts2,8004,0004,8506,0004,600
Unilateral transfers—
  Personal remittances and other donations and transfers3,7503,7003,8003,9003,800
  Migrants' funds1,5502,1502,4003,3502,450
  Legacies1,2001,3001,6501,4001,100
        Totals6,5007,1507,8508,6507,350
        Total credits266,050294,700306,550308,500297,800
£(N.Z.)000
Current Account1954–551955–561956–571957–581958–59
Debits
Imports f.o.b.228,800249,450244,250273,200233,900
Non-monetary gold..........
Transportation27,40029,30029,80031,80028,600
Travel5,9006,6006,7006,8507,800
Insurance8008009001,0001,200
International investment income—
  Income from direct investment11,40010,95011,40010,90012,800
  Other private investment1,7507002,5502,0002,050
  Government and official institutions3,0003,2503,4003,7004,600
  Local authority interest200300200150150
        Totals16,35015,20017,55016,75019,600
Government transactions—
  New Zealand Government expenditure9,0006,7506,1009,5507,050
        Totals9,0006,7506,1009,5507,050
Miscellaneous payments5,9507,55010,70010,75011,500
Films7501,0009009001,100
Unilateral transfers—
  Government contribution to Colombo Plan1,0001,0001,0007501,000
  Personal remittances and other donations and transfers4,3003,4003,8503,8503,650
  Migrants' funds3,1503,2002,9003,0004,050
  Legacies1,5001,3501,4001,6501,300
        Totals9,9508,9509,1509,25010,000
        Total debits304,900325,600326,050360,050320,750
Net Balance
Merchandise transactions f.o.b.8,25011,65026,950− 5,05030,050
Non-monetary gold..........
Transportation− 18,250− 17,750− 20,000− 20,400− 17,600
Travel− 3,900− 4,150− 3,550− 3,300− 4,850
Insurance− 650− 650− 50050− 1,000
International investment income− 8,950− 8,300− 10,000− 9,600− 13,400
Government transactions− 8,000− 5,350− 4,350− 7,000− 5,500
Miscellaneous receipts and payments− 3,150− 3,550− 5,850− 4,750− 6,900
Films− 750− 1,000− 900− 900− 1,100
Unilateral transfers− 3,450− 1,800− 1,300− 600− 2,650
          Balance on current account− 38,850− 30,900− 19,500− 51,550− 22,950

Minus (-) sign denotes excess of imports over exports or payments over receipts.

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
1954–55
Merchandise transactions24,500−32,850− 4,05035018,1002,2508,250
Non-monetary gold..............
Transportation− 14,550− 150− 1,250..− 1,800− 550− 18,250
Travel− 3,050− 650− 50..− 50..− 3,900
Insurance− 450− 300100......− 650
International investment income− 7,100− 300− 1,750..100150− 8,950
Government transactions− 4,600− 3,200− 400..50150− 8,000
Miscellaneous− 400− 1,200− 1,200..− 300− 50− 3,150
Films− 150− 100− 500......− 750
Unilateral transfers450− 3,050250..− 500− 600− 3,450
          Balance on current account− 5,350−41,800− 8,85035015,6001,350−38,850
1955–56
Merchandise transactions29,900−37,850− 6,85075022,2503,50011,650
Non-monetary gold..............
Transportation− 14,45050− 800..− 1,650− 900− 17,750
Travel− 3,550− 400− 50..− 10050− 4,150
Insurance− 6005050....50− 650
International investment income− 5,750− 100− 2,500..100 − 8,300
Government transactions− 2,650− 2,400− 200..50− 150− 5,350
Miscellaneous− 1,100− 650− 1,200..− 550− 50− 3,550
Films− 150− 150− 700......− 1,000
Unilateral transfers1,250− 2,550100..− 250− 350− 1,800
          Balance on current account2,900−44,000−12,25075019,8501,950−30,900
1956–57
Merchandise transactions32,650−39,800− 50060033,65030026,950
Non-monetary gold..............
Transportation−15,200− 750− 1,000..− 2,050− 1,000−20,000
Travel− 3,000− 45050..− 100− 50− 3,550
Insurance− 300− 200........− 500
International investment income− 7,050− 400− 2,800..20050−10,000
Government transactions− 2,650− 1,850300..100− 250− 4,350
Miscellaneous− 2,500− 850− 2,000..− 45050− 5,850
Films− 150− 150− 600......− 900
Unilateral transfers1,550− 2,100100..− 450− 400− 1,300
          Balance on current account3,350−46,550− 6,45060030,900− 1,400−19,500
1957–58
Merchandise transactions7,350−43,80080080025,4004,350− 5,050
Non-monetary gold..............
Transportation−17,200900− 900..− 1,900− 1,300−20,400
Travel− 3,000− 20050..− 100− 50− 3,300
Insurance− 200300− 50......50
International investment income− 5,900− 400− 3,850..400150− 9,600
Government transactions− 4,800− 1,950− 150..100− 200− 7,000
Miscellaneous− 2,050− 900− 1,400..− 35050− 4,750
Films− 150− 100− 650......− 900
Unilateral transfers1,700− 1,60050..− 400− 350− 600
          Balance on current account−24,250−47,750− 6,10080023,1502,550−51,550
1958–59
Merchandise transactions31,850−42,40024,80025014,2001,40030,050
Non-monetary gold..............
Transportation−14,050850− 900..− 2,900− 600−17,600
Travel− 3,400− 1,20050..− 15050− 4,850
Insurance− 800− 150− 100..50..− 1,000
International investment income− 8,150− 1,250− 4,150..10050−13,400
Government transactions− 1,900− 3,100− 200..50− 350− 5,500
Miscellaneous− 3,800− 700− 1,800..− 550− 50− 6,900
Films− 250− 150− 700..  − 1,100
Unilateral transfers550− 2,650150..− 400− 300− 2,650
        Balance on current account50−50,75017,05025010,400100−22,950

Minus (-) sign denotes excess of imports over exports or payments over receipts.

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 775–779, 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 Account1954–551955–561956–571957–581958–59
Increase in Assets
Long-term capital (private)—
  New Zealand direct investment overseas1,6508001,5501,6001,050
  Other long-term capital movements−1,000...−250..
Long-term capital (Government)—
  Government investments3,7001,450− 750200−100
Long-term capital (official and banking institutions)—
  New Zealand Wool Commission100100100100100
  Wool credit to France....−1,250−3,750..
  Wool credit to Czechoslovakia−1,000........
Short-term capital (Government)—
  Government cash balances1,950−5,400..300100
Short-term capital (official and banking institutions)—
  Net overseas assets−34,800−9,4504,650−39,60025,050
  Monetary gold..........
Other short-term capital movements, including errors and omissions14,550....3004,700
        Total increase in assets−14,850−12,5004,300−41,10030,900
Increase in Liabilities
Long-term capital (private)—
  Overseas direct investment in New Zealand12,75014,7009,85011,85013,200
  Other long-term capital movements..4,700−350..2,300
Long-term capital (Government)—
  Public debt11,600−1,8509,750−25039,600
  Local authority debt−450....−500−1,100
  Other−50−50−200−200−150
Short-term capital (Government)—
  Other than cash balances150550−300−450..
Other short-term capital movements, including errors and omissions..3505,050....
        Total increase in liabilities24,00018,40023,80010,45053,850
Net Balance
Balance on capital account−38,850−30,900−19,500−51,550−22,950

Minus (-) sign denotes a decrease in assets or liabilities.

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, or 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
1956–57
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)163,90016,05022,95065052,85010,250266,700
  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.166,45016,95023,25070053,20010,550271,200
1957–58
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)151,90018,20026,85095050,10015,800263,800
  Plus adjustment for parcel post20015050......400
  Plus adjustment for relief supplies..300....300200800
  Plus exports from Cook Islands and Western Samoa1,000100250..100..1,450
  Plus exports of ships' stores and bunkers1,2005050..100501,450
  Plus sale of vessels and aircraft50200........250
Exports (adjusted) f.o.b.154,35019,00027,20095050,60016,050268,150
1958–59
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)149,90017,60045,55050036,1009,950259,550
  Plus adjustment for parcel post20025050......550
  Plus adjustment for relief supplies100350....250250900
  Plus exports from Cook Islands and Western Samoa1,300100250..50 1,700
  Plus exports of ships' stores and bunkers1,05050....50501,150
  Plus sale of vessels and aircraft..100........100
Exports (adjusted) f.o.b.152,55018,45045,85050036,45010,250263,950

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 the 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 either on the basis of “current domestic value” or c.i.f. 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
1956–57
Imports f.o.b. (excluding imports from Western Samoa)126,95056,35023,75010019,05010,150236,350
  Plus imports of vessels and aircraft6,550......400..7,000
  Plus imports into Cook Islands and Western Samoa450550200..1001001,400
  Less imports of cinematographic films− 150− 150− 200......− 500
Imports (adjusted) f.o.b.133,80056,75023,75010019,55010,250244,250
1957–58
Imports f.o.b. (excluding imports from Western Samoa)144,40062,20026,05015024,95011,550269,250
  Plus imports of vessels and aircraft2,200..100..200..2,500
  Plus imports into Cook Islands and Western Samoa400600250.501501,450
Imports (adjusted) f.o.b.147,00062,80026,40015025,20011,700273,200
1958–59
Imports f.o.b. (excluding imports from Western Samoa)117,30059,45020,75025022,0008,650228,400
  Plus imports of vessels and aircraft3,00070050..150..3,900
  Plus imports into Cook Islands and Western Samoa400700250..1002001,600
Imports (adjusted) f.o.b.120,70060,85021,05025022,2508,850233,900

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 1958–59.

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
  1952–5368.64.611.90.311.53.1100.0
  1953–5467.35.48.20.415.03.7100.0
  1954–5566.45.97.40.416.23.7100.0
  1955–5664.65.78.60.316.44.4100.0
  1956–5761.46.28.60.319.63.9100.0
  1957–5857.67.110.10.318.96.0100.0
  1958–5957.87.017.40.213.83.9100.0
Imports (f.o.b.)—
  1950–5160.020.69.00.94.74.9100.0
  1951–5254.619.912.40.38.24.7100.0
  1952–5354.119.612.60.39.04.4100.0
  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
  1956–5754.823.29.70.18.04.2100.0
  1957–5853.823.09.70.19.24.3100.0
  1958–5951.626.09.00.19.53.8100.0

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 1956–57 to 1958–59, 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 781—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 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).

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
Exports f.o.b.166,45016,95023,25070053,20010,550271,200
Non-monetary gold..............
Transportation8,600650250..250509,800
Travel1,0001,750400......3,150
Insurance350..50......400
International investment income—
  (a)Income from direct investment overseas4501,30050..50501,800
  (b)Other private investment income7501,050....150..1,950
  (c)Interest on investments 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 from 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 credits189,80025,35025,60070054,30010,700306,550
Debits
Imports f.o.b.133,80056,75023,75010019,55010,250244,250
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 Zealand6,3502,3002,650..100..11,400
  (b) Other private investment income2,050450....50..2,550
  (c) Interest on Government debt3,300..100......3,400
  (d) Interest on local authority debt200..........200
Government transactions—
  Current Government expenditure2,9002,350500..503006,100
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 debits186,45071,90032,05010023,40012,100326,050
Balance on current account (surplus +; deficit -)+ 3,350−46,550− 6,450+ 600+ 30,900− 1,400−19,500
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..4,500..3,550..850....
  (b) New Zealand direct investment overseas900..500..........
  (c) Other long-term capital movements−1,600−1,700− 450− 900− 100100....
Long-term capital (Government)—
  (a) Government investments− 750..............
  (b) Public debt..5,000..300..4,450....
  (c) Local authority debt................
  (d) Other..........− 200....
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− 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)8,050....44,150..1,150600..
Multilateral transfers
    Balance on capital account+3,350−46,550− 6,450+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..950......9,850
  (b) New Zealand direct investment overseas50..100..1,550..
  (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............
  (d) Other..........− 200
Long-term capital (official and banking institutions)—
  (a) New Zealand Wool Commission........100..
  (b) Wool credit to France− 1,250......− 1,250..
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 omissions)33,050....1,500..5,050
Multilateral transfers
    Balance on capital account+30,900−1,400−19,500

REGIONAL BALANCE OF PAYMENTS 1957–58

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.154,35019,00027,20095050,60016,050268,150
Non-monetary gold..............
Transportation8,5502,050600..10010011,400
Travel1,0001,950550..50..3,550
Insurance650400 ......1,050
International investment income—
  (a) Income from direct investment overseas5001,300− 500..4001501,800
  (b) Other private investment income7001,250100......2,050
  (c) Interest on investments of Government and official institutions3,200......100..3,300
Government transactions—
  (a) Expenditure by foreign Governments in New Zealand100200100..150150700
  (b) New Zealand Government current receipts from overseas1,050550250......1,850
Miscellaneous receipts3,5001,200550..700506,000
Unilateral transfers—
  (a) Personal remittances and other donations and transfers2,3001,100400..100..3,900
  (b) Immigrants' lands2,250900100..100..3,350
  (c) Legacies95040050......1,400
        Total credits179,10030,30029,40095052,30016,500308,500
Debits
Imports f.o.b.147,00062,80026,40015025,20011,700273,200
Transportation25,7501,1501,500..2,0001,40031,800
Travel4,0002,150500..150506,850
Insurance85010050......1,000
International investment income—
  (a) Income from direct investment in New Zealand5,1502 6503,050..100..10,900
  (b) Other private investment income1,500300200......2,000
  (c) Interest on Government debt3,500..200......3,700
  (d) Interest on local authority debt150..........150
Government transactions—
  Current Government expenditure5,9502,700500..503509,550
Miscellaneous payments5,5502,1001,950..1,05010010,750
Films150100650......900
Unilateral transfers—
  (a) Government contribution to Colombo Plan..750........750
  (b) Personal remittances and other donations and transfers1,5501,400100..4503503,850
  (c) Emigrants' funds1,3501,200350..100..3,000
  (d) Legacies90065050..50..1,650
        Total debits203,35078,05035,50015028,15013,950360,050
Balance on current account (surplus +; deficit -)−24,250−47,750− 6,100+ 800+23,150+ 2,550−51,550
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..1,800..− 900....
  (b) New Zealand direct investment overseas− 100..1,300..− 100......
  (c) Other long-term capital movements− 800− 750− 250100− 250− 150....
Long-term capital (Government)—
  (a) Government investments− 1,350..1,550..........
  (b) Public debt......250..− 500....
  (c) Local authority debt..− 500............
  (d) Other..........− 200....
Long-term capital (official and banking institutions)—
  (a) New Zealand Wool Commission100..............
  (b) Wool credit to France................
Short-term capital (Government)—
  (a) Government cash balances250..............
  (b) Other......− 450........
Short-term capital and monetary gold (official and banking institutions)—
  (a) Net overseas assets−39,600..............
  (b) Monetary gold................
Other short-term capital movements (including errors and omissions)24,750....48,850..7,500800..
Multilateral transfers
Balance on capital account−24,250−47,750−6,100+800
O.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long-term capital (private)—
  (a) Overseas direct investment in New Zealand..2,200......11,850
  (b) New Zealand direct investment overseas350..100..1,600..
  (c) Other long-term capital movements50......− 1,250− 1,000
Long-term capital (Government)—
  (a) Government investments........200..
  (b) Public debt..........− 250
  (c) Local authority debt..........− 500
  (d) Other..........− 200
Long-term capital (official and banking institutions)—
  (a) New Zealand Wool Commission........100..
  (b) Wool credit to France− 3,750......− 3,750..
Short-term capital (Government)—
  (a) Government cash balances........300..
  (b) Other..........− 450
Short-term capital and monetary gold (official and banking institutions)—
  (a) Net overseas assets........39,600..
  (b) Monetary gold............
Other short-term capital movements (including errors and omissions)28,700..2,450..300..
Multilateral transfers
Balance on capital account+23,150+2,550−51,550

REGIONAL BALANCE OF PAYMENTS 1958–59

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.152,55018,45045,85050036,45010,250263,950
Non-monetary gold..............
Transportation8,3002,400100....20011,000
Travel1,0001,500450......2,950
Insurance150.....50..200
International investment income—
  (a) Income from direct investment4001,450− 500..350501,750
  (b) Other private investment income1,3501,150.......2,500
  (c) Interest on investments of Government and official institutions1,950..........1,950
Government transactions—
  (a) Expenditure by foreign Governments in New Zealand50200200..10050600
  (b) New Zealand Government current receipts from overseas200650100......950
Miscellaneous receipts2,5001,500450..150..4,600
Unilateral transfers—
  (a) Personal remittances and other donations and transfers2,300950450..100..3,800
  (b) Immigrants' funds1,550700150..50..2,450
  (c) Legacies700300100......1,100
        Total credits173,00029,25047,35050037,25010,550297,800
Debits
Imports f.o.b.120,70060,85021,05025022,2508,850233,900
Transportation22,3501,5501,000..2,90080028,600
Travel4,4002,700500..150507,800
Insurance950150100......1,200
International investment income—
  (a) Income from direct investment in New Zealand5,5503,8503,250..150..12,800
  (b) Other private investment income1,850..100..100..2,050
  (c) Interest on Government debt4,300..300......4,600
  (d) Interest on local authority debt150..........150
Government transactions—
  Current Government expenditure2,1503,950500..504007,050
Miscellaneous payments6,3002,2002,250..7005011,500
Films250150700......1,100
Unilateral transfers—
  (a) Government contribution to Colombo Plan..1,000........1,000
  (b) Personal remittances and other donations and transfers1,4501,400100..4003003,650
  (c) Emigrants' funds1,8001,700400..150..4,050
  (d) Legacies75050050......1,300
          Total debits172,95080,00030,30025026,85010,450320,750
Balance on current account (surplus +; deficit -)+50−50,750+ 17,050+ 250+ 10,400+ 100−22,950
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..8,250..2,500..700....
  (b) New Zealand direct investment overseas− 200..950..50......
  (c) Other long-term capital movements− 1,150− 5502501,50050350....
Long-term capital (Government)—
  (a) Government investments....− 100..........
  (b) Public debt..20,000......19,600....
  (c) Local authority debt..− 1,100............
  (d) Other..........− 150....
Long-term capital (official and banking institutions)—
  (a) New Zealand Wool Commission100..............
Short-term capital (Government)—
  (a) Government cash balances250..− 200..50......
  (b) Other................
Short-term capital and monetary gold (Official and banking institutions)
  (a) Net overseas assets25,050..............
  (b) Monetary gold................
Other short-term capital movements (including errors and omissions)2,600....47,65037,600..250..
Multilateral transfers
    Balance on capital account+50−50,750+ 17,050+250
O.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long-term capital (private)—
  (a) Overseas direct investment in New Zealand..1,800......13,200
  (b) New Zealand direct investment overseas300..50..1,050..
  (c) Other long-term capital movements− 50   − 1,0001,300
Long-term capital (Government)—
  (a) Government investments........− 100 
  (b) Public debt..........39,600
  (c) Local authority debt..........− 1,100
  (d) Other..........− 150
Long-term capital (official and banking institutions)—
  (a) New Zealand Wool Commission........100..
Short-term capital (Government)—
  (a) Government cash balances........100..
  (b) Other............
Short-term capital and monetary gold (Official and banking institutions)—
  (a) Net overseas assets........25,050..
  (b) Monetary gold............
Other short-term capital movements (including errors and omissions)11,950..50..4,700..
Multilateral transfers
    Balance on capital account+ 10,400+100−22,950

The following diagram shows New Zealand's balance of payments by Monetary Areas for the five years 1954–55 to 1958–59.

SURVEY OF COMPANIES WITH OVERSEAS AFFILIATIONS.—The picture of internationa 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 of 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 the private direct investment item in the capital account (see tables on pages 775–779).

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 overseas residents, 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
1954–55
Form of investment increase—
  Increase in paid-up capital64027040..950
  Increase in net branch assets and intercompany indebtedness6,300− 609105407,690
  Increase in reserves2,0401,210820404,110
        Total increase in investment8,9801,4201,77058012,750
955–56
Form of investment increase—
  Increase in paid-up capital2,240350280..2,870
  Increase in net branch assets and intercompany indebtedness7,480−310200− 1407,230
  Increase in reserves2,4001,1401,020304,590
        Total increase in investment12,1201,1801,500− 11014,690
1956–57
Form of investment increase—
  Increase in paid-up capital3,080590501403,860
  Increase in net branch assets and intercompany indebtedness−9501,9304507302,160
  Increase in reserves2,3901,030340803,840
        Total increase in investment4,5203,5508409509,860
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesTotal, All Countries
*Provisional estimates.
1957–58
Form of investment increase—
  Increase in paid-up capital1,63050230..1,910
  Increase in net branch assets and intercompany indebtedness6,520680−1,4602,1707,910
  Increase in reserves6101,070340202,040
          Total increase in investment8,7601,800−8902,19011,860
1958–59*
Form of investment increase—
  Increase in paid-up capital70032040301,090
  Increase in net branch assets and intercompany indebtedness6,0301,1702601,7009,160
  Increase in reserves1,5001,000400502,950
        Total increase in investment8,2302,4907001,78013,200

The graph now presented shows changes in the overseas direct investment in New Zealand for the five years 1954–55 to 1958–59.

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.
1954–55
Form of investment increase—
  Increase in holdings of paid-up capital64027040..950
  Increase in intercompany indebtedness1,85070870902,880
  Increase in reserves2,0401,210820404,110
          Total increase in investment4,5301,5501,7301307,940
1955–56
Form of investment increase—
  Increase in holdings of paid-up capital2,240350280..2,870
  Increase in intercompany indebtedness1,240220401301,630
  Increase in reserves2,4001,1401,020304,590
          Total increase in investment5,8801,7101,3401609,090
1956–57
Form of investment increase—
  Increase in holdings of paid-up capital3,080590501403,860
  Increase in inter company indebtedness−2,710340400170−1,800
  Increase in reserves2,3901,030340803,840
          Total increase in investment2,7601,9607903905,900
1957–58
Form of investment increase—
  Increase in holdings of paid-up capital1,63050230..1,910
  Increase in intercompany indebtedness3,840630−1,190−403,240
  Increase in reserves6101,070340202,040
          Total increase in investment6,0801,750−620−207,190
1958–59*
Form of investment increase—
  Increase in holdings of paid-up capital70032040301,090
  Increase in intercompany indebtedness2,900−260−90902,640
  Increase in reserves1,5001,000400502,950
          Total increase in investment5,1001,0603501706,680

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 forms part of the increase in intercompany indebtedness shown in the tables on pages 781–783, 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
1954–555403701,240102,160
1955–566904601,880103,040
1956–571,2505002,280204,050
1957–581,4405202,610404,610
1958–591,5407902,450804,860
        Totals, 1954–55 to 1958–595,4602,64010,46016018,720
Dividends Remitted
1954–555302901,140101,970
1955–565602801,880..2,720
1956–579103702,270103,560
1957–589804802,580304,070
1958–591,1507102,260504,170
        Totals, 1954–55 to 1958–594,1302,13010,13010016,490

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 781–782 and finally transferred from there to the balance of payments capital account.

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesTotal, All Countries
*Provisional estimates.
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 investments6,240−530160− 2705,600
1956–57
Net earnings of branches (after tax)2,72075030103,510
Net earnings remitted1,20038090101,680
Increase in net branch assets and other investments1,7601,590505603,960
1957–58
Net earnings of branches (after tax)3,1001,04090204,250
Net earnings remitted1,280620110102,020
Increase in net branch assets and other investments2,68050− 2702,2104,670
1958–59*
Net earnings of branches (after tax)2,5202,080390105,000
Net earnings remitted770970170101,920
Increase in net branch assets and other investments3,1301,4303501,6106,520

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

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesOther CountriesTotal, All Countries
*Provisional estimates.
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)4601,280− 4040501,790
Investment—
  Subsidiaries450− 30− 2040..440
  Branches43052040..1101,100
    Total increase in investment88049020401101,540
1957–58
Net earnings (after overseas taxation)4801,310− 5003901301,810
Investment—
  Subsidiaries− 30120− 50350 390
  Branches− 701,200− 30 1201,220
    Total increase in investment− 1001,320− 803501201,610
1958–59*
Net earnings (after overseas taxation)4001,470− 480330301,750
Investment—
  Subsidiaries− 3020− 30310..270
  Branches− 170910....60800
    Total increase in investment− 200930− 30310601,070

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. 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 appears in the Section on National Income and Expenditure. This review has accordingly taken into consideration the net surpluses or deficits of trading and other accounts not within the Public Account. This analysis has now been supplemented for the years 1955–56 to 1958–59 by a more comprehensive economic classification of the accounts of the Government Sector, copies of which are available from the Government Printer).

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 officers claiming more than one month's salary at any time; interest, loan transactions, and return of deposits; unauthorized expenditure; 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 20 of the Public Revenues Act 1953 enables 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 cost of the various Departments and services on a commercial basis, as distinct from cash payments out of appropriations, referred to at the beginning of this subsection, are published annually in either the annual report of the Department concerned or parliamentary paper B. 1 (Part IV)

ACCOUNTS AND FUNDS OUTSIDE THE PUBLIC ACCOUNT.—In addition to those moneys payable into the Public Account, money paid into the following accounts is also deemed to be public money—Broadcasting Account, Government Accident Insurance Account, Government Insurance Account, Government Superannuation Fund Account, Housing Account, Maori Trustee's Account, Meat Industry Account, Post Office Account, National Provident Fund Account, Public Trustee's Account, State Fire Insurance Account, and such other accounts as from time to time are declared to be such by Order in Council.

Transactions in connection with the majority of these accounts are given in the various Sections of the Year-Book dealing with the relevant activity.

ACCOUNTS AND FUNDS WITHIN THE PUBLIC ACCOUNT.—The records of the Public Account in the books of the Treasury consist of a number of ledger accounts for the special subsidiary funds or accounts, and a number of other accounts established by statute or kept by Treasury under authority of the Public Revenues Act. In these accounts are recorded for each separate fund or account the receipts, payments, and cash balance so that the bank balance in the Public Account is apportioned among the funds and accounts, and balanced itemized statements of the receipts and payments for each of the funds or accounts are prepared for publication.

The use of the terms “fund” and “account” implying some significant distinction is hardly justified. The use of the term “Social Security Fund,” for example, does not imply any technical accounting distinction between the Social Security Fund and the Public Works Account or the other accounts within the Public Account.

The following accounts and funds were included in the Public Account at 1 April 1959: 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, National Roads Fund, and Gas Industry Account.

Particulars of some of the more important accounts are contained in the following pages, while others are dealt with in the appropriate Sections of this volume. The Deposits Account represents only lodgments or withdrawals of (mainly) non-Government moneys. The Loans Redemption Account is dealt with in the subsection on indebtedness.

The figures shown under the various headings of this subsection are on the basis of receipts and payments. In some Sections devoted to the operations of various Departments and activities, the figures are given on an income and expenditure basis and accordingly differ to some extent from those appearing here.

SUMMARY OF PUBLIC ACCOUNT FOR 1957–58 AND 1958–59.—The source of the following table is parliamentary paper B. 6, 1959.

Explanatory Note

  1. 1. Most of the information included in the following table is ascertainable from accounts previously published, but the table presents in summary form the transactions of the 14 accounts within the Public Account and shows their effect on the overall cash position of the Public Account.

  2. 2. In previous years most transfer entries which had no effect on the overall cash surplus or deficit were excluded from both sides of the summary. This year, all transfer entries have been included, except the annual transfer from the Consolidated Fund to the Social Security Fund. The inclusion of the transfer entries has of course no effect on the overall cash surplus or deficit, but enables the combined surplus or deficit in the Consolidated Fund and Social Security Fund to be easily ascertained. For the year ended 31 March 1959 the surplus in these two accounts was as follows:

     £(million)
    Total Consolidated Fund and Social Security Fund Receipts322.1
    Less total Consolidated Fund and Social Security Fund Expenditure305.7
    Balance—being surplus in Consolidated and Social Security Funds£16.4
  3. 3. The table has also been amended to show gross borrowing in New Zealand and overseas. In previous years the table has given net figures for borrowing after allowing for repayment of debt. For the year ended 31 March 1959 gross borrowing totalled £71.2 million, £40.1 million being borrowed overseas.

Included in the “Public Departmental” borrowing in New Zealand is an amount of £4.1 million borrowed from Australian sources. The interest thereon and repayment of principal are to be made in New Zealand and it is therefore included as borrowing in New Zealand.

£(Million)
Year Ended 31 March
19581959

*Includes £933,000 of duty on motor-spirits refunded under the Transport Amendment Act 1958; this comprises refunds to persons entitled to exemption from the additional payment of 1s. a gallon Customs duty from 27 June 1958.

Includes transfer to National Roads Fund.

Expenditure now met from other votes.

§Investment transaction.

Consolidated Fund and Social Security Fund
Taxation receipts—
  Income tax77.8109.4
  Social security charge and social security income tax66.380.6
  Customs duty32.040.0*
  Beer duty7011.3
  Sales tax24.225.8
  Stamp, racing, and estate duties16.317.4
  Other taxation1.41.7
    Total taxation225.0286.2*
Other receipts—
  Interest12.513.8
  Profits from trading undertakings4.83.7
  Departmental receipts17.818.4
    Total Consolidated Fund and Social Security Fund receipts260.1322.1
Expenditure—
  Social services145.5159.9
  Defence23.417.8
  Administration, etc.26.827.8
  Stabilization12.912.9
  Maintenance of works, etc.12.7130
  Development of industry17.222.9
  Interest and management of public debt25.728.6
 264.2282.9
Transfers from Consolidated Fund for—
  Debt repayment8.48.8
  Public Works Account3.35.0
  Defence Fund..9.0
    Total Consolidated Fund and Social Security Fund expenditure275.9305.7
Other Accounts Within the Public Account
Miscellaneous receipts—
  National Roads Fund receipts21.121.8
  Transfer from Consolidated Fund for Defence Fund..9.0
  Excess receipts of trading accounts within the Public Account1.03.8
 22.134.6
Capital receipts—
  Transfers from Consolidated Fund for—
  Debt repayment8.48.8
  Public Works Account3.65.3
  Sinking Fund contributions, etc.3.33.7
  Miscellaneous capital receipts3.73.9
 19.021.7
Receipts from borrowing and sale of investments—
  Borrowing in New Zealand—
    Public and departmental35.224.6
    Post Office Savings Bank§20.56.5
  Borrowing overseas—
    United Kingdom..20.0
    United States of America (short term)..16.5
    United States of America (long term)..3.6
    Total borrowing55.771.2
    Grand Totals356.9449.6
Miscellaneous expenditure—
  Defence Fund2.38.8
  National Roads Fund20.121.2
  Charges and expenses of repaying loans..0.2
 22.430.2
Works and other capital expenditure—
  Expenditure from Public Works Account for—
    Housing8.18.6
    Forest development1.71.8
    Public buildings3.13.0
    Murupara pulp and paper scheme1.0..
  Transfers from National Development Loans Account for—
    Electric supply19.517.0
    Land settlement2.53.0
    State coal mines1.31.1
    Railways5.35.6
    Post Office5.05.0
    Other2.00.9
  State Advances Corporation§9.015.0
  Purchase of miscellaneous investments§12.29.0
 70.770.0
Repayment of loans—
  In New Zealand—
    National savings3.63.2
    Public5.58.1
  Overseas1.10.5
 10.211.8
  Redemption of Treasury bills from Reserve Bank (from proceeds of short-term United States borrowing)..16.5
Overall cash surplus or deficit—
  Increases or decreases in cash balances−22.3+ 15.4
        Grand Totals356.9449.6

ESTIMATES OF RECEIPTS AND EXPENDITURE FOR 1959–60.—The following table supplies a composite account embracing the Consolidated Fund and the Social Security Fund, showing the estimated receipts and payments for 1959–60.

£(m.)
Estimated Receipts1959–60
Consolidated Fund
Taxation—
  Customs duties43.0
  Beer duty12.0
  Sales tax26.5
  Estate and racing duties18.1
  Income tax179.0
  Other taxation1.8
 280.4
Other receipts—
  Interest15.0
  Trading profits3.5
  Departmental18.5
        Total317.4
Interest and debt repayment39.8
Other permanent appropriations7.5
Annual appropriations—
  Stabilization11.8
  Defence19.4
  Development of primary and secondary industries18.5
  Social services (excluding transfer to Social Security Fund)77.0
  Other votes142.3
Supplementary estimates1.0
        Total317.3
Social Security Fund
Transfer from Consolidated Fund104.8
        Total104.8
Administration expenses and emergency benefits2.7
Medical, hospital, etc., benefits19.6
Monetary benefits82.5
        Total104.8

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 are 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.

*In 1959–60 this is included in the Consolidated Fund under “Income tax”, and Social Security Fund receipts are derived wholly by way of transfer.

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.

||Deficit.

Excludes £933,206 of duty on motor-spirits refunded under the Transport Amendment Act 1958; this comprises refunds to persons entitled to exemption from the additional payment of 1s. a gallon Customs duty from 27 June 1958.

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
1958193,580,423193,735,560−155,1376,985,5643,325,700
1959240,376,950239,955,016421,9347,407,498.. 

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. In addition 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.

£
Source1956–571957–581958–59
*See footnote above.
Taxation—
  Customs28,937,75131,982,40139,098,852*
  Beer duty6,753,5217,020,31011,257,551
  Sales tax22,280,91524,221,81025,750,649
  Film hire tax147,218150,081168,873
  Mileage tax....81,856
  Stamp duties6,889,3897,451,4977,193,331
  Death (including gift) duties8,268,3659,003,44510,425,609
  Land tax1,399,8371,308,4551,447,543
  Income tax98,117,73477,787,155109,405,880
Interest on capital liability—
  Electric supply4,592,1785,239,5076,029,507
  Housing account1,352,9021,434,8491,476,888
  Housing construction122,031121,297139,171
  Post Office1,964,6072,179,6942,436,094
  Land settlement1,450,0001,650,0001,700,000
  Maori land development, etc.258,192341,495386,909
  New Zealand National Airways Corporation42,000101,75474,389
  New Zealand Railways716,758....
Interest on other public moneys1,055,3761,323,4981,542,057
Profits on trading undertakings4,254,8224,819,8603,747,701
Departmental receipts17,672,73517,443,31518,014,090
          Totals206,276,330193,580,423240,376,950*

Increased taxation rates, which came into force in 1958, resulted in the following increases in receipts in 1958–59 as compared with 1957–58: Customs taxation £7.1 million, beer duty £4.2 million, sales tax £1.5 million, death (including gift) duties £1.4 million, and income tax £31.6 million. However, in the case of income tax, it should be noted that the 1957–58 receipts were considerably reduced by the rebate of the first £100 of tax payable.

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.

£
Head1956–571957–581958–59
*See footnote on page 791.
Permanent appropriations—
  Civil List171,608186,409176,176
  Debt services—
    Interest22,728,53225,315,92527,277,246
    Amortization12,006,7098,409,7708,844,317
    Administration and management673,318344,5241,299,489
  Superannuation (subsidy and contribution)3,864,0004,620,0004,852,000
  Other items731,099578,603575,438*
        Totals, permanent appropriations40,175,26539,455,23143,024,666*
Annual appropriations—
  Legislative246,256280,479264,749
  Prime Minister's Office20,53224,01421,509
  External Affairs2,191,9751,983,4692,292,732
  Finance—
    Treasury345,182395,580397,680
    Stabilization12,350,86112,930,22812,940,162
    Customs497,915559,090620,988
    Inland Revenue1,508,4511,759,2931,823
    Audit216,552228,021232,786
        Totals, finance14,918,96115,872,21216,015,437
  General administration—
    Public Service Commission130,261137,510137,353
    Internal Affairs3,088,7072,886,5942,714,257
    Island Territories1,196,0921,025,006951,879
    Printing and Stationery1,169,2161,435,5871,408,831
    Marine604,963707,625664,263
    Labour2,039,1242,342,3642,020,904
    Maori Affairs908,226962,125992,303
    Valuation412,870423,886423,674
    Statistics350,055224,373227,232
    Rehabilitation1,064,680988,230960,317
        Totals, general administration10,964,19411,133,30010,501,013
  Law and order—
    Justice1,599,7942,105,7721,975,540
    Crown Law27,70029,69729,661
    Police2,630,0892,885,1533,030,997
        Totals, law and order4,257,5845,020,6225,036,198
  Defence—
    Navy6,467,9865,447,6343,920,000
    Army7,678,0007,051,6485,943,000
    Air9,330,1698,487,4396,140,000
    Defence Construction and Maintenance2,745,1142,453,9981,789,624
        Totals, defence26,221,27023,440,71917,792,624
  Maintenance—
    Public Works and Services13,154,57810,768,20910,694,471
    Roads 1,929,5582,308,653
  Development of primary and secondary industries—
    Lands and Survey1,976,7092,052,9312,040,764
    Forest Service2,436,2642,602,0462,747,269
    Agriculture4,951,2045,527,71410,273,935
    Industries and Commerce432,031483,752494,314
    Tourist and Publicity1,520,9151,042,1031,068,180
    Scientific and Industrial Research1,404,2981,534,9341,658,149
    Mines292,686280,401196,796
    Transport587,369668,943706,303
    Civil Aviation and Meteorological Services3,077,0543,006,7053,678,014
        Totals, development of primary and secondary industries16,678,53117,199,52922,863,724
  Social services—
    Health6,346,5587,108,8207,585,523
    Grants to Hospital Boards12,895,67415,390,25215,774,324
    Education31,826,06834,257,05136,145,183
    War and other pensions8,927,6599,805,06510,962,093
    Contribution to Social Security Fund14,000,000 24,600,000
        Totals, social services73,995,95866,561,18895,067,123
        Totals, annual appropriations162,649,838154,213,299182,858,233
Unauthorized expenditure125,52867,03072,117
Transfer to Defence Fund....9,000,000
Transfer to Public Works Account....5,000,000
        Grand totals202,950,630193,735,560239,955,016*

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], 1959).

Total expenditure of the Consolidated Fund in 1958–59 showed an increase of £46 million, or 24 per cent. Principal changes were transfers from the Consolidated Fund of £24.6 million to the Social Security Fund, £9 million to the Defence Fund, and £5 million to the Public Works Account. Expenditure on debt services increased by £3.4 million, and, as a result of an advance of £5 million to the Dairy Industry, agriculture expenditure increased by £4.7 million. There was a decrease in defence expenditure of £5.6 million on account of the overseas cost of defence being charged to the Defence Fund in 1958–59.

PUBLIC WORKS.—The Public Works Account, once the major construction account, now covers only those development works relating to forestry, State housing construction, and provision of public buildings.

Receipts.—A summary of receipts of the Public Works Account for the last three financial years is contained in the following table.

£
1956–571957–581958–59
* Includes amounts transferred from Consolidated Fund: Public buildings, £1,250,000 in 1956–57, £250,000 in 1957–58, and £250,000 in 1958–59 (from vote “Public Works and Services”); and Forest development, £100,000 in 1956–57, £100,000 in 1957–58 and £100,000 in 1958–59 (from vote “Forest Service”).
Forest development1,600,775*1,638,421*1,780,335*
Housing construction1,607,4741,383,1141,267,455
Irrigation, water supply, and drainage537....
Public buildings1,258,827*390,735*292,335*
Railway construction17,389....
Transfers from National Development Loans Account7,500,0003,000,0007,000,000
Transfers from Consolidated Fund....5,000,000
Surplus from previous year4,151,1713,325,700..
Repayment of loans of capital advances, and recoveries of capital moneys (various)5,6324,90864,791
Miscellaneous215,305151,90164,925
        Totals16,357,1109,894,77915,469,841

Payments.—Particulars of payments from the account for the three financial years 1956–57 to 1958–59 are now given.

£
1956–571957–581958–59

* Expenditure now met from vote “Working Railways Account”'.

Remainder of expenditure met from votes “Public Works and Services”, “Housing Construction”, “Forest Development”, and “Working Railways”.

Forest development1,971,9711,741,5621,769,428
Housing construction9,954,7398,137,8728,602,243
Public buildings2,822,2003,116,2402,968,801
Railway construction38,839**
Murupara development1,629,7121,003,169
        Totals16,417,46113,998,84313,340,472

For the three years concerned, balances at the end of the year were: 1956–57, £4,171,640; 1957–58, £67,575; and 1958–59, £2,196,945.

NATIONAL ROADS FUND.—The National Roads Act 1953 established a National Roads Fund within the Public Account, the revenue of the Fund being 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.

£
1956–571957–581958–59
Receipts
Highways revenue18,421,81019,701,04119,798,322
Contribution from Consolidated Fund1,000,0001,000,0001,500,000
Miscellaneous350,723425,904448,979
Interest23,58317,50026,417
        Totals19,796,11621,144,44521,773,718
Payments
Highways maintenance4,921,9304,819,2794,988,877
Highways construction10,446,4818,035,1578,632,053
Payments to local authorities4,633,1055,347,7235,794,525
Administration and general expenses1,947,2961,870,1281,797,036
Unauthorized expenditure..1,684425
        Totals21,948,81220,073,97121,212,916

The balance of this account at the end of March 1957 was £721,176, at the end of March 1958, £1,791,649, and at the end of March 1959, £2,352,451.

ELECTRIC SUPPLY ACCOUNT.—This account reflects the cash transactions of the Government in the supply of bulk electricity to local distributive organizations such as power boards and municipalities. The principal item of outgo comprises capital expenditure on new power stations (about two-thirds) and on the main trunk transmission system, and operating costs. Receipts and payments for the last three years were as follows.

£
1956–571957–581958–59
*From 1 April 1958 the Account was not subject to taxation.
Receipts
Transfer from National Development Loans Account14,500,00019,500,00017,000,000
Sales of electrical energy and miscellaneous receipts10,076,59611,190,77714,813,425
Other4,306....
        Totals24,580,90230,690,77731,813,425
Payments
Development and generation of electric power20,313,06425,531,19423,145,515
Interest on capital liability4,592,1785,239,5076,029,507
Debt redemption633,533  
Taxation—
  Income tax596,059..*
  Social security charge103,164..*
Subsidy to Government Superannuation Fund43,45949,16951,542
Unauthorized expenditure333....
        Totals26,281,79030,819,87029,226,564

The balances in the account at the end of each of the three years were: 1956–57, £407,275; 1957–58, £278,182; and 1958–59, £2,865,043.

LAND SETTLEMENT ACCOUNT.—Though this account covers numerous and diverse activities in connection with land settlement, four are dominant: the development of Crown land for farming, the development and settlement for farming of Maori land, provision of houses for Maoris, and purchase of housing sections for re-sale or lease. Advances for the purchase of farm units from developed Crown land are made by the State Advances Corporation.

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 1956–57 to 1958–59 is now given.

£
1956–571957–581958–59
Receipts
Transfer from National Development Loans Account1,500,0002,500,0003,000,000
Department of Lands and Survey—
  Capital receipts1,024,2091,406,4131,161,808
  Rents, interest, royalties, etc.1,220,8391,315,9301,387,769
  Land development3,671,6234,589,4943,478,536
  Miscellaneous receipts41,85328,52030,008
  Transfer from Consolidated Fund450,000450,000450,000
Department of Maori Affairs—
  Receipts from land development schemes1,512,3671,563,0861,579,175
  Repayment of advances under Maori Housing Act619,452624,810658,850
  Receipts from rehabilitation of Maori ex-servicemen198,453236,818224,342
  Receipts from other activities48,50635,6658,917
  Transfer from Consolidated Fund205,411209,804214,574
Interest on investments4,578750167
        Totals10,497,29112,961,29012,194,146
Payments
Crown lands5,903,4536,001,6165,782,958
Maori land settlement3,489,1093,436,2923,400,962
Interest on loans and capital liability1,708,1921,991,4952,086,909
Payment in respect of land and improvements acquired for disposal under Land Act 19481,260,7971,261,3391,224,691
Other151,42086,203105,513
        Totals12,512,97112,776,94512,601,033

The balances in the account for each of the three years were: 1956–57, £382,201; 1957–58, £566,545; and 1958–59, £159,659.

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, notably the Working Railways Account and the State Coal Mines Account. The Working Railways Account records the revenue from, and operating costs of, the services under the control of the Railways Department, also the cost of capital improvements (including new rolling stock).

Working Railways Account.—Receipts and payments of the Working Railways Account during the last three years were as follows.

£
1956–571957–581958–59
Receipts
Railway revenue32,181,46434,011,86833,644,890
Miscellaneous receipts989,431798,035976,578
Transfer from National Development Loans Account5,300,0005,300,0005,550,000
Interest121,144102,843123,358
        Totals38,592,03940,212,74640,294,826
Payments
Annual appropriations—
Working Railways38,811,05141,890,17538,979,298
Interest on capital liability716,758....
Subsidy to Government Superannuation Fund362,190386,729285,813
        Totals39,889,99942,276,90439,265,111

At the end of each year the following balances remained in the account: 1956–57, £7,213,271; 1957–58, £5,149,113; and 1958–59, £6,178,827.

State Coal Mines Account.—A statement of receipts and payments of the State Coal Mines Account for the last three years is now presented.

£
1956–571957–581958–59
Receipts
Sales of coal and miscellaneous receipts7,193,3037,583,5007,462,888
Transfer from National Development Loans Account..1,250,0001,050,000
        Totals7,193,3038,833,5008,512,888
Payments
Annual appropriations—
State Coal Mines7,549,0638,767,2898,483,217
Transfer to Loans Redemption Account for redemption of securities145,57686,907..
Subsidy to Government Superannuation Fund8,40810,5648,218
Unauthorized expenditure3,98618,83516,460
        Totals7,707,0338,883,5958,507,895

Balances at the end of March for years 1956–57 to 1958–59 amounted to £62,440, £12,346, and £17,339 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.

£
1956–571957–581958–59
Receipts
Social security charge61,635,22466,256,104..
Social security charge 1957–58 income....10,366,014
Social security income tax....70,248,650
Miscellaneous receipts37,26658,23062,080
Contribution from Consolidated Fund14,000,000..24,600,000
Interest80,73883,082110
Deserted wives' maintenance (recoveries)92,233104,195115,559
Recoveries on account reciprocity arrangements11,0587,9787,643
        Totals75,856,51966,509,589105,400,056
Payments
Administration expenses and emergency benefits2,163,1272,435,8962,466,575
Medical, hospital, etc., benefits16,772,71217,058,30718,655,375
Monetary benefits56,659,93559,396,54668,331,936
Balance of maintenance moneys115301291
Reciprocity benefits10,22810,0669,191
        Totals75,606,11778,901,11689,463,368

The balances remaining in this account for the three years were as follows: 1956–57, £17,056,230; 1957–58, £4,664,703; and 1958–59, £20,601,391.

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.

Particulars of receipts and payments of the National Development Loans Account during each of the last three financial years were as follows.

£
1956–571957–581958–59
Receipts
Stock issued35,184,87935,118,76046,091,225
Advance subscriptions359,34040,0001,579,700
            Totals35,544,21935,158,76047,670,925
Expenditure
Public Works Account7,500,0003,000,0007,000,000
Electric Supply Account14,500,00019,500,00017,000,000
Land Settlement Account1,500,0002,500,0003,000,000
State Coal Mines Account 1,250,0001,050,000
Working Railways Account5,300,0005,300,0005,550,000
Post Office Account5,000,0005,000,0005,000,000
Advances to New Zealand National Airways Corporation..600,000500,000
Contribution on transfer of Christmas Island to Australian administration..1,166,667..
Advances to Tourist Hotel Corporation..265,000402,400
Advance subscriptions from previous year allocated..359,34040,000
            Totals33,800,00038,941,00739,542,400

The balance in the account at the end of each year was as follows: 1956–57, £4,148,174; 1957–58, £365,927; and 1958–59, £8,494,452.

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 1956–57 to 1958–59 amounted to £1,441,388, £1,534,643, and £1,640,200, respectively. Interest on investments amounted to £436,752, £514,372, and £602,670. Payments during the same years amounted to £173,323, £193,875, and £444,710, leaving balances of £15,792,855, £17,647,996, and £19,446,155 in the Fund at 31 March 1957, 1958, and 1959, 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, £3,770,000 in 1954–55, and £9,000,000 in 1958–59, together with interest on investments totalling £4,632,449 to 31 March 1959, and a transfer of £12,079,094, being the balance in the former War Expenses Account. After expenditure of £16,574,233, consisting of £4,491,151 on service expenditure in Korea, £1,000,000 in 1955–56 as an advance payment on a naval vessel, £1,850,656 on service expenditure in Malaya in 1957–58, £400,000 on the purchase, construction, etc., of naval vessels in 1957–58, £8,825,307 overseas expenditure on staff, stores, and equipment, etc., in 1958–59, and £7,119 other expenditure, a balance of £29,697,310 was left in the Fund at 31 March 1959.

30 B—TAXATION

TOTAL TAXATION.—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 Social Security Taxation on Income)Total Taxation
AmountPercentage of Total Taxation (All Sources)Amount
TotalPer Head of Mean PopulationTotalPer Head of Mean Population
 ££s.d. ££s.d.
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
1957–58144,043,259642758.3244,882,30010906
1958–59190,020,5458213262.1305,243,131132158

Excluding the special taxation levied for social security purposes and for the National Roads Fund, taxation revenue in 1958–59 amounted to £204–8 million, an increase of £45.9 million on the 1957–58 figure. Of this revenue £109.4 million, or 53 per cent, was received from direct taxes on income, compared with 49 per cent in the previous year.

The following table shows receipts, under the various heads, of taxation during the last five years.

HeadRevenue for Year Ended 31 March
19551956195719581959
* Excludes £933,206 of duty on motor-spirits refunded under the Transport Amendment Act 1958; this comprises refunds to persons entitled to exemption from the additional payment of 1s. a gallon Customs duty from 27 June 1958.
Consolidated Fund—£££££
  Customs revenue27,968,86530,065,57128,937,75131,982,40139,098,852*
  Beer duty6,208,3596,567,3026,753,5217,020,31011,257,551
  Mileage tax........81,856
  Land tax966,6321,227,6561,399,8371,308,4551,447,543
  Income tax (ordinary)88,316,88090,697,96598,117,73477,787,155109,405,880
  Sales tax22,621,11923,443,49822,280,91524,221,81025,750,649
  Estate duties8,475,6697,750,9867,624,9028,188,0089,165,299
  Gift duties909,476732,824643,463815,4381,260,310
  Racing taxation3,974,1724,065,1554,127,6364,266,6084,135,237
  Duty on instruments1,754,3081,522,3581,496,5331,800,4531,673,868
  Amusement tax416,797440,229462,996501,561518,827
  Adhesive stamps166,60459,76444,90359,929..
  Impressed stamps492,526519,842543,171570,556610,090
  Other stamps taxation101,178183,825214,150252,390255,309
  Film-hire tax135,959142,020147,218150,081168,873
        Totals162,508,544167,418,995172,794,730158,925,155204,830,144*
Social security taxation—
  Social security charge56,175,15159,910,71761,635,22466,256,104 
Social security charge—
  1957–58 income........10,366,014
Social security income tax........70,248,651
        Totals56,175,15159,910,71761,635,22466,256,10480,614,665
National Roads Fund—
  Highways revenue (less rebates)16,082,40317,499,06518,421,80919,701,04119,798,322
        Totals16,082,40317,499,06518,421,80919,701,04119,798,322
Total taxation receipts234,766,098244,828,777252,851,763244,882,300305,243,131*
Taxation receipts per head of mean population—£s.d.£s.d.£s.d.£s.d.£s.d.
  Ordinary (Consolidated Fund)77367717278151701518921
  Social security261362717328110291003514
  National Roads Fund7129829871181558123
        Totals1119911317211541010906132158

Compared with 1957–58 revenue from taxation in 1958–59 showed an increase of £60 million, or 24.6 per cent. In 1958–59 all items of taxation, except racing taxation and duty on instruments, showed increases on the 1957–58 receipts; the items showing significant increases as a result of increased taxation rates in 1958 and the amount of the increases were: Customs revenue, £7.1 million; beer duty, £4.2 million; sales tax, £1.5 million; death duties, £1.4 million; income tax, £31.6 million; and combined social security taxation receipts, £14.4 million. It should be noted that for the year 1958–59 social security receipts from taxation were augmented by the receipt of social security tax on income other than salary or wages derived in the year ended 31 March 1958. The Land and Income Tax Amendment Act 1958 provided for the payment within three years of this social security income tax; taxpayers had the option of paying the whole of this tax by 7 December 1958, in which case a rebate of 5 per cent of the total amount was allowed.

As a result of the additional tax of 1s. per gallon on motor spirits there is a new item, mileage tax, in the Consolidated Fund receipts, this representing additional tax on motor vehicles where their motive power is not wholly derived from motor spirits.

In 1958–59 taxation paid into the Consolidated Fund accounted for 67.1 per cent of the total taxation receipts, social security taxes for 26.4 per cent, and National Roads Fund taxation for 6.5 per cent.

The Social Security Act 1938 provided that, in addition to the special taxation for the purposes of the Fund, payment might be made to the Fund of such other moneys as might be appropriated by Parliament from time to time, and a substantial amount was transferred from the Consolidated Fund each year up to and including 1956–57, and again in 1958–59. The total amount transferred to the Social Security Fund since its inception in 1939–40 to 31 March 1959 was £211.6 million. The following table shows for each of the last ten years the taxation receipts of the Consolidated Fund, the amounts transferred to other accounts, and the taxation receipts of the Social Security Fund plus the amounts of transfers to that Fund.

£
Year Ended 31 MarchConsolidated FundSocial Security Taxation Plus Transfers
Taxation ReceiptsTransfers to—
Social Security FundPublic Works AccountOther Accounts

* War Emergency Account.

National Development Loans Account.

Defence Fund.

§ Defence Fund, £1,000,000; National Development Loans Account £3,500,000.

|| No transfer in this year.

1950103,853,46412,000,000....43,702,590
1951122,180,53814,000,000....49,766,236
1952156,936,93914,000,000..11,774,307*57,612,868
1953154,262,34514,000,00014,635,7214,000,00059,507,938
1954156,195,53514,000,0003,307,0433,500,00063,717,376
1955162,508,54414,000,0003,802,9804,500,000§70,175,151
1956167,418,99514,000,00014,339,917..73,910,717
1957172,794,73014,000,0004,151,171..75,635,224
1958358,925,155..3,325,700..66,256,104||
1959204,830,14424,600,0005,000,0009,000,000105,214,665

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
1948–49464.5422.9130.428.130.8
1949–50526.2482.4135.625.828.1
1950–51659.5612.2157.923.925.8
1951–52675.6625.3200.529.732.1
1952–53709.8658.3199.828.130.4
1953–54786.4735.3206.826.328.1
1954–55853.6802.2234.827.529.3
1955–56897.1843.6244.827.329.0
1956–57945.1886.4252.926.828.5
1957–58992.6930.4244.924.726.3
1958–591,034.6*962.3*305.229.5*31.7*

The following diagram shows the extent to which taxation receipts have increased since the year 1931–32, and also the extent to which social security taxation has contributed towards this increase.

REVENUE FROM TAXATION

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 national roads taxation.

 £££Per Cent
195527,968,8656,208,35934,177,22421.0
195630,065,5716,567,30236,632,87321.9
195728,937,7516,753,52135,691,27220.7
195831,982,4017,020,31039,002,71124.5
195939,098,85211,257,55150,356,40324.6

Information in regard to 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 roading system. The revenues received by the former Main Highways Board from 1922 and a summary of the taxation provisions governing those revenues may be found in earlier 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 for this purpose), registration and licence fees of motor vehicles, heavy traffic licence fees, a mileage 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 TaxationMileage TaxHeavy Traffic FeesTotal
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
19582,344,33630,72614,595,909309,5212,420,54919,701,041
19592,429,13529,67814,500,703365,0372,473,77019,798,323

Taxation receipts for 1954–55 to 1958–59 are not directly comparable with those for previous years, as the full amount of tax (less collection costs and refunds in certain cases) was credited to the National Roads Fund; in earlier years, only a proportion of the tire, mileage, 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. Although it does not affect the table it should be noted that from 27 June 1958 an additional 1s. per gallon tax (reduced to 8d. per gallon on 4 November 1959, and to 4d. per gallon on 22 December 1959) was imposed on motor spirits, and this is credited not to the National Roads Fund but to the Consolidated Fund for general revenue purposes.

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.

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 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 33⅓ per cent additional charge in the case of unearned income imposed by the 1931 amendment. 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 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; and 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, up to 31 March 1959 when it terminated. 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 on swamp drainage, irrigation channels, rabbit proofing of fences, etc., and, in the case of a partnership, applies to the whole business, not to each partner individually.

This 1950 Act as amended in 1951 also provided for testamentary annuities charged on property bequeathed by will, by Court order under the Family Protection Act 1908, or by deed of arrangement, and paid out of income, to be claimed as a deduction.

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 changed the provisions in respect of standard values to be adopted for livestock. Executors may 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. 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.

The Land and Income Tax Amendment Act 1953 provided for increases in various exemptions—personal, to £230; dependent wife, £100; each dependent child or other dependent relative, to £65; and life insurance premiums and superannuation contributions, to £175 maximum. 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 provided 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 exceeded £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 minimum incomes at which aggregation of the incomes of husband and wife took place were increased to £500. The first £500 of the wife's income was taxed at the rate applicable to that amount, after allowing any exemptions to which she was entitled. The balance of the wife's income was aggregated with the income of the husband, and he was allowed the balance of the wife's special exemptions (if any).

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 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 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 of 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. In 1959, this was extended to include events declared to be disasters (e.g., fire, flood, drought, disease among livestock, etc.). The special depreciation allowance was withdrawn as from 8 August 1956 unless a binding contract had been completed before that date. The penalty for tax remaining unpaid after due date was increased from 5 to 10 per cent, subject to a remission of 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 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 are “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 on 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; 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.

During 1957 there was an extensive review of the schedule of depreciation allowances and a substantial number of increased allowances were granted.

For the income year 1956–57 there was a rebate of £100 to each taxpayer (individuals only) or a rebate equal to the amount of tax assessed if less than £100.

A new feature in New Zealand income tax law was introduced by the 1958 Amendment Act. This is the taxation of company dividends in the hands of individual (but not company) shareholders, and the imposition of an excess retention tax on companies which applies if the amount of dividends is less than 40 per cent of the income after taxation.

Dividends received by individual shareholders are to be included as part of their assessable income. After deduction of any exemptions to which the taxpayer is entitled, he is to pay ordinary income tax at normal rates on the total taxable income. The dividend income is not liable for social security income tax, and ordinary income tax on the dividends is to be limited to an average rate of 7s. in the £1. The total taxation payable by the company and by the shareholder on the dividends therefore does not exceed an overall rate of 13s. 6d. in the £1 of company income. This is the same as the maximum rate for individuals. Dividends, whether in cash or in the form of bonus share issues, are exempted if made from capital profits or the writing up of capital assets.

The excess retention tax on insufficient dividend distributions (i.e., where the dividends paid are less than 40 per cent of the company's income after taxation) is at the flat rate of 7s. in the £1 on the amount by which the dividend distribution falls short of the required 40 per cent. If the company was liable to tax at maximum rates, and retained the whole of the residual income, the excess retention tax would result in an overall increase of 1s. 5d. in the £1 on the company's total income.

Companies have a period of ten months after balance date in which dividends may be declared. Certain types of companies are exempt from the excess retention tax. These include co-operative dairy companies, industrial and provident societies, life insurance companies, the New Zealand branches of companies incorporated overseas, and New Zealand subsidiary companies of overseas parent companies if all the ordinary shares are held by overseas companies.

The Land and Income Tax Amendment Act 1959 provided that fully or partly paid bonus shares are to be non-assessable income of the shareholders where the income, from which the bonus share dividend is declared, was derived by the company before 31 March 1957. It also made provision for an adjustment of tax on an insufficient distribution where the required percentage dividend distribution is exceeded in any of the six subsequent years.

The 1958 Amendment Act altered the amounts of the personal and wife's exemptions. The former was reduced from £375 to £338 for the 1958–59 income year and to £300 for subsequent years. The latter was increased from £125 to £162 for 1958–59 and to £200 thereafter. These amendments brought provisional taxpayers on to the same effective basis as taxpayers whose PAYE tax deductions at source were final. The latter retained the previous exemption for the first six months of the income year and received the new exemptions (£300 personal and £200 wife) as from 1 October 1958.

In cases where there is aggregation of the incomes of husband and wife the former practice was that, unless there was an election to receive separate assessments, the combined assessment was issued to the husband and he was responsible for the payment of the tax. Separate assessments are now issued in all cases.

Bona fide payments, incurred in the production of the assessable income, by a husband to his wife (or vice-versa) for services rendered by the wife may now be claimed as a deduction, but services in or in connection with the home are excluded.

Part III of this Amendment Act made a number of changes in the PAYE legislation—the Income Tax Assessment Act 1957. Most of the provisions related to minor machinery changes, or clarifications of the wording of the original Act, and there were also the changes consequent on the alterations to the amounts of the exemptions. Where salary and wage payments made by a private company to a shareholder-employee are irregular, or less than two-thirds of the total income derived as an employee of the company, such payments are generally not liable to deduction at source and are treated as income subject to provisional tax.

In addition to the exemption from the social security charge of the first £100 of the 1957–58 income from other than salary and wages, a rebate equal to 1s. 6d. in the £ on two-thirds of such income for 1930–31, and one-third of the 1931–32 income was allowed.

The 1959 Land and Income Tax Amendment Act limits the income tax payable by a nonresident investment company on income from investments or assets which are used wholly or principally for developing New Zealand. The New Zealand income tax is not to exceed the tax which the company would pay in the country in which it is resident. Territorial Force gratuities of up to £60, and the incomes of visitors, other than public entertainers, who were in New Zealand for not more than 92 days and whose employees were not resident in New Zealand, were exempted from income taxation.

The incomes of both husband and wife are to be £650 before the aggregation of incomes provisions apply. Profits on the sale of depreciated assets may be allowed against the cost of replacement assets, and in some circumstances the purchaser of depreciated property may not be allowed a larger depreciation deduction than that which would have been allowed to the vendor.

This Amendment Act also amended the PAYE legislation by repealing the provisions relating to partial pay-period taxpayers. It provided that where the rates of tax are altered, the altered tax deduction applies to the whole of a then current pay period if it does not exceed one month. Pay-period taxpayers may claim an adjustment of tax deductions based on an averaged weekly income, and the same method is used to determine the tax payable by provisional taxpayers whose incomes do not exceed £1,040. The averaged weekly income adjustment is discussed more fully later in this section.

There was also a No. 2 Amending Act in 1959 which generally came into force on 1 April 1960. The special exemptions are altered to: Personal, £468; dependent wife (or housekeeper), £156; and each dependent child or relative, £78. The notional exemption of £25 for life insurance premiums where the income of the taxpayer did not exceed £1,040 is withdrawn. The basic rates of ordinary income tax are altered to 3s. in every £1 where the taxable income does not exceed £500. The rate increases by 6d. in every £1 for each increase of £100 in taxable income until £900 of taxable income is reached. Above £900 of taxable income, the increase is 3d. in every £1 for each increase of £100 of taxable income, the maximum rate of 12s. being reached at £3,600.

Provisional tax on provisional income becomes payable in two instalments (in August and in February) instead of three instalments.

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, as subsequently amended, are:—

  1. Income tax and social security income tax became one combined tax on income.

  2. The combined tax on salary and wages is 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 are final. The taxpayer is not required to furnish an annual return of income and in such cases there is no “end of year” adjustment of tax by the Commissioner. The taxpayer, however, may furnish a return of income in order to take advantage of provisions for determining tax deductions on the basis of an “averaged” weekly income.

  3. All other individuals (including self-employed), estates, and companies within the scheme, pay provisional tax in three instalments on a provisional declaration of the then current year's income. Provisional tax will be payable in two instalments on income for the year commencing on 1 April 1960. There is 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 involved the payment of income tax for two years' income in one income year, and the Act provided 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 was a normal income.

Employees fall into two classes: 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, for example, where he is entitled to claim for excess life insurance premiums paid.

A pay-period taxpayer may furnish a return of income and thereby claim an adjustment of the tax deductions on the basis of the weekly average of the annual income. The adjustment is calculated as follows:

  1. The average weekly wage is obtained (total wages for year divided by 52).

  2. The tax deduction on the average weekly wage is ascertained from the tax deduction table. Where tax rates, etc., have changed during the year the average of the two or more tax deduction amounts is used.

  3. The tax code used is that which applies to the taxpayer on the last day of the income year.

  4. The weekly tax deduction is multiplied by 52. The amount of tax then becomes the smaller of:

    1. The total of the tax deductions originally made.

    2. The amount of tax as adjusted above.

Other Employees.—Where the taxpayer does not qualify as a 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. There is, however, provision for secondary tax code declarations where the employee has two or more employers at the same time.

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 £156 (as from 1 April 1960) 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 which come into force on 1 April 1960.

  1. 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.

  2. 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.

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.

In previous tables the first two pounds of weekly income were exempted from the social security income tax. One of the objects of this concession was 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 have happened, for example, when the employee received a fluctuating weekly income through the working of irregular overtime. Pay-period taxpayers may now claim adjustment on the basis of the averaged weekly earnings, and in consequence the exemption has been withdrawn. Where this withdrawal would have caused the new tax deduction amount to exceed that provided in the previous table, the earlier tax deduction amount has been retained.

When there is no tax code declaration or tax code certificate, the tax deduction is at the “no declaration” rate shown in the tables. This deduction is at the flat rate of 5s. 6d. in the £1.

Special Tables.—Special tables are provided for shearers and for casual agricultural employees. There are tables of deductions from daily earnings. There is also a table of deductions at a flat rate of 4s. 6d. per £1. This applies to payments of extra emoluments and to secondary employment unless a special tax code is issued by the Commission.

Extra emoluments—e.g., end-of-year bonuses and retrospective wage increases—are treated as separate payments. Secondary employment exists where the taxpayer has two or more employers at the same time. The secondary employers deduct tax according to the flat rate table, while the principal employer uses the normal table.

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. Salary and wage earners who receive more than £1,040 for the year are also provisional taxpayers. Employers make the normal tax deductions and such taxpayers pay provisional tax only on other income, if any.

Tax on provisional incomes is payable in two instalments during the year—on 7 August, and on 7 February. Normally the provisional income is an amount equal to the taxpayer's 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. The Commissioner makes an assessment of tax, and any difference between that assessment and the amounts of tax deducted at source or paid as provisional tax is payable by the taxpayer or credited or refunded to him.

Where the total income of the provisional taxpayer is over £1,040 for the year, the final assessment of tax is according to the main provisions of the Land and Income Tax Act. If the total income is under £1,040, the final assessment procedure is that which applies to a pay-period taxpayer who has claimed an adjustment based on the average weekly earnings. This adjustment procedure has been previously mentioned in these notes.

Remission of Tax in Transitional Year.—Both salary and wage earners and provisional taxpayers had the income tax on the income for the transitional year, which was the 1957–58 income year, remitted in full. This did not apply to companies, whether provisional taxpayers or not. In other respects the 1957–58 income year was treated as a normal income year for ordinary income tax purposes, losses made were carried forward, etc. Salary and wage earners already had social security income tax on salary or wages for 1957–58 deducted at the source. Provisional taxpayers received a remission of the first £7 10s. from the social security income tax on the 1957–58 income, and also a rebate equal to 1s. 6d. in the £1 on two-thirds of income other than salary and wages derived in 1930–31, and on one-third of the same income for 1931–32. The balance was payable by instalments spread over three years.

The Act contained 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 was, in the opinion of the Commissioner, greater than the normal income, the Commissioner determined the amount of the normal income. Any excess income was added to the assessable or non-assessable income for 1958–59.

In determining the amount of the normal income the Commissioner was required to take into account the income of the three preceding years, and, among other things, whether any income had 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 was empowered to take into account any matters which were 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 Transitional Income Tax Appeal Authority has been 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 for the income year ending 31 March 1960 were:

  1. A personal exemption of £300 (£345 if over 65 years of age).

  2. A wife's (or husband's) exemption of £200, diminished £1 for each £1 of the wife's (or husband's) income in excess of £100.

  3. An exemption, not exceeding £200, 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 dependent 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. The maximum may be £250 in the case of a self-employed taxpayer who contributes to an approved superannuation fund.

  6. Absentees are only entitled to the personal exemption.

For the income year commencing on 1 April 1960 these exemptions become: Personal, £468; wife or housekeeper, £156; and £78 for each child. The insurance exemption was not changed.

Equivalent exemption allowances are written into the tax deduction tables under the PAYE system.

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 2½ per cent on cost price for wooden walled and framed buildings to 1 per cent on cost price for buildings of reinforced concrete. There are higher rates for buildings used as cool stores, chemical works, etc. 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.

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. Companies are also liable for excess retention tax where dividend distributions are less than 40 per cent of the income after normal taxation.

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 1960 are as follows.

Debentures Issued by Companies and Local and Public Authorities.—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. 6d. 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 1/100d. for every £1 of taxable income; (ii) where the taxable income exceeds £6,300, 7s. 9d., increased by 1/150d. for every £1 of the taxable income in excess of £6,300, but so as not to exceed in any case the rate of 8s. 6d. per £1.

Other Taxpayers.—On all income not included earlier, 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 10 per cent, with a maximum of £30 from the basic rates is allowed.

PAYE Tax Deductions.—The tax rates quoted do not apply to tax deducted at the source according to the tables of tax deductions. Some examples of these tax deductions are given in the tables which follow. These are the weekly tables, and social security income tax and ordinary income tax are combined to form one deduction. Tax rates or exemption allowances, or both, have been changed on four occasions since the inception of PAYE on 1 April 1958 and the four tables therefore give the history of the tax deductions since that date.

Weekly EarningsNot Entitled to Wife's ExemptionEntitled to Wife's ExemptionEntitled to Exemptions for Wife and for—
One ChildTwo ChildrenThree Children
Operative from 1 April 1958
££s.d.£s.d.£s.d.£s.d.£s.d.
5046046046046046
6060060060060060
7076076076076076
80108090090090090
901440106010601060106
10018201210012001200120
1111110166013601360136
121511102017001500150
13191114010801770166
14114217111451120181
151184111111841411119
1622911601124189155
1728320311641128193
182121124720711691131
192178281124920101171
203272136292251212
25411342231703121374
30601059353441784122
357162725614666115196
4091538186810181117138
45120211191011210099108
501482138312168125511144
Operative from 1 October 1958
££s.d.£s.d.£s.d.£s.d.£s.d.
5046046046046046
6068060060060060
70110076076076076
80155090090090090
91000106010601060106
101480131012001200120
111960175013601360136
1211451111017801500150
131196166120017110166
1424911121671230182
15210111601113168126
162157210116111131610
17320261201111601115
183711211426020101161
19313112168211225102011
20401323216621011259
255169417141034373173
3071210610862951525711
359121874718771017110
4011147107491789838191
451404121081200119710196
501693141711456131431332
Operative from 1 October 1959
££s.d.£s.d.£s.d.£s.d.£s.d.
5046046046046046
6066060060060060
70104076076076076
80142090090090090
901810106010601060106
1012201211012001200120
111630167013601360136
121107106017201500150
1311411146101101780166
14119418614111150181
15240112918101531111
1628811701131193158
17214121511731134198
182191251021711761138
193422105260211011710
2039521522107262221
25501145231983145393
30613551365735124154
3589977561946116640
401011694381578727189
4512173117710161110669165
501563131401326121121201
Operative from 1 April 1960
££s.d.£s.d.£s.d.£s.d.£s.d.
5046046046046046
6064060060060060
70103076076076076
80120090090090090
901360106010601060106
1001800127012001200120
111260166013601360136
1217001800161101500150
131116126019601740166
1411601701261100180
152061116170126117
1625011601116170140
1729620611601116170
18214025020611601116
1921882962502061160
203382140296250206
2541263181131211378330
3066451025264152485
358367536168684603
401031193981428497159
451277115610141110479146
501414613105121810127711167

It should be noted that in the first three tables when the normal wage was less than £20 for the week, but overtime brought the amount to over £20, a different tax deduction table was used. From 1 April 1960 deductions from all overtime payments will be in accordance with the principal table.

The preceding tables may be regarded as giving either the immediate deduction from a particular week's earnings, or the net weekly tax on the average weekly earnings where the taxpayer has exercised the right to claim an adjustment. The net weekly tax referred to is in effect the immediate tax deduction less the weekly value of the refund.

Where the income of a provisional taxpayer is less than £1,040 for the year the amount of tax deductions provided in the tables are applied. The final tax payable is the annual equivalent of a weekly deduction on the average weekly earnings. Where more than one tax deduction table has been in operation during the year the different weekly tax deductions are averaged.

In interpreting the tables as an indication of the incidence of social security and income taxation in New Zealand it should be noted that under the provisions of the Social Security Act a family benefit of £26 per annum up to 1 October 1958 and £39 per annum since that date is paid in respect of each child under sixteen years of age, irrespective of the income of the parents. 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 legislation dealing with estate duty and gift duty is contained in the Estate and Gift Duties Act 1955 and its amendments.

Where the final balance of the dutiable estate of a deceased person exceeds £1,000, estate duty is levied on the amount thereof. Exemptions are provided for the successions of a wife, husband, or infant child of a deceased person, the final balance of whose estate does not exceed £60,000. (For this purpose an infant child is widely defined to include not only an infant adopted child but also an infant stepchild or infant dependant of the deceased.) These exemptions are subject to the following limitations and operate by way of a deduction from the duty of so much as is attributable to the exempted succession or exempted portion of the succession. In the case of a wife, the exemption applies to the value of her succession or £7,500, whichever is the less; in the case of a husband, to the value of his succession or £1,000 whichever is the less; and in the case of an infant child, to the value of the child's succession or £500, whichever is the less. However, the value of the succession to which the exemption applies (or if more than one, the aggregate of such values) must where necessary be reduced so as not to exceed one-quarter of the difference between the amount of the final balance and £60,000. For example, where the amount of the final balance is £40,000, the maximum extent of the widow's succession which is given exemption is not £7,500 but £5,000 (being one-quarter of the difference between the final balance of £40,000 and £60,000).

There are also various exemptions which operate by way of the exclusion of certain property in computing the amount of the final balance of the estate, as for example, for an interest in a home settled under the Joint Family Homes Act 1950 which passes to the surviving spouse; the property comprised in an outright gift made shortly before death to a charity; and certain superannuation allowances for widows and infant children.

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.

Ordinary income tax and social security income tax 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.

Estate duty is due and payable to the Deputy Commissioner of Inland Revenue (Duties Division) 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).

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.

The following table gives the scale of rates of estate duty which applies to estates of persons dying on or after 27 June 1958.

Final Balance of EstateRate
££ 
1,001–2,000  4 per cent of excess of final balance over £1,000
2,001–3,000  2 per cent of £2,000 (£40) plus 5 per cent of excess
3,001–4,000  3 per cent of £3,000 (£90) plus 7 per cent of excess
4,001–5,000  4 per cent of £4,000 (£160) plus 9 per cent of excess
5,001–6,000  5 per cent of £5,000 (£250) plus 11 per cent of excess
6,001–7,000  6 per cent of £6,000 (£360) plus 13 per cent of excess
7,001–8,000  7 per cent of £7,000 (£490) plus 15 per cent of excess
8,001–9,000  8 per cent of £8,000 (£640) plus 17 per cent of excess
9,001–10,000  9 per cent of £9,000 (£810) plus 19 per cent of excess
10,001–11,00010 per cent of £10,000 (£1,000) plus 21 per cent of excess
11,001–12,00011 per cent of £11,000 (£1,210) plus 23 per cent of excess
12,001–13,00012 per cent of £12,000 (£1,440) plus 25 per cent of excess
13,001–14,00013 per cent of £13,000 (£1,690) plus 27 per cent of excess
14,001–15,00014 per cent of £14,000 (£1,960) plus 29 per cent of excess
15,001–16,00015 per cent of £15,000 (£2,250) plus 31 per cent of excess
16,001–17,00016 per cent of £16,000 (£2,560) plus 33 per cent of excess
17,001–18,00017 per cent of £17,000 (£2,890) plus 35 per cent of excess
18,001–19,00018 per cent of £18,000 (£3,240) plus 37 per cent of excess
19,001–20,00019 per cent of £19,000 (£3,610) plus 39 per cent of excess
20,001–21,00020 per cent of £20,000 (£4,000) plus 41 per cent of excess
21,001–22,00021 per cent of £21,000 (£4,410) plus 43 per cent of excess
22,001–23,00022 per cent of £22,000 (£4,840) plus 45 per cent of excess
23,001–24,00023 per cent of £23,000 (£5,290) plus 47 per cent of excess
24,001–25,00024 per cent of £24,000 (£5,760) plus 49 per cent of excess
25,001–26,00025 per cent of £25,000 (£6,250) plus 51 per cent of excess
26,001–27,00026 per cent of £26,000 (£6,760) plus 53 per cent of excess
27,001–28,00027 per cent of £27,000 (£7,290) plus 55 per cent of excess
28,001–29,00028 per cent of £28,000 (£7,840) plus 57 per cent of excess
29,001–30,00029 per cent of £29,000 (£8,410) plus 59 per cent of excess
Over £30,00030 per cent of £30,000 (£9,000) plus 60 per cent of excess

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 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 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, are contained in the 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 exceeding £500 (or the value of which when aggregated with the value of all gifts made by the donor within twelve months previously exceeds £500) 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
££ 
501– 1,00010 per cent of excess over £500
1,001– 1,500  5 per cent of £1,000 (£50) plus 8 per cent of excess
1,501–2,000  6 per cent of £1,500 (£90) plus 10 per cent of excess
2,001–2,500  7 per cent of £2,000 (£140) plus 12 per cent of excess
2,501–3,000  8 per cent of £2,500 (£200) plus 14 per cent of excess
3,001–3,500  9 per cent of £3,000 (£270) plus 16 per cent of excess
3,501–4,00010 per cent of £3,500 (£350) plus 18 per cent of excess
4,001–4,50011 per cent of £4,000 (£440) plus 20 per cent of excess
4,501–5,00012 per cent of £4,500 (£540) plus 22 per cent of excess
5,001–6,00013 per cent of £5,000 (£650) plus 19 per cent of excess
6,001–7,00014 per cent of £6,000 (£840) plus 21 per cent of excess
7,001–8,00015 per cent of £7,000 (£1,050) plus 23 per cent of excess
8,001–9,00016 per cent of £8,000 (£1,280) plus 25 per cent of excess
9,001–10,00017 per cent of £9,000 (£1,530) plus 27 per cent of excess
10,001–11,00018 per cent of £10,000 (£1,800) plus 29 per cent of excess
11,001–12,00019 per cent of £11,000 (£2,090) plus 31 per cent of excess
12,001–13,00020 per cent of £12,000 (£2,400) plus 33 per cent of excess
13,001–14,00021 per cent of £13,000 (£2,730) plus 35 per cent of excess
14,001–15,00022 per cent of £14,000 (£3,080) plus 37 per cent of excess
15,001–16,00023 per cent of £15,000 (£3,450) plus 39 per cent of excess
16,001–18,00024 per cent of £16,000 (£3,840) plus 33 per cent of excess
18,001–20,00025 per cent of £18,000 (£4,500) plus 35 per cent of excess
20,001–25,00026 per cent of £20,000 (£5,200) plus 31 per cent of excess
25,001–30,00027 per cent of £25,000 (£6,750) plus 33 per cent of excess
30,001–35,00028 per cent of £30,000 (£8,400) plus 35 per cent of excess
35,001–40,00029 per cent of £35,000 (£10,150) plus 37 per cent of excess
Over £40,00030 per cent of the value of the gift

The net revenue received from estate duty and gift duty during each of the last five years together with succession duty which was abolished by the Act of 1955 is given below.

£
Year Ended 31 MarchEstate DutySuccession DutyGift DutyTotal Estate, Succession and, Gift Duties
19546,042,1011,829,685810,5908,682,376
19556,636,6931,838,976909,4769,385,145
19566,243,9311,507,054732,8248,483,809
19577,624,901..643,4648,268,365
19588,188,007..815,4389,003,445
19599,165,299..1,260,31010,425,609

OTHER DUTIES.—These cover a miscellany of items of taxation imposed by the legislation such as the Stamp Duties Act 1954 and the Amusement Tax Act 1955.

In the next table the receipts for the last five years are shown under the various heads; receipts under agreement on sales of overseas lottery tickets in New Zealand have been added to the revenue items handled by the Duties Division of the Inland Revenue Department.

£
Year Ended 31 March
19551956195719581959
Adhesive stamps166,60459,76444,90359,929..
Duty on instruments1,754,3081,522,3581,496,5331,800,4531,673,867
Fines and penalties2,52512,0352,6792,8481,931
Impressed stamps492,526519,842543,171570,556610,090
Racing taxation3,974,1724,065,1554,127,6364,266,6084,135,237
Amusement tax416,797440,229462,996501,561518,827
Lottery duty43,62366,85065,75461,10664,054
Overseas lottery duty55,030104,940145,717188,436189,325
        Totals6,905,5856,791,1736,889,3897,451,4977,193,331

Some of the more important items included in the foregoing table are dealt with in more detail under subsequent headings.

RACING TAXATION.—The Government taxation on totalizator (pari mutuel) turnover is, under the Finance Act 1951, 2½ per cent on the first £20,000 of gross turnover received by a club in any year and 5 per cent on the balance in excess of £20,000. There is also a tax of 1 per cent on the total value of all stakes. In addition there is a dividend tax of 5 per cent on the total amount available for dividends after the following deductions have been made:—(a) totalizator tax; (b) club's commission of 7½ per cent; (c) 1/2 per cent levy as provided by the Gaming Amendment Act 1953. Where the latter levy is deducted by a racing or hunt club it is paid to the New Zealand Racing Conference and where it is deducted by a trotting club it is paid 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 racecourses. The proceeds of the levy and the amounts paid to clubs, are not subject to taxation. The legislation provides that the levy is to cease on 1 November 1960.

The Totalizator Agency Board, established by the Gaming Amendment Act 1949 to conduct off-course betting, receives 7½ per cent of the turnover made through the totalizator agencies. This amount forms part of the general funds of the Board, but the Board distributes to racing and trotting, clubs surplus funds not required for its own operations.

The Gaming Act 1908 and amendments provide for the Minister of Internal Affairs to grant totalizator licences for not more than 380 days in any racing year. Of these 380 days, 259 are allocated to racing and hunt clubs and 121 to trotting clubs. In 1957–58 and in 1958–59 an additional racing day was authorized, in the former year for a Royal Meeting and in the latter year for the Hawke's Bay Centennial celebrations.

The following figures relate to the racing year, which ends on 31 July.

Year Ended 31 July
19551956195719581959

*The Totalizator Agency Board commenced operations in April 1951.

Retained by the clubs.

Includes extra day on account of Royal Meeting of Wellington Racing Club.

§ Includes extra day on account of Hawke's Bay Centennial celebrations.

Number of racing days361369374381381§
Number of races2,889 £(000)2,952 £(000)3,005 (£000)3,064 £(000)3,065 £(000)
Amount of stakes1,6041,6151,5991,6011,555
Totalizator turnover—
  On course24,02222,78222,56323,59121,679
  With T.A.B.*19,71721,27521,90922,83921,995
        Totals43,74044,05644,47146,43043,674
Amount paid in dividends36,03236,29236,63536,25335,992
Government taxes—
  On totalizator turnover2,1312,1402,1602,2572,118
  On dividends1,9021,9161,9342,0201,900
  On stakes1616161616
        Totals4,0484,0734,1104,2924,033
Amount (7½ per cent) of totalizator turnover retained by clubs and TA.B.3,3323,3593,3993,5473,342
Unpaid fractions125121121122104
Levy of 1/2 per cent219220222232218

For the financial year ended 31 March 1959 Government receipts from racing taxation amounted to £4.14 million, as compared with £4.27 million in 1957–58.

The rising tendency in recent years in the volume of betting as measured by totalizator turnover was halted during the racing year ended 31 July 1959. For this period an amount of £43,674,000 was handled by totalizators, as compared with £46,430,000 in 1957–58.

The greater part of this decrease occurred in the volume of turnover handled by on-course totalizators, which fell by £1,912,000 to £21,679,000 during the 1958–59 racing year. There was also a decrease of £844,000 in betting with the Totalizator Agency Board, which was a reversal of the trend over the previous seven years.

It will be noted that the turnover handled by the Totalizator Agency Board during the racing year exceeded the turnover in respect of on-course betting.

Of the amount placed on the totalizators in 1958–59, 82.4 per cent was returned to bettors by way of dividends. Government taxes absorbed 9.2 per cent, 7.9 per cent was retained by the racing clubs, and the special levy described in an earlier paragraph amounted to 0.5 per cent.

Of the 381 racing days in the 1958–59 racing year, 260 were devoted to racing (galloping) meetings and 121 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 amount placed on the totalizator during the year, £34,207,000 was on racing meetings and £9,467,000 on trotting meetings, giving an average of £131,566 per day for racing clubs and £78,239 per day for trotting clubs. Stakes paid at racing meetings totalled £1,113,000, the average amount per race being £531, while at trotting meetings the total was £442,000 and the average amount per race £455.

Doubles totalizator turnover decreased from £14,137,000 in 1957–58 to £13,801,000 in 1958–59. This is a decrease of £336,000, or 2.4 per cent of the total doubles turnover; £11,665,000 was placed at racing meetings and £2,136,000 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. 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.

Entertainments exempted are—(a) those in which 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
 £
1949243,766
1950256,716
1951236,373
1952308,976
1953396,306
1954401,704
1955416,797
1956440,229
1957462,996
1958501,561
1959518,827

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 £135,959 in 1954–55, £142,020 in 1955–56, £147,218 in 1956–57, £150,081 in 1957–58, and £168,873 in 1958–59.

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. The Finance Act (No. 2) 1945 increased the social security charge to 1½d. for every 1s. 8d., the new rate applying to all salaries and wages in respect of any period after 12 May 1946, and in the case of income other than salaries and wages to all such income derived during the year ended 31 March 1946 and subsequent years. The income of companies has been liable for social security taxation since the inception of the scheme.

Under the Income Tax Assessment Act 1957, which introduced PAYE taxation from 1 April 1958, social security income tax is combined with ordinary income tax as one tax on income. By the Social Security Amendment Act 1958 all income tax, including social security income tax, was payable into the Consolidated Fund in 1958–59 and 1959–60, and the amount necessary for administering the Social Security Act was appropriated out of that Fund. The Finance Act 1959 provided for the payment into the Social Security Fund, from 1 April 1960, of an amount computed at the rate of 1s. 6d. for each £1 of the total national private income for the preceding year, as estimated by the Government Statistician.

SALES TAX.—Sales tax is collected under the authority of the Sales Tax Act 1932–33 and its amendments. Numerous classes of goods were originally 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. In the post-war years a wide range of goods has been exempted from sales tax. The Sales Tax Exemption Order 1955 consolidated in one list all the then existing exemptions from sales tax. Beer and manufactured tobacco were exempted from sales tax on 4 November 1959. The rate of tax is normally 20 per cent, but it was increased to 40 per cent for motor vehicles in June 1958. The tax is not a turnover tax, being payable only once and, as far as possible, at the point where the goods pass to the retailer. The Sales Tax Act is administered by the Customs Department. The net amount yielded by the sales tax during each of the last five years has been: 1954–55, £22,621,119; 1955–56, £23,443,498; 1956–57, £22,280,915; 1957–58, £24,221,810; and 1958–59, £25,750,649.

Monthly figures of sales tax collected during the four calendar years 1956–59 have been as follows.

£
MonthTotal Sales Tux Receipts
1956195719581959
January2,141,1452,533,8772,530,9982,554,834
February1,556,915790,989945,914604,143
March1,756,4322,314,5472,665,3982,609,489
April1,577,6281,999,3962,167,0532,385,469
May2,060,6911,849,0162,049,1992,071,704
June1,717,368985,5301,799,5712,003,245
July1,861,3772,863,1032,519,1462,009,348
August1,824,0522,001,1762,100,0042,076,872
September785,0161,465,9792,203,1822,224,042
October2,946,5082,501,1342,283,2192,186,504
November1,980,5452,185,5561,323,5341,907,552
December1,817,5612,188,3083,480,5612,306,594

The collections during a month relate in general to sales during the preceding month. Sales tax for any one month must be paid by the twenty-eighth of the following month to secure the discount. When the twenty-eighth falls on a Friday in a thirty-day month last-minute payments posted on the Friday are actually received in the succeeding month, e.g., sales tax on January sales posted on 28 February (when this is the last day of the month) is credited in March receipts.

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 the Post Office.
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
19587,101,36111,530,2781,065,9472,480,7491,243,819715,73524,181,508
19597,114,67912,854,2631,102,9122,654,4391,254,035639,46125,693,935

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 1958 was as follows.

Year Ended 31 MarchRatesLicences and Other TaxesTotalPer Head of Mean Population
 ££££s.d.
195416,421,1271,532,12017,953,2478142
195518,259,128762,51019,021,63881611
195618,883,183747,40819,630,591927
195720,658,799660,94721,319,7469144
195822,707,456699,14523,406,6011085

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 1959 totalled £444,391,255, of which £46,091,225 was raised in 1958–59. 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 1959 was £8,494,452.

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. Apart from portion of the gold holding of the Reserve Bank of New Zealand deposited in connection with the loan raised from a group of United States banks (see page 829), 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 3½ 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 1959 are repayable on 30 June 1961, 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.

* See, however, page 603 of 1940 Year-Book.

The figures are given in two series, the first showing the debt at the nominal amount throughout the period 1939–59, 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 Population
A—Nominal Amounts
 £(000)£s.
1939277,77917019
1940296,71618017
1941323,23619711
1942359,20721916
1943437,63426716
1944500,5263049
1945537,22731916
1946568,1403238
1947578,3803234
1948578,0783165
1949614,98632917
1950643,8803387
1951667,2333446
1952653,6623297
1953667,68832714
1954704,3713378
1955728,59334118
1956735,20133719
1957757,12034017
1958782,11134314
1959816,5523511
B—In New Zealand Currency
 £(000)£s.
1939310,4451912
1940329,63420018
1941356,28221715
1942391,0982396
1943470,6552880
1944533,75532414
1945570,50033912
1946591,77333617
1947602,0133368
1948598,87532712
1949614,98632917
1950643,8803387
1951667,2333446
1952653,6623297
1953667,68832714
1954704,3713378
1955728,59334118
1956735,20133719
1957757,12034017
1958782,11134314
1959816,5523511

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.

An outstanding advance of £18,877 to the Government Insurance Account by way of overdraft is not included in the public debt at 31 March 1959.

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 1959 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 £159,621,890; and in addition there was a further amount of £1,575,507 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. There was also a contingent liability of £3,950,000 covering the guarantee of the overdraft of the Dairy Products Marketing Commission.

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
192019301940195019581959
* Includes debt due to United Kingdom Government (see p. 824).
Ordinary121,082197,600245,217358,267518,588552,896
Housing....11,55957,331106,800111,064
War loans (1914–18)80,089*69,784*36,85426,757....
War expenses (1939–45)....3,086201,526156,723152,592
        Totals201,171267,383296,716643,880782,111816,552

The amount per head of population for each class as at 31 March 1959 was as follows: ordinary, £238; housing, £47 15s.; war expenses, 1939–45, £65 12s.

A more detailed allocation of the debt for the last two years is now given. At 31 March—

 19581959
* Excludes contingent liability in respect of debt due to United Kingdom Government (see page 824).
  £(000)
Railways125,472133,943
Electric supply schemes144,988161,988
Post and telegraph services59,23664,775
Education buildings15,00013,875
Roads and highways56,35256,352
Forests (State)13,00112,743
Housing106,800111,064
Land settlement and improvement38,16741,167
Irrigation and drainage7,9796,757
Shares in Bank of New Zealand7,2037,202
New Zealand National Airways Corporation1,8002,300
New Zealand Woolpack and Textiles Ltd150150
Mining8,1539,203
Tasman Empire Airways Ltd.811811
Tasman Pulp and Paper Co. Ltd.9,4069,187
Murupara Development5,9371,991
Christmas Islands1,1671,167
Reserve Bank exchange adjustment20,00020,000
War expenses (1939–45)156,723152,592
National Development Loans (balance)3266,915
Miscellaneous assets and services3,372173
Cash in hand682,197
        Totals782,111*816,552*

MOVEMENT IN PUBLIC DEBT DURING 1958–59.—A summary of transactions in connection with the public debt during the year ended 31 March 1959 is as follows.

£(000)
Amount Outstanding at
31 March 195831 March 1959+Increase —Decrease
External debt: London99,576118,277+18,701
United States of America3,96323,548+ 19,585
Internal debt—
  Long-term debt623,917634,067+ 10,150
  Floating debt54,65540,661−13,994
        Totals782,111816,552+34,441

A more detailed statement which shows also the main purposes for which loan moneys were raised during the year 1958–59 is now given.

External debt—£££
    London—
        Increases—
            New issues for—
               National development purposes 20,000,000 
        Decreases—
            Transfers to New Zealand Register 1,299,435 
                   Increase in London debt  18,700,565
    United States of America—
        Increases—
            New issues for—
               National development purposes3,584,487  
               Repayments in New Zealand16,466,504  
  20,050,991 
        Decreases—
            Repayments from—
               Loans Redemption Account 466,234 
                   Increase in U.S.A. debt  19,584,757
                   Increase in external debt  38,285,222
Internal debt—
    Decreases—
        Repayments from Loans Redemption Account—
            From revenue11,356,521  
            New issues in—
               New Zealand40,284,440  
               U.S.A.16,466,504  
  68,107,465 
    Increase—
        New issues for—
            National development purposes22,506,739  
            Repayments in New Zealand40,457,395  
        Transfers from London Register1,299,435  
  64,263,569 
                   Decrease in New Zealand debt  3,843,896
                   Total increase in public debt  £34,441,426

PUBLIC DEBT CONVERSION SCHEMES AND NEW LOANS.—A scheme of conversion of practically the whole of the locally domiciled debt bearing interest higher than 4 per cent was successfully carried out in the early part of 1933. Holders had the option of dissenting, but interest on the dissented portion was made subject to an interest tax of 33⅓ per cent. Holders who signified neither assent nor dissent were regarded as having assented.

Details of this conversion and of other conversions during the period up to 31 March 1945, together with a schedule of war loans over the period 1940–45, were given on pages 503–504 of the 1950 issue of the Year-Book, while conversions and loans in the subsequent period up to 31 March 1950 were given on pages 819–820 of the 1957 issue of the Year-Book, and conversions in the further period up to 31 March 1958 were given on pages 812–813 of the 1958 issue.

Three conversion loans were offered during 1958, the first in May in conversion of a loan of £7.7 million raised in 1939 maturing 31 May 1958, the second in July in conversion of a short-term loan of £4.2 million raised in 1955 maturing 15 August 1958, and in November a conversion offer was made in respect of £6.7 million raised in 1941 maturing 15 January 1959. Stock offered was in each case the same as that of the 1958 Works Loan except that in the first conversion offer the middle term stock maturing 1963–64 was not available. Nearly £6.2 million of the May maturity, £3.6 million of the August maturity and £5.8 million of the January 1959 maturity stock was converted.

Three conversion loans were offered during 1959, the first in March in conversion of a loan of £18 million raised in 1945 maturing 15 April 1959, the second in May in conversion of a short-term loan of £7.9 million raised in 1956 maturing 15 June 1959, and in July a conversion offer was made in respect of £13.5 million raised in 1954–55 maturing 15 September 1959. Stock offered was in each case the same as the 1959 Works Loan, £14.6 million of the April maturity, £5.1 million of the June maturity, and £8.8 million of the September maturity stock being converted.

In 1960 there was a conversion offer in respect of a loan of £10.9 million maturing 15 June 1960, and £9.9 million was converted.

The 1950 National Development Loan was initiated in May 1950, the amount of £20,000,000 being oversubscribed by £941,670. Stock was offered either at 3 per cent repayable 15 August 1959–61, issued at 99½ per cent, or at 2½ per cent repayable 15 August 1954 issued at par. The 1951 National Development Loan was opened in May 1951, and the amount of £10,000,000 was oversubscribed by £3,217,810, the loan being closed earlier than the scheduled date of 27 June 1951.

The stock, was offered at 3 per cent at par and repayable 15 April 1960–62.

There were two issues of development loans in 1953; the first, the 1953 National Development Loan, was opened in May 1953, being in the nature of a £20,000,000 cash and conversion loan. Stock was offered at 3¾ per cent repayable on 15 May 1962 and issued at £98 10s. per cent. Either ordinary stock or death-duty stock was issued at subscriber's option, the latter being available to meet income tax and social security charge in regard to deceased holders' estates as well as death duties. A minimum net return of 2 per cent on nominal value after payment of taxes was ensured by means of income tax rebates. The conversion offer concerned the 2½–per-cent stock maturing October 1953 (First War Loan) on basis of £98 10s., maturing stock being equal to £100 nominal value of new stock. Conversions totalled £6,949,770 and cash subscriptions £15,311,460. The second issue of the 1953 National Development Loan of £10,000,000 was offered in September 1953 on the same terms as for the earlier issue. This loan was oversubscribed by £183,280.

A loan of £10,000,000 sterling was negotiated in London in December 1953. It consisted of New Zealand Government 4–per-cent stock issued at £98 10s. per cent and maturing 1976–78.

The 1954 National Development Loan was opened in June 1954 for an amount of £30,000,000. Stock was offered at 3¾ per cent for (a) 5 years issued at £100 per cent, (b) 11 years at £98 per cent, (c) 15 years at £97 10s. per cent, or (d) 20 years at £97 per cent, the net yield for the three longer maturing stocks being approximately £3 19s. 6d. Ordinary or death-duty stock alternatives and minimum net return conditions were similar to those for the 1953 loan. Holders of 3–per-cent and 2½–per-cent stocks maturing August 1954 were offered in exchange stock in the new loan. 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 3½–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) 3¾ 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) 4⅜ per cent for three years, (b) 4½ per cent for five years, and (c) 4⅝ 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 5¼–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 same 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 4¾ 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) 4½ per cent for three years, (b) 4¾ per cent for six years, and (c) 4¾ 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.

A loan of £20,000,000 was raised in London in April 1958. It consisted of New Zealand Government 6–per-cent stock issued at £99 per cent and maturing in 1976–80.

An agreement under which the New Zealand Government obtained a loan of £34,500,000 and a credit of S11,500,000 from a group of banks in the United States of America was signed on 30 September 1958. The loan bears interest at 3½ per cent and matures on 30 September 1961, while the credit, which bore interest at 4½ per cent, was repaid on 30 September 1959. Thirteen per cent of the loan was left on deposit with the contributing banks. In connection with the loan, the Reserve Bank of New Zealand deposited with the Federal Reserve Bank of New York gold valued at §31,500,000 as security. An amount of £10,000,000 has been invested in New York to enable repayment of the loan in September 1961.

For the first time New Zealand raised a public loan in the United States of America in December 1958. An amount of £10,000,000 bearing interest at 51 per cent and maturing in 1970 was raised in New York. The issue price was £99 per cent. The bond issue has a sinking fund designed to retire £395,000 of the debt annually beginning 1 June 1961. By this means 75 per cent of the debt will be repaid by maturity.

Within New Zealand the 1958 Works Loan of £15,000,000 was opened in June. Stock, at par, was offered with either of three maturity dates, 4½ per cent maturing 15 July 1961 or 4¾ per cent maturing either 15 July 1963–64 or 15 July 1968–70. The loan, which had the usual option regarding death duty stock, was over-subscribed, £15,200,000 being raised.

The 1959 Works Loan of £15,000,000 was opened in May. Stock, at par, was offered with either of two maturity dates, 4½ per cent maturing 15 October 1962, 4¾ per cent maturing 15 October 1971–73. The loan, which had the usual option regarding death duty stock, was under-subscribed, £14,226,680 being raised.

In January 1960 a Government loan was opened with no specific total sought and no closing date. Stock, at par, was offered with either of two maturity dates, 4⅜ per cent maturing 15 October 1963, or 4¾ per cent maturing 15 October 1971–73. The loan was closed on 31 March 1960, by which time £14,485,000 had been subscribed.

In May 1960 a Government cash loan of £15,000,000 was opened; three-year stock was offered at 4⅜ per cent, six-year stock at 4⅝ per cent, and 12–year stock at 4¾ per cent.

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 Suites of AmericaAustraliaNew ZealandLondonUnited States of AmericaAustraliaNew Zealand
 £(000)N.Z.£(000)N.Z.£(000)N.Z.£(000)N.Z.Per CentPer CentPer CentPer Cent
194979,962..628534,39513.00..0.1086.90
195078,140..628565,11212.13..0.1087.77
195177,808....589,42511.66....88.34
195277,808....575,85511.90....88.10
195377,790....589,89811.65....88.35
195487,790....616,58112.46....87.54
195597,789....630,80413.42...86.58
195695,804....639,39713.03....86.97
1957100,4254,429..652,26513.260.59..86.15
195899,5763,963..678,57212.730.51..86.76
1959118,27723,548..674,72814.492.88..82.63

MATURITY YEARS OF DEBT.—The maturity years of the debt outstanding at 31 March 1959 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......40,66140,661
Promissory notes, various (from 15 May 1959 to 15 May 1960)3,497......3,497
19604,117..25,58314,30644,006
1961..6,29035,20015,52057,010
196212,350..40,76723,25976,376
1963....26,40020,78547,185
1964..7,33737,34313,89658,576
1965....23,11313,27436,387
1966..17,04714,70621,20552,958
1967..6,69613,07413,87333,643
1968....11,9587,72319,681
1969..15,6271,63620,00037,263
1970....7,2786,77614,054
19713,584..5,2615,85814,703
1972..4,96931..5,000
1973....7,30115,18022,481
1974..9,97512535,25045,350
1975....2,61540,35842,973
1976.... 33,94833,948
1977......51,30051,300
1978..6,9772327,50034,500
1979..9,94456..10,000
1980..18,7821,218..20,000
1983..5,000....5,000
1985..9,633367..10,000
        Totals23,548118,277254,055420,672816,352

DEPARTMENTAL INVESTMENTS.—As shown in the preceding table, £420,672,000 of the public debt outstanding at 31 March 1959 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—
 19581959
  £(000)
Investments held by accounts within the Public Account50,92753,970
New Zealand Broadcasting Service1,4001,550
Marketing Account250..
Government Life Insurance7,2897,539
Government Superannuation Board24,35327,353
Maori Trustee2,2512,289
National Provident Fund6,5908,499
Post Office131,782134,282
Post Office: National Savings60,10056,900
Public Trustee4,2814,075
Reserve Bank64,67156,321
State Advances Corporation2,5542,553
State Fire Insurance Office—
Accident Branch1,4521,502
Fire Branch1,3621,363
Dairy Industry Account8,150..
Meat Industry Account39,10937,804
Wool Commission Account27,26024,672
        Totals433,781420,672

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 1948–56 and at quarterly intervals from March 1957 to December 1959.

Date3¼ Per Cent. 1962–653½ Per Cent. 1955–603½ Per Cent. 1960–6441 Per Cent. 1970–735 Per Cent, 1956–71
 £s.d.£s.d.£s.d.£s.d.£s.d.
1948—Dec. 2104189......106139......11689
1949—Dec. 2998150......100189......110163
1950—Dec. 110000......10226......110126
1951—Dec. 69339......951610½......10400
1952–Dec. 49115......941610½......102163
1953—Dec. 39415991497610½......10313
1954—Dec. 398010018991610½......102189
1955—Dec. 9870092789639215987
1956—Dec. 78112691508516385639326
1957—Mar. 186509489905090163969
      June 7821269212686139861639450
      Sept. 684610½9376871610½85493150
      Dec. 68213921268616383139913
1958—Mar. 783899450878985509118
      June 6840096100889846391126
      Sept. 5851110½97126901610½851992150
      Dec. 5858981392610½87610½9415
1959—Mar. 689599094610½891009518
      June 587189950939881610½955
      Sept. 488999094110½89509615
      Dec. 4891599995110½89999610½

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 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 1959 was £634.9 million, or 78 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 £284.9 million, or approximately 45 per cent, the rate did not exceed 3 per cent, Of the debt domiciled in New Zealand at 31 March 1959, 39 per cent was at rates of 3 per cent or under, the remainder (or 61 per cent) being at rates which did not exceed 6 per cent. A classification of the public debt as at 31 March 1959, 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....67,66167,661677
...9,0809,080227
322,603..185,583208,1865,975
23,743..16,81540,5591,318
23,26012,35098,625134,2354,700
....85,82285,8222,956
49,944..79,41489,3583,574
9,975..2510,000425
4⅜....7,8847,884172
..4,11750,03254,1492,344
4⅝....19,68119,681910
..3,49748,55452,0512,467
54,969..4,3329,301470
5,000....5,000263
..3,584..3,584197
618,782..1,21820,0001,200
        Totals118,27723,548674,728816,55227,877

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 1959 was £27,876,509, which gives an average rate of £3 8s. 3d. per cent.

The amount of interest and the average rate per cent payable on the debt domiciled in the respective markets were—

 Amount of Interest  Average Rate  
 ££s.d.
London4,723,43331910
United States of America884,7183152
New Zealand22,268,358360

The total interest payments from the Consolidated Fund during the year ended 31 March 1959 was £27,277,246. Of this amount £4,317,397 was paid in London and £93,808 in New Zealand on account of debt domiciled in London, £301,329 was paid on account of debt domiciled in the United States of America, while the remaining £22,564,712 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 1958–59 was £12,242,959, the contributing accounts being Post and Telegraph, £2,436,094; Electric Supply, £6,029,507; Housing Account, £1,476,888; Housing Construction, £139,171; Land Settlement Account, £1,461,910; under section 31 (3) of Land Act 1948, £625,000; and New Zealand National Airways Corporation, £74,389. Interest is also received from the investment of other public moneys, the total under this heading being £1,542,056, including £102,222 from the State Advances Corporation, £380,000 from the Public Account Cash Balance Investment Account, £120,748 from the Christmas Island Phosphate Commission, £22,179 from the British Phosphate Commission, £153,412 from the Deposits Accounts, £266,670 from the Loans Redemption Account, and £343,374 from the Tasman Pulp and Paper Company Ltd. The total interest receipts of the Consolidated Fund were thus £13,785,015, leaving the net interest charges for the year £13,492,231, as compared with £12,923,831 in 1957–58.

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
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
195825,315,92512,392,09412,923,831
195927,277,24613,785,01513,492,231

Administration and management charges in respect of debt services amounted to £1,299,489 in 1958–59, as compared with £344,524 in 1957–58.

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 1/2 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 814) 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 58 (a) of 1953 ActAmounts Utilized for RedemptionClass of Debt Affected by Redemptions
Section 58 (b) of 1953 ActSection 58 (c) of 1953 ActTotal Amount UtilizedItemAmount
1955219,001,0366,373,3589,397,85715,771,215War expenses10,153,842
Other debt5,617,373
195625,587,9444,451,5958,705,90013,157,495War expenses11,266,981
Other debt1,890,514
1957241,207,6654,898,9659,059,74713,958,712War expenses12,720,969
Other debt1,237,743
195834,447,4598,178,0951,974,77410,152,869War expenses7,774,420
Other debt2,378,449
195956,750,9442,761,8859,060,87011,822,755War expenses3,961,498
Other debt7,861,257

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 Act 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 1959
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
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
19588,070,5543,785,5993,954,1717,739,7708,178,09598,927,642
19597,632,2293,910,5554,263,7628,174,3172,761,885101,689,527

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 £200,000additional 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: 1957–58, £765,509,265 (£336 8s. per head of population); 1958–59, £799,269,422 (£343 12s. 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: 1955, £49,599,703; 1956, £47,784,435; 1957, £50,604,805; 1958, £52,387,833; 1959, £72,026,582.

In addition to the above, Government investments in corporations, etc., held at 31 March 1959 (shown in the return required by the Public Revenues Act 1953 and published in parliamentary paper B. 1 [Pt. I]) are given in the following table.

InvestmentAmount at 31 March 1959
 £(000)
Bank of New Zealand12,018
Bay of Plenty Fertiliser Works Ltd.110
British Phosphate Commission543
Christmas Island Phosphate Commission3,317
Dominion Salt Ltd.150
East Coast Farmers' Fertilizer Co. Ltd.45
Kaingaroa Logging Co. Ltd.50
Linen Flax Corporation200
Maramarua Coal Fields Ltd.56
New Zealand National Airways Corporation2,300
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
Tourist Hotel Corporation of New Zealand2,135
Miscellaneous136
Total£29,276

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 1959 a gross indebtedness equivalent to £147,259,026 and if this amount be added to the gross debt of the General Government at 31 March 1959—£816,552,423—the aggregate becomes £963,811,449. 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 £961,488,335.

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 1959 totalled £19,288,673.

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 121 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 1960 was 981 made up as follows: County Councils, 119; Borough (including City) Councils, 143; Town Councils (independent), 15; Town Councils (dependent), 12; Road Boards, 3; River Boards (3 boards also have the power of Land-drainage Boards), 11; Catchment Boards, 13; Land-drainage Boards, 41; Electric-power Boards, 42; Water-supply Board, 1; Urban Drainage Boards, 5; Transport Boards, 2; Local Railway Board, 1; Electric-power and Gas Boards, 2; Milk Boards (including 33 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; Underground Water Authorities, 2; Rabbit Boards, 208; Fire Boards (including 173 where the Board is a Borough or County Council, etc.), 233; 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, mental hospitals, 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 April 1960 there were 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 Amendment 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, despite numerous amalgamations of adjacent boroughs, steadily increased until 1955 when the total was 146. In April 1960 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 1960 was twenty-seven (15 independent and 12 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 previously. 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 ail 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, and catchment districts. 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, 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.

ROYAL COMMISSION ON LOCAL AUTHORITY FINANCE.—In October 1957 the Government announced the membership and order of reference of a Royal Commission on Local Authority Finance. The Commission's report was released in November 1958 and is available from the Government Printer, Wellington.

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 1957 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 two districts, rate according to the number of sheep and/or cattle owned.

The Rating Act 1925 provides that the local authority of any district (other than a district wherein the system of rating on the unimproved value is in force) may from time to time by resolution determine whether the system of rating on the annual value or on the capital value shall be in force in the district. In the case of rating on the capital value the rating roll is based on the district valuation roll prepared by the Valuation Department. Where the rating is on the annual value the local authority generally prepares its valuation roll on the basis of valuations made by its own valuers. There is, however, provision that annual values may be prepared on the basis of the annual value being equal to £6 per cent of the capital value, and also that a rate of 1s. in the pound on the annual value is equivalent to ¾d. in the pound on the capital value. 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 Raring Systems in Force.—A table is given of rating systems in force during the financial year 1957–58 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.

Counties6455......120*
Boroughs1131515....143
Town districts16132....31
Road districts12......3
River districts45..3..12
Catchment districts..13......13
Land-drainage districts2813..1..42
Water-supply district......1..1
Rabbit districts..2..1992203
Totals226118172042568*

The position in regard to the four major classes of local authorities at 1 April 1958 (i.e., the beginning of the 1958–59 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*

* Estimated population at 1 April 1958, 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 are charged in lieu of rates on land.

Counties (excluding town districts)64472,95054346,490....121820,990
 (52.9)(57.6)(44.6)(42.2)........
Cities and boroughs1131,123,4801558,87015245,7201431,428,070
 (79.0)(78.6)(10.5)(4.1)(10.5)(17.3)....
Independent town districts108,20053,67016001612,470
 (62.5)(65.8)(31.2)(29.4)(6.3)(4.8)....
Dependent town districts62,57073,5001590146,660
 (42.9)(38.6)(50.0)(52.6)(7.1)(8.8)....
    Totals1931,607,20081412,53017246,9102942,268,190
 (65.6)(70.8)(27.6)(18.2)(5.8)(10.9)....

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 1958. Amounts levied for other local authorities are included.

£
System of RatingUniform Fees and ChargesTotal
Unimproved ValueCapital ValueAnnual Value
Counties4,416,3112,714,32018,64026,1317,175,402
Boroughs9,348,556886,9303,063,9391,157,08614,456,511
Town districts37,20327,8104,14010,94180,094
Road districts22,5872,615....25,202
        Totals13,824,6573,631,6753,086,7191,194,15821,737,209

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 fails 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. Applications by local authorities for loans under this arrangement must be approved by the Local Authorities Loans Board.

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 and County Councils under the Counties Act 1956 to provide loans for housing purposes; to acquire land for housing; 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 erect or purchase houses; to sell or lease houses and allotments for housing purposes; and to borrow money for any of these purposes, and for the construction of streets and the provision of water, drainage, and other services on land used or intended to be used for the erection of houses.

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
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
195720,658,79939,565,0664,309,95664,533,82126,058,29290,592,113
195822,707,45642,343,3934,515,99169,566,84031,051,063100,617,903

Local authorities received by the way of rates in the financial year 1957–58 a total amount of £22,707,456, and the sum of £699,145 was raised by licences, making £23,406,601 altogether from taxation, which is equivalent to £10 8s. 5d. per head of the total mean population.

During 1957–58 rates formed 32.6 per cent of the revenue proper; public utilities, licences, rents, and other sources yielded 60.9 per cent; and 6.5 per cent came from the General Government.

Revenue proper in 1957–58 was £5,033,019 greater than in 1956–57, while receipts other than revenue increased by £4,992,771. Rates accounted for £2,048,657 of the revenue increase, and public utilities, licences, rents, etc., for £2,778,327.

Of the revenue proper of counties, which amounted to £10,785,125 in 1957–58, no less a sum than £6,491,392, or 60.2 per cent, was raised by way of rates. Town districts, road districts, river districts, catchment districts, land-drainage districts, urban drainage districts, and the water-supply district also rely on taxation for the greater part of their income. In the case of boroughs and Harbour Boards, on the other hand, rates supply a considerably smaller proportion of the total revenue. During 1957–58 this source of income accounted for 42.6 per cent of the total revenue of boroughs and 10.9 per cent of that of Harbour Boards. Rates collected for, or to meet levies by, Fire Boards are included as revenue from rates by the levying authorities. Electric-power districts did not rate during 1957–58.

The next table shows the receipts for 1957–58 (classified as in the preceding table) for each type of local authority.

£
Revenue FromReceipts not RevenueTotal Receipts
RatesPublic Utilities, Licences, Rents, etc.Government

* Levy on milk.

Including contributions from authorities levying rates.

Harbour improvement rate, £362,597, and rates on land in harbour rating area, £317,799.

Counties6,491,3921,971,3872,322,3466,447,40217,232,527
Boroughs12,726,84015,607,6141,511,73911,829,67141,675,864
Town districts100,27368,24917,33366,442252,297
Road districts25,4365,1798,21517,43656,266
River districts59,91821,726..67,503149,147
Catchment districts526,974259,088..997,8511,783,913
Land-drainage districts148,01626,839..74,072248,927
Electric-power districts..15,192,849..2,951,18018,144,029
Water-supply district7,811148..87,967
Urban drainage districts1,006,05424,620..2,505,0603,535,734
Urban transport districts382,5472,228,301..728,8503,339,698
Local railway district..34,982..11,64546,627
Gas districts..183,073..2,596185,669
Milk districts9,558*64,415..15,28089,253
Valley authority14,0007,005..2,31023,315
Nassella tussock districts4,51930,772..8,73744,028
Harbour bridge authority......1,352,4081,352,408
Plantation board..15,901..5,30721,208
Underground water authority..300....300
Rabbit districts523,72278,707518,533283,3911,404,353
Fire districts..984,656101,798385,6371,472,091
Harbour boards680,3965,537,58236,0273,298,2779,552,282
Totals22,707,45642,343,3934,515,99131,051,063100,617,903

Of the total rates (£22,707,456) collected during 1957–58 general rates levied brought in £15,942,374 and other rates (including penalty on overdue rates) £6,765,082. Of the latter, £5,538,315 was received by boroughs and £741,390 by counties. The whole of the rates collected by Harbour Boards (£680,396) were classed as general rates.

It is of interest to note that for the year 1957–58 the total of all rates collected by counties was equal to £6.85 per £1,000 of rateable capital value (land and improvements) at the beginning of the year. The corresponding figure for boroughs was £9.75, for independent town districts £908 and for dependent town districts £5.77 (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 £15,607,614 accruing to boroughs under this head in 1957–58, £1,678,729 represented transport receipts, £6,465,891 sales of electric light and power, and £1,092,015 sales of gas. Comparable figures for 1956–57 were £14,732,976, £1,539,231, £5,699,094, and £1,064,110 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 1954–1958 is given in the next table.

£
Year Ended 31 March
19541955195619571958

* Amount carried over from 1953–54.

Main Highways Board prior to 1954–55.

Rates on Crown lands21,46119,87525,49527,58723,224
Fire Service Council72,45583,38685,40893,013101,798
Timber and flax royalties49,17654,30061,69668,98660,364
Goldfields revenue and gold duty9,5369,7639,06511,90613,599
Fees and fines37,94839,97243,38657,47771,185
Subsidies—
  National Roads Board
    On rates284,0821,636,5091,860,8312,047,2092,232,274
    On population1,403,5301,432,2601,418,6101,452,723
  Rabbit Destruction Council392,090416,598421,146509,199518,533
Motor-spirits tax325,81894,615*......
Other revenue receipts7,5487,01959,54575,96942,291
        Totals, Revenue Account1,200,1143,765,5673,998,8324,309,9564,515,991
Loans from State Advances Corporation (Housing Account only)90,018155,051182,215311,205348,290
Loans from Treasury48,05525,0369,3714,000..
Loans from Ministry of Works143........
Advances from National Roads Board2,4242,80039,0002,500 
Advances from Soil Conservation and Rivers Control Council16,39823,60019,53510,05510,500
Advances from Fire Service Council1,1953,82915,63014,65019,913
Grants for special works, etc., from—
  Department of Labour32,68932,50129,36724,82719,808
  National Roads Board1,774,6562,309,2653,788,6934,829,0894,846,239
  Soil Conservation and Rivers Control Council1,832,977614,423691,517870,805980,135
  Ministry of Works757,586974,975656,041677,837
  Other Departments1,036,606875,514859,117931,424
        Total receipts from Government4,998,6698,726,26410,624,64911,892,24512,350,137

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
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
195772,751,427659,9515,428,4543,658,9038,240,89990,739,634
195879,619,013..5,857,4854,224,7668,587,05198,288,315

Included in the total of other payments for 1957–58 is an amount of £5,842,616 in respect of amortization of debt, which compares with the figure of £5,187,496 in 1956–57.

The main items of expenditure of the various classes of local authorities during 1957–58 are shown below.

£
Works and Utilities (Construction and Maintenance)AdministrationInterest on Loans and OverdraftAmortization of DebtOther PaymentsTotal Expenditure
Counties14,237,1061,377,805301,841508,505493,23016,918,487
Boroughs33,424,3281,900,7271,921,9042,616,567800,87640,664,402
Town districts190,23123,5505,49811,6905,610236,579
Road districts40,8046,8887462,56865751,663
River districts115,22013,0976,9349,947844146,042
Catchment districts1,367,666255,02729,50893,11719,4691,764,787
Land-drainage districts193,84718,15310,54017,5644,348244,452
Electric-power districts13,072,0141,353,015835,6501,475,791641,62417,378,094
Water-supply2,9433,7824716636,941
Urban drainage districts2,840,533120,132321,144205,56162,9553,550,325
Urban transport districts2,447,081122,285167,912260,142..2,997,420
Road tunnel authority..518......518
Local railway district60,3952,920976....64,291
Gas districts168,72916,0518,80913,4071,555208,551
Milk districts53,60215,372671,13911,34381,523
Valley authority..17,246......17,246
Nassella tussock districts51,5922,081....16853,841
Harbour bridge authority2,451,34110,033......2,461,374
Plantation board18,3025,40714....23,723
Underground water authority74........74
Rabbit districts1,177,25599,8736,8879,4614,1151,297,591
Fire districts1,176,45532,72457,76477,66569,6201,414,228
Harbour boards6,529,495460,799548,525539,326628,0188,706,163
        Totals79,619,0135,857,4854,224,7665,842,6162,744,43598,288,315

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)AdministrationInterest on Loans and OverdraftAmortization of DebtOther PaymentsTotal Expenditure
* Includes districts not listed.
Counties84.18.11.83.03.0100.0
Boroughs82.24.74.76.42.0100.0
Town districts80.59.92.34.92.4100.0
Catchment districts77.514.41.75.31.1100.0
Electric-power districts75.27.84.88.53.7100.0
Urban drainage districts80.03.49.05.81.8100.0
Urban transport districts81.64.15.68.7 100.0
Rabbit districts90.87.70.50.70.3100.0
Fire districts83.22.34.15.54.9100.0
Harbour boards75.05.36.36.27.2100.0
    Totals, all districts*81.06.04.35.92.8100.0

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
194880,87476,713280,928205,50545,387110,763100,134900,304
1949191,602101,227349,66796,66197,078153,732116,0821,106,049
1950262,071158,406443,37876,12078,031322,126180,7791,520,911
1951280,540200,968501,62582,99757,309479,640245,9501,849,029
1952369,580254,909683,34376,52791,620385,515438,2072,299,701
1953790,786381,5091,145,755136,140162,626462,552437,0963,516,464
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
19571,702,522813,0472,009,212437,832726,817341,345822,2386,853,013
19581,827,520772,3473,357,770588,096620,743541,2541,313,1029,020,832

ASSETS AND LIABILITIES.—The assets and liabilities of local authorities at the end of the financial year 1957–58 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
Counties4,259,13514,237,8926,458,2561,525,8647,984,120
Boroughs13,997,19895,272,83947,894,0873,429,49651,323,583
Town districts108,068754,795160,35714,464174,821
Road districts14,87164,81618,0075,50523,512
River districts88,393118,473143,97918,290162,269
Catchment districts509,9002,488,197615,402149,192764,594
Land-drainage districts93,352219,974204,5868,769213,355
Electric-power districts7,047,96549,636,25520,191,0673,553,90323,744,970
Water-supply district8253,525225336561
Urban drainage districts1,180,7136,996,8308,008,512370,7548,379,266
Urban transport districts678,7356,080,7813,929,825149,8784,079,703
Road tunnel authority......518518
Local railway district967214,804..32,86032,860
Gas districts..431,284177,24881,500258,748
Milk districts106,24910,4571,2124,4405,652
Valley authority6,1107,199..566566
Nassella tussock districts9,87222,373..774774
Harbour bridge authority432,4693,887,0603,240,2801,079,2494,319,529
Plantation board63,738116,771..853853
Underground water authority226........
Rabbit districts605,9331,113,773116,34944,809161,158
Fire districts524,1793,680,8381,589,000142,4821,731,482
Harbour boards7,371,92028,326,88514,490,699395,71714,886,416
        Totals37,100,818213,685,821107,239,09111,010,219118,249,310

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, 21.53 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)
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
195322,812,064126,732,287
195427,295,230140,310,389
195529,435,679155,477,570
195629,925,233172,769,637
195732,204,672191,493,665
195837,100,818213,685,821

Cash assets are made up chiefly of loan balances, reserve investments, and cash in hand. Sinking funds, which amounted to £7,436,099 at 31 March 1958, 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 43.6 per cent of the total assets, electric-power districts for 22.6 per cent, and Harbour Boards for 14 per cent. Counties show the comparatively low percentage of 7.4 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 £36,924,077 at 31 March 1958, bringing the total (excluding sinking funds) for all local authorities to approximately £287,710,716.

REGISTERED STOCK.—The Local Authorities Amendment Act 1955 authorised local authorities to issue registered stock and nominated the Reserve Bank as Registrar. Prior to 1955 securities given by local authorities for loan moneys were in bearer form, being either debentures for a fixed term with interest coupons attached or table debentures providing for periodic repayments of principal and interest. Lenders, many of whom were presumably already the holders of Government stock and were accustomed to registered securities, have apparently found Local Authorities Stock a satisfactory form of investment, and the following table indicates the growth in this form of security. (Source: Reserve Bank of New Zealand.)

DateAmountTotal Gross Debt of Local Authorities at 31 March*Registered Stock as a Percentage of Gross Debt

* Includes Hospital Boards.

Estimated.

 £(000)£(000)Per Cent
March 195648100,8820.05
March 19576,114114,6675.34
March 195818,239132,03313.81
March 195935,570148,63323.93

INDEBTEDNESS.—The total gross debt of local authorities at 31 March 1958 amounted to £114,675,190, while net indebtedness (i.e., after deducting accumulated sinking funds from debentures and other securities) was £107,239,091.

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 1958, at the then rate of exchange, was £114,619,685.

The total gross debt of local authorities including Hospital Boards, at 31 March 1958, was £132,032,682. 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 £7,598,020, £11,843,155, £7,311,003, £9,948,217, £13,784,291, and £17,366,015 which took place over the years 1952–53 to 1957–58, 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
19541955195619571958
 £££££
New Zealand Government Insurance Office5,696,3305,743,8375,675,9566,200,4317,308,224
National Provident Fund Board8,651,6799,508,11513,402,68315,762,35218,161,756
Public Trustee3,514,0093,161,7652,838,8713,058,8183,477,764
State Advances Corporation—
Trading5,101,4945,179,6857,097,5697,037,4477,184,575
  Housing Account861,392948,673980,5781,116,7691,184,147
  Rural Housing Act 1939194,479261,601338,770467,220607,276
Other2,089,8422,082,7492,274,3334,006,7963,962,056
        Totals26,109,22526,886,42532,608,76037,649,83341,885,798
Ratio per cent to total gross indebtednessPer Cent 31.2Per Cent 29.6Per Cent 32.3Per Cent 32.8Per Cent 31.7

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
194856,612,84548,295,879504,63043,38757,117,47548,339,266
194956,181,51648,171,038423,50826,83756,605,02448,197,875
195056,042,76248,395,137259,30412,22656,302,06648,407,363
195155,998,08848,799,47688,5083,66956,086,59648,803,145
195257,853,21850,384,00515,95166157,869,16950,384,666
195364,422,35556,703,9194,83020164,427,18556,704,120
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
195799,087,67091,669,514....99,087,67091,669,514
1958114,675,190107,239,091....114,675,190107,239,091

Of the total net indebtedness of £107,239,091 at 31 March 1958 boroughs were responsible for £47,894,087, which represents 3.5 per cent of their rateable capital value at 31 March 1958. For counties, which have a much lower expenditure per head on works, etc., the aggregate net indebtedness was £6,458,256, and the percentage of rateable capital value at 31 March 1958 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
AmountRat per HeadAmountRate per Head
  ££s.d.££s.d.
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
19572,221,16999,087,670441239,723,557477
19582,275,515114,675,1905071110,811,0214150

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
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
19575,949,82944,833,4326,725,3103,746,97519,789,47613,059,6684,982,98099,087,670
19586,790,05551,580,9448,987,9124,149,03121,299,69015,689,1246,178,434114,675,190

The debt of road districts at 31 March 1958 which is included with that of counties, was £18,007; the town district debt at the same date was £166,575. The debt of “other districts” at 31 March 1958 was mainly that of river districts (£147,013), catchment districts (£638,703), land-drainage districts (£250,678), gas districts (£177,248), fire districts (£1,606,726) and a harbour bridge authority (£3,240,280).

The following table shows the amount of indebtedness, at 31 March 1958, 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
Counties2,977,8581,350,787..117,0753,0562,323,2726,772,048
Boroughs12,460,73920,110,1722,533,1634,500,37786,47611,723,44251,414,369
Electric-power districts......20,820,615..479,07521,299,690
Urban drainage districts..8,971,497......16,4158,987,912
Urban transport districts....4,149,031......4,149,031
Harbour Boards........15,577,101112,02315,689,124
Other3,275,85867,162..10,002 3,009,9946,363,016
        Totals18,714,45530,499,6186,682,19425,448,06915,666,63317,664,221114,675,190

The debt owing on electric supply and lighting is 22.2 per cent of the total, showing that heavy borrowing is necessary to finance this utility, while the percentage for drainage, sewerage, and water system is 26.6.

Domicile of Debt.—A five-year summary of the domicile of loans outstanding, is given hereunder.

At 31 MarchAmountPercentage of Total
New ZealandUnited KingdomAustraliaNew ZealandUnited KingdomAustralia
 £££Per CentPer CentPer Cent
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
195795,340,1433,470,000277,52796.223.500.28
1958111,434,6632,963,000277,52797.182.580.24

During 1957–58 the amount domiciled in New Zealand increased by £16,094,520, while the amount domiciled in the United Kingdom decreased by £507,000.

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
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
19579,723,557..9,723,557
195810,811,021..10,811,021

Amortization charges are included in the above, the amount payable during 1958–59 on debt at 31 March 1958 being £6,114,121. Interest charges payable during 1958–59 on the debt outstanding at 31 March 1958 aggregated £4,696,900, payable according to countries of domicile, as follows: New Zealand, £4,538,261; Australia, £15,355 (on face value); United Kingdom, £143,284.

The loans outstanding, at 31 March 1958 are classified below according to domicile, and also according to rate of interest. Reference should be made to observations on page 852 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 interest197,438....197,438
31,301,149..9,9001,311,049
3⅛4,885,630....4,885,630
18,669,403....18,669,403
3 5/161,201....1,201
3⅜478,754....478,754
2,388,677....2,388,677
3⅝18,983....18,983
3 7/1019,576....19,576
462,096....462,096
3⅞123,057....123,057
431,963,162....31,963,162
4⅛137,724....137,724
14,668,437....14,668,437
4⅖13,593....13,593
127,004767,000..894,004
4⅗90,434....90,434
4⅝1,690,159....1,690,159
12,022,647....12,022,647
4⅘511,386....511,386
4⅞6,137,956....6,137,956
515,521,597750,000..16,271,597
5⅕1,000....1,000
..949,700..949,700
3,600496,30019,314519,214
....248,313248,313
        Totals111,434,6632,963,000277,527114,675,190

The average rates of interest work out as follows: New Zealand, 4.07 per cent; United Kingdom, 4.83 per cent; Australia, 5.53 per cent: total 4.10 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 floatation expenses) would be higher than the rates quoted above.

Loan Maturities.—The following table classifies loans outstanding at 31 March 1958 according to years of maturity and countries of domicile.

£
Years of MaturityDomiciled in New ZealandDomiciled in United KingdomDomiciled in AustraliaTotal
1958–6220,478,4702,461,00028,24222,967,712
1963–6746,215,553502,00015,28546,732,838
1968–7216,629,113....16,629,113
1973–7714,668,484..234,00014,902,484
1978–825,887,087....5,887,087
1983–871,701,817....1,701,817
1988–922,478,160....2,478,160
1993–20083,375,979....3,375,979
        Totals111,434,6632,963,000277,527114,675,190

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 seven 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 years 1955–56 and 1956–57 was caused by the restriction of loan sanctions to essential works as an anti-inflationary measure. That local authorities themselves co-operated in achieving greater stability is indicated by the reduced total amount of applications made for loan sanctions in those 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
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
1957–5831,933,90625,799,656850,000
1958–5921,510,31820,537,646542,100

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 1959 by each class of local authority.

LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1955—AMOUNTS RAISED AND UPLIFTED TO 31 MARCH 1959

£
Local AuthorityAmounts Authorized*Up to 31 March 1958During Year Ended 31 March 1959Balance Unexercised at 31 March 1959
Amounts RaisedAmounts UpliftedAmounts RaisedAmounts Uplifted

*Adjusted for amounts revoked or lapsed.

For the authorizations listed.

Original amount £23,912,355.

County councils1,100,785987,340985,34010,44512,445103,000
Borough councils7,434,2807,078,4307,054,030143,550167,650212,300
Electric-power and gas boards2,954,8102,928,3102,928,3107,0007,00019,500
Urban transport boards402,000377,700377,70024,30024,300..
Harbour bridge authority5,198,7102,979,6902,761,4131,336,4201,281,111882,600
Harbour boards2,070,0002,069,8002,035,250..34,550200
Others totally uplifted at 31 March 19584,350,1904,350,1904,350,190......
        Totals23,510,77520,771,46020,492,2331,521,7151,527,0561,217,600

LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1956—AMOUNTS RAISED AND UPLIFTED TO 31 MARCH 1959

£
Local AuthorityAmounts Authorized*Up to 31 March 1958During Year Ended 31 March 1959Balance Unexercised at 31 March 1959
Amounts RaisedAmounts UpliftedAmounts RaisedAmounts Uplifted

*Adjusted for amounts revoked or lapsed.

For the authorizations listed.

Original amount £18,341,300.

County councils1,410,8001,279,7801,212,28059,22074,72071,800
Borough councils6,678,3736,194,8206,179,820210,423202,423273,130
River boards47,50043,10043,1004,000..400
Electric-power and gas boards2,690,8902,546,8402,546,84082,05082,05062,000
Urban drainage boards1,814,6001,066,9001,066,900385,595385,595362,105
Urban transport boards740,000487,930487,930170,590170,59081,480
Fire boards319,765184,765184,76515,00015,000120,000
Harbour boards1,552,9401,527,9401,399,090 128,850 
Hospital boards2,062,5002,049,3002,006,90013,20041,80025,000
Others totally uplifted at 31 March 1958108,650108,650108,650......
        Totals17,426,01815,490,02515,236,275940,0781,101,028995,915

LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1957—AMOUNTS RAISED AND UPLIFTED TO 31 MARCH 1959

£
Local AuthorityAmounts Authorized*Up to 31 March 1958During Year Ended 31 March 1959Balance Unexercised at 31 March 1959
Amounts RaisedAmounts UpliftedAmounts RaisedAmounts Uplifted

*Adjusted for amounts revoked or lapsed.

For the authorizations listed.

Original amount £19,637,730.

County councils1,174,551955,932949,73271,27977,479147,340
Borough councils7,161,2796,276,2736,089,073556,871672,071328,135
Electric-power and gas boards2,961,4402,511,1102,511,110161,180161,180289,150
Urban drainage boards1,507,5001,342,5751,334,57517,50025,500147,425
Urban transport boards601,800528,870528,87072,93072,930..
Harbour bridge authority600,00015,00015,000....585,000
Rabbit boards16,22514,2259,225....2,000
Fire boards246,250239,150225,9502,10014,7505,000
Harbour boards2,556,0002,302,9001,877,900137,430562,430115,670
Hospital boards2,612,9502,521,5602,412,74291,390193,961..
Others totally uplifted at 31 March 1958119,060119,060119,060......
Totals19,557,05516,826,65516,073,2371,110,6801,780,3011,619,720

LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1958, WITH AMOUNTS RAISED AND UPLIFTED TO 31 MARCH 1959

£
Local AuthorityAmounts Authorized*Up to 31 March 1958During Year Ended 31 March 1959Balance Unexercised at 31 March 1959
Amounts RaisedAmounts UpliftedAmounts RaisedAmounts Uplifted

*Adjusted for amounts revoked or lapsed.

For the authorizations listed.

Original amount £25,716,595.

County councils1,504,674683,663582,663412,806484,281408,205
Borough councils7,709,5133,859,6353,537,1852,870,9192,976,199978,959
Town councils43,95033,95028,95010,0005,000..
Catchment boards122,63846,80046,80042,40039,90033,438
Land-drainage boards10,0005,000..5,0008,500..
Valley authority12,000....4,1004,1007,900
Electric-power and gas boards3,008,0001,501,6001,288,0701,359,8701,555,400146,530
Urban drainage boards4,994,5001,832,4501,822,4501,488,9801,498,9801,673,070
Harbour bridge authority1,000,000542,300542,300457,700457,700 
Fire boards89,12011,62011,62019,50019,50058,000
Harbour boards3,355,0001,651,1301,566,1301,225,5701,309,375478,300
Hospital boards3,595,5001,777,4801,652,0301,416,4701,546,920401,550
Others totally uplifted at 31 March 1958201,700201,700201,700......
        Totals25,646,59512,147,32811,279,8989,313,3159,905,8554,185,952

LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1959, WITH AMOUNTS RAISED AND UPLIFTED

£
Local AuthorityAmounts Authorized During Year*Amounts Raised During YearBalance Unexercised at End of YearAmounts Uplifted During Year

*Adjusted for amounts revoked or lapsed.

For the authorizations listed.

Original amount £25,429,470.

County councils1,319,852598,851721,001449,506
Borough councils6,781,5853,309,5003,472,0853,082,153
Town councils5,1332,5002,6332,500
Catchment boards127,00075,05451,94673,800
Land-drainage boards13,50010,6502,8507,500
Electric-power and gas boards2,952,0001,412,2151,539,7851,345,945
Urban drainage boards5,960,3001,622,6204,337,6801,586,520
Urban transport boards225,00071,650153,35071,650
Harbour bridge authority100,000100,000..100,000
Rabbit boards8,0003,5004,5003,500
Fire boards157,90082,40075,50031,400
Harbour boards3,821,2001,727,9002,093,3001,453,660
Hospital boards3,956,0001,402,8002,553,2001,276,250
        Totals25,427,47010,419,64015,007,8309,484,384

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
195826,649,65625,716,595114,666,66724,429,1667,063,151132,032,682
195921,079,74625,429,470132,032,68222,652,6177,426,273147,259,026
196029,209,59725,035,477147,259,02629,000,000*8,000,000*168,259,026*

Interest Rates.—The Local Authorities Interest. Reduction and Loans Conversion Amendment Act 1934 limited borrowings to an interest rate not exceeding 3½ per cent, with provision, however, for varying the rate by Order in Council under the Local Government Loans Board Act 1926. In May 1939 the maximum was raised to 4¼ per cent, but during the period 1941 to 1947 market conditions were responsible for a reduction to 3¼ 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 4¼ per cent, and a further increase to 4¾ 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 4⅝, 4¾, and 4⅞ per cent respectively. This scheme continued until July 1957, when the rates were again altered to 4¾ 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 1953–54 to 1957–58 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 or Electric Power Boards. Employees of Electric Power Boards are included in the figures in Section 26A (Electric Power) (their average number during 1957–58 was 2,684), while employees of Hospital Boards are shown in a subsequent table.

Class of Local DistrictNumber of Wage Earners (Average of Twelve Months Ended March)
1954195519561957 1958
Counties3,4443,6053,7813,9794,051
Boroughs9,2019,2959,4779,7139,895
Town districts8367616054
Road districts1214131515
River districts4238494628
Catchment districts341343330351377
Land-drainage districts4646373859
Water-supply districts64444
Urban drainage districts234251267314355
Urban transport districts1,9731,8451,6591,5521,517
Road tunnel authority........1
Local railway district1815141416
Gas districts3535354248
Milk districts14231
Valley authority........1
Nassella tussock districts1918212132
Joint transit-housing committee222....
Harbour bridge authority......110
Plantation board..11131217
Rabbit districts1,003907884850856
Fire districts479467450491523
Harbour boards2,9993,0013,0723,2253,363
        All districts19,93819,96820,17120,73121,223

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 1958.

Nature of Staff19541955195619571958
Stipendiary medical1,0651,1221,1651,1731,208
Other professional and technical1,1541,1431,2241,2991,396
Nursing8,2168,3078,4709,0539,431
Maintenance and ground872764846880939
Other institutional6,2776,3996,4756,7006,903
        Totals17,58417,73518,18019,10519,877

The numbers of visiting medical staff of Hospital Boards for the last five years ended 31 March are as follows: 1954, 598; 1955, 597; 1956, 676; 1957, 691; and 1958, 686.

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. Six 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. In the March and April 1960 issues of the Reserve Bank Bulletin there are articles on Central Banking Practice in New Zealand.

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 time to time by the Minister of Finance. For this purpose, and to the end that the economic and social welfare of New Zealand may be promoted and maintained, the Bank shall regulate and control credit and currency in New Zealand, the transfer of moneys to or from New Zealand, and the disposal of moneys that are derived from the sale of any New Zealand products and for the time being are held overseas, and shall do all such things within the limits of its powers as it deems necessary or desirable to promote and safeguard a stable internal price-level and the highest degree of production, trade, and employment that can be achieved by monetary action”.

The provisions of section 10 (1) of the 1936 Amendment 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”. Section 2 of the 1939 amending Act 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) of the 1936 Amendment Act as further amended in 1950 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 money, establish credits, and give guarantees, whether in New Zealand or elsewhere, in any currency, and on terms providing for repayment or payment in the same or any other currency.

  13. Charge, pledge, or deposit by way of security, any part of its assets for any purpose mentioned in paragraph 12 or for any other purpose whatsoever which may be approved in writing by the Minister of Finance.

  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 1959, which were subsequently paid to the Consolidated Fund, amounted to £2,195,959, as compared with £3,179,250 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 1955–59, and weekly averages for the calendar years 1949–59, 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.

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
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
195876,23012,07767557,5081,08011,533159,104
195977,03111,60948462,2551,21612,118164,713
At End of June
195568,58111,5212,20045,4491,3688,154137,272
195669,43110,1152,08172,3264,1208,585166,657
195772,7129,1711,35169,2871,48812,263166,272
195873,8829,90842462,5557648,168155,703
195975,0389,85341367,9081,6648,756163,632

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”.
Weekly Average for Calendar Year
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
19536,02358,48758862553,2254,7616,02022,97520,511952
19546,15074,48142859933,4186,6928,93823,5579,279913
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
19584,61825,22465956348,11536,8322,53314,06623,8372,656
195931559,96249564731,44825,48587213,63024,9236,937
At End of June
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
19586,16322,68573856244,06941,6232,37013,56922,8081,116
195931562,84226763225,13330,53054013,56922,8086,995

NOTE.—Total assets are equal to total liabilities.

The fall in the Reserve Bank's holding of sterling exchange in 1952 was due partly to the abnormally large volume of imports and partly to the conversion of liquid funds into sterling investments. Normally the Reserve Bank's sterling exchange is held in the form of British Treasury bills (short-term rate of interest), but as a matter of policy it was decided to invest a part of these funds in short- and medium-term British Government securities, which are included in the Reserve Bank's investments.

TRADING BANKS.—The Banking Act 1908, which consolidated the law of New Zealand relating to the general business of banking in this country, provides that the incorporation of banks by Royal Charter shall be as effectual within New Zealand as Acts of the General Assembly. The number of directors is prescribed by the Act, and authority is given to any bank to increase its capital on a resolution of the shareholders. Transfers of shares on which there is any liability must be approved by the directors or their duly appointed attorney or attorneys. A sworn copy of an entry in the books of a bank shall in all legal proceedings be evidence of such entry, and a bank is not required in any legal proceedings to which it is not a party to produce its books before a Court, unless ordered by a Judge for special cause. Provision is made for the destruction of cheques, drafts, bills of exchange, or promissory notes after the expiration of ten years from the date thereof in the case of documents payable on demand, or from the due date in the case of other documents.

Part II of the Bills of Exchange Act 1908 consolidated the law relating to cheques on a bank.

The provisions of sections 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. 10½d. per ounce of standard—i.e., eleven-twelfths fine—gold content, which was the price at which such gold (in actual fact, coin only) had originally been acquired by the trading banks. Any profit derived from the sale of this gold overseas by the Reserve Bank accrues to the State and not to the Reserve Bank.

While the regulation of currency exchange is now a function of the Reserve Bank, commercial exchange transactions are still carried out through the medium of the trading banks.

Each trading bank is required to maintain with the Reserve Bank a balance comprising a proportion of its demand liabilities in New Zealand, and of its time liabilities in New Zealand. These requirements may be varied by the Governor of the Reserve Bank, acting with the authority of the Minister of Finance, but not so as to be less than 7 and 3 per cent respectively. For a summary of the changes in these proportions refer to page 872.

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 1959 was £5,167,615, while expenses amounted to £4,632,750, leaving a net profit of £534,865. Comparable figures for the previous year were £5,231,073, £4,705,504, and £525,569 respectively. The total assets at 31 March 1959 amounted to £146,978,702, the principal items comprising this total being: coin, Reserve Bank notes, and deposits with bankers, £20,262,727, money at call and short notice, Government securities and other securities in London, £10,145,868, securities of, or guaranteed by, New Zealand Government, £11,359,105, and advances, etc., £75,302,533. The principal item of liabilities was deposits (£123,355,829), while bills payable, etc., amounted to £9,330,922. The reserve fund, which is invested in United Kingdom Government securities, amounted to £4,000,000, and provision for taxation to £1,043,201. 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 1949–59, and figures as at the last Wednesday in June for the years 1955–59, 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
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
1958242,5957,93742,0561,240293,828
1959244,8636,49843,611665295,637
At End of June
1955238,6234,67846,093740290,133
1956240,7595,10043,937815290,611
1957255,1864,42635,7831,044296,439
1958250,6188,22639,8071,099299,749
1959252,4845,29141,992764300,530

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
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
19581,39914,01860,56922,38323,531171,8907,273301,062
19591,44914,25464,82025,59623,477166,3807,947303,924
At End of June
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
19581,38713,25862,29525,01623,536173,0147,065305,571
19591,49013,12167,86529,91323,436164,6997,843308,366

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.

Includes certain current accounts, operated by non-profit organizations, for which interest is payable on monthly minimum balances; these accounts were previously included in “deposits not bearing interest” column.

 £(000)Per Cent£(000)£s.£(000)Per Cent
1949142,59841,292345186,09299883,35744.79
1950157,57142,201373202,2001051894,71546.84
1951205,33642,500483250,72312815132,91753.01
1952207,04442,436488252,96812615169,84167.14
1953222,07739,832558265,26912910136,82751.58
1954236,54640,721581281,75013410156,97355.71
1955233,36339,414592279,85513017182,92965.37
1956229,36535,245651268,7341232170,64863.50
1957235,82238,697609278,85812418164,87759.13
1958232,40942,163551279,0301222175,41762,87
1959224,87853,459421283,3641218170,07660.02

It will be noticed that whereas free deposits rose markedly between 1949 and 1954, since then they have remained relatively stable, the fall in free deposits between 1958 and 1959 being caused by the transfer of non-profit making organizations' deposits mentioned in the footnote above. Fixed deposits have remained fairly stable over the ten-year period except for a fall in 1956 and the transfer in 1959. Advances rose steadily until 1955 apart from the effect of the import boom in 1952. Since 1955 credit restraint policies have tended to reduce advances, although in 1958 lower export prices, an increased level of stocks (through higher imports), and an increased use of credit in New Zealand to finance meat exports combined to expand average advances by £10.5 million. In 1959 the demand for advances fell as a result of slack economic conditions and this, in conjunction with higher farm incomes and the reversal of the abovementioned trend in meat export financing, caused the average of advances to fall by over £5 million.

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 1955 is shown in the next table.

£(000)
Month19551956195719581959
March291,819277,912279,871288,157273,683
June286,482274,724290,852287,190283,770
September267,710258,595270,457271,310283,365
December270,405269,268274,268269,463292,606

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 1955 is next shown.

£(000)
Month19551956195719581959
March184,771182,101159,576173,824170,986
June187,807169,403162,502182,380175,402
September181,730166,338165,418174,583166,953
December181,164161,442173,118170,879167,040

The following table shows the movement in advances, Government and other securities held, and deposits during the years 1949–59, 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
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
1958171,89011,37412,157195,421279,23069.99
1959166,38011,40012,078189,858285,43466.52

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)
13 March 195712 March 195811 March 19599 Sept. 19599 March 1960
BUSINESS AND FARMING ADVANCES
1. Farming, forestry, hunting, and fishing
    (a) Mainly dairy farming10,57910,61611,05211,94611,224
    (b) Mainly sheep farming9,06610,76913,65213,09012,288
    (c) Other farming3,9554,0454,2374,0554,249
    (d) Farm services532866957707829
    (e) Forestry, hunting, and fishing551570576581759
             Sub-totals24,68426,86630,47430,37929,349
2. Mining and Quarrying401699634613568
3. Manufacturing    1,863
    (a) Dairy companies, factories, etc.3,1752,6852,2488,944 
    (b) Freezing works, meat companies, etc.18,55020,14915,7038,55921,107
    (c) Other food, beverages, and tobacco4,6824,6776,0976,3435,033
    (d) Textiles, footwear, and clothing5,8637,1666,8236,2166,789
    (e) Pulp and paper and paper products2,5962,2151,2797851,008
    (f) Metal products, machinery, and engineering6,7366,0287,0366,1726,109
    (g) Transport equipment2,8014,0773,5192,6593,327
    (h) Other manufacturing11,31410,41810,5269,6199,545
             Sub-totals55,71757,41653,23049,29754,781
4. Construction7,3997,7588,5318,2688,421
5. Electricity, gas, water, and sanitary services1,3421,0911,085761924
6. Transport, storage, and communication3,1513,2913,5763,0352,801
7. Commerce, trade, and finance
    (a) Wholesalers, mainly importers13,23614,79311,56710,72011,539
    (b) Wholesalers, other4,6014,8324,3414,8963,551
    (c) Retailers13,79315,64315,01914,70213,723
    (d) Woolbuyers10,2888,3618,1403,4568,422
    (e) Stock and station agents3,3836,4359,8145,6183,210
    (f) Finance companies (mainly hire-purchase)1,8031,9851,7211,6411,986
    (g) Other financial institutions1,7582,1392,4921,9372,451
            Sub-totals48,86254,18853,09442,97044,882
8. Local authorities8577317721,327690
9. Services7,0827,4307,9097,7577,998
            PERSONAL ADVANCES
10. (a) For housing purposes7,5528,0687,8647,9258,549
    (b) Other personal advances9,43310,38211,27610,97311,894
            Sub-totals16,98518,45019,14018,89820,443
            TOTAL ADVANCES166,480177,919178,444163,304170,856

The following diagram illustrates the level of trading bank advances in March of the last three years.

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. Re-investment has, however, been permitted in the last few years. An earlier measure, from January 1942, was the selective control of trading-bank advances by the Reserve Bank in co-operation with the trading banks. The general aim was to prevent the expansion of bank credit for speculative and other purposes considered inimical to the war effort. The necessity for such controls was also a feature of the immediate post-war years. The Reserve Bank issued statements in 1947 and 1948 outlining the existing policy in this respect, and indicating the inclusion in the restricted categories of advances for purely investment purposes, capital expenditure for business, industrial and commercial purposes, building, purchasing or refinance of dwellings, in addition to those speculative and other classes previously covered.

Marginal cases and others involving special circumstances were referred to the Reserve Bank, the trading banks from time to time being given more discretion in dealing with such cases.

In March 1950 this discretion was extended so that marginal applications need only be referred to the Reserve Bank in cases where the term of the proposed advance exceeded two years and where the amount was also in excess of £2,000.

A major relaxation in the policy became effective from 24 May 1950. Advances for amounts up to £2,000 from each applicant were exempted from control, while the discretionary limit was raised to an amount not greater than £4,000, the latter being in order to allow for the new situation in which the first £2,000 was freed from control.

The number of restricted classes 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) in 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 continues to maintain the selective control of bank advances. There was an amendment as from 5 January 1960 to the rules relating thereto, but this was mainly for administrative purposes and did not denote a change in policy.

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. 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 changes in the method of calculating the minimum balances which the trading banks must hold at the Reserve Bank. The main change made was that the banks' holdings of Reserve Bank notes would for the purposes of reserve ratio requirements count as though they were deposits at the Reserve Bank standing to the credit of the trading banks, provided that the minimum balance maintained at the Reserve Bank was still 7 per cent of demand liabilities and 3 per cent of time liabilities as laid down in the Reserve Bank Act.

The following table shows the changes that have taken place in the reserve ratios since 1 June 1956. Alterations in the ratios from 1934 to 31 May 1956 are shown on page 855 of the 1958 Year-Book. The latter will not be comparable with figures after 1 June 1956 because of the inclusion in the minimum cash requirements since this date of Reserve Bank notes held.

Date of ChangePercentage of New Zealand Liabilities Required to be Maintained by Trading Banks as Minimum Deposits With Reserve Bank or in the Form of Reserve Bank Notes Held by the Trading Banks
 DemandTime
1 June 19563210
13 July 19563010
27 July 19562710
14 September 19563010
1 October 19563412½
9 November 19562910
21 December 19563110
1 March 19571510
12 April 195722½10
3 May 195726½10
25 October 19572815
28 February 1958105
28 April 19582610
30 July 195828½10
9 March 19592010
10 April 19592510
23 April 195928½10
21 September 19593010
22 December 19593410
15 March 19602210
29 April 19602910
23 May 19603210

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 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 1955–59.

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)
19552076,52126524,9303019,05667940,507
19562566,79920020,2223509,45867936,479
19573416,17023514,98256019,63489940,786
19582435,19719211,28651416,30377232,786
19592248,01125225,56848822,25189655,830

Debits.—The following table shows weekly averages of bank debits for each of the years 1949 to 1959.

£(000)
YearDebits Other Than GovernmentGovernment Debits
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
1958103,83713,331
1959105,07814,518

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 1949 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 1955 onwards are now given.

£(000)
Month19551956195719581959
Debits, Other Than Government
March115,183119,408120,273130,150124,654
June90,59986,51099,834101,554103,843
September80,18182,13490,32689,740100,998
December94,919101,500113,291120,175126,131

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 1949–59.

£(000)
YearAverage for Calendar YearAt End of June
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
1958105,714102,759
1959117,278116,692

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 1949–59, and the position as at the last Wednesday in June for the years 1955–59.

YearTotal Note IssueNotes Held by Trading BanksNet Note Circulation
Weekly Average for Calendar Year
194951,3128,77742,535
195055,1269,89845,228
195160,36111,39148,970
195262,25211,27350,978
195364,03510,64853,387
195469,23311,54157,692
195570,08710,63159,456
195670,90410,91759,987
195774,26313,04761,216
195876,23014,13562,095
195977,03114,33962,692
At End of June
195568,5819,57759,004
195669,4319,93659,495
195772,71212,05060,662
195873,88213,25860,624
195975,03813,12161,917

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 1949–59 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
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
19581,6999,43634,62011,4933,02860,27534960,624
19591,6969,71935,68111,5282,94561,56934861,917

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 from Reserve Bank figures, 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 £13,569,000 at the end of June 1959, and averaged £13,630,000 for the calendar year 1959. Prior to 15 August 1951 the corresponding amounts were shown under the “Sterling Exchange” heading.

Monthly Average for Calendar Year
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
195421,3384,64674,11324,336124,3326,24186118,005
195520,2105,43746,03623,61395,2966,9524288,302
195620,1435,87039,04327,60292,6576,7027085,886
195719,9096,47438,22928,66093,2716,7186386,490
195815,0437,34026,42914,38763,1999,1771,94352,079
195919,1806,41659,10314,30699,0047,1631,90289,940
At End of June
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
195619,5576,03451,71528,318105,6245,9154299,667
195729,1196,23954,98928,229118,5765,47034113,071
195815,9299,08822,68514,53362,2359,3242552,885
195923,0666,84762,84214,143106,8986,055134100,709

The overseas assets of the banking system rose during the war years and reached a peak of £102.6 million in 1947. Figures from 1948 to 1950 showed successive declines to an average of £76.6 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 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 overseas assets were supplemented in 1958 by Government borrowing overseas totalling £45 million. The volume of imports was reduced by over 3 per cent at prices comparable with 1958, whilst the volume of exports increased by 6 per cent but at prices 15 per cent lower than in 1957. There was thus a fall of 15 per cent in New Zealand's terms of trade. A substantial improvement in the terms of trade occurred in 1959 as well as another significant increase in the volume of exports. There was also a marked fall in the volume of imports as a result of import control and reduced domestic demand. These factors were the main causes of a 73 per cent rise in the overseas assets of the banking system. The rise would have been greater had not the Government repaid £3.6 million in respect of one of the short-term loans raised in 1958, and invested £11.9 million (net) overseas.

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 1938 the Reserve Bank has been able to compile statements of overseas receipts and payments. In 1949 the method of compilation and the classification schedules were revised, and the statistics now include both transactions through the banking system and through the Government's overseas accounts. A full classification of overseas receipts and payments for the calendar years 1958 and 1959, 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 1957 are given in preceding issues of the Year-Book.

£(N.Z.)000
Item19581959
Sterling AreaDollar AreaOther CountriesTotalSterling AreaDollar AreaOther CountriesTotal
Receipts
Current items—
  Exports—
    Butter41,92035337642,64956,9804432,95160,373
    Cheese17,08834324117,67221,39130821521,913
    Meat54,51827,5482,52084,58648,20523,5681,88373,655
    Wool32,65211,93737,50282,09136,12517,34645,01498,486
    Other28,8128,4739,54046,82429,48810,34311,69051,521
      Totals, export receipts174,99048,65450,178273,822192,18852,00861,752305,948
  Transport4,045328904,4644,103266444,412
  Insurance1,89650141,9608195868944
  Travel (excluding fares)2,690532283,2502,497544423,083
  International investment income—
    Interest and dividends3,62287243,7334,3374744,388
    Other investment income588187614478173499
  New Zealand Government receipts, and expenditure by other Governments in New Zealand2,3263652802,9711,5125231602,194
  Miscellaneous—
    Commissions, royalties806191391,036787196461,029
    Expenses of business firms566134187186796154794
    Personal receipts, legacies, and immigrants' transfers7,0116431987,8536,4927072227,420
    Other current transactions3671131949847313672681
      Totals, current198,90751,11550,896300,918214,36354,56362,466331,393
Capital transfers—
  Private5,0379221236,08310,5931,41515912,166
  Government26,39517,743..44,138101....101
  Drawings Australian Bank Credit7,403....7,40351....51
      Totals, capital38,83518,66612357,62410,7441,41515912,318
Cook Islands exports122813535151232
Unidentified88267122775..82
      Grand totals, receipts237,84369,83551,039358,717225,18955,99762,637343,825
Current items—
Payments
  Imports—
    Private198,77223,82317,451240,047165,84224,17116,222206,236
    Government32,7211,38017534,27721,5131,09612722,736
      Totals, import payments231,49325,20317,627274,323187,35525,26716,349228,972
  Transport10,75084744912,04610,8021,03729712,137
  Insurance—
    Premiums428203451351105367
    Claims644270192112205
    Other transfers1,70611151,8221,7945351,852
  Travel (excluding fares)7,1165312227,8697,4066453138,364
  International investment income—
    Interest and dividends3,7601,715685,5434,0092,0171026,128
    Other investment income2,3976971103,2042,797336303,163
    Government interest3,775188..3,9634,652957..5,609
    Local authority interest154....154135....135
  Government expenditure overseas6,3603864797,2266,9305695048,003
  Miscellaneous—
    Commissions, royalties, and rebates1,7217216043,0461,5949075123,014
    Expenses of business firms3,1216921623,9763,2566211123,989
    Film hire and entertainment420709111,140339776211,136
    Religious and charitable758141118831,68117941,793
    Personal remittances, legacies, and emigrants' transfers4,2442602194,7244,7484532285,429
    Transfers by temporary residents1,960222912,2732,0692591032,431
    Other current transactions1,2752701521,6971,320239801,639
      Totals, current281,50232,59120,318334,412241,43034,17618,758294,365
Capital transfers—
  Private2,501165392,7052,620189532,862
  Government6,985596..7,5815,90410,249..16,153
  Local authority686....687910....910
    Repayment Australian Bank Advance........7,455....7,455
        Totals, capital10,1737613910,97216,89010,4385327,380
Cook Islands imports13035191841483021199
Grand totals, payments291,80533,38620,376345,568258,46844,64318,832321,943
Surplus of receipt over payments−53,962+ 36,449+ 30,662+ 13,149−33,279+ 11,354+43,805+21,881

NOTE.—Minus sign (-) denotes a deficit.

The next table gives overseas receipts and payments in summary form for a number of June years which fit more closely to the farm-production export season than do calendar years. Information for calendar years over a similar period is in the Monthly Abstract of Statistics.

£(N.Z.)m.
Year Ended 30 June
195119521953195419551956195719581959
Receipts
Exports—
  Butter38.650.149.646.236.452.339.637.551.9
  Cheese14.216.117.420.69.722.817.113.922.7
  Meat27.635.348.354.646.671.674.471.979.6
  Wool116.296.280.590.293.194.1106.687.386.9
  Other26.639.038.733.334.240.448.546.048.7
Other than exports20.028.723.536.553.838.344.655.369.4
      Totals243.4265.4258.1281.3273.7319.6330.9311.9359.3
Payments
Government imports21.925.028.124.219.824.528.732.627.3
Government other payments6.911.612.014.618.913.015.219.320.9
Private imports148.3249.4154.9187.3242.4238.6238.3270.5211.5
Private other payments27.130.728.530.035.148.841.949.258.6
      Totals204.2316.6223.4256.1316.1324.8324.0371.6318.3
Surplus (+) or deficit (-)+ 39.1−51.3+ 34.7+ 25.2−42.3−5.2+ 6.9−59.7+41.0

Overseas Travel Allowances.—On 4 December 1959 the Reserve Bank announced that funds allocated to New Zealand residents for overseas travel, whether for business or non-business purposes, would be available for use in any country of the world.

From 1 November 1938 until 12 April 1959 the allowances for travel in countries outside the sterling area were £200 a year for the Continent of Europe, £250 a year for Scandinavian countries, and £150 a year for dollar countries. On 13 April 1959 this was amended to a total of £250 a year for the Continent of Europe and dollar countries, and £250 a year for Scandinavia.

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 were the countries with which New Zealand was 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 of exchange 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 1952 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, or 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. On 29 December 1958 the Minister of Finance announced that the Reserve Bank was in a position to allocate exchange in payment for goods landed in New Zealand during 1958 under excess licences. Exchange was made available from 1 January 1959 to the extent that payment had not been made overseas from any source whatever.

For imports exempt from licensing under the 1960 schedule, banks do not need to refer to the Reserve Bank for an exchange allocation.

Administrative details on import selection are set out in Section 10A.

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 Office Act 1959.

Branches.—There are now 1,025 branches of the Bank throughout New Zealand. Deposits may be made at any of these branches. A full demand withdrawal service is provided at 179 branches which have ledgers and a limited demand service is provided at the remaining non-ledger offices (see page 882—withdrawal services).

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 1959, deposits to ordinary Savings Bank accounts, Thrift Club accounts, Home Lay-by accounts, and Investment accounts totalled £141,836,931 and withdrawals £143,614,818, which represented a decrease in the value of deposits of £7,187,298 and an increase in the value of withdrawals of £9,621,302 over the previous year.

The number of deposits made was 6,389,445 and the number of withdrawals 3,668,380. The figures for the previous year were 6,327,080 and 3,150,581 respectively. The total number of accounts open increased by 58,862 to reach 1,778,426 and the total amount at credit of depositors' accounts at £263,913,105 was £5,407,699 greater than the previous year. The increase represented interest (including Investment account interest) credited to depositors for the year of £7,185,586 less the excess of withdrawals over deposits of £1,777,887. The average amount at credit of each account was £148.

The following table covering the activities of the Post Office Savings Bank since 1949 includes Thrift Club and Home Lay-by deposits, and Investment accounts, but does not include either School Savings Bank accounts, or National Savings Investment accounts, which are referred to later.

Year Ended 31 MarchNumber of Depositors at End of YearTotal Amount of Deposits During YearTotal Amount of Withdrawals During YearExcess of Deposits Over WithdrawalsInterest CreditedTotal Amount to Credit of Depositors at End of Year

* Excludes balances to credit of war gratuity savings bank accounts of £11,448,000 at the end of March 1949.

Refer to note below.

Excess of withdrawals over deposits.

§ Does not include Investment accounts.

  £££££
19491,311,29270,690,64067,722,7242,967,9163,438,790154,849,010*
1950 11,447,7543,792,8467,654,908 170,982,452
1,372,67277,963,43073,306,1814,657,2493,821,285
19511,407,24186,395,33185,190,0071,205,3243,915,006176,102,782
19521,450,30998,205,64393,748,8184,456,8254,079,606184,639,213
19531,485,85299,125,77496,699,5592,426,2154,208,308191,273,736
19541,520,988109,340,23999,134,78310,205,4564,442,620205,921,812
19551,554,549117,880,900112,842,4865,038,4144,710,920215,671,146
19561,585,422118,311,757118,656,799−345,0424,854,297220,180,402
19571,650,331131,443,890121,319,49010,124,4006,300,857236,605,658
1958§1,719,564149,024,229133,993,51615,030,7136,869,034258,505,406
19591,778,426141,836,931143,614,818− 1,777,8877,185,586263,913,105

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 1959, represented a nominal value of £264,892,746. A summary of the investments is as follows.

 £
New Zealand Government securities262,632,250
Securities held in London2,260,496
      Total£264,892,746

Post Office Savings Bank Accounts Classified by Amount Groups.—The following is a classification of the balances in Post Office Savings Bank accounts, Thrift Club accounts, Home Lay-by accounts, and Investment accounts, at 31 March 1957, 1958, and 1959 shown by amount groups and percentage of accounts within each group.

Amount GroupAt 31 March 1957At 31 March 1958*At 31 March 1959
Number of Account.Percentage of TotalNumber of AccountsPercentage of TotalNumber of AccountsPercentage of Total
* Does not include Investment accounts or Home Lay-by accounts.
£      
Under 1345,03720.91341,14719.89359,09320.19
    1 and under 10437,41526.50438,68125.58455,40925.67
  10 and under 50316,85519.20341,15419.89359,53220.22
  50 and under 100130,3767.90141,5388.25147,7468.30
  100 and under 200126,9977.70138,0648.05139,6207.85
  200 and under 30071,7194.3575,2304.3978,4844.41
  300 and under 40047,5502.8851,5563.0151,1802.89
  400 and under 50037,4982.2739,1412.2838,8332.18
  500 and under 60029,2081.7730,0311.7529,6171.66
  600 and under 70018,0261.0919,3401.1318,9391.06
  700 and under 80013,6580.8314,6630.8514,8020.83
  800 and under 90010,6000.6412,1500.7112,0700.67
  900 and under 1,0009,1840.5610,2800.6010,4700.58
1,000 and under 1,50027,5311.6730,3361.7731,4441.76
1,500 and under 2,00012,5690.7613,5740.7912,8730.72
2,000 and under 3,00010,7420.6511,9320.7011,6410.65
3,000 and under 4,0003,2820.203,5490.213,7820.21
4,000 and under 5,0001,1980.071,6400.091,7100.09
5,000 and over8860.051,0090.061,1810.06
Total number of accounts1,679,331100.001,715,015100.001,778,426100.00

Withdrawal Services: Demand Withdrawals.—When application is made at the ledger office where the account is held, a depositor may make a withdrawal on demand to the full extent of his account balance. Demand withdrawals may also be made at any other of the 1,025 Savings Bank offices, but the amount which may be obtained is limited. If the depositor's specimen signature is on file at the office of application he may withdraw on demand up to £100 in any week. Alternatively, if a specimen signature is not on file he may withdraw on demand up to £20 in any week provided he can establish his identity. A depositor may have his specimen signature placed on file at any number of offices and because of this provision he may obtain funds without notice while travelling anywhere in New Zealand.

Other Means of Making Withdrawals.—Either the postal or telegraph service may be used where the amount required is more than the limit authorized by the demand withdrawal system. Postal applications are forwarded to the office where the account is held and payment is made later at the accepting office. If desired the depositor can request that the amount be telegraphed to the accepting office. Alternatively, the application may be telegraphed both ways. No charge is made for telegraph withdrawals payable at Savings Bank offices within the same postal district as the ledger office. For withdrawals outside the postal district a charge of 1s. is made if the application is forwarded by post and the reply telegraphed. For telegraph service both ways a charge of 2s. is made.

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, and organizations of this type have been able to operate under a cheque system since 1 March 1959.

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 1959, there were 90,071 accounts open, the amount at credit being £3,912,754.

Home Lay-by Accounts.—These accounts were introduced on 1 July 1957. 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 are being used for the purchase or building of a home for the depositor's own occupancy. The first free deposits under this system became payable on 1 July 1959. At 31 March 1959 there were 2,370 accounts open, the amount at credit being £594,601.

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 any organization including business concerns. 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 £10,000 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 except in the case of business concerns.

The interest rates are:

For every complete year and any part of a year after the first two—3½ per cent per annum.

On amounts withdrawn in the first three months of the first year—1 per cent per annum.

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)—2½ per cent per annum.

On 31 March 1959,4,631 Investment accounts were open with a total credit balance of £4,788,543.

Letters of Credit.—This system has been superseded to a large extent by the demand-withdrawal system introduced in December 1956 and the demand is declining each year. 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 1959, 831 letters of credit were issued, the value of these being £29,609. These figures represent a decrease of 745 in number and £26,337 in value on the 1958 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.

During the calendar year 1959 there were 2,407,448 deposits totalling £431,560. Since the inception of the scheme more than 140,000 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.
   £ ££££
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
19582,1022,258,474409,04238,625289,842119,20029,8771,160,575
19592,1362,407,448431,56049,814422,3399,22133,4791,203,276

On 31 December 1959 there were 237,631 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. An Order in Council of 22 January 1959 authorized the establishment of a further trustee savings bank, to be known as the Waikato Savings Bank, with a head office at Hamilton. The bank opened for business on 29 June 1959.

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, and it was under such an Order in Council that the new savings bank was established at Hamilton. 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 or; deposits are fixed by Order in Council. Maximum rates payable on these and other deposits are given on page 892.

The total amount to credit of depositors at 31 March 1959 was £58,492,867.

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.
  £££££
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
1958412,49140,321,84434,973,0435,348,8011,480,29255,937,037
1959424,17539,341,04838,388,816952,2321,603,59958,492,867

NOTE.—This statement does not include national savings investment accounts.

The following table shows the results of the transactions, exclusive of national sayings investment accounts, of each of the trustee savings banks during the twelve months ended 31 March 1959.

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.
  £££££
Auckland285,03622,915,88521,910,3151,005,5701,011,33536,953,628
New Plymouth33,3693,219,5002,976,086243,414146,8535,345,632
Hokitika3,074187,992173,12214,87015,609558,824
Dunedin62,4854,374,4294,423,218−48,790*222,0447,805,890
Invercargill40,2118,643,2428,906,075−262,832*207,7587,828,893
    Totals424,17539,341,04838,388,816952,2321,603,59958,492,867

Following is a summary of trustee savings banks' assets at 31 March 1959. The total assets include an amount of £6,022,905 securing National Savings deposits, of which £6,011,098 is invested in New Zealand Government securities and £11,807 held in cash.

£
BankMortgagesNew Zealand Government SecuritiesLocal Authority DebenturesCash in Hand and at BanksTotal (Including Other Assets)
Auckland11,690,53420,065,4995,450,2001,655,91543,045,084
New Plymouth2,312,5332,565,535132,310287,3476,420,839
Hokitika243,882296,02622,97563,156631,578
Dunedin3,131,8874,009,817598,312216,6479,647,328
Invercargill1,841,9413,962,9151,584,003223,9908,494,061
    Totals19,220,77730,899,7927,787,8002,447,05568,238,890

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 3½ 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 £10,000 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
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
19587,509,48412,940,1012,330,67964,222,060
19595,843,20911,190,7602,227,71061,102,219
Totals, 1940–59143,568,552104,505,87022,039,538..

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.
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
1958..271,820
1959..372,348
Totals, 1940–5915,837,99917,102,395

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 and School Savings Bank accounts.

£(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.
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
1957173,725164,7338,978353,035
1958196,856181,90714,949378,665
1959187,021193,194−6,173*383,506
1960209,260197,08312,177406,849

DEPOSITS, ADVANCES, ETC.: STOCK AND STATION AGENCIES.—Financial data as at 30 June 1959 (with totals for the previous year) are given in two tables of deposits, advances, etc., for 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.

£
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, 30 June 1959Totals, 30 June 1958
Deposits Held (Original Term)
Per Cent       
1............47,853
468,736........468,736412,797
236,905400......37,30539,348
............4,503
193,05326,00080,7044,000500304,257350,017
......8,4812,52011,00148,861
3176,8722,00035,26225,916108,010348,060263,464
....2502,000..2,2502,305
6,7042,55513,25167,533295,040385,083388,864
6,112....103,21272,882182,206114,348
4327,3163,50030,4558,560533,265903,096511,273
........129,727129,72745,571
2,245..43,03910,500158,515214,299280,063
........15,20915,20910,550
5....5,000..327,326332,32672,832
........1,7611,7611,100
........46,79046,79011,238
71,408........1,408..
    Totals1,219,35134,455207,961230,2021,691,5453,383,5142,604,987

The continued upward trend in interest rates is evidenced in the figures given above. At mid-1958, 55.2 per cent of the total deposits were at rates in excess of 3 per cent; a year later the proportion had increased to 65.4 per cent.

A summary of the liquid position of stock and station agencies at 30 June 1959 is given below, along with a comparison for the previous year.

 30 June 195830 June 1959
 ££
Customers' credit balances on current account15,705,58414,374,045
Advances to customers—
    (a) On current account (unsecured)17,184,97717,364,714
    (b) Other advances (secured)15,842,60016,448,523
Investments—
    (a) Government securities2,076,8371,853,447
    (b) Fixed deposits1,396,028833,165
    (c) Other investments1,673,9921,497,393
Cash balances (in hand and at bank)904,2351,798,454
Merchandise and commodity stocks11,581,60112,378,526

Although secured advances to customers have remained at the relatively high level shown in the previous year, some improvement in liquidity was recorded during 1959.

DEPOSITS WITH COMPANIES, ETC.—A summary of deposits with societies, finance companies, firms, and businesses as at 31 March 1959 (with totals for the previous year) 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 this survey the coverage is believed to include nearly all companies, etc. accepting deposit moneys as defined.

£
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      
1348........348
520,346........520,346
17........17
2106,86213,794  300120,956
222,6481,10048,5104,306123276,687
62,57350,57512,03248,5567,621181,357
158,7961648,8996,0502,600176,509
32,532,38841,790403,5725,861166,7153,150,326
5,4704,10054,72118,1935,84488,328
325,38511,35027,301471,688808,4521,644,176
20064,200..24,978344,670434,048
4460,746....66,1823,134,6443,661,572
........160,185160,185
97,14615,7173,21814,944895,1921,026,217
........190,602190,602
5285,38835,03310,00026,3352,216,2702,573,026
....4,512..25,11329,625
193,5585001701,50049,370245,098
........200200
6423,91778,89416,23985,404204,361808,815
2,200..500..20,28122,981
763,24013,14414,0724,70018,489113,645
15,614527,01559841,20464,483
831,68731,39214,40045,89421,836145,209
9......2,00019,16321,163
1070,389751,15030,45749,413151,484
151,0008,900..500..10,400
    Totals, March 19595,579,918370,780626,311858,1468,382,64815,817,803
    Totals, March 19585,513,139485,252834,528648,8967,898,84015,380,655

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 1959
* Includes approximately £3,000,000 of ordinary deposits from Trustee Savings Banks.
 £
Deposits with Reserve Bank (excluding Government and trading banks' deposits)1,117,811
Deposits with trading banks (excluding Government)270,500,766*
Deposits with Post Office Savings Bank263,913,105
Deposits with school savings bank accounts1,120,862
Deposits with trustee savings banks58,492,867
Deposits in national savings accounts61,102,219
    Total£656,247,630
    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 1952–60, the figures quoted being in £(N.Z.) million.

£(m.)
195219531954195519561957195819591960

* 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)3.63.74.04.24.34.54.64.74.9
Notes held by public50.352.856.458.059.560.662.262.064.3
Demand deposits at—
  Reserve Bank*12.68.911.712.412.012.810.310.912.1
  Trading banks195.1195.2229.2242.3242.3252.0252.0231.2261.3
    Totals261.6260.7301.3316.9318.1329.8329.1308.8342.7
Change during year−2.3−0.9+40.7+15.6+1.2+11.7−0.7−20.3+33.9

The cumulative effect of the changes in the volume of money during the last ten years is contained in the following summary.

 1950–60 (Ten Years)

* Government and other demand deposits at Reserve Bank, excluding trading banks' balances at Reserve Bank.

† Trading banks' total demand liabilities in New Zealand.

 £(m.)
Coin (estimated)+1.6
Notes held by public+19.9
Demand deposits at—Reserve Bank*+2.9
                   Trading Banks+98.2
        Total+122.6

The next table shows the causes of the changes in the volume of money that occurred during the period.

£(m.)
1950–60 (Ten Years)Movement During Each of Last Three Years
1957–581958–591959–60

* 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*+ 21.1−34.7+17.1+24.7
Bank credit—
  Reserve Bank—
    Advances to State for general purposes+ 4.9+ 10.7−26.7+37.1
    Marketing and other advances+ 2.8+ 10.8− 3.5−20.0
  Trading banks—    
    Advances and discounts+ 84.1+ 12.2− 1.9− 3.4
    Investments in New Zealand+ 10.0− 0.1− 0.1..
Shift from time to demand liabilities of trading banks− 7.0− 2.3− 4.3− 5.4
Other items+ 6.6+ 2.7− 1.0+ 0.9
    Change during period+ 122.6− 0.7−20.4+33.9

OVERDRAFT AND DISCOUNT RATES.—The trading banks' minimum overdraft rates and rates of discount, which had for many years been at 6½ or 7 per cent, were reduced to 6 per cent as from 1 September 1932. This was followed by further reductions to 5 per cent from 1 May 1933, to 4½ per cent from 30 November 1934, and to 4 per cent from 1 August 1941.

The 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 4¾ 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 at first was not to exceed 5 per cent, but now approximates 5½ 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 3½ per cent from 29 July 1935, to 2½ per cent from 2 March 1936, and to 2 per cent from 29 June 1936. The rate was restored to the original 4 per cent on 19 November 1938, but was reduced to 3 per cent from 6 September 1939, to 2 per cent from 27 May 1940, and to 1½ per cent from 26 July 1941. The rate was increased, however, to 3½ per cent from 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 rate was reduced to 6 per cent on 19 October 1959.

The successive increases in the discount rate in 1954 and 1955 were in support of the reserve ratio system and of the Reserve Bank's general policy of credit restraint in recent years. The reduction of the rate to 6 per cent in October 1959 did not denote a change in credit policy but was intended as a reflection of the improvement in economic conditions during 1959.

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 871.

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—have been at 1 per cent from 22 February 1946. These advances took the form of Treasury bills or overdrafts until April 1960 when the Government changed its method of borrowing from the Reserve Bank, and Reserve Bank holdings of Treasury bills were exchanged for 1–per-cent Government stock.

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 and Under Six MonthsSix Months and Under Twelve MonthsTwelve Months and Under Twenty-four MonthsTwenty-four Months and Upwards
1 June 1912..24
20 January 192134
20 June 19214
11 December 19264
9 May 192745
9 July 19284
1 February 19305
22 April 193045
1 August 19314
1 June 193234
2 December 19323
11 July 193323
5 July 19342
2 November 1934
18 September 19403/4
17 July 19413/42
16 February 1956
14 June 195623
1 October 19572

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 £10,0002½ 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 3½ 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 882.

Following is a table 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£7501–£10000
1 January 192144NilNil
1 April 192844NilNilNil
1 August 1931NilNilNil
1 April 19333333NilNilNil
1 August 1933333NilNilNil
1 August 193433NilNilNil
1 August 19413322NilNilNil
1 June 194222NilNilNil
1 September 195222NilNil
1 May 1956333NilNil
1 August 1957333Nil
1 August 1959333

In May 1956 the interest rate was raised to 21 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 2½ per cent rate was extended to amounts from £5,000 to £7,500, and on 1 August 1959 the 2½ per cent rate was extended from £7,500 to £10,000.

Trustee Savings Banks.—The Trustee Savings Bank Act 1948 gives power to the Governor-General to fix the rates of interest to be paid on deposits. Changes in rates from 1908 onwards were given in the 1959 and earlier issues of the Year-Book.

From 1 April 1955 maximum interest rates payable by trustee savings banks were 2½ per cent up to £500 and 2 percent for amounts 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 have been given in the 1959 and earlier issues of the Year-Book.

As from 1 August 1957 interest rates on deposits with companies, etc., were 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 4 per cent from 1 January 1958. Reductions were made from 5¼ per cent in 1928 to 4¾ per cent in 1931, to 4 per cent in 1932, to 31 per cent in 1933, to 3¼ per cent in 1945, and to 3 per cent in 1949. There was an increase to 3¼ per cent in 1953, to 3½ per cent on 1 January 1955, to 3¾ per cent on 1 April 1956, and to 4 per cent on 1 January 1958.

Local authorises 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 which accrued to the New Zealand Government from the recoinage on this basis arose 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 1959 New Zealand coins of a total face value of £8,907,606 have been minted by the Royal Mint in London. Statistics of the face values of the various denominations of coin minted to 31 December 1959, and the value of New Zealand coin in circulation at 31 December 1959, are as follows.

 Total Minted to 31 December 1959In Circulation
 ££
Crown112,696110,959
Half-crown2,465,1001,251,014
Florin2,427,0001,291,498
Shilling1,117,000776,299
Sixpence1,068,500762,920
Threepence1,247,5001,004,090
Penny404,550364,834
Halfpenny65,260

In 1947 cupro-nickel coins were issued in place of silver coins, many of which were withdrawn from circulation as they were received by the banks.

Withdrawals of silver coinage to 31 December 1959 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 net 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 (estimated at £348,381 in 1959) 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 one of the trustee savings banks, upon certain types of accounts in the Post Office Savings Bank, 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 1960 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. 9d.£(N.Z.)101 0s. 0d.
 Air MailSea MailAir and Sea Mail
Bills, cheques, and drafts payable on demand£(N.Z.)99 19s. 3d.£(N.Z.)99 10s. 9d.£(N.Z.)101 0s. 0d.
Bills or drafts 3 days sight£(N.Z.)99 18s. 0d.£(N.Z.)99 9s. 6d.No quotation
Bills or drafts 30 days sight£(N.Z.)99 11s. 0d.£(N.Z.)99 2s. 6d.£(N.Z.)100 19s. 3d.
Bills or drafts 60 days sight£(N.Z.)99 4s. 6d.£(N.Z.)98 16s. 0d.£(N.Z.)100 18s. 6d.
Bills or drafts 90 days sight£(N.Z.)98 17s. 9d.£(N.Z.)98 9s. 3d.£(N.Z.)100 17s. 6d.
Bills or drafts 120 days sight£(N.Z.)98 11s. 3d.£(N.Z.)98 2s. 9d.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 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 27 February 1959At 29 February 1960
BuyingSellingBuyingSelling
United States of America (dollars per £(N.Z.))2.80572.77392.79922.7674
Canada (dollars per £(N.Z.))2.72592.69052.66222.6276
France (francs per £(N.Z.))1388135013861347
Belgium (francs per £(N.Z.))142.43137.90141.72137.20
Switzerland (francs per £(N.Z.))12.1511.9112.1811.93
Pakistan (N.Z. pence per rupee)17.90618.34417.90618.344

The rates applicable for telegraphic transfer to Australia in February 1960 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 1940 (No. 2) followed similar legislation passed in the United Kingdom shortly before the New Zealand measures came into force.

The regulations have been amended a number of times and were reprinted in 1953. The present position as regards banking and currency 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.

The operations of the Capital Issues Committee set up under the Finance Emergency Regulations are described earlier in this section.

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 or otherwise of an annuity, rent-charge, or sum of money other than a debt.

Where the ownership of land is registered under the Land Transfer Act (as, see Section 18A, the great majority of land titles now are) mortgages on that land are granted by virtue of the provisions of that Act: they take effect as securities and do not operate as transfers of the estate or interest charged. In the case of other land or property a mortgage is granted under what is known as the deeds or deeds-registration system; the mortgage in this instance operating as a conveyance or assignment of the land or property mortgaged, for the mortgagee becomes the registered proprietor of the land, subject to the right of the mortgagor to have the property re-registered in his name on the discharge of his obligations under the mortgage. Although in form a mortgage under the deeds system is a conveyance, in equity it is treated as merely a charge on the land.

Property That May be Mortgaged.—Any land covered by the definitions of “land” in the Property Law Act 1952 and the Land Transfer Act 1952 may be mortgaged. Where, however, property is subject to restrictions upon alienation, these restrictions usually apply to prevent such property being mortgaged. The following are the main instances in which mortgage of property is forbidden by law:

Family homes registered under the Family Protection Act 1908, 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 Magistrate's 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 numbers and amounts represented by mortgages registered and discharged during each of the last twenty-one years. The average rate of interest on new mortgages is also given.

Year Ended 31 MarchMortgages RegisteredAverage Rate of Interest on New Mortgages RegisteredMortgages Discharged
NumberAmountNumberAmount
  £(000)Per Cent £(000)
193925,18420,0414.5822,94316,595
194022,63217,6214.6920,69414,101
194121,66016,2674.6922,89715,934
194220,66714,5504.7322,57715,099
194317,07512,1414.7223,70816,680
194419,92815,5974.6327,16120,030
194521,21218,1004.5127,41421,012
194624,51622,5194.1029,17423,314
194729,88231,0893.8532,23425,947
194829,89332,0413.9029,00225,396
194929,57835,2993.9826,64223,375
195030,35236,0063.9926,09323,101
195143,87545,8204.0935,50332,266
195249,84067,9614.1537,92637,264
195350,63373,7134.2934,16031,401
195452,80770,3784.4936,72836,012
195557,99284,5994.6937,93141,155
195655,54496,2584.7634,07835,367
195751,23091,2115.0932,66337,680
195855,43799,5345.2437,44146,079
195956,195108,5465.1536,92044,394

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 tab's 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: Value by Districts.—The total amount for which mortgages were registered, under the Land Transfer Act, in each registration district during the last five financial years is given in the next table.

£
District1954–551955–561956–571957–581958–59
North Auckland21,245,32824,358,51022,861,68424,598,85228,280,961
South Auckland12,297,10214,661,80812,986,98114,573,89115,497,757
Gisborne1,500,7881,533,6281,437,4481,677,8281,562,875
Hawke's Bay4,445,9075,874,6264,958,9605,195,3636,038,923
Taranaki3,314,0153,666,5373,802,6454,186,8973,721,529
Wellington16,051,35718,533,38317,231,27617,821,60721,383,767
Marlborough937,5731,100,768962,7851,393,7891,110,883
Nelson1,726,0002,111,0441,749,9272,212,2411,920,068
Westland434,187395,808445,672477,296500,851
Canterbury11,818,78313,404,53813,424,99114,822,88015,555,057
Otago6,847,9107,504,5366,713,9947,810,7568,486,820
Southland4,638,6514,998,8174,784,9546,083,7905,127,508
        Gross totals85,257,60198,144,00391,361,317100,855,190109,186,999
        Duplications658,9211,886,161150,7801,320,749640,813
        Net totals84,598,68096,257,84291,210,53799,534,441108,546,186

Classification by Amount.—Of the gross total of £109,186,999 represented by mortgages registered during the financial year 1958–59, mortgages under £500 in value represented 2.2 per cent of the total; from £500 to £999, 4.1 per cent; £1,000 to £1,999, 15.3 per cent; £2,000 to £2,999, 34.2 per cent;£3,000 to £3,999, 8.1 per cent; £4,000 to £4,999, 4.6 per cent; £5,000 to £7,499, 8.0 per cent; and from £7,500 and over, 23.6 per cent. The following table gives the number and amount for town and suburban and country properties according to sum secured.

Amount GroupTown and SuburbanCountryAll Properties
NumberAmountNumberAmountNumberAmount
££ £ £ £
Under5008,8412,166,836678189,9669,5192,356,802
500–9995,9543,969,527806528,4356,7604,497,962
1,000–1,99910,28314,616,9001,4972,035,33711,78016,652,237
2,000–2,99914,73234,200,2971,3733,141,56616,10537,341,863
3,000–3,9991,8866,110,4798382,735,0312,7248,845,510
4,000–4,9995702,411,9406032,570,5321,1734,982,472
5,000–7,4994362,438,1461,0746,318,9641,5108,757,110
7,500 and over4347,174,3991,39818,578,6441,83225,753,043
Unspecified3,414..1,401..4,815..
        Gross totals46,55073,088,5249,66836,098,47556,218109,186,999
        Duplications15371,3738269,44023640,813
        Net totals46,53572,717,1519,66035,829,03556,195108,546,186

Excluding mortgages for which no amounts were shown, the average amount for each mortgage registered in 1958–59 was £2,113 as compared with £2,015 in 1957–58.

Mortgages on Urban and Rural Securities.—Figures are available in the case of 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 1958–59 were secured on areas averaging just over one-quarter of an acre in extent, as compared with an average area of some 283 acres in the case of “country” securities.

Town and suburban securities accounted for 83 per cent of the number and 67 per cent of the aggregate value of mortgages in 1958–59 as compared with 17 per cent and 33 per cent respectively in the case of country properties.

The following table gives mortgages registered in the various districts during the year 1958–59.

DistrictTown and SuburbanCountry
NumberAreaAmount SecuredNumberAreaAmount Secured
  Acres£ Acres£
North Auckland13,8903,66022,690,4212,057290,7495,590,540
South Auckland4,7941,3808,127,4651,794363,7167,370,292
Gisborne657257959,380143109,831603,495
Hawke's Bay2,0925333,369,636535191,2802,669,287
Taranaki1,1643581,758,544567116,8401,962,985
Wellington9,6932,40816,276,6731,230392,4175,107,094
Marlborough418125603,412159104,429507,471
Nelson1,0632621,273,09437580,588646,974
Westland28366331,0606220,687169,791
Canterbury6,7631,55710,146,2351,301377,6255,408,822
Otago4,3089015,123,264833459,0753,363,556
Southland1,4253682,429,340612232,2742,698,168
        Totals46,55011,87573,088,5249,6682,739,51136,098,475

During the past 11 years the trend in mortgage registrations has passed through several distinct stages. Prior to the lifting of controls on land sales there was a steady increase in the number of mortgage agreements 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. Following this change there was a marked increase in activity during the next two years. Since that time—that is, since 1953–54—the level of mortgage business has remained high, and though there has been considerable fluctuation from year to year the general trend has been upward.

In 1950–51, the first full year following the release of urban properties from controls, the value of new urban mortgages was £32,030,000, this compared with £22,631,000 in the previous year. The following year, 1951–52, new urban mortgages showed a further large increase to reach £46,751,000. For the next two years slight drops were recorded in the amount secured, but in 1954–55 the total for new urban mortgages increased by £10,609,000 to £52,874,000, and in 1955–56 rose markedly to £64,421,000. The statistics for the next two years were slightly below those for 1955–56, but in the latest year, 1958–59, a small increase in the number of urban mortgages registered and a significant increase in the amount secured were recorded.

The movement in new rural mortgages does not always follow the same pattern as that of urban mortgages. In 1951–52, which was the first full year after the release of rural property from controls, the value of new mortgage transactions increased from £14,023,000 to £26,425,000. Since that time the total rural mortgage consideration has fluctuated from year to year but not to the extent that has been shown by urban mortgages. There was a marked increase of £5,828,000, or 18 per cent, in the value of new rural mortgages in 1957–58, a year in which the value of new urban mortgages increased by only about 6 per cent, and in the latest year rural mortgages registered have decreased in value by £2,451,000 or 6 per cent, at a time when the new urban mortgages increased by 17 per cent in value.

Year Ended 31 MarchNumberAreaAmount Secured
Town and SuburbanCountryTotalTown and SuburbanCountryTotal
  AcresAcresAcres£££
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
195855,46811,2513,194,2803,205,53162,305,81938,549,371100,855,150
195956,21811,8752,739,5112,751,38773,088,52436,098,475109,186,999

NOTE.—These figures exclude certain miscellaneous registrations, but have not been adjusted to exclude duplications.

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 £1,321,000 in 1957–58 and £640,813 in 1958–59).

£
Rate Per Cent1957–581958–59
1/24,61527,800
5/8260..
3/43702,080
159,47769,839
4,100..
7,8404,836
1⅔15,000..
50..
2149,212138,681
2⅛..410
4,500..
66,66876,707
2⅗762..
2⅞25,000..
35,894,81713,788,295
3⅛4,20034,444
48,7527,600
3⅓..27,000
172,423218,463
23,2183,547
3 9/10..325
41,552,0661,191,625
4½0..2,000
4⅛1,352,259963,570
4⅕..7,000
560,910418,166
4⅓..110
4⅜4188,530
896,084682,760
4⅗..200
4⅝49,11031,607
4⅔..515
11,867,91510,472,738
4⅞1,006,6471,310,188
515,925,05012,388,291
5 1/103,6806,000
5⅛47,64512,180
5⅙1,000..
5⅕1,0005,000
934,313317,431
32,963,18734,368,556
5⅝..2,000
243,778318,104
5⅞..12,725
5 9/102,352..
610,756,77211,165,867
6 1/10..800
6⅛275..
6⅕1,000..
53,31488,050
6⅜19,665..
2,446,7743,701,093
10,30017,190
6⅘..600
71,245,2011,772,727
7 1/10..3,500
7⅛3,200..
55,6004,100
502,316931,924
10,2005,697
7⅞1,150..
8841,9721,358,477
8 3/20..347
8⅕..2,750
1,00040
49,150183,678
8⅔6,0001,581
965,700115,233
9⅛140..
9⅓12,860..
5,14724,145
10437,535552,419
10½3002,100
10¾800..
114,650..
11⅝550..
126,0373,700
12½6,17231,435
12¾2,175..
142,000..
1541,21112,887
15½300..
16..9,950
181,0005,800
19..205
2027,00029,820
251,510..
301052,355
35507..
48..50
Unspecified10,346,92412,239,156
  Totals100,855,190109,186,999

A further classification of the 1958–59 figures in the preceding table is now given, showing the various rates of interest for town and suburban and country properties.

£
1958–59
Rate Per CentTown and SuburbanCountry
1/23,70024,100
3/42,080..
110,91558,924
3,5701,266
253,27085,411
2⅛..410
26,07050,637
311,677,5972,110,698
3⅛30,2544,190
5,6002,000
3⅓..27,000
97,876120,587
3,247300
3 9/10325..
4331,090860,535
4½0..2,000
4⅛131,458832,112
4⅕..7,000
285,061133,105
4⅓110..
4⅜5,9602,570
268,163414,597
4⅗200..
4⅝4,61026,997
4⅔100415
9,746,739725,999
4⅞850,020460,168
55,579,7786,808,513
5 1/10..6,000
5⅛2,5009,680
5⅕5,000..
52,218265,213
21,303,59013,064,966
5⅝2,000..
142,504175,600
5⅞2,31010,415
68,200,7132,965,154
6 1/10800..
74,05014,000
2,508,8491,192,244
14,6902,500
6⅘600..
71,363,888408,839
7 1/103,500..
4,100..
612,942318,982
5,697..
81,105,638252,839
8 3/20..347
8⅕2,750..
..40
168,01315,665
8⅔1,581..
9105,2349,999
16,8407,305
10355,193197,226
10½2,100..
123,700..
12½26,4355,000
1510,7872,100
169,950..
18..5,800
19205..
2023,2706,550
302,355..
48..50
Unspecified7,836,7294,402,427
  Totals73,088,52436,098,475

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 later years affected the rate. The average rate has been showing a rising trend during the last decade but a drop was recorded in 1958–59 largely as a result of the State Advances Corporation 3 per cent home-building loans which were introduced in February 1958. The average rate of interest for town and suburban properties for 1958–59 was 5.11 per cent, as compared with 5.25 per cent for country properties. The comparative figures for 1957–58 were 5.27 and 5.20 respectively.

Averages for recent years for all properties have been as follows.

Year Ended 31 MarchAverage Rate Per Cent
19483.90
19493.98
19503.99
19514.09
19524.15
19534.29
19544.49
19554.69
19564.76
19575.09
19585.24
19595.15

The following table shows interest rates of first mortgages on town and rural properties for the years ended 31 March 1955–59. 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)
19555.074.524.714.864.554.664.69
19565.144.564.784.904.584.724.76
19575.504.835.115.284.865.075.09
19585.625.005.275.435.015.205.24
19595.774.775.115.475.135.255.15

The table shows that there has been a rising trend in interest rates in all classes of mortgages until 1958–59 when the State Advances Corporation home-building loans at 3 per cent had the effect of reducing the rate for first table town mortgages and the averages for total town and all property mortgages.

The next table gives the amount of mortgage money and interest rate of each class of mortgage for the three years ended 31 March 1957–59.

Class of MortgageAmount £(000) Year Ended 31 MarchAverage Rate of Interest (Per Cent) Year Ended 31 March
195719581959195719581959
First Flat Town15,48815,57814,6105.505.625.77
First Table Town32,70934,61445,2114.835.004.77
    Totals, Town (including other)53,35755,63665,2525.115.275.11
First Flat Rural12,52613,5429,5185.285.435.47
First Table Rural12,27015,79617,3604.865.015.13
    Totals, Rural (including other)29,84634,87231,6965.075.205.25
        Totals, Town and Rural83,20490,50896,9485.095.245.15

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 1947–48 to 1957–58 no less than 36.7, 30.2, 28.0, 22.4, 16.8, 16.2, 12.9, 9.3, 7.7, 6.5, and 5.8 per cent respectively were at this rate, as compared with only 2.0 per cent in 1944–45. The proportion of 3 per cent loans for 1958–59 has risen to 14.2 per cent. This increase has resulted from the introduction by the State Advances Corporation of 3 per cent home-building loans. If all 3 per cent mortgages were to be excluded the average of the remaining rates would be found to have increased in 1958–59. 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 1958–59 were 43.2 and 9.1 respectively.

A further analysis showing amounts classified 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 five years.

Year Ended 31 MarchNot Exceeding 3 Per CentOver 3 Per Cent to 4 Per CentOver 4 Per Cent to 4½ Per CentOver 4½ Per Cent to 4¾ Per CentOver 4¾ Per Cent to 5 Per CentOver 5 Per Cent to 5½ Per CentOver 5½ Per Cent to 6 Per CentExceeding 6 Per Cent
Amount (£000)
194910,7965,05711,3861762,686570423500
195010,3025,52512,7482582,440277380569
195110,5586,90418,9843143,466321477880
195212,6359,83834,6213874,7229906521,113
195312,5344,70934,8071,14311,8131,1011,2171,516
19549,5123,60721,98494021,7761,6432,2251,651
19558,4313,54721,50786332,3442,8975,4572,441
19568,1372,70821,4882,10043,6834,5105,1092,861
19576,3041,6909,9476,87221,54424,2737,8054,768
19586,2331,8012,81011,91716,93233,95111,0035,863
195914,1091,4832,08210,50513,69834,70911,4998,863
Percentage of Total
194934.216.036.00.68.51.81.31.6
195031.717.039.20.87.50.91.21.8
195125.216.545.30.78.30.81.12.1
195219.515.153.30.67.31.51.01.7
195318.26.850.61.717.21.61.82.2
195415.05.734.71.534.42.63.52.6
195510.94.627.81.141.73.77.03.1
19569.03.023.72.348.25.05.63.2
19577.62.012.08.325.929.29.45.7
19586.92.03.113.218.737.512.26.5
195914.61.52.210.814.135.811.99.1

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 thirteen years registrations exceeded discharges, the difference for each of the last three years being £53,531,000 in 1956–57, £53,456,000 in 1957–58, and £64,152,225.

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, and a large increase to a record figure of £46,100,000 followed in 1957–58. The value of discharges for 1958–59 was nearly £2,000,000 less than this record.

The total amount of mortgages discharged, including mortgages under the deeds-registration system, for the last four years is as follows.

District1955–561956–571957–581958–59
NumberAmountNumberAmountNumberAmountNumberAmount
  £ £ £ £
North Auckland8,2437,508,9608,2199,242,7919,39610,439,3619,33110,676,389
South Auckland3,5623,872,5073,2273,990,0814,0055,520,5573,8025,389,392
Gisborne603965,577518716,166597856,969524611,436
Hawke's Bay1,5871,960,0491,5451,922,8101,6272,363,3881,6582,147,706
Taranaki1,1941,540,4061,1861,605,0761,3731,894,7831,2401,634,326
Wellington6,7897,295,6116,3117,313,4237,3229,150,4267,5449,457,107
Marlborough392445,978354489,431405517,879431549,078
Nelson944825,379923834,3381,000978,9921,0461,030,157
Westland257195,594266168,957344272,180292229,379
Canterbury5,2795,885,2105,0566,158,0555,5607,063,9265,6576,726,439
Otago3,6913,081,7733,5473,255,8174,0064,237,5203,8603,895,907
Southland1,5451,830,3891,5141,991,9641,8112,792,4591,5402,070,866
    Gross totals34,08635,407,43332,66637,688,90937,44646,088,44036,92544,418,182
    Duplications839,95039,10059,570524,221
    Net totals34,07835,367,48332,66337,679,80937,44146,078,87036,92044,393,961

Details of town and suburban and country discharges for 1958–59 are given in the following table.

DistrictYear Ended 31 March 1959
Town and SuburbanCountry
NumberAreaAmount DischargedNumberAreaAmount Discharged
  Acres£ Acres£
North Auckland7,7822,0758,384,6101,549224,6922,291,779
South Auckland2,5487462,717,0411,254254,3252,672,351
Gisborne359146336,65116584,174274,785
Hawke's Bay1,2283301,150,039430124,656997,667
Taranaki743220718,245497102,797916,081
Wellington6,5131,4417,077,0811,031270,6322,380,026
Marlborough28687246,347145153,419302,731
Nelson770188636,05727640,690394,100
Westland22251140,4187016,40688,961
Canterbury4,6021,0734,451,3021,055247,2382,275,137
Otago3,1556282,633,202705292,5871,262,705
Southland1,0522931,004,396488186,2101,066,470
    Gross totals29,2607,27829,495,3897,6651,997,82614,922,793
    Duplications4..22,5811..1,640
    Net totals29,256..29,472,8087,664..14,921,153

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.

In view of the heavy call on its financial resources and the need to overtake the housing shortage, the Corporation has for some years been concentrating its residential lending on the provision of loans for the erection of houses or the acquisition of houses which have not previously been occupied. Applicants are expected to contribute as fully as reasonably possible from their own resources. The Corporation's aim is to assist home-seekers to acquire moderately-priced new homes of a good standard and provide reasonable accommodation for the applicant and his family.

Advances may be made on the security of a first mortgage of land and, under what is known as its “ordinary” lending operations, the Corporation entertains loans up to two-thirds of the assessed value of the land and house, with a maximum not generally in excess of £2,500.

Where a loan on a two-thirds margin is insufficient to enable the applicant to achieve his objective, “special” loans are entertained. Whilst no specific maximum loan is laid down for “special” loans, factors such as family commitments, capital resources and cost of house and land are taken into account. Each applicant is expected to make a reasonable contribution himself and, as already stated, is also expected to contribute as much as reasonably possible from his available assets. In general each case is considered on its merits.

Early in 1958 a scheme was introduced whereby loans with the interest rebated to 3 per cent were made available to borrowers who had not owned a property within a period of five years prior to the date of application, and where the income of the breadwinner did not exceed £1,000 per annum (increased by £50 for each dependent child), including overtime and bonuses, but without taking into account family benefit or war pensions. In the period from 12 February 1958 to 29 February 1960 there had been approved under this latter provision 15,481 loans of a total value of £37,600,555, the figures for the year ended 31 March 1960 being 8,295 loans involving £20,528,985.

Where an applicant does not qualify for 3 per cent interest any loan granted is at the Corporation's normal lending rate which is at present 4¾ per cent.

In cases where the normal lending 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.

Approximately 10 years ago the Government introduced a suspensory loan scheme which is still in operation. In effect an applicant having a house erected for himself can qualify for an additional subsidy up to 10 per cent of the cost of the house (with a maximum of £200). The suspensory loan is reduced by £1 for each £2 by which the cost exceeds £2,300, up to a total cost of £2,600. If, however, the applicant has three children the limit of £2,300 is increased to £2,450, for four children to £2,600, and for five or more children to £2,750. Applicants who are granted 3 per cent loans do not also qualify for suspensory loans. The number of loans of this type approved during the year ended 31 March 1959 was 835, involving £129,380, and the total to 31 March 1959 was £3,824,912 in respect of 23,620 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 1958–59 year 103 suspensory loans of this type were granted involving advances of £167,345. Since the scheme was put into operation a total of 3,009 such suspensory loans have been authorized, the aggregate amount involved being £3,597,821. 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.

All mortgagors who receive from the Corporation a loan secured by a mortgage of land are 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 past 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 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 and Housing Construction; and Tenancy).

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 1959 is as follows.

ClassificationNumber of AccountsCapital Investment
State Advances Corporation—
  Mortgage investments— £
    Urban81,788108,635,206
    Rural23,27153,933,100
  Loans to industries under section 29361,340,532
Net principal not due..163,908,838
Seasonal current account debit balances404725,589
Government and local authority securities88310,480,741
Housing Account—
  Dwellings let (less depreciation)40,24585,025,614
  Shops, halls, and communal garages (less depreciation)174
  Dwellings sold15,56429,954,647
  Loans to local authorities1251,267,212
  Loans to employers22106,211
Rural Housing Act: loans to local authorities94777,388
Advances under Rehabilitation Act 1941—
  Furniture, tools of trade, business, and miscellaneous2,081231,943
  Interest-free supplementary loans..1,541,768
Other agencies—
  Health Department94865,065
  Agriculture Emergency Powers Act 193411,763
  Farmers' Loans Emergency Regulations 194083,057
  Gas companies4166,523
  Ministry of Works' hutments rented to farmers2372
  Suspensory loans (rural and urban)20,2936,249,040
  Timber workers' housing—
    Levies accounts12317,056
    Rental accounts113
  Miscellaneous rentals, etc.661 
                         Totals185,875£301,622,827

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 1959 the authorized capital was £1,000,000, while stock and debentures outstanding were £159,621,890, an increase of £15,000,000 in the case of the latter compared with 31 March 1958.

The General Reserve Fund at 31 March 1959 amounted to £10,426,453, and, in addition, there were specific reserves amounting to £3,232,248, making a total of £13,658,701, as compared with £12,765,400 at 31 March 1958.

Mortgages and accrued interest at 31 March 1959 totalled £163,557,108, an increase of £14,666,163 as compared with 31 March 1958, while Government and local authority securities and accrued interest at £10,563,011 were greater by £770,949.

The disposition and appropriation of profits in respect of operations during each of the last three financial years are given in the following table.

£
1956–571957–581958–59
Gross income6,099,9166,482,2767,100,090
  Less interest on General Reserve Fund investments308,655337,587381,393
Gross income (mortgage and temporary investments)5,791,2616,144,6896,718,697
Interest on stock and debentures4,312,0234,660,9715,103,281
          Gross profit1,479,2381,483,7181,615,416
Management expenses703,638706,727702,416
          Net profit775,600776,991913,000
  Less reserve for taxes570,000600,000675,000
  Less reserve for losses102,12080,817102,628
          Surplus payable to Crown103,48096,174135,372

The gross income of £7,100,090 in 1958–59 included £5,940,587 interest on mortgages and current accounts, £383,988 interest on Government and local authority securities and temporary investments, and £775,515 recovery from the Rehabilitation Division on account of interest concessions to ex-servicemen on rehabilitation advances. Corresponding figures for 1957–58 were £5,335,586, £350,487, and £796,203 respectively.

New Business.—A summary of loan operations (new business) for the last two financial years is given in the following table.

Loans Authorized1957–581958–59
NumberValueNumberValue

* Excludes the number of supplementary and suspensory loans.

† Includes 42 loans covering 374 flats and houses.

‡ Includes 18 loans covering 89 flats and houses.

Urban securities— £ £
  Erection of dwellings7,30916,093,4809,86123,182,990
  Purchase, refinance, and other purposes1,6812,064,1581,5251,769,455
  Supplementary(309)21,305(242)15,535
  Suspensory(2,352)354,672(800)123,605
        Totals, urban8,990*18,533,61511,386*25,091,585
Rural securities—
  Purchase, refinance, and other purposes1,1595,142,2071,0184,161,526
  Suspensory(227)315,950(138)173,120
  Supplementary(..) (1)400
        Totals, rural1,159*5,458,1571,018*4,335,046
Loans to industry10857,2003213,500
Local authorities723,115,70017264,960
Grand totals10,231*27,964,67212,42429,905,091

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 1958Year Ended 31 March 1959Total to 31 March 1959
No.ValueNo.ValueNo.Value
  £ £ £
Business6358,6852119,52511,5167,491,980
Furniture55954,04329227,79663,4985,929,213
Tools of trade278....1,48148,914
Miscellaneous....2100668131,807
Additional advances8385930862452,338
        Totals632113,19132447,72977,78713,654,252

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)24,49393,306,354
Residential (including supplementary)128,180193,359,261
Local authorities1,12717,922,713
Industries613,230,048
          Totals153,861307,818,376

The lending rate of the Corporation was maintained until the end of 1953 at 4⅛ 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 Advances Corporation increased interest rates from 1 January 1954 on loans for the purchase of approved urban and rural properties from 4⅛ per cent to 4⅞ 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 4⅛ per cent to 4¾ per cent as from 1 April 1956.

The following summary shows the annual cost—i.e., interest and principal payments—per £100 borrowed on table mortgage at 3 per cent, 4¾ per cent, and 5 per cent for the various periods.

TermAnnual Amount Payable Per £100 Borrowed
3 Per Cent4¾ Per Cent5 Per Cent
 £s.d.£s.d.£s.d.
10 years111301213812168
15 years8669809112
20 years613871607194
25 years51446176710
30 years5166510694

Special plans prepared by leading architects are available in book form, and assistance in calling tenders and in the erection of the houses is available from the Corporation's technical officers.

RURAL INTERMEDIATE CREDIT.—The Rural Intermediate Credit Board, appointed in terms of the Rural Intermediate Credit Act 1927, provided a source from which farmers could obtain loan finance on favourable terms for such purposes as the purchase of stock and plant and farm improvements.

Pursuant to the provisions of Part VI of the State Advances Corporation Act 1936, the former Rural Intermediate Credit Board went out of office on 1 July 1937, and was replaced by the Board of Management of the State Advances Corporation, whose members became the Rural Intermediate Credit Board.

In terms of the Rural Intermediate Credit Amendment Act 1946 the business of the Rural Intermediate Credit Board was, as from 1 October 1946, absorbed by the State Advances Corporation, the Board being abolished as from that date.

Under the Act farmers may obtain assistance in the following manner:

  1. By borrowing through co-operative rural intermediate credit associations whose formation (with not less than twenty members and with certain defined objects) is provided for by the Act. The application for the loan is received and considered by the association concerned, which, on approving it, applies to the Corporation for its confirmation and for an advance to cover the loan. These loans are repayable on demand, but it has been the policy to arrange for the borrower to repay the amounts advanced 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 1959 there were eight co-operative rural intermediate credit associations in operation. The loans authorized through this channel during the year 1958–59 amounted to £146,020, and there were 298 loans current at the end of the year for an aggregate amount of £208,302.

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.—Should they desire to own their own homes, State house tenants are given the opportunity of buying 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. 909–910). 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 4⅛ 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 1959 the number sold to the tenants was 16,085, for a total sale price of £37,573,405. These figures allow for repurchases by the Crown during the same period.

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 prescribed 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. The rates were varied from time to time by subsequent orders, but the restrictions were removed from 1 August 1957, except for deposits in the societies' savings banks, the rates for this class being the same as for Post Office Savings Bank deposits.

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 £4,000. 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 functioning in 1958–59 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 1954–55 to 1958–59 particulars of permanent societies, including data on number and value of investing and capital shares.

1954–551955–561956–571957–581958–59
Number of societies5555545454
    Investing Shares     
Number of shares650,457678,553727,814817,800876,557
Members holding27,06026,75126,83427,73928,042
Aggregate value£7,127,400£7,381,598£7,750,980£8,525,253£9,059,485
    Capital Shares     
Number of shares809,855795,382918,8391,015,1741,154,585
Members holding5,7025,6445,8686,0016,083
Aggregate value£1,999,192£2,136,231£2,261,774£2,373,418£2,456,112

At March 1959 the average value of each investing share was £10 7s., and the average value of such shares held by each member was £323. The comparative figures for capital shares were £2 3s. and £404.

Terminating Societies.—Although the number of terminating societies fell for some years, the total membership and value of shares continue to grow. Measured by these criteria, the size of the average existing society has therefore increased greatly. 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 1954–55 to 1958–59. 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
     £
1954–5518341143,698897,63910,765,148
1955–5617366158,7321,071,56012,623,470
1956–5718395183,5201,286,11514,853,317
1957–5818418204,4801,472,96017,371,301
1958–5918440217,1211,657,90820,420,720

The average value per share in 1958–59 was £12 6s., and the average value of shares held per member was £94 2s. The figures for 1954–55 were, respectively, £12 and £74 15s.

RECEIPTS AND PAYMENTS.—Following is a summary of receipts and payments for all societies during each of the five years 1954–55 to 1958–59.

£
1954–551955–561956–571957–581958–59
Receipts
Investors' subscriptions and capital shares3,326,0443,749,5394,131,5755,000,1605,260,801
Advances repaid3,513,0923,546,0063,887,7944,371,3564,837,664
Deposits2,736,2512,695,8242,556,5193,131,9933,639,659
Interest686,539740,230791,226902,7851,003,941
Other receipts698,036602,718679,444660,3351,001,183
    Total receipts10,959,96211,334,31712,046,55814,066,62915,743,248
Payments
Withdrawals748,610947,7701,149,2721,364,3971,483,885
Advances6,417,6806,187,2056,256,2097,470,4418,420,752
Expenses of management269,815273,213337,299385,029431,682
Dividends paid111,178126,541129,719140,453145,265
Deposits repaid2,506,0052,636,0422,662,4042,952,3613,016,041
Interest paid230,563251,603269,350300,857352,138
Other payments785,293822,4841,323,2071,407,8881,892,025
    Total payments11,069,14411,244,85812,127,46014,021,42615,741,788

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. The removal of these restrictions possibly contributed towards the increase in deposit receipts and loans advanced. The ratio of loan repayments to advances was 62.1 per cent in 1956–57, 58.5 per cent in 1957–58, and 57.5 per cent in 1958–59.

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.
  £ £ £
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
1957–5815,06317,409,77523,77718,613,36238,84036,023,137
1958–5915,29518,673,16025,61320,997,24840,90839,670,408

The average amount owing by each borrower at the end of each of the five years is given below.

£
Class1954–551955–561956–571957–581958–59
Permanent societies9721,0531,0791,1561,221
Terminating societies695784742783820
All societies828906879927970

Particulars of loans granted during each of the last five years follow.

YearPermanent SocietiesTerminating Societies
By BallotBy Auction
NumberAmountNumberAmountNumberAmountPremiums
  £ £ ££
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
1957–582,5113,255,0881,1641,531,0561,7912,596,1251,201,108
1958–592,4323,214,6871,2481,830,8731,8612,966,4151,383,315

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 £1,322 and by terminating societies (ballot) £1,475 and (auction) £1,594. The average premium on auctioned loans, representing total interest payment over the period of the loan, was £743.

During the last five years a pronounced rise in premium rates seems to reflect the hardening of interest rates generally. The average premium rates on auctioned loans during the last three years were: 1956–57, £44.6 per cent, 1957–58, £46.3 per cent, and 1958–59, £46.6 per cent. The average premium rate for 1958–59 was equivalent to an interest rate of 5.41 per cent, calculated on the basis of a fifteen-year repayment term with six-monthly rests.

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 1958–59, 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 societies490885,9591,1291,748,278813580,4502,4323,224,687
Terminating societies—
  By ballot228317,1257471,191,836273321,9121,2481,830,873
  By auction387575,2781,2252,056,935249334,2021,8612,966,415
    Totals, all societies—
      1958–591,1051,778,3623,1014,997,0491,3351,236,5645,5418,011,975
      1957–581,0581,690,0013,0854,497,6061,3231,194,6625,4667,382,269
      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

The increase in loan authorizations in 1958–59 was not as marked as in 1957–58, but total activity was still considerably above the level of recent years. Most of the increased activity of the past two years has been directed towards the purchase of existing dwellings.

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 1954–55 to 1958–59 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
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
1957–5832,417,4834,886,8571,777,1251,241,79140,323,257
1958–5936,493,0005,795,3561,788,3941,118,59845,195,348

ASSETS

£
YearAdvances on Mortgage*Advances on SharesOther Investments and AssetsCash in Hand and at BankTotal Assets
* Includes balance owing on premiums on loans.
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
1957–5836,412,110497,6483,147,163266,33640,323,257
1958–5940,514,015615,5303,813,306252,49745,195,348

The ratio of advances on mortgage to total assets has been maintained at a high level during the last few years, the figure for 1958–59 being 89.6 per cent.

33 D—JOINT-STOCK COMPANIES

Legislation.—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.

A short history of legislation relating to joint-stock companies appeared in the 1958 and earlier issues of the Year-Book. Comprehensive legislation is contained in the Companies Act 1955, which came into force on 1 January 1957, and which replaced the Companies Act 1933.

The Act of 1955 was substantially modelled on the United Kingdom Companies Act 1948 as far as that might 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 in the following paragraphs.

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, reissuable 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 overprovision 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 872.

New Companies Registered.—The table following gives a classification of new companies registered in 1958 according to the amount of nominal capital.

Amount of Nominal CapitalPrivate CompaniesPublic CompaniesOverseas Companies
NumberNominal CapitalNumberNominal CapitalNumberNominal Capital
  £ £ £
Under £1,000622228,551........
£1,000 and under £2,000664764,02022,000...
£2,000 and under £3,0005481,181,495........
£3,000 and under £4,000294913,245....13,610
£4,000 and under £5,000165684,120........
£5,000 and under £6,000188948,081210,00015,000
£6,000 and under £7,00076462,19516,000....
£7,000 and under £8,00058418,685........
£8,000 and under £9,00033264,600........
£9,000 and under £10,00035320,049........
£10,000 and under £15,0002012,128,025440,000220,000
£15,000 and under £20,00031512,576....117,895
£20,000 and under £50,000601,599,900120,000365,000
£50,000 and over191,833,0022350,0001916,546,695
Limited by guarantee1..........
Totals2,99512,258,54412428,0002716,658,200

Seven private and two public companies were registered with authorized capital of £100,000 or over.

The nominal capital shown for overseas companies is the total nominal capital of these companies and of course bears no relationship to their capital resources employed in New Zealand. It is shown merely as some indication of the relative size of overseas companies commencing business in this country.

The total nominal value for March years of capital resources employed in New Zealand by branches of overseas companies is available on request to the Department of Statistics.

The number of new registrations of private companies decreased in 1958, being 468 lower than the comparable figure for 1957. The decrease was more noticeable among the smaller concerns; total authorized capital was lower by £1,851,000.

The extent of changes in registrations and nominal capital of private companies between 1948 and 1958, expressed as percentages of the totals, is shown in the following table.

Per Cent.
Amount of Nominal CapitalNumberAmount of Capital
1948195819481958
Under £1,00016.120.82.01.9
£1,000 and under £5,00062.755.838.728.9
£5,000 and under £10,00014.913.026.719.7
£10,000 and over6.310.432.649.5
Totals100.0100.0100.0100.0

Compiled from published sources, the following summary gives the stated objects of all new companies registered during 1956–1958. 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 Group195619571958
Agriculture and livestock production449499408
Forestry, hunting, and fishing191214
Mining and quarrying333032
Manufacturing—
  Food, beverages, and tobacco516565
  Textiles, footwear, and apparel90116114
  Woodwork and furniture707860
  Machinery146143108
  Transport equipment173152125
  Other227200202
Construction357358331
Commerce—
  Wholesale and retail880966763
  Banks and other financial institutions185177175
  Real estate194239241
  Other16 
Transport, storage, and communication146140130
Services—
  Community and business435027
  Personal140221169
  Other222528
Miscellaneous293642
        Totals3,2553,5133,034

In the following table a notable feature is the increase in both the number and aggregate nominal capital of new private companies registered since 1948. For 1958 the average authorized capital per new registration was: private companies, £4,094; public companies, £35,667,

YearPrivate CompaniesPublic CompaniesOverseas Companies
NumberNominal CapitalNumberNominal CapitalNumberNominal Capital
*Of this number one company was limited (as to capital) by guarantee.
  £ £ £
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
19573,46214,110,612251,444,25026*64,926,733
19582,995*12,258,54412428,0002716,658,200

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 were compiled on four occasions, for the years 1926, 1932, 1938, and 1947.

For detailed tables in connection with the 1947 inquiry into registered companies the 1950 Year-Book should be consulted, while a summary only of the principal information for the four enumerations was given in the subsequent issues up to 1958.

Companies on Register, March 1959 and 1960.—The number of public companies on the register at 31 March 1959 was 1,549 and the number of private companies 33,790. At 31 March 1960 the corresponding figures were: public companies 1,571, private companies 36,906. 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.

This article, which is a continuation of similar material published in the 1959 Year-Book on pages 903–909, is based on published balance sheets obtained from a number of New Zealand public companies.

The financial statements of 215 companies balancing between 1 April 1957 and 31 March 1958 have been analysed, and comparable figures are shown for the preceding year. (In this context, the year “1958” above a table, or “1957–58” in the text, for example, means financial statements relating to balance dates falling within the year ended 31 March 1958. Many companies balance on 31 March, but other annual accounts relate to a somewhat earlier trading period.)

The following is a brief outline of the more significant matters affecting the individual company groups during the periods referred to above.

Glossary: Cost of Sales.—Turnover less gross profit. Current Assets: Cash plus those assets which are expected to be turned into cash within twelve months. Current Liabilities: Those liabilities which are expected to be met within twelve months. Debtor Collection Ratio: Annual turnover divided by trade debtors plus bills receivable. Funds Available: Net increases in liabilities and net decreases in assets between annual balance dates. Funds used: Net increases in assets and net decreases in liabilities between annual balance dates. Gross Profit Mark-up: Gross profit as a percentage of cost of sales. 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. Proprietary Ratio: Proportion of proprietor's funds to total assets. Stock Turnover Ratio: Cost of sales divided by average stock held.

Balance Sheets.—The balance sheets of the companies for the two years in question are set out in summary form in the tables. Cash and bank balances have been run down slightly, and at the same time greater reliance has been placed on bank overdraft facilities, although in some cases reductions in overdrafts have been made. Stocks have increased overall, especially under the headings “mainly retail”, “department stores”, and “construction”. On the liabilities side, the increased current tax provisions reflect the increase in net profits as shown in a later table.

Source and Use of Funds.—The table of the source and use of funds for 1957–58 shows that over half the total funds received (56 per cent) were provided from profits (including depreciation). Of this, about 70 per cent came from depreciation, the balance coming from net retained profits. (In the previous year, the proportions were about equal between profits and depreciation.) This is a further continuation of the rise in the proportion of funds provided from profits, the proportion increasing over past years as follows:

1953–5435.9 per cent
1954–5537.1 per cent
1955–5640.2 per cent
1956–5750.6 per cent
1957–5856.3 per cent

Share capital, after remaining constant for two years at 13 per cent of the total sources of funds has risen to 20 per cent for 1958, the proportion for ordinary shares increasing more than that for preference shares. Mortgages and debentures were also a little more important as a source of funds than for the previous year.

A slightly smaller proportion (28 per cent) of the total funds received was employed for short-term purposes, by comparison with the previous year, when about one-third was used in this manner. The main changes have been a substantial increase in the use of funds to finance debtors (from 5 to 14 per cent); and a substantial decrease in the percentage employed in stocks (15 per cent in 1957 to 5 per cent in 1958).

In 1957, almost 12 per cent of the funds employed were used to improve the cash position, either by reducing overdrafts or increasing cash and bank balances, whereas, during 1958, firms in total employed just over 9 per cent of funds for this purpose.

Over 70 per cent of the total funds employed were used for long-term purposes, principally additions to property and plant and depreciation provisions, which totalled 55 per cent of total funds received (58 per cent in 1957). The share of total funds devoted to “other long-term investment” has risen from 7 per cent in 1957 to 16 per cent in 1958.

Liquidity.—Various ratios showing the short-term liquidity of the companies analysed are shown in the tables. Apart from the ratio of bank overdraft to current assets, all the other ratios show a stronger liquid position.

The table of net profits after tax reflects improved trading conditions during the year, with the result that net profits increased by over one-quarter. The greatest increase was in the “manufacturing other than food” group, where in many cases the increases followed a considerable reduction in profits in the previous year. There was some reduction in profits in the meat processing, construction, and gas groups. Net profits as a proportion of shareholders' funds increased, but the proportion paid out as dividends showed some reduction. In some cases, where high percentages have been distributed as dividends, there may have been transfers from reserves, or use made of the existing balance in profit and loss appropriation account.

Amalgamated Balance Sheets of 215 New Zealand Public Companies

£ (Million)
Total FoodManufacturing Other than FoodTotal ManufacturingTotal Other than ManufacturingTotal
Number of Companies249712194215
Assets1957195819571958195719581957195819571958
Current assets—
  Cash and bank1.81.81.21.13.02.92.82.45.75.4
  Stock7.98.028.728.636.636.624.826.161.562.7
  Sundry debtors and bills receivable3.13.412.313.115.416.614.516.230.032.7
  Sundry (including deposits, subsidiary, current accounts, etc.)0.20.20.71.01.01.28.611.19.412.2
          Total current assets13.013.542.943.856.057.250.755.8106.6113.0
Fixed investments and loans—
  Government and local body (where specified)1.21.60.93.02.14.51.82.13.96.6
  Other investments and loans3.03.41.81.64.85.119.020.423.825.5
          Total fixed investments and loans4.25.02.74.66.99.620.822.527.732.1
Fixed assets—
  Land and buildings11.613.022.222.733.835.717.319.251.254.9
  Plant, machinery, and other4.85.136.736.041.541.210.510.952.052.0
          Total fixed assets16.418.158.958.775.376.927.830.1103.2106.9
          Total assets33.636.6104.5107.1138.2143.699.3108.4237.5252.0
Liabilities
Current liabilities—
  Bank overdraft1.91.99.78.611.610.56.910.018.520.5
  Sundry creditors and bills payable4.55.08.27.612.712.620.920.133.632.7
  Current tax provisions2.12.23.64.35.76.53.64.09.310.5
  Sundry (including deposits, subsidiary accounts, dividend provisions, etc.)0.91.03.33.04.24.06.46.910.611.0
          Total current liabilities9.410.124.823.534.233.637.841.072.074.6
Long-term liabilities—
  Fixed charges: Mortgages1.21.24.14.45.35.63.43.58.89.1
                Debentures0.20.218.219.018.419.22.72.921.122.1
  Fixed deposits and other fixed charges 0.10.30.30.30.56.47.16.77.6
  Other provisions and minority interests2.02.11.31.43.33.51.31.44.54.8
          Total long-term liabilities3.43.723.925.127.328.713.814.941.143.6
Shareholders' funds—
  Paid-up capital: Preference0.70.75.25.85.96.55.55.611.412.1
                  Ordinary9.09.734.335.943.345.523.025.266.370.7
  Capital reserves3.23.73.23.26.46.93.24.39.611.1
  Revenue reserves6.56.812.213.318.720.112.013.130.733.1
  Profit and Loss Appropriation Account1.51.90.80.42.32.34.24.56.56.8
          Total shareholders' funds20.922.855.858.576.781.347.752.5124.4133.8
          Total liabilities33.636.6104.5107.1138.2143.699.3108.4237.5252.0

STATISTICAL TABLES

Statement of Sources and Disposition of Funds During Year Ended 31 March 1958 for 215 New Zealand Public CompaniesPer Cent
Sources Being Net Increases in Liabilities and Net Decreases in AssetsTotal Net Change for FoodTotal Net Change for Manufacturing Other than FoodTotal Net Change for All ManufacturingTotal Net Change for Total Other than ManufacturingTotal Net Change According to Items
Number of Companies249712194215
Decrease in cash and bank balance..0.8..2.61.2
Bank overdraft......26.27.9
Reduction in sundry debtors..........
Sundry creditors13.0........
Increased amounts owing to taxation authorities1.66.05.03.54.6
Advances by subsidiaries and associated companies0.2........
Reduction in current investment..........
Current deposits0.70.20.4....
Stock reductions 1.00.1....
          Total short-term sources of funds15.58.05.532.313.7
          Total net retained profits26.15.011.720.216.5
          Add back non-cash items—
          Depreciation35.854.952.219.439.8
          Total funds from profits61.959.963.939.656.3
Fixed term deposits (over one year)......5.62.7
Reduction in investment in subsidiaries..3.42.3....
Reduction in other long-term investment..........
Reduction in property and plant..........
Mortgages0.82.21.90.71.5
Debentures and debenture stock0.86.95.41.84.0
Mortgages and debentures (no break-up given)2.41.21.6 0.8
Other long-term liabilities2.6..0.70.70.8
Paid-up capital increases..........
Preference shares0.15.13.91.43.0
Ordinary and other shares15.913.314.817.917.2
          Total long-term sources of funds84.592.094.567.786.3
          Total funds from all sources100.0100.0100.0100.0100.0
Cash and bank balances2.2..0.1....
Reduction in bank overdraft0.79.77.5....
Debtors4.77.77.221.414.3
Decreased amounts owing to taxation authorities..........
Reduction in creditors..7.31.52.32.0
Reduction in advances by subsidiary and associate companies..0.60.40.20.3
Reduction in current deposits......0.60.1
Current investments..1.51.112.96.8
Stock2.1....10.34.8
    Total short-term use of funds9.726.817.847.728.3
Reduction in net retained profits..........
Investments in subsidiaries0.7....5.21.1
Other long term investment16.219.819.89.216.0
Reduction in fixed deposits..........
Property and plant (net property and plant plus depreciation)73.453.462.437.754.6
Reduction in mortgages..........
Reduction in debentures and debenture stock..........
Reduction in mortgages and debentures (no break-up given)......0.2..
Reduction in other long-term liabilities..........
    Total long-term use of funds90.373.282.252.371.7
    Total use of funds100.0100.0100.0100.0100.0

The above table shows individual items as percentages of the sources or disposition totals, and not as percentage increases or decreases relative to the comparable figures for the previous year.

Trends in Various Ratios for 215 New Zealand Public Companies for Years Ended 31 March

Per Cent
ClassCurrent Ratio (Current Assets to Current Liabilities)Ratio of Bank Overdraft to Current AssetsRatio of Stock to Working CapitalLiquidity RatioNet Profit to Shareholders' Funds
1957195819571958195719581957195819571958
Manufacturing—
  Meat processing129.0117.011.211.2281.5445.155.447.510.09.1
  Beverages147.8156.38.94.0156.9126.183.891.06.96.7
  Other food152.3148.532.735.1203.4210.491.297.24.25.4
  All food138.3133.114.613.9219.1239.668.166.07.57.3
  Woollen mills250.7260.920.116.1128.1122.8116.0109.13.84.7
  Clothing manufacturers197.2199.127.023.2143.9136.3122.7118.95.67.0
  Forestry and wood107.0122.732.829.2N.A.N.A.51.965.3N.A.N.A.
  Printing and publishing211.6185.617.617.4107.4129.2145.9110.99.511.5
  Drugs and chemicals207.3241.17.77.2115.197.199.6125.87.77.5
  Non-metallic minerals99.9122.128.815.7..254.074.781.58.410.1
  Metals and machinery179.8184.426.125.7145.7138.0119.6128.98.07.8
  Electrical machinery and appliances178.8182.925.119.8175.3166.074.170.78.99.1
  Rubber191.8219.520.012.2146.8128.192.490.97.28.9
  Other manufacturing189.2200.729.025.1158.2147.0106.8106.23.37.1
  Manufacturing other than food173.0186.122.619.6158.5141.294.0101.63.05.3
  All manufacturing163.5170.220.718.3168.6155.285.488.94.25.9
Other—
  Construction105.5119.8N.A.N.A.N.A.N.A.N.A.N.A.7.76.9
  Gas87.088.771.767.4  92.190.13.93.0
  Mainly wholesale144.0140.323.326.4176.8174.899.6110.98.37.9
  Mainly retail147.8142.022.924.6248.6269.843.944.19.29.6
  Department stores185.8186.014.214.5142.0144.787.084.25.56.7
  Stock and station agents150.3152.15.85.299.585.4109.8116.88.18.1
  Financial85.283.88.88.4....92.190.15.04.9
  Building societies4.53.899.4146.2....4.74.04.65.2
  Transport67.075.547.838.3....76.283.49.910.0
    Totals, other134.0135.913.518.0193.1176.983.595.87.37.4
        Grand totals148.0151.417.318.1177.7163.684.392.95.46.4

Net Profits (After Tax) of 215 New Zealand Public Companies

Per Cent
ClassChanges in Net Profit 1957–58Distributed as Dividends
19571958
Manufacturing—
  Meat processing− 2.944.848.0
  Beverages+ 7.256.957.4
  Other food+ 42.972.861.6
  All food+ 6.452.753.7
  Woollen mills+ 29.198.878.7
  Clothing manufacturers+ 28.064.972.1
  Forestry and wood+ 86.5N.A.N.A.
  Printing and publishing+ 31.341.186.9
  Drugs and chemicals+ 4.760.660.7
  Non-metallic minerals+ 45.962.850.4
  Metals and machinery+ 2.158.758.1
  Electrical machinery and appliances+ 8.648.653.9
  Rubber+ 30.060.049.7
  Other manufacturing+ 120.8147.267.5
    Manufacturing other than food+ 84.1119.876.5
    All manufacturing+ 46.587.368.5
Other—
  Construction− 1.968.074.7
  Gas− 11.876.391.0
  Mainly wholesale+ 3.955.954.1
  Mainly retail+ 11.372.980.5
  Department stores+ 26.080.766.7
  Stock and station agents+ 17.052.152.2
  Financial+ 2.968.170.4
  Building societies+ 17.189.584.1
  Transport+ 9.165.753.2
    Totals, other+ 11.064.263.8
    Grand totals+ 28.175.366.4

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 amending Acts; 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 1959 was £771,000.

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. The balance dates of the offices furnishing returns vary between June and March of the following year, the financial year of the majority ending in December.

Seventeen life-assurance offices conduct business in New Zealand, and of these, four only are purely New Zealand institutions—namely, the Government Life Insurance Office, the Provident Life Assurance Co., the Dominion Life Assurance Office of New Zealand, Ltd., and the F.A.M.E. Insurance Co. Ltd.

The statistics here given relate exclusively to business transacted in New Zealand.

LIFE ASSURANCE: Ordinary and Industrial.—The progress of life assurance in New Zealand is illustrated by the following diagram, which shows the amount of new business transacted at intervals over a period of fifty-three years.

Eleven years' figures for value of new business, discontinuances, and policies in force for the combined departments (ordinary and industrial) are given in the table following.

£
YearPolicies IssuedPolicies DiscontinuedPolicies Existing at End of Year
1948–4942,022,87213,405,210324,940,603
1949–5043,242,85614,730,370353,453,089
1950–5149,342,77315,579,690387,216,172
1951–5262,320,24016,524,048433,012,364
1952–5365,213,79519,149,533479,076,626
1953–5473,160,53723,136,939529,100,224
1954–5588,162,69925,472,534591,790,389
1955–56100,041,69029,679,232662,152,847
1956–57103,126,51133,102,298732,177,060
1957–58116,646,40537,125,424811,698,041
1958–59132,229,24841,979,314901,947,975

While the upward trend shown in the figures has been influenced both by the rate of monetary depreciation and the normal growth of population, the course of life insurance business, particularly during the past decade, has been one of steady progress. From 1948–49 to 1958–59 the face value of new business written has more than trebled, and the amount of cover in force has risen by 185 per cent. This expansion has probably been assisted by the rise in the number of young people commencing work (in line with the rising birth-rate in earlier years), 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
  ££ ££ ££
1948–4960,51638,472,0561,230,16821,03711,111,245395,311615,140291,348,7289,092,085
1949–5058,68739,935,8551,290,33322,75512,337,166441,075651,072318,947,4179,941,343
1950–5160,73146,093,2481,464,37923,35913,368,439469,965688,444351,672,22610,935,757
1951–5267,54859,073,8201,929,43924,07814,326,481497,308731,914396,419,56512,367,888
1952–5370,77061,470,1001,882,37825,50416,679,264575,870777,180441,210,40113,674,396
1953–5475,82369,197,6452,146,07228,87820,398,531686,656824,125490,009,51515,133,813
1954–5583,92083,699,1922,579,89029,25122,556,045772,546878,794551,152,66216,941,156
1955–5683,39195,623,5292,771,06234 25126,404,3641,005,691927,934620,371,82718,706,528
1956–5781,57599,023,8022,701,82435,39429,726,1491,000,747974,115689,669,48020,407,605
1957–5886,950112,709,5092,949,27637,25533,560,3921,090,0081,023,810768,818,59722,266,873
1958–5989,822128,651,5072,997,36041,18038,503,9881,247,9151,072,452858,966,11624,016,318

In addition to the figure of £2,997,360 representing annual premiums payable for policies issued during 1958–59, an amount of £966,171 was paid during that year in the form of single premiums.

The average annual premium for each £100 of new business effected during 1958–59 was £2 6s. 7d., as compared with £2 12s. 4d. in 1957–58. 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 1958–59 (excluded from these tables) numbered 220, as against 301 in 1957–58. The corresponding annual amounts were £401,900 and £388,411. There were 3,250 annuities in force at the end of the year assuring an annual amount of £2,315,007.

A prominent feature of new insurances of recent years has been, with the exception of 1952–53, 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.
1947–4861739
1948–4963619
1949–5068044
1950–5175979
1951–52875116
1952–53869−6*
1953–5491344
1954–5599784
1955–561,147150
1956–571,21467
1957–581,29783
1958–591,432135

The average face value of discontinued policies during 1958–59 was £937, while the average of policies in force at the end of the year was £798.

The total amount written off during each year represents about 5 per cent of the amount in force at the end of the year immediately preceding.

Particulars of Policies Discontinued.—The causes of discontinuances during each of the last five years are contained in the next table.

YearDeathMaturitySurrenderLapseOther CausesTotal
Number of Policies
1954–554,2448,28510,1015,93868329,251
1955–564,0489,06111,2357,0272,88034,251
1956–574,3799,82912,7407,0181,42835,394
1957–584,57410,39013,8317,2081,25237,255
1958–595,08511,03815,2697,8081,98041,180
Sum Assured (£)
1954–552,371,8692,427,3519,812,0405,187,0252,757,76022,556,045
1955–562,491,8032,660,87711,880,9046,498,4282,872,35126,404,364
1956–572,656,1992,909,25113,328,3557,301,7433,530,60029,726,148
1957–582,746,2753,335,51414,436,7778,759,0814,282,74533,560,392
1958–593,244,4323,426,84816,751,3889,816,9015,264,41938,503,988

During 1955–56 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
1954–5510.510.843.523.012.2100.0
1955–569.410.145.024.610.9100.0
1956–578.99.844.824.611.9100.0
1957–588.29.943.026.112.8100.0
1958–598.48.943.525.513.7100.0

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.

1954–551955–561956–571957–581958–59
Revenue£££££
New and renewal premiums17,079,27818,968,22020,761,38222,526,00024,639,699
Consideration for annuities92,737119,613103,879124,045117,463
Interest, rents, etc.5,136,9255,988,2296,836,2437,791,6569,008,258
Other revenue1,07954,9411,5862,7148,679
      Totals, revenue22,310,01925,131,00327,703,09030,444,41533,774,099
          Expenditure
Claims by death and maturity5,958,0766,302,8986,851,6327,476,3658,102,030
Annuities133,682138,384141,664142,338144,183
Surrenders1,026,1121,355,2301,614,5311,787,1822,201,259
Cash bonuses29,01126,24544,19836,92842,710
Commissions1,415,8271,510,0261,558,7631,704,4621,809,737
Other management1,296,2771,458,9941,601,6391,765,1111,921,760
Taxes613,894671,927815,296877,440955,397
Other expenditure81,73796,106179,13797,247112,964
      Totals, expenditure10,554,61611,559,81012,806,86013,887,07315,290,040
            RatiosPer CentPer CentPer CentPer CentPer Cent
Management expenses to premium income15.8815.6515.2215.4015.14
Management expenses to total revenue12.1611.8111.3811.4011.05

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 demand for ordinary life assurance has not been shared to any extent by the industrial department, the number of policies issued in 1958–59 being only 66.9 per cent of the 1948–49 total. Of the seventeen life offices, five also engage in industrial business.

A summary of the course of industrial assurance business from 1948–49 to 1958–59 is given in the following table.

YearPolicies IssuedPolicies DiscontinuedPolicies Existing at End of Year
NumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual Premiums
  ££ ££ ££
1948–4935,4063,550,816155,55233,7702,293,965126,523576,97433,591,8751,818,629
1949–5033,8153,307,001152,85136,1532,393,204132,425574,63634,505,6721,839,055
1950–5131,7143,249,525150,46833,7402,211,251124,142572,61035,543,9461,865,381
1951–5229,8793,246,420150,02133,0582,197,567123,783569,43136,592,7991,891,619
1952–5331,5733,750,899173,69636,5862,470,269138,033564,41837,873,4281,927,282
1953–5431,9533,962,892184,22139,9832,738,408150,876556,38839,097,9121,960,627
1954–5533,0134,456,304205,79841,6632,916,489159,815547,73840,637,7272,006,610
1955–5629,8854,418,161204,56042,4353,274,868176,160535,18841,781,0202,035,009
1956–5727,4104,102,709191,48642,0853,376,149178,098520,51342,507,5802,048,398
1957–5826,5063,936,896184,01142,7343,565,032188,032504,28542,879,4442,044,378
1958–5923,6763,577,740168,87039,3293,475,325180,688488,63242,981,8592,032,559

The average sum assured under each policy of new business effected in 1958–59 amounted to £151 with an average annual premium of £7 2s. 7d. Corresponding averages for 1948–49 were £100 and £4 7s. 10d.

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
1954–552,22826,4074,5548,3938141,663
1955–562,38227,2704,6807,99111242,435
1956–572,05127,0674,9787,9454442,085
1957–582,11827,2505,0288,2578142,734
1958–591,89224,2435,3767,7675139,329
Sum Assured (£)
1954–55111,6551,166,888547,9401,081,3828,6242,916,489
1955–56127,7801,255,676618,4011,263,7739,2383,274,868
1956–57112,9741,296,896691,8501,267,9106,5203,376,149
1957–58120,5461,398,173777,8961,256,57511,8423,565,032
1958–59116,1981,277,097839,4161,233,4059,2093,475,325

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, 5.0 per cent of the ordinary became void in 1958–59, 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
1954–553.840.018.837.10.3100.0
1955–563.938.318.938.60.3100.0
1956–573.338.420.537.60.2100.0
1957–583.439.221.835.30.3100.0
1958–593.336.724.235.50.3100.0

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.

1954–551955–561956–571957–581958–59
Revenue£££££
Premiums1,973,4742,002,0252,029,5612,031,8782,017,410
Interest, rents, etc.603,983639,395675,592723,194758,289
Other revenue55434,2112,2041,2461,415
        Totals, revenue2,578,0112,675,6312,707,3572,756,3182,777,114
Expenditure     
Claims by death and maturity1,440,9101,540,9881,592,8221,712,1881,575,628
Surrenders97,836106,022122,991130,018146,159
Commissions280,406280,782285,981276,494262,259
Other management340,827357,812367,820360,616357,703
Taxes48,67251,98558,44374,83271,431
Other expenditure2,93530,7679,23521,67812,250
          Totals, expenditure2,211,5862,368,3562,437,2922,575,8262,425,430
RatiosPer CentPer CentPer CentPer CentPer Cent
Management expenses to premium income31.4931.9032.2131.3630.73
Management expenses to total revenue24.0924.1724.1523.1122.32

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 1958–59 was equivalent to 7.3 per cent of the premium income, and in the industrial branch to 13.0 per cent. Excluding commission, the ratio of management expenses to premium income was 17.7 per cent in the industrial branch, as against 7.8 per cent in the ordinary.

LIFE ASSURANCE DEATH RATES.—The following table shows for the period 1948–49 to 1958–59 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 (8–88), 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
1948–494.944.624.78
1949–504.704.404.56
1950–514.444.244.35
1951–524.614.234.44
1952–534.614.314.48
1953–544.533.774.22
1954–554.663.784.31
1955–564.214.124.18
1956–574.343.654.09
1957–584.313.874.16
1958–594.573.584.25

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.

 1956–571957–581958–59
 £££
Paid-up share capital235,824204,045203,495
Life assurance and annuity funds180,022,554196,852,727218,256,413
Depreciation, reserve, and other special funds2,079,3082,874,6423,119,157
Claims admitted but not paid1,179,9571,236,3551,348,922
Other liabilities1,480,5222,233,9932,384,610
          Totals184,998,165203,401,762225,312,597

The assets of the New Zealand branches at the end of each of the three latest years were as follows.

AssetsAmountProportion to Totals
1956–571957–581958–591956–571957–581958–59
 £££Per CentPer CentPer Cent
Mortgages on property81,013,49290,644,788101,502,54143.7944.5645.05
Loans on policies5,586,2286,054,5866,838,4143.022.983.04
New Zealand Government securities44,653,38846,695,06250,876,68724.1422.9622.58
Securities of other Governments375,686370,224370,7250.190.180.16
Local authority securities34,058,89437,647,28839,670,85218.4118.5117.61
Landed and house property5,414,1536,109,8777,236,5992.933.003.21
Other investments9,569,79711,371,77113,275,6865.175.595.89
Outstanding premiums1,284,4211,339,1541,537,3920.700.660.68
Interest accrued, etc.1,452,2651,597,6571,948,2200.790.790.87
Cash699,273615,087816,5320.380.300.36
Other assets890,568956,2681,238,9490.480.470.55
        Totals184,998,165203,401,762225,312,597100.00100.00100.00

As a form of investment, mortgage securities have steadily gained in favour during the past decade, the proportion of assets held in this form rising from 16.9 per cent in 1948–49 to 45.1 per cent in 1958–59. This movement has been chiefly at the expense of the Government and local body securities, the proportion of the former declining from 45.7 per cent to 22.8 during the same period. Other investments (chiefly company shares and debentures), although small in relation to the total, are gaining in popularity.

For 1958–59 the average rate of interest earned on the life funds of both departments was £4 16s. 5d. per cent, compared with £4 12s. 6d. during 1957–58. 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 1938–39 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.

LIFE INSURANCE-TOTAL ASSETS

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 almost threefold during the ten-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 42A. 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 1948–49 and 1950–51 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 1948–49 by the amounts normally returned by such companies (with balance dates from April to June 1949), and an increase for the year 1950–51, 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 1958–59 is 71, the head offices of the companies concerned being domiciled as follows: Great Britain, 27; Australia, 12; United States of America, 2; Hong Kong, 2; and New Zealand, 28.

Of the New Zealand offices only 13, 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.
  ££££££££
1948–49604,324,436146,8864,471,3222,509,563471,459432,264571,4443,984,730
1949–50614,902,454151,9475,054,4012,972,171325,600530,221667,1884,495,180
1950–51625,816,553170,7465,987,2993,466,073369,181593,632781,6325,210,518
1951–52626,624,869205,6136,830,4823,956,106499,640745,270859,2856,060,301
1952–53617,965,339221,1658,186,5044,886,000617,067814,951884,5947,202,612
1953–54648,954,499228,9629,183,4615,313,175689,232969,9181,058,6118,030,936
1954–55679,918,054304,14710,222,2016,071,724778,7131,115,5941,090,6439,056,674
1955–566711,021,538356,07611,377,6147,070,602882,9151,235,7701,197,77910,387,066
1956–576712,400,463414,79912,815,2628,212,5301,025,2021,395,3521,212,86511,845,949
1957–586713,688,270480,14114,168,4119,195,7351,143,6401,559,1861,326,05313,224,614
1958–597114,820,945549,54115,370,4869,953,8251,228,2051,646,9871,518,16614,347,183

Premium receipts in 1958–59 were 8.3 per cent above the 1957–58 figure, while claims rose by 8.2 per cent. Motor vehicle comprehensive insurance accounted for a large part of the increase in premiums; the claims increases were apportioned fairly equally among the various classes of insurance except for employers' liability, which rose more sharply in 1958–59. Expenses other than claims totalled £4,393,358, of which taxation amounted to £409,062. The unexpired risks reserves at the end of the year totalled £6,167,196.

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 since 1954–55 has been slightly less favourable than the average of previous 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
1954–5561.227.8511.2511.0030.1091.3288.60
1955–5664.158.0111.2110.8730.0994.2491.29
1956–5766.238.2711.259.7829.3095.5392.44
1957–5867.188.3511.399.6929.4396.6193.34
1958–5967.168.2911.1110.2429.6496.8093.33

Working expenses (excluding taxation) amounted to £3,325,481 in 1956–57, £3,704,265 in 1957–58, and £3,984,296 in 1958–59. The ratios of working expenses to premium income for each of the three years were respectively 26.82, 27–06, and 26.88 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
1954–552,594,371739,5134,655,2861,339,7141,007,31110,336,195
1955–562,761,516868,2565,209,5151,428,8471,185,23911,453,373
1956–573,275,572977,4945,755,6781,533,5551,343,54712,885,846
1957–583,411,4991,133,0906,647,6101,586,3941,473,75714,252,350
1958–593,373,7681,265,7337,426,0551,660,3991,774,15215,500,107
Claims
1954–551,861,589283,3043,014,704795,867439,9926,395,456
1955–561,968,986301,4573,650,922824,321476,7197,222,405
1956–572,057,663380,0174,337,881877,109497,2718,149,941
1957–582,386,577428,9714,679,7241,093,234578,6029,167,108
1958–592,884,918497,3274,740,2981,130,097682,7079,935,347

Premiums and claims for motor vehicle third-party risks insurance relate to the years ended 30 June.

Reducing the figures of each class for the years 1956–57 to 1958–59 to a percentage basis, the following results are obtained.

Per Cent
Class of InsuranceClaims to PremiumsPremiums to Total PremiumsClaims to Total Claims
1956–571957–581958–591955–571957–581958–591956–571957–581958–59
Employers' liability62.8169.9685.5125.4223.9421.7725.2526.0329.04
Personal accident and sickness38.8737.8639.297.597.958.164.664.685.01
Motor vehicle comprehensive75.3670.4063.8344.6646.6447.9153.2351.0547.71
Motor vehicle third-party risks57.1968.9168.0611.9011.1310.7110.7611.9311.37
Other37.0139.2638.4810.4310.3411.456.106.316.87
    All classes63.2564.3264.10100.00100.00100.00100.00100.00100.00

MOTOR VEHICLES INSURANCE (THIRD-PARTY RISKS).—The Transport Act 1949, requires 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 1959, which are necessarily subject to revision.

With the spectacular increase in road usage, the claims figures have steadily mounted, resulting in progressively higher premium rates. 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 in 1948–49. The minimum rates for omnibuses, service cars, and contract motor vehicles are subject to increases according to seating capacity.

Class of Motor Vehicle1948–491957–581958–591959–601960–61
* Not applicable.
 £s.£s.£s.£s.£s.
Motor cycles..1622212120
Power cycles..*..15..15..15..12½
Tractors and traction engines..3..8..8..7..7
Private cars and station wagons1122222222
Dealers' and business cars1152162163035
Goods service vehicles115310310310310
Fire brigade vehicles..10210210210210
Public taxicabs15020018017101710
Private taxicabs501008060510
Omnibuses (minimum)80290280280270
Service cars (minimum)40150150150140
Contract motor vehicles (minimum)30504104040
Trailers..2..4..4..4..4
Hearses and ambulances 10215215215215
Rental cars4104071090100

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 £7,500 (increased from £5,000 from 23 October 1959) in respect of any passenger in the motor vehicle concerned, and to £75,000 (£50,000 prior to 23 October 1959) 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 1959. 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 1949–50 to 1953–54 inclusive for which virtually all claims had been settled by 30 June 1959, it is found that premiums received totalled £3,252,576, while total claims paid up to 30 June 1959 in respect of accidents during the five year period quoted totalled £2,264,049, a ratio of claims to premiums of 69.6 per cent. The actual claims payments during the five years totalled £2,767,889, of which a proportion was on account of accidents occurring prior to 1949–50. 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 1959
19551956195719581959
Premiums received1,339,7141,428,8471,533,5551,586,3941,660,39911,825,244
Claims actually paid to 30 June 1959819,4331,120,3831,011,456580,900105,9906,984,666
Estimated liability for claims still outstanding at 30 June 195943,125136,967485,4211,050,9451,593,5543,321,380
Ratio per cent of claims paid and outstanding to premiums64.488.097.6102.9102.487.2

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
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
1957–58
Motor cycles41,0992,03732,74133,86252,351
Private cars779,34274,740498,627708,460644,244
Business cars176,83720,381104,257179,003204,183
Goods service vehicles398,85524,845221,237332,389457,850
Public taxicabs51,0913,45024,70133,89058,314
Public omnibuses61,66113,67726,64849,64528,950
Other classes77,5093,00642,88738,764103,825
      Totals1,586,394142,136951,0981,376,0131,549,717
1958–59
Motor cycles47,17771020,37621,89669,796
Private cars812,06740,519540,358748,782791,710
Business cars188,87919,764141,822231,095210,598
Goods service vehicles411,78735,393229,460442,682480,187
Public taxicabs46,5782,47831,62435,50970,960
Public omnibuses62,3704,29817,20754,44045,115
Other classes91,5412,82843,26059,15059,460
      Totals1,660,399105,9901,024,1071,593,5541,727,826

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-enacted 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.—The law regarding deposit requirements to be made with the Public Trustee for companies carrying on the business of insurance except life insurance, marine insurance, and insurance against earthquake damage is governed by the Insurance Companies Act 1953. For any New Zealand company commencing business the amounts of deposit required are: fire insurance, £22,500; employers' liability insurance, £22,500; motor vehicles third-party party risks insurance, £10,000; all other kinds of insurance except life, marine, and earthquake insurance, £5,000. These provisions date from 1940 legislation. In the original legislation and in the Consolidating Act of 1953 special requirements are laid down for New Zealand companies which were already carrying on business when the original legislation was introduced in 1940.

Details of deposits for other classes of company such as British companies, agents of British companies, and foreign companies are shown in the 1959 and earlier issues of the Year-Book.

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 1959, under the Insurance Companies' Deposits Act and amendments, on behalf of 79 companies and three associations, was £2,995,000, as compared with £2,641,713 at 31 March 1958.

Statistics of fire insurance are compiled annually by the Department of Statistics from returns furnished by the insurance companies for the financial year most closely approximating to the calendar year, and these in some cases extend up to the following June. For 1958–59, information was obtained from 55 offices conducting business in New Zealand. The head offices of these were distributed as follows: Great Britain, 28; New Zealand, 16; Australia, 7; 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 55 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 £1,647 million.

£(m.)
1958–591957–53 (Total)1956–57 (Total)
Overseas CompaniesLocal CompaniesTotal
Paid-up capital90.96.397.292.179.7
Reserves909.521.9931.4852.0845.8
Other liabilities601.916.6618.5569.5533.5
    Totals1,602.344.81,647.11,513.61,459.0
Life funds2,172.40.12,172.52,001.01,867.8
    Total liabilities (and assets)3,774.744.93,819.63,514.63,326.8

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 Zealand1956–571957–581958–59
House and landed property3,156,3613,892,8974,346,685
New Zealand Government securities11,451,29511,888,41512,947,087
New Zealand local-authority securities1,706,7692,153,5012,423,884
Company stocks and shares2,980,4622,874,8293,251,568
Mortgages, etc.1,922,7632,354,2002,726,640
Outstanding premiums2,219,8682,411,5362,549,173
Cash and other assets in New Zealand5,903,9595,517,1316,353,850
        Total New Zealand assets29,341,47731,092,50934,598,887

SUMMARY OF BUSINESS.—The increase in extent and value of property over the years is reflected in the statistics of policies issued and business underwritten given in this subsection. The figure for new and renewal business for 1958–59 shows an increase of £925 million, or 37.9 per cent, compared with five years earlier.

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. 9d. 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.

1956–571957–581958–59
Amounts Underwritten   
Gross amount of insurance cover in force in New Zealand on 31 December£2,605,679,827£2,714,151,875£2,990,574,293
Number of policies representing the foregoing1,323,9001,363,2971,418,782
Gross amount of new and renewal business underwritten during year£2,924,459,664£3,040,463,090£3,370,464,020
Number of policies representing the foregoing1,448,9101,490,7011,552,167
Premiums   
Total gross premiums charged on business (new and renewal) underwritten during year£7,171,042£7,373,284£7,969,865
Percentage of gross premiums to total amount of business underwritten4s. 11d.4s. 10d.4s. 9d.
Total premiums (as shown above), less premiums refunded to insured other than to other offices£6,396,843£6,614,392£7,147,207
Losses   
Total number of separate fire losses with which offices were concerned23,21227,15529,438
Gross losses£2,174,127£3,468,720£3,159,621
Percentage of gross loss to amount underwritten (new and renewal) during year (as shown above)0.070.110.09
Percentage of gross loss to total premiums less refunds to insured (as shown above)33.9852.2744.08
Average loss£94£128£107

The next table shows the position of premium income and fire claims during the period 1948–49 to 1958–59. 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. In the latest year however, percentage of claims to premium income was lower by approximately 8 per cent, this being attributable to the lesser number of large fire loss payments incurred during the period.

YearPremium IncomeFire ClaimsPercentage of Claims to Premium Income
 ££Per Cent
1948–493,368,7351,011,42930.0
1949–503,603,568981,69727.2
1950–514,018,7601,114,53427.7
1951–524,672,9141,244,46726.6
1952–535,200,2312,058,54939.6
1953–545,561,9641,996,30235.9
1954–555,878,4631,745,96129.7
1955–566,241,3192,077,75633.3
1956–576,396,8432,174,12734.0
1957–586,614,3923,468,72052.4
1958–597,147,2073,159,62144.2

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.

£
1956–571957–581958–59
CrossNetGrossNetGrossNet
Revenue      
Reserve to meet unexpired risks as at beginning of year2,989,0001,629,7783,041,0001,647,3463,220,0001,752,280
Amount of fire premiums receivable during year7,672,1794,165,1938,080,2354,395,3428,615,6674,708,690
Interest and dividends on stock, mortgages, etc.158,286158,286172,607172,607194,145194,145
Rents61,34561,34569,07969,07999,25099,250
Other revenue11,46211,46210,78210,7829,9869,986
          Totals10,892,2726,026,06411,373,7036,295,15612,139,0486,764,351
Expenditure      
Amount of fire claims incurred during year, including adjustment and other expenses of settlement, but less salvage2,467,0791,268,5534,376,4231,652,2773,935,4351,601,225
Fire authority levies452,789323,118496,606348,652501,319353,890
New Zealand Government taxes559,036423,779398,469280,125416,454398,463
Rents59,34957,20967,90365,82774,61372,588
Depreciation53,47357,14438,41240,88248,19448,027
Allowances and commissions on premiums to agents, sub-agents, and others812,926266,017847,884291,015919,230299,365
Salaries and wages, including commissions on profits or bonuses931,972871,4641,006,252943,9381,064,9911,006,211
Other expenses of management417,015386,423428,452405,865441,548427,313
Reserve to meet unexpired risks as at the end of the year3,041,0001,647,3463,220,0001,753,0483,437,0001,883,657
          Totals8,794,6395,301,05310,880,4015,781,62910,838,7846,090,739

The principal items of net revenue and expenditure for 1958–59 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 companies2,592,2272,672,061994,291672,8372,405,978
Local companies2,116,4632,340,010606,934632,7391,801,104
        Totals4,708,6905,012,0711,601,2251,305,5764,207,082

Excluding unexpired risks reserves, the excess of net revenue over net expenditure for 1958–59 of £804,989 compares with surpluses of £619,229 and £742,579 for 1957–58 and 1956–57 respectively.

The following table shows the percentage ratio of working expenses to premium income for the years 1954–55 to 1958–59. 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
Item1954–551955–561956–571957–581958–59
Net working expenses (excluding taxes) to net premium income46.0348.1447.0947.6946.88
Net working expenses (excluding taxes and fire-service levies) to net premium income38.8040.9239.3339.7639.36
Gross working expenses (excluding taxes) to gross premium income (including reinsurances from other offices)34.9936.8135.5535.7135.40
Gross working expenses (excluding taxes and fire-service levies) to gross premium income (including reinsurances from other offices)29.3031.2029.6529.5629.58

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 1958, 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 15 per cent than the actual number of fires.

A summary of losses over the eleven-year period 1948–58 is given below. The growth of population and the rise in property values are reflected in the upward trend shown in the table. In addition, the figures have been augmented from time to time by heavy losses involved in the destruction of valuable buildings, plant and stocks, such as the disastrous wool store fires of 1951 and 1955. Major insured losses during 1958 included an extensive industrial plant at Gracefield, Lower Hutt and hotel premises at Lake Wanaka, Otago.

The uninsured loss is assessed by the fire prevention authorities at a further 15 per cent of the figures given.

YearSeparate FiresGross Cover*Gross Loss

* On buildings, etc., affected.

Fire loss payments.

  ££
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
195725,79093,879,2093,025,407
195827,42873,108,6762,708,090

The average insurance claim paid for material fire damage per head of population (including Maoris) was 18s. 2d. in 1956, £1 6s. 9d. in 1957, and £1 3s. 8d. in 1958.

The total fire wastage is, of course, greater than the foregoing figures reveal, to the extent of the uninsured loss. This unknown figure is normally assessed by the fire authorities at 15 per cent of the insured loss, and on this assumption the 1958 property loss in New Zealand through fire would have amounted to £2,709,895.

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 districts7,01922,570,499430,7491.91
Urban fire districts15,16339,068,1571,510,0353.87
Secondary urban fire districts1,6994,441,189292,1696.58
Remainder of New Zealand (including floating risks)3,5477,028,831475,1376.76
          Totals27,42873,108,6762,708,0903.70

The relationship between the number of payments and loss incurred is fairly closely sustained for the main types of district; 80.9 per cent of payments relating to fires which occurred in urban (including united urban) fire districts, the loss amounting to 71.7 per cent of the total.

Causes of Fires.—Particulars regarding causes of fires are contained in the following table which covers the years 1956 to 1958.

Cause of Fire195619571958
Number of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of Loss
  £ £ £
Electricity5,129372,7396,668256,6526,693198,186
Gas4149,71744327,7264828,046
Chimneys and flues66254,45971356,683789138,700
Fireplaces and stoves7,761166,9368,846318,9569,711192,424
Smoking and matches3,72384,0024,570100,1074,969140,219
Inflammable spirits and materials45270,75054372,66975864,056
Outside causes68272,77577575,33993489,949
Arson and incendiarism6948,6956422,2045614,079
Other specified causes789105,069646163,09763988,095
Unknown causes2,518995,5052,5221,931,9742,3971,774,336
        Totals22,1991,980,64725,7903,025,40727,4282,708,090

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 1958 the average payment for specified causes was £37, while the average for the unspecified group amounted to £740.

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 1956 to 1958, classified according to the amount of loss. The vast majority of fires cause only minor damage. During 1958 payments of less than £10 accounted for 65.7 per cent of the total number, but only 2.8 per cent of the total loss sustained. On the other hand, payments of £10,000 or over, numbering only 36, represented 37.2 per cent of the insured loss.

Loss Category195619571958
Number of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of Loss
££ £ £ £
Under1014,39958,67116,89169,03818,01274,543
10 and under254,13461,6684,88172,9015,22077,091
251002,05396,5002,218102,2832,397111,074
1001,0001,211396,5601,312454,2961,365446,070
1,0002,000212283,636238319,868236321,042
2,0005,000133402,729161461,144127382,262
5,00020,00050436,86467651,53856545,484
20,000 and over 7244,01922894,33915750,524
Totals22,1991,980,64725,7903,025,40727,4282,708,090

Class Groups.—Losses have been classified in broad groups according to the nature of the risk, the figures for the years 1956–58 being presented in the next table. Fires in private dwellings accounted for 86.2 percent of the total payments during 1958, but the proportion of loss sustained was only 30.6 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 Group195619571958
Number of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of Loss
  £ £ £
Private houses and flats, boarding-houses, etc.18,474634,13321,799798,09223,639829,431
Hotels and restaurants592151,10263381,447657262,311
Offices and public buildings38346,398468140,08039754,281
Theatres and entertainment places15043,52110753,5949146,131
Bulk stores and warehouses139142,534146312,741137342,033
Shops681217,152662193,217614210,220
Factories and industrial risks855598,0759801,269,459913844,004
Farm risks (other than dwellings)27863,27727972,99929567,946
Miscellaneous (including unclassified)14265,05715979,22013232,676
Floating and travelling risks50519,39855724,55855319,057
        Totals22,1991,980,64725,7903,025,40727,4282,708,090

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.
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
1958105,240133,097328,85821,82165,872270,689654,310
1959113,192139,066365,42728,91877,749231,488693,883

FIRE BRIGADES.—At 31 March 1960 there were 266 fire brigades under the administrative authority of the Fire Service Council. Of these, 22 were staffed with full-time personnel numbering 161 officers and 394 men, as well as 163 auxiliaries; while 212 brigades, together with 32 auxiliary units were manned by 3,940 volunteers.

34 D—STATE INSURANCE ACTIVITIES

STATE LIFE ASSURANCE.—The New Zealand Government Life Insurance Office 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 Office is guaranteed by the Government. The administration of the Office is regulated by the Government Life Insurance Act 1953.

The total income of the Department for 1958 was £6,276,328, of which premium income amounted to £4,577,444, annuity purchase money £2,463, and interest, rents, etc. (net) £1,696,421.

During the year 1958 payments were made under the following heads: matured policies (including bonuses additions), £760,362; claims by death (including bonuses), £482,638; annuities, £72,307, surrendered policies and bonuses cashed, £467,986; commission, £334,187; other management expenses, £277,075; rates and taxes £106,575; and other expenditure, £70,377.

Income and expenditure figures of the Government Life Insurance Office are now given for each of the five years 1954 to 1958.

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
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
19574,122,2005,570,122599,3152,363,76210.7614.54
19584,579,9076,276,328625,8372,571,5079.9713.66

Figures showing the progress of the Office 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
* Excludes single premiums.
  ££ ££ ££
195421,79320,146,054453,4766,2394,359,936105,724202,708121,615,9342,806,617
195522,49422,160,670469,1656,6884,937,385121,110218,514138,839,2193,154,671
195622,62922,672,839483,3607,2225,569,429134,222233,921155,942,6293,503,808
195723,11223,230,043544,3488,0786,397,227154,636248,955172,775,4453,893,520
195823,65226,029,631540,8169,0297,428,079181,128263,578191,376,9974,253,208

During 1958 there was an increase of more than 12 per cent over the previous year in the value of new policies written but a 0.6 per cent decrease in the amount of annual premiums represented. The average sum assured per policy was £1,002 in 1956, £1,005 in 1957 and £1,101 in 1958. In addition to the total sum assured at the end of the year, accrued reversionary bonuses amounted to £8,971,495. Immediate, deferred, and contingent annuities totalled £1,342,811, representing 560 policies. Single premium income for the years 1956 to 1958 was £465,233, £348,686, and £437,506 respectively.

The Office's balance sheet as at 31 December 1958 showed that the total assets amounted to £38,669,389, 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
195619571958195619571958
* Mainly due and overdue premiums and interest, and interest accrued.
 £££Per CentPer CentPer Cent
Mortgages on freehold property14,179,67215,767,15717,774,89045.1245.3245.97
Loans on policies1,132,6391,253,5231,445,2743.603.603.74
Government securities8,384,6808,015,1808,165,18026.6823.0421.12
Local authority securities5,758,4697,179,3457,812,74018.3220.6420.20
Landed and house property963,5001,012,5001,100,2003.072.912.84
Miscellaneous assets*1,010,7341,563,3552,371,1053.214.496.13
Cash in hand on current account, and on deposit............
        Totals31,429,69434,791,06038,669,389100.00100.00100.00

Assurance, annuity, and endowment funds, apart from special reserves of £690,000, amounted to £37,358,042, an increase (the largest ever recorded) of £3,704,821 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£
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
19571,631,2471,720,0541,155,164346,1691,598,42573.32,908,990
19581,799,2111,895,8571,376,591318,8651,760,82580.83,102,777

The ratio of working expenses to earned premiums in 1958 was 18.7 per cent compared with 22.0 per cent in the previous year. Working expenses decreased by 7.9 per cent but the claims ratio showed an increase of 19.1 per cent.

The total assets at 31 December 1958 included £1,473,832 invested in Government securities and £565,161 in local authorities securities. Reserves and funds totalled £1,768,539.

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 to 1 April 1951 all employers' liability insurances were required to be placed with the Government Accident Insurance Office. Statements of the experiences of the Account during the period of operation have been given in some detail in previous issues of the Year-Book. Approximately 95,000 employers were insured under the fund in 1950. The Workers' Compensation Amendment Act 1950 restored the right of insurance companies to participate in this class of insurance.

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. Premium-rate reductions and bonus rebates have reduced the cost of insurance.

Premium income advanced by £128,266 during 1958, while losses increased by £46,438. The apportionment for taxes was £86,507, while the net surplus rose from £80,867 in 1957 to £91,146 in 1958.

£
YearNet Premium IncomeTotal Net Income*Net LossesTotal Net Expenditure*Accumulated FundsTotal Assets
* Excluding reserve for unearned premiums.
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
1957668,024762,576228,824662,6172,188,8142,650,876
1958796,290908,584275,262753,3052,344,0922,797,081

The percentages of various classes of expenditure to earned premiums and total income are given below.

Item195619571958
* For comparative purposes the Jubilee Year rebate is not included.
Ratio of claims to earned premiums30.835.237.6
Ratio of working expenses to earned premiums46.0*43.341.5
Ratio of Fire Service Council levies to earned premiums9.310.5100
Ratio of Government taxes to total income11.710.47.2

EARTHQUAKE AND WAR DAMAGE INSURANCE.—The Earthquake and War Damage Act 1944, which came into force on 1 January 1945 (repealing the War Damage Act 1941), provided for both compulsory and voluntary insurance against these two classes of risks. By the Act an account—the Earthquake and War Damage Fund—was established, into which all moneys received are paid, the Fund being administered by a Commission. All property insured against fire is deemed to be insured to the extent of the indemnity value against earthquake and war damage. Premiums at the rate of 1s. for each £100 of insurance cover are collected by the insurance companies and paid into the Fund (less commission of 2½ per cent). During the war premiums levied under the original Act were collected by the companies without recompense.

The Act provides for both compulsory and voluntary insurance against earthquake and war damage. Under the compulsory provisions of the original Act all property insured to any amount under any contract of fire insurance with an insurance company is deemed to be insured to the same amount against earthquake damage and war damage. An amending Act passed in 1951, however, provides that where the contract of fire insurance provides for the settlement of the claim upon the basis of the replacement value, the compulsory earthquake and war damage insurance will be for the amount of the indemnity or present value only. If the present value is certified by a registered architect or a registered valuer, the earthquake and war damage premium will be charged on the amount so certified. Under the voluntary provisions of the Act any person having an insurable interest in any property may make application to the Commission for earthquake or war damage insurance, and a contract may be made for the insurance of any property that is not insured under the compulsory section of the Act, or for the insurance to an additional amount of any property that is so insured.

Advances may be made from the Consolidated Fund if at any time the amount in the Earthquake and War Damage Fund is not sufficient to meet the claims thereon.

“Earthquake damage” is defined as damage occurring as the direct result of earthquake or of fire occasioned by or in consequence of earthquake. It also includes damage occurring as the direct result of measures taken under proper authority to avoid the spreading of, or otherwise to mitigate the consequence of, any such damage. In addition to damage occurring as a direct result of action by the enemy, “war damage” included damage occurring as the direct result of measures taken in combating the enemy or precautionary or preparatory measures taken under proper authority with a view to preventing or hindering any enemy or anticipated enemy action. It also includes accidental damage occurring as the direct result of any explosion or fire which involves any explosives or munitions, etc., required for war purposes.

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 not 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 1953.

£
19 Dec. 1941 to 31 Mar. 19531953–541954–551955–561956–571957–581958–59
* From commencement in November 1949.
Income—
  Premiums—
    Earthquake and war damage8,853,067939,1091,064,5691,172,8941,296,9901,382,8141,509,425
    Storm and flood273,765104,288118,323129,302143,217152,942166,208
    Interest1,484,048309,497359,723417,169464,543545,638620,733
          Totals10,610,8801,352,8941,542,6151,719,3651,904,7502,081,3942,296,366
Outgo—
  Claims—
    Earthquake and war damage50,61112,1962,0934,5548,5758,6975,213
    Storm and flood40,83127,95328,40921,496139,620382,960190,998
  Salaries and expenses of management47,2315,5856,1055,89310,1588,5158,408
  Discount to insurance offices130,27026,02629,53832,17435,57637,90941,193
  Exchange adjustment339,525      
          Totals608,46871,76066,14564,117193,929438,081245,812
Surplus10,002,4121,281,1341,476,4701,655,2481,710,8211,643,3132,050,554
Earthquake and war damage fund9,773,26910,974,13812,354,39413,892,45615,593,15717,459,42119,535,890
Disaster Fund383,568*309,408405,623522,809532,929309,980284,065

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 1959, 140 earthquake and 1,887 storm and flood claims were lodged, compared with 308 and 2,481 for the previous year. Operations in the Disaster Fund have resulted in an underwriting loss for the last two years, although the 1958 loss was much the greater on account of the February 1958 widespread flooding.

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. All assessments issued to persons whose surnames commence with one of the three chosen letters of the alphabet are included in the sample.

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. 804–815).

The returns from which these statistics were compiled were 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 were £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) were excluded from the returns, and are therefore completely omitted from these statistics.

It is estimated that in the 1956–57 income year, 12,340 individuals who were engaged in farming, private trading, etc., had returnable incomes of less than £375. Their incomes were distributed as follows.

Amount of IncomeNumberAmount of Income
££ £
Loss..1,930..
0–991,62090,000
100–1992,610400,000
200–2993,060770,000
300–3743,1201,060,000
Totals12,3402,310,000

The industrial distribution of these “under £375” incomes is given in the next table.

Industry GroupNumberAmount of Income
Agriculture and livestock production— £(000)
  Sheep farming1,410210
  Dairy farming3,220640
  Other farming2,550440
        Totals7,1801,290
Forestry, hunting, and fishing12020
Mining and quarrying10..
Manufacturing—
  Food, drink, and tobacco6010
  Apparel, textiles, and footwear460100
  Metals, and metal products13020
  Other12030
Construction650150
Commerce—
  Wholesale and retail trade1,670350
  Other7010
Transport, storage, and communication17030
Services—community—
  Professional35070
  Other1,350240
        Totals12,3402,310

The above figures do not include salary or wage earners, or those individuals receiving “investment” income. As returns were not furnished in such cases, there was 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 1956–57, which are, in general, the incomes earned during the twelve months ended 31 March 1957, are also substantially the statistics of the assessment or taxation year 1957–58.

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 1956–57 income year as an example, all assessments made up to approximately the end of May 1958 were included in the statistics. Late assessments for previous income years which were made after the end of May 1957 were also included, on the assumption that they would reasonably represent assessments of 1955–56 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.

Item1952–531953–541954–551955–561956–57
Number of assessments661,883682,557672,989689,449717,070
Number of taxpayers556,136 £(000)540,876 £(000)595,598 £(000)627,675 £(000)154,512 £(000)
Assessable income568,591637,684685,306709,824767,794
Returnable income591,183656,381708,496734,080793,881
Exemptions—
  Personal147,280246,810244,130249,800259,220
  Other77,92092,12099,370104,640112,000
Taxable income343,391298,754341,796355,374396,584
Income tax assessed76,00685,48088,12291,64973,825

A strict comparison of the figures for one year with those of another is not possible, as changes in compilation practice and numerous amendments in income-tax law have affected the comparability of the figures.

CLASSES OF TAXPAYERS.—“Individuals” comprise all assessments for individual persons. Partnership returns are ignored in the compilation, as the individual shares of partnership income are included in the individual tax assessments. The incomes of deceased persons' estates are not included as the greater part of these are transferred to the assessments of the beneficiaries, which are, of course, included in these statistics if they have incomes of £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 table for each of the last three available tax years.

ClassNumber of AssessmentsNumber of TaxpayersAssessable Income
1954–551955–561956–571954–551955–561956–571954–551955–561956–57
       £(000)£(000)£(000)
Individuals648,860663,500688,620576,000606,810131,990577,520604,570657,770
Companies24,12925,94928,45019,59820,86522,522107,786105,254110,024
    Totals672,989689,449717,070595,598627,675154,512685,306709,824767,794

The numbers of assessments for individuals in the 1956–57 income year covered 572,520 males and 116,100 females. Comparable figures for 1955–56 were: males 558,050 and females 105,450.

It should be noted that in 1956–57 there was a rebate for individual taxpayers of £100 or of the tax assessed whichever was the smaller. This rebate which had the effect of reducing the number of individual taxpayers by 474,820 did not apply to companies.

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.

As returns for salary and wage earners were for the income years 1957–58 and 1958–59 substantially limited to persons receiving more than £1,040 for the year, the data for salary and wage earners are based partly on the sample returns and partly on projections from available data.

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 1956–57 figures are based on the normal 10–per-cent sample collection.

The first table gives data for the principal sources of incomes of individuals.

Source of Assessable IncomeIncome Year
1956–571957–581958–59
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
  £(m) £(m) £(m)
Sheep farming22,85054.622,40048.822,20036.4
Dairy farming30,71038.531,20042.531,20038.2
Other farming19,26028.719,60030.319,50028.0
    Totals72,820121.973,200121.672,900102.6
Manufacturing4,4605.94,6006.34,6006.1
Construction12,11015.012,70016.613,00016.1
Commerce14,23018.014,30018.514,50018.2
Transport4,8605.54,9006.05,0005.6
Services—
  Professional7,44017.07,70018.37,80018.2
  Other6,6707.36,8007.77,0007.7
Miscellaneous (forestry, mining, etc.)2,0003.12,1003.32,2003.3
    Totals124,600193.6126,300198.3127,000177.8
Salary or wages549,400451.6570,500489.9592,800520.9
Investment income14,62012.616,00012.817,50013.2
    Totals688,620657.8712,800701.0737,300711.9

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 deductions from 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
1956–571957–581958–59
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
££ £(m) £(m) £(m)
375–39912,5104.811,6004.511,2004.4
400–49959,61026.758,00026.156,90025.6
500–59958,99032.458,70032.358,60032.2
600–69975,06048.969,10044.965,90042.8
700–79989,89067.482,50061.980,00060.0
800–89981,39068.985,40072.689,20075.8
900–99959,09055.962,80059.768,30064.9
1,000–1,19966,19071.780,00088.089,60098.6
1,200–1,39922,77029.230,70039.936,90048.0
1,400–1,5999,82014.613,70020.515,70023.6
1,600–1,7994,6807.96,30010.87,40012.6
1,800–1,9992,7105.13,5006.64,1007.7
2,000–2,9995,16012.06,20014.66,60015.6
3,000–3,9991,0803.71,4004.71,8005.9
4,000–4,9992531.13301.44001.7
5,000 andover1971.42301.42501.5
Totals549,400451.6570,500489.9592,800520.9

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
1956–571957–581958–59
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
££ £(m) £(m) £(m)
375–3991,5600.61,3000.51,5000.6
400–4995,8002.65,5002.55,8002.6
500–5996,6403.76,4003.57,0003.9
600–6997,3004.86,8004.47,8005.0
700–7998,2106.27,8005.88,8006.6
800–8998,2307.08,1006.99,4008.0
900–9998,0507.67,6007.29,0008.5
1,000–1,19915,15016.514,50016.017,10018.8
1,200–1,39912,82016.613,30017.414,20018.4
1,400–1,59910,00014.910,40015.610,60015.9
1,600–1,7998,11013.78,80014.98,20014.0
1,800–1,9995,60010.67,20013.65,60010.6
2,000–2,99915,87038.116,90040.814,70035.2
3,000–3,9996,32021.67,10024.24,70016.0
4,000–4,9992,37510.62,2009.51,5006.8
5,000 andover2,56418.72,50015.61,2007.0
Totals124,600193.6126,300198.3127,000177.8

The next table shows assessable income from all sources combined (including investment income).

Amount of Assessable IncomeIncome Year
1956–571957–581958–59
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
££ £(m) £(m) £(m)
375–39916,5305.915,6005.716,0005.7
400–49968,11030.566,50029.966,00029.8
500–59967,82037.267,60037.268,20037.5
600–69983,79054.577,40050.375,40049.0
700–79999,18074.391,50068.690,10067.6
800–89990,36076.694,30080.299,50084.5
900–99967,67064.171,00067.477,90074.0
1,000–1,19982,22089.195,600105.1107,800118.5
1,200–1,39936,13046.544,60058.051,80067.3
1,400–1,59920,24030.124,50036.826,80040.2
1,600–1,79913,21022.415,60026.516,20027.5
1,800–1,9998,59016.311,00020.810,00018.9
2,000–2,99921,57051.523,60056.521,70051.8
3,000–3,9997,61025.98,70029.46,60022.3
4,000–4,9992,70812.02,60011.22,0008.6
5,000 andover2,88120.92,80017.51,4008.7
Totals688,620657.8712,800701.0737,300711.9

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.

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. The incomes given in these statistics are those after the deduction of any such losses.

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
1954–551955–561956–571954–551955–561956–57
££   £(000)£(000)£(000)
Under40017,61016,53016,5306,3906,0005,890
400–49972,47068,49068,11032,53030,75030,510
500–59982,63072,90067,82045,45040,02037,250
600–699105,36092,10083,79068,49059,88054,520
700–799103,590101,69099,18077,48076,11074,320
800–89980,50088,39090,36068,05074,85076,550
900–99953,35061,91067,67050,38058,54064,080
1,000–1,19952,75070,92082,22057,01076,86089,120
1,200–1,39923,33028,45036,13030,05036,61046,470
1,400–1,59913,47016,29020,24020,06024,25030,140
1,600–1,7998,47010,09013,21014,36017,06022,350
1,800–1,9996,0907,3808,59011,53013,96016,250
2,000–2,99916,96017,49021,57040,77041,92051,450
3,000–3,9996,8606,2607,61023,29021,33025,920
4,000–4,9992,6602,3022,70811,75310,21012,015
5,000–5,9991,2311,0651,2756,6945,7956,940
6,000–6,9995945176483,8233,3364,175
7,000–7,9993142803422,3442,0802,555
8,000–8,9991951441711,6481,2121,446
9,000–9,999137911141,2978651,079
10,000–19,9992611882973,3152,3843,804
20,000–29,999191725452406596
30,000 andover949353143341
Totals648,860663,500688,620577,520604,570657,770

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
1954–551955–561956–571954–551955–561956–57
££      
Under50013.8812.8112.296.746.085.53
500–99965.5662.8559.3753.6551.1846.63
1,000–1,99916.0520.0623.2923.0327.9131.07
2,000–4,9994.093.934.6313.1312.1513.59
5,000 andover0.420.350.423.452.683.18
Totals100.00100.00100.00100.00100.00100.00

The reduced incomes of sheep farmers in 1955–56 were principally responsible for the lower numbers in the higher income groups.

Although more than two-thirds of the numbers were still under £1,000 in 1956–57, approximately four per cent of the total numbers have in recent years been crossing over the line between the three figure and the four figure incomes.

The median assessable income rose to £809 in 1956–57, compared with £780 in 1955–56 and £745 in 1954–55.

Of those individuals who received £375 or over, the 10 per cent who received the highest incomes had an average assessable income of £2,432 in 1956–57, compared with £2,270 in 1955–56 and £2,333 in 1954–55.

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. The unearned income in these statistics is substantially interest, net rents from property, and shares of estate income. Company dividends are not included. 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
1954–551955–561956–571954–551955–561956–57
£££(000)£(000)£(000)Per CentPer CentPer Cent
Under4004704205007.37.08.5
400–4991,2101,2701,3803.74.14.5
500–5991,2101,2201,4902.73.04.0
600–6991,2801,3801,3701.92.32.5
700–7991,1901,2901,4001.51.71.9
800–8991,0801,1401,3201.61.51.7
900–9999109701,1001.81.71.7
1,000–1,1991,3401,6202,0802.32.12.3
1,200–1,3999801,0901,4403.33.03.1
1,400–1,5998108401,2004.03.54.0
1,600–1,7995806801,1804.04.05.3
1,800–1,9994506208103.94.450
2,000–2,9991,5801,9402,2403.94.64.4
3,000–3,9999209201,2904.04.35.0
4,000–4,9995765396694.95.35.6
5,000–5,9993423084165.15.36.0
6,000–6,9992532113006.66.37.2
7,000–7,9991481462036.37.07.9
8,000–8,99915073929.16.06.4
9,000–9,99911854599.16.25.5
10,000–19,9992301873566.97.89.4
20,000 andover1213181.52.41.9
Totals15,83016,93020,9102.72.83.2

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 were actually by far the largest source of non-assessable income in the years covered.*

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
1954–551955–561956–571954–551955–561956–57
££   £(000)£(000)£(000)
Under40015,29014,26013,9205,9105,4905,360
400–49971,73067,62067,36032,21030,36030,190
500–59982,18072,52067,21045,21039,82036,930
600–699104,73091,69083,48068,09059,61054,320
700–799103,280101,38098,96077,24075,89074,160
800–89980,14087,90090,35067,75074,45076,560
900–99953,18062,03067,52050,22058,63063,940
1,000–1,19952,77070,53081,74057,03076,42088,630
1,200–1,39923,70029,06036,68030,50037,40047,160
1,400–1,59913,59016,50020,51020,24024,60030,550
1,600–1,7998,88010,51013,24015,05017,78022,400
1,800–1,9996,6607,5309,01012,62014,26017,040
2,000–2,99918,20018,77023,03043,90044,99055,230
3,000–3,9997,8207,2708,64026,61024,86029,510
4,000–4,9993,0062,7273,20013,31712,11714,229
5,000–5,9991,5101,3371,5778,2107,2858,581
6,000–6,9997676698164,9364,3025,264
7,000–7,9994324014363,2302,9853,252
8,000–8,9992652262362,2431,9061,993
9,000–9,9991981441621,8751,3621,534
10,000–19,9994383594575,6794,6885,895
20,000–29,9995438561,2969431,346
30,000–39,999191219650424662
40,000–49,999645273181219
50,000 andover69153605961,229
Totals648,860663,500688,620594,640621,350676,180

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 1955–56 the aggregate of non-assessable, etc., income was £16,780,000, and this rose to a figure of £18,140,000 for 1956–57. With the exception of £1,540,000 received in 1956–57 by those having returnable incomes of less than £1,000, this amount was shared by the medium and higher income groups. The general tendency is for the proportion of non-assessable, etc., income to rise as the total income rises.

Aggregation of Incomes: Husband and Wife.—The incomes of husband and wife were, in the 1956–57 income year, aggregated if (a) they were living together, and (b) the returnable income in each case exceeded £500. The excess of the wife's income over £500 was deemed to be the income of the husband, and an aggregate assessment, which also included the assessment on that part of the wife's income which was under £500, was made in the name of the husband. In such cases a personal exemption of £375 was 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 was made for separate assessments if written application was made by either the husband or wife before an aggregate assessment had been made. The total tax payable under the separate aggregated assessments was that payable under the combined assessment, but apportioned between husband and wife according to their respective incomes.

* Recent legislation concerning company dividends is discussed on page 807.

The following table shows the numbers of “aggregate” assessments for the four 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
1953–541954–551955–561956–57
££    
1,000–1,1991,090820960750
1,200–1,3991,8802,6603,2203,650
1,400–1,5991,1202,0803,6203,820
1,600–1,7996001,0301,9202,120
1,800–1,9994005608601,080
2,000–2,9996801,0001,4401,750
3,000–3,999470460490720
4,000–4,999190222291289
5,000 andover575608601668
Totals7,0109,44013,40014,850

The size of the husband's income is of interest where incomes have been aggregated. It will be seen from the 1956–57 income year figures which follow, that in almost 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
££ ££ 
Under5996601,000–1,1992,230
600–6991,4801,200–1,3991,110
700–7992,4501,400–1,599460
800–8992,5901,600 andover1,960
900–9991,910   
   Total14,850

The wife's income is generally about two-thirds of the husband's income, tending to rise towards equality as the husband's income drops towards the lower income levels and vice versa. There are cases where the wife's income exceeds that of the husband, even at comparatively high income levels, but these are not very common. In 6,690 instances the wife received less than £600, 3,310 received between £600 and £699, and the balance over £700.

It should be noted that the above table includes only those cases where there was 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 was 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 1956–57.

Source of Assessable IncomeNumber of AssessmentsAssessable IncomeReturnable IncomeIncome Tax AssessedAverage Assessable IncomeAverage Returnable Income
Agricultural and livestock production— £(000)£(000)£(000)££
  Sheep farming22,85054,61055,55011,8602,3902,431
  Dairy farming30,71038,52038,6902,3101,2541,260
  Other19,26028,73029,0603,1801,4921,509
          Totals72,820121,860123,30017,3401,6731,693
Forestry, hunting and fishing8301,1701,1701101,4101,410
Mining and quarrying300580580701,9331,933
Manufacturing—
  Food, drink, and tobacco650850860701,3081,323
  Apparel, textiles, and footwear1,0401,2001,2401201,1541,192
  Metals and metal products1,2001,7301,7401701,4421,450
  Other1,5702,0702,0901901,3181,331
Construction12,11015,02015,1001,0001,2401,247
Commerce—
  Wholesale and retail trade14,23017,95018,2301,4901,2611,281
  Other8701,3801,4401801,5861,655
Transport, storage, and communication4,8605,5105,5602601,1341,144
Services, community—
  Professional7,44017,04017,6803,0702,2902,376
  Other6,6707,2607,3405001,0881,100
          Totals124,600193,620196,32024,5601,5541,576
Salary or wages549,400451,570462,7406,480822842
Investment income14,62012,59017,1201,2008611, 171
          Grand totals688,620657,770676,18032,250955982

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 £6,290,000 unearned income, and source investment income includes £2,230,000 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 foregoing 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 1956–57 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 workers42,86038,60038,900710901908
Managers, administrators, and officials22,51035,27044,4103,9101,5671,973
Clerical, office, and related workers83,67063,40063,890450758764
Salesmen and related workers43,19034,20034,430300792797
Farmers, fishermen, hunters, lumbermen, and related workers33,94025,07025,330240739746
Workers, in mine, quarry, and related occupations5,3604,8204,82030899899
Workers in operating transport occupations47,49040,52040,540170853854
Craftsmen, production process workers, and workers in related occupations142,030115,400115,620330813814
Manual workers and labourers, n.e.i.79,20058,38058,450130737738
Service and related workers29,62020,57020,61050694696
Unknown and unreported occupations1,04065072010625692
Armed forces10,4509,1509,16060876877
Not actively engaged8,0305,5305,86080689730
    Totals549,400451,570462,7406,480822842

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 1956–57 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.

  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.

The exemptions given above have since been substantially altered. Details of the new exemptions are on pages 811–812.

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 £35 life-assurance premiums, etc. The total exemption was thus £760. 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 1956–57.

£(000)
Amount of Assessable IncomePersonalWife, HousekeeperChildren and RelativesLife Assurance Premiums, etc.Total
££     
Under4005,70010..305,740
400–49925,70054016036026,770
500–59925,6101,79079056028,750
600–69931,5904,0003,17097039,710
700–79937,4006,4706,8101,63052,310
800–89934,0306,9608,6602,07051,720
900–99925,4905,6607,4502,02040,620
1,000–1,19930,9607,3509,4503,32051,080
1,200–1,39913,6403,3904,0601,83022,920
1,400–1,5997,6501,9002,2901,28013,130
1,600–1,7995,0001,2601,5208808,650
1,800–1,9993,2508201,0306805,790
2,000–2,9998,1802,0802,6701,87014,800
3,000–3,9992,8907209307705,300
4,000–4,9991,0312473443051,927
5,000–5,999486111144148889
6,000–6,999248567278454
7,000–7,999132283940239
8,000–8,99966141521116
9,000–9,9994410111479
10,000–19,999114202839201
20,000 andover1333424
Totals259,22043,44049,64018,920371,220

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 IncomeNumber of Children (under 16 Years)Total Number of
0123456789 and OverAssessmentsChildren
££            
Under40015,410390300160150100..20....16,5402,720
400–49962,6702,3201,43087047017013020201068,11011,690
500–59957,1504,5002,7801,63092041026070605067,82023,650
600–69960,2008,9606,8103,7402,3207406201801506083,79053,490
700–79958,46013,23013,3407,7203,3401,71072032024011099,18094,450
800–89943,65014,28015,4809,3004,5301,8007303701408090,360109,070
900–99929,38010,42013,2108,0903,8901,610640280906067,67091,770
1,000–1,19933,97013,43016,71010,6904,4201,70071030016012082,220113,810
1,200–1,39915,2705,8207,1504,5202,23070027014030..36,13048,960
1,400–1,5998,9002,9503,8002,6401,20050016030202020,23027,290
1,600–1,7995,6401,8902,6301,7009602907040....13,21018,250
1,800–1,9993,6201,0501,7901,240580200402030108,59012,390
2,000–2,9998,9203,1903,9303,0501,580560210120..2021,57031,570
3,000–3,9993,1501,1601,4101,050540220502020..7,61010,990
4,000–4,9991,149367458411212732410222,7083,977
5,000 andover1,42238244334120563193212,8813,586
Totals408,96084,34091,67057,15027,55010,8504,6501,940970540688,620657,660

The amount of assessable income (in 1956–57) did not, of course, include the social security benefit of £26 per annum for each child under sixteen years. There were 657,660 children represented in the above figures, which therefore failed to account for all the children in New Zealand who were less than sixteen years. One obvious factor accounting for the omission of children from these statistics is that assessable incomes of less than £375 were 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.

Counting only those returns which include children, the average number of children per return was 2.35. Ignoring the two income groups under £500, which showed higher averages per return, the average of children commenced at 2.21 for the £500–£599 income group and increased fairly steadily in each succeeding income group to a peak of 2.55 in the £4,000–£4,999 income group.

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 1956–57 and the two preceding income years.

£(000)
Amount of Assessable IncomeTaxable IncomeTax Assessed
1954–551955–561956–571954–551955–561956–57
££      
Under4001601501504020..
400–4993,9003,8603,750470530..
500–5999,4708,9408,5001,1901,260..
600–69916,61015,56014,8102,1302,240..
700–79921,29021,82022,0102,8303,210..
800–89921,35024,01024,8302,8503,610..
900–99917,92021,38023,4602,4503,30060
1,000–1,19924,26032,55038,0403,4605,190580
1,200–1,39915,21018,50023,5502,3003,1801,100
1,400–1,59911,51013,59017,0201,9002,4901,460
1,600–1,7998,80010,44013,7001,5402,0501,660
1,800–1,9997,5109,08010,4701,3901,8801,530
2,000–2,99929,48030,04036,6506,6407,3007,490
3,000–3,99918,58017,00020,6205,5205,2905,960
4,000–4,9999,9158,58510,0883,6193,2273,637
5,000–5,9995,8465,0436,0512,4252,1342,488
6,000–6,9993,4182,9793,7211,5321,3531,648
7,000–7,9992,1271,8872,3161,0038961,082
8,000–8,9991,5151,1121,330737538645
9,000–9,9991,2068031,000602404495
10,000–19,9993,1472,2563,6031,6581,1871,896
20,000–29,999439395578247224320
30,000 andover34614033519981194
Totals234,010250,120286,56046,74051,59032,250

As the exemptions were not altered in either 1955–56 or 1956–57, increased numbers of assessments and rising incomes alone influenced the level of taxable income in these years.

The amount of tax assessed in 1954–55, fell below the 1953–54 level as the result of a 20 per cent rebate (maximum £75) from the amount of tax as determined by the basic rates of tax. The tax assessed for the 1955–56 income year substantially exceeded that of the previous year, the principal agency being the halving of the rebate allowed. For 1956–57, a rebate of £100, or the tax assessed whichever was the smaller, was granted. The tax assessed dropped from £51,590,000 in 1955–56 to £32,250,000 in 1956–57 and the number of taxpayers was reduced from 606,810 in 1955–56 to 131,990 in 1956–57.

Rates of Tax: Individuals.—The basic rates of tax have not been changed in any of these three income years. The basic rate commenced at 3s. 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 increased by 3d. in the £1, until the maximum rate of 12s. was reached at £3,600. These rates were 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 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 rabate of £75. The rebate was reduced to 10 per cent in 1955–56, with a maximum of £40. There was a rebate of £100 in 1956–57. This was substituted for and was not in addition to, the previous percentage rebate.

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 at 3s. 3d. in the £ =1650
plus£100 at 3s. 6d. in the £1 =17100
plus £100 at 3s. 9d. in the £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 = £168750. Therefore the tax, which is payable on the taxable income only, at the effective rates is £300 x £168750 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. However, as previously mentioned the 1956–57 rebate was the amount of tax assessed, or £100, whichever was the lesser.

Geographical Distribution.—The following table shows for the last three available income years the number of assessments and average assessable income for each of twenty district offices of the Inland Revenue Department. These districts are indicated by the name of the town in which the district office is situated.

Income-tax DistrictNumber of AssessmentsAverage Assessable Income
1954–551955–561956–571954–551955–561956–57
    £££
Whangarei17,54017,57018,010850890902
Auckland135,560139,040147,300827861885
Hamilton57,45059,35059,810921906990
Tauranga17,48016,50017,730834887930
Rotorua8,7108,5809,260814878916
Gisborne39,16010,92011,6601,0099881,033
Napier27,55028,0301,0421,057
New Plymouth23,53023,89024,960925953992
Wanganui20,73021,21020,7909409831,023
Palmerston North30,81030,89031,9909649651,016
Masterton8,8509,0209,0701,0181,0061,077
Wellington91,56097,880102,950840884922
Nelson10,50011,64011,960823843890
Blenheim5,8005,9306,160919946981
Christchurch73,47074,11076,560845874920
Greymouth11,69011,75011,640814854893
Timaru20,49020,87021,3101,0571,0321,096
Oamaru48,2605,5505,960897906973
Dunedin44,00044,980913954
Invercargill27,28027,24028,5001,0621,0571,144
          Totals663,500663,500688,620890911955

There are now seven districts with an average income of over £1,000. These districts have heavy representations of sheep farmers who, as a class, had high average assessable incomes over the three years.

The proportions of salary and wage earners to total population largely determines the district average income. It will be noticed that the Auckland district, which includes the largest urban centre in New Zealand, had the lowest average income in 1956–57.

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 955.

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.

With the exceptions of the table which gives provisional estimates of assessable incomes for 1957–58 and 1958–59, and also the “assets” data which appear at the end of this section, 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 1956–57 and the two preceding income years.

Amount of Assessable IncomeNumber of AssessmentsAssessable Income
1954–551955–561956–571954–551955–561956–57
££   £(000)£(000)£(000)
0–992,4622,5892,832818892
100–1991,2101,2831,479173187217
200–2991,0391,0791,233256267304
300–3998721,0781,092304375381
400–4998579131,015384408456
500–5998779101,001477498547
600–699687857902444557584
700–799627688801468514600
800–899582681764494577648
900–999519593584493561554
1,000–1,9993,4383,7854,1504,9245,3855,934
2,000–2,9991,7891,8241,9894,3854,4624,863
3,000–3,9999841,0731,1193,3843,7073,854
4,000–4,9997366996873,2973,1203,071
5,000–5,9994924394682,6822,3892,564
6,000–6,9993283063102,1131,9881,996
7,000–7,9992482312271,8521,7271,692
8,000–8,9991871871821,5841,5871,542
9,000–9,9991701571511,6091,4941,433
10,000–19,9997157657859,98410,56510,773
20,000–29,9992642442556,4475,9116,252
30,000–39,9991241111254,2973,8384,301
40,000–49,9997181663,1823,6022,960
50,000–99,99917114916311,80010,24411,586
100,000–199,99976787110,59910,78110,351
200,000–299,9992724276,4026,0046,434
300,000–399,9991415114,9245,1003,862
400,000–499,99994114,2151,7965,007
500,000 andover18181916,52917,52317,168
Current netloss3,4693,9244,640......
Assessableincome before losses1,0671,1641,291......
Totals24,12925,94928,450107,786105,254110,024

The provisional estimates of assessable income, in the next table, are calculations based on the income trends revealed by a small sample of returns. The sample is confined to those income returns which are available at an early date. Companies with balance dates later than 30 June would be almost completely unrepresented in the sample.

The estimates are given with the warning that the figures are subject to a possible considerable margin of error and should therefore be used with caution.

Industry Group1956–571957–581958–59
Number of ReturnsAssessable IncomeNumber of ReturnsAssessable IncomeNumber of ReturnsAssessable Income
  £(million) £(million) £(million)
Agriculture and livestock production1,4473.01,6502.91,8003.1
Manufacturing6,27836.46,55039.06,90041.3
Construction2,2195.72,5005.82,7005.6
Commerce—
  Wholesale and retail trade10,10040.411,10043.211,80046.0
  Other4,23415.44,80016.95,20018.5
Transport, storage, and communication1,4624.21,6004.31,8004.3
Services, community2,3293.82,5004.12,6004.3
Miscellaneous3811.14001.25001.4
    Totals28,450110.031,100117.433,300124.5

The item “assessable income before losses”, which appears in a preceding table 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 1956–57 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)
0–992,832138921,597..268
100–1991,479256217490..3016
200–2991,233345304356..4123
300–3991,092399381454..5428
400–4991,015478456466..6533
500–5991,0015675471,592..8240
600–699902596584616..8943
700–799801728600645179544
800–899764677648692710748
900–9995845805547352810342
1,000–1,9994,1506,0515,9346,261801,119446
2,000–2,9991,9894,9074,8635,102..1,126361
3,000–3,9991,1193,8903,8544,040..1,045287
4,000–4,9996873,1243,0713,151..973230
5,000–5,9994682,5812,5642,606..915191
6,000–6,9993101,9961,9962,017..787150
7,000–7,9992271,6951,6921,732..717126
8,000–8,9991821,5451,5421,565..673116
9,000–9,9991511,4401,4331,437..621106
10,000–19,99978510,86510,77311,610..4,670809
20,000–29,9992556,2696,2526,367..2,695460
30,000–39,9991254,3194,3014,470..1,865325
40,000–49,999662,9702,9603,188..1,297222
50,000–99,99916311,58611,58611,919..5,001862
100,000–199,9997110,36910,35110,65544,318732
200,000–299,999276,4406,4346,842..2,849499
300,000–399,999113,8623,8623,951..1,605267
400,000–499,999115,0075,0075,012..1,946305
500,000 andover1917,16817,16817,853..6,6601,164
Net loss..4,460....2276,620....
Assessableincome before losses1,2911,145..52......
Totals—1956–5728,450111,992110,024117,7016,75741,5757,982
      1955–5625,949107,017105,254112,7304,75540,0597,630
      1954–5524,129109,456107,786113,8563,89341,3827,834

Companies are classified by industry, the classification being identical with that used for individuals with the minor exception that community services—professional—do not form a separate group. Attention is drawn to the remarks on page 963 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 1956–57.

Industry GroupNumber of AssessmentsAssessable Income Before Losses*Assessable IncomeReturnable IncomeCurrent Net LossIncome Tax AssessedSocial Security Charge
* This column represents assessable income plus losses which have been carried forward from previous years.
  £(000)£(000)£(000)£(000)£(000)£(000)
Agriculture and livestock production1,4473,1432,9723,0163751,019224
Forestry, hunting and fishing127276270275519520
Mining and quarrying2277116836886826052
Manufacturing—
  Food, beverages and tobacco91611,14011,03911,3542154,603828
  Textiles, wearing apparel and made-up textiles8763,6853,5953,6822831,421269
  Metals and metal products2,0176,9946,8547,0713152,579513
  Wood, paper, chemical products (including miscellaneous)2,46915,02514,87815,1872,5266,0551,116
Construction2,2195,9725,7295,7743842,020428
Electricity, gas, water and sanitary services171501491491796311
Commerce—
  Wholesale and retail10,10040,91540,42241,6631,47015,7343,035
  Other4,23415,66415,41320,3673824,825820
Transport, storage and communication1,4624,3784,1894,3342351,544383
Services, community and business, recreation2,3293,9253,8174,1252731,353283
Unknown or not stated10141414 51
    Totals—1956–5728,450111,992110,024117,7016,75741,5757,982
          1955–5625,949107,017105,254112,7304,75540,0597,630
          1954–5524,129109,456107,786113,8563,89341,3827,834

Rates of Tax: Companies.—For incomes received during the income year 1956–57 the 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 was levied at the rate of 1s. 6d. per £1 of income. Not all companies were liable to pay this charge. Further information concerning rates of taxation will be found on page 812.

The next table shows some additional data concerning companies which relate to the income year 1956–57.

£(000)
Industry GroupStocks at End of PeriodIncomeExpenditureGross Profit
Sales and ServicesInterest and Gross RentsPurchasesSalaries and WagesInterestRentDepreciation

* Gross profit not normally available.

Not available.

Agriculture and live-stock production5,59716,7811484,2474,1203582911,14210,036
Forestry, hunting and fishing1432,30486..8315546221621
Mining and quarrying48710,34975..4,718312160654*
Manufacturing—
  Food, beverages and tobacco35,940315,308713228,45032,5231,1486544,73939,980
  Textiles, wearing apparel and made-up textiles17,93368,69029337,72118,7064457921,24814,006
  Metals and metal products22,758103,55137362,32323,9235777561,79021,025
  Wood, paper, chemical products (including miscellaneous)37,285184,82292094,90541,9751,6371,7158,19043,438
Construction12,86190,44829041,97525,2703833132,31217,645
Electricity, gas, water and sanitary services55512,175741,0863,4134,22131,9566,667
Commerce—
  Wholesale and retail150,874927,4733,627735,24777,0502,9215,1427,115144,878
  Other47954,01933,7131,49316,9188,1635641,707*
Transport, storage and communication72347,1362765,54916,7853243693,573*
Services, community and business, recreation2,08647,54396115,71313,6023491,2931,3198,880
Unknown or not stated129015917 7316
    Totals—1956–57287,7331,880,69041,5521,228,768279,85020,89312,10535,969307,192
          1955–56279,8501,770,80236,495260,41217,80011,07831,161284,067
          1954–55259,6351,670,80232,508237,48315,3079,89328,402268,600

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.

This survey was in 1956–57 extended to include “purchases”. Corresponding data for earlier years are not available. One point which should be noted is that the purchases figures have not been given for the forestry and mining industry groups. It was found that there was a considerable lack of uniformity in such data for these two groups which was probably connected with differing treatments of royalty and equivalent payments.

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 just given 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 1956–57 are given in the two following tables.

Industry GroupNumber of AssessmentsAssessable IncomeDividends PaidShareholders' Funds
TotalPaid-up Capital
  £(000)£(000)£(000)£(000)
Agriculture and livestock production1,4472,97283822,17412,732
Forestry, hunting and fishing127270864,2192,684
Mining and quarrying2276831844,5342,623
Manufacturing—
  Food, beverages, and tobacco91611,0392,74974,09035,692
  Textiles, wearing apparel and made-up textiles8763,5951,30226,90213,902
  Metals and metal products2,0176,8542,02437,05518,056
  Wood, paper, chemical products (including miscellaneous)2,46914,8784,84493,86558,789
Construction2,2195,7291,86022,0489,665
Electricity, gas, water and sanitary services17149639,2801,601
Commerce—
  Wholesale and retail10,10040,42213,287215,927103,019
  Other4,23415,4135,631149,99178,754
Transport, storage and communication1,4624,1891,42327,25713,962
Services, community and business, recreation2,3293,8171,58226,0779,439
Unknown or not stated1014 3429
    Totals—1956–5728,450110,02435,874713,453360,945
          1955–5625,949105,25432,872643,487329,718
          1954–5524,129107,78631,949588,283300,043

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 1956–57 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)
Nil..1,814..29,466287
0–4991,5863396,804463
500–9992,2151,3958,023636
1,000–1,9995,1896,43824,1011,769
2,000–2,9993,8198,45724,1001,366
3,000–3,9992,6188,32118,9461,149
4,000–4,9991,7007,13615,229926
5,000–5,9991,8189,30020,9261,311
6,000–6,9991,1336,97313,987794
7,000–7,9996985,0699,578565
8,000–8,9995274,3097,971437
9,000–9,9993933,6486,571296
10,000–19,9992,57932,03564,1383,216
20,000–29,99989820,36136,0391,947
30,000–39,99936011,73420,6981,090
40,000–49,9991978,40014,802690
50,000–59,9991638,47617,434925
60,000–69,999875,48110,036546
70,000–79,999755,4728,982460
80,000–89,999504,1457,520399
90,000–99,999333,1025,255185
100,000–199,99923829,50256,2863,331
200,000–299,9998920,26136,2071,755
300,000–399,9995117,22828,8811,250
400,000–499,999198,02513,6191,809
500,000–599,9992512,89223,580683
600,000–699,999159,60714,036678
700,000–799,999128,94213,6731,800
800,000–899,99954,0866,748294
900,000–999,99954,8089,376417
1,000,000 andover3985,004140,4404,402
Totals—1956–5728,450360,945713,45335,874
      1955–5625,949329,718643,48732,872
      1954–5524,129300,043588,28331,949

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 current 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.

In 1956–57 there were 498 companies with paid-up capital of £100,000 and over, compared with 457 for a year earlier. These companies had 55.5 per cent of the total paid-up capital and 48.1 per cent of the total shareholders' funds.

The rate of company formation continued at a high level. In 1956–57 the number of companies increased by 9.6 per cent and paid-up capital for all companies rose by 9.5 per cent. Company formation in the farming sector appears to be growing at an accelerated rate, as the number of companies in this industry group rose from 1,103 in 1955–56 to 1,447 in 1956–57, an increase of 31.2 per cent.

Dividends paid by companies increased by £3,000,000 in 1956–57, a large amount when compared with the rise of £900,000 in dividends in 1955–56. The 1955–56 dividend increase was, however, considerably less than has been normal in recent years, and was evidently influenced by the small decrease in incomes in that year.

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 1956–57.

Industry GroupNumber of ReturnsAssessable IncomeIncome Tax and Social Security ChargeNet Business LossShareholders' FundsDividends Paid
Paid-up CapitalTotal
NEW ZEALAND PRIVATE COMPANIES
  £(000)£(000)£(000)£(000)£(000)£(000)
Agriculture and livestock production1,4282,8611,18637512,05021,118806
Forestry, hunting and fishing11019378397271,95163
Mining and quarrying201486207481,0381,994151
Manufacturing—
  Food, beverages and tobacco5884,0691,94918111,27223,8611,130
  Textiles, wearing apparel and made-up textiles8252,0439012016,14213,094713
  Metals and metal products1,9495,5402,42727613,03327,2851,657
  Wood, paper, chemical products (including miscellaneous)2,2357,6063,42559419,78040,1143,212
Construction2,1975,1902,1773658,91220,5871,821
Electricity, gas, water and sanitary services3136..37721
Commerce—
  Wholesale and retail9,50325,91211,4381,24561,937134,2519,749
  Other3,6362,92197315831,61752,5163,525
Transport, storage and communication1,3212,5391,0341567,45614,5341,003
Services, community and business, recreation1,4722,6971,1061867,33713,7751,415
Unknown or not stated8136 2832 
    Totals—1956–5725,47662,06426,9123,824181,366365,18525,246
          1955–5623,08459,10225,7623,846162,541323,45521,418
          1954–5521,20959,25026,0843,140147,395292,00921,935
NEW ZEALAND PUBLIC COMPANIES
Agriculture and livestock production145729 23244531
Forestry, hunting and fishing177838131,9572,26723
Mining and quarrying26198105201,5862,54033
Manufacturing—
  Food, beverages and tobacco3105,7602,8691419,36343,8791,566
  Textiles, wearing apparel and made-up textiles481,552789657,68813,656589
  Metals and metal products571,177597394,4438,354352
  Wood, paper, chemical products (including miscellaneous)1966,7903,5041,92037,33250,1171,626
Construction1118994752689739
Electricity, gas, water and sanitary services14136681791,5649,20862
Commerce—
  Wholesale and retail27010,5095,33312134,84963,1332,586
  Other3195,0862,2989534,66467,3352,088
Transport, storage and communication1191,511826796,42512,020409
Services, community and business, recreation69688343102,0715,503155
Unknown or not stated..............
    Totals—1956–571,47033,72916,8942,562152,700279,3559,560
          1955–561,46733,05716,558563144,321258,09410,286
          1954–551,48035,03517,490484130,898237,7509,313
REMAINDER OF COMPANIES (OVERSEAS, INDUSTRIAL AND PROVIDENT SOCIETIES, ETC.)
Agriculture and livestock production55428..450612..
Forestry, hunting and fishing..............
Mining and quarrying..............
Manufacturing—
  Food, beverages and tobacco181,210613205,0576,35053
  Textiles, wearing apparel and made-up textiles3  1771152 
  Metals and metal products1113769 5791,41715
  Wood, paper, chemical products (including miscellaneous)38481241121,6773,6337
Construction1135017713227563..
Electricity, gas, water and sanitary services       
Commerce—
  Wholesale and retail3274,0011,9981046,23218,543952
  Other2797,4062,37312912,47330,14018
Transport, storage and communication2213966 8170211
Services, community and business, recreation78845018777326,79813
Unknown or not stated21....12..
    Totals—1956–571,50414,2305,75237226,87968,9131,068
          1955–561,39813,0955,36934622,85661,9381,168
          1954–551,44013,5015,64126921,75058,524701

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. It will be noticed that the total of public companies has been almost stationary in the last three years. Practically the whole of the increase in numbers has been in private companies. On average, private companies 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 (201 per cent against 183 per cent for public companies). However, as shareholders' funds include advances from shareholders (£46,773,000), the bulk of which relate to private companies, it is evident that the relation of retained income to paid-up capital is nearly 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 £62,064,000 against the £33,729,000 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.—Information on assets is collected for a sample group of companies. The sample comprises a random selection of ten per cent of the number of companies, plus a complete coverage of those which are deemed to fall into a “large company” category.

The estimates for the various classes of assets are given in the table which now follows, and which relates to the income year 1956–57. 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 production17.163.631.615.603.6831.68
Forestry, hunting and fishing1.142.84..0.141.695.81
Mining and quarrying1.898.020.550.494.1415.09
Manufacturing—
  Food, beverages and tobacco34.0925.649.1135.9429.87134.65
  Textiles, wearing apparel and made-up textiles6.807.102.2817.939.6443.75
  Metals and metal products11.4311.051.8222.7616.7363.79
  Wood, paper, chemical products (including miscellaneous)33.5847.2010.9637.2930.13159.16
Construction4.5510.852.6912.8610.4841.43
Electricity, gas, water and sanitary services1.49132.730.300.553.10138.17
Commerce—
  Wholesale and retail57.1437.4126.91150.87146.18418.51
  Other52.524.73472.140.48302.77832.64
Transport, storage and communication6.2120.462.540.7212.0742.00
Services, community and business, recreation11.727.715.362.008.7335.52
    Totals—1956–57239.72319.37536.27287.63579.211,962.20
          1955–56204.28283.04502.80279.62553.321,823.06
          1954–55184.72254.12469.95259.44571.501,739.73

The increase of £70,010,000 in shareholders' funds in 1956–57 was not quite sufficient to cover the net investment in land, buildings, and other fixed assets during the year. The aggregate of these assets was £71,770,000 larger than in 1955–56. The additions to other types of assets were financed by an increase of £69,130,000 in “provisions and external liabilities” during 1956–57. Trading stocks at the close of 1956–57 were £8,010,000 larger than for 1955–56, compared with the corresponding increase of £20,180,000 for 1955–56.

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 1956: INCOMES OF INDIVIDUALS:—The following statistics on incomes have been compiled from the population census taken on 17 April 1956.

The 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
££      
Nil 5,5725,79111,363428,462792,0701,220,532
1–494,1345,3949,52813,77636,53250,308
50–994,6346,90411,53810,96823,32934,297
100–29934,35153,54687,89744,62982,439127,068
300–49965,42478,717144,14173,37790,449163,826
500–699168,92230,632199,554173,66235,153208,815
700–899162,4816,556169,037164,9848,462173,446
900–1,09974,5952,12976,72475,9293,14279,071
1,000–1,29932,32783133,15833,2531,43034,683
1,300–1,49915,18642915,61515,72977316,502
1,500 andover51,5241,53853,06253,4492,91556,364
Not specified..3,6081,6275,2354,9934,1579,150
Totals622,758194,094816,8521,093,2111,080,8512,174,062

Included in the “nil” income group for actively engaged persons are those people who entered the labour force between 1 and 17 April 1956, and thus did not have income for the year ended 31 March 1956.

There would also be, in the smaller income group, considerable numbers of people who began work towards the end of the year 1955–56.

The largest income group for males actively engaged was the £500 to £699 group, with 168,922, or 27.1 per cent of those males actively engaged. This was followed closely by the £700 to £899 group with 162,481, or 26.1 per cent. The actively engaged males with incomes of £1,500 and over numbered 51,524, or 8.3 per cent.

The largest income group for actively engaged females was the £300 to £499 group with 78,717, representing 40.6 per cent of all actively engaged females. There were only 1,538, or 0.79 per cent, of actively engaged females with incomes of £1,500 and over.

Chapter 36. SECTION 36—PRICES

Table of Contents

PRICE FIXATION.—In New Zealand, as in other countries, regulation of prices by governmental control has been a feature of economic policy over a considerable period of years. Nation-wide control of prices of essential commodities was resorted to during the First World War, the motives behind legislation and regulations towards that end being the necessity of purchasing at reasonable prices commodities required for war purposes, and the protection of the consumer from the full force of the abnormal rises in prices, caused by the scarcity of many necessary commodities.

The administration of these price-fixing measures was in the hands of a 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 two, namely honey, and meat, have been placed under control again.

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 1960) 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 formerly of the Marketing Department), although the relevant price orders are generally issued by the Price Tribunal.

TRADE PRACTICES ACT 1958.—The Trade Practices Act 1958 provides machinery for the registration and investigation of certain trade practices and provides means whereby trade practices found to be contrary to the public interest may be regulated. A Trade Practices and Prices Commission was established in terms of section 3 of the Act which provides for members of the Price Tribunal automatically to become members of the Commission, for the President of the Price Tribunal to become chairman of the Commission, and for the Governor-General, on the recommendation of the Minister of Industries and Commerce, from time to time to appoint additional members to the Commission who will automatically become members of the Price Tribunal also. A Commissioner of Trade Practices and Prices was also appointed. The functions of the Commission are to inquire into trade practices for the purpose of ascertaining whether any such practices are contrary to the public interest and to make orders requiring the amendment, discontinuance or prohibiting the repetition of any such practices which it finds to be contrary to the public interest. There is a right of appeal to a Trade Practices Appeal Authority.

Agreements or arrangements must be registered where they come within the categories listed in section 19 (2) of the Trade Practices Act. This subsection contains some 16 clauses and aims at covering a wide range of trading agreements which by reason of price maintenance, limitation of sales outlets, zoning, ring tendering or through any of the other means mentioned, may operate in a manner inimical to public interest.

The Act came into force on 3 October 1958, and agreements or arrangements then in existence were required to be registered within three months of that date. Subsequent agreements must be registered within three months of the date on which they are made, whilst variations to or determinations of agreements which have been registered are themselves required to be registered within one month. Further amplification of the requirements in regard to registration is given in the Trade Practices Regulations 1958.

The number of agreements which had been registered at 31 March 1960 was 662. A substantial number of additional agreements which have been submitted will be registered when they have been examined.

The Trade Practices and Prices Commission has held eight public hearings in its first year of operation. The goods and services covered were glazing contracts, wire mattresses, phonograph records, aerated waters, radiata pine rail sleepers, wire netting, hairdressing charges, and pricing by master grocers' organisations.

The result of each inquiry, except in the last three cases listed, where the decisions are still under appeal, was that the trade practice under examination ceased. Some agreements were terminated prior to hearings, but in other cases it was necessary for the Commission to make an order.

CONSUMER COUNCIL.—A Consumer Council, whose functions are to protect and promote the interest of consumers of goods and services, was established under section 8 of the Finance Act 1959. The chairman and members of the Council have been appointed by the Minister of Industries and Commerce, who has also approved the membership of four district consumer committees on a regional basis corresponding with New Zealand's four university districts. The district committees will work in close liaison with the parent body, the Consumer Council.

A conference was held in September 1959 to enlist the support of those organisations interested in consumer welfare. Citizens may become associate members of Consumer Service on payment of a fee of 10s. a year, which entitles them to receive copies of a quarterly magazine, information broadsheets, and other assistance from the organisation. By May 1960 over 4,800 persons had joined Consumer Service. It is hoped to build the Consumer Service into a strong, self-reliant and valuable organization. Those associate members who wish to take a more active part in the work of the Service may become members of Consumers' Associations.

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, 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 1959 of a number of the commodities which enter into the Consumers' Price Index are shown hereunder.

ItemUnitPrice
  s.d.
Milk, fresh, deliveredPint..
Butterlb.20
Cheese, mildlb.2
Bread28 oz. loaf..
Flour25 lb. bag6
Oatmeal5 lb. bag50
Ricelb...10¾
Sugar6 lb.311¾
Honeylb. carton24
Eggs (in carton)Dozen41
Tealb. packet68
Cocoa1/2 lb. packet2
Coffee, pure ground, looselb.8
Jam, raspberry28 oz. tin5
Salt5 lb. bag2
Baked beans16 oz. tin1
Tomato sauce10 oz. bottle2
Tomato soup11 oz. tin12
Milk powder, full cream2½ lb. tin7
Aerated water10 oz. bottle..7
Chocolate3 oz. tablet13
Ice-creamPint block19
Appleslb.13
Orangeslb.13
Cabbagelb...
Carrotslb...
Peaches, canned30 oz. tin4
Peas, fresh, frozen10 oz. packet22
Onionslb.12
Potatoes, main croplb...
Beef—
  Sirloinlb.3
  Prime ribslb.35
  Rump steaklb.4
Mutton—
  Leglb.29
  Forequarterlb.15
  Chopslb.2
Pork—
  Leglb.3
  Chopslb.3
Sausages, beeflb.1
Ham, cooked, slicedlb.7
Bacon, sidelb.4
Fish—
  Tarakihi, filletslb.33
  Groper (hapuku), pieceslb.26
  Sole or flounder, guttedlb.33
  Smoked fishlb.30
  Herrings, canned14 oz. tin2
Coal, domestic1/4 ton455
Firewood1/28 cord6
Coke1 cwt.106¼2
Gas (cooking)1,600 cu. ft.198
Electric current, excluding water heating140 kWh11
Electric current, including water heating380 kWh298
Men's—
  Suit, ready madeEach3538
  Sports coat, ready madeEach2260
  Raincoat, woollen gabardineEach3012
  Overcoat, oilskinEach1861
  Trousers—
    WorkingPair2411
    SportsPair1000
Shirt—
    NegligeEach3611
    WorkingEach19
Singlet—
    All woolEach302
    Cotton, athleticEach8
Pullover, all woolEach306
Pyjamas, flannelettePair278
Socks, wool and nylonPair103
Hat. fur feltEach496
Bathing costume, all woolEach364
HandkerchiefEach26
Boys'—
  Sports coat, ready madeEach872
  Trousers, shorts, tweedPair296
  Raincoat, proofed cottonEach1040
  Shirt, grey flannelEach257
  Pullover, all woolEach419
  Three-quarter hose, schoolPair9
  School capEach1410½
Women's—
  Costume, coat and skirt, ready madeEach4030
  Raincoat, woollen gabardineEach3338
  Skirt, worstedEach1122
  Cardigan, all woolEach775
  Smock, cotton printEach343
  Stockings—
    Fully fashioned, nylonPair109
    Pure silkPair1411
  Underslip, nylonEach547
  Vest, silk and woolEach140
  Panties, interlockPair83
  Nightdress, locknitEach315
  Nightdress, winceyetteEach340
  CorsetsEach766
  BrassiereEach250
Girls'—
  Gym frock, sergeEach7711
  Blazer, all woolEach577
  Blouse, cotton, long sleevesEach2111
  Pyjamas, winceyettePair237
  Bloomers, interlockPair6
  Stockings, lislePair116
  Ankle sox, stretch nylonPair6
  Beret, schoolEach9
Infants'—
  Nursery squaresDoz.505
  Baby wool1 oz.28
Piece goods—
  Cotton mixtureYard93
  Velour coatingYard2810
  PrintYard710¼
  Opaque nylonYard1210
  RayonYard710¼
  Wool, hand knitting1 oz.26
Drapery—
  Blankets, singlePair1443
  Sheets, singlePair484
  Towel, turkishEach9
  Tea towel, linenEach4
Men's—
  Boots, heavyPair728
  Shoes—
    HeavyPair600
    LightPair913
  SandshoesPair122
  Slippers, leatherPair372
  Shoe repairsPair210
Boys'—
  Football bootsPair461
  Shoes, heavyPair480
  SandalsPair306
  Gum bootsPair321
  Shoe repairsPair166
Women's—
  Shoes—
    HeavyPair712
    LightPair821
  Slippers, feltPair213
  Shoe repairsPair140
Girls'—
  Shoes—
    SchoolPair412
    LightPair4511
    Shoe repairsPair110
Infants'—
  Shoes, glace kidPair239
Tallboy, four-drawerEach2016
Bedstead and rails 4 ft. 6 in.Each2028
Mattress—
  4 ft. 6 in. wireEach1200
  4 ft. 6 in. kapokEach2455
  4 ft. 6 in. foam rubberEach5320
Pillow, 2 lb. kapokEach17
Child's cotEach17311
Dining—
  Table, drawleafEach2965
  ChairEach1065
Sideboard, leadlightEach5311
Kitchen—
  TableEach835
  ChairEach268
Suite, upholsteredEach1,3150
Linoleum, inlaidYard333
Carpet, Axminster, 27 in.Yard486
Feltex, marbled, 5 ft.Yard488
Hammer, carpenter'sEach2511
Spade, gardenEach367
Fork, gardenEach3111
Axe, 4 lb.Each366
Broom, hair and fibreEach174
Mop, white cottonEach83
Scrubbing brushEach3
Bucket, galvanized, 12 in.Each911
Electric light bulb, 60 wattEach19
Pressure cooker, 10¼ pintEach1519
Saucepan, aluminium, 8 in.Each210
Piedish, enamel. 11 in.Each87
Cup and saucer, tea size1/2 doz.223
Plate, 10 in.1/2 doz.203
Preserving jars, glass, quart sizeDoz.153
Knives, table, stainless1/2 doz.519
Forks, table, E.P.N.S. A11/2 doz.3810
Doormat, coir, 24 in. x 18 in.Each120
Soap—
  Laundry2.8 lb. bar38
  PowderStandard pkt20
DetergentPacket19
Starch1 lb. packet21
Kerosene26 oz. bottle14
Boot polishMedium tin10
Toilet paperRoll10
Household cleaning pasteTin26
Lunch wrapRoll22
Torch battery, dry cellEach..11½
RefrigeratorEach1,9900
Washing machineEach1,2776
Vacuum cleanerEach4976
Radio receiving setEach4359
Electric—
  RadiatorEach1176
  JugEach596
  ToasterEach726
  IronEach896
  RazorEach1976
Lawnmower, hand typeEach1516
Sewing machineEach1,1100
Bicycle—
  Men's, sports roadsterEach4906
  TireEach180
  TubeEach86
PerambulatorEach2976
Paint, lead, final coat1 gallon tin570
Wallpaper, EnglishRoll113
Tennis—
  RacquetEach590
  BallsPair63
Meccano setEach420
Teddy bearEach456
Attache case, fibreEach1511
Watch—
  Wristlet, men'sEach1650
  Repair feeEach276
Alarm clockEach320
Cinema admissionSeat3
Football—
  AdmissionSeat20
  SubscriptionEach150
Golf green feesEach30
Library subscriptionBook..8
Radio licenceEach300
Dry cleaning, men's suitSuit106
Laundering, sheetEach 11
Hair cut—
  MenEach36
  WomenEach40
Hair set, womenEach76
Permanent waveEach350
SpectaclesPair1100
Dental—
  ExtractionEach176
  FillingEach126
  DenturesSet5460
Medical (excess over social security)—
  Consultation feeEach76
  Specialist feeEach136
  Private, general hospitalDay296
Union dues (annual subscription)—
  EngineersMale400
  WorkersMale600
  Railway servantsMale350
  Shop assistantsMale280
  Shop assistantsFemale180
  Clerical workersMale300
  Clerical workersFemale216
Face powder, block typeEach36
Vanishing creamJar311
LipstickEach43
Baby talcum powderTin23
Bobby pinsCard of 10..3
ToothbrushEach20
ToothpasteLarge tube29
Toilet soapMedium cake..8
Hair creamJar311
Razor bladesPacket of 1034
AspirinPacket of 2519
Antiseptic healing creamTin29
DisinfectantBottle29
Popular bookEach36
DictionaryEach66
Writing padEach16
EnvelopesPacket of 18..10
Camera filmEach29
Developing and printing filmPer film310
Tobacco2 oz.4
CigarettesPacket of 101
PetrolGallon310

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 1959, 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 1959Australia (Sydney) September 1959South Africa (Cape Town) September 1959Great Britain (London) September 1959Canada (Dominion Average) September 1959United States of America (Average Fifty-six Large Cities) September 1959

* 1¾ lb.

† At price for 3 lb. lots.

‡ Not available.

§ Loose.

|| September Quarter, 1959.

¶ Sirloin.

** Cooking quality.

  s.d.s.d.s.d.s.d.s.d.s.d.
Bread2 lb.01010010¼*22
Flour25 lb.6151031261510¼193
Tealb.6858610810¼
Coffeelb.8§7755
Sugarlb.0808050080
Sugarlb.0808050080
Milk (fresh)quart011112
Butterlb.2033441525
Cheeselb.202210½3348142
Baconlb.3115114464
Pruneslb.210¼282 210½
Canned peaches30 oz. tin4211221032
Beef-rib roastlb.32||25 1/43667511¼
Mutton-leglb.21||211¼326054
Pork-leglb.341||211½40
chopslb.343||34856
Margarinelb.1**2||21925111¾

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.

COMPARISON OF WHOLESALE PRICES OF CERTAIN COMMODITIES

ItemUnitNew Zealand, August 1959*South Africa, August 1959Great Britain, September 1959Canada, September 1959United States of America, September 1959

* Priced once each quarter.

† Not available.

‡ Price excluding tax (including tax the price ranges from 1s. 61d. to 1s. 10½d. according to the State).

  £s.d.£s.d.£s.d.£s.d.£s.d.
WheatBush.01360164090122016
OatsBush.0106060606
FlourTon141023517234121046543959
SugarCwt.3342413802813810
Butterlb.0110½030360404
Cheeselb.0102602029
Motor spiritsGal.0310¾030310018010

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.

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.

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 at 1955 prices.

  6. 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 including two combined areas.

  8. A scientific sample of rented houses and fiats has been selected.

  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.

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. 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. Recosting of these fixed quantities each time that prices are collected.

  3. Comparison of the current aggregate expenditure with the corresponding base aggregate expenditure which is arbitrarily equated to 1000.

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 now calculated and published for six groups and fifteen sub-groups.

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. 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 and the weekly collection of fruit and vegetable prices was initially extended to cover also Gisborne, Wanganui, and Timaru, and, in 1959, further extended to cover the “eight other towns” of the index.

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
19581104
19591146

The following diagram shows the movement in retail prices index numbers over the period 1907–59, the data being drawn from the figures given in the preceding table (long-term linked series).

Consumers' Price Index Numbers.—The tables which now follow relate to the revised Consumers' Price Index only. The simple 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 1955–59 and of each of the four quarters of the years 1956–59. 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
  19581071117910741022116011601104
  19591077123610941041124012731146
Quarter ended—
  1956—31 March1015103210071001100910091013
      30 June104310481011998101510231027
      30 September1092106110161000101510421049
      31 December107810791018998102610461049
  1957—31 March102510981033998106910471041
      30 June1057111210351001107710561056
      30 September1066112410381009107610581063
      31 December1069113810441011108310611068
  1958—31 March1057115510491012109510631069
      30 June1069116910741019111410651080
      30 September1072118910861025120612641130
      31 December1085120310881031122612501137
  1959—31 March1075122010901030123412631139
      30 June1070123110901038123912741142
      30 September1078124110971045124413041154
      31 December1086125111011050124412501150
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
  19581152106710301143119511041055107310051115114011681196108311801104
  19591171107310311197125311291073109110181164117512661396110612161146
Quarter Ended—
  1956—
    31 March10081045100410241036101010031012996101099910131000101810161013
    30 June9861191997104510501012100810149911039100810171013103110341027
    30 September98913751002105110651017101410179931039100810181013103911041049
    31 December99513121003107310821022101510209891048101310311013105111081049
  1957—
    31 March99210911010108911011039101510569881054111310521013105111101041
    30 June102811411029109711181043101610579881076111310631014106411321056
    30 September108010981042110311331043102310599951090112210581014107011361063
    31 December111510881035110311531044103310659961092114010601014107111471068
  1958—
    31 March110110661029111611721044104210679961099114010771014107711471069
    30 June1151106110301125118711081052107110031108114011031014107911541080
    30 September1173104710321162120211321060107610071123114012321394108512081130
    31 December1183109410301167121811331064107910131130114212591361108912121137
  1959—
    31 March1181105910291186123511341066107910121129114312701384109312151139
    30 June1160105810291196124711331066108310191141117112661406110612021142
    30 September1163108310311202125811281077109310191183118612671458111012141154
    31 December1181109110341203127211201083110910231203119912611335111612351150

In the table which follows, annual figures are shown for all index towns combined in respect to the years 1955–59 and each of the fifteen months ended December 1959.

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
  1956955123110021057
  19571054110510291054
  19581152106710301071
  19591171107310311077
Month—
  1958—October1183108210301082
      November1187111410301091
      December1178108610311082
  1959—January1176108910311082
      February1181104910281072
      March1186103810281071
      April1177104410271070
      May1155105510291068
      June1148107510291071
      July1148106510301069
      August1168107410311077
      September1173111010321087
      October1183109610341088
      November1186106610341081
      December1174111110341089

The following tables distinguish individual towns and groupings of towns, but the sub-group indices are omitted; the periods covered are the calendar years 1955, 1958, and 1959 and the separate quarters of 1959. 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.—GROUP INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS OF TOWNS

Base: Weighted average each town, and grouping, separately, 1955 (= 1000)
FoodHousing
Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959
Auckland10001066107810621067107210701000117612201226123512421231
Wellington-Hutt10001078108010801092110110881000119312321241125512671249
Christchurch10001076109610951107111511041000116012051218122112361220
Dunedin10001089107710791086109510841000116911991208121812301214
    Four chief centres10001074108210751084109010831000117612181227123612461232
Hamilton10001058104410381043105410451000120212101267127512831267
Gisborne10001063106910711075108410751000120912261268127912781263
Napier-Hastings10001068107210741074108210761000117112061225123312441227
New Plymouth10001077107510731078109710811000121312561265127412811269
Wanganui10001057104310411055106110501000119812381251126212741256
Palmerston North10001052103110351053106010451000117112271231124612521239
Nelson10001067108010781092109610861000116712021217123012371221
Timaru10001072107810731075108210771000120912551274128212941276
Invercargill10001084108410701075110110821000113911931209121612321212
    Nine provincial towns10001065106010581065107610651000118512271244125412631247
Whangarei10001054107110651066106110661000118912201228123212421231
Tauranga10001073107610711074108210761000120412291239127512891258
Rotorua10001063106910611062107110661000118412301240124812581244
Masterton10001082107410751087108810811000116812011210122012341216
Blenheim10001060107410721092110210851000119712591269128312921276
Greymouth10001058106910631077108710741000113811781187119612081192
Ashburton10001061107510721070107910741000120712351248125412751253
Oamaru10001061107110681071109010751000118112131231124012461233
    Eight other towns10001064107210671074108010731000118012171227123912511233
    Twenty-one towns combined10001071107510701078108610771000117912201231124112511236
Household OperationApparel
Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959
Auckland10001077109010901096109510931000100310081024103110341024
Wellington-Hutt10001073108310831093110510911000102910391044104910551047
Christchurch10001066108910911093109910931000102910371046105410581049
Dunedin10001086110011021112111511071000103110451050105510681055
    Four chief centres10001075108910901096110110941000101810261036104310481038
Hamilton10001087110511041111110711071000104810531058106310731062
Gisborne10001088110611081112112011111000103510411047105710691053
Napier-Hastings10001095111411151117113011191000101710231029103510411032
New Plymouth10001073109010911097110710961000103610511052106010631057
Wanganui10001063107810771086106910781000103110401039106310791055
Palmerston North10001069108910901097110110941000101710261029103210491034
Nelson10001062107610771089109210831000103210391044105010421044
Timaru10001071109010891099110410951000102410311025102910311029
Invercargill10001056108110811085109210851000101710221031103910451034
    Nine provincial towns10001076109410941101110410981000102910361040104710551045
Whangarei10001054107310731067107310721000100310081024103110341024
Tauranga10001051106610641072107710701000104810531058106310731062
Rotorua10001082110511041111111511091000104810531058106310731062
Masterton10001061108110811092110010891000102910391044104910551047
Blenheim10001041105510561061106410591000103210391044105010421044
Greymouth10001089110310941100110511001000103010381045105310541048
Ashburton10001046105210521061108310621000102410311025102910311029
Oamaru10001018109210941099109810961000103110451050105510681055
    Eight other towns10001066108210811086109210851000103010381044105010551047
    Twenty-one towns combined10001074109010901097110110941000102210301038104510501041
Base: Weighted average each town, and grouping, separately, 1955 (= 1000)
TransportationMiscellaneous
Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959
Auckland10001187124712451247125312481000115712561272130112451269
Wellington-Hutt10001129119312401264126112401000115812621273130712531274
Christchurch10001152122912261227122212261000116312621259129312381263
Dunedin10001174124212391240123612391000116912731285130712601281
    Four chief centres10001164122912481239124512461247100011601261127112481270
Hamilton10001162124812451246124112451000115812611277130612471273
Gisborne10001151124012361237123212361000115512571273130312491270
Napier-Hastings10001147123712361236123112351000116212711287131612631284
New Plymouth10001159124512411242123712411000115912661282131212581279
Wanganui10001153124912451246124112451000116012661278131212581278
Palmerston North10001153124212381239124512411000116212711282130712591280
Nelson10001162124912461247124212461000116812721273130212471274
Timaru10001161125112471248124312471000116612681271130112481272
Invercargill1000114812381235 1241123612311235 12411000116812701281130312641279
    Nine provincial towns10001155124412411242123812411000116212671280130812561277
Whangarei10001141122512221223124812291000116012651281131012541278
Tauranga10001169125912551256125112551000115712611276130612501273
Rotorua10001145122412191220121612201000116012651281131012551278
Masterton10001157125212491249124412491000115812711282131112621282
Blenheim10001147123412311232122712311000117012761272130712521277
Greymouth10001134121112081209120512081000116812711268129812471271
Ashburton10001166126412601261125612601000116612671264129312461267
Oamaru10001158127212681269126412681000116912741285130712601281
    Eight other towns10001150123812351235123512361000116312681277130612531276
    Twenty-one towns combined10001160123412391244124412401000116012631274130412501273

CONSUMERS' PRICE INDEX.—GROUP INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS OF TOWNS

Base: Weighted average twenty-one towns, 1955 (= 1000)*
FoodHousing
Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959
* To give better inter-town comparisons pricing is now carried out in all twenty-one towns. Index numbers for each individual town have been revised back to 1955 but the twenty-one towns index numbers are not affected.
Auckland9981064107710601066107010681018119712421248125712651253
Wellington-Hutt10121092109310931105111511021047124812901299131413261307
Christchurch9901065108510851096110410931000116012051218122112361220
Dunedin977106410521054106110701060984115011801190119912111195
    Four chief centres9981071108010731081108810801018119712391248125812681253
Hamilton1023108310681062106810781069958115111881214122212291213
Gisborne997106010661068107210811072952115111671206121712161202
Napier-Hastings958102310271028102910371030940110011331151115911691153
New Plymouth987106310621059106510831067972118012211230123912451234
Wanganui1014107210581056106910761065932111711541166117611871171
Palmerston North1019107110501055107210801064984115212071211122512321219
Nelson985105110641061107510791070997116311981213122612331218
Timaru987105810641058106110671063970117212171235124412551238
Invercargill10131098109810831088111410961006114612011216122412391220
    Nine provincial towns999106510601057106510761064966114511861203121212211205
Whangarei1044110011181112111311081113981116511961204120812181207
Tauranga10281104110711011104111211061014122112461257129313081276
Rotorua1043110911151106110811171112982116212081217122512351221
Masterton1005108710791081109310941087981114511781186119612101193
Blenheim974103310461044106410741057966115612161226123912471232
Greymouth1007106610761071108510951082975110911481157116511771162
Ashburton1004106610791077107510841078944113911661178118312031183
Oamaru983104310531051105310721057940111011401157116611711158
    Eight other towns1017108210901085109210981091977115211881198121012221204
    Twenty-one towns combined10001071107510701078108610771000117912201231124112511236
Auckland10051083109610961102110110991032103510401056106410661057
Wellington-Hutt994106610761077108610981084985101310231028103310391031
Christchurch98810541076107810801087108097199910071015102410281018
Dunedin937101710301032104110441037999103010451049105510671054
    Four chief centres9911065107910801087109110841004102210301040104710521042
Hamilton975106110781076108410801079975102210271031103710461035
Gisborne1114121212321234124012481239998103310391045105510661051
Napier-Hastings1049114911691169117211861174997101410191025103110381028
New Plymouth1005107810951096110211121101989102410391040104810511045
Wanganui1022108611021101111010931101993102410331032105510721048
Palmerston North1021109111121113112011241117997101510241027103010471032
Nelson1006106910831084109610991090985101610231028103410261028
Timaru9731043106110601070107410661016104110471041104510481045
Invercargill10281086111211111116112311161011102810331043105110571046
    Nine provincial towns1017109411131113111911231117994102210301033104110491038
Whangarei10201075109410951089109510931009101310171033104110431034
Tauranga925972985984991996989993104010461050105610651054
Rotorua10331117114211401147115211459469919961000100610141004
Masterton10361099112011211131114011281000102810381043104910551046
Blenheim10351078109210931099110210961060109411021107111311051107
Greymouth976106310771068107410791074988101710251033104010411035
Ashburton1070111911261125113511581136984100710141008101210141012
Oamaru1047112911441145115111501148972100210161021102610381025
    Eight other towns1011107810941093109811051098990102010271034104010441036
    Twenty-one towns combined10001074109010901097110110941000102210301038104510501041
TransportationMiscellaneous
Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959
Auckland10001187124712451247125312481002115912591275130412481271
Wellington-Hutt1000112911931240126412611240998115612591271130512511272
Christchurch10001152122912261227122212261006117012701267130112461271
Dunedin1000117412421239124012361239988115512581270129112451266
    Four chief centres10001164122912391246124712411000116012611272130212481271
Hamilton10001162124812451246124112451002116012631279130812501275
Gisborne1000115112401236123712321236998115312551271130012461268
Napier-Hastings1000114712371236123612311235998116012681286131412601282
New Plymouth1000115912451241124212371241999115712641281131012561278
Wanganui1000115312491245124612411245998115812641276130912561276
Palmerston North1000115312421238123912451241998116012681280130412571278
Nelson10001162124912461247124212461006117512801281131012551281
Timaru10001161125112471248124312471004117112731276130612531277
Invercargill1000114812381235123612311235988115412541266128712491264
    Nine provincial towns1000115512441241124212381241999116012651278130612541276
Whangarei10001141122512221223124812291002116212681284131312571280
Tauranga10001169125912551256125112551002116012631279130812531276
Rotorua10001145122412191220121612201002116212681284131312571280
Masterton1000115712521249124912441249998115612681280130912601279
Blenheim10001147123412311232122712311006117712841280131512591284
Greymouth10001134121112081209120512081006117512791276130612551279
Ashburton10001166126412601261125612601006117312751271130112541275
Oamaru1000115812721268126912641268988115512581270129112451266
    Eight other towns10001150123812351235123512361002116512701279130812551278
    Twenty-one towns combined10001160123412391244124412401000116012631274130412501273

CONSUMERS' PRICE INDEX.—ALL GROUPS INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS OF TOWNS

All Groups
Base: Weighted Average Each Town, and Grouping, Separately. 1955 (= 1000)Base: Weighted Average Twenty-one Towns. 1955 (= 1000)*
Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959Annual 1955Annual 1958First Quarter 1959Second Quarter 1959Third Quarter 1959Fourth Quarter 1959Annual 1959
* To give better inter-town comparisons pricing is now carried out in all twenty-one towns. Index numbers for each individual town have been revised back to 1955 but the twenty-one towns index numbers are not affected.
Auckland10001101113611371147114111401008111011451146115611501149
Wellington-Hutt10001107114011481164116111531008111511491157117311701162
Christchurch1000110311451147115911551151992109511361138115011461143
Dunedin1000111411431147115711551151981109311211126113511341129
    Four chief centres10001104114011431155115111471002110611421145115711531149
Hamilton1000110811371142115211471144995110211311136114611411139
Gisborne10001107114011501160115611521003111011431154116411601155
Napier-Hastings1000110211391146115411511147981108211181125113311291126
New Plymouth1000111211491153116311611157990110211381141115111501145
Wanganui1000110111321135115111461141995109511261129114611401135
Palmerston North10001094112611311144114311361005110011321136115011481142
Nelson1000110311411144115811491148994109611341137115111421141
Timaru1000110911471148115711521151991110011381138114711421141
Invercargill10001099113611371145115111421008110811451146115411591151
    Nine provincial towns1000110411381142115311501146995109811321137114711441140
Whangarei10001092113111351141113511351015110811481152115811521152
Tauranga10001111114411471161115711521002111311471150116311591155
Rotorua10001105114311441153114911471006111211501152116011561155
Masterton10001104113811431155115111471002110711411145115811531149
Blenheim1000110211441145116211551152999110111441145116111541151
Greymouth1000109611331132114511411138995109011271126113911351132
Ashburton1000110211391138114511451142990110111381137114411441141
Oamaru1000110311441148115611561151984108611261130113711371133
    Eight other towns10001101113911411151114711441002110311401142115311491146
    Twenty-one towns combined10001104113911421154115011461000110411391142115411501146

WHOLESALE PRICES.—Wholesale Prices Index numbers have been available in New Zealand since 1920 when index numbers covering prices of a range of commodities for the years 1891 to 1919 were published on a base equating the average of the five years 1909–13 to 1000. This series was revised in 1925, the revision being carried back to 1913, and again in 1937, when the base was changed to 1926–30 (= 1000). In this latter index commodities were classified by their physical characteristics and priced, as far as possible, in their least processed state.

Revision of Wholesale Prices Index.—In 1959 a full-scale revision of the Wholesale Prices Index was completed, a description of this revision being published as a special supplement to the October 1959 issue of the Monthly Abstract of Statistics under the title “Index Numbers of Wholesale Prices”. A brief summary of the salient features of this revision is set out below.

The traditional type of wholesale prices index, such as has been prepared in New Zealand up to now, is rather imprecise in concept; broadly its purpose can be defined as to measure changes in the price level, or in the value of money, at some other-than-retail price levels; but the concepts of what these price levels are, or should be, and what transactions - among those concerned with exports and with intermediate and final consumption as well as capital goods - should be included are rather nebulous. Current thought concerning, and use of, wholesale prices index numbers require that they be given a precise conceptual content, and this has been made possible by the development of intersectoral analysis and input-output tables. The new index is not a single wholesale prices index, but a series of price index numbers related to broad groupings of the inter-industry transactions distinguished in the Department's input-output tables for the New Zealand economy.* Thus each of the new index numbers relates to a group of commodity transactions occurring at certain price-levels between defined sectors in the economy. The old index did recognize the existence of the intersectoral complex of wholesale prices in that it provided a break-down into six “classes” of goods distinguished by purpose or source, as well as a commodity analysis. In the new series however these classes are carried much further while the commodity groupings have been dropped. The commodity groupings would cut across the inter-sector groupings, and because of this, would require the bringing together of quite unrelated prices from entirely different levels in the economy.

The determination of the weighting pattern for the index involved the analysis, under commodity headings, of the multitude of flows between the 40 or so economic sectors which were distinguished for this study. Adequate information was available for some of these (e.g. total imports and exports, and raw-material inputs and product outputs of most manufacturing industries) but in other fields little or no information was available. Nevertheless, by classifying all the known information under standard commodity headings and bringing all the information for each commodity together on to a single sheet, it was possible, balancing inputs against output, to place approximate values on all the missing items. These values, which are based on 1955 data modified for any important later changes such as in newsprint supply, are believed to be sufficiently accurate for index number weighting purposes, more especially since each of the published index numbers constitutes a broad flow embracing a number of the 600 single flows originally distinguished.

The weights for those commodities or variants of commodities for which prices are not obtained, were added to or apportioned over the weights for priced items which could be assumed to show similar price movements.

Capital goods as well as goods for current consumption or usage are represented in the various commodity flews.

Following the analyses of the commodity flows, selection was made of the commodities to be priced, and the levels at which these prices were to be obtained, taking into account the relative values of the commodities, the suitability of the items for the laying down of precise specifications, and the practicability of obtaining prices. Approaches were then made to trade sources for assistance in laying down precise specifications (so that variations in prices obtained would reflect only price changes) and in obtaining prices.

In an economy such as New Zealand's, with little basic domestic industry except farming and some forestry, with exports mainly sold on consignment on overseas markets, and imports largely made directly or through indent agents by users or retailers, wholesale markets and merchants such as exist in less dependent economies are for many commodities largely absent. As a consequence it is not possible in many cases to obtain wholesale quotations such as might be used in constructing similar index numbers in other countries. For meat and dairy produce exports, overseas market quotations are converted to an f.o.b. New Zealand basis before being used, but wool is based on the price index calculated from the prices at New Zealand auction sales. New Zealand manufactures are generally based on prices, manufacturers to merchants or, less commonly, merchants to retailers. In the case of direct imports by manufacturers, the manufacturers' landed costs have been used, but where these are not available importers' prices to merchants or manufacturers have been taken in substitution. All imports are therefore on a duty-paid, landed cost basis; this is in contradistinction to the Import Prices Index which aims to show the variation in the price-induced cost of imports to the New Zealand economy as a whole—i.e., on a c.i.f. basis before the addition of Customs duties and other landing charges.

Using the same sort of reasoning, other indirect taxes—i.e., excise duties and sales tax—must be included in prices to using sectors which purchase after these taxes have been levied. On the other hand prices for sales by producing sectors exclude these taxes. The taxes are for this purpose regarded as interposed on the goods as they flow between sectors within the economy. Thus we find such indirect taxes are excluded from the prices of goods leaving the producing sectors (output prices), but are included in the prices of the same goods entering the using or consuming sectors (input prices).

* See Report on the Inter-Industry Study of the New Zealand Economy for the Year 1954–55—Department of Statistics, Wellington, 1959.

Similar treatment has been necessary for those goods carrying subsidies (e.g., milk, butter, wheat, and flour) and export products under price stabilization schemes (dairy produce and meat), there being different output prices to producers, and input prices to consumers or users.

The new index numbers, while not yet ideal, are a major step towards the calculation of national income, output and expenditure estimates in terms of constant pounds. They are not yet sufficiently developed to be the ideal deflator for the transaction flows in these estimates. Firstly, many of the transaction flows include services while the index covers purely commodity prices, but it should be noted here that the electricity, gas, and water supplied by the public utilities industry are regarded as commodities for the purpose of the index. Secondly, the outputs of the building and construction industry have, because of pricing and specification difficulties, not yet been brought into the index. Thirdly, the particular points at which prices could be obtained were not always identical with the concepts of the sector boundaries in the national income estimates. Fourthly, owing to the seasonality of farm production, to the marked fluctuations which occur in primary-produce prices and stocks, and to New Zealand's distance from its main overseas markets, there are inherent difficulties in relating an index of current market prices to transaction estimates based on realized values in a given period.

Wholesale Prices Index Numbers.—The table which follows is divided into two parts, the first covers “input” prices and the second “output” prices as defined above. Within the first part of the table there is a break-up into goods for industrial use (analysed by sector destinations), for consumption and for export. In each flow imported goods are distinguished from locally produced goods. In this part of the table all prices are inclusive of sales tax and excise duties and net of subsidies; the prices for exports are overseas market prices brought to an f.o.b. basis, i.e. their “input” prices to other countries.

In the second part of the table the broad producing sectors are distinguished. Here the prices of their outputs are used. They are taken before the addition of sales tax and excise duties or the deduction of subsidies. The prices for export meat and dairy products are those payable to producers under the different stabilization and minimum export-meat-prices schemes.

The Primary Produce Processing Industries group comprises the two major industries, meat export works and dairy factories, processing farm products for export.

The expression base for the index is the calendar year 1958, and the table shows the index numbers in respect of the calendar years 1958 and 1959 and each of the four quarters of 1959.

WHOLESALE PRICES INDEX

Base: 1958 (= 1000)
Index Numbers of Commodity Prices by Sectors of Destination*
Prices Paid for Commodities Used by—All Commodities
Domestic IndustryConsumersDomestic Industry and ConsumersOther Countries (Exported)
ImportedHome ProducedTotalImportedHome ProducedTotalImportedHome ProducedTotalImportedHome ProducedTotal
* The prices used in this part of the table are those payable by the using or consuming sectors, i.e., including indirect taxation and net after subsidies; the export prices are f.o.b. equivalent of overseas market prices.
Calendar year—
  19581000100010001000100010001000100010001000100010001000
  195910159909981055103410391025100510111141102510351032
Quarter ended—
  1959—31 March10139879951059103210381024100210091079102410191020
        30 June10189899981059102210311023100010081106102810231024
        30 September1016100410081061104710501027101810211197102710571049
        31 December10129819911043103710381020100010061183102010401035
Index Numbers of Commodity Prices by Sectors of Destination*
Prices Paid for Commodities Used by Domestic Industry
Primary IndustriesPrimary Produce Processing IndustriesOther Manufacturing Industries
ImportedHome ProducedTotalImportedHome ProducedTotalImportedHome ProducedTotal
FarmingAll Other IndustriesOther Manufacturing IndustriesAll Other Industries
* The prices used in this part of the table are those payable by the using or consuming sectors, i.e., including in direct taxation and net after subsidies; the export prices are f.o.b. equivalent of overseas market prices.
Calendar year—
  195810001000100010001000100010001000100010001000
  1959996927101097210219499511008101310301014
Quarter ended—
  1959—31 March1009947101198310399559581001997993998
        30 June1003944101198110289519531012101710001011
        30 September993915101096610159769771010101610851029
        31 December978903100995810029149171006102210401018
Prices Paid for Commodities Used by Domestic Industry
Building and ConstructionTransport and CommunicationOther Industries
ImportedHome ProducedTotalImportedHome ProducedTotalImportedHome ProducedTotal
† Includes wholesale and retail trade, banking and finance, public utilities, and services.
Calendar year—
  1958100010001000100010001000100010001000
  1959103210151021103810391039101610171017
Quarter ended—
  1959—31 March103310121020104010311038101510201019
        30 June102610141018104210311039101710161017
        30 September103010141019104310461044101610171017
        31 December103810221028102910481034101410151015
Index Numbers of Commodity Prices by Sector of Origin
Prices Received for Commodities Produced in New Zealand
Output ofUsed of
FarmingOther Primary IndustriesPrimary Produce Processing IndustriesOther Manufacturing IndustriesPublic UtilitiesAll Domestic Industry§Industry and ConsumersOther Countries (Exported)

‡ The prices used in this part of the table are those receivable by producers, i.e., before addition of indirect taxation or deduction of consumer or user subsidies; prices for dairy produce and meat are those payable to producers under the schemes to stabilize returns from year to year.

§ Comprises the outputs of the five sectors mentioned in this part of the table.

Calendar year—
  195810001000100010001000100010001000
  195999610059791010104110019951022
Quarter ended—
  1959—31 March96699698910021045990990990
        30 June9801008972100510459929881009
        30 September1041100798210171039101910061059
        31 December99710119721018103510039951031

Long-term Linked Series.—Since the new index incorporates a major change in construction method from the old index, the linking of the two to obtain a long-term series is not very satisfactory. Nevertheless, some such link will be required occasionally in making longer term surveys of price movements. The old index appears to approach nearest in concept to the component of the new index “Commodities used by Domestic Industry and Consumers” appearing in the first part of the preceding table. Accordingly, in the table which follows, the old index, converted to base 1958 (= 1000) has been linked to this component of the new series. The subdivisions—“Imported” and “Home Produced” commodities—have also been linked. When using these linked series it should be borne in mind that the price sources and weighting pattern of the new index are quite different from those of the old index.

WHOLESALE PRICES INDEX NUMBERS—LONG-TERM LINKED SERIES: Base: Calendar Year 1958 (= 1000)

YearImportedHome ProducedTotal
1913268254263
1914270274271
1915274319292
1916312331320
1917379360372
1918481389444
1919504407465
1920626455557
1921555463518
1922461392433
1923412393405
1924406407406
1925400410404
1926375393382
1927352380363
1928344385361
1929341385358
1930335370349
1931328326327
1932326307319
1933345301327
1934341310329
1935342335340
1936342344343
1937371370371
1938375378376
1939379403389
1940448412434
1941503436476
1942552456514
1943609461549
1944629472565
1945638481575
1946636489577
1947650523598
1948730574667
1949714586662
1950758667721
1951883777840
1952996842933
1953947891924
1954904932915
1955920935926
1956944985960
1957968977972
1958100010001000
1959102510051011

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 each 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 have been 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 1949–59 and for years ending 30 June from 1949 to 1959.

EXPORT PRICES—INDEX NUMBERS

Base: Export Prices During 1952 (= 100)
PeriodButterCheeseAll Dairy ProduceMeatWoolMeat, Wool, and ByproductsAll Pastoral and Dairy Produce
Calendar Year—
  194980798071707575
  195086868677147119107
  195194929386178144125
  1952100100100100100100100
  1953106108106109120115112
  1954108105106117122118114
  1955111111108133121122117
  195691143102130120121114
  1957848484135132129112
  195872101791299310495
  1959106145113120100107109
Year ended 30 June—
  194979818071657274
  195083848374958886
  195192899180218160134
  195297959794103103100
  1953104105104104116110108
  1954108109107112124118114
  195510596100128122121113
  1956108134111132115119115
  19578711994130136129116
  195870777313110411197
  1959851389712792103101
PeriodAll FoodsAll Non-foodsAll Groups
To United KingdomTo Other CountriesTo All Countries
* Not available.
Calendar Year—
  1949****75.0
  19508214097125105.9
  195190173112149124.3
  19521001001001001000
  1953106118110113111.2
  1954109119114112113.3
  1955116117120108116.4
  1956112116116109113.5
  1957103125111114111.8
  19589892988995.2
  195911510111499108.8
Year ended 30 June—
  1949****74.3
  19507995839185.8
  195186200118115133.1
  195295108981.6100.5
  1953104113107109107.6
  1954108122113115113.8
  19551101181151091131
  1956118112120106115.4
  1957107128115117115.6
  195894101979796.8
  19591089210690100.9

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 1959.

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
19294544
19303535
19312627
19322424
19332324
19342930
19352829
19363333
19373939
19383636
19393535
19404041
19414142
19424243
19434445
19444747
19455051
19465556
19477070
19487778
19497575
1950107106
1951125124
1952100100
1953112111
1954114113
1955117116
1956114114
1957112112
19589595
1959109109

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, while in 1958 the figure dropped back below that for 1950. It should be noted that the general upward trend in export prices was masked in 1949 by the appreciation in August 1948 of the New Zealand pound to parity with sterling.

IMPORT PRICES.—A series of import prices index numbers based on the year 1926 (= 100), and weighted in accordance with average quantities imported during the years 1926–30, was instituted in 1933. While the basic data were deficient in many respects, nevertheless, the index served a very useful purpose. With the passage of time, however, certain inherent weaknesses in this series became apparent, while information previously lacking in some cases became available.

Accordingly, a revised series of index numbers was computed, based in the case of individual items on average quantities imported during the three years 1936–38. Group weights were instituted in the new series, to accord to the various groups their relative importance, and these were based on the average total value for the respective groups during the three years 1936–38. The difficulty, inherent in an index number of imports, of obtaining sufficient coverage to provide a reliable indication of changes in prices for any one group, was overcome in the revised series by the utilization of figures of exports to New Zealand, obtained in detail from the published trade figures of certain overseas countries.

A new and much more detailed statistical classification of imports was adopted by the Customs Department from 1 January 1949. The index of import prices for 1950 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 rates, the Import Prices Index can only be regarded as the best available approximate indicator of changes in the cost of imports delivered c.i.f. New Zealand ports. For instance, the large increase in marine transport costs during the war years, 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.

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
1956279
1957289
1958288
1959280

TERMS OF TRADE.—The table below shows, for the years 1949 to 1959, index numbers of import prices and of export prices and terms of trade for major commodity groups and total exports. The terms of trade is the expression of the ratio of export prices to import prices—i.e., an index of the purchasing power (in units of imports) of a fixed quantity of exports. In the table that follows terms of trade are expressed on base 1957 (= 100). However, an index above or below 100 means only that terms of trade are more or less favourable than in 1957. The choice of 100 is made for arithmetical convenience, not to indicate that 1957 was a normal or standard year. For the purposes of this table both import prices and export prices indices have also been converted to a 1957 base.

INDEX NUMBERS OF IMPORT AND EXPORT PRICES AND TERMS OF TRADE—All Countries—Base: 1957 (= 100)

YearImport PricesButterCheeseMeatWoolAll Exports
Export PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of Trade
1949739513095130537353736792
195080103129102128577111113995119
1951931121201091176368135145111119
1952102119117119117747376759088
19539612713212913480839195100104
19549512913612513287929297102107
195594133141132140981049298104111
19569710811117117696999194102105
1957100100100100100100100100100100100
19581008686120120959571718585
1959971271311731788891767898101

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. 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 market prices on which the index numbers are based have been extracted from Stock Exchange lists of individual exchanges prior to September 1929, and from the list of share prices included in the Stock Exchange Gazette and its successor, the Official Record of the Stock Exchanges of New Zealand, since that date. The prices quoted relate to the last trading day in each month; so that the “monthly” index numbers compiled from these data relate to that day only, while the annual averages represent the averages of the monthly index numbers. Each individual share price, and each group, is weighted in accordance with the number and value of shares held in New Zealand. The index numbers of New Zealand share prices give an indication of changes in share values as compared with the base year. In particular, they are intended to indicate the changes in value of a parcel of representative ordinary shares as compared with their 1938 value. The base adopted in this revised series is the average price ruling during the year 1938 (= 1000).

Shares in industrial companies and in finance, etc., companies have been computed separately and the annual index numbers from 1926 to 1959 on base: 1938 (= 1000) are as follows.

YearIndustrial GroupsFinance, etc., GroupsAll Groups
192690912711108
192785112541073
192887913011111
192996013301163
193083511471007
1931674921810
1932667852769
1933804972897
193499610971051
1935110211201112
1936107510431057
1937107310671069
1938100010001000
1939959945952
19401024978999
194110219841001
1942100510141010
1943115611881174
1944124913041279
1945128514001346
1946137216011486
1947144416971570
1948143016091520
1949136815661467
1950149917951647
1951156620271796
1952127316971485
1953121617471482
1954135820491703
1955144921661807
1956147022611865
1957164624212034
1958159322521923
1959181225502181

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
1949203918908691478132513091368
1950212519339341792140014631499
1951231119738182210147615041566
1952172616656661694125412481273
1953186416346241387113511961216
1954222719435981488128613191358
195525002356931810128714621449
1956280916719641648118214311470
1957385616059141632126914701646
1958378517447121459129014361593
1959437820676991454125217361812
Calendar YearAll Industrial GroupsBanksInsuranceLoan and AgencyMiscellaneous (Other)All Finance, etc., GroupsAll Groups Combined
19491368107917451709186815661467
19501499122020122174203217951647
19511566125123502587226320271796
19521273102919722058196716971485
19531216103920802091197117471482
19541358125223832682225820491703
19551449122325692964237321661807
19561470118529942843211622611865
19571646134531893241209124212034
19581593132228232956215622521923
19591812163730093485253625502181

NOTE.—Index numbers in these tables are comparable vertically but not horizontally.

Monthly index numbers of share prices for the latest three years are given in the following table, the base being 1938 (= 1000).

Industrial GroupsFinance, etc., GroupsAll Groups
195719581959195719581959195719581959
* Interpolated.
January153517181573226023982264189720581919
February152417301608229723912304191020601956
March151516411635230723132251191119771943
April157015851665241222602294199119221979
May161615471689246522712330204019092009
June167415551764248522092387208018822075
July171815511860256221922552214018722206
August173715691925250122272684211918982305
September171915621940247022082625209518852282
October171515581957245421882865208418732411
November171715432032243121712995207418572513
December*171715582092241422003052206618792572

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 1959.

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
1951 676677
1952778890834
1953878925901
1954840850845
1955828894861
1956868960914
1957845927886
1958937986961
1959919904911

Monthly index numbers of yields on base: average for each group, 1938 (= 1000), are given hereunder for each month of the years 1957 to 1959.

MonthIndustrial GroupsFinance, etc., GroupsAll Groups
195719581959195719581959195719581959
* Interpolated.
January862854989973934966918894978
February869844958963937952916891955
March860889952958976998909932975
April859927944928990980894958962
May861953978901989971881971975
June8289509408971001944862975942
July7999599208771009902838984911
August799959896896986862848972879
September8209588979161001871868979884
October8259778869381012822882995854
November8229908449381007790880998817
December*834989823935988776885988799

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 Hew 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 (= 100)Base: 1955 (= 1000)
Import PricesExport PricesWholesale PricesRetail PricesShare Prices (All Groups)
Pastoral and Dairy ProduceAll GroupsImportedHome ProducedTotalFoodAll Groups
1926463636407421413455533613
1927443636383406392435529594
1928414039374412390445531615
1929413838370412387449530644
1930403030364396377432518557
1931372223356349353375479448
1932352021354328344344443426
1933362021374323354325420496
1934362526371332356343427582
1935352425372359367370442615
1936352829372368370386456585
1937373334403396401424488592
1938373031407404406439502553
1939383030412431420466523527
1940433535487441468477547553
1941483536547466514489567554
1942533637600488555500586559
1943583838662493593503599650
1944614040684505611511610708
1945624344694515621510618745
1946704748692523623511623822
1947836060706560646543643869
1948846667793614720613694841
1949776464776627715630706812
1950849291823714779692745911
195199107107960831907796828994
1952108868610829011008876892822
195310296961029953998929933820
19541009797983998989977976942
1955100100100100010001000100010001000
19561029898102610541038105710351032
19571069696105210461050105410571126
19581068282108710701080107111041064
19591038393111410751090107711461207

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)
ImportedHome ProducedTotalFoodAll GroupsNominalEffective
* Provisional.
1937375375376395462381825581
1938409401406432493409830588
1939406408407443505426844541
1940423436428472528432818537
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Chapter 37. SECTION 37—LABOUR LAWS AND WORKING CONDITIONS

37 A—SHORT HISTORY OF LABOUR LAWS

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 16½ per cent between 1885 and 1890—formed an economic background favourable to social legislation. Meanwhile the maritime strike of 1890, which caused even further distress throughout the country, proved to the trade unions that they were not sufficiently strong to obtain their demands by direct action, and diverted their activities to the political field. The strike also aroused public opinion to the necessity for preventing such industrial strife. Political opportunity was still further opened by Sir George Grey, who in 1889 obtained parliamentary approval for the abolition of the last remnant of plural voting at the elections to the House of Representatives. The extension of the franchise to women followed four years later.

In January 1891 a Liberal Government came into power under the leadership of Ballance, with Reeves (Labour) and Seddon (Public Works) in the portfolios directly concerned with labour matters. The economic and political background demanded social change, and the change came to such a degree that New Zealand—still in the pioneer stage of economic development—acquired world fame as the land of advanced social legislation. The labour code enacted in the “nineties” was not so much socialistic as a correction of the more manifest injustices of an individualist system. There was not so much State control as an improved framework within which laissez faire could operate. This policy was most clearly seen in the realms of housing and farming, in which the Government aimed at making it easier for the worker to build or to settle on land by the provision of finance through the State Advances Department (established in 1894). The Family Homes Protection Act 1895 provided protection for homes from the legal processes resulting from bankruptcy proceedings, etc. The only encroachment on laissez faire principles was the fostering of co-operation on public works from 1891 onwards.

Working conditions were improved by legislative regulation in four types of industry (factory work, shipping, shops and offices, and coal mining), wages being also safeguarded though not directly increased.

The great achievement of this Administration, however, was the evolution of machinery—the Conciliation Councils, the Court of Arbitration, and the Department of Labour—which not only administered the labour code efficiently, but could also modify it rapidly to suit the changing economic background. This dynamic machinery was far more effective than the all too soon antiquated improvements by the more normal procedure of static legislative enactment. An adjustable labour code was of special advantage to a primary-produce exporting country which is, of all countries, most open to the fluctuations of economic progress, and it is another example of the British empiricism that delights in suiting action to the conditions of the moment.

This code, and the resulting constant political intervention in labour conditions, profoundly modified labour organization. Since resort to judicial rather than to militant action became the accepted means of settling industrial disputes, much of the bitterness usually associated with the struggle for improved wages and working conditions was lost. Moreover, the close association with the Courts led to the growth of a strong political bias in the aims of unionism. This was but natural, for, since the legislative code ensured to the workers many benefits for which they would otherwise have had to fight keenly, it was felt that the further amelioration of living conditions would best be attained by legislation rather than by direct action.

Subsequent progress has been determined largely by this code, although the swing visible in the development of English labour legislation from Salisbury's Factory Acts to Lloyd George's pension schemes—from concrete intervention in working conditions to attempts at ensuring a more equitable distribution of the national income—is also evident in New Zealand. For example, the rate of age benefit (formerly old-age pension) has been increased considerably—from £18 per annum (1898), to £45 10s. (1925), to £52 (July 1936), to £58 10s. (December 1936), to £78 (April 1939), and by increases at intervals during the war and post-war years, to its present (March 1960) figure of £208.

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 I 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 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 of 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 1949, and again in 1950, 1952, and 1953.

A comprehensive review of the development of the Economic Stabilization Emergency Regulations and the later Economic Stabilization Regulations from 1942 to 1953 is given on pages 1038–42 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 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 42 of this Year-Book on Workers' Compensation; Industrial Accidents; Occupational Safety). Allied legislation includes the Law Reform Act 1936, the Contributory Negligence Act 1947, and the Deaths by Accidents Compensation Act 1952.

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 Act 1952 (and Rules and Regulations thereunder), and the Construction Act 1959.

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.

There was a Commission of Enquiry into apprenticeship and related matters in 1944; its recommendations were incorporated in the Apprentices Amendment Act 1946, which however did not change the basic structure of the Apprentices Act 1923. Legislation on apprenticeship was consolidated in the Apprentices Act 1948 (see Section 39 - Employment and Unemployment).

Acts covering the working conditions and rates of remuneration for State employees during the period from 1936 are the Government Railways Act 1949 (consolidation), the Post Office Act 1959 (consolidation), 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).

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 Waterfront Industry Commission, Waterfront Industry Tribunal, and Port Conciliation Committees, and in addition provided for the appointment of Combined Committees and for National Conciliation Committees. Provision was also made for a National Amenities Committee and Port Amenities Committees with functions in relation to the provision of amenities for waterside workers. (See page 1027.)

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 Industrial Conciliation and Arbitration Act 1954 consolidated the 1925 Act and its amendments without making any substantial change in the law (see sub-section 37B following).

37 B—WORKING CONDITIONS

GENERAL.—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 Factories Act 1946, the Coal Mines Act 1925, the Shops and Offices Act 1955, the Shipping and Seamen Act 1952, the Agricultural Workers' Act 1936, and the Industrial Conciliation and Arbitration Act 1954. Legislative authority covering the working conditions of substantially the greater portion of the remaining participants in the labour force is contained in the Public Service Act 1912 and the Government Service Tribunal Act 1948, the Government Railways Act 1949, the Post Office Act 1959, the Police Act 1958, the Education Act 1914, the Hospitals Act 1957 and the Hospital Employment Regulations 1957, and the Waterfront Industry Act 1953.

In the following pages a survey is made first of the Court of Arbitration and then of the working conditions laid down by legislation. Aspects of occupational safety are covered in Section 42C.

COURT OF ARBITRATION.—The Court of Arbitration, which dates from 1894 and whose jurisdiction is set out in the Industrial Conciliation and Arbitration Act 1954, consists of three members appointed by the Governor-General, one of whom is the Judge of the Court. No one may be appointed as the Judge unless he is a barrister or solicitor of not less than seven years' standing. One of the two other members is appointed on the recommendation of the industrial unions of employers and the other on the recommendation of the industrial unions of workers. Although the members other than the Judge are appointed for a term of three years only, in practice it has been found that they have usually served much longer terms on the Court.

The work of the Court may be divided into two sections—the making of laws through the promulgation of awards, apprenticeship orders, etc., and the interpretation and enforcement of industrial laws, including industrial agreements and certain statutes. The second function is similar to the functions of other Courts, but in making industrial law the Court of Arbitration has a unique role. In addition the Court has wide powers and responsibilities associated with the making of general wage orders (see Section 38 of the Year-Book).

Jurisdiction of Court.—The following is a general account of the present jurisdiction, powers, and functions of the Court of Arbitration, some of which are legislative in character and others judicial.

  1. Under the Industrial Conciliation and Arbitration Act 1954:

    1. The principal function of the Court is to settle any matters which are outstanding after the representatives of workers, unions and employers in any industry have failed under the procedure laid down in the Industrial Conciliation and Arbitration Act to reach complete agreement in conciliation upon the minimum rates of wages and conditions of work which are to govern employment in the industry for a limited future period. This function of the Court is really legislative in character, for Parliament in effect has delegated authority to the Court to make law in a restricted field but its awards must not be inconsistent with any statute. For a large proportion (approximately one-half) of the labour force, the determining factor in minimum rates of wages and working conditions is the series of awards issued by the Court of Arbitration, and industrial agreements made by representatives of employers and workers. The number of awards and agreements in force is quite large—604 at 31 March 1959—and each is subject to individual negotiation by the unions or associations concerned during its formulation.

      Included in the respective awards and agreements are provisions covering minimum rates of remuneration, the hours of work, overtime, holidays, safety, health, and welfare. Initiated by the Industrial Conciliation and Arbitration Amendment Act 1936 a forty-hour week is now prescribed in almost all awards and industrial agreements.

      The Court does not settle strikes or lockouts. If there is a strike or lockout in an industry, access to the Court is not usually available to the parties unless and until work is resumed.

    2. The provisions of awards and industrial agreements are enforced through Magistrate's Courts and the Court of Arbitration. There are limited rights of appeal against the judgments of Magistrates to the Court of Arbitration the determination of which is final. Inspectors of Awards who are officers of the Department of Labour may proceed directly in the Court of Arbitration for the recovery of penalties. In the Magistrate's Court actions for penalties may be brought at the suit of an Inspector of Awards or at the suit of any party to the award or industrial agreement.

    3. The Court has power to impose penalties for a number of offences against special provisions of the Industrial Conciliation and Arbitration Act; for example, being a party to a strike or lockout when bound by an award or industrial agreement, combining to defeat an award, contempt of Court, obstruction of a conciliation council or the Court, failure to comply with a summons to give evidence, victimization, and so forth.

    4. Actions to recover moneys due to workers under awards and industrial agreements may be brought by Inspectors of Awards in the Court of Arbitration.

    5. The Court of Arbitration upon application of Inspectors of Awards or upon applications of parties, joint or otherwise, may give its opinion upon any question connected with the construction of any award or industrial agreement or upon any particular determination or direction of the Court or upon the construction of any statute relating to matters within the jurisdiction of the Court. This function is largely availed of and enables many legal disputes to be settled with a minimum of friction and at a minimum cost.

    6. The Court of Arbitration is vested with a jurisdiction to hear appeals from decisions of disputes committees set up to consider differences arising between parties to awards and industrial agreements as to any matter arising out of or connected with an award or agreement but not specifically dealt with therein.

    7. The Court has a special jurisdiction to conduct inquiries into allegations of irregularities in connection with election of the officers of any industrial union and to make and enforce orders relating to such matters.

  2. Under the Economic Stabilization Act 1948 and regulations made thereunder;

    The Court of Arbitration has power 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 workers or employers. For this purpose, the expression “rates of remuneration” has a very wide connotation.

  3. Under the Shops and Offices Act 1955:

    The Court has power when making an award in any trade to fix the opening and closing hours of all shops in the particular trade in that locality and also to provide that such shops shall not be open for business on one working day in each week or on any award holiday.

  4. Under the Annual Holidays Act 1944:

    The Court has power to impose penalties for offences against the provisions of the Act.

  5. Under the Apprentices Act 1948:

    1. The Court has power to make apprenticeship orders, in respect of any industry or branch thereof to which the Act applies, prescribing the wages, hours, and other conditions of employment to be incorporated in contracts of apprenticeship, the period of apprenticeship in any industry and the minimum age at which a person may commence to serve as an apprentice in any industry, and pre-requisite education.

    2. The Court on the application of certain parties may give its opinion upon any question connected with the construction of any apprenticeship order or with any determination or direction of the Court under the Act.

    3. The Court may hear appeals from decisions of apprenticeship committees and district commissioners of apprenticeship, and its decisions are final and conclusive.

    4. The Court has jurisdiction to decide actions in respect of alleged breaches of any contract of apprenticeship order of the Court or requirement of the Apprentices Act.

  6. Under the Agricultural Workers Act 1936:

    Matters in dispute between certain classes of agricultural workers and their employers may be referred to the Court of Arbitration for the purpose of making a recommendation to the Minister of Labour as to how matters in dispute should be settled.

General.—The Court of Arbitration early in its history expanded beyond the limited function originally conceived for it. It has been the major force in the formulation of industrial codes. In its evolution and in its task of establishing uniform wage rates, the Court has risen to a commanding position in the economic life of the country. Apart from occasional legislation to meet special economic conditions, or as in 1936 to introduce the forty-hour week, no attempt has been made by Parliament to express in law the social and economic policy to be followed by the Court. There is no right of appeal from the decisions of the Court on any matters coming within its exclusive jurisdiction.

HOURS OF WORK.—The Industrial Conciliation and Arbitration Amendment Act 1936 contained, inter alia, provisions aimed at the establishment of a forty-hour week, without reduction in the weekly wage rate. New awards were to contain a provision to this effect, except that the Court might fix longer hours, but was required to state its reasons for so doing. Awards in existence at the time the amendment was passed could be reviewed on application of the unions concerned with a view to the fixing of a forty-hour week. The Factories Amendment Act 1936 required the fixing of a forty-hour week in factories, but made provision for the Court of Arbitration to grant exemptions on application, but the exemption provision was repealed by the Factories Amendment Act 1945. The Shops and Offices Amendment Act 1936 reduced the working hours in shops from forty-eight to forty-four per week, and a further reduction to forty hours was made by later amendments passed in 1945 and 1946. The Shipping and Seamen Amendment Act 1946 reduced seamen's hours to forty per week. Employees in wood and coal yards, motor and horse drivers, and restaurant workers also obtained a forty-hour week in the same year. From 5 April 1948 a seven-hour day was, by decision of the Coal Mines Council, introduced for all underground workers in coal mines. By section 6 of the Mining Amendment Act 1948 this provision was extended as from 1 January 1949 to underground workers in other mines.

ANNUAL HOLIDAYS ACT.—The Annual Holidays Act 1944 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. 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.—Under the Factories Act 1946, which consolidated and amended the existing legislation, the definition of factory 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. The 1946 Act also brought Government-owned factories within the scope of the legislation.

Hours of Work and Overtime.—Since 1945 a forty-hour week has applied to all factories.

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. 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.—Whole holidays are prescribed for eight statutory holidays (apart from the annual holiday described earlier). 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 have been outlined earlier.

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 made special provision in regard to holiday work for newspaper printing and publishing. 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.—Under the Factories Act 1946 the minimum rate of pay is 22s. 6d. per week with half-yearly increments of not less than 5s. per week, until a weekly rate of £2 12s. 6d. is 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 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.—The Factories Act 1946 specifically states 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.—Under the Shops and Offices Act 1955, a “shop” is defined as any building or place in which goods are kept, exposed, or offered for sale, or in which any part of the business of a shop is conducted, and includes 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 boardinghouse; 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” includes 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 all shop assistants has applied since 1945.

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 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. Applications for exemption may be made to the Shops and Offices Exemptions Tribunal.

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 the Shops and Offices Exemptions Tribunal 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 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. A specific list of exempted goods was given in the Shops and Offices Exempted Goods Order 1955. This list of exempted goods was extended in June 1957 and further reviewed in September 1959.

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 1019).

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; or 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.

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 boy 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. The appropriate provisions are considered under Occupational Safety in Section 42.

SHIPPING AND SEAMEN LEGISLATION.—The Shipping and Seamen Act 1952 states 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 Act 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—Shipping Casualty 1937; Dangerous Goods 1953; Grain 1953; Load Line 1953; Closing of Openings in Hulls and Watertight Bulkheads 1954; Construction 1954; Direction Finders 1954; Lifesaving Appliances 1954; Musters 1954; Navigation Warnings 1954; Pilot Ladders 1954; Radio 1954; Signals of Distress 1954; and Fire Appliances 1958. Regulations—Ballast 1937; Ships Compass 1947; Deck Cargo 1950; Transport of Radioactive Substances 1951; Masters and Mates Examination 1952; Shipping (Accepted Safety Convention) 1953; Collisions Regulations Order 1953; Timber Cargo 1953; Crew Accommodation 1954; Certificates of Competency as A.B. 1954 (These certificates have reciprocity with the United Kingdom certificates); Load Line (Particulars of Depth of Loading) 1954; and Marine Engineers Examination 1957.

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.

Commonwealth ships where the agreement with the crew is first made in New Zealand, in addition to home trade ships, are liable to pay the wages, maintenance, and medical expenses of seamen left on shore in New Zealand by reason of illness or accident in the service of the ship, for a period of three months. The illness or accident which entitles a man to the benefits provided for is one which requires medical treatment for fourteen days.

Fines not exceeding £100 in any case are prescribed for 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 seamen engaged elsewhere than in New Zealand who desert and cannot be dealt with before their ship sails can afterwards be prosecuted by the owner or agent, and copies of the agreement in the log book are to be accepted by Courts as evidence. The wages of seamen engaged in New Zealand who desert are forfeited, but there is a right of appeal to the Minister of Marine.

In 1950 provision was made 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.

A 1957 amendment provided for modification of the previous legislation in certain cases of seamen engaged elsewhere than in New Zealand on application to a Magistrate's Court, and clarified the law with regard to seamen discharged in New Zealand by reason of illness or accident, seamen discharged for other reasons before the time contemplated in the agreement, and seamen who desert or are absent without leave.

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 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.

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, the current Order being the Sharemilking Agreements Order 1951, which came into operation on 26 September 1951.

Orders in Council extending the operation of the provisions of the Agricultural Workers 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 Agricultural Workers (Orchardists) Extension Order 1958 provides that 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 (The Agricultural Workers (Market Gardens) Extension Order 1953, and Amendment No. 3) 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 is 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 £10 5s. 6d. per week, increased by £2 2s. 6d. 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 (May 1960) the minimum rate for workers in casual employment and for permanent adult male workers on tobacco farms is 5s. 7¼d. per hour, with lesser rates for male and female workers according to specified ages; and for harvesters on farms, and stations 5s. 4d. 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. 4, the minimum weekly rate for an adult male worker being £8 8s. 3d., increased by £2 2s. 6d. per week if the worker is not provided with board and lodging by the employer, or by £1 12s. 6d. 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 1958, Amendment No. 1, at £11 13s. 3d. weekly. The corresponding rate for workers in market gardens provided for in the 1960 extension order is £11 6s. 7d.

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 Act made by 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.

The Agricultural Workers Act 1936, and regulations issued thereunder, laid down detailed specifications as to what constituted satisfactory accommodation. 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.

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.

Members of the Public Service are governed by the Public Service Act 1912. The 1946 amendment provided for the control of the Public Service by a Commission as from 1 November 1946. Included in the functions of the Commission are the control of recruitment, maintenance of discipline and of a fair and efficient system of promotion, and also the regulation of a variety of points connected with personnel control—e.g., leave, hours of work, payment of allowances, etc.

The Government Service Tribunal Act 1948 provided for the establishment of a tribunal with functions, in relation to the remuneration and conditions of service of employees, of making (a) principal and other orders, and (b) recommendations to the Prime Minister on any matters other than those contained in the principal orders.

The Government Railways Act 1949, a consolidation measure, furnishes the legislative framework for determination of the working conditions of railway employees. In 1944 there was 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 Office employees are determined by the administrative authority, the Postmaster-General, with the Director-General as executive head. Power is vested in the Minister by virtue of the Post Office Act 1959. There is a Post Office 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).

There are other legislative enactments which apply to the relevant sections of General Government employees. Members of the Police are governed by the Police Act 1958, which consolidated and amended the Police Force Act 1947 and its amendments; the Police Regulations 1959 have been issued pursuant to the Police Act 1958. 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 legislation at present governing waterside work is contained in the Waterfront Industry Act 1953, which defines waterside work as “the loading and unloading of ships, barges, lighters, and other vessels; and, in relation to any port where the Harbour Board acts as wharfinger, includes the work of receiving and delivering cargo customarily performed by waterside workers at that port.” The functions of government are shared between two types of bodies – one legislative and judicial, the other administrative only.

The legislative and judicial body is the Waterfront Industry Tribunal which consists of a Chairman and two other members appointed by the Governor-General on the recommendation of the Minister of Labour. The Tribunal is appointed for a term of three years and is a Commission of Inquiry under the Commissions of Inquiry Act 1908. The functions of the Tribunal are, firstly, to prescribe the terms and conditions of employment for waterside work, and here the Tribunal's procedure is similar to that followed by the Government Service Tribunal. To assist with this function, the Act also provides for the setting up by the Minister of Labour of National Conciliation Committees consisting of eight employer and eight worker representatives, with an independent Chairman, to conduct conciliation proceedings on any application to the Tribunal which concerns two or more ports. Secondly, the Tribunal is required to settle any disputes that arise in relation to waterside work, and for this function has the assistance of Port Conciliation Committees which consist of an equal number of employers' and workers' representatives with an independent Chairman. These Committees, also, are appointed by the Minister of Labour, but are subject to the control and direction of the Tribunal, and are responsible for conciliation proceedings on any matter concerning their port of appointment. In addition these Committees have duties in relation to fixing the rules for the supply and discipline of waterside labour, and generally to act at a port in relation to local disputes or interpretations of terms and conditions of employment. Thirdly, the Tribunal is a general Appeal Court from decisions of Port Conciliation Committees (with certain limitations), National Amenities Committees and orders of the Waterfront Industry Commission imposing levies or charges.

The Waterfront Industry Commission, which is the administrative body, consists of one Commissioner appointed for a term of five years by the Governor-General on the recommendation of the Minister of Labour. The functions of the Commission are, firstly, to carry out all administrative work in connection with the engagement and employment of, and payment of wages to, waterside workers, including administrative work in connection with guaranteed minimum payments, annual and statutory holiday payments and systems of payment by results for waterside workers. In this connection the Commission also administers and enforces the rules for the supply and discipline of waterside workers as fixed by Port Conciliation Committees or the Waterfront Industry Tribunal, and maintains statistical records in relation to the various aspects of waterside work. Secondly, the Commission is responsible for the provision of amenities for waterside workers (subject to the direction of the National Amenities Committee) and for the equipping, operation, and management of these amenities which include waiting-rooms or assembly halls, restaurants, canteens, and first-aid rooms. The National Amenities Committee, which is associated with the Commission in the function of provision of amenities, consists of seven nominated representatives of employers, workers, and Harbour Boards and the Waterfront Industry Commissioner as Chairman, and is appointed by the Minister of Labour. This Committee acts in an advisory capacity in authorizing the Commission to provide amenities costing not more than £1,000 each at any port, in approving schemes for the provision by Harbour Boards of amenities costing more than £1,000 each at any port, in fixing the rates and methods of repayments to Harbour Boards for amenities provided for waterside workers and to arrange for the caretaking and cleaning of all waterside amenities. The National Amenities Committee may also appoint for any port a Port Amenities Committee consisting of a Chairman (usually the Commission's Local Administrative Officer) and representatives of interested parties, with duties to prepare port schemes for the provision of amenities and generally to assist the National Amenities Committee in carrying out its functions at that port.

To carry out its administrative functions the Waterfront Industry Commission maintains an office and permanent staff at all main and secondary ports, and has appointed local shipping companies as agents at some minor ports. In addition to actual administrative work the Commission is responsible for the provision of funds to meet costs of guarantee and holiday payments and costs of provision, operation, and maintenance of amenities. Finance is provided mainly by a national administration fund levy, based on paid labour hours, from all employers of waterside workers, but a proportion of administrative costs is recovered from profits under payments-by-results schemes, and a token grant to cover costs of Tribunal and other legislative and judicial functions is made by Government from the Consolidated Fund. Details of the Commission's annual statement of accounts and statistical tables are included as Appendices to the Annual Report (parliamentary paper H.–45) presented to the House of Representatives pursuant to section 53 of the Waterfront Industry Act 1953.

An interesting feature of waterside work is the manner in which the labour force is formed and maintained. As it has not been customary for waterside workers to be in the regular employment of individual shipping companies, etc., the labour force is in effect a pool of waterside workers which is drawn upon, as required, by each waterside employer. Present exceptions to this general position exist at the port of Wellington where the Wellington Harbour Board maintains its own separate group of waterside workers who are employed under the usual casual or hourly conditions of employment, and the Anchor Shipping and Foundry Co. Ltd., who maintain two gangs of waterside workers (36 men) on permanent or weekly wage conditions of employment. Dealing, however, with the general position at each port there is a pool of waterside workers consisting of the regular workers (termed registered waterside workers) and the irregular workers (termed non-registered waterside workers). The regular or “registered” waterside workers are those workers whose names are entered in the Port Bureau Register kept by the Commission in the Port Labour Bureau. It is the duty of Port Conciliation Committees to determine the number of workers to be entered on the Port Bureau Register. It is the duty of the New Zealand Port Employers' Association Incorporated, as the representative of the majority of employers of waterside workers, to select the men and advise the Commission of the names of the regular waterside workers to be entered in the Port Bureau Register. It is the duty of the “registered” waterside worker to join the Port Waterside Workers' Union within seven days of the date that his name is placed on the Register. The “non-registered” waterside workers are any other workers who offer themselves for employment on waterside work from day to day. Preference of employment is given to the “registered” waterside workers who have the right to replace a “non-registered” waterside worker. The name of a regular waterside worker is removed from the Port Bureau Register if he fails to join, or after joining, ceases to be a member of the Port Union, or the removal of his name is directed by the New Zealand Port Employers' Association Incorporated, or by the Port Conciliation Committee under any rules made by the Committee. Where removal of his name is directed, the worker has the right of appeal to the Port Conciliation Committee whose decision on the appeal is final. This right of appeal is necessary to protect the worker from unfair dismissal as there is no selection of employers. If the workers' name is removed from the Port Bureau Register he will be precluded from regular employment on waterside work by any waterside employer at that port and possibly also at any other port throughout New Zealand as the selection of regular waterside workers at all ports is in the hands of the New Zealand Port Employers' Association Incorporated. The employment of “non-registered” waterside workers terminates when “registered” workers become available, otherwise their employment continues for the job or for the day of employment, whichever is the lesser time, but these workers may, of course, be re-employed from day to day if they continue to offer themselves for employment and there are no “registered” waterside workers available for employment at the time.

The organization of “registered” waterside workers is on the basis of separate Port Unions with two Associations or Federations of Unions, one of South Island and one of North Island Port Unions. There is also a joint committee of the executive officers of the two Associations. Registration of the Port Unions and of the two Associations is under the provisions of the Industrial Conciliation and Arbitration Act 1954—that is, through the Registrar of Industrial Unions in the Department of Labour. The provisions of the Act relating to strikes and lockouts and the taking of secret ballots in connection therewith, the cancellation by the Minister of Labour of the registration of a Union or Association, following on any discontinuance of employment and the enforcement of awards and agreements apply also to all waterside employers and Unions of waterside workers and any Associations of these employers or unions. In addition, where a discontinuance of employment in the waterfront industry causes or is likely to cause serious loss or inconvenience through the action of any Union or Association of Unions, the Minister of Labour has power to suspend in whole or in part any order, direction or decision of the Tribunal, Commission, or any committee appointed under the Act as applies to all or any of the ports.

Chapter 38. SECTION 38—WAGES AND WAGE RATES

Table of Contents

LEGISLATION

GENERAL.—About half of New Zealand's wage and salary earners are subject to awards and industrial agreements made under the Industrial Conciliation and Arbitration Act 1954 (a re-enactment of a measure which was originally enacted in 1894). The great majority of Government employees are subject to orders made by the Government Service Tribunal in the case of the Public Service and by similar tribunals for Railways and Post Office employees. Waterside workers are subject to orders of the Waterfront Industry Tribunal. Workers in certain branches of agriculture are subject to orders made under the Agricultural Workers Act 1936. Apprentices are subject to apprenticeship orders made under the Apprentices Act 1948. There are considerable numbers of employees in supervisory and executive grades whose wage rates or salaries are determined by individual contracts of service and there are some relatively small groups whose wage rates or salaries are determined under other legislation.

Of the various procedures for determining enforceable minimum wage rates, hours, and other conditions of employment, those established under the Industrial Conciliation and Arbitration Act are the most important. The Act enables wage rates to be determined, industry by industry, by agreement between organizations of employers and workers concerned or, failing such agreement, by awards made by the Court of Arbitration after hearing the parties.

Awards and industrial agreements usually have a currency of from one to two years, the actual duration, which must not exceed three years, being specified in the text. The terms of an award or industrial agreement, however, continue to be binding on the parties after the expiry date until a new award or agreement is made. Either side may commence proceedings, within times limited by the Industrial Conciliation and Arbitration Act 1954, for a new award or agreement by serving on the other side claims for revised conditions of employment. If the claims are not accepted conciliation proceedings must ensue.

The Industrial Conciliation and Arbitration Act does not provide the Court of Arbitration with any means of making a general change in minimum rates except by the piecemeal process of making the change if and when it is called upon to make new awards, industry by industry. On a limited number of occasions, however, the Court has made an announcement of its intention to adopt generally certain specified minimum rates when making future awards. Such announcements are known as standard wage pronouncements.

From time to time, however, the Court has been given the power by special legislation to amend awards and industrial agreements during their currency, either by making a standard wage pronouncement and then revising each award or industrial agreement to bring it into conformity with the pronouncement, or by making a general order simultaneously amending awards and industrial agreements with or without exceptions. (However, this power to make standard wage pronouncements does not apply at present due to the 1953 amendment to the Economic Stabilization Regulations.) In giving the Court such powers it has been usual for the special legislation also to require the Court to take certain specified matters into consideration when making its standard wage pronouncement or general order.

There is now no “basic wage” in New Zealand; nor is there any formula for determining such a wage. In 1936 an amendment of the Industrial Conciliation and Arbitration Act required the Court to determine a basic wage for adult males and for adult females and directed that the basic wage for adult males should be sufficient to maintain a man, his wife and three children in a fair and reasonable standard of comfort. The basic wage rates so determined by the Court, being below the prevailing minimum adult rates in awards and industrial agreements, were of little practical effect and were never revised. The relevant provisions were dropped from the Act in 1954.

Minimum Wage.—Enforceable minimum wage rates are mainly determined under five statutes, the most universally applicable being the Minimum Wage Act 1945. This Act provides that workers of the age of twenty-one years and upwards must receive not less than the rates prescribed under the Act. In the great majority of cases, however, workers are subject to wage orders, awards, or industrial agreements relating to the particular industries in which they are employed and which provide somewhat higher enforceable minimum rates.

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 statutory 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 minima prescribed by the Minimum Wage Order 1959, and operating from 21 October 1959, 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 to 20 Oct. 195921 Oct. 1959 Onwards
 £s.d.£s.d.£S.d.£s.d.£s.d.£s.d.£s.d.£s.d.£s.d.
Males—
  Paid by hour or by piecework03003303503904104604 410051
  Paid by day14016017411001128116011701186206
  Other (per week)51506506118750718481509009769176
Females—
  Paid by hour or piece-work011102202026029030031033035
  Paid by day015401740184100120140148160174
  Other (per week)3130430480416456451646006606130

Standard Wage Pronouncements and General Orders.—It has always been inherent in the powers of the Court of Arbitration to make wage pronouncements indicating the policy it intends to pursue when making future awards, but under the Industrial Conciliation and Arbitration Act the Court does not have power to generally amend awards and industrial agreements during their currency.

To effect any general amendment of wage rates in awards and industrial agreements during their currency, therefore, special legislation has been necessary, and from time to time the Court has been given the power to so amend awards and industrial agreements during their currency, sometimes by means of general orders of simultaneous effect, and sometimes by means of reviews of awards and agreements following a standard wage pronouncement.

The following paragraphs give in brief the history and effects on wages of the standard wage pronouncements and general orders made since 1919.

The War Legislation and Statute Law Amendment Act 1918 gave the Court of Arbitration authority to amend provisions in awards and industrial agreements relating to hours of work and rates of remuneration on receipt of applications to do so from parties to such awards and industrial agreements. In exercising this power the Court was required to take into consideration changes affecting conditions in industry to which the awards and industrial agreements applied and increases in cost of living. Prior to this the Court did not have the power to amend awards and industrial agreements during their currency in the direction of increasing wages in sympathy with increases in the cost of living.

In 1919, as a result of an application by unions of skilled tradesmen the Court fixed the rate for skilled workers at 1s. 7½d. per hour with the addition of a bonus of 2½d. per hour to be varied from time to time according to circumstances.

Later in 1919 the Court made a general pronouncement in which it fixed standard rates of 1s. 7½d. per hour for skilled workers, 1s. 4½d. to 1s. 6d. per hour for semi-skilled workers, and 1s. 3½d. per hour for unskilled workers, plus a bonus in each case of 2½d. per hour to compensate for increased cost of living. The bonus was increased to 3½d. per hour from 1 January 1920 and to 5d. per hour from 1 May 1920. A further wage pronouncement in 1920 raised standard rates to 2s. per hour for skilled workers, 1s. 8d. to 1s. 10d. for semi-skilled workers and 1s. 7d. for unskilled workers, plus a bonus of 3d. per hour in each case.

In 1920 the War Legislation and Statute Law Amendment Act 1918 was amended to require the Court to amend awards and industrial agreements only if it were satisfied “that it is just and equitable to the employers and the workers in such industry or industries that the award should be amended and that the economic continuance of such industry or industries will not be unduly imperilled by the effect of such amendment upon the cost of production”, with the proviso “that any award or industrial agreement made under this clause shall provide for a fair living wage for the workers engaged in the industry or industries concerned.”

As from 1 November 1920 the bonus was increased by 2¼d. an hour to 5¼d. per hour but the Court later reviewed its decision and reduced the increase to ¾d. per hour. In May 1922 the Court, by general order, reduced the bonus by a further 1¼d. per hour to 2½d. per hour.

By section 9 of the Industrial Conciliation and Arbitration Act 1921–22 the statutory powers referred to above were taken under the Industrial Conciliation and Arbitration Act and the Court was given power to amend awards and industrial agreements by way of general orders as it thought fit, after having taken into account “any increase or decrease in the cost of living since 30 September 1920, and the economic and financial conditions affecting trade and industry in New Zealand and all other relevant considerations” and “regard to a fair standard of living”. The powers given to the Court in this section were to operate until 31 December 1923 and no longer. In accordance with these new powers the Court made a general order reducing wage rates by ¾d. per hour from 4 December 1922.

In September 1925 the Court made a pronouncement fixing standard minimum rates at 2s. 3d. per hour for skilled workers, 1s. 11d. to 2s. 1½d. for semi-skilled workers, and 1s. 10d. for unskilled workers. These rates remained unchanged until 1931 when, in accordance with provisions contained in Part II of the Finance Act 1931, the Court made a general order reducing rates of remuneration by 10 per cent from 1 June 1931. This legislation gave to the Court power at any time, but at not less than intervals of six months, to amend by way of general order awards and industrial agreements as it thought fit, and in doing so required it to take into account “the economic and financial conditions affecting trade and industry in New Zealand and all other considerations”. The reduction in rates was restored as from 1 July 1936 by a provision contained in Part II of the Finance Act 1936.

In 1937 the Court reviewed the standard rates of wages which had not been altered since 1925 (except by the reduction and restoration effected by the general orders of 1931 and 1936 respectively) and made a new pronouncement fixing a rate of 2s. 9d. per hour for skilled workers, 2s. 5d. to 2s. 7½d. for semi-skilled workers, and 2s. 4d. for unskilled workers. The Court still had no power to amend awards and industrial agreements for the purpose of immediately applying the pronouncement and could only apply these new standard rates as awards came before it for renewal. It should be noted that the Industrial Conciliation and Arbitration Amendment Act 1936 had required the Court, in making awards, to fix the maximum weekly hours at 40, wherever possible, and where the application of this provision reduced the hours previously worked, the rates of pay were to be proportionately increased in order that the workers' weekly wages might not be reduced.

Following the outbreak of the Second World War the Rates of Wages Emergency Regulations 1940 again empowered the Court to amend by way of general orders rates of remuneration contained in awards and industrial agreements, and on 9 August 1940 the Court made a general order increasing all rates of remuneration in awards and industrial agreements by 5 per cent. Although the order was not applied in this way its effect was to increase the standard rates for adult male workers to 2s. 10.65d. per hour for skilled workers, 2s. 6.45d. to 2s. 9.075d. for semi-skilled workers, and 2s. 5.4d. for unskilled workers. A further general order was made by the Court on 31 March 1942 increasing rates for adult male workers by 5 per cent but excluding from the scope of the order amounts earned each week in excess of £5. By reason of a new definition of “remuneration” this increase was to be calculated on the wages specified in awards and industrial agreements plus the increase provided by the order made in 1940. The effect of the second general order (after allowing for the maximum increase permitted) was to increase the standard rates prescribed in 1937 (although not applied in this manner) to 3s. 0.15d. per hour for skilled workers, 2s. 7.95d. to 2s. 10.575d. for semi-skilled workers, and 2s. 6.87d. for unskilled workers.

The Economic Stabilization Emergency Regulations 1942, whose purpose was stated to be “to promote the economic stability of New Zealand” (clause 2), affected the Court of Arbitration's powers in three ways:

  1. 1. In their original form the regulations prohibited the Court of Arbitration from varying the minimum rates prescribed in awards and industrial agreements, except to adjust anomalies within the main purpose of the regulations. However, amendments to the regulations in 1944 (No. 4) and 1945 (No. 5) relaxed this prohibition to the extent of requiring the Court in making or amending awards to take into consideration “the general purpose of these regulations and also the desirability of so fixing rates of remuneration as to restore or preserve a proper relationship with the rates of remuneration of other workers … but the Court shall not have regard to any fluctuations in the cost of living.”

  2. 2. The main regulations did not refer to standard wage pronouncements, but an amendment in 1945 (No. 5) empowered the Court “to make a pronouncement specifying standard rates for skilled, semi-skilled, and unskilled workers for the purpose of these regulations”. The Court interpreted the latter phrase to mean that it should not have regard to fluctuations in the cost of living. In March 1945 it exercised these powers by a pronouncement fixing standard rates of wages as follows:

Unskilled workers2s. 7½d. per hour.
Semi-skilled workers2s. 8½d. to 2s. 11d. per hour.
Skilled workers3s. 0½d. per hour.

These rates were to be increased in the manner and to the extent of the general orders of the Court made in 1940 and 1942 and by reason of these latter increases would, therefore, be as follows:

Unskilled workers2s. 10.575d. per hour.
Semi-skilled workers2s. 11.625d. to 3s 2.25d. per hour.
Skilled workers3s. 3.825d. per hour.

The Court proceeded to amend awards and industrial agreements on applications to do so from parties thereto.

  1. 3. General orders were provided for in the original regulations, which required the Court to vary rates of remuneration up to a prescribed ceiling by this means whenever a stated minimum movement was recorded in a wartime price index kept by the Government Statistician. The intention therefore, was to take changes in the cost of living (as measured by this index) into account by way of general orders. The criterion for making general orders was widened by Stabilization Regulations Amendment No. 6 in 1945, which required the Court, in making general orders under the Rates of Wages Emergency Regulations 1940 on the application of any party to an award or industrial agreement or of its own motion, to take into account the following matters:

    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. All other considerations that the Court deems relevant.

No general order was in fact made under these provisions.

In 1947 (Amendment No. 11 to Stabilization Regulations) the Court was empowered to give effect to any standard wage pronouncement it should make by amending awards or industrial agreements in force at the time the pronouncement was made. It could do this of its own motion or on application from any party to such awards or agreements. Prior to this the Court could apply its standard wage pronouncements only in the subsequent course of making or amending awards. (The 1945 amendment No. 5, however, had authorized the Court to amend rates in an award or industrial agreement in force at the date the regulation was made, upon application by any party, “for the purpose of restoring or preserving a proper relationship with the rates of remuneration of other workers or classes of workers.”) The new amendment was intended to make it possible to amend rates overall without recourse to a general order, to which there was the objection that it increased all rates (including those increased by awards only recently negotiated) to a proportionate extent. The amendment did not contemplate equal increases to all awards, but stated that the Court was required to have regard to any increases in rates of remuneration granted by the Court since 17 March 1945 (the date of the last standard wage pronouncement) and to have regard also to the proper relationship with the rates of other workers. An application in terms of the amended provisions was made and the Court fixed rates as follows:

Unskilled workers3s. 1½d. per hour.
Semi-skilled workers3s. 2½d. to 3s. 5¼d. per hour.
Skilled workers3s. 7d. per hour.

These rates were payable from 1 October 1947, and were gross rates, not to be increased by the two general orders of the Court made in 1940 and 1942.

Further amendments to the stabilization regulations were made in 1949 (amendment No. 14), giving the Court the right to make a standard wage pronouncement or a general order of its own motion or on any application by the parties and requiring that the Court make no pronouncement less than one year after any previous pronouncement or general order had been made. In addition, the considerations which the Court was required to have regard to in making any pronouncement or general order were redefined as follows:

  1. The general purpose of these 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 deems relevant.

The regulations requiring the Government Statistician to keep the wartime price index were revoked and, in fact, the Government Statistician had taken steps to arrange the publication of the new Consumers' Retail Price Index. It will be noted, too, that the Court was required to take into account a significant new factor – the relative movement in incomes for the different sections of the community. The Rates of Wages Emergency Regulations 1940 were also revoked.

Following these amendments the Court made a further pronouncement on 12 April 1949 which was effective from 1 June 1949, specifying the following rates:

Unskilled workers3s. 5d. per hour.
Semi-skilled workers3s. 6d. to 3s. 8¾d. per hour.
Skilled workers3s. 11d. per hour.

The Court proceeded to amend awards and industrial agreements to conform with this pronouncement.

In 1950 the Economic Stabilization Emergency Regulations 1942, and the amendments still in force, were revoked by the Economic Stabilization Regulations 1950, which cancelled the restriction on the Court, to have regard to the proper relationship between the rate of remuneration of different classes of workers, and withdrew the specific authority given the Court to apply standard wage pronouncements by amending awards and industrial agreements during their currency.

The 1950 regulations, which were made pursuant to the Economic Stabilization Act 1948, still gave the power to make general orders but they could not be made so as to take effect earlier than one year after the date on which any previous order had taken effect. The 1950 stabilization regulations still required the Court, in making general orders, to have regard to the matters set out earlier which were specified in the 1949 amendment.

For the purpose of meeting the consequences of the withdrawal and reduction of Government subsidies paid in respect of certain household commodities, the Court was specially empowered by a later amendment to the 1950 regulations to make on its own motion a general order operative from a date not earlier than 8 May 1950. On 10 June 1950 the Court made what was known as an “interim” general order in accordance with these special powers, which increased rates of remuneration in the case of adult male workers by 5 per cent, but the Court excluded from the application of the order any remuneration above £7 per week.

The effect of this was to raise the standard wage rates announced in 1949 as follows (although the order was not applied in this way):

Unskilled workers3s. 7.405d. per hour.
Semi-skilled workers3s. 8.1d. to 3s. 10.85d. per hour.
Skilled workers4s. 1.1d. per hour.

On applications being lodged with it for the purpose, the Court made a general order on 30 January 1951, operative from 15 February 1951, increasing all rates by 15 per cent. The increase was to incorporate that granted in terms of the interim general order made on 10 June 1950. The rates fixed as standards were therefore increased to the following figures from 15 February 1951:

Unskilled workers3s. 11.15d. per hour.
Semi-skilled workers4s. 0.3d. to 4s 3.462d. per hour.
Skilled workers4s. 6.05d. per hour.

The Economic Stabilization Regulations 1952 gazetted on 25 February 1952 replaced the 1950 regulations from which they differed principally in the following respects:

  1. A general order could be made to take effect not less than six months after any previous general order, instead of twelve months:

  2. Where the Court excluded any section or class of workers from the operation of a general order of its own motion, it could subsequently, on application in that behalf, make such order as it considered just and equitable in relation to those workers:

  3. The Court was empowered to make standard wage pronouncements at intervals of not less than six months, but not less than six months after any general order:

  4. The Court was empowered to amend awards and industrial agreements to give effect to any standard wage pronouncement.

Later in 1952 the Court declined an application for a general order but decided that the time was opportune for a review of the standard minimum wage rates and on 12 July 1952 made a pronouncement increasing the rate to 5s. per hour for skilled workers, 4s. 5d. to 4s. 8d. for semi-skilled workers, and 4s. 3½d. for unskilled workers. These were to be gross rates and were not to be increased by the general order of 30 January 1951. As in the case of the 1949 pronouncement the Court proceeded immediately to amend awards and industrial agreements accordingly.

Under the Economic Stabilization Regulations 1953 the following changes were made in matters required to be taken into account by the Court in making a general order:

  1. The provision requiring the Court to take into account the general purpose of the Economic Stabilization Act 1948 was omitted:

  2. The Court was required to take into account any increase or decrease in the volume and value of production in primary and secondary industries.

The regulations no longer empowered the Court to apply standard wage pronouncements by amending awards and industrial agreements during their currency, but the power to amend awards and industrial agreements to give effect to the pronouncement made on 12 July 1952 was continued. However, the Court could still make pronouncements as a matter inherent in its functions and this position still obtains.

Under a subsequent amendment in 1953 it was provided that, on making a general order, in taking into account the prescribed matters, the Court was not to be restricted to events occurring since the date of the previous standard wage pronouncement or general order, but might consider events that occurred before that date and events likely to occur in the future.

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. 2½d. maxima for adult males, and 5s. 5d. and 4s. 2½d. 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.

The Economic Stabilization Regulations 1953 were further amended in April 1959, principally for the purpose of authorizing the Court to make a pronouncement that it would, if thought fit, incorporate in new awards the effect of general or other orders made under the regulations. An immediate application was then lodged for a general order increasing rates of remuneration and for a pronouncement on incorporation in terms of the authority contained in the amended regulations. A general order, effective from 12 October 1959, and revoking the general order of 1956, was made by the Court on 18 September 1959. This order increased the rates of remuneration prescribed by all awards and industrial agreements to which it applied by 24 per cent (instead of 18 per cent as hitherto) on amounts up to and including £13 per week for adult males and certain adult female workers employed under awards and industrial agreements requiring them to be paid adult male rates, and £9 15s. and £7 10s. per week for other adult females and junior workers respectively. The effect of the order was to provide maximum increases of 15s. 7.2d. per week for those to whom the £13 limit applied and 11s. 8.4d. and 9s. per week respectively for those to whom the limits of £9 15s. and £7 10s. applied. For varying reasons 127 awards and industrial agreements were excluded from the operation of the order, it being open to any party to any excluded awards or agreements to apply to the Court for a subsequent order amending the rates of remuneration prescribed in such awards or agreements. The Court simultaneously made a pronouncement “that, when making any award to supersede, in whole or in part, any award or industrial agreement to which any general or other order applies, or to which it is specifically applied by any provision in that award or industrial agreement, the Court will incorporate in such rates of remuneration as the Court thinks just and equitable, as an integral part of those rates, the effect of the general or other order”. An amendment in May 1960 to the Economic Stabilization Regulations 1953 gave the parties to awards and agreements the right to apply to the Court of Arbitration for incorporation immediately.

Theoretically, as a result of the general order effective from 12 October 1959 the present effective standard hourly rates are – skilled workers 6s. 2.4d., semi-skilled workers 5s. 5.72d. to 5s. 9.44d., and unskilled workers 5s. 3.86d.

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 Office is contained in the Post Office Act 1959, while certain questions may be referred to the Post Office Staff Tribunal.

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 not under awards and agreements 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 coming under the Police Act 1958, 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, and are now protected by the Wages Protection and Contractors' Liens Act 1939.

Some of the more salient provisions of the present law are now set out.

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 Wages Protection and Contractors' Liens Act prohibits payment of wages being made in goods (truck) or is 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 arising out of and in the course of employment.

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 Bankruptcy Amendment Act 1956, compensation payments rank with wages as a priority 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 (prices, Section 36; and subsidies, Section 27).

The initial legislative step in the control of wages and remuneration was the gazetting of the Rates of Wages Emergency Regulations 1940, which with their 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. These qualifications were largely superseded by the Economic Stabilization Emergency Regulations issued in 1942.

The Economic Stabilization Emergency Regulations 1942, as subsequently amended up to and including the amendment of February 1949, 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 on certain specified grounds.

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 2½ per cent initially and 5 per cent in subsequent variations in the general level of prices included in the wartime price index, the Court of Arbitration was enjoined to issue a general order adjusting rates of remuneration 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.

A 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, and, on application, to amend awards and industrial agreements to conform to such pronouncements.

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 for the Court, of its own motion, 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.

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 1960) 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 in addition 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 was required to take into account were substantially the same as those set out on page 1039 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 if 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 gave the Court a discretionary power to fix a date for the commencement of its general order before the date on which it was made, but not earlier than September 1953; this regulation related only to the application for a general order then pending in the Court of Arbitration. Since 1953 the Court has had no retrospective power in regard to general orders.

Under an amendment to the regulations in April 1959 the Court of Arbitration may make a pronouncement to the effect that, when making any award to supersede any award or industrial agreement to which any general or other order applies, the Court will incorporate in such rates of remuneration as it thinks just and equitable, as an integral part of those rates, the effect of the general or other order. Power has also been given to the Judge of the Court to call expert witnesses before the Court to give evidence of a statistical nature and, with the consent of the parties being heard or if there is no objection from any such party, to call any witness.

STATISTICS

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. Statistics are now given for 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 for selected minimum wage rates in shillings and pence weekly from each age-sex group; then for rates of earnings; and finally for 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. 1. To establish a currently representative weighting pattern.

  2. 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. 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. 1. Retailing of meat, groceries, softgoods, and coal and firewood.

  2. 2. Provision of accommodation, meals, and personal services.

  3. 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 of the industries 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 1914–59 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
19581116
19591136

The wage rates on which the foregoing index numbers are based are gross rates, no account having been taken of the fact that from August 1931 wages have been subject to certain forms of taxation not previously in operation. A summary of these taxes on wages since their introduction is as follows.

Date From Which EffectiveRate Per PoundClass of Tax
 s.d. 
  1 August 193103Emergency unemployment charge.
  1 May 193210Emergency unemployment charge.
  1 October 1934010Employment promotion tax.
  1 October 193508Employment promotion tax.
  1 April 193910Social security tax.
21 July 194020Social security tax (1s. in pound)
National security tax (1s. in pound).
11 May 194226Social security tax (1s. in pound).
National security tax (1s. 6d. in pound).
13 May 194620Social security tax (1s. 6d. in pound).
National security tax (6d. in pound).
21 April 194716Social security tax.

Since 1 April 1958, under the PAYE tax system, income tax (ordinary income tax and social security income tax) has been deducted from wages at the rates set out in the relevant taxation tables—refer to Section 30B, Taxation, for further information.

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 1957–59. 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 Year1959: At—
19571958195931 March30 June30 Sept.31 Dec.
Provision of—
  Food, drink, etc.1168118712121197119811981267
  Clothing, footwear, and textiles1092110211251114111911191171
  Building and construction1057107010931080108010801143
  Power, heat, and light1034104610621052105210521105
  Transport by water and air1303130513401342134213421403
  Transport by land1106112211471134113411371195
  Accommodation, meals, and personal service1052108410981085108510851150
  orking in or on—
  Wood, wicker, seagrass, etc.1121113111581147114711471209
  Metal1168118412041190119011901259
  Stone, clay, glass, chemicals, etc.1050106510871074107610761127
  Paper, printing, etc.1188120912271214121412141276
  Skins, leather, etc.1055106510791071107110711133
  Mines and quarries1129113011441131113111311196
  The land (farming pursuits)9919899949879879791024
All groups combined1104111611361125112611251185

NOTE.—The index numbers in this table are comparable both vertically and horizontally.

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 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 heavily 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 Group1914193919541956195719581959
Provision of—
  Food, drink, etc.25748810001078112611461169
  Clothing, footwear, and textiles24645410001057110411141137
  Building and construction27447210001045109911121136
  Power, heat, and light26648310001063111511281146
  Transport by water and air23744010001067111811201150
  Transport by land25646310001069111611321158
  Accommodation, meals, and personal service28246010001047109411271142
Working in or on—
  Wood, wicker, seagrass, etc.25347010001051110511151141
  Metal27447510001058110411191138
  Stone, clay, glass, chemicals, etc.25248610001063111311291152
  Paper, printing, etc.28747210001062111711361153
  Skins, leather, etc.26248710001048109011001115
  Mines and quarries26845010001080115511561171
  The land (farming pursuits)22637310001024106610651070
All groups combined25344710001055110411161136

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 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 1018–21. 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 Group19541956195719581959
Provision of—
  Food, drink, etc.10241104115311731197
  Clothing, footwear, and textiles9771033107810881111
  Building and construction950992104410571079
  Power, heat, and light916974102010331049
  Transport by water and air11081182123812411273
  Transport by land9791046109311081133
  Accommodation, meals, and personal service950995103810701084
Working in or on—
  Wood, wicker, seagrass, etc.10021053110711171143
  Metal10451105115311691189
  Stone, clay, glass, chemicals, etc.932990103610521073
  Paper, printing, etc.10511116117411941212
  Skins, leather, etc.9561002104210521066
  Mines and quarries10381121120012001215
All groups combined10001060111111251148

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 heavily ruled vertical line indicating the commencement of the new series.

HOURLY WAGE-RATES INDEX NUMBERS (ADULT MALES)

Base: Each group separately, 1954 (= 1000)
Industrial Group1914193919541956195719581959
Provision of—
  Food, drink, etc.19644810001078112611461169
  Clothing, footwear, and textiles21344310001057110411141137
  Building and construction24147310001045109911131136
  Power, heat, and light22148110001063111411281146
  Transport by water and air18841810001067111811201150
  Transport by land21344310001069111711321158
  Accommodation, meals, and personal service18544710001067109311271142
Working in or on—
  Wood, wicker, seagrass, etc.22047110001051110511141141
  Metal23647510001058110311191138
  Stone, clay, glass, chemicals, etc.21248310001063111211291152
  Paper, printing, etc.26147310001062111711361153
  Skins, leather, etc.21846810001047109011001115
  Mines and quarries21841510001080115611561171
All groups combined21745510001060111111251148

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 Group19541956195719581959
Provision of—
  Food, drink, etc.90996099810161028
  Clothing, footwear, and textiles9811037108811001118
  Accommodation, meals, and personal service10831138119012331254
Working in paper, printing, etc.919988104510721090
All groups combined10001056110611281146

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 heavily ruled vertical line indicating the commencement of the new series. As with the similar table relating to male wage rates (p. 1045), 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 Group1914193919541956195719581959
Provision of—
  Food, drink, etc.15337510001056109911181131
  Clothing, footwear, and textiles19237210001058110911211140
  Accommodation, meals, and personal service27544110001050109811381157
Working in paper, printing, etc.19937610001075113711661186
All groups combined1 21339010001056110611281146

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 female wage rates made on the whole relatively greater gains than male rates. Index numbers for the last sixteen years are as follows.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES AND FEMALES COMBINED), ALL INDUSTRIAL GROUPS

Base: 1954 (= 1000)
YearIndex
1944511
1945556
1946579
1947602
1948644
1949682
1950729
1951828
1952869
1953929
19541000
19551036
19561055
19571105
19581123
19591137

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 heavily 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 Group1914193919541956195719581959
* No provision made in awards for juvenile females.
Juvenile Males
Provision of—
  Food, drink, etc.21540710001089114711971234
  Clothing, footwear, and textiles17332910001057111211621198
  Building and construction17732110001047111511801202
  Transport by land and air25548510001077112511361163
  Accommodation, meals, and personal service16833910001055111112391255
Working in or on—
  Wood, wicker, seagrass, etc.17636110001049112011631194
  Metal14636110001058111511821197
  Stone, clay, glass, chemicals, etc.19248710001084117212001228
  Paper, printing, etc.18429510001061111711891206
  Skins, leather, etc.26643110001062112311571169
  Mines and quarries26446810001133126512651281
  The land (farming pursuits)19034010001027105010531059
All industrial groups18435410001051109911341152
Juvenile Females
Provision of—
  Food, drink, etc.14437410001055109511211134
  Clothing, footwear, and textiles18238610001059111611261148
Working in paper, printing, etc.*39510001104117912091226
All industrial groups18038510001061111811301151

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 preceding 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 1949–59. 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
1949723682674943932
1950764729727954952
1951848829817978963
1952914871852953932
1953956929924972967
195410001000100010001000
195510241035103910111015
1956106110551056994995
195710831104110610191021
1958113211161128986996
1959117511361146967975

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 1044). 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, 1954, and 1956–59. 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 1960 will be found in the Latest Statistical Information at the back 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
1914193919541956195719581959
* Not available.
 s.d.s.d.s.d.s.d.s.d.s.d.s.d.
Adult Males
Bakers—
  Journeymen5501150225102378248225432543
  Labourers480950190102018210821492149
Butchers—
  First shopmen726123224112506264626852685
  Second shopmen626110822452332246525022502
Butter-factory employees—Churning and buttermaking: Others450900192102209230623062424
Flourmilling—
  Kilnmen48099421892303240424042463
  Assistant smuttermen480914208821911229622962335
  Rollermen5601034235324732580258026910
Meat freezing—
  Slaughtermen, per 100 sheep2764509831065111711311131
  Workers not otherwise specified540113823102469257825972597
Meat preserving—
  Boners620132027402896304103111031110
  Others596110023102487259726762676
Sausage-casing making: Workers not otherwise specified588117423842543265627342734
Aerated water and cordial making—
  Cordialmakers589961020152129224422442244
  Others450883191112035214721472147
Brewing: Others4779452090220423811238112457
Tailors—
  Journeymen539101222002299239112441024410
  Stock cutters (factory)55092622002299239112441024410
Footwear manufacturing workers5269182200234624410247102493
Woollen mills—
  Spinners5101034223823552451024892489
  Others4669341991021011220322322232
Building—
  Bricklayers685113023352408251825692569
  Carpenters and joiners643112622682365248125302530
  Plasterers679114723032400255525652613
  Plumbers660110023152430259525952653
  Builders' labourers5269342079214022482261122910
  General labourers526934188919410207420952125
Sawmilling—
  Sawyers5301126236124611263926402686
  Tailers-out439968215022542412241524510
  Yardmen, head5581100231024110258425872630
  Workers not specified510950210102211236923702415
Boatbuilding: Shipwrights62812662331245425510255102630
Metal works, etc.—
  Boilermakers, journeymen6281100224723742471025382538
  Iron and brass moulders647110022662356250925092568
  Tinsmiths, journeymen628110022472413253325332592
  Engineering fitters, etc.64711002271243625412601026010
  Electrical wiremen6110110522922399258525852644
  Motor mechanics6481100232112494259112591126010
Printing—
  Linotype (day)740115023662469263626952695
  Letterpress machinist (day)650107622742374253825972597
Skin and leather workers—
  Curriers58010502137225123502381123811
  All other workers4969001881020002081021292129
Mineral and stone workers—
  Flanger and moulder53111084214622412381241102446
  All other workers469950194420352166219112221
Mining (coal)—
  Surface: Tippers537913217922810267626762676
  Miners (on day wages, per shift)1142010466479533533533
  Truckers551197621142143240024002400
Quarrymen52894219512014210921122141
Agricultural and pastoral workers—
  General farm workers26445015201560161616161616
  Threshing-mill: Other workers, per hour1328535555
  Ploughmen30446315201560161616161616
  Shearers (per 100 sheep shorn)200286680720680770680
  Shepherds31252615201560161616161616
  Wool pressers30084624582604245827882714
  Dairy-farm workers23052618501900190019001900
Railways—
  Engine drivers, average third and sixth years750120024442618283928392921
  Firemen, average second and ninth years600102112211023392521252112613
  Guards, average first and third years630113923702505271327132797
Tramways—
  Drivers53610132119226023602431024310
  Conductors (after six months)47795720362176227223502350
Shipping and cargo working—
  Assistant stewards, first grade25872420432157231023102310
  Assistant stewards, second grade18870020072123227122712271
  Chief cooks60810610252226410282628262826
  Second cooks37488222722390255725572557
  Able seamen374891219112318247112471124711
  Ordinary seamen: 18 years or over280601017011789190819081908
  Waterside workers: Ordinary cargo624106822182484259725972597
Hotel workers—
  First cooks90011202161022710238624322432
  Waiters311650153016210170017491749
Miscellaneous—
  Retailing of apparel—
    Shop assistants550102621410226023602381123911
  Grocers' assistants5001026205102161225823602360
  Warehouse storemen48990020542167226222622311
Adult Females
Biscuit and confectionery factory workers20049013001361114301451114511
Tailoresses (factory): Journey-women276500140101489155415841584
Footwear manufacturing workers276501013981492155915841594
Woollen-mill workers25050014121489155415911591
Hotel workers—
  Cooks29558015611660173417811781
  Housemaids17236610681125117512221222
  Waitresses22536610681125117512221222
Restaurant workers—
  Cooks42687017241828190919091974
  Waitresses31148612191308136613661425
  Pantrymaids29248612191308136613661425
Printing workers*58613201385150515521552
Retailing of apparel: Shop assistants276576143101508157416071618
Juvenile Males
Bakers' apprentice: After three years' service276650146101546161417041704
Butchers' assistant: Eighteen years of age3010495115111257133413691369
Butter and cheese factory: Youth, eighteen years of age300526123914710154515451604
Flour-mill: Youth, after three years' service270500115012110127012701310
Meat freezing and preserving:              
Youth, eighteen years of age25655012521371014401491014910
Aerated water and cordial manufacture: Youth, eighteen years of age2504679981184125101251012510
Tailoring, etc.: Apprentice, after three years' service19240012910135714171511015110
Footwear manufacturing: Apprentice, after three years' service250400129101384144515371546
Woollen-mill: Youth, eighteen years of age226468124813110137814141414
Bricklayers' apprentice: After three years' service242426139114471491016061606
Carpenters' apprentice: After three years' service24643213661423149115941594
Plasterers' apprentice: After three years' service2404261361114210152516071638
Plumbers' apprentice: After three years' service195400138714611559172217511
Sawmill: Youth, eighteen years of age25648910881117124512451304
Engineering: Apprentice, after three years' service20050013501450151316331633
Brick, tile, etc., works: Youth, eighteen years of age21053510791142126913061324
Tannery: Youth, eighteen years of age33451310811185125112901290
Coalmining: Trucker, eighteen years of age46582917741816225022502250
Agriculture and dairying (mixed farms): Youth, eighteen years of age*31011161146114611461146
Retailing of apparel: Shop assistant, after three years' service20045012571324138214051474
Grocers' assistant: After three years' service25042612391291113581521015210
Juvenile Females
Biscuit and confectionery factory: Assistant, after three years' service16041611061164121512451245
Footwear manufacturing: Assistant, after three years' service19040010121153120412041214
Woollen-mill: Worker, after three years' service22641011221181123412631263
Clothing factory: Improver, after three years' service192430110011510120111231112311
Printing trade: Worker, after three years' service*44611221153132913671367

NOTE.—The following perquisites (as assessed for statistical purposes) as at 31 March 1959 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, 8s. per day for rations; assistant stewards (first and second grade), chief and second cooks, able seamen and ordinary seamen (first class), 53s. 4d. per week as value of board and lodging; and hotel first cooks and waiters, female cooks, housemaids, and waitresses, 50s. per week as value of board and lodging. Varying amounts in this connection would also be added to the occupations affected for earlier years.

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 1062), the particulars relating to a sample week at the end of each half-year.

Up to April 1957, one result of the half-yearly survey was to show the average weekly payout per person. This was obtained by dividing the aggregate payout for one week by the number of full-time employees in the same week.

From and including the April 1957 survey some important changes were made in the information cards filled in by employers. From that date the Department of Labour has published average hourly rates for all workers covered by the half-yearly survey. In calculating these rates the Department has included part-time as well as full-time employees. To provide a long-term series, average weekly wage payouts per person, on this same basis, have been computed for all periods covered by the half-yearly surveys. Also, to provide a link with the previous series of average wage payouts per person, computations using full-time employees have continued to be made.

In the following table, which gives the average weekly payout per person, all ages, both sexes, and all occupations within industry are included in the one figure.

Weekly Wage Payout per Person (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
Aggregate Payout For One Week Divided by—
Full-time EmployeesFull-time and Part-time Employees
* Does not include retrospective payments arising from the general order of the Court of Arbitration of 19 November 1953.
 £s.d.£s.d.£s.d.
1949—April71487106730
      October815716107123
1950—April84671977126
      October815981008010
1951—April91529878198
      October103191619311
1952—April1071010010960
      October1013010569146
1953—April111510131091411
      October1121*101311*101410
1954—April12251113610150
      October12701117110164
1955—April1215212481147
      October1340121261159
1956—April1368121501174
      October13104121811191
1957—April1430139911198
      October1446131091207
1958—April14861313101227
      October14106131551232
1959—April1415213191112411
      October14181014261249

The new table shown next 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
OrdinaryOvertimeOrdinary Time and Ordinary 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
April 195862.269.7101.770.137.72.539.1
October 195862.5610.4100.170.637.82.439.1
April 195963.1611.4102.971.837.72.539.1
October 195963.270.7103.672.937.82.339.0

The preceding table combines all industries. A dissection by industrial groups of the last line of that table - relating to October 1959 - 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—
  Forestry70.398.070.537.20.337.4
  Logging83.6116.787.638.74.443.0
  Coalmining106.81011.7107.134.62.336.9
  Other mining73.898.677.539.15.844.5
  Quarrying (n.e.i.)75.795.279.038.96.545.0
        Totals88.0108.389.736.82.839.5
Seasonal manufacturing—
  Meat processing, etc.80.9110.684.635.84.139.8
  Fruit and vegetable preserving64.084.065.337.12.139.0
  Dairy factories77.5107.081.039.37.246.2
        Totals79.6109.281.736.94.841.5
Food, drink, and tobacco (other than seasonal)—
  Grain milling71.1911.173.138.62.440.6
  Bread bakeries610.7108.673.337.54.439.0
  Biscuit making60.0102.465.237.04.440.4
  Cake and pastry making57.896.559.337.91.435.2
  Sugar and confectionery63.896.566.637.02.939.1
  Other food68.993.4610.537.42.539.2
  Beverages73.3108.976.938.63.641.8
  Tobacco manufacture60.887.463.036.42.839.2
        Totals66.8100.8610.037.63.239.3
Textiles, clothing, and leather—
  Tanneries76.8104.579.836.83.640.2
  Fur dressing and manufacture65.21211.365.437.10.135.1
  Leather goods60.889.661.937.01.437.1
  Knitted wear and hosiery65.398.866.736.81.437.6
  Flax, rope, and twine74.3811.975.138.01.439.2
  Woollen mills64.6710.866136.03.338.5
  Other textile production73.588.974.837.73.040.4
  Clothing manufacture55.0711.655.536.20.635.9
  Footwear manufacture64.987.965.936.81.437.8
  Footwear repair60.191.460.438.80.437.46
  Other textile articles60.8101.763.737.11.537.4
        Totals511.988.561.036.51.437.1
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.77.0113.0710.637.63.440.7
  Builders' woodwork70.597.373.338.33.841.8
  Furniture and cabinets68.4100.8610.738.42.439.9
  Other wood manufacture63.0910.365.238.32.139.5
  Structural clay products711.195.081.736.76.142.1
  Pottery and glass70.483.571.938.04.041.4
  Lime, cement, etc.75.4106.3710.138.05.643.1
        Totals73.1103.576.437.93.941.3
Engineering and metalworking—
  Engineering and machinery74.3102.277.638.14.241.8
  Electrical manufacture70.1100.671.938.42.039.9
  Ships, locomotives, etc.70.0910.673.437.74.141.7
  Vehicle and cycle manufacture78.5115.580.038.13.241.0
  Vehicle repair and aircraft69.0102.6610.538.61.539.3
        Totals71.2102.873.938.23040.7
Miscellaneous manufacturing—
  Chemicals and by-products77.01010.7710.137.63.240.1
  Rubber manufacture84.597.685.438.12.640.3
  Paper and paper products711.1112.883.737.74.942.3
  Printing, publishing, and allied73.31011.875.738.22.339.2
  Instruments, clocks, jewellery62.4103.363.638.61.038.5
  Other manufacturing (n.e.i.)65.9911.268.637.02.738.5
        Totals75.3109.678.137.92.939.9
        Totals, manufacturing industries70.0103.372.837.63.039.9
Power, water and sanitary service77.3110.9710.338.53.041.3
Building and construction70.0100.773.838.94.443.3
Transport and communication—
  Rail transport72.2117.179.238.15.844.0
  Road transport83.1102.383.138.64.642.2
  Water transport (not waterfront)82.8109.385.938.24.442.3
  Air transport93.9126.896.639.03.041.7
  Post and telegraph610.01110070.738.61.840.7
        Totals72.4111.976.838.43.942.0
Distribution and finance—
  Wholesale and retail trade69.1910.469.838.40.737.6
  Storage75.61010.577.038.61.539.5
  Finance82.71011.382.837.00.236.9
  Insurance79.5103.079.737.30.237.1
  Real estate710.795.0711038.10.736.6
        Totals611.7911.170.338.20.637.5
Wool and grain stores (seasonal)720101.773.538.01.739.5
        Totals (including wool and grain stores)611.8911.370.438.20.737.6
Domestic and personal services—
  Provision of lodging, food, etc.510.391.5511.337.31.134.1
  Portrait and photo studios61.01211.462.237.80.536.1
  Laundries, cleaning, etc.57.682.258.637.21.632.8
  Barbers, beauty shops, etc.42.365.042.438.90.237.9
  Recreation, sports, etc.75.4910.476.232.21.226.2
  Undertaking, etc.72.3104.073.738.41.538.4
        Totals60.591.461.536.31.132.3
Administration and professional—
  Hospitals57.279.158.638.72.339.2
  Medical and allied services64.1105.864.237.10.135.9
  Education and instruction83.8136.184.235.60.333.7
  Arts, sciences, and religion80.8117.281.137.60.336.9
  Government services (n.e.i.)81.8105.082.337.50.737.5
  Local authorities (n.e.i.)74.7103.476.538.92.239.9
  Miscellaneous services and agencies67.0910.567.336.90.235.9
        Totals72.791.073.337.31.136.8
        Grand totals, all industries (including seasonal)70.7103.672.937.82.339.0

SUMMARY OF INDEX NUMBERS.—The following table gives a summary for the years 1949–59 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
AdultsJuveniles
MalesFemalesCombinedMalesFemalesMales*Females
*Excluding the agricultural and pastoral group.
194968267468267268268510001000
195072972772973274872910001000
195182981782882185282810001000
195287185286986688086110001000
195392992492993293392710001000
195410001000100010001000100010001000
195510351039103610321039103710001000
195610551056105510511061106010001000
195711041106110510991118111110001000
195811161128112311341130112510001000
195911361146113711521151114810001000

Chapter 39. SECTION 39—EMPLOYMENT AND UNEMPLOYMENT

Table of Contents

PROMOTION OF EMPLOYMENT: National Employment Service.—As from 1 April 1946 a National Employment Service was established under the Employment Act 1945 with the principal function of promoting and maintaining full employment in New Zealand. 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 placed 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. 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 24 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 17 camps and hostels operated by or for the Department at 31 March 1959—comprising industrial workers' camps and hostels, immigration hostels, Public Service hostels, miners' hostels, and Maori youth hostels—provided accommodation for 2,108 workers.

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.

In the post-war years the labour situation was characterized by overfull employment and a high number of vacancies in industry. Over the last two years, however, the employment situation has not been quite so buoyant; the number of notified vacancies dropped to 5,300 in October 1959. During the winter months of 1959 there was insufficient work for seasonal workers during the off-season and it was necessary to accelerate scheduled Government works and to arrange limited subsidized employment with local authorities to provide work for men who could not be placed in normal avenues of employment. The peak figure for disengaged workers was reached in August 1959 (1,526 males and 130 females).

One employment promotion measure which has been in operation for some years is Scheme 13, under which 57 men were employed at 31 March 1960, compared with 52 on 31 March 1959. 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 authorities and their wages are subsidized to an extent which brings their earnings up to the award rate for the type of work performed.

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 1952 to 1959 were as follows.

Year Ended 31 DecemberNumber Placed by CentresNumber Self-placedTotals

*Number replaced in employment.

Provisional.

19521,5904362,026
19531,4095251,934
19541,2824031,685
19551,2035201,723
19561,2524991,751
19571,1714611,632
19581,478177*1,655
19591,372151*1,523

Apprenticeships.—The Apprentices Act 1948 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 policymaking Committees. There are 29 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 205. 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.

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. In some industries technical training is concentrated into an annual course of three or four weeks' duration. 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 (see Section 6—Education). 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. The Commissioner is also ex officio a member of the New Zealand Council for Technical Education (see p. 181).

The number of apprenticeship 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 1958 and 31 March 1959.

TradeApprenticeship Contracts
Registered During Year Ended 31 MarchCompleted During Year Ended 31 March*In Force at 31 March
195819591958195919581959
*Exclusive of lapses and cancellations.
Aircraft75421926175188
Baking47542430122130
Boilermaking68512217142159
Boot repairing212611115567
Bricklaying41432215160171
Carpentering1,3031,0908878874,8934,912
Clothing64472322184185
Coachbuilding3772751631559751,008
Coopering......11..
Dentistry114632424
Electrical3992992272341,2861,296
Engineering4164062482461,4081,495
Motor engineering1,1487885765633,6813,688
Footwear manufacturing69723238206209
Furniture283215185155912889
Gardening281815147874
Hairdressing44352120122125
Jewellery41301828145138
Lead burning111155
Masonry231135
Moulding519932433
Painting19715710785549567
Photo-engraving35341318106111
Piano repairing and tuning471 1013
Plastering81905054286300
Plumbing2992011681761,1881,150
Printing21621997102725806
Radio68521127191206
Refrigeration servicing33182220117109
Saddlery, leather, and canvas goods1512585346
Sheet-metal working59661823162189
Shipbuilding282219148696
Terazzo work....1..11
Timber industry1915 12337
Other46381411121138
        Totals5,5434,4493,0363,00918,21918,570

DISTRIBUTION OF LABOUR FORCE.—The table which follows shows the estimated distribution of the labour force (including Maoris), by broad industrial groups in April of each year from 1949 to 1959. The figures include estimates for industries (e.g., farming) and persons (in “one-man” businesses) not covered by the half-yearly surveys.

The figures have been adjusted into line with the 1956 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
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
1552134.8142.49.857.268.983.018.251.3565.610.0..575.6
1953134.3144.910.862.768.984.318.652.5577.011.1..588.1
1954133.9149.110.868.069.187.019.253.7590.810.90.1601.8
1955133.4151.911.072.269.089.019.153.9599.59.7..609.2
1956133.5154.111.174.470.991.319.156.1610.58.90.1619.5
1957134.0156.311.374.972.794.519.858.4621.99.20.4631.5
1958134.1160.911.477.674.396.620.261.2636.38.90.4645.6
1959133.8167.311.779.874.396.820.063.6647.38.71.1657.1
Females
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
195211.943.90.71.08.237.925.046.6175.20.8..176.0
195311.542.30.81.18.539.325.448.7177.61.0..178.6
195411.145.20.81.28.641.725.150.7184.40.8..185.2
195511.247.00.81.38.844.224.852.2190.30.8..191.1
195610.846.10.81.49.646.324.654.1193.70.7..194.4
195710.946.60.81.410.047.725.056.6199.00.7..199.7
195810.949.30.81.510.248.725.257.7204.30.6..204.9
195910.950.50.81.510.348.825.060.2208.00.60.1208.7
Totals
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
1952146.7186.310.558.277.1120.943.297.9740.810.8..751.6
1953145.8187.211.663.877.4123.644.0101.2754.612.1..766.7
1954145.0194.311.669.277.7128.744.3104.4775.211.70.1787.0
1955144.6198.911.873.577.8133.243.9106.1789.810.5..800.3
1956144.3200.211.975.880.5137.643.7110.2804.29.60.1813.9
1957144.9202.912.176.382.7142.244.8115.0820.99.90.4831.2
19581450210.212.279.184.5145.345.4118.9840.69.50.4850.5
1959144.7217.712.681.384.6145.645.0123.8855.39.31.2865.8

LABOUR FORCE PROJECTIONS.—Accompanying the expected future growth of New Zealand's population, as shown by the population projections set out on pages 39–41, will be a substantial rise in the size of the labour force. Projections of the labour force based on these population projections have been made by the Department of Statistics and are displayed in the next table. The projections cover the period 1961–80 and assume that 1956 census labour force participation rates, adjusted to April 1959, for each quinquennial age group in the three population categories, males, not-married females and married females, will continue. Reference should be made to the section on population projections for comment on the meaning and limitation of statistical projections.

Labour force projections for each year from 1961 to 1980 are set out in the following table.

(000)
YearProjected Labour Force Assuming Net Inward Migration of
5,000 per Annum10,000 per Annum
MalesFemalesTotalMalesFemalesTotal
1961679216895683216899
1962691221912697222919
1963703227930712228940
1964716232948727234961
1965729238967743240983
19667432439867592451,004
19677572481,0057752501,025
19687712531,0247912551,046
19697852571,0428072601,067
19707992621,0618242661,090
19718132661,0798412711,112
19728282701,0988582761,134
19738432741,1178762811,157
19748592781,1378942861,180
19758752821,1579122901,202
19768912861,1779302951,225
19779072901,1979483001,248
19789232941,2179673051,272
19799402981,2389873091,296
19809573031,2601,0073141,321

STATISTICS OF EMPLOYMENT.—Half-yearly Surveys: Commencing in 1946 the Department of Labour 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. The following tables, which are based on these surveys, have been extracted from the Labour and Employment Gazette, and show the figures for April of each year from 1949 to 1959 and for October 1959. 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 WorkersHalf-yearly Percentage Rate of Labour Turnover
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotalMalesFemales
          Per CentPer Cent
April—
  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
  1958436,062164,498600,56010,6695,28015,94912,39717,43729,8341832
  1959447,003167,802614,8058,4904,02612,51612,85518,40131,2561832
October—
  1959442,382167,466609,8487,5564,47712,03313,27119,45632,2271729

Employment in industry on 15 April of the years 1949–59, and on 15 October 1959, 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—
  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
  195810,754143,06111,41551,18854,84671,10411,66648,373402,407
  195910,617148,92311,72752,71854,75271,43611,47450,262411,909
October—
  195910,912142,05911,83,153,38254,80571,30911,39750,945406,640
Male Working Proprietors
April—
  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
  195844310,09386,4822,08410,6343,42049133,655
  195948310,26387,0492,26710,9723,51553735,094
October—
  195947110,498127,1852,26211,1813,56856535,742
Female Employees
April—
  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
  195829545,3758191,2579,23339,39014,25846,599157,226
  195928846,3378341,3109,27939,18214,02048,709159,959
October—
  195929145,8828281,2989,13838,79113,76049,448159,436
Female Working Proprietors
April—
  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
  195821,290....843,5932,1141897,272
  195921,369....993,9002,2642097,843
October—
  195991,3771..1014,0452,2752228,030
Part-time Employees—Males and Females Combined*
April—
  1957815,11110311,1526,0317,4166,73426,629
  1958825,346121..1,1606,6918,4577,97729,834
  1959815,484110..1,1617,1929,2008,02831,256
October—
  1959545,954129..1,1167,5799,1028,76432,727

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 Metal-workingMiscellaneous ManufacturingTotal Manufacturing Industry
Male Employees
April—
  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
  195823,1449,11112,10024,54653,70120,459143,061
  195925,4339,21012,65925,79254,44221,387148,923
October—
  195917,9289,13312,63225,80554,81721,744142,059
Seasonal ManufacturingFood, Drink, and Tobacco (Other Than Seasonal)Textiles, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and Metal-workingMiscellaneous ManufacturingTotal Manufacturing Industry
* Not included in any other figures in this table.
Male Working Proprietors
April—
  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
  1958991,0531,1782,0664,6531,04410,093
  1959951,0511,2002,0284,8631,02610,263
October—
  1959951,0541,2372,0674,9491,09610,498
Female Employees
April—
  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
  19582,1795,06424,0791,5315,4207,10245,375
  19592,1794,87924,4701,7085,5277,57446,337
October—
  19591,8775,05823,7301,7935,5467,87845,882
.ale Working Proprietors
April—
  1949104485512652771,164
  195054615281641761,127
  195144525331360671,129
  195244115351950681,087
  195344374982039601,058
  195474555562573761,192
  195584605433174881,204
  195674515552778921,210
  19579452552361241051,278
  19589451540371441091,290
  19595467556571771071,369
October—
  19595473549571841091,377
Part-time EmployeesMales and Females Combined*
April—
  19571719191,4394931,1029875,111
  19581469391,4405381,2491,0345,346
  19591609521,4475441,3191,0625,484
October—
  19591631,0171,5565981,3801,2405,954

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—
  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
  19581093,7552751,7532,3901,0811841,12210,669
  1959532,9551539572,2218241491,1788,490
  1959 (October)1012,3041501,2251,2249832311,3387,556
Females
April—
  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
  195852,37210 1818543711,4875,280
  195921,4045 1776952791,4644,026
  1959 (October)11,325411628054381,7414,477

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 Metal-workingMiscellaneous ManufacturingTotals, Manufacturing Industry*
* Excluding seasonal manufacturing.
April—
Males
  19493011,2961,0393,3349106,880
  19503861,3731,4324,2491,1093,549
  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
  19581293308222,1023723,755
  1959851994501,9252962,955
  1959 (October)741715151,2143302,304
April—
Females
  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
  19581161,881621211922,372
  19591021,045201041331,404
  1959 (October)61962211011801,325

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—
  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
  195862112,6112516,0572,60515,6044,6263,82246,197
  195963412,6562576,6092,68815,9504,7363,88447,414
  1959 (October)64412,7442646,5642,69116,2154,7923,96547,879
Seasonal ManufacturingFood, Drink and Tobacco (Other Than Seasonal)Textiles, Clothing and LeatherBuilding Materials and FurnishingsEngineering and Metal-workingMiscellaneous ManufacturingTotals, Manufacturing Industry
April—
  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
  19585181,2541,8612,5884,9731,41712,611
  19595041,2491,8502,5555,0981,40012,656
  1959 (October)5001,2491,8542,5455,1621,43412,744

The table now following shows the half-yearly survey totals of employment in industry, under a more detailed industrial classification, as at 15 April 1958 and 1959; employment by the General Government, by local authorities, and by private employers being distinguished at the same time in the 1959 figures.

IndustryNumber of Persons* in Industry at 15 April 1958Number of Persons* in Industry at 15 April 1959
 MalesFemales
MalesFemalesGovernmentLocal AuthoritiesPrivate*GovernmentLocal AuthoritiesPrivate*
* These figures of full-time employment only are inclusive of working proprietors.
Primary industry (other than farming, fishing, and hunting)—
  Forestry2,4461842,217..196173..4
  Logging2,74730180..2,5114..29
  Coalmining4,554503,371..1,12748..5
  Other mining1955....209....7
  Quarrying (n.e.i.)1,25528..1151,174..218
Seasonal manufacturing—
  Meat processing, etc.17,751759..24719,727..1757
  Fruit and vegetable preserving1,1581,026....1,221....1,029
  Dairy factories4,334403....4,333....397
Food, drink, and tobacco (other than seasonal)—
  Grain milling77779....781....77
  Bread bakeries2,148559....2,160....555
  Biscuit making680677....651....615
  Cake and pastry making1,0351,327....1,128....1,366
  Sugar and confectionery1,368973....1,346....990
  Other food1,021697....1,209....705
  Beverages2,61333615 2,4842..334
  Tobacco manufacture522867....487....702
Textiles, clothing, and leather—
  Tanneries1,196127....1,189....145
  Fur dressing and manufacture84123....83....111
  Leather goods493416....519....450
  Knitted wear and hosiery1,4472,860....1,607....3,124
  Flax, rope, and twine37756....391....52
  Woollen mills1,6541,323....1,873....1,499
  Other textile production923395....1,052....421
  Clothing manufacture3,46716,304....3,477....16,184
  Footwear manufacture2,5842,190....2,622....2,240
  Footwear repair29025....315....33
  Other textile articles763800....731....767
Building materials and furnishings—
  Sawmilling, plywoods, etc.9,137338546..8,98722..326
  Builders' woodwork4,314116..384,577....147
  Furniture and cabinets4,274383....4,244....382
  Other wood manufacture974177....999....193
  Brick, tile, and stoneware1,17234..141,167....34
  Pottery and glass1,526326....1,645....443
  Lime, cement, etc.5,215194....5,603....218
Engineering and metal-working—
  Engineering and machinery21,2662,120..222,351....2,209
  Electrical manufacture4,2031,244....4,468....1,305
  Ships, locomotives, etc.6,859585,830..98744..20
  Vehicle and cycle manufacture4,264373....3,748....339
  Vehicle repair and aircraft21,7621,769..1,12120,798..291,758
Miscellaneous manufacturing—
  Chemicals and by-products4,6041,515..34,711....1,614
  Rubber manufacture2,613657....2,619....647
  Paper and pulp products3,2581,045....3,522....1,065
  Printing, publishing, and allied8,4522,610586..8,178143..2,643
  Instruments, clocks, jewellery1,048414....1,027....445
  Other manufacturing (n.e.i.)1,528970....1,767....1,124
  Power, water, and sanitary services11,4238193,1247,5861,02517057985
  Building and construction57,6701,25712,2642,26745,23646070780
Transport and communication—
  Rail transport18,6011,16717,86413..1,1172..
  Road transport16,3941,0061,4701,87013,0395389849
  Water transport (not waterfront)4,7774571523,0541,676385375
  Air transport1,671377644..1,13370..352
  Post and telegraph15,4876,31016,104....6,383....
Distribution and finance—
  Wholesale and retail trade66,73035,7474822066,66021535,717
  Storage684105  731  105
  Finance7,1804,1581,213 6,055731 3,477
  Insurance3,4282,512632 3,004413 2,156
  Real estate1,179435  1,161  424
  Wool and grain stores (seasonal)2,53726  2,684  33
Domestic and personal services—
  Provision of lodging, food, etc.7,75910,5284017,599983110,236
  Portrait and photo studios503554....466....531
  Laundries, cleaning, etc.1,8522,508....1,932....2,516
  Barbers, beauty shops, etc.8181,367....847....1,518
  Recreation, sport, etc.3,7241,3759599311,82039555865
  Undertaking43040..168226..435
Administration and professional—
  Hospitals6,79618,0791,6905,0891511,65615,3622,134
  Medical and allied services5922,01977..5241,255..815
  Education and instruction13,80914,1621,73511,2401,5121,31511,6092,075
  Arts, sciences, and religion1,478503737..810192..346
  Government services (n.e.i.)13,4845,03213,985....5,090....
  Local authorities (n.e.i.)8,2421,025..8,553....1,063..
  Miscellaneous services and agencies4,4635,918221..4,475147..5,859
Totals436,062164,49885,70442,532318,76720,00528,986118,811
447,003167,802

NOTE.—The preceding table does not include Armed Forces personnel, numbering 9,500 in April 1958, and 9,300 in April 1959, or persons engaged in farming, fishing, hunting, waterfront work, one-man business units, etc., estimated to total 240,440 in April 1958 and 240,500 in April 1959.

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.

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 1958 to December 1959 (together with monthly averages for the calendar years 1949–59 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
* From and including May 1959 vacancies notified by the Railways Department were reduced following a reassessment of its staffing requirements.
Monthly Average For Calendar Years
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
19581,3722,4591,3315516048187,135
19599922,0688345403485185,300
Monthly Totals
1958—
  December1,2612,2721,2196705346506,606
1959—
  January1,3012,4121,2076705097006,799
  February1,3002,3711,2126484536866,670
  March1,2022,3711,1575674646716,432
  April1,2472,3941,0815774506036,352
  May*9631,8925624192844034,523
  June9241,8136134172824284,477
  July7311,9006144023393924,378
  August7361,7265793922864104,129
  September7801,8646964573054444,546
  October7791,8726915792514504,622
  November9562,0808006482565175,257
  December9912,1247937012945145,417

Placements.—An industrial analysis of placements by the Department of Labour during the years 1955 to 1959 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
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
19583,3523,9292,5662239071,9771,1591,44415,557
19593,9594,1253,2631871,0901,6351,3011,40416,964

A classification of these placements by district grouping is contained in the next table.

AucklandWellington and Lower HuttOther North IslandChrist-churchDunedinOther South IslandTotal
Annual Totals
19551,8122,3873,7321,4582,1993,90915,497
19561,6752,9793,3081,2801,9443,97415,160
19571,7203,8383,7781,3341,9843,76916,423
19581,8933,2653,8031,2591,7093,62815,557
19591,9852,7174,8982,2721,5093,58316,964

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 1958 to December 1959, together with monthly averages for the calendar years 1949–59 inclusive.

Vacancies at End of MonthPlacements During MonthDisengaged Persons at End of Month
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
* From and including May 1959 vacancies notified by the Railways Department were reduced following a reassessment of its staffing requirements.
Monthly Average For Calendar Years
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
19584,4072,7287,1358904061,29673352785
19593,0462,2545,3001,0253891,4141,096921,188
Monthly Totals
1958—
  Dec.3,9922,6146,60640120060166647713
1959—
  Jan.4,1122,6876,7991,0566591,71573373806
  Feb.4,1762,4946,6709849071,89166687753
  March4,0532,3796,4328535261,37973865803
  April3,9892,3636,3528314101,2411,101891,190
  May*2,2912,2324,5236862539391,4411001,541
  June2,3322,1454,4771,0132201,2331,3961231,519
  July2,2412,1374,3782,0393682,4071,5261301,656
  Aug.2,1292,0004,1291,3132131,5261,5151001,615
  Sept.2,4102,1364,5461,0382611,2991,310901,400
  Oct.2,5322,0904,6227642119751,060741,134
  Nov.3,0642,1935,2571,2253991,62485784941
  Dec.3,2232,1945,41749923673580389892

The number of disengaged persons enrolled for placement by the Department of Labour reached its lowest level (12) at the end of March 1951. The lowest figure recorded during 1959 was 753 in February of that year. Most of these disengaged persons have been in the unskilled and semi-skilled categories.

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 the Year-Book. The number in force at the end of March 1956 was only 5, but since then the number of benefits has increased, there being 403 in force at the end of March 1960.

Subject to the conditions set out on page 218, the unemployment benefit may be claimed as of right from the Social Security Fund, to which all workers contribute indirectly through PAYE taxation. 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.

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 and occupation, and show 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 2,16 in 1956. Maoris are included in all tables.

The next table shows the numbers and percentages 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
Percentages
Actively engaged58.4217.7738.1856.9717.9637.57
Not actively engaged41.5882.2361–8243.0382.0462.43
    Totals100.0010000100.00100.00100.00100.00

The percentage of actively engaged males to total male population 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.

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 increased by 76,356, or 10.31 per cent, between 1951 and 1956. In the wage or salary earner group the increase was 75,664, or 131 per cent.

Female wage or salary earners increased by 22,201, or 14.37 per cent; a substantial increase in the number of married females working boosted the increase in this particular group.

The number of males unemployed in 1951 was inflated owing to industrial disturbances at that time.

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 fishing122,7959,132131,92719.724.701615
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 services9,38873310,1211.510.381.24
Commerce96,20848,821145,02915.4525.1517.75
Transport, storage, and communication73,7559,80183,55611.845.0510.23
Services80,49279,424159,91612.9240.9219.58
Activities not adequately described3,2149654,1790.520.500.51
    Totals, actively engaged622,758194,094816,852100.00100.0010000
    Not actively engaged470,453886,7571,357,210......
    Grand totals1,093,2111,080,8512,174,062......

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 production116,7758,917125,692
  Forestry and logging3,3561783,534
  Hunting, trapping, and game propagation1,235151,250
  Fishing1,429221,451
Mining and quarrying
  Coal mining4,656714,727
  Metal mining2445249
  Crude petroleum and natural gas76278
  Stone quarrying, clay, and sand pits2,252332,285
  Non-metallic mining and quarrying not elsewhere classified44145
Manufacturing
  Food manufacturing industries, except beverage30,9305,79936,729
  Beverage industries2,5372862,823
  Tobacco manufactures5686931,261
  Manufacture of textiles4,3633,7738,136
  Manufacture of footwear, other wearing apparel, and made-up textile goods7,79419,32327,117
  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 steam8,0927178,809
  Water and sanitary services1,296161,312
Commerce
  Wholesale and retail trade83,23941,379124,618
  Banks and other financial institutions7,1434,32011,463
  Insurance4,4272,6997,126
  Real estate1,3994231,822
Transport, storage, and communication
  Transport59,3953,83763,232
  Storage and warehousing25216268
  Communication14,1085,94820,056
Services
  Government services25,0286,74931,777
  Community and business services36,42048,06284,492
  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, agricultural, 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, Government2,399512,450
  Proprietors, directors, and managers: Wholesale and retail trade15,8651,62817,493
  Proprietors, directors, and managers: Insurance, real estate, banks, and other financial institutions3,200303,230
  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.3,4961,1924,688
  Bookkeepers and cashiers1,5273,0184,545
  Typists, stenographers, and related workers20521,82022,025
  Ticket sellers and takers, office9741138
  Office clerks n.e.c.40,26126,29666,557
  Secretaries2,5371,3273,864
Sales workers
  Salesmen, shop assistants, and related workers: Wholesale and retail trade29,63224,84654,478
  Commercial travellers and manufacturers' agents7,1175587,675
  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.)11,67936212,041
  Other farm workers33,2923,44636,738
  Hunters and related workers1,086101,096
  Fishermen and related workers1,443101,453
  Forestry and related workers (including loggers)4,177214,198
Workers in mine, quarry, and related occupations
  Miners and related workers2,976 2,976
  Quarrymen816 816
  Mineral treaters (including mill men)5 5
  Well drillers and related workers232 232
  Labourers, mining, quarrying, and drilling1,059 1,059
  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 boatmen2,98532,988
  Stevedores, dock, and wharf labourers6,525 6,525
  Aeroplane pilots, flight engineers, and navigators6631664
  Drivers and firemen, railway engine2,024 2,024
  Brakemen and conductors, railway644 644
  Drivers n.e.c. and deliverymen29,83518030,015
  Other workers in transport occupations (including inspectors, stationmasters, foremen, conductors (excluding railway), dispatchers, signalmen, lighthouse keepers, lock keepers)5,0721525,224
  Telephone, telegraph, and related tele-communications operators2,4263,5545,980
  Postmen, messengers, and other workers in communication occupations1,7474822,229
Craftsmen, production process workers, and labourers
  Spinners, weavers, knitters, dyers, and related workers3,6473,1616,808
  Tailors, cutters, furriers, and related workers4,54418,09522,639
  Leather cutters, lasters, and sewers (except garment) and related workers3,2061,9545,160
  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 workers1,6301501,780
  Bakers, millers, brewmasters, and related food and beverage workers16,6242,85819,482
  Skilled and semi-skilled production process and related workers n.e.c.9,2662,62411,890
  Labourers n.e.c.49,1112,48651,597
Service workers and workers in entertainment, sport, and recreation
  Fire fighters, police, guards, and related workers3,432883,520
  Housekeepers, stewards, maids, cooks (domestic, restaurant, canteen), and related workers3,07818,16421,242
  Waiters, bartenders, and related workers3,8023,4847,286
  Building caretakers, cleaners, and related workers4,4961,8996,395
  Hairdressers, beauticians, and related workers1,3921,7793,171
  Launderers, dry-cleaners, and pressers1,1071,8973,004
  Other personal service workers2,1045,0797,183
  Actors, musicians, and related workers8389091,747
  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

EMPLOYMENT ON FARMS.—The omission of farm employment from the Department of Labour statistics shown on pages 1063–1068 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 1958 to April 1959. 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 and Grain StoresTotal, Seasonal Industry
1958     
April17,6781,1374,3292,53625,680
May17,9251,0504,0181,91924,912
June16,6911,0383,7731,60523,107
July13,4041,0483,8191,55319,824
August12,5751,0174,1951,75319,540
September12,1541,0304,6651,94919,798
October11,9561,0514,9162,46620,389
November14,6141,1165,0413,38024,151
December20,5881,8155,0633,62731,093
1959     
January21,1392,0654,9473,68931,840
February20,8861,7014,7163,27030,573
March20,4071,8564,5392,90829,710
April19,9001,2024,3312,68228,115

PUBLIC WORKS.—Figures are available which include not only the number of workers in the direct employ of the Ministry of Works and the New Zealand Electricity 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 1949 to 1959 and at quarterly intervals from December 1958 to December 1959. Departmental and contractors' workmen on Housing Division work are now included.

PERSONS ENGAGED ON PUBLIC WORKS (INCLUDING ELECTRICITY WORKS AND HOUSING)

Electricity WorksRoadsIrrigationLand Development, etc.
Electricity DepartmentMinistry of Works
Average for calendar year—
  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
  19582,7083,9534,917174363
  19592,8083,6445,025173393
Month—
  1958—December2,7113,9375,102151339
  1959—March2,7353,7905,058146365
      June2,8293,7464,732203373
      September2,8813,4705,206185476
      December2,8613,2065,107167379
Public BuildingsAerodromesRailwaysOther WorksTotal
Average for calendar year—
  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
  19584,0251661712,35418,831
  19594,6761561012,48419,460
Month—
  1958—December4,0521561262,18118,755
  1959—March4,5371921262,40319,352
      June4,941160712,43319,488
      September4,803145902,65719,913
      December4,796941052,70319,418

The figures shown in this table and also those in the table following 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 1954 to March 1959. Employees of Electric Power Boards and Fire Boards are included here but not those of Hospital Boards.

Month1954–551955–561956–571957–581958–59
April22,23522,19422,58123,41023,840
May22,26222,50723,05823,73724,079
June22,28322,44423,22523,73924,029
July22,44622,42323,33223,85224,071
August22,48422,65323,46824,02824,220
September22,40122,52323,36924,07624,184
October22,23222,36723,24724,01624,081
November22,21322,44223,26524,01124,040
December22,42822,75723,32924,12724,147
January22,29422,52623,06523,92424,003
February22,40222,54323,11724,02524,116
March22,15422,58723,08723,92624,083

WORKING LIFE EXPECTANCIES.—Precise statistics on the pattern of working life for New Zealand's population first became available with the compilation by the Department of Statistics in 1957 of Tables of Working Life based on the year 1951. These tables display the manner in which labour force rates of participation, entry, and withdrawal vary with age for both males and females. Also included are expectancies of future working life and retirement life for members of the labour force, assuming that 1951 experience continues. The main applications of these tables are to economic and social studies relating to large groups of people. Individuals frequently do not conform to group patterns and, therefore, applications of the expectancies and other statistics contained in the tables must be made with caution. An abridgement of the detailed tables is presented below. For an explanation of the contents of the Table of Working Life and a detailed analysis of the pattern of working life, male and female, in New Zealand, reference should be made to a Supplement to the February 1957 issue of the Monthly Abstract of Statistics.

ABRIDGED TABLES OF WORKING LIFE, 1951

Exact Age (Years)Percentage of Population in Labour ForceNumber in Labour Force, per 100,000 Live BirthsChanges in the Labour Force in the Following 5 Years of Age, per 100,000 Live BirthsExpectation of Work Life, of Person in Labour Force (Years)Expectation of Retirement Life of Person in Labour Force (Years)
Total EntriesTotal Withdrawals
Males
15....88,33155546.78.6
2092.787,7764,30491342.08.7
2597.391,16738286437.58.7
3097.690,6851871,00732.88.8
3597.789,865..1,33728.18.9
4097.588,528..1,80623.58.9
4597.186,722..3,63818.99.0
5095.783,084..8,38914.69.1
5590.374,695..12,30411.08.7
6081.662,391..26,0007.68.5
6553.836,391..16,0886.76.1
7036.420,303..11,7705.05.0
7520.58,533..5,9723.83.8
809.82,561..2,2812.43.1
852.2280..2771.32.6
900.13..30.71.9
Exact Age (Years)Percentage of Population in Labour ForceNumber in Labour Force, per 100,000 Live BirthsChanges in the Labour Force in the Following 5 Years of Age, per 100,000 Live BirthsExpectation of Work Life, of Person in Labour Force (Year)Expectation of Retirement Life of Person in Labour Force (Years)
Total Entries*Total Withdrawals

*Entries of females into the labour force below the horizontal line are secondary entries by those who withdrew at younger ages for reasons connected with marriage.

The working life expectancies for females allow for the possibility of a second spell of labour force membership after a period of non-membership due to marriage.

Difference between life expectancy and working life expectancy.

Females
15....81,8058,47316.242.7
2076.573,3321,12942,40712.441.8
2533.632,0541,13614,06416.732.7
3020.219,1264,0315,03020.324.4
3519.218,1274,2283,06219.920.1
4020.719,2933,0141,80317.517.9
4522.320,5041,2972,65113.617.2
5021.319,1507754,6769.916.6
5517.615,2493515,4497.215.2
6012.310,151..6,4144.613.8
654.93,737..2,5923.811.0
701.71,145..1,0142.58.9
750.2131..1311.17.4

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 1908 and the Industrial Conciliation and Arbitration Act 1954.

The Industrial Conciliation and Arbitration 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, and these are heavier where an affirmative decision on the issue has not been made by a pre-strike or pre-lockout secret ballot of members concerned.

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. The number of unions registered under the Trade Unions Act as at the end of 1958 was 2 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 two exceptions to these requirements—namely, an incorporated company if an employer of labour, which can be registered individually, 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.

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 1954–58 are shown in the following table according to industrial groups.

NUMBER OF UNIONS AND MEMBERSHIP AS AT 31 DECEMBER

Industrial Group19541955195619571958
UnionsMembersUnionsMembersUnionsMembersUnionsMembersUnionsMembers

*Including 1 union for which no membership figures were available.

Including 5 unions for which no membership figures were available.

Provision of—
  Food and drink604,482604,585594,698594,689604,731
  Clothing, footwear, and textiles113,328113,462113,462113,443113,459
  Building and construction513,912503,925504,043514,095514,039
  Power, heat, and light1173911728117091163511646
  Transport by water and air1411614108141111410514111
  Transport by land1145511457114431142111512
  Accommodation, meals, and personal service352,263342,263322,225332,350332,488
Working in or on—
  Wood, wicker, sea-grass, etc.95789486957595409527
  Metal1383513846138341281212829
  Stone, clay, glass, and chemicals101227692869986988700
  Paper, printing, etc.1939019398184041843018421
  Skins, leather, etc.629626627626626
  The land (farming pursuits)102,646102,602102,628102,628103,180
Miscellaneous84758387846884617465
          Totals268*20,37026320,965260*21,326261*21,333261*22,134

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 1958 figure of 22,134 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 1958. 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. The figure for December 1959 is 327,258.

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
1926− 99,567
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
1957317,115
1958324,406

The same information is now depicted graphically at yearly intervals from 1900 in the diagram below.

MEMBERSHIP OF INDUSTRIAL UNIOIN OF WORKERS

The next table shows both numbers of workers' unions and their membership as at the end of each of the five years 1954 to 1958 according to industrial groups.

NUMBER OF UNIONS AND MEMBERSHIP AS AT 31 DECEMBER

Industrial Group19541955195619571958
UnionsMembersUnionsMembersUnionsMembersUnionsMembersUnionsMembers
* The number of unions for which membership figures were not available in these years were: 1954, 1; 1955, 3; 1956, 5; 1957, 2; and 1958, 1.
Provision of—
  Food and drink7233,4877233,5157734,1957734,1587435,517
  Clothing, footwear, and textiles1721,1121721,2831720,6391820,5691721,879
  Building and construction3929,6153929,0763930,9153731,1773731,309
  Power, heat, and light57735732546857275735
  Transport by water and air4812,6314712,7914713,4204713,8154713,615
  Transport by land2335,0092234,3132134,3952137,1352138,267
  Accommodation, meals, and personal service2622,1282624,2002625,1282626,3462627,016
Working in or on—
  Wood, wicker, sea-grass, etc.1713,4931713,5991713,7231713,6701713,667
  Metal2633,0652535,1882534,2962536,0112536,291
  Stone, clay, glass, and chemicals203,172203,408203,132213,090203,242
  Paper, printing, etc.35,65335,95836,22036,30836,511
  Skin, leather, etc.71,40771,35771,26971,24871,321
  Mines and quarries161,698161,548161,578161,521151,701
  The land (farming pursuits)416,484416,412417,252417,315416,266
Miscellaneous9069,5159070,8978970,9898774,0258777,069
          Totals413*299,242410*304,277413*307,619411*317,115405*324,406

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.

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....1..307
19212397036282811321 418
193123958313029143..1..405
19411847038383227131052419
19511656944383928111173415
19551545749414431101293410
19561556445394429131293413
19571546643374628121393411
195815068383448261414103405
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
19557,0347,43011,37815,85632,40144,54123,93146,81360,12354,770304,277
19566,7758,80210,31415,16431,35440,01931,16747,02362,10154,900307,619
19576,6719,14210,40313,40134,91039,74430,17952,34863,03557,282317,115
19586,6459,7009,21312,81535,39635,80534,19355,98467,95456,701324,406
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
192111.59.99.411.319014.97.66.79.7..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
19552.42.43.75.210.714.67.915.419.718.0100.0
19562.22.93.44.910.213.010.115.320.217.8100.0
19572.12.93.34.211.012.59.516.519.918.1100.0
19582.13.02.84.010.911.010.517.320.917.5100.0

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 405 workers' unions registered in 1958 was 801.

INDUSTRIAL ASSOCIATIONS.—At 31 December 1958 there were 18 industrial associations of employers and 41 of workers, the former having 135 affiliated unions and the latter 225. 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
19571958195719581957195819571958
Provision of—
  Food, drink, etc.553737553026
  Clothing, footwear, and textiles........331211
  Building and construction333841332526
  Power, Heat, and light..........1..2
  Transport by water111010452531
  Transport by land1144111212
  Accommodation, meals, and personal service222120331818
Working in or on—
  Wood, wicker, seagrass, etc.11442277
  Metal........431210
  Stone, clay, glass, chemicals, etc.1133331010
  Paper, printing, etc.221111........
  Skins, leather, etc.11331144
  Mines and quarries........2255
  The land (farming pursuits)11221133
Miscellaneous........885960
          Totals18181331354041222225

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

LEGISLATION

General.—New Zealand's first legislation in industrial relations was the Industrial Conciliation and Arbitration Act of 1894. This Act was almost revolutionary in its conception and aroused worldwide interest in its provisions for the compulsory reference of industrial disputes to arbitration. The Act was designed to promote the formation and registration of both employers' and workers' unions and provide regulation of conditions of employment by industrial agreements. It aimed at prevention of industrial disturbances by providing that disputes be referred to Boards of Conciliation. In the event of disagreement, either party could request that the dispute be referred to the Court of Arbitration. Findings of the Court were to be recorded in an award enforceable at law. It is of interest to note that the system has survived, despite the crises of depression and war and has remained one against which, over a period of more than 60 years, no serious criticism on grounds of efficiency has been voiced.

The Industrial Conciliation and Arbitration Act 1954 is the present statute governing most industrial disputes. The Act applies only where the workers in any industry have registered as an industrial union. Thereupon the union and the employers in the industry and locality may enter into an industrial agreement fixing the minimum wages and other conditions of employment. In lieu of such agreement either side may bring a dispute before a Council of Conciliation with subsequent recourse to the Court of Arbitration for an award. Both industrial agreements and awards are enforceable in the Courts by parties thereto or by officers of the Department of Labour.

The term “dispute” is used in its widest sense and is intended to refer to the whole field of wage fixation and conditions of employment, as well as to the settlement of strikes and lockouts. New Zealand's approach to this problem is different from that adopted in most other countries in that it has preferred to follow a system of conciliation and compulsory arbitration, rather than to adopt the more normal system of collective bargaining with the unrestricted right to “strike” or “lockout”. It is, however, incorrect to say that unions in New Zealand must submit to compulsory arbitration. It is entirely in their own hands to decide whether they wish to follow that method or to remain outside the scope of the Act, and to settle their disputes by collective bargaining under the procedure laid down in the Labour Disputes Investigation Act 1913.

The principle which has been written into the Act is that if unions elect to register under the Act they forfeit the right to strike and elect to have their differences settled by conciliation and arbitration. Most unions have seen fit to register under the Act and thereby have forfeited their right to strike.

All industrial disputes must be referred to a Council of Conciliation before reference to the the Court of Arbitration. The Conciliation Council consists of a Conciliation Commissioner, who is Chairman, and not more than four assessors from each side. In the case of a dispute extending over two or more industrial districts, up to seven assessors from each side may be appointed. The proceedings are quite informal. It is the duty of the Council to endeavour to bring about a settlement of the dispute between the parties. (The Conciliation Commissioner has no vote.)

If a settlement of a dispute is brought about by the Council, the terms of settlement are reduced to writing, and when signed, the document operates as if it were an industrial agreement signed by all the parties to the dispute; but any party to the dispute may apply to the Court of Arbitration for exemption. In most cases the parties prefer an award and it is usual for the parties to apply to the Court to have the terms of settlement embodied in an award. This may be done by the Court without a hearing. If the Council cannot bring about a settlement the dispute is automatically referred to the Court for settlement.

Industrial Conciliation and Arbitration Act.—The administration of the Industrial Conciliation and Arbitration Act is in the hands of the Department of Labour. The Registrar of Industrial Unions is responsible for registration of industrial unions, recording of rules and other administrative functions. 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.

In 1951 provision was made in any award or industrial agreement to the effect that any party to a dispute on a matter arising out of the award or agreement but not specifically dealt with therein may require the appointment of a Local Disputes Committee, which will have power to decide the dispute or to refer it to a Conciliation Commissioner. The latter in his discretion can refer the dispute either to a National Disputes Committee, which may be appointed where any award relates to two or more industrial districts or parts thereof, or to the Court of Arbitration. Appeals against the decisions of the Disputes Committees may be made to the Court of Arbitration.

Where a majority of the workers affected by any industrial dispute under the principal Act are Hospital Board employees, the Director-General of Health is to be a party to the dispute and is to recommend assessors for the employers in the conciliation proceedings. Other sections provide that an award is not to be made affecting Hospital employees now affected by regulations unless a majority votes in favour of an award, and for the concurrence of the Minister of Health with industrial agreements in similar circumstances.

Definitions of the terms strike and lockout are given in the Act (which apply also for the purposes of the Labour Disputes Investigation Act 1913). A strike means the act of any number of workers, who are or have been in the employment of the same or of different employers—

  1. In discontinuing that employment, whether wholly or partially; or

  2. In breaking their contracts of service; or

  3. In refusing or failing after any such discontinuance to resume or return to their employment; or

  4. In refusing or failing to accept engagement for any work in which they are usually employed; or

  5. In reducing their normal output or their normal rate of work—the act being due to any combination, agreement, common understanding, or concerted action, whether express or implied, made or entered into by any workers—

  6. With intent to compel or induce any such employer to agree to terms of employment or comply with any demands made by the said or any other workers; or

  7. With intent to cause loss or inconvenience to any such employer in the conduct of his business; or

  8. With intent to incite, aid, abet, instigate, or procure any other strike; or

  9. With intent to assist workers in the employment of any other employer to compel or induce that employer to agree to terms of employment or comply with any demands upon him by any workers.

A lockout means the act of an employer—

  1. In closing his place of business, or suspending or discontinuing his business in any branch thereof; or

  2. In discontinuing the employment of any workers, whether wholly or partially; or

  3. In breaking his contracts of service; or

  4. In refusing or failing to engage workers for any work for which he usually employs workers—with intent—

  5. To compel or induce any workers to agree to terms of employment or comply with any demands made upon them by the said or any other employer; or

  6. To cause loss or inconvenience to the workers employed by him or to any of them; or

  7. To incite, aid, abet, instigate, or procure any other lockout; or

  8. To assist any other employer to compel or induce any workers to agree to terms of employment or comply with any demands made by him.

An industrial dispute is a strike if it comes within the definition of a strike which is quoted above. It is in addition an unlawful strike if either—

  1. The union or the workers taking part in it are for the time being bound by an award or industrial agreement under the Industrial Conciliation and Arbitration Act 1954, or by a duly filed agreement under the Labour Disputes Investigation Act 1913, or by any Principal Order under the Waterfront Industry Act 1953; or

  2. The workers taking part in it are employed in any of the industries specified in section 196 of the Industrial Conciliation and Arbitration Act 1954, and the strike takes place without those workers having given to the employer, within one month before striking, not less than fourteen days' notice in writing signed by them of their intention to strike or before the expiry of any such notice; or

  3. In the case of a dispute relating to conditions of employment between a society of workers to which the Labour Disputes Investigation Act 1913 applies, but who are not bound by any duly filed agreement under the Act, they have failed to give notice of the dispute to the Minister of Labour as required by section 4 of that Act, or if the strike occurs before the expiration of seven days after the publication of the result of a secret ballot of the workers directly concerned taken in pursuance of the Act.

Further, a strike which would not be unlawful for any of these reasons may be or become unlawful by the operation of regulations to that effect made under the Public Safety Conservation Act 1932, during a state of emergency declared by proclamation of the Governor-General in accordance with the provisions of that Act.

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 cays' 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.

STATISTICS

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 1089–90 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.

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 1921–59.

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 1921–59 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
195849..498313,70918,78864,232
195973..7311918,76229,651107,461

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 1955–59 being 51 (60 stop-work meetings), involving 22,796 workers, and the loss of 11,010 working days and of £40,517 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 1955 these cases comprised 25 out of 65 stoppages; in 1956, 17 out of 50; in 1957, 18 out of 51; in 1958, 19 out of 49; and in 1959, 29 out of 73.

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 water siders'' 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.

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. In 1958 the building and construction industry accounted for almost 45 per cent of the working days lost, the majority of the remaining time lost being due to strikes in the meat-freezing, coal-mining, and waterfront industries. During 1959 the meat-freezing industry was responsible for more than 43 per cent of the working days lost the coal mining, building and construction, and paper and pulp industries accounted for the major part of the remaining time lost.

NATURE AND DURATION.—The next table shows the nature of the disputes and the number of workers involved during the years 1949–59.

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.
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
195849......4913,709......13,709
1959712....7316,1762,586....18,762

The table following illustrates the duration of disputes during 1959.

DurationNumber of DisputesNumber of of Firms AffectedNumber of Workers InvolvedNumber of Working Days LostEstimated Loss in Wages
     £
1 day and less344910,6758,52130,127
Over 1 day but not over 2 days6202,7762,98211,636
Over 2 days but not over 3 days10222,9354,61616,280
Over 3 days but less than 1 week13181,2704,80313,415
1 week but less than 2 weeks881,0237,28330,637
2 weeks but less than 4 weeks22831,4465,366
4 weeks but less than 8 weeks.......... 
8 weeks and over.......... 
        Totals7311918,76229,651107,461 

GEOGRAPHICAL DISTRIBUTION.—The following table shows the number of disputes in each industrial district for the years 1955–59 and also the number of workers involved. In 1959 the Northern District had the greatest number of strikes and Canterbury District the greatest number of workers involved. The meat, brewing, building and construction, and waterfront industries accounted for all the workers involved in the Canterbury District disputes for 1959.

YearNorthernTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago and SouthlandTotal
Number of Disputes
19553025....173865
195619..4....714650
195733..5....52651
195826..8..282349
19593118....1514473
Number of Workers Involved
195510,5751321,142....3,8681,4663,04120,224
19562,529..1,773....1,4664,7753,03613,579
195710,319..726....3,15061673415,545
195810,133..613..6311,17583532213,709
19595,6915291,6,13....3,4266,93856518,762

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 Group19551956195719581959Totals, 1955–59
Number of Disputes
Provision of—
  Food, drink, etc.101714152985
  Clothing, footwear, and textiles........11
  Building and construction24622181484
  Power, heat, and light1......12
  Transport by water and air5443521
  Transport by land211....4
  Accommodation, meals, and personal service............
Working in or on—
  Wood, etc...1....12
  Metal21..148
  Stone, clay, glass, chemicals, etc.281....11
  Paper, printing, etc...322310
  Skins, leather, etc.............
  Mines and quarries—
    Coal mines1875101555
Miscellaneous122....5
          Totals6550514973288
Number of Workers Involved
Provision of—
  Food, drink, etc.1,9075,4342,1221 2,9848,89721,344
  Clothing, footwear, and textiles........299299
  Building and construction6,0921,5514,2384,2501,16917,300
  Power, heat, and light19......4059
  Transport by water and air4,1732,4384,9033,7574,04019,311
  Transport by land1,47810320....1,601
  Accommodation, meals, and personal service............
Working in or on—
  Wood, etc...150....17167
  Metal70137..62165434
  Stone, clay, glass, chemicals, etc.6691,31772....2,058
  Paper, printing, etc...9384308507092,927
  Skins, leather, etc.............
  Mines and quarries—
    Coal mines4,9961,4663,1501,8063,42614,844
Miscellaneous82045610....1,475
          Totals20,22413,57915,54513,70918,76281,819

A more detailed analysis of disputes occurring during 1959 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.29346,4762,4218,89712,98444,056
  Clothing, footwear, and textiles11299..2992991,116
  Building and construction14141,169..1,1693,95214,310
  Power, heat, and light1140..4060162
  Transport by water and air5414,040..4,0404,00118,775
  Transport by land..............
  Accommodation, meals, and personal service..............
Working in or on—
  Wood, etc.1117..17102350
  Metal44165..1658983,689
  Stone, clay, glass, chemicals, etc...............
  Paper, printing, etc.37655547092,9596,844
  Skins, leather, etc...............
  Mines and quarries—
    Coal mines15163,426 3,4264,39618,159
Miscellaneous..............
          Totals7311916,2872,47518,76229,651107,461

CAUSES.—In the next table the causes of disputes which occurred during the years 1955–59 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.

Cause19551956195719581959
Number of Disputes
Wages1119141725
Hours11..1..
Employment2117201631
Other working conditions15512107
Sympathy2......2
Other causes158558
          Totals6550514973
Number of Workers Involved
Wages2,9906,8823,9202,8336,875
Hours860135..194..
Employment7,6422,5185,4534,2185,549
Other working conditions2,5739643,6485,6222,636
Sympathy123......2,586
Other causes6,0363,0802,5248421,116
          Totals20,22413,57915,54513,70918,762

A further analysis by causes for the year 1959 will be found on page 1099.

METHODS OF SETTLEMENT.—Following is a table showing the methods of settlement of disputes during the years 1955–59. “Negotiations under Act” covers negotiations under the Industrial Relations Act only. Negotiations supposedly under the Industrial Conciliation and Arbitration Act and the Labour Disputes Investigation Act were prior to 1952 included under this heading 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 Settlement19551956195719581959
Number of Disputes
Negotiations under Act..........
Private negotiations between parties2624181527
Intervention of third party99151117
Substitution..........
Voluntary return to work2517181929
Other5....4..
          Totals6550514973
Number of Workers Involved
Negotiations under Act..........
Private negotiations between parties7,2336,5803,7574,7224,829
Intervention of third party2,4941,1202,1152,1963,100
Substitution..........
Voluntary return to work9,5095,8799,6735,80610,833
Other988....985..
          Totals20,22413,57915,54513,70918,762

Further information for the year 1959 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 parties27354,82913,69644,567
Intervention of third party17173,1005,38818,688
Substitution..........
Voluntary return to work296710,83310,56744,206
Other.......... 
          Totals7311918,76229,651107,461 

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

Result19551956195719581959
Number of Disputes
In favour of workers131114611
In favour of employers896510
Compromise14851017
Indeterminate3022262835
          Totals6550514973
Number of Workers Involved
In favour of workers2,7571,4652,4341,497874
In favour of employers1,1681,5299764761,964
Compromise3,8452,9304063,8072,507
Indeterminate12,4547,65511,7297,92913,417
          Totals20,22413,57915,54513,70918,762
Number of Working Days Lost
In favour of workers9,5122,99210,1022,961827
In favour of employers7138,4014,0621,7283,121
Compromise31,0495,4001,1445,1098,993
Indeterminate10,7697,07712,8788,99016,710
          Totals52,04323,87028,18618,78829,651

Of disputes ending definitely in favour of one party or the other during the five years 1955–59, workers succeeded in 55 instances and employers in 38. In the previous five years (1950–54) workers were successful in 57 instances and employers in 20.

CAUSES AND RESULTS.—In the following table the causes and results of disputes occurring during 1959 are shown in conjunction.

ResultCause
WagesHoursEmploymentOther Working ConditionsSympathyOtherTotal
Number of Disputes
In favour of workers1..9....111
In favour of employers5..2....310
Compromise8..9......17
Indeterminate11..1172435
          Totals25..3172873
Number of Firms Affected
In favour of workers1..11....113
In favour of employers5..2....613
Compromise8..9......17
Indeterminate47..1384476
          Totals61..358411119
Number of Workers Involved
In favour of workers46..813....15874
In favour of employers1,224..103....6371,964
Compromise777..1,730......2,507
Indeterminate4,828..2,9032,6362,58646413,417
          Totals6,875..5,5492,6362,5861,11618,762
Number of Days Lost
In favour of workers138..688....1827
In favour of employers1,615..208....1,2983,121
Compromise3,154..5,839......8,993
Indeterminate7,416..4,2402,5662,02146716,710
          Totals12,323..10,9752,5662,0211,76629,651
Estimated Loss in Wages
 £££££££
In favour of workers138..3,084....63,228
In favour of employers4,734..693....2,3387,765
Compromise14,796..22,512.... 37,308
Indeterminate26,877..17,8016,3796,1181,98559,160
          Totals46,545..44,0906,3796,1184,329107,461

Chapter 42. SECTION 42—WORKERS' COMPENSATION; INDUSTRIAL ACCIDENTS; OCCUPATIONAL SAFETY

42 A—WORKERS' COMPENSATION

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, or 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, 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, 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.

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, 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 was 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. 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. 2. In the case of injury:

  1. During total incapacity, weekly payments equal to 80 per cent of the worker's weekly earnings (maximum £10 per week, minimum £2 10s.):

  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 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 dependent 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 for in-patient treatment in any hospital and £50 for other treatment;

  2. In respect of each occasion of attendance other than for in-patient treatment, 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 Accidents Compensation Act 1952. The provisions were substantially repeated in the 1956 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 Accidents 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 Accidents 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 Amendment Act 1956 workers' compensation is given equal priority with wages in bankruptcy and the winding up of a company.

42 B—INDUSTRIAL ACCIDENTS

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 statistics in this sub-section, which relates in particular to the years 1954–58, were all compiled by the Department of Statistics.

Before 1949 statistics were compiled from accident notifications made to the Department of Labour and supplemented by subsequent inquiry as to the final result of the accident.

Under the 1947 and 1950 amendments to the Workers' Compensation Act, there was introduced on 1 April 1949 and terminated on 31 March 1951 a State monopoly of workers' compensation insurance, and during this time, by arrangement with the State Fire and Accident Insurance Office, statistics were compiled from claims for compensation. It was found that reporting of accidents was far from being complete under the notifications system, for there was an apparent—but unreal—rise in accidents from 15,721 in 1948 to 30,075 in 1949. Thus the statistics from 1949 are not comparable with those for earlier years.

In 1951, on the termination of the monopoly, the Workers' Compensation Board came into being, and its assistance has enabled a continuation of the statistics on the basis of compensation claims, these being notified to the Department of Statistics by all authorised insurers. Coverage was, moreover, improved, with the addition of reports of accidents in marine and waterfront work (for which the statistics for 1950 are not claimed to be complete), some local authorities, and a few businesses for which exemption has been authorised from the normal liability to insure.

A further increase in coverage (amounting to about 1,400 accidents in the first year) was caused by the repeal, effective from 1 December 1951, of the former provision that no compensation was payable for less than three days' absence from work. Since that date the statistics have included all accidents resulting in fatality, permanent disability, or absence from work beyond the day (or shift) in which the accident occurred.

Before 1956 the only Government Departments reporting accidents were the Ministry of Works, New Zealand Electricity Department, New Zealand Forest Service, New Zealand Government Railways Department, Post Office, Mines Department, and the Government Printing and Stationery Department, plus one or two other Departments which in a very few cases had taken outside insurance cover. From the beginning of 1956 all accidents in Government Departments became notifiable resulting in an increase of about 400 reported accidents in that year.

The only limitation in the statistics now is that, because they are derived from claims made under the Workers' Compensation Act, they exclude accidents to working proprietors and similar persons not insurable under the Act. This limits the scope of the statistics in the farming industry especially.

Doubt has been expressed from time to time that all claims are being reported by insurers and self-insurers. Lengthy and careful investigations, however, have established no way in which a real discrepancy could occur, but a number of ways in which an illusory one might; and indeed there is positive proof of a tendency on the part of insurers to over-report. It will be seen from the later tables that accidents showed a startling increase in 1958 over 1957. A full discussion of the probable reasons for this increase will be found in the Report on the Industrial Accidents Statistics of New Zealand for 1958, but one of these is especially relevant to the matter of coverage Whereas accidents entailing temporary absences over one week increased by 10 per cent, those of between three and seven days increased by 19 per cent, and those of under three days by 42 per cent. This suggests strongly, in the light of the economic state of New Zealand in 1958, that accidents in the past have been under-claimed for, rather than claims under-reported. Ensuring that a compensation claim is lodged for every accident is of course a matter quite out of the hands of the Department of Statistics and insurance companies.

Claims resulting from the more serious accidents are frequently not settled for some considerable time after the occurrence of the accident, and a period is therefore allowed so that the bulk of such claims may be included in the statistics for the year in which the accidents occurred. The 1952 statistics covered claims notified to the Department up to November 1953, but from 1953 the closing date has been standardised at mid-August of the following year. Thus the 1952 statistics, especially for the more serious accidents, are not altogether comparable with other years. Even allowing this period of seven and a half months, it is inevitable that any year's statistics will include a small proportion of long-delayed claims from previous years. (In the 1958 statistics there were 2,188 such claims out of a total of 51,945.) But with the standardising of the closing date at mid-August, the effect of these late claims should be compensatory from year to year.

PRINCIPAL STATISTICS, 1954–58.—The following table gives a summary of the principal statistics for the past five years. The concepts and calculation of frequency and severity rates and of calendar days lost are explained in a succeeding note, and changes in compensation rates are set out in a subsequent table.

19541955195619571958
* Calculated on a different basis from 1956; see explanation following.
Number of accidents resulting in—
  Fatality6263978692
  Permanent total disability465810
  Permanent partial disability957976944813969
  Temporary disability39,55840,99342,58444,58350,874
        Totals40,58142,03843,63045,49051,945
Compensation paid (incl. damages)—
  Total £1,880,8821,974,2812,342,6232,422,2882,947,405
    Average per accident £46.347.053.753.256.7
Calendar days lost—
  Temporary disability only811,756831,693909,879921,226975,440
    Average per accident2120212119
  Total, on constant basis*2,909,3373,021,6633,234,5842,918,5463,377,730
    Average per accident (time charge)7272746465
  Total, on actual basis*2,621,8042,693,7323,238,5972,896,9073,315,020
    Average per accident6564746464
Frequency and severity rates—
  Frequency rate3.133.153.333.433.86
  Physical injury severity rate*1,3801,3941,5381,3581,559
  Economic loss severity rate*1,2431,2421,5471,3611,543

FREQUENCY AND SEVERITY RATES AND CALENDAR DAYS LOST.—Frequency rates are calculated according to the formula: Accidents per 100,000 man-hours worked. For severity rates the formula is: Man-hours lost through accidents per 100,000 man-hours worked.

The man-hours lost are derived from the calendar days lost. In the computation of the latter, an important point arises. Where an accident causes a fatality or permanent disability, the assessment of time lost may, or may not, take into account the variations (caused by the differences in the ages of the workers injured) 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 physical injury severity rate in the foregoing table 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.

Before 1956 this allowance was 9,545 calendar days, but the production of the New Zealand Tables of Working Life 1951 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' actual ages, is however not without interest. This rate, called the economic loss severity rate, is also shown above; further details will be found in the Report on the Industrial Accidents Statistics of New Zealand for 1958.

If the average severity of the individual accidents is required, it can be found by dividing the calendar days lost by the number of accidents. This rate, called the time charge, and calculated without reference to age, is also shown in the preceding table.

The frequency rate, obviously, measures the relative frequency of accidents within industries or groups of industries. The time charge measures the average severity of the individual accidents. The severity rate measures the relative total severities of all accidents occurring within the industries or groups. Though each of these measures is distinct and has its own appropriate application, the three are inter-related, for it will be found that the physical injury severity rate is the product of the frequency rate and the time charge in terms of man-hours.

COMPENSATION RATES.—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
19 November 19592,7403,130None10002100

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. More detailed information will be found in Section 42A.

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.

INDUSTRY OF WORKER.—In the table following, industrial accidents during the year 1958 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 years before 1956 these figures were calculated without reference to the age of the worker, so that the figure for calendar days lost in the following table are not comparable with those in issues of the Year-Book before 1958. (In other tables in this section the Time Charge and Physical Injury Severity Rate are calculated without reference to the age of the worker, as explained under the earlier heading “Frequency and Severity Rates and Calendar Days Lost”.)

Industrial GroupTotal AccidentsCalendar Days LostTotal Compensation (Including Damages)
TotalAverageTotalAverage
    ££
Agriculture, forestry, hunting, and fishing—
  Agriculture and livestock production4,171528,075127280,34167.2
  Forestry and logging1,193159,661134104,03087.2
  Hunting, trapping, and game propagation8027,4113437,39992.5
  Fishing6912,7181843,85155.8
Mining and quarrying—
  Coal mining2,278109,20648144,65463.5
  Metal mining151,0006752134.7
  Crude petroleum and natural gas61412422537.5
  Stone quarrying, clay and sand pits31738,67012243,458137.1
  Non-metallic mining and quarrying915,8191,7585,135570.6
Manufacturing—
  Food7,570242,86332299,17439.5
  Beverages34534,56010034,09898.8
  Tobacco532,534482,95955.8
  Textiles48121,9374622,84147.5
  Footwear, other wearing apparel, and made-up textile goods49512,9402613,23726.7
  Wood and cork (excluding furniture)2,329191,60882139,48959.9
  Furniture and fixtures36228,7127917,30547.8
  Paper and paper products60140,6026839,51465.7
  Printing, publishing, and allied industries29620,9397122,90177.4
  Leather and leather products (except footwear)1753,653215,81133.2
  Rubber products2679,8853711,62843.6
  Chemicals and chemical products61425,0154136,99360.2
  Products of petroleum and coal408,8132206,760169.0
  Non-metallic mineral products1,13850,6374454,89348.2
  Metal products (except machinery and transport equipment)1,05265,2356251,34148.8
  Machinery (except electrical machinery) and general engineering2,125110,0345295,40444.9
  Electrical machinery, apparatus, appliances, and supplies31411,7033713,04341.5
  Transport equipment2,12896,6534577,26936.3
  Miscellaneous industries1565,557366,44641.3
Construction8,864599,57268554,59762.6
Electricity, gas, water, and sanitary services—
  Electricity, gas, and steam1,028105,371103116,564113.4
  Water and sanitary services2495,7292310,58642.5
Commerce—
  Wholesale and retail trade3,529201,66357186,47352.8
  Banks and other financial institutions2515,8046323,903156.1
  Insurance20874441,00050.0
  Real estate238195527.5
Transport, storage, and communication—
  Transport6,138351,50557377,12661.4
  Storage and warehousing1786,453367,95444.7
  Communication88514,1001621,13423.9
Services—
  Government18623,83212811,71163.0
  Community and business98248,7555046,04546.9
  Recreation26319,7137517,95368.3
  Personal90344,3564950,62056.1
Ill-defined and not specified146744896468.9
          Totals51,9453,315,020642,947,40556.7

The numbers of accidents and the severity rates (hours lost per 100,000 man-hours worked) for the industrial groups together with the labour force and frequency ratio (accidents per 100,000 man-hours worked) for the groups are shown in the following diagrams.

INDUSTRIAL ACCIDENTS

The same industrial groups are used in the following table, which gives the resulting disability and time charge and which covers the five years 1954–58.

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 production74..47216,88617,436113
  Forestry and logging3421215,5975,754111
  Hunting, trapping, and game propagation2..10303315172
  Fishing216302311143
Mining and quarrying—
  Coal mining14..15111,14511,31057
  Metal mining1..794102196
  Crude petroleum and natural gas1....2425392
  Stone quarrying, clay and sand pits111421,3701,424170
  Non-metallic..124144325
Manufacturing—
  Food11243230,93431,37937
  Beverages41361,3451,38681
  Tobacco, cigars, and cigarettes....626126743
  Textiles..1781,8471,92674
  Footwear, other wearing apparel, and made-up textile goods  361,9201,95637
  Wood and cork10138010,50210,89381
  Furniture and fixtures....981,4611,55988
  Paper and paper products1..692,3402,41059
  Printing, publishing, etc.2..591,1361,19792
  Leather and leather products....1960662558
  Rubber products11281,1221,15271
  Chemicals and chemical products11612,9733,03657
  Products of petroleum and coal..18213222139
  Non-metallic mineral products7..934,6984,79865
  Metal products4..1384,0774,21963
  Machinery, founding and general engineering4..1888,6388,83046
  Electrical machinery, appliances, and supplies....351,2741,30959
  Transport equipment521658,5448,71651
  Miscellaneous  2052054062
Construction71588235,30836,26674
Electricity, gas, water, and sanitary services—
  Electricity, gas, and steam204754,1504,249104
  Water and sanitary services3 111,1851,19959
Commerce—
  Wholesale and retail trade24130914,01014,34467
  Financial2....6163307
  Insurance....25557103
  Real estate....1232494
Transport, storage, and communication—
  Transport71338329,54330,00062
  Storage and warehousing....1085186131
  Communication6..84,0834,09731
Services—
  Government3..873774870
  Community and business61693,7123,78873
  Recreational1..3191995190
  Personal4..1103,7583,87275
Ill-defined or not stated......242433
          Totals400334,659218,592223,68468

CAUSE OF ACCIDENT AND RESULTING DISABILITY.—The following table relates cause of accident and degree of resulting disability for the five-year period 1954–58.

CauseFatalityPermanent Disability*Temporary DisabilityTotalPercentage of Total Accidents
* Including permanent total disability cases as follows: 1954, 4; 1955, 6; 1956, 5; 1957, 8; 1958, 10; total, 33.
Machinery912,14037,25239,48317.7
Vehicle12520511,48011,8105.3
Electricity, explosion, flames, hot substance40795,3835,5022.5
Poison, corrosive substance11101,8621,8830.8
Fall of person4649327,23227,77112.4
Stepping on or striking against fixed or stationary object45810,10310,1654.5
Moving object (not being handled by person injured)381377,5167,6913.4
Fall of earth16611,3331,4100.6
Handling of object775668,14068,90330.8
Hand tools255835,58136,14116.2
Miscellaneous2019512,71012,9255.8
          Totals4004,692218,592223,684100.0

Further information on resulting disability, by industrial groups, will be found in the table on pages 1115–1116.

AGE OF WORKER.—The following table supplies a percentage distribution of accidents, recorded during each of the years 1954 to 1958, according to age group of the person injured.

Age (Completed Years)19541955195619571958
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 163050.83250.83510.83470.83580.7
16–204,66311.54,93111.75,30812.25,75112.67,27714.0
21–245,01512.44,93311.75,11911.75,00311.06,06011.7
25–3410,68626.310,87125.911,16225.611,57425.412,60724.3
35–447,95619.68,30619.78,66519.98,94519.79,68418.6
45–546,45415.96,62515.86,75915.57,10615.67,66214.7
55–642,7936.93,0547.33,3257.63,4007.53,6187.0
65 and over6291.57441.86501.56731.57261.4
Not stated2,0805.12,2495.32,2915.22,6915.93,9537.6
    Totals40,581100.042,038100.043,630100.045,490100.051,945100.0

NATURE OF INJURY.—A classification of accidents according to injury sustained gives the following results for the years 1954 to 1958.

Injury19541955195619571958Total, 1954–58
Bruises, contusions, and abrasions7,3447,8588,0987,9925,86337,155
Burns1,6871,5171,5371,7242,1548,619
Concussions1912462892743081,308
Lacerations, punctures, and open wounds11,92312,10112,23713,23314,02463,518
Ruptures3973553803534211,906
Amputations (traumatic)3693833462671471,512
Dislocations2432492282402251,185
Fractures3,9954,2574,3114,3764,68521,624
Sprains and strains12,03112,23213,33313,99515,55967,150
Occupational dermatitis5466135214955632,738
Other and ill-defined1,8552,2272,3502,5417,99616,969
          Totals40,58142,03843,63045,49051,945223,684
Cases where septic poisoning occurred—
  Number5,0635,5295,6457,0548,88932,180
  Percentage of all accidents12.513.212.915.517.114.4

Of the septic cases shown for 1958 in the preceding table, 30.2 per cent occurred in the handling of objects (including pricks and scratches by bones and thorns in slaughtering and packing operations), and 23.7 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 1954–58.

Part of Body Injured19541955195619571958Total, 1954–58
NumberPer Cent
Head6558127767298023,7741.7
Eye and orbit1,6821,8341,8421,9712,5919,9204.4
Rest of face6446206676506103,1911.4
Neck, back, and chest6,0916,5596,9887,5908,60735,83516.0
Abdomen and contents5114615334789262,9091.3
Upper limb—
  Collarbone and shoulder1,3241,4251,3551,3971,4416,9423.1
  Arm2,4692,4322,5352,6172,68212,7355.7
  Hand and wrist14,33614,10214,36115,09818,05275,94934.0
Lower limb—
  Hip, thigh, and leg5,2055,4245,7035,7575,77927,86812.5
  Ankle and foot5,0505,4865,6986,0037,16329,40013.1
  Other, multiple, ill-defined, not applicable2,6142,8833,1723,2003,29215,1616.8
          Totals40,58142,03843,63045,49051,945223,684100.0

DURATION OF INCAPACITY.—A summary of the duration of incapacity and the number of cases of fatality, permanent total disability, and permanent partial disability is given below for the years 1955 to 1958, together with the totals for the five-year period. This table explains the comment earlier in this sub-section that the inordinate increase in accidents in 1958 occurred mainly in those where the duration of incapacity was shortest.

Duration1955195619571958Total, 1954–58
NumberPer CentNumberPer CentNumberPer CentNumberPer CentNumberPer Cent
1 or 2 days1,8734.41,8444.21,9564.32,7865.310,1954.6
Over 2 days to 1 week11,00826.211,30725.912,34127.114,66128.259,59926.6
Over 1 week to 2 weeks11,88528.312,50628.713,04128.715,05629.064,29228.7
Over 2 weeks to 4 weeks8,95821.39,20621.19,48720.910,23119.746,49720.8
Over 4 weeks to 6 weeks3,1797.63,3697.73,3387.33,5146.816,4997.4
Over 6 weeks to 13 weeks3,1037.43,1477.23,2187.13,4486.615,9327.1
Over 13 weeks9872.31,2052.81,2022.61,1782.35,5782.5
Number of accidents resulting in—
  Temporary disability40,99397.542,58497.644,58398.050,87497.9218,59297.7
  Fatality630.2970.2860.2920.24000.2
  Permanent total disability6 5 8 10 33 
  Permanent partial disability9762.39442.28131.89691.94,6592.1
        Totals42,038100.043,630100.045,490100.051,945100.0223,684100.0

ACCIDENTS PRODUCING DELAYED ACTION.—As the following table shows, in about one-third of all accidents there is a time lag between the accident and the time the worker ceases work.

Complications of InjuryDelayed ActionNo Delayed ActionTotal
One Week or LessOver one Week and up to two WeeksOver two Weeks
Sepsis1,1697623436,4008,674
Surgical amputation5....231236
Sepsis and surgical amputation10551232
Toss of function (excluding amputation)54826469557
Sepsis, both organs of a pair699699183
Loss of function (excluding amputation), both organs of a pair......1010
No complications, both organs of a pair8333452541
No complications, other13,88964585626,32241,712
        Totals15,2791,4321,23933,99551,945

Many employees suffering from minor injuries such as scratches and slight cuts, strains, and abrasions evidently fail to have them properly attended to. The result is often septic poisoning or more severe disablement, coupled with an enforced absence that is longer than would have been had the injury received immediate attention. Worse, permanent disability may be the result: 113 such cases are recorded in the above table.

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. The Department of Health is also associated with other industrial health centres in Auckland, Wellington, Lyttelton, Christchurch, and Dunedin.

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, 1954–58
19541955195619571958MachineryFalls of PersonsHandling ObjectsHand ToolsOtherTotal, 1954–58
8 a.m.1,4511,5161,6401,8902,1181,4801,4322,4691,1842,0508,615
9 a.m.3,5683,6063,8504,1334,7983,6902,3366,7203,5383,67119,955
10 a.m.5,1675,1875,4805,5496,3814,7973,2059,1344,9515,67727,764
11 a.m.5,6185,6415,8806,0746,8025,2213,36710,1105,4125,90530,015
12 noon2,7112,7992,9403,0813,6262,8282,0274,3032,7513,24815,157
1 p.m.1,4861,5241,6161,7152,0931,7621,1342,1191,3332,0868,434
2 p.m.4,2314,3364,3854,6895,4214,4502,6077,1594,1974,64923,062
3 p.m.4,4944,7854,8734,8535,6204,5363,1257,8354,4114,71824,625
4 p.m.4,1854,2834,2254,4515,0664,3413,0396,9233,6574,25022,210
5 p.m.2,0462,1892,2432,3672,6131,9471,7933,1841,7062,82811,458
Other hours2,9283,1543,4993,5873,9172,9852,9294,6111,4565,10417,085
Not stated1,7491,8382,0142,0712,3991,3727733,6721,4922,76210,071
Not applicable9471,1809851,0301,091744664534,4385,233
    Totals40,58142,03843,63045,49051,94539,48327,77168,90336,14151,386223,684

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, 1954–58
19541955195619571958MachineryFalls of PersonsHandling ObjectsHand ToolsOtherTotal, 1954–58
Under 12,1682,1902,3812,5882,9642,2522,0653,5521,7242,69812,291
1 and under 24,3644,4094,5924,9435,6224,4872,7537,9044,0684,71823,930
2 and under 35,0025,0815,2675,4906,2624,8053,1858,6834,6295,80027,102
3 and under 45,6405,6475,8895,9766,6945,3093,4309,6905,4096,00829,846
4 and under 53,0913,2823,3863,5664,2353,3032,4004,9533,0703,83417,560
5 and under 63,6793,6593,7203,9224,5693,7432,2195,8223,5374,22819,549
6 and under 74,6064,7604,7974,9165,7704,5073,1407,8374,3285,03724,849
7 and under 83,9574,0994,1894,3414,7384,1202,8756,6083,5334,18821,324
8 or over3,2063,6203,6003,5384,0813,2362,7935,2572,4394,32018,045
Not stated3,9214,1114,8245,1805,9193,6472,9077,9333,3516,11723,955
Not applicable9471,1809851,0301,091744664534,4385,233
    Totals40,58142,03843,63045,49051,94539,48327,77168,90336,14151,386223,684

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 7.9 per cent of all accidents in 1958.

DAY OF THE WEEK.—In 1958, for the first time, a table was prepared correlating the causes of accidents with the days of the week on which they occurred. Friday was shown to have significantly fewer accidents than the other days of the normal working week in all cause groups except two, in which the number of accidents was too small to have great significance. Accidents from Monday to Thursday showed a sharply decreasing trend, with three notable exceptions: in accidents caused by hand tools the trend, though downward, was only mildly so; in machinery accidents there was scarcely any difference among the four days; and in accidents caused by electricity, explosions, flames, and hot substances the trend was, surprisingly, an upward one.

As information becomes available for later years the trends shown by the 1958 figures will be either confirmed or modified. The following table shows the number of accidents by day of the week and by cause for 1958.

CauseSundayMondayTuesdayWednesdayThursdayFridaySaturdayNot Stated or not ApplicableTotal
Machinery1541,6771,6661,6831,6601,410502318,783
Vehicle4647646841737634612092,258
Electricity, explosion, flames, hot substance7221021625025321011011,322
Poison, corrosive substance884866377722536451
Fall of person2021,4471,2781,1771,2141,028459256,830
Stepping on or striking against fixed or stationary object41496467430471412145172,479
Moving object (not being handled by person injured)353873783752902878731,842
Fall of earth 58596246486..279
Handling of object3203,2852,9992,8512,8272,54980624715,884
Hand tool1541,7861,7141,7021,6731,415385678,896
Miscellaneous883763433373173131749732,921
    Totals1,12010,2829,6749,3479,2048,0902,8191,40951,945
    Percentage of all accidents2.219.818.618.017.715.65.42.7100.0

OCCUPATION OF WORKER.—The following table gives the occupations of workers injured for 1958, by the resulting disability, with the 1957 totals for comparison.

Occupation Group19581957 Total
FatalityPermanent Total DisabilityPermanent Partial DisabilityTemporary DisabilityTotal
Professional, technical, and related workers....5368373359
Managers, administrators, clerical and related workers2..14381397344
Sales workers5..241,1011,130901
Farmers, fishermen, hunters, forestry and related workers—
  Farm labourers and unspecialised workers62742,8512,9332,447
  Forestry and related workers71261,1531,1871,114
  Other9..341,3971,4401,334
Workers in mine, quarry, and related occupations—
  Miners and related workers3..141,3971,4141,394
  Other..2129689821,031
Workers in transport and communication occupations—
  Stevedores, dock and wharf labourers2..301,7881,8202,105
  Drivers (not railway) and deliverymen7..392,6052,6512,382
  Other11..71,3701,3881,403
Craftsmen, production process workers, and labourers—
  Carpenters, joiners, cabinetmakers, coopers, and related workers411996,1486,3525,584
  Toolmakers, machinists, plumbers, welders, platers and related workers6..1025,4965,6044,711
  Electricians and related electric and electronics workers32181,3621,3851,250
  Bakers, millers, brewmasters, and related food and beverage workers12655,9025,9704,815
  Miscellaneous labourers14..1518,2838,4486,986
  Other9..1096,2336,3515,493
Service workers and workers in entertainment, sport, and recreation3..462,0552,1041,827
Occupations unidentifiable or not reported......161610
          Totals921096950,87451,94545,490

42 C—OCCUPATIONAL SAFETY

The legislation on occupational safety is principally contained in the following statutes (and the regulations made under them):

The Factories Act 1946, sections 41 to 79; the Machinery Act 1950; the Bush Workers Act 1945; the Construction Act 1959; the Shops and Offices Act 1955, First Schedule; the Workers' Compensation Act 1956; the Coal Mines Act 1925; the Mining Act 1926; the Explosives Act 1957; the Dangerous Goods Act 1957; the Boilers, Lifts, and Cranes Act 1950; the Shipping and Seamen Act 1952; the Quarries Act 1944; the Health Act 1956 so far as it relates to occupational health (see Section 5A).

Government Departments and other organizations concerned with the administration of the Acts, or who have responsibilities for occupational accident prevention, have the scope of their work summarized in the following pages, and legislative requirements are also covered.

Department of Labour.—This Department has the largest overall responsibility for the prevention of accidents in industry. The two principal statutes it administers are the Factories Act 1946, of which a large section is concerned with safety, health, and welfare in factories, and the Machinery Act 1950, which is concerned with the inspection of all machinery (with some exceptions covered by other legislation) in workplaces and the safety of persons working with such machinery. The Department also administers regulations under these Acts, and other statutes dealing with specific spheres of occupational accident prevention—the Bush Workers Act 1945, the Construction Act 1959, and the Shops and Offices Act 1955. It also has administrative responsibility for the Workers' Compensation Act 1956. In addition, the Department supervises more than 600 awards and industrial agreements, many of which include specific safety, health, and welfare provisions relating to particular occupations and processes.

The administration of this safety legislation is based primarily on regular inspection of workplaces and requisitioning for improvements, together with investigation of reported breaches of legislation by employers and workers and investigation of serious and fatal accidents in industries coming within the scope of the legislation. Special attention is given to dangerous machinery. The Department employs some 110 Inspectors of Factories (including 6 who specialize in bush undertakings), together with 20 Safety Inspectors appointed under the Construction Act 1959, all of whom are qualified by special examination. Their work is substantially preventive.

The Department of Labour also engages in a large amount of occupational safety education. It collaborates with the Department of Education and with teacher training colleges and technical schools in the instruction of technical teachers in occupational safety and in the safety training of apprentices and senior school pupils. Further, it issues monthly occupational safety posters to industry and publishes a range of safety booklets, pamphlets, warning notices, and other printed publicity. Its library of occupational safety films, which is widely used by industry, Government Departments, trade unions, industrial organizations, etc., is believed to be the largest specialized film library of its kind in the world. The Department produces industrial safety displays and exhibits, and has its own specially fitted exhibition van by means of which the displays are taken on tour regularly through selected areas of the country and the exhibits used in the education and instruction of apprentices, school children, workers, employers, and the general public. The Department also publishes the Labour and Employment Gazette, a quarterly industrial periodical which includes a substantial amount of material relating to occupational safety.

The Department co-operates with all other bodies working in this and related fields and seeks specialist advice from time to time from such other Departments as Health, Marine, Forestry, Mines, Railways, Works, Electricity, Agriculture, and Scientific and Industrial Research, and collaborates with them in matters of mutual concern.

A Joint Committee on Occupational Health and Safety Education of the Departments of Labour and Health ensures that the educational work of these Departments in this field is co-ordinated and wherever responsibility is shared that it is undertaken jointly. The National Safety Association of New Zealand (Inc.) is also associated with this Committee for the purpose of mutual sharing of information.

Safety of Machinery.—The Machinery Act 1950 provides for the inspection of machinery by inspectors of the Department of Labour. The use of faulty, defective, and insufficiently guarded machinery may be prohibited as unsafe, and requisitions served on the owner to make a machine safe for use in a specified time. Inspectors of factories, safety inspectors appointed under the Construction Act 1959, and inspectors under the Bush Workers Act 1945 have all the powers of an inspector under the Act, and inspectors of mines have powers of inspectors of machinery in respect of machinery in mines.

Where a person is killed or suffers serious bodily injury as the result of an accident caused by machinery the owner or person in charge of the machinery must inform an inspector within 48 hours, and the cause of the accident is investigated.

The Machinery Amendment Act 1956 placed on the manufacturer the responsibility to design and build machines incorporating guards which securely encase all dangerous parts. Sellers, agents, and persons who let on hire commit an offence against the Act if they sell or let on hire any machine which is not properly guarded. This has overcome complaints previously made by owners of machines when requested to guard dangerous parts—namely, that the machine had been recently purchased and that guards should have been provided with the machine.

The number of requisitions for machine guarding complied with during the latest five years ended 31 March, including figures for other statutes as well as the Machinery Act, were as follows: 1954–55, 2,298; 1955–56, 3,046; 1956–57, 4,076; 1957–58, 21,895; and 1958–59, 19,389.

The Workers' Compensation Act 1956 provides that whenever any accident happens which causes personal injury to or the death of any worker, the employer shall report the matter to his insurer. The report has to be in the form prescribed by the Employers' Liability Insurance Regulations 1957.

Likewise any accident must be reported to an Inspector of Factories.

Under the Factories Act 1946 the occupier of a factory is required to keep a register in the prescribed form with details of all accidents which occur in the factory and of which he has knowledge. An Inspector of Factories must also be given notice of accidents in a factory causing death or injury which is likely to incapacitate the sufferer for work for at least 48 hours.

Under the Machinery Act 1950 the person in charge of machinery must also maintain a register of accidents in the prescribed form and notify an Inspector of Machinery where a person is killed or suffers severe bodily injury.

Department of Health.—This Department has general responsibility under the Health Act 1956 and regulations made under that Act for occupational health as one sphere of public health, and, in addition, section 78 of the Factories Act 1946 gives to Medical Officers of Health and Inspectors of Health the same powers and responsibilities as Inspectors of Factories with regard to the health and welfare provisions of the Act. There is no distinct dividing line between occupational safety and occupational health, and therefore the responsibilities of the Departments of Labour and Health at some points tend to overlap. There is therefore the closest collaboration between the two Departments at Head Office administrative level and also between Medical Officers of Health and Inspectors of Factories at local district level. For this reason, certain regulations are issued jointly under both the Health Act and Factories Act. (See also the section on “Occupational Health” on pages 142–3).

Marine Department.—This Department has overall responsibility for the safety of persons working on the waterfront, for physical conditions on ships affecting the safety of ships' crews, and for the Boilers, Lifts, and Cranes Act 1950.

Safety of Ships.—A substantial portion of the Shipping and Seamen Act 1952 is concerned with the safety of ships and those who sail in them. This Act contains the necessary authority for implementing the provisions of the International Convention for the Safety of Life at Sea 1948 and the International Load Line Convention 1930, to both of which New Zealand is a signatory. Both Conventions deal principally with ships engaged on international voyages, but the Shipping and Seamen Act 1952 also contains provisions concerning the safety of all other ships plying in and about New Zealand coastal waters.

With the exception of fishing boats not exceeding 15 tons register, pleasure yachts not exceeding 50 tons register, missionary ships, and certain small vessels engaged in carrying agricultural or pastoral produce, the hull, machinery, and equipment of every New Zealand ship are required to be surveyed once in every 12 months by a Surveyor of Ships of the Marine Department. If in the opinion of the Surveyor the hull, machinery, and equipment of the ship are up to the standards of seaworthiness and efficiency required by the Marine Department, a certificate of survey is issued which is valid for a period not exceeding one year and which sets out the limits in which the vessel may ply, the number of passengers and/or crew she may carry, and the life- saving appliances to be carried. Under certain circumstances this certificate may be extended for a further period not exceeding three months.

Rules and regulations have been made under the authority of the Shipping and Seamen Act prescribing the scales of life-saving and fire appliances to be carried on the various classes of ships, the radio installations required, the number and type of compasses and their adjustment by competent persons, the standards of crew accommodation, and, in the case of passenger ships, standards of watertight subdivision, fire protection, electrical and machinery installations, pumping arrangements, etc. The following rules and regulations are all concerned with the safety of life at sea: Shipping (Dangerous Goods) Rules 1953; Shipping (Grain) Rules 1953; Load Line Rules 1953; Shipping (Closing of Openings in Hulls and Watertight Bulkheads) Rules 1954; Shipping Construction Rules 1954; Shipping Direction Finders Rules 1954; Shipping Life-saving Appliances Rules 1954; Shipping Musters Rules 1954; Shipping Navigational Warning Rules 1954; Shipping (Pilot Ladders) Rules 1954; Shipping Radio Rules 1954; Shipping Signals of Distress Rules 1954; Shipping Fire Appliances Rules 1958; Shipping Ballast Regulations 1937; Ships Compasses Regulations 1947; Deck Cargo Regulations 1950; Transport of Radioactive Substances Regulations 1951; Shipping (Accepted Safety Convention Certificates) Regulations 1953; Collision Regulations Order 1953; Timber Cargo Regulations 1953; Shipping (Crew Accommodation) Regulations 1954; Shipping (Certificates of Competency as A.B.) Regulations 1954; Load Line (Particulars of Depth of Loading) Regulations 1954.

Provision is also made in the Shipping and Seamen Act 1952 to ensure the competence of ships' masters, deck and engineer officers, and able-bodied seamen.

In the event of a shipping casualty involving material damage to a vessel through stranding, collision, fire, etc., or where any loss of life occurs, there is power under the Shipping and Seamen Act 1952 to hold a preliminary inquiry into the circumstances of the casualty. If this inquiry indicates the necessity for it, the Minister of Marine may order a formal investigation to be held by a Magistrate assisted by technical assessors. The function of the Court is to determine the facts concerning the casualty, to apportion blame if necessary, and to make recommendations as to any action which might reduce the likelihood of a recurrence of the casualty. Much of the existing legislation concerning the safety of life at sea has been the direct result of lessons learned from past casualties both in New Zealand and overseas.

Port Safety.—The General Harbour Regulations and General Harbour (Safe Working Load) Regulations administered by the Marine Department are designed to promote the safety of life and limb in the waterfront industry. It is an obligation placed on employers of port workers to report accidents occurring in New Zealand ports on official forms to the Marine Department.

All cargo gear used in working cargo must comply with the requirements of the General Harbour (Safe Working Loads) Regulations. Articles of cargo gear are tested and inspected by officers of the Marine Department before being put into use, and certificates of test and examination are issued in respect of them. Samples of wire and fibre ropes used for working cargoes are tested to destruction, and the respective breaking strengths must not be less than specified in departmental tables. Gear is afterwards inspected annually by officers of the Department, or in the case of repaired gear, is tested and inspected after repair.

Accidents to port workers as reported to the Marine Department for the year ended 31 December 1959 are classified hereunder:

Number of Workers InjuredNumber of Accidents Sustained by Each WorkerTotal Accidents
Cargo Workers
 1,86311,863
 2932586
 603180
 17468
 5525
Totals2,238 2,722
Harbour Board Employees. Tradesmen, Ship-Repairers, etc.
 4351435
 602120
 15345
Totals510 600
Grand totals2,748 3,322

Boilers, Lifts, and Cranes.—The Boilers, Lifts, and Cranes Act 1950 is 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. Nothing in the Act applies to any machinery driven by manual or animal power, or to any machinery the motive power of which does not exceed one horsepower.

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. The Department publishes three books of rules on pressure vessels, boilers, and cranes.

Particulars of inspections of boilers and machinery by the Marine Department during the year ended 31 December 1958 were as follows.

Boiler inspections—Number
      Fired boilers4,675
      Pressure vessels18,928
      Hydraulic tests1,294
             Total24,897
Machinery inspections—
      Lifts3,936
      Cranes1,787
      Winding engines18
             Total5,741
             Grand total30,638

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.

£
1954–551955–561956–571957–581958–59
Revenue—
  Inspection fees, etc.25,94832,23434,61734,85942,079
  Examination fees, etc.420521539539485
          Totals26,36832,75535,15635,39842,564
Expenditure45,54850,18452,19355,18257,537

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 in 1958 was 390: of this number 290 were successful and 100 failed in their examination.

Mines Department.—This Department is responsible for the safety of persons working in mines (both underground and opencast) and in quarries.

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 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. Ail accidents in mines rendering a workman unfit for work are now notifiable under the 1953 amendment.

A levy at the rate of 9d. a ton on coal other than lignite and 7½d. 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, covers the cost of running and equipping mine rescue stations, and provides amenities in coal-mining districts, while moneys may be expended from the fund for research and otherwise generally for the benefit of the industry. The Coal Mining Districts Welfare and Research Council directs the expenditure.

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.

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.

The Coal Mines Amendment Act 1959 makes provision for additional safety measures. It enables the Inspector of Coal Mines as well as the manager to search for matches, etc. An obligation is placed on the manager to carry out regular inspections of the surface above the mine workings where pillar extraction is in progress or where surface conditions indicate a danger to persons working underground. It also gives legislative authority to the Coal Mines Council originally established under the Coal Mines Council Emergency Regulations 1940 for the purpose of settling industrial disputes.

Quarries Act.—The Quarries Act 1944, as amended in 1951 and 1954, 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.

Revised Quarries Regulations containing many new regulations and amendments to previous regulations were promulgated on 21 January 1959. These are framed to ensure proper standards of safety to all engaged in quarrying operations.

New Zealand Electricity Department.—In addition to its major role of supplying bulk power, the New Zealand Electricity Department, amongst other things, administers the Electricity Act 1945, the Electrical Supply Regulations, the Electrical Wiring Regulations, and the Electricians Act 1952.

The Electrical Supply Regulations set out minimum requirements for the construction and maintenance of lines and equipment used for the generation and distribution of electricity. These regulations also state conditions in regard to the characteristics of the supply to electricity consumers. The Department provides inspecting services in the interests of safety to life and property.

The Electrical Wiring Regulations set out minimum requirements for electrical installations, apparatus, and appliances used on consumers' premises. It is the responsibility of Electrical Supply Authorities to inspect such installations to see that they comply with the Wiring Regulations which are designed to promote safety to life and property.

The Electricians Act, through a Board set up under that Act, provides that electrical work be performed by registered persons, for the registration of Electrical Inspectors, and for legal proceedings to be taken where necessary. The aim of the Act is to promote safety to life and property.

The Department is also actively engaged in promoting electrical safety through such bodies as the National Safety Association and committees of the New Zealand Standards Institute.

Air Department, Civil Aviation Administration.—The Administration is responsible for providing for the safety of aircraft crews, including crews of commercial freight-carrying aircraft and aerial top-dressing crews. The rapid increase in the aerial application of chemicals for the control of pests and eradication of noxious weeds has resulted in the Civil Administration running courses to enable pilots to obtain a chemical rating to allow them to apply chemicals from the air without having to obtain a permit for every operation.

Department of Internal Affairs.—The Department of Internal Affairs, through its Explosives Branch, administers legislation which has as its purpose the protection of life and property from the hazards associated with the handling, storage, transport, and use of explosives, dangerous goods and cinematograph film.

Explosives.—The empowering legislation is the Explosives Act 1957 as amended by the Explosives Amendment Act 1958. The regulations in force are the Explosives Regulations 1959, and the Explosives Authorisation Order 1959 lists the explosives which may be imported into or manufactured in New Zealand. The explosives legislation is concerned solely with explosives proper. such as blasting powder, gelignite, and detonators which are used in blasting operations, explosive compositions used in ammunition, signals or fireworks, and also ammunition, signals, and fireworks in their final manufactured form.

The main matters covered by the explosives legislation are (a) the authorization and classification of explosives; (b) the licensing and control of importations, manufacture, conveyance (by air, sea or land), storage, and sale of explosives; and (c) the promulgation of rules for the handling and use of explosives.

The regulations provide for the approval of the design, construction, and isolation of storage magazines and explosives factory buildings. In the case of factories, approval is also required of the manufacturing processes used in the production of explosives, and a general set of rules governing the safety of employees engaged in the industry are laid down in these regulations.

The legislation also deals with the conditions under which explosives may be transported and the type of vehicle which may be used for that purpose.

Dangerous Goods.—The relevant legislation is the Dangerous Goods Act 1957 and the Dangerous Goods Regulations 1958. Substances controlled under the heading of dangerous goods embrace a wide range of inflammable materials, such as, petrol, kerosene, fuel oil, calcium carbide, white phosphorous, ammonium nitrate, the chlorates of sodium, potassium and calcium, compressed gases, and liquefied petroleum gas. While the Chief Inspector of Explosives has the overall responsibility for administration of this legislation, provision is made in the Act for the appointment of local bodies to act as local licensing authorities responsible for the issue of licences and the carrying out of regular inspections within their own districts. Over 160 local authorities, including all cities, almost all boroughs, a number of town boards and a few counties, have been appointed as local licensing authorities under this provision.

As the regulations pertaining to dangerous goods are very comprehensive, a summary only of the more important requirements is given here. These are:

  1. Premises for the storage of dangerous goods must be licensed.

  2. Work rooms where dangerous goods are used industrially must be approved as to their construction and general lay-out.

  3. The design and construction of tank wagons, aircraft-refuelling units, and other vehicles used for the conveyance of dangerous goods must be approved.

  4. Types of containers, such as tins and drums for packing of dangerous goods, must be approved.

  5. Vehicles and containers used for carrying or holding dangerous goods must be properly labelled.

  6. Fuel oil burners must be approved as to type and the installation of fuel oil consuming systems must also be approved.

  7. Cylinders for holding compressed gases must be to an approved specification and the arrangements for filling and storage of the cylinders must also be subject to approval.

  8. The installation of stationary petrol-driven internal combustion engines must be approved.

  9. The repair and disposal of tanks and other containers which have held dangerous goods are controlled.

  10. Adequate fire extinguishing equipment must be provided in any place where dangerous goods are stored, handled, or used.

For the purpose of effective enforcement, Inspectors appointed under the Act are given the power to enter and inspect premises where dangerous goods are stored under licence or where there is reason to believe that dangerous goods may be present; to seize goods or containers where such action is considered necessary; to take samples of dangerous goods for the purpose of testing, and to investigate the circumstances of any accident with dangerous goods.

Cinematograph Films—The Cinematograph Films Act 1928 and its associated regulations include provisions governing the storage, handling, and projection of cinematograph films and the licensing of theatres and other buildings in which cinematograph film is projected and of cinematograph-film projectionists. Control is exercised through a licensing system. Premises in which cinematograph film is stored or screened must be licensed and must comply with certain requirements as to construction, ventilation, and means of egress. Projectionists employed in cinematograph theatres are required to be the holders of an operator's licence of the requisite grade.

The Public Service Commission.—Progress towards safety at work can come only from deliberate, informed, and organized effort in every workplace. It is a recognized fact that most industrial accidents result from unsafe conditions, unsafe human acts, or from a combination of both. Consequently, occupational accidents, with their resultant loss of productive hours, suffering, and incapacity, will be kept to a minimum only if (a) safe working conditions are provided, and (b) safe working methods are adopted.

To this end the Public Service Commission has ensured that positive measures are adopted towards the prevention of accidents at work. It realizes that safety at work is important to morale and efficiency. It accepts the fact that leadership in the organization of safety measures must come from top management. It endeavours to have every worker assured that there is a definite policy for safety based on the best available knowledge and methods, and that organization and resources are in existence to ensure the implementation of that policy.

Safety work must be, and is, in the hands of experienced people. The Commission itself watches statistics and trends and directs special attention to causes and localities with a high incidence of accidents. It encourages Departments to campaign for safety, and offers active assistance where needed. Also, on behalf of its associated Departments, the Commission is a member of the National Safety Association of New Zealand.

Ministry of Works.—On each major construction project the Ministry of Works has appointed a senior technical officer to act in the capacity of Safety Officer. He is invariably an officer with considerable practical knowledge and experience of departmental construction works. It is his duty to see that every section of the work is safeguarded to the maximum extent.

There is a wide range of activities undertaken by the Department on a major construction job such as a hydro-electric power project. For instance there are the mechanical workshops with installed machinery of various types used to repair the machines used on the job. There are also scores of bulldozers, carryall scrapers, huge mechanical shovels, cement hoppers, and cableways. The custody and distribution of tons of stores of all kinds is undertaken daily. Large numbers of men are transported daily in buses and trucks to and from their homes and the job sites. Electrical reticulation and maintenance is also a major task if the job is to proceed day and night without interruption.

In the actual carrying out of the work, tunnels are driven into the rock floor for foundation and survey purposes. Rivers are diverted necessitating the excavation of thousands of tons of material, tons of explosives being used in these operations. Massive reinforced concrete structures are erected.

Safety requirements prescribed in various Government Acts and regulations play a major part in safety promotion on construction works. The Safety Officer is required to have a sound working knowledge of these requirements. In addition he is sent to training courses conducted periodically by the National Safety Association of New Zealand. From this training and with the help of Divisional Technical Staff (Mechanical, Civil Engineering, etc.) to whom he can look for specialized knowledge and assistance, the Safety Officer is well qualified to police the various sections of the works and ensure that the various safety regulations are complied with.

In the main it is the Department's foremen and overseers who can play the most important part in accident prevention on the job. These supervisors are in direct control of the day-to-day work, and by instructing their workers in the use of correct, efficient, and safe-working methods, can prevent accidents. It is therefore an important part of the Safety Officer's job to make supervising staff safety conscious.

To do this, staff talks on safety are given, circulars, booklets and extracts from safety regulations are distributed, posters are displayed on the works site and film showings are made at regular intervals. In addition, with a view to safety, the Department encourages visits and inspections of the works by officials from other Government Departments, although these are not always required by law. The recommendations made in their reports are invariably acted upon.

All accident reports are examined by the Safety Officer. It is his responsibility to ensure that appropriate action is taken to prevent a recurrence of a similar accident on the job. He also reports to Head Office if the experience gained would be helpful on other works.

Protective clothing is supplied to many of the Department's workers employed on specific work. Welders are issued with goggles or helmet, gauntlets, and also leather aprons on special jobs. Operators on lathes, woodworking machinery, and other allied types of machines are supplied with goggles; spray painters with masks; and construction workers on projects with protective helmets. These are only a few of the items on issue to protect workers from injury, and work in this field is progressing as better and improved protective equipment becomes available.

Quite apart from accident-prevention activities on the job a great deal of work is done by Head Office Divisions in safety promotion. In recent years much time has been devoted by the Mechanical Division to improve the safety of existing machinery in workshops by use of guards. Investigations into the use of cranes and other lifting machinery have also resulted in safety improvements.

Department of Agriculture.—The high degree of mechanization on the 90,000–odd farm holdings in New Zealand is responsible in large part for the high output per unit of labour engaged in primary production; but it has been responsible too for an increase in the hazards associated with life and work in the country. Nearly 4,000 threshing machines, 19,000 wool presses, 30,000 internal combustion engines, 140,000 electric motors, 75,300 agricultural tractors, 39,000 milking plants, 27,000 shearing plants, as well as farm trucks, cultivating and harvesting implements, and other farm equipment and installations have taken a high annual toll in accidents and deaths, especially in recent years when there has been rapid growth in the use of heavy machinery for both normal farm operations and for bringing new land into production.

The increasing use of chemicals in agriculture for weed control and as pesticides and therapeutants, and employment of aircraft in farm work (263 machines in 1959), have added to the hazards to which those engaged in the agricultural industry have been subjected.

For both humanitarian and economic reasons the Department of Agriculture has incorporated in its general extension service to farmers advice on the proper operation of farm implements and equipment, and on safety precautions in farm management. Emphasis has been on education rather than coercion or regulation.

Personal efforts by departmental field officers to promote safety consciousness among farmers and other agricultural workers are assisted by machinery demonstrations, lectures, film showings, posters, field days, show exhibits, and publications.

In co-operation with the Police Department all tractor accidents resulting in death (24 in 1958) are inspected by departmental officers and the data secured have been incorporated in a vigorous tractor safety campaign that highlights the causes of fatalities and emphasises the danger of incorrect use of the machines and their associated implements.

The Department of Agriculture co-operates closely with other Departments, the National Safety Association, and other agencies in farm-safety extension work. It assisted with lecturers and material for the first course in farm safety in 1957 at Canterbury Agricultural College, Lincoln, and has helped to promote a scheme for the training and appointment of farm-safety officers from the ranks of the Young Farmers' Federation, which is supported by the Department.

Workers' Compensation Board.—This Board is a statutory body set up under the provisions of the Workers' Compensation Act. One of its responsibilities is a general requirement to “prevent accidents to workers by such means as the Board thinks fit, and co-operate with any Government Department and other bodies and persons for that purpose”. It is also required to assist in providing facilities for the treatment and rehabilitation of injured persons. It has interpreted these requirements by making grants to the Department of Labour for safety education, to the Department of Health for the construction of an Industrial Health Centre in Penrose, Auckland, and to the Auckland Hospital Board towards the cost of a rehabilitation centre for disabled civilians at Otahuhu, Auckland. The Board also sponsored the National Safety Association of New Zealand (Inc.).

National Safety Association of New Zealand (Inc.).—This organization was sponsored and is largely financed by the Workers' Compensation Board. It comprises member firms interested in promoting occupational safety, and is controlled by an elected executive functioning through specialist committees and a small headquarters staff together with a small number of field organizers. It seeks the voluntary co-operation of firms and organizations in taking all possible measures to reduce accidents in their own establishments, and especially in establishing their own internal safety organization, full-time or part-time safety officers and where possible joint management-worker safety committees. The Association also issues safety education material, undertakes general safety instruction within firms through its field staff, and organizes occasional courses for farm-safety officers and industrial safety officers. Its field of interest is substantially limited to occupational safety.

Chapter 43. SECTION 43—ISLAND TERRITORIES

Table of Contents

ADMINISTRATION.—Under the Island Territories Act 1943, the Cook Islands Act 1915, and the Samoa Act 1921, the Minister of Island Territories is charged with the administration of New Zealand's dependent territories, and the Department of Island Territories is the executive agency for that administration.

New Zealand's first administrative responsibility for dependent areas in the South Pacific was undertaken in 1901, when the Cook Islands (including Niue) were brought within the boundaries of New Zealand. In 1919 New Zealand was given a mandate over Western Samoa. In 1949 the Tokelau Islands, formerly part of the Gilbert and Ellice Islands Colony, legally became part of New Zealand, which had administered them on behalf of the United Kingdom since 1925.

The Department of Island Territories has been responsible since 1946 for the conduct of New Zealand's trusteeship for the Territory of Western Samoa, and each year the Government presents a report which is examined by the Trusteeship Council of United Nations. Annual reports are also forwarded to the United Nations Committee on Information from Non-self-governing Territories regarding progress made in the Cook Islands, Niue, and the Tokelau Islands.

The Chatham Islands, which comprise one of the 121 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 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 244 children have won scholarships, of whom 74 have already returned to employment in the islands. In 1959 four 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 but, at the 1956 census date, had a population of 166 males, and at 1 April 1960, 137 males, these men being members of scientific expeditions. 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 10 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 1959 numbered 10. 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.

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.

Following is a brief description of the individual islands.

SOUTHERN GROUP.—Rarotonga (16,602 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 (12,700 acres, 110 miles from Rarotonga) is the southeasternmost of the Group. Mangaia is not as fertile as Rarotonga, but produces quantities of coconuts, oranges, pineapples, 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) has a fertile plateau above steep cliffs. Citrus fruits and copra are the main exports.

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 are the main export.

Aitutaki (4,461 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. The island has a pearl-shell industry.

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 has a large pearl-shell industry. Fishing for shell has, however, been suspended since 1958 and will not resume until spawnings of the shell increase.

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 people of this island have somewhat different customs and dialect from those of the remainder of the group.

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.

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.—The executive government of the Cook Islands is vested in the Crown in right of the Government of New Zealand. There is a Resident Commissioner who is charged, subject to the control of the Minister of Island Territories, with the administration of the executive government of the Cook Islands. The Resident Commissioner, who is stationed at Rarotonga, is represented in the outer islands by Resident Agents.

In each of the 10 main islands there is an Island Council consisting of ex officio members (officials, arikis or leading chiefs) and elected members. Elections were first held in March 1947 and have since been conducted triennially in each constituency, the franchise extending to all Cook Island Maoris of 18 years of age or over. The Councils, which must meet at least annually, and in practice meet much more frequently, are presided over by the Resident Commissioner, if present, or by the Resident Agents. Europeans in the Group are represented by one elected member on the Island Council of Rarotonga.

A major step forward in the constitutional development of the Cook Islands was the passing in October 1957 of the Cook Islands Amendment Act 1957. The most important provisions of this Act are those which provide for:

  1. The establishment of a Legislative Assembly with an elected majority to replace the Legislative Council which had a majority of official members. The Assembly is empowered to appropriate and authorize the expenditure of all revenue derived in the Cook Islands.

  2. The setting up of an Executive Committee with elected and official representation to advise the Resident Commissioner in his administration of the executive government. This committee provides a valuable link between the legislature and executive.

  3. The creation of village committees with limited police and judicial authority.

  4. The appointment of Justices of the Peace.

In October 1958 elections for islands' representatives were held, and on 3 November 1958 the Assembly met for the first time.

The Legislative Assembly consists of 26 members, excluding the Resident Commissioner, 14 of whom are elected by secret ballot under a system of universal suffrage, seven (being in each case a member of an Island Council) elected by the various Island Councils, one member for the electing Europeans and four official members.

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 are now made by the Legislative Assembly 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 December 1958 are set out in the following table.

ESTIMATED POPULATION AS AT 31 DECEMBER 1958

IslandMalesFemalesTotal
Rarotonga3,9573,6197,576
Aitutaki1,3081,4232,731
Mangaia1,1071,0162,123
Atiu7236681,391
Mauke453419872
Mitiaro153144297
Manuae371653
Palmerston394988
Pukapuka346344690
Nassau434184
Manihiki343375718
Rakahanga175190365
Penrhyn344322666
Suwarrow......
Takutea......
    Totals9,0288,62617,654

During the year ended 31 March 1959 births numbered 830 and deaths 170. The number of deaths of children under one year of age in 1958–59 was 51.

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 1958–59 numbered 125. Only the Chief Medical Officer, the Assistant Medical Officer, the Matron, and three or four certificated New Zealand nurses were Europeans. The Dental Clinic is staffed by a European dentist and nurse, and 6 Cook Islands staff.

A general hospital (57–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 cottage hospital has been built at Aitutaki. Atiu, Penrhyn, and Mangaia also have small hospitals.

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.

Education is free and compulsory between the ages of six and fourteen. At 31 March 1959 the total number of pupils on the rolls was 4,369, comprising 3,935 pupils at Government schools and 434 at denominational schools. Under the Government Scholarship Scheme six ordinary and four trade scholars proceeded to New Zealand early in 1959. The total number of scholarships granted since 1946 is now 77.

Labour and Employment.—There is a wide variation in types of employment in the different islands. On the atolls in the Northern Group the island people subsist largely on coconuts and fish, and there is little opportunity for them to engage in other pursuits which would provide exports and a consequent higher living standard. In the islands of Manihiki and Penrhyn pearl diving is carried out under regulations which restrict this employment to Polynesians, and otherwise govern the industry. A strict control of this industry is enforced to ensure that the beds are not depleted. It is in the fertile islands of the 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.

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. 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. 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.

There are 1,693 horses, 263 head of cattle, 10,649 pigs, and 2,244 goats in the islands.

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.

£
Country of Origin19541955195619571958
Imports
New Zealand506,501425,237557,023564,171641,926
Australia19,2567,65719,06025,71538,421
United Kingdom71,52256,042108,29165,06266,944
Canada8,12229,39314,79734,37225,298
United States of America15,96723,92715,30148,05531,942
Other21,32830,10854,73850,67381,500
          Totals642,696572,364769,210788,048886,031
Exports
New Zealand310,085329,180381,891402,454363,225
Australia3,35615,120929,9251,737
United States of America55,77151,71047,23659,04117,184
United Kingdom..44462274288
Italy4,32410,78021,71716,21011,631
Other11,51513,21933,71953,02111,193
          Totals385,051420,053485,117540,925405,258

The New Zealand Customs Tariff applies to the Cook Islands with 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 countries other than New Zealand.

Details of the quantities and values of the principal commodities exported in 1958, with 1957 figures also given, are shown below.

Commodity19571958
QuantityValueQuantityValue
 Cases£Cases£
Citrus fruits80,082111,62678,279112,927
Bananas1,2881,359751793
Pineapples5,4554,6882,0601,886
 Boxes Boxes 
Tomatoes109,39865,87471,86653,676
 Tons Tons 
Copra93352,23894448,486
Mother-of-pearl shell222176,2489749,580
Arrowroot........
Handicrafts, grassware, etc.........
Manufactured goods (apparel)..84,109..96,089
Jewellery..6,393..10,244

Foodstuffs continue to be the largest class of import; major imports for 1958, with comparative figures for 1957, are set out in the following table.

CommodityValuePercentage of Total Imports
1957195819571958
 ££Per CentPer Cent
Foodstuffs230,172274,50229.231.0
Drapery and piece-goods100,819125,87012.814.1
Oils and petrol, etc.55,41451,3287.05.8
Tobacco and cigarettes29,27731,2873.73.5
Vehicles and parts30,65333,0583.93.7
Fruit cases and sacks36,83127,9824.72.2

Public Finance.—New Zealand currency is in use in the Group. The principal sources of revenue within the Group are import duties £78,265, export duties £4,144, stamp sales £4,905, and income tax £20,497. 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
1954–55339,727248,582488,004
1955–56294,243285,021568,313
1956–57275,000305,940622,745
1957–58390,962444,391787,909
1958–59365,425432,261836,232

The principal items of expenditure in 1958–59 were £136,385 on education, £132,876 on health services, and £80,355 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 1959.

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, but the island is on the edge of the hurricane belt. (In February 1959 a hurricane struck the island and damage to administration buildings, houses, churches, crops, timber supplies, and personal possessions was estimated at £750,000, and a similar misfortune occurred in January 1960.) The mean annual temperature during the last thirty years was 76–6† Fahrenheit, and the average annual rainfall for a similar period was 79.4 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. Population increase would 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 subjects and New Zealand citizens.

For the calendar year 1958 births totalled 209 and deaths 46. There were 9 deaths of children under one year of age, the infant mortality rate per 1,000 live births being 40.3.

Health.—Niue, although situated in the tropics, is largely free from diseases prevalent in tropical countries. An energetic tuberculosis campaign is being carried out by the Chief Medical Officer and his staff. The Niuean standard of general hygiene is very good by Pacific standards.

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. Attached to the hospital is an out-patients department, X-ray unit, laboratory, and dispensary. The staff at December 1958 numbered 50.

The amounts expended on public health during the past live years were as follows.

1954–551955–561956–571957–581958–59
Amount expended£22,745£34,875£42,724£39,360£37,471
Population4,7344,6794,7074,7354,718
Amount per head of population£4 16s. 1d.£7 9s. 0d.£9 0s. 0d.£8 6s. 6d.£9 15s. 0d.

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 seven European and seventy-seven Niuean teachers.

The total number of children attending school in Niue at the end of 1958 was 1,150, and scholarship pupils attending school or receiving training in New Zealand numbered 17. Education is free and compulsory for those aged from six 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 now been functioning for over five 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 had been achieved when the hurricane of February 1959 destroyed practically all existing trials and experiments.

The principal agricultural exports are copra, bananas, and kumeras. All the copra exported is grown by the Niueans, there being no European planters. Most copra is shipped under a contract with a New Zealand firm.

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 48,000 acres are more or less continuously cultivated, while some 8,000 acres is in forest. The remaining 9,000 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.

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 1958 inward cargo totalled 2,581 tons, while outward cargo totalled 1,555 tons. As usual, the bulk of the trade was with New Zealand.

The values of exports and imports for the last five years available are given below.

£
YearExportsImportsTotal Trade
195469, 398142,172211,570
195578,360158,082236,442
195663,608162,739226,347
195758,667153,598212,265
195856,785152,107208,892

Exports of principal commodities over the last five years were as follows.

Item19541955195619571958
QuantityValueQuantityValueQuantityValueQuantityValueQuantityValue
  £ £ £ £ £
Copra (tons)55839,06895262,05083148,97874040,10471536,760
Bananas (cases)5,7945,5564,9834,9834,0704,0706,1246,4489881,070
Kumeras (bags)23,53711,0531681902601,3771,6626,5285,766
Plaited ware..10,868..8,091..6,321..5,498..5,183
Principal exports..66,545..75,132..59,629..53,712..48,779
    Total exports..69,398..78,360..63,608..58,667..56,785

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.

£
YearRevenueExpenditureSubsidy
1954–5573,660188,26999,254
1955–56103,666221,498109,953
1956–57101,761243,951137,172
1957–58149,980284,632163,587
1958–59139,747297,831150,000

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 660 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, and is subject to the general control of the Minister of Island Territories.

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.

Under the provision of the Samoa Amendment Act 1959 a form of Cabinet government was established on 1 October 1959. The seven elected Ministers and the two official members resigned from the Executive Council and were replaced by a Prime Minister designated by the Legislative Assembly and eight other Ministers (at least one of whom was required to be a person of European status) chosen by the Prime Minister from among the Legislative Assembly. The functions of the Cabinet are to “advise the Council of State in the exercise of its functions, powers and authorities” and “the general direction and control of the Government of Western Samoa”.

The Council of State consists of the New Zealand High Commissioner and the two Fautua (representatives of the two royal lines of Tupua and Malietoa). Formerly an advisory body, the Council is now “the head of the executive government of Western Samoa”. Under the 1959 Amendment Act the Council is required to exercise powers vested in it “in accordance with the constitutional conventions for the time being applicable to the exercise of similar powers, functions and authorities in the United Kingdom by Her Majesty”, i.e., in almost all cases on the advice of Ministers. The Council is also provided with a record of all decisions made by Cabinet, and any one member of the Council of State may request a discussion of a decision of Cabinet at a meeting of the full Executive Council (i.e., all Ministers and members of the Council of State). If, after such a discussion, a particular decision is disapproved by two members of the Council of State it may be referred back to Cabinet for reconsideration, but if the Cabinet adheres to its decision this is final.

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. The duration of normal sessions is usually about three weeks. In 1958, however, there were three sessions lasting from February to May, August to September, and October to December.

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 Assembly is competent to legislate on all matters except external affairs, defence, the title to New Zealand Government land, and matters provided for in certain “reserved enactments”.

The work of the Executive Government is carried on, under the general direction and control of the Cabinet by fifteen Departments. All staff including that of the Western Samoa Trust Estates Corporation is controlled by the Public Service Commission of Western Samoa.

The Citizenship of Western Samoa Ordinance 1959 established a nationality law for Western Samoan citizens of Western Samoa who also possess the status of New Zealand protected persons.

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.

During 1959 a tentative timetable for the final stages of New Zealand's trusteeship of Western Samoa was agreed upon by the New Zealand Government, the Samoan leaders, and the Trusteeship Council of the United Nations. Important steps in this timetable are a Constitutional Convention late in 1960 and a plebiscite in May 1961.

On the attainment of independence by Western Samoa - tentatively set at 1 January 1962 - the Fautua will assume the position of Joint Heads of State and the office of High Commissioner as part of the Government will be abolished.

The Judiciary.—The High Court of Western Samoa consists of the Chief Judge, a Puisne Judge, 2 part-time Commissioners, and 5 Samoan Associate 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, or Puisne 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, appointed by the Governor-General of New Zealand. The Samoa Amendment Act 1959 replaced the sole commissioner by a Commission of not more than three members appointed by the Council of State. At 31 December 1958, approximately 1,300 persons were employed in the Western Samoa Public Service, of whom 80 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 approaching 19,000. 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 1958 was 102,860 (males, 52,854; females, 50,006)-During 1958 there were 3,871 births and 569 deaths, while arrivals in the Territory numbered 6,881 and departures, 7,791. The Samoan infant-mortality rate was 31.94 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. 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.

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 Health Department is under the control of the Director of Health, who is assisted by a Medical Officer of Health, 4 medical officers, and 43 Samoan medical practitioners.

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 1958, 4,707 in-patients and 56,198 out-patients were treated at Apia hospital, where 971 major operations were performed.

Education.—The Education Department of the Government of Western Samoa consists of a Director of Education, his assistant, a chief 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 336 mission schools throughout the Territory with some 7,645 pupils. In addition to the 113 Government primary schools, there are three advanced Government schools, manual and domestic training centres, and a Teachers' Training College.

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 1958 had a roll number of 196 in the secondary department. With the development of the educational system in Western Samoa, the scope of the Government scheme for providing scholarships to New Zealand secondary schools has been reduced. In March 1959 there were only 16 scholarship students at New Zealand secondary schools, although there were still 58 people receiving more advanced training. Selected secondary school pupils will receive scholarships for study at universities in New Zealand.

Educational Statistics.—The figures given below record the number of scholars at the various schools in 1958.

 Number of Scholars, 1958
Government primary schools, 5–18 years14,635
Government vocational, 16–21 years251
Government secondary, 13–21 years253
        Total, Government schools15,139
Mission primary schools, 5–18 years7,645
Mission secondary, 13–21 years361
Mission vocational, 16–21 years34
        Total, mission schools8,040
        Grand total23,179

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.—There are about 7,000 persons who could be classed as wage and salary earners, and of these probably 6,000 are Samoans. At least half of these are employed in varying grades of skilled work by either the Government or the Western Samoa Trust Estates Corporation, which administers the former Reparation Estates. Many others are employed by trading firms and other businesses in Apia. Numbers of skilled or semi-skilled workers leave Samoa to work in New Zealand. A Trades Training Centre has been established to help meet the need for skilled labour in the territory and it is hoped that a modified system of apprenticeship will evolve. Community groups are employed by Government for unskilled work, such as road making, by planters for agricultural work, or in other occupations such as wharf labouring.

The basic minimum wage for Government employees in 1958 was 10s. 3d. 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.

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 donkeys are used for plantation work. Western Samoa Trust Estates cattle, which number approximately 9,500 head, beside grazing the plantations clear of undergrowth, provide fresh beef for consumption in the Territory and hides for export. The herds consist mainly of the Hereford and Aberdeen Angus breeds, and are maintained and improved in quality by rotational grazing and careful selection for breeding. A Zebu strain has been introduced from Fiji.

The land of Western Samoa is classified in law as Crown land, Samoan land, and European land, there being some 80,000 acres of Crown lands, 561,062 acres of Samoan land, 32,000 acres of Western Samoa Trust Estates land, and about 27,000 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, 38,721 acres; bananas 3,939 acres; cocoa, 12,708 acres; food crops, 14,040 acres. Production by Samoans accounts for most of the copra exported, an increasing proportion of the cocoa exported, and nearly all 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 supplied only one-sixth of the consumption of timber in 1958, which was about 1,204,000 superficial feet.

Industry.—Apart from two sawmilling concerns, a soap factory established in 1953, and a tire 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 377 miles of road, of which 78 are of bitumen surface. At the end of 1958 there were 321 private cars, 82 buses, and 246 trucks, land rovers, and vans registered in the Territory.

There is only one telephone system, which has approximately 80 miles of local wires and 519 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 fourteen 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
29552,511,8991,894,542
19561,805,6961,860,420
19571,882,3231,827,878
19582,947,6282,220,976

The following table shows for the years 1957 and 1958 the value of exports and imports according to country of destination and country of origin.

£
CountryExports (Including Re-exports)Imports
1957195819571958
New Zealand623,5831,287,184536,746738,420
Australia91,17155,823368,787391,001
United Kingdom978,8221,297,798346,599360,734
Fiji11,46331,73881,34993,232
Japan..5,16856,280126,483
Indonesia....74,19873,515
United States of America157,742221,216110,763119,982
Other19,54248,701253,156317,609
        Totals1,882,3232,947,6281,827,8782,220,976

The principal exports consisted of cocoa, 4,034 tons, £1,236,741; copra, 10,077 tons, £618,659; and bananas, 884,555 cases, £1,007,189. At the end of 1958 the Copra Reserve Fund stood at £463,000. This money is available to maintain the price of copra at an economic level if this becomes necessary.

The bulk of the Territory's copra is sold under contract; the price depends upon world market conditions.

The principal imports for 1958 were: 58,651 cwt. of sugar, value £86,383; 788,426 yards of cotton piece-goods, £98,622; meat in tins and kegs, 22,945 cwt., £207,308; and motor vehicles, parts, etc., £80,042.

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
19541,128,870121,570176,030478,6201,145,810
19551,224,360194,150219,940492,2701,297,150
19561,232,000236,000230,000323,0001,349,000
19571,063,000251,000215,000319,0001,274,000
19581,305,000204,000191,000280,0001,037,000

The policy of the New Zealand Government was 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. Since the transfer of the New Zealand Reparation Estates to the Western Samoa Trust Estates Corporation in 1957 the New Zealand Government has made direct grants to the Government of Western Samoa. In 1958 they totalled £61,000.

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 1955, 1956, 1957, and 1958 were as follows.

£(000)
Source1955195619571958
Amusement tax1......
Arms licences1111
Building tax8......
Export duties214159155217
Import duties455428411517
Licences and fees1591128
Income tax1013911994
Stamp duties2712
Store tax125......
Water rates2233
Vehicle licences10111112
Shipping and port duties3335
        Totals846760715879

Money and Banking.—The only trading bank in the Territory, is the Bank of Western Samoa, which came into being on 1 April 1959, replacing a branch of the Bank of New Zealand.

£
1955195619571958
Amount of currency in circulation160,000150,000170,000200,000
Aggregate deposit money—
  Post Office Savings Bank389,000365,000345,000375,000
  Bank of New Zealand500,000300,000277,000330,000

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 Territorial 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.

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 1,619. The indigenous population was as follows.

IslandMalesFemalesTotal
Fakaofo312375687
Atafu226241467
Nukunono199266465
        Totals7378821,619

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.

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

Education.—There are now 16 trained Tokelau teachers in the group. All the necessary school equipment, stationery, and textbooks are supplied by the New Zealand Government; the schools also receive copies of the Samoan Teachers Monthly Guide and of Samoan and New Zealand School Journals. In addition, they are equipped with film-strip projectors and also with radio sets so that the daily educational broadcasts of the Western Samoan Education Department may be utilized. The mission school on Nukunono is equipped by the New Zealand Government in a similar fashion to the schools of the other islands.

The rolls of the three schools in March 1959 were as follows: Fakaofo, 199; Atafu, 133; Nukunono, 158. 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 Corporation.

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.—The quantity of copra shipped for the year ended 31 March 1959 amounted to 230 tons. Apart from copra the only exports are handicrafts.

Revenue is derived principally from export duty on copra, Customs duty of 12½ per cent ad valorem on all goods entering the islands, trading profits, and the sale of postage stamps. Revenue for the year 1958 was £18,606 (including subsidy from New Zealand) and expenditure £18,606.

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 1959 there was £5,085 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 120,000 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.

The New Zealand Geographic Board, which is the place-names authority for the Ross Dependency, has published a provisional Gazetteer of the Ross Dependency.

The New Zealand Government decided that the New Zealand bases in the Ross Dependency would be continued to be operated after the conclusion of the International Geophysical Year. In March 1958 the Government appointed the Ross Dependency Research Committee to co-ordinate and supervise all New Zealand activity in the Ross Dependency, with particular reference to the scientific and technical programme.

The functions of the Committee are:

  1. To advise the Minister in Charge of Scientific and Industrial Research on the organization and administration of New Zealand activity in the Ross Dependency;

  2. To present an annual report to the Minister in Charge of Scientific and Industrial Research;

  3. To co-ordinate and supervise all New Zealand activity in the Ross Dependency with particular reference to the scientific and technical programme;

  4. To co-ordinate New Zealand activity with that of other countries operating in Antarctica and, in particular, with any expeditions of such countries operating in the Ross Dependency;

  5. To co-ordinate the publication and dissemination of the results of scientific research and investigation and the custody of records.

The implementation of the approved programme is the responsibility of the Department of Scientific and Industrial Research, in which an Antarctic Division has been formed to undertake this task. The specific functions of the Division are:

  1. To be responsible for the execution and operation of Antarctic activities undertaken by the New Zealand Government;

  2. To supervise approved non-Government expeditions to the Antarctic;

  3. To maintain an information centre on Antarctic exploration and scientific research

Responsibility for co-ordinating the scientific details of the approved programme, the procurement of scientific equipment and spares, and the working up of scientific data has been delegated as follows: Meteorology, Director, New Zealand Meteorological Service; Survey and Maps, Survey-General, Department of Lands and Survey; Geology and Glaciology, Director, Geological Survey; Special Upper Atmosphere Investigations and Aurora, Director, Dominion Physical Laboratory; Seismology, Geomagnetism, Ionosphere, Director, Geophysics Division; Oceanography, Director, Oceanographic Institute; Biology, Director, Dominion Museum.

Outside the Department of Scientific and Industrial Research, several Government departments provide important aid to New Zealand Antarctic activities. The Royal New Zealand Navy operates H.M.N.Z.S. Endeavour for the annual relief of Scott Base and for oceanographic surveys and provides ships for additional oceanographic work in Antarctic waters. The Post Office provides assistance on communication matters and by the secondment of staff. The Meteorological Service, Dominion Museum, and Department of Lands and Survey participate in the programme. The last-named provides surveyors and publishes all maps. The Army and Air Departments, the National Broadcasting Service, and the Marine Department assist in numerous ways, particularly with the secondment of staff. The Victoria University of Wellington and the University of Canterbury, Christchurch, are active participants in Antarctic work. Their projects are co-ordinated through the Ross Dependency Research Committee and the Department of Scientific and Industrial Research.

Non-Government expeditions from New Zealand to the Antarctic are authorized by the Minister for Scientific and Industrial Research after prior examination by the Ross Dependency Research Committee as to their scientific worth, the competence of the members of the expedition to accomplish the objectives, the adequacy of the logistic arrangements, etc.

New Zealand's international relations on Antarctic affairs are conducted at the political level by the Department of External Affairs. Whilst scientific contacts with other countries and institutions engaged in Antarctic research is maintained at all levels, the primary channel is the Ross Dependency Research Committee.

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.

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 the 1958 Year-Book, which also includes maps of the Ross Dependency.

Scientific Programme.—For the purposes of the International Geophysical Year a joint New Zealand - United States of America scientific station, known as Hallett Station was established at Cape Hallett in January 1957. Throughout the International Geophysical Year New Zealand maintained at Scott Base and Hallett Station a scientific programme in close accord with the aims and objects of the I.G.Y. (References to these activities are contained in Appendix (d) of the 1958 Year-Book.) With the conclusion of the I.G.Y. synoptic and intensive programme of regular observations, and the widening scope of Antarctic research, the Ross Dependency Research Committee formulated a programme for 1959 to commence a reorientation of New Zealand Antarctic work. This is being achieved in a number of directions, first, by a reduction in intensity of routine observations at Scott Base and Hallett Station in geomagnetism and ionosphere, secondly, by installing equipment to examine as research projects specific phenomena in upper atmosphere physics.

At Scott Base, regular observations have been undertaken in seismology, geomagnetism, ionosphere, meteorology, aurora, and glaciology. Special research programmes were carried out on “Whistlers” and associated phenomena, and on the D-region of the ionosphere. Sea-level recordings were also made.

At Hallett Station, which is a joint United States - New Zealand base, three New Zealand scientists conducted a programme in aurora, geomagnetism, ionosphere, and seismology; and during the 1958–59 summer surveys of bird-life at the Adelie penguin rookery were carried out.

The planned programme of the New Zealand Geological and Survey Expedition 1958–59 in the Wood Bay and Terra Nova Bay areas could not be carried out owing to the exceptional ice conditions. The expedition, therefore, was based for the summer on Scott Base. From here, geological and topographical surveys were made in a number of areas in the McMurdo Sound region. The completion of this survey network will make possible the construction of a detailed map from aerial photographs.

Members of the expedition climbed Mts. Erebus, Terror, and Discovery (a first ascent).

A four-man party from the Victoria University of Wellington spent seven weeks in the Wright Dry Valley area of Victoria Land, between 77† S. and 77† 45' S. The party made a geological and topographical survey of the area, and carried out meteorological and biological work, as well as making gravity observations from the coast to within four miles of the polar plateau.

Considerable biological work was also carried out at Scott Base by members of other field expeditions, and by biologists on H.M.N.Z.S. Endeavour. Emphasis was laid on the study of seals and skuas.

Further oceanographic surveys between New Zealand and the Antarctic continent were carried out. The Antarctic Convergence was traversed eastwards from the vicinity of Macquarie Island to the pack-ice north of the Ross Sea. An extensive carbon-dating sampling programme was carried out. Twenty oceanographic stations were occupied in the Ross Sea, each station comprising hydrology, bottom dredging, plankton trawls, and bottom sediment cores.

For the 1959–60 summer, the programme of field work was further extended by:

  1. Geological and mapping surveys south of Scott Base. Two four-man parties set out in October-November 1959, one with dog teams and the other with two sno-cats, to explore the Victoria Land coastal area between Barne Inlet (80† 15' S.) and Shackleton Inlet (82† 22' S.) as the first stage of a two-season project.

    Plans had to be drastically revised as the result of an accident in late November, when one of the sno-cats crashed into a 100–foot crevasse south of Cape Selborne resulting in the death of one man and injury to two others. The sno-cat could not be retrieved. As a result the uninjured members of the sno-cat team joined the dog-team party. This group then moved further south to avoid the crevassed region, and worked in the area between the Nimrod Glacier and the Beardmore Glacier. Air support was provided by the re-activated R.N.Z.A.F. Antarctic Flight.

  2. An extended survey of the Victoria Land Dry Valley area by an expedition from the Victoria University of Wellington.

  3. An eight-man New Zealand Alpine Club expedition, with a strong nucleus of scientists working in the area east of the Beardmore Glacier.

  4. A two-man party occupying Shackleton's old hut site at Cape Royds for a survey of the Adelie penguin rookery, and other biological work.

  5. A party of two scientists of the Soil Bureau, investigating the soil potentialities of the McMurdo Sound area.

  6. Oceanographic cruises by H.M.N.Z.S. Endeavour between New Zealand and Macquarie Island, and in the Ross Sea, involving hydrological, geological, and biological work, as well as seismic and magnetic surveys.

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. New Zealand is a member of the International Whaling Commission, the purpose of which is to enforce conservation of whale stocks.

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 for 1958–59 amounted to £213,506, which included £58,359 retrospective adjustment for 1957–58. Administrative expenses are covered by direct payments by the Commissioners. These amounted to £330,597 for 1958–59.

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 1,535,031 tons of phosphate exported in 1958–59 Australia received 946,131 tons and New Zealand 384,350 tons; the remainder was exported to the United Kingdom.

The following table shows the population of Nauru for the years 1954–58.

19541955195619571958
* Includes 784 Gilbert and Ellice Islanders employed under contract by the British Phosphate Commissioners.
Nauruans1,8281,9351,9762,0932,158
Immigrants—
  European291262286373363
  Chinese552568696732654
  Other Pacific Islands8469119351,1051,133*
          Total Population3,5173,6763,8934,3034,308

Revenue and expenditure and trade of the Nauru Administration for five years are given in the following table.

£
YearRevenueExpenditureExportsImports
1953–54237,174226,9961,931,520615,716
1954–55303,674276,7832,165,163706,238
1955–56261,164257,2742,568,640877,264
1956–57218,916302,3492,236,8081,170,218
1957–58352,686357,3962,421,898971,029

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 1959 amounted to £9,208.

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 1959, 15,756 sheep and 3,030 bales of wool were exported. Imports totalled 1,487 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 in those days the financial position of an individual could quickly change for the worse. Moreover, changes of residence were frequent, and the nominated trustee might have left the colony or have moved to another district 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, 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 reasonable 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. The Public Trustee now acts in many 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); manager (when so appointed by the Court) of the estates of aged and infirm persons unable to attend their own affairs; and administrator of compensation moneys payable in respect of the death of a worker. 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 by obviating the need for a grant of probate or administration, facilitates the administration and reduces costs.

The experiment of establishing the Public Trust Office—one of the earliest examples of a State service—has proved an unqualified success. Ample evidence of this is to be found in the fact that 18,642 estates and funds of a total value of £73,857,606 were under the Public Trustee's administration at 31 March 1959. 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 or Living Persons on Deposit
NumberValue
  £No.
19002,6672,192,594675
192014,67920,860,68625,792
195018,31358,646,288146,288
195918,64273,857,606183,972

The following is a classification of the estates and funds which came under administration during the year ended 31 March 1959, and of all estates and funds under administration at that date.

New Estates and Funds During 1958–59Estates and Funds Under Administration at 31 March 1959
NumberValueNumberValue
  £ £
Wills estates2,5269,096,2318,40036,085,099
Trusts and agencies4131,693,3542,58316,747,479
Intestate estates593693,1341,5531,699,992
Mental patients' estates7542,008,6524,1177,638,626
Miscellaneous estates and funds1531,508,9161,98911,686,410
          Totals4,43915,000,28718,64273,857,606

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 (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 Regulations 1958.

New investments completed during the year ended 31 March 1959 totalled £2,059,000, the favourable terms offered by the Office again proving popular with borrowers. The investments held by the Office at 31 March 1959 totalled £22,553,807. These figures relate exclusively to Common Fund investments, and do not include other special investments made on behalf of estates or 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 1959, 10,382 wills appointing the Public Trustee executor were deposited with him for safe custody. The total number of such wills held on deposit at 31 March 1959 was 183,972. In addition to preparing the will of the testator in the first instance, the Public Trustee prepares any subsequent will or codicil that may be desired. During the year ended 31 March 1959 effect was given in 6,757 cases to changes desired by testators.

ESTATES PASSED FOR DEATH DUTY.—Particulars of deceased persons' estates certified during the calendar year 1958 are given in the tables following. Comparative totals for the previous four years 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 1958
£(000)£(000)  £££ 
Under11,4902,912770,3281,498,3552,3920.16
1 and under21,2552,3701,855,1893,507,98333,2890.95
2 and under31,0451,8152,590,2264,489,88769,4421.55
3 and under46801,0792,338,6233,719,02577,9312.10
4 and under53926861,750,2623,060,46287,8682.87
5 and under62994831,634,7482,639,80590,9513.45
6 and under72103411,367,8812,221,131104,5854.71
7 and under81572481,181,6121,863,007106,6015.72
8 and under91522331,284,3371,968,635130,7236.64
9 and under10105166994,8401,575,066128,2738.14
10 and under1190146946,0231,534,144147,5939.62
11 and under1283127954,3051,460,151159,39110.92
12 and under152243093,012,3324,149,724516,37412.44
15 and under201912743,302,5724,739,081728,66915.38
20 and under251391873,088,6594,143,890758,90318.31
25 and under301071332,928,0663,625,780780,15421.52
30 and under3563782,047,2022,533,700644,40725.43
35 and under4052621,945,9612,314,741618,04726.70
40 and under4534401,457,0411,713,688489,53928.57
45 and under5024291,139,1431,379,180462,90633.56
50 and under6034441,843,2372,377,593775,02132.60
60 and under7018231,154,7061,474,941531,76236.05
70 and under80812599,949893,922302,65333.86
80 and under901014859,9651,206,056480,79639.87
90 and under100910854,004947,169408,40043.12
100 and over19193,204,3153,204,3151,368,56042.71
    Totals, 19586,89011,84045,105,52664,241,43110,005,23315.57
    Totals, 19577,04711,97741,076,81258,465,8817,597,98613.00
    Totals, 19566,81411,57241,119,57157,386,1977,917,18913.79
    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 1958 was £5,426 (males £6,546; females, £3,866), inclusive of a small number of “nil” estates. Duty on male estates amounted to £7,822,778 and on female estates £2,182,455.

The fall in the percentage of duty assessed from 1955 to 1957 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. An amendment to the Act, passed in 1958, provided for a graduated increase in duties on estates of a net value of over £12,000. The 1958 provisions are partially reflected in the figures shown for 1958, although the effect for a complete year will not be shown until the figures for the calendar year 1959 are available.

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 Duty Assessed per EstateAverage Duty as Percentage of Average Value
MalesFemalesTotalMalesFemalesTotal
£(000)£(000)£££Per CentPer CentPer Cent
Under11..10.250.060.16
1 and under21217140.791.130.95
2 and under32458380.972.331.55
3 and under448114721.393.302.10
4 and under5821901281.834.262.87
5 and under61352751882.475.033.45
6 and under72434093073.736.284.71
7 and under83725294304.947.075.72
8 and under94966835615.878.086.64
9 and under107338427737.738.858.14
10 and under119901,0441,0119.429.949.62
11 and under121,2451,2731,25510.8311.0810.92
12 and under151,6845,6381,67112.5212.2412.44
15 and under202,6662,6452,65915.4215.2815.38
20 and under254,1053,9234,05818.4717.8518.31
25 and under305,7786,2285,86621.1123.2121.52
30 and under358,3967,6988,26225.8423.7425.43
35 and under010,0059,7799,96826.7426.5226.70
40 and under4512,35711,56812,23828.8327.0428.57
45 and under5015,72717,09015,96233.1435.6033.56
50 and under6018,12415,88017,61433.4329.7232.60
60 and under7022,53125,24123,12035.1239.4136.05
70 and under8024,15427,35625,22132.2137.2233.86
80 and under9034,41134,17234,34340.0139.4939.87
90 and under10041,37736,00440,84043.6138.6543.12
100 and over..72,029..72,02942.71..42.71
    All Estates, 19581,13544184517.3411.4115.57
    All Estates, 195783734463414.379.7613.00
    All Estates, 195692933468415.399.7713.79
    All Estates, 195584433567015.8610.2415.00
    All Estates, 195498545976717.6314.4016.71

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 almost £1,000,000. 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—1958

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)4,0732,2091,7141,89060627610,768
    Average per estate£4601,5012,0033,5735,88214,540909
    Furniture, effects, etc.£(000)1,272414246369114242,538
    Average per estate£1442814056971,1061,256214
    Farm, stock, implements, etc.£(000)1962025109015072332,550
    Average per estate£221385961,7044,92312,267215
    Private business interests£(000)992515788693713172,485
    Average per estate£111716751,6433,59916,674210
    Assurance policies£(000)1,0075666437923661613,515
    Average per estate£1143857511,4973,5548,461299
    Loans£(000)9711,1661,4422,1995641746,515
    Average per estate£1107921,6854,1565,4739,173550
    Shares, stocks, etc.£(000)9121,3722,1063,5602,0221,24511,216
    Average per estate£1039332,4606,72919,63165,501947
    Real property£(000)7,8233,6063,8714,0851,51534521,245
    Average per estate£8832,4514,5227,72314,70418,14617,943
    Interests, estates and trusts£(000)2401712913961621181,378
    Average per estate£271163407491,5706,201116
    Other property£(000)559299292298177621,687
    Average per estate£632043415641,7163,269143
    Foreign property£(000)1211142313803702941,510
    Average per estate£14772697193,59015,458128
    Notional estate£(000)9903555215703681712,975
    Average per estate£1122416091,0783,5718,976251
Debts—
  Unsecured—New Zealand£(000)893329396451214992,382
  Secured—New Zealand£(000)1,197403570390168362,764
    Total (including foreign)£(000)2,1157389738473831355,191
      Average per estate£2395021,1361,6013,7227,127438

The number of estates in each age and group for 1958 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
YearsYears               
Under20178116..1................43
20 and under251715224431..............66
25 and under30141722176553............89
30 and under351320281791098............114
35 and under402413392414711543..2....146
40 and under453427322920154295..1..1..215
45 and under5040577753371643191183111367
50 and under55635810392433254279175571516
55 and under6080971361078346854217221155 736
60 and under65115148177131965513145252713671977
65 and under70179169249212122761734727351891441,334
70 and under7519220138228817011722199475430131521,831
75 and under80243239447337185117267107487225132742,131
80 and under852112073502561689824410153431491551,774
85 and under90117103194160875013044182515381955
90 and under9553487964262743171012433..389
95 and over1610131189128..21......90
Unspecified36119712 1............67
      Totals1,4641,4482,3701,8151,0796861,471582274320140691031911,840
      Per cent12.3712.2320.0215.339.115.7912.424.922.322.701.180.580.870.16100.00

BANKRUPTCY.—The law relating to bankruptcy in New Zealand is contained in the main in the Bankruptcy Act 1908 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 and household effects, including wearing apparel of himself and family, which a bankrupt may select and retain as his own property 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. 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
1955293257366311
1956371309628019
1957421364577416
1958479392878216
19595945118313124

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 1955 there has been a decided upward trend, the annual average being 100 for the five years 1945–49 compared with an average of 449 for the years 1955–59, although the numbers in recent years are still 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 1157.

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. Time-lag variations of this nature account for the amounts paid during 1959 exceeding the figures for amounts realized. Since 1954 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 I deceased person's estate under Part IV of the Administration Act 1952.

† Including 2 deceased persons' estates under Part IV of the Administration Act 1952.

‡ Including 3 deceased persons' estates under Part IV of the Administration Act 1952.

  ££££
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
1958495184,795819,135130,78312,797
1959618394,877755,193200,77512,596

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
19491,13512.07
195088731.62
195194434.28
19521,49511.57
19531,77212.31
19541,49314.32
19551,25825.24
19561,40414.33
19571,79012.85
19581,65515.97
19591,22226.59

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. With all partnerships the liabilities for each partner are included, but not the partnership.

Liabilities19551956195719581959

* Total excludes 2 partnerships.

† Total excludes 3 partnerships.

‡ Excludes 3 partnerships, also 2 companies for which no statement of liabilities has been filed.

§ Total excludes 5 partnerships.

Under£250527515994138
£250 and under£500597571105145
£500 and under£1,000789779112124
£1,000 and under£2,00065766085106
£2,000 and under£5,0003446466974
£5,000 and over1619192526
    Totals304388*434490613§

Most failures are for comparatively small amounts. Of a total of 2,244 bankruptcies during the five years surveyed 23 per cent were for liabilities of less than £250 and 44 per cent for liabilities under £500.

Occupations of Bankrupts.—The table below shows in broad group 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.

19551956195719581959

* Excludes 2 partnerships.

† Excludes 3 partnerships.

‡ Excludes 5 partnerships.

Agriculture and livestock production2825343670
Forestry, hunting, and fishing73122226
Mining and quarrying121....
Manufacturing—
    Food and beverages481561
    Footwear and textiles265..5
    Wood, furniture, and fixtures510753
    Printing and publishing1 1 4
    Machinery (not electrical)45435
    Transport equipment101062221
    Other275710
Construction6571676998
Wholesale and retail trade4850648290
Other commerce..3......
Transport, storage, and communication3063667266
Personal and community services3029334452
Activities not adequately described—
    Contractor5510269
    Labourer1826545187
    Other3346343142
        Totals293369*418476589

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 24 companies wound up by Court order during 1959 the nature of activity in each case was described as follows: air passenger and freight service, 1; auctioneer and general dealers, 1; bridge building contractors, 1; building contractors, 1; clothing manufacturer, 1; contractor, 1; drapery, 1; garage proprietors, 1; gown salon, 1; home-appliance retailers, 1; mattress manufacturers, 1; motor dealers, 1; photographic dealers, 1; pie-cart operators, 1; poultry and winter show association, 1; poultry traders, 1; printers, 1; sawmilling, 1; traders, 2; transport operators, 1; tyre recapping, 1; veterinary clinic, 1; wood moulding, 1.

The occupational status of individual bankrupts during each of the calendar years 1949–59 is given in the following table. With all partnerships the occupation of each partner is included, but not the partnership.

YearOccupational Status
Working for Salary or WagesEmployer of LabourWorking on Own Account But Not Employing LabourTotal

* Excludes 1 partnership.

† Includes one retired person.

‡ Excludes 2 partnerships.

§ Excludes 3 partnerships.

|| Excludes 5 partnerships.

1949523493179
1950444355142
1951612657144*
1952644063167*
1953913489214*
195410337123263
195510839145293
195618849132369
195721171136418§
195821380183476§
195928899202589||

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 according to the amount of liabilities.

Liabilities19541955195619571958

* 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.

‡ Excludes 1 estate in which the assignor was subsequently adjudged bankrupt, and 2 estates for which no information is available.

§ Excludes 10 assignments not proceeded with.

Under£250..........
  £250 and under£500....1..1
  £500 and under£1,000111....
£1,000 and under£2,00058663
£2,000 and under£5,00061217118
£5,000 and over810131912
Unspecified..2   
    Totals2033*383624§

The amounts of liabilities involved are relatively much higher for private assignments than for bankruptcies. For the five years 1954–58, 97 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.

19541955195619571958

* Includes 3 estates in which the assignors were subsequently adjudged bankrupt.

† Excludes 1 assignment not proceeded with and 1 assignment for which no information was available.

‡ Excludes 1 estate in which the assignor was subsequently adjudged bankrupt, and 2 estates for which no information is available.

§ Excludes 10 assignments not proceeded with.

Agriculture and livestock production..342..
Manufacturing..2......
Construction91652178
Wholesale and retail trade351898
Transport, storage and communication321....
Personal and community services34145
Activities not adequately described21243
          Totals2033*383624§

Of the 1958 total, 14 were employers of labour, 2 were employees, and 8 were working on own account.

Provisional figures for 1959 show the number of private assignments as 54. 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.

NEWSPAPERS.—There are eight daily newspapers in the four main metropolitan areas with a total circulation of 647,000. In the smaller cities and provincial towns there are 34 daily newspapers with a total circulation of 256,000. Other-than-dailies increase the aggregate circulation per day to 1,090,000. In addition, there are three national weeklies circulating over 423,000 copies.

Of the 101 newspapers now being published in New Zealand, 42 are daily, 25 are tri-weekly or bi-weekly, and 34 are weekly.

When circulation figures for daily newspapers are related to population figures, it is found that New Zealand has 387 copies per 1,000 inhabitants. The latest comparative figures for other countries include United Kingdom, 573; Australia, 381; Canada, 244; United States, 347; U.S.S.R., 107; Sweden, 462; Norway, 374; Denmark, 376; and France, 244. (Source: UNESCO Statistics of Newspapers and Other Periodicals 1959).

Statistics compiled from various sources disclose that from 1840 to 1940 altogether 468 newspapers (of all categories) were established in New Zealand. The acceleration of motor transport had a speedy and decisive effect on the small-town press. Many local papers which, by publishing once, twice, or three times a week, had been serving adequately the needs of a district and backblocks were unable to survive when the city papers were able to reach remote settlements within a few hours of publication, offering to country dwellers such superior attractions as daily publication, full services of New Zealand and world news, sporting news, and attractive magazine features. Under the steady pressure of competition, mergers were effected in a number of provincial towns to reduce the quota of papers, generally to a single daily. (Reference: Newspapers in New Zealand by Dr Guy H. Scholefield).

The circulation of all periodicals is not known, but for 111 periodicals (not including three national weeklies earlier classified as newspapers) the circulation is 1,563,000. (These statistics are compiled from information gathered by the Association of New Zealand Advertisers).

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 collections 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.

1953–541956–571958–59
Theatres—
  Screening 6 days per week195206206
  Screening odd days per week328332298
  Circuit594043
          Totals582578547
Theatres according to seating accommodation—
  Other than circuit theatre—
    Under 2009110589
    200 and under 500220215206
    500 and under 1,000170179170
    1,000 and under 1,500322928
    Over 1,500101011
  Circuit theatres594043
          Totals582578547
1953–541956–571958–59

*1953–54 figures are approximations only.

†Not available.

Seating accommodation (all theatres)*
  Seats, under 2s. (excluding amusement tax)No.102,96270,84663,867
  Seats, 2s. and under 3s. (excluding amusement tax)No.145,181149,281144,656
  Seats, 3s. and under 4s. (excluding amusement tax)No.16,75932,24734,195
  Seats, 4s. and over (excluding amusement tax)No.12,05114,965
        TotalsNo.264,902264,425257,683
Number of paid admissionsNo.(000)37,36837,59638,208
Average admission charge (including amusement tax)d.23.628.630.5
Average attendance per head of populationNo.18.117.116.6
Number of performances for yearNo.153,262155,273
Average attendance per performanceNo.245246
Average seating capacity per hallNo.457471
Average number of screenings per week—
  Theatres—
    Screening 6 days per weekNo.10.711.0
    Screening odd days per weekNo.2.12.2
    CircuitNo.0.91.3
Persons engaged—
  Full time—MalesNo.590594550
             FemalesNo.456449444
  Part time—MalesNo.9089871,083
             FemalesNo.1,2741,4621,524
          TotalsNo.3,2283,4923,601
Revenue—
  Admission receipts (including amusement tax)£(000)3,6804,4834,850
  Screen advertising£(000)127132135
  Other receipts£(000)153114119
          Totals£(000)3,9594,7295,104
Expenditure—
  Salaries and wages£(000)8401,0091,081
  Film hire£(000)9821,1861,319
  Freight£(000)495758
  Advertising£(000)253273324
  Amusement tax£(000)300370425
  Rent£(000)31960361
  Repairs and maintenance£(000)116192180
  Depreciation£(000)81135161
  Other expenses£(000)465475459
          Totals£(000)3,4044,0474,368

The number of theatres covered in this survey dropped from 578 in 1956–57 to 547 in the latest year, the decrease being entirely within the group of cinemas screening odd days in the week. Theatres screening six days or more a week, at 206, remained the same as the previous census two years ago. Average admission charges at 30.5d. record a rise of 7 per cent over those of the previous year covered (1956–57) and although paid admissions increased to 38,208,000, over half a million more than 1956–57, the average annual attendance per head of population has fallen from 17.1 to 16.6.

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
1939–4031,1712,009,66253,7831,955,87915.5191
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
1958–5938,2084,850,483425,4344,425,04930.516.6

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 the United Nations Statistical Yearbook.

CountryYearNumber of Admissions
Total (Million)Per Head
Republic of Ireland195752180
United Kingdom195791517.8
East Germany195531017.2
Italy195480116.8
New Zealand19583816.6
Austria195511015.8
Israel19562715.4
West Germany195681815.4
Hong Kong19523415.1
Russia (U.S.S.R.)19573,06315.1
Australia195613714.5
United States of America19572,40014.0
Czechoslovakia195718613.9
Japan19571,09912.1
Denmark195615211.7
Belgium195710311.5
Hungary195611411.5
Canada195717710.6
Spain195430010.4
Bulgaria19577810.1
Norway19573510.0
France19574299.7
Sweden1958709.4

Classification by Provincial Districts.—The following two tables show some of the principal statistics of cinemas for 1958–59 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 17.5 visits a year to the cinema for every member of the population as against 14.0 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 19.5, far exceeding those of other districts, and approximately 17 per cent higher than the average attendance for New Zealand.

Provincial DistrictPopulation 1 April 1959Number of TheatresSeating AccommodationPaid AdmissionsAverage Admission ChargeAverage Attendance Per Person*Gross Admission Takings
* Based on mean population in this case.
 No.No.No. of Seats(000)d.No.£
Auckland950,609237107,81316,41430.617.32,094,163
Hawke's Bay108,8002912,6901,85328.917.0222,918
Taranaki98,7003113,4141,52127.815.4176,302
Wellington451,9007950,4998,37330.718.51,071,132
Marlborough27,80083,09236730.613.246,679
Nelson73,400258,99294126.312.8103,277
Westland18,700103,36636428.019.542,452
Canterbury329,9206028,2284,81532.614.6654,337
Otago—
    Otago portion174,5004419,1372,30430.713.2294,375
    Southland portion91,8002410,4521,25527.713.7144,848
        Totals2,326,129547257,68338,20830.516.6*4,850,483
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.
Auckland179,1231,915,040548,53828.666,879245455
Hawke's Bay19,299203,61965,25332.08,038231437
Taranaki15,118161,18445,07728.06,860222432
Wellington95,729975,403296,38130.432,600257639
Marlborough4,07542,60410,02523.51,928190386
Nelson8,87394,40429,14430.94,672202359
Westland3,58638,86610,52127.11,660220336
Canterbury61,307593,030184,60731.118,053267470
Otago—
    Otago portion25,909268,46685,57831.99,123253434
    Southland portion12,415132,43343,66833.05,460230435
        Totals425,4344,425,0491,318,79229.8155,273246471

Classification by Urban Areas.—Statistics have been prepared for the principal urban areas for the latest year and are shown in the next table. 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 nearly 30 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 8.1 persons. Auckland comes next with 1 seat for every 8.8 persons, then Dunedin with 1 seat for 10.2 persons, while Christchurch seems relatively low with only 1 seat for every 14.4 persons.

Urban AreasPopulation 1 April 1959Number or TheatresSeating AccommodationPaid AdmissionsAdmissions per SeatAverage Admission ChargeAverage Attendance Per PersonGross Admission TakingsAmusement Tax
 (000)No.No. of Seats(000)No.d.No.££
Auckland413.15946,8748,814188.033.321.31,224,183108,234
Wellington (incl. Hutt)236.24029,0005,133177.032.021.7685,18262,139
Christchurch21002014,5563,511241.234.316.7501,21947,857
Dunedin102.51310,0501,665165.732.916.2228,03220,927
    Totals961.8132100,48019,123190.333.119.92,638,616239,157
Urban AreasNet Admission TakingsFilm HireFilm Hire as Proportion of Net Admission TakingsRevenueExpenditureNumber of Performances 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
Auckland1,115,949331,94129.71,2921,08531,55827997828.6
Wellington (incl. Hutt)623,043187,45230.171061419,27926690229.5
Christchurch453,362146,02832.252446710,80032588236.9
Dunedin207,10570,09633.82382155,3733101,04029.8
    Totals2,399,459735,51730.72,7632,38367,01028594630.2

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
* Thirteen circuits.
 No.No. of Seats(000)No.d.£
Six days per week206169,11233,177196.231.54,352,088
Odd days per week29881,0764,73558.423.8468,739
Circuit43*7,49529539.424.129,656
    Totals547257,68338,208148.330.54,850,483
ScreeningAmusement TaxNet Admission TakingsFilm HireFilm Hire as a Proportion of Net Admission TakingsRevenueExpenditure
 £££Per Cent£(000)£(000)
Six days per week390,7753,961,3131,185,64629.94,5573,863
Odd days per week32,971435,768124,59628.6515473
Circuit1,68827,9688,55030.63231
    Totals425,4344,425,0491,318,79229.85,1044,368
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 week5124294761,207118,28228089231.5
Odd days per week341557130934,13313934140.7
Circuit4 3682,85810319154.1
    Totals5504441,0831,524155,27324675832.5

LIBRARIES.—New Zealand is fairly well served with libraries and the book stocks and circulation figures compare favourably with those of other English-speaking nations.

Under the auspices of the New Zealand Library Association, Incorporated, a well-developed system of inter-library co-operation has been developed, particularly in the use of resources by means of inter-library loans. A union catalogue, which records the holdings of major libraries in one combined file, was begun in 1941 and is maintained on behalf of the Association by the National Library Centre of the National Library Service, which also maintains a union list of periodical holdings. The Centre acts as a clearing house for requests from libraries in cases in which the location of a book or periodical is not known, and in the year ended 31 March 1959 handled 29,508 such requests. This work and various other bibliographical projects are carried out by the Centre in close co-operation with the Library Association.

Public libraries outside the main centres, and groups of readers in country areas, receive assistance from the Country Library Service, a division of the National Library Service. Such assistance takes the form of bulk loans of books, renewed at regular intervals, special loans of collections of books, and a request service for individual titles. To supply serious requests for titles which are not in its own stock the Country Library Service uses the collection of the National Library Centre or, if the books are not available there, uses the machinery of inter-library loan. It is therefore possible for a reader in the most isolated locality to have access to almost any book held by a New Zealand library. (Fuller information on the National Library Service is given in Section 6—Education.)

Two complementary systems of training librarians exist. The New Zealand Library Association conducts a two-year correspondence course for assistants with a minimum educational standard of School Certificate, and awards its certificate to successful students. The Library School of the National Library Service admits university graduates to its professional course, which lasts for one academic year and leads to the award of the diploma of the school. The Library School course is a full-time one and students receive allowances based on those paid to students of teachers' training colleges. The position of either qualification, followed by prescribed periods of suitable work in libraries, entitles librarians to apply for the Associateship of the New Zealand Library Association.

CENSUS OF LIBRARIES, 1959.—The quinquennial census of libraries was taken for the year ended 31 March 1959. The census covered a total of 286 libraries comprising 3 national libraries, 21 university libraries (including the libraries of other institutions of higher education), 98 special libraries, and 164 public libraries. This census differs from the last one taken in 1954 when only public libraries were included.

There is no comprehensive national library in New Zealand, but the three libraries listed as national libraries—the General Assembly Library, the Alexander Turnbull Library, and the National Library Service perform most of the functions of a national library.

The university libraries (including other institutions of higher education) comprised the libraries of the four universities with six libraries in close association, the libraries of six teachers' training colleges, the libraries of the two agricultural colleges, together with one library closely associated, and the libraries of two theological colleges.

The special libraries were for the purpose of this census, divided into (a) libraries of learned societies, etc., and of commercial interests and (b) libraries of Government Departments. There were 22 libraries in the former category and 76 in the latter.

Public libraries (those controlled or largely supported by a local authority) showed an increase of 26 over the 1954 census—164 as against 138.

The following are summarized tables of the results of the 1959 Census. Full details have been published in a separate report dealing with this subject, prepared by the Department of Statistics.

NATIONAL, UNIVERSITY, AND SPECIAL LIBRARIES—BOOK STOCK AND CIRCULATION

Number of LibrariesBook Stock at 31 MarchCirculation During Year
BooksSerialsPamphletsTotalItems Lent Outside the Library*Items Lent to Other Libraries*Items Borrowed From Other Libraries*

* Items include books, serials, and pamphlets.

† Total does not balance as in some instances information was incomplete.

National libraries3983,76627,00880,2481,091,02231,286120,2785,173
University libraries21406,97291,92691,403818,189296,5095,2755,418
Special libraries—
  Learned societies, etc.22113,69552,51425,872225,94332,8811,2191,175
  Government Departments76361,162321,774424,1931,100,004348,9586,97417,801
Totals, special libraries98474,857374,288450,0651,335,947381,8398,19318,976
Grand totals1221,865,595493,222621,7163,245,158709,634133,74629,567

PUBLIC LIBRARIES—BOOK STOCK AT 31 MARCH 1959

Public Libraries in Areas With a Population of—Number of LibrariesOwn StockFor Reference Only (Included in Own Stock)Country Library Service Stock
Pay CollectionFree FictionFree Non-fictionFictionNon-fictionTotalAdultJunior
* Total does not balance as one library gave total only.
50,000 and over21104,204307,107545,692107,71046,8321,111,54556,6251,18916,102
20,000 and under 50,0001139,014107,712180,61154,84220,472402,65122,3055,78310,516
10,000 and under 20,0001234,71635,43061,08426,9075,150163,2872,72017,8647,698
3,000 and under 10,00050109,84691,82857,64735,5245,860311,705*3,57828,67610,652
Under 3,0007081,66590,34035,34717,4773,322228,1512,86031,0258,300
          Totals164369,445632,417880,381242,46081,6362,217,339*88,08884,53753,268

PUBLIC LIBRARIES—BOOKS: CIRCULATION AND USE

Public Libraries in Areas With a Population of—Number of LibrariesOwn StockCountry Library Service StockInter-Library Loans
AdultJuniorTotalAdultJuniorLent to Other LibrariesBorrowed from Other Libraries
Pay CollectionFree FictionFree Non-fictionPeriodicals
* Total does not balance as in some instances information was incomplete.
50,000 and over211,748,5681,466,6141,137,945422,4981,265,9766,041,6014,890115,2641,9765,196
20,000 and under 50,00011730,2661,269,168514,918130,228708,7163,353,29627,77341,7984624,208
10,000 and over 20,00012666,002436,404358,67686,178400,3071,947,56760,84939,357236,584
3,000 and under 10,000501,065,150583,767372,76962,189381,4842,465,359142,58185,7423259,325
Under 3,00070704,312338,997123,11521,887159,8291,353,864*161,99358,0581837,467
    Totals1644,914,2984,094,9502,507,423722,9802,916,31215,161,687*398,086340,2192,96932,780

NATIONAL, UNIVERSITY, AND SPECIAL LIBRARIES—FINANCE FOR YEAR ENDED 31 MARCH 1959

Number of LibrariesReceiptsExpenditure
Grants from Controlling AuthorityOther ReceiptsTotal ReceiptsSalaries and WagesBooks and PeriodicalsOther Library MaterialOther Operating ExpensesCapital ExpensesValue by Gift and ExchangeTotal Expenditure
  ££££££££££
National libraries3158,6511,485160,136112,09256,4981,6448,097 8,330186,661
University libraries2171,2649,00580,26969,64854,6602,05412,12229,8998,990177,373
Special libraries—
  Learned societies, etc.2217,2344,96122,1959,6669,6972792,5471,8074,90828,904
  Government Departments7661,27326,26587,53885,62754,4404669,956..10,041160,530
    Totals, special libraries9878,50731,226109,73395,29364,13774512,5031,80714,949189,434
      Grand totals122308,42241,716350,138277,033175,2954,44332,72231,70632,269553,468

PUBLIC LIBRARIES—FINANCE FOR YEAR ENDED 31 MARCH 1959

Libraries in Areas With a Population of—Number of LibrariesAmount Levied for Library PurposesReceiptsExpenditure
Grants from Controlling AuthorityOther ReceiptsTotal ReceiptsSalaries and WagesBooks and PeriodicalsOther Operating ExpensesTotal Operating ExpensesSpecial Works and Capital ExpenditureTotal Expenditure
  ££££££££££
50,000 and over21282,679291,66178,180369,841172,38280,30190,353343,03625,614368,650
20,000 and under 50,0001132,83063,04844,922107,97057,63232,47217,760107,8644,93512,799
10,000 and under 20,0001231,71243,77319,80263,57531,35819,01612,76063,1343,07566,209
3,000 and under 10,0005029,66476,14534,194110,33936,71027,18412,65376,54734,223110,770
Under 3,0007013,25522,58123,25445,83518,35716,4206,58841,3653,10744,472
    Totals164390,140497,208200,352697,560316,439175,393140,114631,94670,954702,900

INTERNATIONAL STATISTICS ON LIBRARIES.—The following tables compiled from published UNESCO statistics show New Zealand's position in relation to other English-speaking countries as regards library resources, borrowers and book circulation. (Source: Statistics on Libraries, UNESCO, 1959.)

NATIONAL, UNIVERSITY, AND SPECIAL LIBRARIES

CountryPopulation (Million)YearType of DataLibrary Category
NationalUniversitySpecial

*Estimated.

†In 1949.

‡In 1955.

§Books and pamphlets only. This library's holdings total 35,332,000 documents.

New Zealand2.31959Libraries32198
Volumes (000)1,0918181,336
Australia9.01954Libraries111350*
Volumes(000)4001,319..
Canada14.81953Libraries1268332
Volumes (000) 7,6304,232
Union of South Africa12.91952Libraries224..
Volumes (000)598975.. 
United Kingdom51.21956Libraries8458858* 
Volumes (000)9,64819,19013,654* 
United States of America168.21956Libraries11,832.. 
Volumes (000)10,776§125,000.. 

PUBLIC LIBRARIES

CountryPopulation (Million)YearNumber of LibrariesBook Stock, Number of VolumesBorrowersCirculation, Number of Volumes

*Estimated.

†For 100 libraries only.

‡Number of public library systems operating 31,957 service points.

    (000)(000)(000)
New Zealand2.319591642,21749215,162
Australia9.01954320*3,340*..5,264
Canada14.819537658,4051,672..
Union of South Africa12.919523333,29832510,230
United Kingdom51.2195657363,40013,570398,730
United States of America168.219567,500157,22425,361348,606

ART GALLERIES AND MUSEUMS.—New Zealand art galleries and museums follow progressive modern lines in endeavouring to cater for a wide range of artistic and scientific interests. While one of their primary aims is to feature New Zealand material, their collections, particularly those of the larger centres, include overseas subjects.

The Art Galleries and Museums Association of New Zealand (Incorporated) comprises 17 institutional members as follows: Auckland Institute and Museum; Auckland Art Gallery; Waikato Art Gallery, Hamilton; Gisborne Art Gallery and Museum; Hawke's Bay Art Gallery and Museum, Napier; Taranaki Museum, New Plymouth; Wanganui Public Museum; Sargeant Art Gallery, Wanganui; Dominion Museum, Wellington; New Zealand Geological Survey, Lower Hutt; Nelson Museum; Bishop Suter Art Gallery, Nelson; Canterbury Museum, Christ-church; South Canterbury Historical Museum, Timaru; Otago Museum, Dunedin; Hocken Library, Dunedin; and Southland Museum, Invercargill.

Other art galleries include the following: National Art Gallery, Wellington; Robert McDougall Art Gallery, Christchurch; and Dunedin Public Art Gallery.

New Zealand museums are particularly rich in New Zealand Maori and related Polynesian material. While the chief activities and qualifications of staff in New Zealand museums have in the past lain in the fields of natural history and Maori ethnology, in recent years they have had to take increasing responsibility for historical and technological material. The Art Galleries and Museums Association and the Royal Society of New Zealand have investigated the need for and possible organization of technological museums, and their findings may determine a pattern of future development.

A steady increase in the artistic achievement of New Zealand artists progressively enriches the collections of New Zealand art galleries. In the art field the broadening of collections by the acquisition of more overseas material is a need which is engaging the attention of New Zealand's art galleries. The same need in the field of natural history, archaeology, and history is increasingly the concern of New Zealand museums.

While no uniform pattern for the control and financing of New Zealand's art galleries and museums applies, they are for the most part run by boards deriving their funds from bequests, local authority grants, public subscriptions, and donations. The Dominion Museum and National Art Gallery has for a number of years received a substantial Government subsidy.

International co-operation in the featuring in New Zealand of overseas exhibitions and in overseas countries of New Zealand exhibitions has been characteristic over recent years of the progressive policies of New Zealand's art galleries and museums.

CULTURAL AWARDS.—A number of cultural awards are available in New Zealand, some being scholarships or bursaries or their equivalent, others being awards for achievement.

The literary field includes the following:

  1. New Zealand Literary Fund.—This fund is financed by a yearly appropriation on the vote of the Department of Internal Affairs, the amount in recent years being £2,000. Assistance from the Fund is granted by the Minister of Internal Affairs who is advised by the Literary Fund Advisory Committee. The approved categories of assistance are: (1) Grants towards the publishing costs (or by other appropriate means) to enable the publication of writing of literary merit in such fields as contemporary creative literature, historical writing, reprints of New Zealand classics, and Maori literature. (2) Grants to New Zealand authors undertaking creative work on approved projects. (3) Grants towards the cost of publication (or other appropriate means) of critical books and studies, to encourage the reading and study of New Zealand literature. (4) Such other assistance as the committee with better knowledge gained by its experience may deem desirable.

  2. Scholarship in Letters.—The Scholarship is available annually for award to a New Zealand writer by the Minister of Internal Affairs on the recommendation of the Literary Fund Advisory Committee. It is of the value of £550. The Scholarship is intended to enable the recipient to give all or most of his time to the project or projects nominated by him, either in New Zealand or abroad, during the year of tenure. Applications for tenure during the following calendar year are made before 31 August to the Secretary for Internal Affairs.

  3. Robert Burns Fellowship in Literature.—This Fellowship in Literature is tenable for one year, with provision for extension, at the University of Otago, a condition being that the Fellow shall be resident for the academic year. The Fellowship is open to New Zealand writers, preferably under 40 years. The Fellow receives the equivalent of a lecturer's salary. Applications are made to the Registrar, University of Otago, Dunedin.

  4. A ward for Achievement.—The Award for Achievement of £100 is available annually for award to a New Zealand writer by the Minister of Internal Affairs on the recommendation of the Literary Fund Advisory Committee. (Applications are not called for.)

  5. Esther Glen Award.—This Award of the New Zealand Library Association is available annually for award to the author of the most distinguished children's book written by a New Zealander and published in New Zealand during the year. The award consists of a medal. (Applications are not called for.)

  6. Hubert Church Prose Award.—This Award of P.E.N. (New Zealand Centre) is available annually for the best prose writing by a New Zealand author during the year in question. The amount is £50. (Applications are not called for.)

  7. Jessie Mackay Poetry Award.—This Award of P.E.N. (New Zealand Centre) is available annually for the best poetry written by a New Zealand author during the year in question. The amount is £50. (Applications are not called for.)

  8. Katherine Mansfield Memorial Award.—This Award of the New Zealand Women Writers' Society (Inc.) is financed from funds provided by the Bank of New Zealand. It is open to New Zealanders (both men and women) by birth or residence. In 1959 entries were called for in two sections, one for an essay or article and the other for a short story, the prizes being 50 guineas in each section. The next competition will be in 1961.

In the field of music, drama, ballet, and art, the New Zealand Government gives assistance through bursaries and scholarships to individuals and grants to professional and amateur organizations.

New Zealand has no advanced training institutions in music, drama, ballet, or art, and students must go overseas for such training. The Government offers bursaries of the value of £400 a year, plus £50 towards return passage, to promising students in music, drama, and ballet. The Association of New Zealand Art Societies and the National Art Gallery each award scholarships of the value of £500 a year financed from Government funds.

Each year grants are made to various national and local cultural groups. Substantial subsidies have been made to the New Zealand Players Company, the New Zealand Opera Company, and the New Zealand Ballet Company. Other organizations which have received assistance from Government funds include the New Zealand Drama Council, the New Zealand Film Institute, the British Drama League, the New Zealand Federation of Chamber Music Societies, the Alex Lindsay Orchestra, the Architectural Gallery, Wellington, the Auckland Junior Symphony Orchestra, and the Festival of the Pines, New Plymouth.

NATIONAL HISTORIC PLACES TRUST.—Under the Historic Places Act 1954 a National Historic Places Trust was established for the purpose of preserving and marking and keeping permanent records of places and objects of national or local historic interest. The original members of the Trust were appointed as from 11 August 1955. Seventeen regional committees have been formed. The Trust is preparing a list of buildings throughout the country which it will be prepared to take action to preserve.

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 1958–59 was 4,498, which was 117 less 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.
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
1957–58*2,3981,956261
1958–59*2,3561,896246

The total receipts of the Patent Office for 1958–59 amounted to £52,903, of which patent fees amounted to £35,295; trade mark fees, £16,806; design fees, £802. Payments during 1958–59 amounted to £40,456. Copyright fees in 1958–59 amounted to £20.

Patents.—The number of applications for letters patent in 1958–59 was 2,356, as compared with 2,398 in 1957–58 and 2,324 in 1956–57.

The applications received during 1958–59 may be broadly classified as follows: Mechanical engineering, 693; chemistry, 507; electrical engineering, 293; primary industries, 283; building construction, 273; home science and miscellaneous, 307.

Great Britain with 670 applications was slightly less than New Zealand (738), followed by the United States of America (363), Australia (160), with the remainder (425) distributed among twenty-one other countries.

Trade Marks.—The number of applications in respect of trade marks during 1958–59 was 1,896, as compared with 1,956 in 1957–58 and 1,858 in 1956–57. Classes 5 (pharmaceutical, veterinary and sanitary substances) and 25 (clothing) again predominated with 306 and 195 applications respectively, and they were followed by Class 3 (soaps, detergents, cosmetics, etc.) 127; Class 1 (chemicals, etc.) 110; Class 7 (machines and machine tools, etc.) 90; Class 30 (coffee, tea, cocoa, cereal products, etc.) 78.

The countries from which the applications originated were: New Zealand, 630; Great Britian, 453; United States of America, 345; Australia, 114; with the remainder 354 distributed between eighteen other countries.

Renewal of registration of 1,360 trade marks was effected during the year.

Designs.—Applications for the registration of designs in 1958–59 totalled 246, compared with 261 in 1957–58 and 250 in 1956–57. The total number of applications since the inception of design registration in New Zealand is 8,163.

GENERAL ELECTIONS.—A general election of parliamentary representatives was held on 30 November 1957, voting in New Zealand for both European and Maori electorates taking place on that day.

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 on 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.

The following table shows for the 1954 and the 1957 General Elections the number of votes recorded by the main political parties along with the percentages that the various party votes represent of the total votes recorded and of the total valid votes.

PartyVotes RecordedPercentage of Total Votes RecordedPercentage of Total Valid Votes
195419571954195719541957
Labour484,082559,09643.7848.0744.1348.31
National485,630511,69943.9343.9941.2844.21
Social Credit122,06883,49811.047.1811.137.22
Communist1,1347060.100.070.100.06
Other3,9792,3660.360.200.360.20
Total valid votes1,096,8931,157,36599.2199.51100.00100.00
Informal votes8,7165,6960.790.49....
Total votes recorded1,105,6091,163,061100.00100.00....

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. The relative strengths after the three preceding general elections were as follows: November 1949, National 46, Labour 34; September 1951, National 50, Labour 30; and November 1954, National 45, Labour 35.

A statement of voting in individual electorates (both European and Maori) at the general election in 1957 was given on pages 1174–1178 of the 1958 Year-Book.

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 140 in 1957. National continuance reached 63.4 per cent in 1935, since when it fell gradually to 540 per cent in 1946, recovered substantially at the expense largely of the State purchase and control vote to 62.0 per cent in 1949, was steady at 61.9 per cent in 1954 and rose to 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, were given on page 1179 of the 1958 Year-Book.

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-licence 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. The Licensing Control Commission has the power-to grant new brewers' licences and, subject to appeal to the Supreme Court, to revoke existing ones.

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 1959 were receipts from fair prices, at £28,550, and payments as compensation for licences cancelled, at £3,100. The Fund stood at £125,886 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). In August 1956 the Commission commenced its general second statutory public review of the distribution of licences throughout New Zealand.

During the year ended 31 March 1959 the Commission reviews in the licensing districts dealt with a total of 147 publicans', accommodation, and wholesale licences, compared with a total of 175 in the previous year. In addition, representations for new licences totalled 14. The following table shows the number of licences either in force or authorized at 31 March 1959.

Publicans' and Accommodation LicencesTourist-house LicencesWholesale Licences
Licences allowable under sections 27 (1) and (2), 28 (1) and (2), of the 1948 amending Act and under the 1953 amendment1,18225231
Licences either in force or authorized at 1 April 19581,11622167
Licences cancelled or surrendered, 1958–5961..
New licences authorized, 1958–595....
Total licences either in force or authorized at 1 April 19591,11521167

NOTE.—Licensed premises in the Trust Areas of Ashburton, Clutha, Geraldine, Invercargill, Masterton, Mataura, and Porirua are not included in the above figures, as such areas are outside the jurisdiction of the Commission.

From 1 June 1949 to 31 March 1959, 173 applications had been filed for the grant of club charters. These had been dealt with as follows: charters issued, 113; granted but charters withheld pending compliance with conditions, 4; adjourned sine die, 17; declined, 20; withdrawn, 9; decisions not issued, 1; and awaiting to be heard, 6. One charter has been revoked, and two have lapsed. There are now 48 permanent charters and 110 renewable charters in force (at 31 March 1959).

The Commission was also concerned with 121 appeals lodged against decisions of Licensing Committees up to 31 March 1959, these being dealt with as follows: withdrawn, 24; heard, 95; dismissed, 74; and allowed, 18; while 2 cases awaited hearing.

Notices of cancellation or surrender of licences to 31 March 1959 have been given for 85 publicans', 17 accommodation, 1 wholesale; 100 of these have been heard, of which 10 have been adjourned, 10 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 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 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, as amended in 1957, any such licence granted for the raffling of any real or personal property in excess of £500 value is subject to a lottery duty of 10 per cent of the value of the tickets sold in the lottery. 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 1959, 4,382 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, 17 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.

1952–531953–541954–551955–561956–571957–581958–59
Number of lotteries 13131315161617
Gross sales£305,856418,279404,449608,620605,738588,258606,256
Commission on sales£45,87862,74160,66791,29390,86088,23990,938
Expenses£41,22248,60849,95264,06062,91955,57359,817
Prizes£71,00091,00091,000150,000160,000160,000170,000
Net proceeds£147,756215,930202,830303,267291,959284,446285,501
Lottery duty£30,58541,82740,44560,86260,57458,82660,625
Net profit£117,171174,103162,385242,405231,385225,620224,876

Allocation of funds earned from the art unions in the preceeding table during 1958–59 was as follows: £64,780 to charitable and philanthropic organizations; £15,091 to various mayoral or other recognized relief of distress funds; £19,239 to the Cultural Fund; £24,160 to sporting bodies; £14,573 to children's health camps; £10,000 to old folks' associations; £26,216 to youth organizations (Y.M.C.A., Boy Scouts, etc.); £10,200 to the bands' associations; national water safety—£15,500; and miscellaneous grants, £17,740.

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 1959 the numbers of such districts and areas were 81 and 461 respectively. A Controller, an Assistant Controller, 7 district welfare officers, and 25 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 1959 the Maori Women's Welfare League had a total strength of 2,898 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 1959 amounted to £24,996. Total subsidies paid under the Act amount to £252,233.

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 1959 wardens' certificates were held by 428 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 the Seismological Observatory.

One uniform time is kept throughout New Zealand. The New Zealand Gazette of 31 October 1868 contained a Government announcement to the effect that the time corresponding to longitude 172† 30' east of Greenwich (exactly 11½ hours in advance of Greenwich time) was to be adopted as the New Zealand Mean Time throughout the colony, and that from 2 November (of the same year) the public offices of the General Government were to be opened and closed in accordance therewith.

This New Zealand Mean Time, 11h. 30m. in advance of Greenwich Mean Time (G.M.T.), was observed continuously up to 1927, when on 6 November clocks were advanced 1 hour until 4 March 1928. The next period of Summer Time was from 14 October 1928 to 17 March 1929, but in this and in subsequent periods clocks were advanced only 30 minutes (to 12h. ahead of G.M.T.). The Summer Time Act of 1929 provided for clocks to be advanced 30 minutes from the second Sunday in October of any year to the third Sunday in March of the following year. By the Summer Time Amendment Act 1933 the period of Summer Time was extended from the first Sunday in September to the last Sunday in April. This amendment commenced in 1934, when the period of Summer Time was extended until 29 April.

The Daylight Saving Emergency Regulations of 1941 provided for the continuance of Summer Time throughout that year; and its continued observance during subsequent war years was provided for by regulations made annually.

By the Standard Time Act of 1945 the time of the meridian 180† east of Greenwich (12h. in advance of G.M.T.) was adopted as the Standard Time for New Zealand. Thus, what was formerly known as “Summer Time” became “New Zealand Standard Time” as from 1 January 1946. The times stated in this article are New Zealand Standard Time, unless otherwise stated.

The time throughout New Zealand is controlled by the Seismological Observatory, Wellington, The Observatory signal clock is kept as correct as possible by means of astronomical observations, and by comparison with radio time signals from observatories in other parts of the world.

The Observatory provides the following time-service:

  1. RADIO TIME SIGNALS TRANSMITTED THROUGH STATION ZLW ON A WAVELENGTH OF 500 Kc/s (600 METRES) I.C.W.

    These signals are transmitted between 10h. 55m. and 11h. 00m. a.m. daily, and are in accordance with the modified ONOGO system. The procedure is as follows:

    At 10h. 55m. 30s. the “Attention” call (***), followed by the Observatory call sign ZMO (***).

    From 10h. 56m. 05s. to 10h. 56m. 50s. the letter O (***), repeated every ten seconds, except that the third series from 25s. to 30s. consists of a single dash prolonged for five seconds.

    From 10h. 57m. 00s. to 10h. 57m. 49s. the letter X (***), repeated every five seconds.

    From 10h. 57m. 55s. to 10h. 58m. 00s., First Time Signal, consisting of six dots at intervals of one second.

    From 10h. 58m. 08s. to 10h. 58m. 50s. the letter N (***), repeated every ten seconds.

    From 10h, 58m. 55s. to 10h. 59m. 00s., Second Time Signal, consisting of six dots at intervals of one second.

    From 10h. 59m. 06s. to 10h. 59m. 50s. the letter G (***), repeated every ten seconds. From 10h. 59m. 55s. to 11h. 00m. 00s., Third Time Signal, consisting of six dots at intervals of one second.

    The series of six dots which constitute the actual time signals are transmitted directly from the Observatory signal clock, which is seldom more than one-tenth of a second in error. The remaining signals are for tuning and identification purposes only, and should not be used as precise time signals. Corrections to the time signals can be obtained on application to the Seismological Observatory.

  2. RADIO TIME SIGNALS TRANSMITTED BY THE NEW ZEALAND BROADCASTING SERVICE Time-signals from the Observatory are transmitted as follows:

    New Zealand Standard Time.
    5.00 a.m.2YA only (daily except Sundays).
    6.00 a.m.All YA and YZ stations (daily except Sundays).
    7.00 a.m.All YA and YZ stations (daily).
    8.00 a.m.All YA and YZ stations (daily).
    9.00 a.m.All YA and YZ stations (daily).
    10.58 a.m.2YA only (daily).
    10.59 a.m.
    11.00 a.m.
    12.30 p.m.All YA and YZ stations (daily).
    4.00 p.m.2YA only (daily).
    6.30 p.m.All YA and YZ stations (daily).
    7.00 p.m.2YA only (daily).
    9.00 p.m.All YA and YZ stations (daily except Sundays).
    10.00 p.m.2YA only (daily).
    11.00 p.m.All YA and YZ stations (daily).

    Each time signal consists of six dots, separated by intervals of one second, the last dot being the exact minute.

  3. TIME SIGNALS BY TELEGRAPH

    The Observatory sends time signals by telegraph to the General Post Office and the Railways Department, Wellington, †at 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.

  4. 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, 1959.—During the parliamentary session of 1959, which commenced on 24 June, and which ended on 23 October, the General Assembly passed 105 public Acts, 16 local Acts, and 2 private Acts. The following is a list of public, local, and private Acts passed during the session, suffixed in each case as appropriate by “N.A.”—new Act, “A.A.”—amending Acts, “C.A.”—consolidation Act, “C.A.A.”—consolidating and amending Act, or “V.C.A.”—validating and confirming Act.

PUBLIC ACTS

Agricultural Chemicals. (N.A.)
Agriculture (Emergency Regulations Confirmation). (V.C.A.)
Apple and Pear Marketing Amendment. (A.A.)
Appropriation. (N.A.)
Atomic Energy Amendment. (A.A.)
Bauxite. (N.A.)
Births and Deaths Registration Amendment. (A.A.)
British Nationality and New Zealand Citizenship Amendment. (A.A.)
Broadcasting Amendment. (A.A.)
Cemeteries Amendment. (A.A.)
Coal Mines Amendment. (A.A.)
Companies Amendment. (A.A.)
Companies Special Investigations Amendment. (A.A.)
Construction. (N.A.)
Co-operative Dairy Companies Amendment. (A.A.)
Coroners Amendment. (A.A.)
Counties Amendment. (A.A.)
Courts Martial Appeals Amendment. (A.A.)
Customs Amendment. (A.A.)
Distillation Amendment. (A.A.)
Education Amendment. (A.A.)
Electoral Amendment. (A.A.)
Electrical Supply Authorities Association Amendment. (A.A.)
Electricians Amendment. (A.A.)
Electricity Amendment. (A.A.)
Electric Linemen. (N.A.)
Emergency Regulations Amendment. (A.A.)
Estate and Gift Duties Amendment. (A.A.)
Family Protection Amendment. (A.A.)
Finance. (N.A.)
Fire Services Amendment. (A.A.)
Fisheries Amendment. (A.A.)
Friendly Societies Amendment. (A.A.)
Gaming Amendment. (A.A.)
Government Life Insurance Amendment. (A.A.)
Government Railways Amendment. (A.A.)
Harbours Amendment. (A.A.)
Health Amendment. (A.A.)
Hydatids. (N.A.)
Immigration Restriction Amendment. (A.A.)
Imprest Supply. (N.A.)
Imprest Supply (No. 2). (N.A.)
Imprest Supply (No. 3). (N.A.)
Imprest Supply (No. 4). (N.A.)
Iron and Steel Industry. (N.A.)
Joint Family Homes Amendment. (A.A.)
Judicature Amendment. (A.A.)
Juries Amendment. (A.A.)
Land Agents Amendment. (A.A.)
Land Amendment. (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 Settlement Promotion Amendment. (A.A.)
Land Subdivision in Counties Amendment. (A.A.)
Land Transfer Amendment. (A.A.)
Licensing Amendment. (A.A.)
Licensing Trusts Amendment. (A.A.)
Local Authorities Loans Amendment. (A.A.)
Local Legislation. (N.A.)
Magistrates' Courts Amendment. (A.A.)
Maintenance Orders (Facilities for Enforcement) Amendment. (A.A.)
Maori Purposes. (A.A.)
Marriage Amendment. (A.A.)
Meat Export Control Amendment. (A.A.)
Mental Health Amendment. (A.A.)
Motor-Vehicle Dealers Amendment. (A.A.)
Municipal Corporations Amendment. (A.A.)
Nassella Tussock Amendment. (A.A.)
National Provident Fund Amendment. (A.A.)
National Roads Amendment. (A.A.)
National Savings Amendment. (A.A.)
New Zealand Army Amendment. (A.A.)
New Zealand Foundation for the Blind Amendment. (A.A.)
New Zealand University Amendment. (A.A.)
Occupational Therapy Amendment. (A.A.)
Pharmacy Amendment. (A.A.)
Post Office. (C.A.A.)
Primary Products Marketing Regulations Confirmation. (V.C.A.)
Property Law Amendment. (A.A.)
Public Bodies Contracts. (N.A.)
Public Service Amendment. (A.A.)
Rabbits Amendment. (A.A.)
Regulations Amendment. (A.A.)
Rehabilitation Amendment. (A.A.)
Reserves and Other Lands Disposal. (N.A.)
Royal New Zealand Air Force Amendment. (A.A.)
Samoa Amendment. (A.A.)
Shipping and Seamen Amendment (A.A.)
Shops and Offices Amendment. (A.A.)
Social Security Amendment. (A.A.)
Soil Conservation and Rivers Control Amendment. (A.A.)
State Advances Corporation Amendment. (A.A.)
State Supply of Electrical Energy Amendment. (A.A.)
Statutory Land Charges Registration Amendment. (A.A.)
Stock Amendment. (A.A.)
Superannuation Amendment. (A.A.)
Tramways Amendment. (A.A.)
Transport Amendment. (A.A.)
Valuers Amendment. (A.A.)
Veterinary Services Amendment. (A.A.)
Volunteers Employment Protection. (N.A.)
Whangarei High School Amendment. (A.A.)
Wildlife Amendment. (A.A.)
Workers' Compensation Amendment. (A.A.)

LOCAL ACTS

Blenheim Borough Special Rates Consolidation. (N.A.)
Kaituna River District Amendment. (A.A.)
Makara County Empowering (Community Centres). (N.A.)
Marlborough Harbour Amendment. (A.A.)
Nelson City Empowering. (N.A.)
Nelson Harbour Board Empowering. (N.A.)
New Plymouth City Special Rates Consolidation. (N.A.)
New Plymouth Recreation and Racecourse Reserve. (N.A.)
Otago Central Electric Power Board Empowering. (N.A.)
Otago Harbour Board Empowering. (N.A.)
Taumarunui Borough Special Rates Consolidation. (N.A.)
Tauranga Harbour Board Loan and Empowering. (N.A.)
Tawa Borough Special Rates Consolidation. (N.A.)
Timaru Harbour Board Loan and Empowering. (N.A.)
Wellington City Exhibition Grounds. (N.A.)
Wellington Harbour Board Loan and Empowering. (N.A.)

PRIVATE ACTS

Plunket Society Rules. (N.A.)
Trustees, Executors, and Agency Company Amendment. (A.A.)

PUBLIC HOLIDAYS.—These are listed below for 1960 and 1961—

 19601961
* Date of Queen's birthday, 21 April 1926.
New Year's Day  1 January  1 January
Good Friday15 April31 March
Easter Monday18 April  3 April
Anzac Day25 April25 April
Queen's Birthday* (observance)  6 June  5 June
Labour Day24 October23 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—Colonel J. B. Harrison, O.B.E.

Aides-de-Camp—Lieutenant E. M. G. Johnstone, Royal Navy. Captain F. N. Erskine, Scots Guards.

(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 1935  3 Feb. 1941
Marshall 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 Sewell  7 May 185620 May 1856
2. FoxWilliam Fox20 May 1856  2 June 1856
3. StaffordEdward William Stafford  2 June 185612 July 1861
4. FoxWilliam Fox12 July 1861  6 Aug. 1862
5. DomettAlfred Domett  6 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. 1872  3 Mar. 1873
12. FoxWilliam Fox  3 Mar. 1873  8 April 1873
13. VogelJulius Vogel, C.M.G.  8 April 1873  6 July 1875
14. PollenDaniel Pollen, M.L.C.  6 July 187515 Feb. 1876
15. VogelSir Julius Vogel, K.C.M.G.15 Feb. 1876  1 Sept. 1876
16. AtkinsonHarry Albert Atkinson  1 Sept. 187613 Sept. 1876
17. Atkinson (reconstituted)Harry Albert Atkinson13 Sept. 187613 Oct. 1877
18. GreySir George Grey, K.C.B.15 Oct. 1877  8 Oct. 1879
19. HallJohn Hall  8 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. 1884  3 Sept. 1884
24. Stout-VogelSir Robert Stout, K.C.M.G.  3 Sept. 1884  8 Oct. 1887
25. AtkinsonSir Harry Albert Atkinson, K.C.M.G  8 Oct. 188724 Jan. 1891
26. BallanceJohn Ballance24 Jan. 1891  1 May 1893
27. SeddonRt. Hon. Richard John Seddon  1 May 189321 June 1906
28. Hall-JonesWilliam Hall-Jones21 June 1906  6 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.C30 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. 1931  6 Dec. 1935
39. SavageRt. Hon. Michael Joseph Savage  6 Dec. 1935  1 April 1940
40. FraserHon. Peter Fraser  1 April 194030 April 1940
41. FraserRt. 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. NashRt. Hon. Walter Nash, C.H.12 Dec. 1957 

EXECUTIVE COUNCIL, MARCH 1960

His Excellency the GOVERNOR−GENERAL

Rt. Hon. W. NASH, C.H., 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 of Electricity.

Hon. Sir ERUERA TIRIKATENE, K.C.M.G., 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.

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. HOVARD, 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 of Civil Defence, 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.

ROLL OF MEMBERS OF THE HOUSE OF REPRESENTATIVES, JUNE 1960

Speaker—Hon. R. M. MACFARLANE, C.M.G. Chairman of Committees—R. A. KEELING

Clerk of the House—H. N. DOLLIMORE, LL.B.

HOUSE OF REPRESENTATIVES

NameElectoral District
* Government Member.
For European Electorates 
Adams-Schneider, L. R.Hamilton.
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., Dunedin V.R.D.*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.
Macfarlane, Hon. R. M., Christchurch C.M.G.*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., C.H.*Hutt.
Nordmeyer, Hon. A. H.*Island Bay.
Pickering, N. G.*St. Albans.
Rae, D. M.Eden.
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. Sir Eruera, K.C.M.G.*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 1932  1 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 1939  1 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 1944  4 Nov. 1946
27 June 1945  7 December 1945
26 June 194612 October 1946
Twenty-eighth24 June 1947  1 December 194723 Nov. 1949
22 June 1948  8 December 1948
28 June 194926 October 1949
Twenty-ninth27 June 1950  6 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 1954  4 October 1954
Thirty-first22 March 1955  2 November 195529 Oct. 1957
  4 April 195626 October 1956
11 June 195725 October 1957
Thirty-second21 January 1958  5 February 1958 
10 June 1958  9 October 1958 
24 June 195923 October 1959 
22 June 1960  

JUDICIARY

Judges of the Court of Appeal and Supreme Court

Chief Justice: Right Hon. Sir Harold 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. Sir Alfred North; Hon. Sir Timothy Cleary.

Supreme Court, Puisne Judges: Hon. Sir Douglas Hutchison; 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; Hon. I. H. Macarthur; Hon. C. P. Richmond.

Judges of the Court of Arbitration.—Hon. Sir Arthur Tyndall, K.B., C.M.G.; W. F. Stilwell.

Judges of Compensation Court.—D. J. Dalglish; K. G. Archer.

Judge of Land Valuation Court.—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:

NEW YEAR HONOURS LIST, 1960

CIVIL DIVISION

Knight Commander of the Most Excellent Order of the British Empire (K.B.E.)

Professor John Patrick Walsh.

Knight Bachelor

Dr George Alexander Currie.

Companion of the Most Distinguished Order of Saint Michael and Saint George (C.M.G.)

Dr J. Cairney; Mr H. J. Wardell.

Commander of the Most Excellent Order of the British Empire (C.B.E.)

Mr A. H. Bogle; Mr G. W. Lane; Mr C. A. McFarlane; Mr J. H. Phillips.

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Mr J. W. Armstrong; Dr H. O. Askew; Mr H. E. Brusey; Mr W. J. Cartwright; Mr C. G. S. Ellis; Mr E. G. Guy; Mr D. J. Hewitt; Dr F. H. McDowall; Mr J. M. Ranstead; Mr H. Ritchie; Mr H. Tarawhiti.

Member of the Most Excellent Order of the British Empire (M.B.E.)

The Rev. L. V. Downey; Mr W. J. Elvy; Mr E. H. Ferguson; Mr J. R. Hair; Mr D. W. R. Heatley; Mr L. A. Higgins; Inspector E. J. G. Hotham; Mr C. W. B. Huxford; Miss C. A. McGuire; Mr J.T. L. McPhee; Brigadier J. D. Mahaffie; Mr K. Mills; Miss R. M. Morrison; Mr R. K. Ratahi; Mr G. W. Simon; Mrs A. Roberts; Mrs I. E. Roberts; Mr C. J. B. Williams.

British Empire Medal (B.E.M.)

Mr A. E. Bishoprick, M.M.; Chief Officer (First Class) A. Burgess; Constable G. Dynes; Detective Senior Sergeant E. G. A. Rippin.

MILITARY DIVISION

Knight Commander of the Most Excellent Order of the British Empire (K.B.E.)

Major-General Stephen Cyril Ettrick Weir, C.B., C.B.E., D.S.O.

Commander of the Most Excellent Order of the British Empire (C.B.E.)

Brigadier A. B. Bullen, D.S.O., E.D.; Air Commodore C. A. Turner.

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Lieutenant-Colonel D. J. Aitken (Malaya); Major (temporary Lieutenant-Colonel) R. M. S. Orbell; Wing Commander H. C. Salmon.

Member of the Most Excellent Order of the British Empire (M.B.E.)

Lieutenant-Commander (SD) E. H. Biggs; Captain (temporary Major) G. H. Rush; Major R. N. Barton, E.D.; Major L. M. Knights; Lieutenant J. Cameron; Flight Lieutenant R. F.Ward (Malaya); Warrant Officer E. Sheppard.

Air Force Cross (A.F.C.)

Squadron Leader O. D. Staple, D.F.C. (Malaya); Flight Lieutenant P. Neville.

Associate of the Royal Red Cross (A.R.R.C.)

Matron E. M. Webb; Charge Sister R. I. Rich.

British Empire Medal (B.E.M.)

Chief Joiner A. M. Hobbs; Chief Engineering Mechanic P. F. W. Moss; Chief Petty Officer J. B. Allan; Chief Wren L. E. Coles; Staff Sergeant (temporary Warrant Officer Second Class) T. Dobson; Sergeant L. A. E. Jacobs; Lance Bombardier (temporary Bombardier) B. Mansell; Lance Corporal (temporary Corporal) D. E. Dallow; Flight Sergeant N. J. Cooper; Sergeant (W) A. J. Simpson.

Queen's Commendation for Valuable Services in the Air

Flight Lieutenant J. A. Laing.

BIRTHDAY HONOURS LIST, JUNE 1960

CIVIL DIVISION

Knight Commander of the Most Distinguished Order of Saint Michael and Saint George (K.C.M.G.)

The Hon. Eruera Tihema Tirikatene, M.P.

Knight Bachelor

Mr George Douglas Robb, C.M.G.

Companion of the Most Distinguished Order of Saint Michael and Saint George (C.M.G.)

Mr R. McKeen; Mr G. Manning.

Commander of the Most Excellent Order of the British Empire (C.B.E.)

Mr S. T. Barnett; Mr M. Connelly; Mr A. Hayward; The Hon. Fiame Mata'afa Faumuina Mulinu'u II.

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Mr F. C. Allerby; Dr H. R. J. Donald; Mr L. E. Harris; Mr C. J. Hayward; Mr F. A. Kitchingham, M.B.E.; Mr L. J. McDonald; Mr M. Matatumua; Mr B. H. Olsson; Mr I. P. Puketapu; Mr N. H. Taylor; Mr H. H. Tombs.

Companion of the Imperial Service Order (I.S.O.)

Mr K. J. Caverhill; Mr E. S. Gale.

Member of the Most Excellent Order of the British Empire (M.B.E.)

Mr R. W. S. Botting; Mr W. G. Bowen; Mrs M. E. Callan; The Rev. J. G. S. Dunn; Mr A. Garside; Mrs M. W. Gunn; Mr G. A. Harris; Mr A. J. Haub; Miss L. E. Johnston; Mrs M. E. Jolly; Miss I. H. F. Jones; Mr D. E. S. Mason; Mr G. Miller; Mr D. G. A. Munro; Mr O. G. Smith; Mrs E. H. Spencer; Mr H. Te K. Taiapa.

Honorary Member of the Most Excellent Order of the British Empire

Sister Mary Imelda.

British Empire Medal (B.E.M.)

Temporary Sergeant L. Gordon; Sergeant G. Innes.

Queens Police Medal (Q.P.M.)

Assistant Commissioner O. S. W. Power.

MILITARY DIVISION

Companion of the Most Honourable Order of the Bath (C.B.)

Rear Admiral J. M. Villiers, O.B.E.

Commander of the Most Excellent Order of the British Empire (C.B.E.)

Captain G. H. Edwards, R.D.

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Commander D. L. Millar, V.R.D.; Lieutenant-Colonel D. L. Wood, M.C., E.D.; Wing Commander I. R. Mitchell, D.F.C.

Member of the Most Excellent Order of the British Empire (M.B.E.)

Major R. N. Griggs; Captain (Temp. Major) D. R. Orange, E.D.; Captain (Temp. Major) G. W. Stanley, E.D.; Flight Lieutenant W. F. R. Jackson; Warrant Officer (First Class) N. W. Faithful; Warrant Officer R. T. F. Lewis; Warrant Officer (Second Class) G. T. Holden, M.M., E.M.

Air Force Cross (A.F.C.)

Master Signaller J. A. Easton.

British Empire Medal (B.E.M.)

Chief Petty Officer G. F. Marshall; Chief Electrical Artificer R. T. N. Moffat; Chief Petty Officer Cook (S) G. V. B. Martin; Chief Petty Officer F. M. Glasson; Staff Sergeant A. G. Metcalfe; Sergeant (Temp. Staff Sergeant) J. A. Baker; Staff Sergeant J. H. R. Love, E.M.; Staff Sergeant D. D. Hamilton; Corporal (Temp. Sergeant) D. A. Branks; Flight Sergeant W. Alexander; Sergeant H. F. Williams.

Queen's Commendation for Valuable Services in the Air

Flight Lieutenant C. W. Rudd; Sergeant Engineer R. W. Tocker.

AWARDS—SOUTH-EAST ASIA THEATRE

A complete list of the honours, decorations, etc., for distinguished or gallant conduct, devotion to duty, etc., awarded to New Zealand personnel serving with Her Majesty's Forces in Malaya up to mid-1959 was published in the 1959 Year-Book. Later awards are listed below.

NEW ZEALAND REGIMENT

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Colonel W. R. K. Morrison, D.S.O.

Member of the Most Excellent Order of the British Empire (M.B.E.)

Captain A. T. A. Mataira.

British Empire Medal (B.E.M.)

Sergeant H. James; Staff Sergeant T. T. Babbington.

Mention in Despatches (M.I.D.)

Lieutenant K. M. Gordon; Sergeant B. Hill; Private H. Boylan; Lieutenant-Colonel R. W. K. Ainge; Major B. Boyd, M.B.E.; Warrant Officer G. E. Butler; Corporal N. L. Sinclair; Corporal R. H. Cassidy.

Commander-in-Chiefs Certificates for Good Service

Sergeant L. Hepi; Private W. T. P. Nathan.

GOVERNMENT DEPARTMENTS

LIST OF DEPARTMENTS OF THE NEW ZEALAND GOVERNMENT, WITH TITLES AND HOLDERS OF CHIEF ADMINISTRATIVE POSITIONS, APRIL 1960

DepartmentChief Administrative Positions
TitleName
AgricultureDirector-GeneralP. W. Smallfield, M. Agr. Sc.
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 Sir Stephen Weir, K.B.E., C.B., D.S.O., and Bar.
 Army SecretaryA. N. V. Dobbs, Accts. Prof., M.Com.
AuditController and Auditor-GeneralA. D. Burns, A.R.A.N.Z.
BroadcastingDirectorJ. H. E. Schroder, M.A.
Crown LawSolicitor-GeneralH. R. C. Wild, Q.C., LL.M.
CustomsComptrollerJ. F. Cummings.
EducationDirectorA. E. Campbell, M.A., Dip.Ed.
External AffairsSecretaryA. D. M. McIntosh, C.M.G., M.A.
Government Life InsuranceCommissionerW. K. Watson, A.R.A.N.Z.
HealthDirector-GeneralH. B. Turbott, I.S.O., M.B., Ch.B., D.P.H. (N.Z.).
  Mental Hygiene DivisionDirectorG. Blake-Palmer, M.R.C.S. (Eng.), L.R.C.P. (Lond.), D.P.M., L.D.S., R.C.S.(Eng.).
Industries and CommerceSecretaryW. B. Sutch, M.A., B.Com., Ph.D.(U.S.A.).
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 WritsJ. V. Meech.
  Dominion MuseumDirectorR. A. Falla, D.Sc., M.A.
  National Art GalleryDirectorS. B. Maclennan, A.R.C.A.
Island TerritoriesSecretaryJ. M. McEwen, LL.B.
JusticeSecretary for JusticeS. T. Barnett, Law Prof.
  Registrar-General's DivisionRegistrar-General Chief Electoral OfficerJ. G. A'Court.L. Irwin.
  Land and Deeds DivisionRegistrar-General of LandE. K. Phillips, Solr.
  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 TrusteeJ. K. Hunn, LL.M. (Acting).
MarineSecretaryG. L. O'Halloran, LL.B.
MinesUnder-SecretaryP. M. Outhwaite, M.S. Ex.
NavyChief of the Naval Staff and First Naval Member of the Naval BoardRear-Admiral P. Phipps, D.S.C. and Bar, V.R.D.
 Navy SecretaryD. A. Wraight.
New Zealand ElectricityGeneral ManagerA. E. Davenport, B.E.(Elect.), M.I.E.E.
New Zealand Forest ServiceDirectorA. R. Entrican, C.B.E., A.A.S.E., A.M.I.C.E.
PoliceCommissionerW. S. Brown, M.V.O.
Post OfficeDirector-GeneralC. A. McFarlane. B.Com., D.P.A.
Prime Minister'sPermanent Head Joint Principal Private SecretariesA. D. M. McIntosh, C.M.G., M.A. P. A. Barnes, Accts. Prof.
R. B.Taylor, B.A.
Printing and StationeryGovernment PrinterR. E. Owen.
Public Service CommissionChairman of CommissionL. A. Atkinson, M.Com., D.P.A.
 MembersJ. K. Hunn, LL.M.
A. G. Rodda, Accts. Prof. D.P.A.
R. J. MacLachlan, B.A., B.Com., Dip. U.V. (Auck.).
Public TrustPublic TrusteeG. E. Turney, F.R.A.N.Z.
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 DirectorJ. D.R.Wood.
 General ManagerW. Hay, LL.M.
State Fire and Accident InsuranceGeneral ManagerA. J. Martin, Fire and Accid. Ins. Dips.
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.
TreasurySecretaryF. L. Greensmith, M.Com., Law Prof., A.R.A.N.Z.
  Government Actuary's BranchGovernment ActuaryV. Thompson, F.I.A.
  SuperannuationController 
  National Provident FundSuperintendentM. Aldred, Accts. Prof.
ValuationValuer-General
J. B. Brown, Dip. Ag. (Lin.).  
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. F. Sheppard, F.N.Z.I.A., A.R.I.B.A.
Housing DivisionDirectorJ. V. Jebson, A.N.Z.I.A.

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 38,000 permanent officers and 2,100 temporary staff (excluding casuals) at 1 April 1960. Two other Departments, the Post Office and the Railways Department, 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 position.

  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 except in respect of a few positions exempted from the provisions of the Public Service Act. 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 £2,800, members £2,300.

  2. Administrative Division.—Various rates, according to position held; fixed by annual appropriation.

  3. Other Divisions.—As prescribed by Public Service Salary Order 1959 (No. 2) (Serial Number 1959/177). Salaries payable in the Professional and Clerical Divisions from 12 October 1959 were as set out below (various rates are payable in the General Division):

ClassSalary Incremental Range
VI£305, £350, £405, £460, £520, £585, £630, £680, £720, £780, £825.
V£720, £780, £825, £870, £910.
IV£955, £995.
III£1,030, £1,060.
  II£1,100, £1,140.
  I£1,210, £1,285.
Sp.£1,350, £1,400, £1,450, £1,525, £1,600, £1,700, £1,800, £1,900, £2,000, £2,100, £2,200, £2,300.

The commencing salary for those with three years' secondary education is £350; with School Certificate, £405; with Endorsed School Certificate, £405, with increment to next step after six months' service; with University Entrance £460; and for those with University Entrance and Higher School Certificate, £460, with increment to next step after six months' service. The initial maximum for a female clerk is £680.

NEW ZEALAND REPRESENTATIVES OVERSEAS

APRIL 1960

Argentina.—Hon. Representative of Department of Industries and Commerce, T. E. B. Poole Alsina, 1146, Buenos Aires.

Australia.—High Commissioner, the Hon. F. Jones; Counsellor, J. H. Weir; Second Secretary, P. G. Millen; Third Secretary, J. C. Averill; Attaché (Administration), Miss J. McGregor, Canberra, A.C.T.; Head, New Zealand Joint Services Liaison Staff, Brigadier J. R. Page, C.B.E., D.S.O.; Senior Trade Commissioner in Australia and Commercial Adviser, R. V. Jackson; Trade Commissioner and Assistant Commercial Adviser, W. K. Coad; Travel Manager (Tourist and Publicity), R. W. Coupland; Assistant Trade Commissioner, H. N. McCarthy; Trade Commissioner (Timber), T. A. Foley; Assistant Trade Commissioner (Timber), M. M. Pinfold, 14Martin Place (P.O. Box 365F), Sydney; Trade Commissioner and Commercial Adviser, A. C. Davys; Assistant Trade Commissioner and Assistant Commercial Adviser, R. E. Tyrie; Travel Commissioner (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, W. G. Thorp; Third Secretary, C. D. Geary; Attaché (Administration), B. N. Leydon; Military, Naval and Air Adviser, Brigadier T. C. Campbell, C.B.E., D.S.O., M.C., E.D.; Assistant Military, Naval and Air Adviser, Wing Commander J. R. Claydon, A.F.C., R.N.Z.A.F., Suite 804, Commonwealth Buildings, 77 Metcalfe Street (P.O. Box 1222), Ottawa; Trade Commissioner, N. S. Mountain; Assistant Trade Commissioner, J. D. Kerr, 708 Prudential Assurance Building, Montreal 2.

Ceylon.—Trade Commissioner, R. T. C. de Lambert (resident in New Delhi).

Federation of Malaya.—High Commissioner, C. M. Bennett, D.S.O.; First Secretary, Dr R. A. Lochore; Trade Commissioner, W. L. Middlemass, M.V.O.; Third Secretary, Mrs W. S. M. Sharpley; Attaché (Administration), N. E. Parker, Police Cooperative Building, Suleiman Road, Kuala Lumpur.

Fiji.—Hon. New Zealand Government Agents, W. R. Carpenter and Co. (Fiji) Ltd., Suva.

France.—Ambassador, C. E. Beeby, C.M.G.; Counsellor, O. P. Gabites; Second Secretary, J. G. McArthur; Third Secretary, G. J. Young; Attaché (Administration), Miss N. E. England, 9 Rue Leonard de Vinci, Paris.

Hong Kong.—Trade Commissioner, J. P. Costello, Union House Phase 1, Chater Road, Hong Kong.

India.—High Commissioner, G. R. Powles, C.M.G.; Trade Commissioner, R. T. C. de Lambert; Second Secretary, I. K. McGregor; Third Secretary, P. C. Cotton, 39 Golf Links Road, New Delhi. Hon. New Zealand Government Agents, New Zealand Insurance Co., Calcutta.

Japan.—Ambassador, J. S. Reid; Counsellor, B. D. Zohrab; Trade Commissioner and Commercial Counsellor, J. S. Scott; Third Secretary, D. N. Atkins; Attaché (Administration), Miss Z. M. Corrigan; Assistant Trade Commissioner and Attaché (Commercial), M. W. Craig, 26 Sanbancho Chiyodaku, Tokyo.

Netherlands.—Consul, T. A. N. Johnson, C.V.O., 53 Anna Pavlownastraat, The Hague.

Singapore.—Commissioner, R. L. Hutchens, D.S.O.; First Secretary, D. F. Dunlop; Military Liaison Officer, Commander J. F. McKenzie, R.N.Z.N.; Assistant Military Liaison Officer, Lieutenant Colonel, R. H. Dyson, E.D., R.N.Z.A.; Trade Commissioner, H. W. Shepherd; Third Secretary, D. Law; Attaché (Administration), G. A. Petterson, Asia Insurance Building, Finlayson Green, Singapore.

South-East Asia Treaty Organization.—Council Representative, C. Craw, Bangkok.

Thailand.—Chargé d'Affaires, a.i., C. Craw; First Secretary, R. E. B. Peren; Third Secretary, R. J. Martin; Attaché (Administration), D. J. Robertson, New Zealand Embassy, 296 Phyathai Road. Bangkok.

United Kingdom of Great Britain and Northern Ireland.— Acting High Commissioner, G. R. Laking, Counsellor, J. V. Scott; Counsellor (Economic), L. V. Castle; First Secretary, Miss H. N. Hampton; First Secretary (Economic), K. C. Durrant; Second Secretary, R. L. Jermyn; Third Secretary, I. P. Muir; Third Secretary, H. Freeman-Greene; Senior R.N.Z.A.F. Officer, Air Commodore I. G. Morrison, C.B.E., R.N.Z.A.F.; Senior Army Liaison Officer, Brigadier R. C. Queree, C.B.E., D.S.O.; Senior R.N.Z.N. Liaison Officer, Captain F. N. F. Johnston, D.S.C., R.N.Z.N.; Financial Secretary, S. C. Parker; Senior Trade Commissioner and Commercial Counsellor, G. R. J. Hop;; Trade Commissioner and Commercial Secretary, D. P. Taylor; Assistant Trade Commissioner and Commercial Secretary, B. C. Hickey; Trade Officer, D. Homewood; Trade Officer, M. Roberts; Public Relations Officer, A. T. Campbell; Senior Scientific Adviser, Dr V. Armstrong; 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, P. A. Bemrose; Travel Commissioner (Tourist and Publicity), J. E. Hartstonge; Deputy Travel Commissioner, W. F. Bern; Communications Adviser, H. W. Curtis; Representative of the Public Trust Office, J. D. L. Rose; Advisory Engineer, New Zealand Railways, R. F. Marriott.

United Nations.—Permanent Representative, Foss Shanahan; Counsellor, R. Q. Quentin-Baxter; First Secretary (Economic), W. A. E. Green; First Secretary, P. K. Edmonds; Third Secretaries, W. B. Harland, L. G. Watt; Attaché, 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 (Vacant); Chargé d'Affaires, a.i., G. D. L. White, M.V.O.; First Secretary, R. M. Miller; Second Secretary, R. M. Mullins; Third Secretary, E. Farnon; Attaché (Administration), B. R. Finny; New Zealand Embassy, 19 Observatory Circle, Washington. Armed Forces Attaché, Brigadier T. C. Campbell, C.B.E., D.S.O., M.C., E.D.; Assistant Armed Forces Attaché, Wing Commander J. R. Claydon, A.F.C., R.N.Z.A.F., 3101 Cleveland Avenue, N.W., Washington. Senior Trade Commissioner and Commercial Counsellor, D. W. Woodward; Trade Commissioner and Commercial Secretary, A. W. Broadbent; Assistant Trade Commissioner and Commercial Attaché, L. G. Donaldson, Suite 306, Associations Buildings, 1145 19th Street, N.W., Washington. Consul-General (Vacant); Acting Consul-General, 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, R. L. G. Challis (designate), New Zealand Travel Commissioner for the United States and Canada, N. F. F. Gouffe; Deputy Travel Commissioner, J. R. Stone; Trade Commissioner and Consul (Commercial), J. L. Fenaughty; Vice-Consul, G. N. Parkinson, New Zealand Consulate-General, 153 Kearney Street, San Francisco.

West Indies Federation.—Trade Commissioner, E. J. Sutch, 27 Henry Street, Port of Spain.

OVERSEAS REPRESENTATIVES IN NEW ZEALAND

APRIL 1960

Argentina.— Consul, Dr H. S. Fernandez, 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, Colonel S. A. Fletcher; Third Secretary, R. D. Sturkey, 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, C. L. Steele, 56 Shortland Street, Auckland. Trade Commissioner, D. M. Walker, Phoenix Assurance Building, 89 Worcester Street, Christchurch.

Austria.—Chargé d'Affaires (with jurisdiction in New Zealand) (Vacant), Canberra, Hon. Consul, S. B. Clarke, Wellington.

Belgium.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr Armand Nihotte; Secretary of Legation, Etienne Humblet, 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.; First Secretary (Commercial), J. H. Stone; Second Secretary, R. B. Edmonds; Third Secretary (Commercial), W. J. Collett, 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.; Official Secretary, Y. Duraiswamy, Canberra; Commercial Attaché and Trade Commissioner, E. M. O. Martenstyn, 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, Dr Daniel Yu-Tang Lew; Vice-Consul, Chen Che Yao, D.I.C. Buildings, Lambton Quay, Wellington.

Czechoslovakia.—Envoy Extraordinary and Minister Plenipotentiary (Vacant); First Secretary and Charge d'Affaires, a.i., Bretislav Matanoha; Second Secretary, V. Janak, 38 Roxburgh Street, Wellington.

Denmark.—Chargé d'Affaires, Thorkild Wegener-Clausen, Government Life Insurance Building, Customhouse Quay, Wellington. Hon. Consuls: A. A. Beuth, Wellington; 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.—Chargé d'Affaires (with jurisdiction in New Zealand), Toivo Kala, Sydney. Hon. Vice-Consul, J. T. Christiansen, Auckland.

France.—Chargé d'Affaires, a.i., J. B. Georges-Picot; Counsellor, C. L. Béguin-Billecocq; Commercial Counsellor, E. L. Lestocquoy; Assistant Commerical Attaché, M. Baillard; Third Secretary, A. Coulaud, Government Life Insurance Building, Customhouse Quay, Wellington. Army, Naval, and Air Attaché, Captaine de Frégate, J. P. E. Eschbach (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. Noehring; First Secretary, J. J. Blomeyer, 3 Claremont Grove, Wellington.

Greece.—Envoy Extraordinary and Minister Plenipotentiary (with jurisdiction in New Zealand), His Excellency Mr George Christodulo; First Secretary, N. Athanassiou, 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 Samarendranath Sen, Canberra; Press Attaché, Jagmohan Mahajan, 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; Hon. Consul-General, G. E. L. Alderton, C.M.G., Auckland.

Israel.—Envoy Extraordinary and Minister Plenipotentiary (with jurisdiction in New Zealand), His Excellency Mr Moshe Yuval, First Secretary and Consul, Haim Raphael; Commercial Attaché, Oswald Sharef, Sydney.

Italy.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Dr Giuseppe Capece Galeota della Regina, 24 Grant Road, Wellington. Hon. Consular Agents, Renato Forti, Auckland; P. P. Amodeo, Christchurch.

Japan.—Ambassador Extraordinary and Plenipoteniary, His Excellency Mr Shiro Ishiguro; First Secretary, Shinsuke Hori; Third Secretary, Hiroshi Ando, 298 Oriental Parade, Wellington C. 4.

Lebanon.—Consul-General (with jurisdiction in New Zealand), Dr Karim Azkoul, Sydney.

Malaya.—His Excellency Dato' Gunn Lay Teik, P.M.N., O.B.E.; Second Secretary, ‘Che Harun bin Dato’ Mahmud Ibrahim, Canberra. Hon. Trade Commissioner, K. D. Butland, Auckland.

Netherlands.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Baron Bentinck van Schoonheten; First Secretary, J. Kneppelhout; Attaché of Legation, C. H. A. Plug; Emigration Attaché, C. A. Korndörffer, D.I.C. Building, Lambton Quay, Wellington. Hon. Consul, C. S. O. Hughes; Migration Officer, H. W. F. M. Knottenbelt, Auckland; Emigration Officer, J. J. A. de Moor, Christchurch. Hon. Vicc-Consuls: G. N. Francis, Christchurch; J. M. Richie, Dunedin.

Norway.—Consul-General (with jurisdiction in New Zealand), Olav Nordland, 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 Mr J. G. Kharas; First Secretary, Ishanulla Khan; Second Secretary, Kaiser Rasheed, Canberra; First Secretary (Commercial), F. H. Choudhury, Sydney.

Panama.—Consul, H. Zappi, Dingwall Building, Auckland.

The Philippines.—Envoy Extraordinary and Minister Plenipotentiary (with jurisdiction in New Zealand) (Vacant); First Secretary and Consul-General, Bartolome Umayam; Attaché, A. Prats, jun., Sydney; Military Attaché, Colonel F. Liamas; 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 Olaf Ripa, 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.—Consul-General, Dr O. Rossetti; Vice-Consul, W. A. Sollberger, D.I.C. Building, Wellington.

Thailand.—Ambassador Extraordinary and Plenipotentiary (with jurisdiction in New Zealand), His Excellency Mr Vadhana Isarabhakdi; Military Attaché, Colonel Bulrit Dadarananda, Canberra; Chargé d'Affairs, a.i., Lek Tantemsapya; Attaché, Subhadra Gajajiva, Wellington.

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.—Chargé d'Affaires, a.i., N. I. Evdokeyev; Commercial Counsellor, E. I. Gergel; Second Secretaries, E. P. Lutskij and S. N. Smirnov; Third Secretary, L. A. Filatov; Attaché, N. I. Kriuchenkov, 57 Messines Road, Wellington.

United Kingdom of Great Britain and Northern Ireland.—High Commissioner, His Excellency The Hon. F. E. Cumming-Bruce, C.M.G.; Deputy High Commissioner, C. S. Pickard; First Secretary (Information), J. L. Hayden, O.B.E.; First Secretaries, J. K. Hickman and R. T. Reed; Second Secretary, S. F. St. C. Duncan; Economic Adviser, C. G. Cruickshank; First Secretary (Commercial) and Trade Commissioner, F. R. Lockyer; Assistant Trade Commissioners, Miss D. P. Stuart, H. A. Williams; First Secretary (Agriculture and Food), J. Eaton, Government Life Insurance Building, Customhouse Quay, Wellington. Service Liaison Staff: Navy, Captain H. R. Hewlett, R.N.; Army, Colonel Sir Thomas Butler (Bart.), D.S.O., O.B.E.; Air, Group Captain J. H. L. Blount, D.F.C., R.A.F.; Secretary, Lieutenant-Commander R. A. Hoskyn, R.N., Government Life Insurance Building, Customhouse Quay, Wellington. Trade Commissioner, A. P. Timms; Assistant Trade Commissioner, D. P. Dick, Customs Street East, Auckland

United States of America.—Ambassador Extraordinary and Plenipotentiary, His Excellency Mr Francis H. Russell; Army Attaché, Colonel Mabry G. Miller; Air Attaché, Colonel Andrew E. McDavid (resident in Canberra); Naval Attaché and Naval Attaché for Air, Commander L. C. Knowles; First Secretary and Consul, Leon Crutcher; First Secretary (Economic) and Consul, William Kling; Second Secretary and Consul (Administrative Officer), Thomas T. Turner; Attaché and Public Affairs Officer, John B. Lanum; Agricultural Attaché, Dr Daniel E. Brady; Second Secretary (Economic and Commercial), Peter W. Lande; Assistant Air Attaché, Major Mance C. Smith (resident in Canberra); Second Secretary and Consul, Mrs Edith A. Stensby; Third Secretary and Vice-Consul, Mrs E. Balashova, Government Life Insurance Building, Customhouse Quay, Wellington. Vice-Consul, R. H. Thompson, Auckland. Consular Agent, William G. Quirk, Christchurch.

Venezuela.—Hon. Consul, Dr L. Bennett, Dingwall Building, Auckland C. 1.

Yugoslavia.—Consul-General, B. Vucinic, 49 Hobson Street, Wellington; Vice-Consul, R. Sarenac, Wellington.

Chapter 46. STATISTICAL SUMMARY

STATISTICAL SUMMARY FOR NEW ZEALAND

POPULATION AND EXTERNAL MIGRATION (INCLUDING MAORIS)

YearPopulationMean PopulationYear Ended 31 March
At 31 DecemberAt 31 MarchYear Ended 31 DecemberYear Ended 31 MarchOverseas Passenger Arrivals*Overseas Passenger Departures*
* Excluding “through” passengers, and tourists on cruising liners.
19091,030,6571,016,0631,019,5151,000,69245,37431,226
19101,050,4101,035,2121,040,5341,025,63834,71532,854
19111,075,2501,056,1991,063,8871,045,70637,04934,375
19121,102,4711,081,3441,088,8611,069,82843,09737,205
19131,134,5061,111,5891,118,4881,096,46746,89234,935
19141,145,8381,139,6681,140,1721,125,62841,67231,517
19151,152,6381,150,3861,149,2381,145,02733,37727,254
19161,150,3391,150,2501,149,2251,150,31825,40722,808
19171,147,4481,150,9381,148,8931,149,22520,47020,047
19181,158,1491,154,5591,152,7981,152,74813,71812,214
19191,227,1811,178,4061,192,6651,166,48211,97811,473
19201,257,6111,236,9151,242,3961,207,66026,90023,990
19211,292,8921,267,4981,274,9171,252,20646,09031,908
19221,318,8841,301,2511,305,1261,283,54641,12830,396
19231,343,0211,325,3011,328,1931,311,38234,10828,581
19241,370,4031,347,8531,352,6181,334,02936,25430,487
19251,401,2301,379,4871,384,4281,359,99542,21129,913
19261,429,6691,409,8121,413,7431,392,07342,44930,714
19271,450,3561,438,1321,439,0041,420,83845,68234,018
19281,467,3701,453,8211,456,0751,443,55135,83737,072
19291,486,1341,471,1101,473,4191,460,36334,79934,088
19301,506,8091,489,2031,493,0191,478,02733,83931,454
19311,522,7621,511,7001,514,2151,498,41630,74125,632
19321,534,7351,525,5451,527,0621,517,94017,89121,063
19331,547,1241,538,0281,539,5901,530,11918,71321,308
19341,558,3731,550,1251,551,5321,542,65119,68722,022
19351,569,6891,560,9921,562,2331,554,29724,90128,051
19361,584,6171,573,9271,575,2311,565,26326,93628,050
19371,601,7581,587,2111,589,9721,578,75731,67032,023
19381,618,3131,604,4791,606,7631,594,27538,73836,352
19391,641,6391,624,7141,628,5121,611,36242,64537,685
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
19562,209,1322,175,3732,182,8332,150,29066,47255,380
19572,262,8142,221,1692,232,5912,194,10876,05564,563
19582,315,9002,275,5152,285,8522,246,09379,66664,258
19592,359,7462,326,1292,334,6172,298,81483,64873,656
1960..2,370,166..2,345,60289,37786,164

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).
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
193424,32211,25612,52778116.517.648.503211
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
194537,00716,69316,0511,03623.229.9510.0727.99
194641,87121,09616,0931,09325.2611.999.7126.10
194744,81619,04715,9041,12226.4710.599.3925.04
194844,19317,75015,81297025.599.679.1621.95
194943,98817,35416,0121,04624.989.279.0923.78
195044,30917,09916,7151,00824.678.969.3122.75
195144,65116,91517,5121,01724.398.699.5622.78
195246,46917,06117,4131,01424.778.559.2821.82
195346,41417,22417,00993124.128.418.8420.06
195448,43117,55717,66796824.638.388.9819.99
195549,86917,79517,9531,00224.868.328.9520.09
195650,43017,53118,40397824.678.039.0019.39
195751,85217,61419,4111,03624.827.899.2919.98
195853,77418,30519,0141,04325.168.018.9019.40
195954,73918,31519,8141,08925.107.849.0919.89

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).
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
1918193,34526,3715,0648,3842,2832,7471,366  2 226
1919194,58620,9775,1989,0682,1592,9261,4973,060
1920198,46022,1935,5089,1962,1572,7661,4393,822
1921205,95523,9245,82210,0302,1763,3491,6344,123
1922211,08124,8616,16110,7362,6064,2021,9983,958
1923212,46026,0106,18611,6192,8185,0542,1344,202
1924213,76826,3026,31012,0102,9005,3692,4734,236
1925215,06325,9336,38612,5143,1365,1322,5114,442
1926219,01726,7786,59113,6513,2995,7002,7944,653
1927221,15727,3586,62014,1903,5815,7032,9324,878
1928219,95026,5966,67115,0383,8806,0613,4304,802
1929219,16626,9776,97915,4984,0006,1143,6984,623
1930219,23526,4517,07016,1494,2406,9533,8254,801
1931218,82926,7267,50316,3444,9447,3973,7774,869
1932207,63526,4107,31315,9484,4867,1063,6164,912
1933200,96826,4287,34015,7154,5117,1493,5864,806
1934200,07026,6367,58715,9014,3657,1833,6514,721
1935197,68926,8697,87616,1624,5937,3233,9684,818
1936210,55227,7099,17516,5564,0707,4224,2414,967
1937208,03627,9319,64216,8114,3897,8334,6135,010
1938206,37528,3869,83217,7644,9058,1494,9025,219
1939205,41528,28010,40318,1765,4018,4815,1375,647
1940204,27628,45410,73017,7105,2538,0095,2075,197
1941204,33228,61410,91616,9865,0337,3715,3254,964
1942204,20028,46711,00916,8054,8527,9235,3574,292
1943204,37229,32811,27418,3245,1978,4366,0355,693
1944206,22029,71711,79320,8296,18710,2336,9276,986
1945209,89930,40112,19021,5666,87210,8657,8318,149
1946218,61431,50612,65421,9366,65611,7128,41910,993
1947227,10832,60413,17021,8476,66612,3288,91311,291
1948233,30433,36013,25422,0596,89512,1368,80911,380
1949242,03834,96013,28822,6177,32012,5049,18211,000
1950254,53336,74813,42623,5396,99213,8599,43910,936
1951267,54138,51213,66324,6287,19514,8719,94610,428
1952285,04040,44414,07626,4117,94616,17910,55810,225
1953300,74842,79914,34528,7838,70918,13611,36810,326
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
1958364,18151,06314,13551,5738,72017,40616,55712,085
1959373,80753,65213,15360,5989,01219,86917,23813,505

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.

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
195798,64744.185670.251990.091,4740.66
1958108,79147.595580.242200.091,6420.72

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 appear to have been eventually utilized for other purposes.
 AcresBushelsBushelsAcresBushelsBushels
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
1913–14166,7745,231,70014.37361,74114,740,946*40.75
1914–15229,6006,644,33628.94287,56111,436,301*39.77
1915–16329,2077,108,36021.59212,6887,653,20835.98
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
1957–5883,9363,727,11744.4029,9811,460,14948.70
1958–59132,9136,038,82245.4334,0111,575,75546.33

LIVESTOCK

YearHorsesTotal CattleDairy CowsSheepPigs

* Not available.

Figures from 1917 onwards are for dairy cows in milk only.

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
1940258,5674,496,0671,719,28931,062,875706,340
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*
1957129,3095,808,6351,997,81942,382,008602,469
1958123,2615,885,5841,966,54746,025,930627,812
1959122,9575,973,3521,931,11246,876,222691,568

NOTE.—With the exception of sheep, figures from 1931 onwards exclude stock within boroughs.

TRADE

YearExcluding Specie*Specie
ExportsImportsExportsImports
TotalPer Head of Mean PopulationTotalPer Head of Mean Population

* Figures are in terms of New Zealand currency.

Specie exports and imports represent face value.

Increases mainly due to imports of defence materials and equipment.

§ Provisional.

 ££s.d.££s.d.££
190919,636,151195214,817,4621410825,845857,257
191022,152,4732151016,748,2231611127,736303,360
191118,980,18517161018,782,6081713148,305763,271
191221,511,6261915120,576,579181711258,955399,995
191322,810,3632071121,653,6321972176,359634,670
191426,253,925230621,144,2271810117,522711,869
191531,430,822277020,658,72017196318,0901,070,114
191633,281,0572819225,045,4032115105,8801,293,880
191731,517,072278820,742,130181170,475177,135
191828,480,5782414124,131,7922018835,610102,215
191953,907,925454030,309,167258362,150362,531
192046,405,366377061,553,85349101136,58041,975
192144,828,460352342,744,1223398367198,321
192242,725,9493214934,826,07426138300186,487
192345,939,7933411943,363,9833213027,37214,510
192452,509,2233816548,527,60335176103,488..
192555,243,0473918152,425,7573717419,22530,650
192645,268,924320649,811,76335486,65177,800
192748,496,3543314044,782,6663125..280
192855,570,381383344,844,10230160618,10042,164
192954,930,063375748,734,4723316649,00063,505
193044,940,517302044,339,65429140175363,087
193134,950,698231 26,498,15117100202,33056,155
193235,609,919236 24,646,006162101,355,86155,310
193341,005,9192612825,581,36616124296,032424,704
193447,342,8473010331,339,55220402,283,9001,242,000
193546,538,3812915936,317,26723411521,000381,821
193656,751,940360744,258,8862811145,24536,601
193766,713,3794119256,160,69535653,500318,510
193858,376,283366855,422,1893491031,80531,274
193958,049,31635121149,387,18330662,79525,364
194073,741,133450948,997,66929186 36,646
194167,479,413417649,167,0103021110,015205,409
194281,284,6374911653,856,01232161125,375147,010
194371,862,5984318995,242,33058471,240461,800
194477,786,9464619786,397,2125237400159,640
194581,631,276483555,088,180321024,400208,148
1946101,302,2665711671,571,333401364,532418,970
1947129,419,64771195128,640,8267110910,375184,990
1948147,821,02580115128,534,252701255,169624,755
1949147,280,95178139120,033,4726427570,2201,040,725
1950183,752,2919650157,942,87682148514,455169,823
1951248,127,17212781206,533,51310610280,150250,108
1952240,560,704120103229,447,309114181126,94384,567
1953235,860,04711525163,613,300*9 27,929107,106
1954244,466,2061161311213,155,0371011507,57321,360
1955259,288,72412145250,660,996117 913,25543,726
1956277,482,83012725234,778,7321071122,46312,027
1957276,569,008123177261,738,1471174815,02648,931
1958250,172,805109811252,800,4251101111161,54797,577
1959§293,400,008125136205,052,9058716424,00934,850

NOTE.—As from 1 January 1952 imports were valued at c.d.v. Prior to that date the valuation used was c.d.v. plus 10 per cent.

YearExports of New Zealand Produce
WoolFrozen Meat*Tallow
QuantityValueQuantityValueQuantityValue

* Includes exports of chilled beef.

Provisional.

 lb.£Tons£Tons£
1909189,683,7036,305,888128,6303,601,09324,208648,452
1910204,368,9578,308,410132,7103,850,77726,009756,841
1911169,424,8116,491,707112,5283,503,40020,656607,257
1912188,361,7907,105,483128,6623,909,56923,545684,739
1913186,533,0368,057,620128,9354,449,93322,743663,088
1914220,472,8989,318,114161,4985,863,06224,515694,348
1915196,570,11410,387,875179,5637,794,39526,763780,828
1916185,506,85912,386,074166,3027,271,31822,472785,339
1917178,274,48612,175,366122,3475,982,40412,599553,016
1918108,724,5757,527,266101,8454,957,57616,421847,618
1919274,246,61319,559,537191,1349,628,29246,8742,680,006
1920162,327,17611,863,827231,46411,673,69627,0411,748,773
1921158,714,8285,221,479216,13811,164,34527,712867,298
1922321,525,56211,882,463175,9008,387,46126,495750,574
1923217,566,09110,904,658152,1969,012,62725,243785,668
1924206,189,91115,267,544160,6799,499,87723,988799,230
1925205,726,85617,739,736170,71011,174,56725,038895,061
1926213,154,39911,830,190151,7188,656,21321,128741,045
1927220,500,72012,961,744168,2489,104,62123,875714,441
1928226,804,54416,679,098189,69110,309,66225,748804,271
1929234,955,97815,359,206166,8109,883,27720,832693,614
1930197,239,6147,664,362201,83210,937,38224,628683,571
1931211,718,8685,515,376206,9408,892,55523,264413,080
1932238,179,0625,742,821232,2748,436,30625,377462,081
1933286,307,4417,422,266260,1569,845,62728,020516,063
1934255,796,78312,516,425248,47211,886,95527,662480,354
1935222,661,4037,097,133260,32612,768,96825,277630,638
1936314,409,40213,293,706255,99013,239,41426,095628,310
1937282,339,14819,070,240270,54614,689,61625,940647,969
1938271,283,23312,185,483268,66515,092,05929,613524,775
1939277,391,71311,665,909295,31315,390,80129,137456,527
1940300,288,68716,875,463348,83119,681,34334,138707,721
1941215,743,29612,613,371264,24216,595,29039,328818,370
1942307,547,29618,336,507287,06917,777,43651,7791,143,879
1943206,822,34813,483,544220,63313,801,63243,9551,071,232
1944188,599,35912,711,407207,80312,482,00826,624608,263
1945166,225,68112,717,034282,69227,597,98330,726909,499
1946365,404,46826,596,470337,66923,239,62024,7561,063,156
1947375,326,18931,970,041347,78129,353,37125,7252,366,742
1948421,021,39944,504,995343,49628,623,95520,0632,154,201
1949429,670,91646,553,761344,10327,229,78325,4322,531,480
1950393,973,50074,653,007338,08428,629,10629,5962,160,842
1951316,863,280128,176,051274,80125,393,53829,8482,567,627
1952438,107,60681,998,141383,56140,474,95548,9514,752,184
1953391,607,13384,597,996326,68839,886,59940,1531,944,611
1954392,900,02088,437,306370,79251,905,76339,1122,576,777
1955417,362,85893,887,091378,17860,740,20443,4342,871,937
1956427,882,28791,531,867414,15263,891,72639,6182,655,219
1957431,529,366105,958,787388,44664,077,63646,2073,033,178
1958456,927,69280,036,777400,90073,489,81851,2603,413,504
1959528,119,73589,512,253434,29371,138,51953,5493,282,618
YearExports of New Zealand Produce
ButterCheeseGold
QuantityValueQuantityValueQuantityValue
* Provisional.
 Tons£Tons£Oz.£
190916,0551,639,38020,0301,105,390506,3712,006,900
191017,8271,811,97522,5961,195,373478,2881,896,328
191115,1191,576,91721,9591,192,057455,2261,816,782
191218,9062,088,80928,8541,680,393343,1631,345,131
191318,6132,061,65130,5831,770,297376,1611,459,499
191421,7032,338,57643,1892,564,125227,954895,367
191521,0072,700,62540,8632,730,211422,8251,694,553
191617,9322,632,29347,4713,514,310292,6201,199,212
191712,7202,031,55144,2873,949,251218,624903,888
191821,5513,402,22344,1724,087,27811,98742,391
191917,2913,080,12878,6167,790,990320,2071,334,405
192015,6003,022,33561,1036,160,840212,973883,748
192144,92411,169,53068,4398,199,183149,595612,168
192256,0109,041,55458,0604,686,850131,848540,182
192362,50710,689,20072,0736,870,397169,512698,583
192463,47311,641,66879,7247,023,297133,631551,788
192562,26610,240,13268,8385,800,808114,696472,364
192658,4028,695,18873,0775,939,359125,777516,207
192772,77710,915,23374,6405,582,596130,171534,639
192872,47911,302,66778,3646,693,951118,722489,584
192982,69013,228,02788,9557,017,463116,848480,212
193094,21211,854,05690,6496,438,438133,749550,678
193199,42810,649,52781,8174,461,293140,970581,032
1932109,27710,639,05389,5224,951,268200,6481,092,288
1933131,76211,648,69999,1474,766,351177,2411,281,612
1934130,72610,042,77699,2254,694,459162,4901,320,690
1935139,46513,616,74086,3784,376,512171,2831,441,790
1936139,80715,317,57682,9105,122,438168,0731,398,656
1937148,80416,986,47782,3585,371,878172,3171,435,216
1938130,72716,520,22680,5265,935,061152,4871,296,839
1939122,16516,111,20783,8635,869,890176,3701,628,526
1940131,13518,228,026101,6758,233,486188,4591,948,280
1941113,15715,777,864118,3129,833,861176,2421,830,365
1942117,23116,477,943134,38111,860,471167,2461,726,540
194399,25914,392,759100,4979,125,958149,5631,542,793
1944115,34018,553,48477,7037,443,632138,0481,423,556
1945103,47719,277,70487,4269,519,363121,0841,262,884
1946101,79419,841,45575,7468,448,321111,5311,184,783
1947127,70829,057,90587,04411,621,08898,5571,035,406
1948135,63433,762,72975,62311,197,02458,400609,259
1949147,67035,474,39393,93812,674,35963,854607,696
1950138,26735,873,37499,89014,535,757110,4861,310,795
1951147,96441,489,599106,61916,650,13168,929843,792
1952184,02856,145,19491,25515,527,23366,616798,356
1953159,10651,461,127101,36018,373,11429,674364,912
1954132,48144,806,89990,39616,380,36041,484487,662
1955150,96551,021,93885,04213,681,70221,840260,809
1956167,44953,168,30988,87722,244,37220,450243,652
1957145,07538,455,96088,47617,922,77426,769310,951
1958175,39238,850,36289,42812,401,60919,392232,364
1959*192,97455,806,26383,45222,103,10830,333364,479
YearExports of New Zealand Produce
Apples and PearsGrass and Clover SeedsMilk and Cream (Dried and Condensed)
QuantityValueQuantityValueQuantityValue

* Not available.

Provisional.

 lb.£Cwt.£Tons£
1909**71,54194,410413,014
1910215,1361,59054,946113,5681055,326
1911239,7972,04918,43840,3171266,898
1912589,4214,97936,34469,69414671
19131,505,44312,16035,58960,4928359
19142,553,55122,41239,57273,55121791
19152,458,70221,40213,98042,31452520,388
1916864,5577,4659,84134,26643923,780
19176,92610816,48448,6351,832153,538
191812,39716015,99542,2153,153341,797
191913,19621049,906249,8864,685579,266
19201,405,28915,07323,821147,3696,228795,612
19212,042,33023,59037,319156,1148,3021,109,331
19224,741,32265,73270,120285,4515,099529,650
19235,953,99974,45547,031175,7547,242513,495
19249,784,325122,72136,331149,0836,018505,098
19258,787,159120,54645,368153,1646,135425,738
192629,349,627369,66457,726200,3805,056345,072
192721,841,136272,84890,362235,7985,545346,271
192840,618,146514,99250,238162,4527,687392,452
192940,343,221582,80957,869182,5376,132352,587
193053,091,423669,21436,560166,2216,786351,339
193153,606,800669,14540,953155,4105,735246,483
193263,221,894799,42034,337109,6327,158269,121
193357,536,554720,76680,308152,4587,875315,964
193462,678,713778,84048,751166,5119,626407,708
193541,577,609524,49371,649215,7389,278370,890
193649,336,513608,43079,982249,86110,599405,801
193737,720,393472,73958,107205,98811,033364,676
193861,846,922772,09645,484233,3729,168307,603
193941,906,327574,70445,829284,51410,958377,506
194023,708,672226,00245,742369,03510,464419,176
1941424,5894,66088,191563,67313,233699,533
1942326,9103,51182,499592,68112,315683,578
1943185,4762,00290,720665,11310,353598,228
194419,730303158,4751,453,0908,228534,716
1945159,1482,118166,5531,797,82715,1051,021,128
194612,159,019153,408150,5981,942,07216,9951,202,323
1947239,2244,260147,0111,663,36519,9811,651,396
194840,204,000873,627174,8431,700,64426,5402,209,805
194921,364,287383,182161,9931,523,42634,3902,866,116
195038,602,652679,243164,1142,083,63040,6323,321,883
195127,943,845691,71788,4281,246,01446,7133,952,028
195255,277,6302,060,089163,4522,106,62762,7326,563,941
195346,121,6451,714,903179,2671,869,67662,9906,277,745
195449,693,4301,549,342184,2532,802,42145,2234,091,835
195541,638,7751,303,39879,3981,348,13350,9253,586,598
195664,485,7502,029,327146,4031,597,46752,0804,384,527
195757,389,0301,801,521162,5521,189,60567,7115,741,428
195873,137,4552,289,340148,2301,517,71689,4283,806,182
195976,749,2402,400,82090,494983,10071,5255,664,826
YearExports of New Zealand Produce
Cattle Hides and Calf SkinsSheep Skins
Cattle HidesCalf SkinsAggregate ValueWith WoolWithout WoolAggregate Value

* Not available.

Provisional.

 NumberNumber£NumberNumber£
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
1956837,3871,117,3682,964,9241,088,05419,270,6987,318,964
1957905,5231,280,3163,240,6601,066,42118,744,9486,645,015
1958904,1021,015,1002,992,453914,51419,679,0045,085,450
1959879,224956,3684,454,4951,247,69124,617,0248,455,649

PRODUCTION

SeasonWool ProductionButterfat ProductionTimber ProductionMeat Production
Total Production (Greasy Basis)Average Price Per Pound (Greasy Wool)Total ValueTotal ProductionYield Per Cow in MilkAverage Payout Per Pound

* Provisional.

Excludes payment for butterfat in milk and cream consumed as such.

 lb.(m).d.£(m.)lb.(m).lb.d.Bd. ft.(m.)Ton(000)
1914–152291110.5112........
1915–162291514.312018016.5309..
1916–172311514.4127186......
1917–182391514.9121170......
1918–192411515.1124170......
1919–202291514.313617421.0301..
1920–2121776.315517428.0308..
1921–2221087.019919614.5315..
1922–2320910.859.422620117.0304..
1923–2421615.7814.222919315.5317..
1924–2522320.2118.824120217.0344..
1925–2622811.9311.323419818.0353..
1926–2724112.7012.825921915.5306..
1927–2825316.6717.626421318.0270..
1928–2926314.8816.328922418.5270..
1929–302628.559.331422616.0282..
1930–312595.676.132221511.5229..
1931–322705.265.934021511.0154..
1932–332775.155.93972309.0166..
1933–3429011.0713.44272359.0198..
1934–352656.547.24102249.5244..
1935–363049.1311.643724012.5293..
1936–3730315.7119.845825413.7306..
1937–3829710.0412.443524715.2323..
1938–393289.1712.540022916.5317..
1939–4031012.8515.843124716.7336..
1940–4133112.8716.946626216.7342..
1941–4234512.8817.643724616.8324..
1942–4334014.5819.740723417.1342..
1943–4433014.6019.238723218.2351..
1944–4537214.6121.643225420.3340..
1945–4636514.5121.237322121.2345541
1946–4736717.8327.540824323.7354560
1947–4836225.1137.941824126.6431549
1948–4936725.8139.545725927.8470556
1949–5039037.9861.747125229.2478577
1950–5139087.84142.749525931.0528530
1951–5240740.1968.250226234.6575602
1952–5341846.1980.453527137.2575578
1953–5442650.2589.249624738.9574589
1954–5545549.6794.250525238.2616637
1955–5646246.1988.952826338.0626682
1956–5749154.76112.052326138.1597670
1957–5849641.1685.155728236.9597688
1958–5954036.0781.2555*282*32.8637738

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
1957–588,529162,985119,989,253417,918,27466,052,015645,108,872227,190,598
1958–598,565168,772128,318,259418,647,28870,320,610659,454,543240,807,255

REVENUE AND EXPENDITURE OF GENERAL GOVERNMENT

£
Year Ended 31 MarchConsolidated Fund*
ReceiptsPaymentsDeficitSurplus
From TaxationFrom Other SourcesTotal

* Sec p. 790 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.

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..
1959204,830,14435,546,806240,376,950239,955,016..421,934
1960276,445,74038,402,047314,847,787314,216,922..630,865

NOTE.—Reference to Section 30A will indicate that the figures shown in the above table are by no means on a comparable basis over the period. The figures from 1937–38 onwards have been adjusted to bring them into line with present practice.

INDEBTEDNESS OF GENERAL GOVERNMENT—AMOUNT OF DEBENTURES AND STOCK IN CIRCULATION (Nominal Amounts)

As at 31 MarchDomiciled inTotalPer Head of Population
United States of AmericaLondonAustraliaNew Zealand
 £(000)£(000)£(000)£(000)£(000)£s.
1910..57,7344,11413,04374,891727
1911..62,2224,21414,64281,0787615
1912..64,0054,21416,13584,354780
1913..68,9294,21416,91790,061810
1914..78,6244,28716,81999,7308710
1915..76,4103,97919,671100,060870
1916..81,4653,52124,652109,637956
1917..83,8783,38642,573129,83611216
1918..88,7083,38658,747150,84013013
1919..95,7083,38676,982176,0761498
1920..95,7083,386102,077201,17116213
1921..99,6921,655104,977206,32416216
1922..105,9192,287110,848219,0541687
1923..110,6682,159106,126218,9531654
1924..114,8772,107104,633221,6161648
1925..120,8182,952104,044227,8151653
1926..128,0483,643107,165238,8551698
1927..132,5134,042109,296245,85117019
1928..139,7574,169107,470251,39617218
1929..149,3464,168110,677264,19217912
1930..146,5814,277116,526267,38317911
1931..154,5474,175117,311276,03318212
1932..133,4513,915118,386255,75216713
1933..135,2102,869118,354256,43216615
1934..134,7172,908138,976276,6011789
1935..134,7812,184117,425254,39016219
1936..132,5211,593122,257256,37016218
1937..130,546892130,041261,47916415
1938..130,666883132,462264,01016411
1939..130,662880146,238277,77917019
1940..131,672880164,165296,71618017
1941..132,180880190,176323,23619711
1942..127,564862230,780359,20721916
1943..132,083862304,689437,63426716
1944..132,917862366,747500,5263049
1945..133,091861403,274537,22731916
1946..94,529861472,750568,1403238
1947..94,529861482,990578,3803234
1948..83,188779494,112578,0783165
1949..79,962628534,395614,98632917
1950..78,140628565,112643,8803387
1951..77,808..589,425667,2333446
1952..77,808..575,855653,6623297
1953..77,790..589,898667,68832714
1954..87,790..616,581704,3713378
1955..97,789..630,804728,59334118
1956..95,804...639,397735,20133719
19574,429100,425..652,265757,12034017
19583,96399,576..678,572782,11134314
195923,548118,277..674,728816,5523511
196018,965117,764..707,787844,5163566

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.

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 1959 amounted to £(N.Z.) 127,915,422.

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
195822,707,45646,859,38431,051,063100,617,90398,288,315114,675,190
195924,392,26453,838,38929,874,497108,105,150106,599,410127,970,353

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.

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
19243,997,00922,075,0039,173,4344,740,8654,237,16844,223,529
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
19463,195,74627,230,7739,365,14911,190,5866,360,07859,342,332
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
19586,772,04851,414,36915,689,12421,299,69019,499,959114,675,190
19597,413,44755,751,14017,562,22122,930,45424,313,091127,970,353

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.

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
1954156,972,8231,454,710301,633,467281,750,319305,827,08257,692,454
1955182,928,5411,383,469300,303,387279,855,391299,528,76859,456,104
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
1958175,416,5041,416,061288,538,498279,030,219280,142,55862,094,597
1959170,076,1961,470,843316,285,601283,364,482314,949,40662,692,003

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£££££
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
1949–50 11,447,7543,792,8467,654,908 170,982,452
1,372,67277,963,43073,306,1814,657,2493,821,285
1950–511,407,24186,395,33185,190,0071,205,3243,915,006176,102,782
1951–521,450,30998,205,64393,748,8184,456,8254,079,606184,639,213
1952–531,485,85299,125,77496,699,5592,426,2154,208,308191,273,736
1953–541,520,988109,340,23999,134,78310,205,4564,442,620205,921,812
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
1958–591,778,426141,836,930143,614,817−1,777,8877,185,587263,913,106
1959–601,826,037158,152,503146,492,32611,660,1777,525,983283,099,266

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 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.

    £ ££
1908175,440,111281,699,027488,0842,050,6841,222,280383,472544,642
1909186,926,337295,886,182538,7402,307,5931,414,752441,099566,990
1910196,768,968310,236,516569,6572,457,5231,666,959517,315603,150
1911205,450,627323,663,638607,7642,759,3931,821,566566,650613,252
1912214,184,119333,620,976666,4253,231,3501,970,643627,443644,637
1913223,961,200338,400,371690,7453,357,7742,238,842711,518695,136
1914233,901,320359,031,400691,5183,427,5052,314,327714,683698,898
1915242,547,859356,519,892664,8603,471,8182,370,079712,753858,583
1916242,121,361347,016,697669,3553,607,0872,286,463685,708964,793
1917245,796,945344,962,697642,6833,476,6452,166,597628,920976,027
1918242,527,369333,826,886638,5003,649,3712,091,051610,591983,585
1919247,143,183340,448,228690,2914,604,0592,197,520646,4111,068,489
1920259,743,234360,747,489699,6745,276,7762,280,219691,2011,352,677
1921253,767,131359,096,963669,3834,850,8202,377,622723,2541,499,304
1922239,997,081356,188,284659,9434,278,5292,434,506730,2321,378,421
1923252,021,959383,196,807684,9794,390,1592,652,777786,1461,146,588
1924272,311,925426,907,636731,5114,692,9292,846,333840,5591,257,942
1925294,630,760471,503,757766,6894,977,2303,040,722902,1191,320,277
1926298,617,089486,381,016793,1105,033,1273,329,638965,2701,400,886
1927297,478,294496,553,440803,5354,995,0903,614,2171,015,2131,439,587
1928298,548,364517,749,720807,8854,977,5223,575,9841,057,6241,426,936
1929309,162,103532,070,649835,3585,187,5533,816,6351,123,4461,498,684
1930313,148,058542,003,413833,5055,069,6293,907,2881,128,8071,582,550
1931263,633,952465,484,009714,4783,993,0352,884,654952,4441,744,553
1932246,395,130436,615,397648,9513,335,5522,686,648958,3731,393,655
1933261,979,312461,132,572635,6743,112,7292,883,0701,061,9461,294,757
1934275,063,943486,830,600654,6213,209,7133,325,5611,140,6951,384,265
1935288,645,484526,126,679673,0573,374,0293,827,4171,293,9551,466,857
1936292,098,761534,097,248733,9663,794,6483,833,2881,378,3871,628,868
1937302,170,027547,687,799784,4954,312,6293,746,5601,454,7931,822,308
1938316,309,341608,682,253848,0504,802,2933,835,4001,485,4262,033,488
1939312,603,575591,476,930911,4845,094,3643,374,8521,323,3981,938,607
1940296,684,295531,941,815812,6674,435,0072,558,9161,020,6302,084,351
1941142,996,000261,870,000751,7224,302,1262,408,020980,9522,194,042
1942817,3984,960,5612,242,034933,6342,283,847
1943786,5115,500,6872,215,572945,2932,464,304
1944762,1795,989,3692,223,041951,9892,619,066
1945140,355,000236,844,000769,8577,202,2002,266,285982,5972,645,257
1946160,680,000*294,326,000*903,36910,624,440§2,354,4771,028,1114,009,763
1947159,778,000301,067,000917,29010,804,3142,464,7831,071,6134,092,930
1948162,131,000319,229,000942,65410,842,8652,483,9291,106,4794,293,823
1949169,798,000343,024,000952,21410,855,6482,460,7621,119,6674,185,348
1950178,857,000358,183,000977,00011,638,0912,371,5771,083,9774,500,237
1951174,591,000346,654,0001,026,51012,680,8982,349,8901,115,5645,525,253
1952176,895,000357,611,0001,090,86214,373,8912,297,2391,101,0045,663,753
1953173,532,000359,346,0001,136,34914,666,6382,230,1671,080,0766,638,776
1954180,105,000386,381,0001,235,97020,586,8482,277,7501,100,8066,675,037
1955187,487,000408,097,0001,336,54125,460,8522,333,9981,085,9387,217,771
1956191,979,000412,379,0001,382,63326,300,3872,230,3811,071,9547,633,451
1957202,339,000438,638,0001,339,26724,906,9592,175,7751,137,5808,368,826
1958204,660,000446,403,0001,352,50925,039,0962,239,9011,230,2018,190,855

GOVERNMENT RAILWAYS

Year Ended 31 MarchMiles Open for TrafficCapital Cost of Open LinesTrain-mileagePassengers Carried, Excluding Season-ticket HoldersGoods and Live-stock*RevenueExpenditure
  £  Tons££
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
19583,466125,472,14214,825,1107,768,57910,331,94830,009,54631,063,649
19593,420133,943,44114,604,9318,070,34110,367,47829,822,50130,504,853

* Equivalent tonnage of live-stock.

From 1925–26, figures relate to railway operation only.

Capital cost written down by £ 10,400,000.

BANKRUPTCIES AND NEW COMPANY REGISTRATIONS

YearBankruptciesNew Company Registrations*

* 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.

 Number of BankruptciesAmount Realized by Official AssigneeAmount of Debts ProvedNumber of New RegistrationsAmount of Nominal Capital
  ££ £(000)
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
192014547,89?77,7525019,564
192133678,271558,3043373,498
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
19434518,138320,0522701,547
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
1958495184,795819,1353,03430,764
1959594194,877755,1932,73747,103

INSURANCE

YearLife (Ordinary and Industrial)AccidentFire
Policies in ForceSum AssuredNet Revenue*Net Expenditure*Net Revenue*Net Expenditure*
* Excluding unexpired risks reserves.
 Number£(000)££££
1910–11201,63335,426345,221204,383....
1911–12215,84637,211272,473228,210....
1912–13230,49839,321326,702254,058....
1913–14241,25740,989341,951260,596....
1914–15249,70642,254351,194287,512....
1915–16260,30843,778344,640291,634....
1916–17273,91245,333355,289302,204....
1917–18282,96846,417356,480321,027....
1918–19298,78249,341363,673326,724974,140747,606
1919–20318,08353,684456,054398,5361,101,461769,708
1920–21338,68858,504540,551454,9411,281,905885,944
1921–22357,14162,690714,575618,8181,403,6761,159,140
1922–23369,76365,219718,246651,9311,429,4431,169,047
1923–24389,05870,386767,243707,4681,434,8761,206,829
1924–25411,79675,936868,930791,4531,445,5771,279,313
1925–26433,31781,4001,157,968979,8831,516,9801,223,585
1926–27455,41886,7541,330,6781,145,1171,490,6071,352,312
1927–28480,00792,1101,341,0531,223,6091,497,2371,445,405
1928–29503,30098,0741,423,0951,299,0111,500,7711,533,615
1929–30531,905105,2711,662,7201,449,2041,516,3151,332,547
1930–31552,757112,0671,745,4491,548,9751,552,8261,306,634
1931–32546,455112,70?1,526,2701,456,4861,553,6931,451,643
1932–33543,287112,0931,319,0901,181,4171,493,0141,165,770
1933–34558,457112,8761,266,1811,112,3381,428,4681,078,860
1934–35588,650116,5571,392,6411,201,0611,372,6191,049,632
1935–36627,719123,9041,512,8371,404,2401,375,3221,019,193
1936–37686,139136,0131,763,9851,700,3431,355,084987,415
1937–38751,023150,8022,223,3432,135,0311,294,825933,462
1938–39800,810161,0962,606,2512,336,3131,330,1821,010,553
1939–40835,886170,4152,819,6022,392,3971,392,4321,058,639
1940–41864,657177,5042,641,1972,304,7611,442,0831,122,533
1941–42900,065187,2072,605,1532,228,0911,507,1451,167,026
1942–43921,827193,7592,391,1152,064,9901,561,8831,336,801
1943–44953,953204,1932,679,9912,291,7651,679,1271,324,235
1944–45991,976219,0242,718,0172,432,3071,571,3041,285,538
1945–461,035,812238,5962,961,4002,652,4631,640,0041,352,787
1946–471,095,583265,8533,378,6232,841,5641,828,3891,543,546
1947–481,150,999296,3234,037,2883,460,8492,043,4251,673,587
1948–491,192,114324,9414,471,3223,984,7302,322,3611,712,184
1949–501,225,708353,4535,054,4014,495,1802,553,7771,922,472
1950–511,263,092387,2165,987,2995,210,5182,748,5242,237,736
1951–521,304,290433,0126,830,4826,060,3013,053,0222,428,733
1952–531,344,699479,0848,186,5047,202,6123,408,7942,792,279
1953–541,380,513529,1079,183,4618,030,9363,754,8453,083,966
1954–551,426,532591,79010,222,2019,056,6744,125,8213,247,613
1955–561,463,122662,15311,377,61410,387,0664,224,3903,554,989
1956–571,498,104732,19112,815,26211,845,9494,396,2863,653,707
1957–581,531,412811,69814,168,41113,224,6144,647,8104,028,581
1958–591,564,334901,94815,370,48614,347,1835,012,0714,207,082

Appendix A. APPENDICES

(a) 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 ling station established. Application of thirteen chiefs for the protection of King William IV.

1833. Mr. James B appointed British Resident at Bay of Islands.

1834. Waimate Pa, 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 lighting 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 regime 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. S.s. Ripple foundered off Cape Palliser with loss of 16 lives.

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.

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. 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. 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. Abolition of petrol and butter rationing. 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. 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 hold 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. 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.

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. 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. Armistice agreement signed in Korea. 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, followed by increases in social security benefits and war pensions, public service salaries, guaranteed prices for butterfat, etc. New Zealand's worst railway disaster occurred at Tangiwai on Christmas Eve, with a death roll of 154 persons. Arrival of Her Majesty Queen Elizabeth the Second and His Royal Highness the Duke of Edinburgh, on 23 December, the first occasion on which a reigning monarch had visited these shores. Her Majesty broadcast to the Commonwealth and Empire from Auckland on 25 December. 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. New Zealand took seat on United Nations Security Council. 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. 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. Formal agreement signed for initiation of reciprocal N.Z.-U.K. social security scheme.

1956. Start made on Ohakuri hydro-electric power station, the seventh on the Waikato River, and steam power station at Mercer. 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. 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. 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. 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. New Zealand shared fully in programme for International Geophysical Year, including Antarctic section. Dairy produce given unrestricted, duty-free right of entry to Britain till 1967. Plan announced to almost double generating capacity of New Zealand's power systems by 1970 at cost of £235 million, including the laying of a cable across Cook Strait. Restraints on credit continued. Lord Cobham succeeded Lord Norrie as Governor-General on 5 September. Freight rates on refrigerated cargo from New Zealand increased by 12¾ per cent from 1 September. Separate Court of Appeal constituted. Sir Leslie Munro elected President of United Nations General Assembly. Gross national product exceeded £1,000 million for first time. Start made on Benmore power station. National Government defeated and Labour Government assumed office on 12 December. Battalion sailed for service in Malaya.

1958. Import selection and exchange allocation brought into force to conserve overseas exchange. Sir Edmund Hillary and companions reached South Pole overland from Scott Base. Royal Tour of Her Majesty the Queen Mother. PAYE taxation on incomes introduced. Loans raised in London and New York. Electric power restrictions in North Island. Increase in family and age benefits. Army to be re-organized as an operational regular brigade group. New Zealand won four gold, six silver, and nine bronze medals at Empire Games in Cardiff. Guaranteed price for butterfat reduced. Trade agreement signed with Japan. Power generated from geothermal steam at Wairakei and from coal station at Mercer. Report made by Royal Commission on Local Authority Finance. Revised trade pact provided for variation of margins of preference on United Kingdom imports. Power restrictions lifted. Area planted in wheat doubled. Value of meat exports exceeded those of wool for calendar year.

1959 Mr C. M. Bennett, a distinguished Maori, appointed High Commissioner in Malaya. New Zealand's contribution to Colombo Plan exceeds £8 million. Experimental television station began transmission in Auckland. National Consumer Council appointed and four regional consumer committees established. Institute of Nuclear Sciences established. Investigations made into use of hydro-electric power for proposed aluminium industry in Dusky Sound region using Australian bauxite. Commission of inquiry into meat industry. Scheme provided for capitalization of family benefit for housing purposes. Council of Ministers of South-East Asia Treaty Organization held in Wellington. Trade mission to Australia. Improvement in overseas exchange reserves enables provision to be made for more imports. Trade agreement with Federal Republic of Germany. Branch universities at Hamilton and Palmerston North approved. Industrial development fund of £11 million established by Government. Substantial rises in butter and cheese prices on London market. Auckland Harbour Bridge opened (May). Reconstructed Wellington Airport opened for traffic (July). Budget reduces income tax rates from 1 October 1959 and 1 April 1960. General wage increase of 5 per cent with a maximum of 15s. 7d. per week granted by Court of Arbitration. Report made by special committee on universities. S.s. Holmglen foundered off Timaru with loss of 15 lives. Twelve nations including New Zealand, signed treaty to preserve Antarctica for peaceful scientific research for all time. Surplus of £21.9 million in overseas exchange transactions for calendar year. Decrease in road deaths.

(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 Zealand1912809
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
New Zealand Activities in the Antarctic19581247
New Zealand's International Activities19591221

(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.

DRUMMOND, Helen Margaret and LEATHAM, E. H. Bibliography of New Zealand tussock grasslands. Wellington. Department of Scientific and Industrial Research, 1959.

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.

A Legal bibliography of the British Commonwealth of Nations, Vol. 6. Australia, New Zealand and their dependencies. London. Sweet and Maxwell, 1958.

MCCORMICK, Eric Hall. Tasman and New Zealand: a bibliographical study. Wellington. Government Printer, 1959. (Turnbull Library Bulletin No. 14.)

MILLER, David. Bibliography of New Zealand Entomology, 1775–1952. Wellington. Government Printer, 1956.

NEW ZEALAND NATIONAL LIBRARY SERVICE. New Zealand periodicals: a select list. Wellington, 1959.

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.

REED, Alexander Wyclif. Legends of Rotorua and the hot lakes. Wellington, Reed, 1958.

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.

BAKER, Richard St. B. Land of Tane: the threat of erosion. London. Butterworth, 1956.

BOLLINGER, Conrad V. I. Grog's own country: history of liquor licensing in New Zealand. Wellington. Price, 1959.

CAMPBELL, Richard M. The Public Service Commission in operation. Wellington. New Zealand Institute of Public Administration, 1950.

CONDLIFFE, John Bell. New Zealand in the making, 2nd ed. London. Allen and Unwin, 1959.

CONDLIFFE, John Bell. The welfare state in New Zealand. London. Allen and Unwin, 1959.

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.

HUTTON, Leslie Bertram and STACE, F. N. (editors). The engineering history of electric supply in New Zealand, Vol. L Wellington. Electric Supply Authority Engineers Institute of New Zealand, 1958.

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.

MANNING, Arthur Edward. The Bodgie. A study in abnormal psychology. Wellington. Reed, 1958.

MAPLES, E. Social security services in New Zealand, Oxford University Press, 1949.

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 GOVERNMENT. Economic Survey. Annual since 1952. Wellington. Government Printer.

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.

NIXON, Allan Johnston. Divorce in New Zealand, Auckland, Auckland University College, 1954.

PARKER, R. S. (editor). Economic stability in New Zealand, Wellington, New Zealand Institute of Public Administration, 1953.

POLASCHEK, Raymond Joseph (editor). Government administration in New Zealand. Wellington, New Zealand Institute of Public Administration, 1958.

POLASCHEK, Raymond Joseph (editor). Local Government in New Zealand, Wellington, New Zealand Institute of Public Administration, 1956.

REPORT of the royal commission on monetary, banking, and credit systems, presented to the House of Representatives. Wellington. Government Printer, 1956.

SCHOLEFIELD, Guy Hardy. New Zealand parliamentary record 1840–1949. Wellington. Government Printer, 1950.

SCOTT, K. J. (editor). Welfare in New Zealand. Wellington. New Zealand Institute of Public Administration, 1955.

Social Security Department. The growth and development of social security in New Zealand … (1898–1949). Wellington. Government Printer, 1950.

SUTCH, William Ball. Economic changes of a quarter century. Wellington. Department of Industries and Commerce, 1959.

TOTALISATOR AGENCY BOARD. History and operation of off-course betting in New Zealand. Wellington. Totalizator Agency Board, 1958.

TYNDALL, Sir Arthur. The settlement of labour disputes in New Zealand. Cambridge, Mass. Massachusetts Institute of Technology, 1953.

WESTSTRATE, Cornelis. Portrait of a modern mixed economy: New Zealand. Wellington. New Zealand University Press, 1959.

EDUCATION

ALEXANDER, Robert Ritchie. The story of Te Aute College. (The leading secondary school for Maori boys.) Wellington. Reed, 1951.

ASHBRIDGE, George Richard. Teachers' legal and service handbook. 6th ed. Wellington. Educational Institute, 1959.

BARR, Janet R. Within sound of the bell. Christchurch. Whitcombe and Tombs, 1953.

BUTCHERS, A. G. Centennial history of education in Canterbury. Christchurch. Canterbury Education Board, 1953.

NEW ZEALAND UNIVERSITY. Alphabetical roll of graduates. Wellington. Whitcombe and Tombs, 1951.

NEW ZEALAND UNIVERSITY. The University of New Zealand Calendar. Wellington (Annual). Individual colleges issue separate calendars.

PARKYN, George William (editor). The administration of education in New Zealand. Wellington. New Zealand Institute of Public Administration, 1954.

PARKYN, George William (editor). Success and failure at the University. Vol. 1. Academic performance and the entrance standard. Wellington. Council for Educational Research, 1959.

SEARLE, Ernest Johnstone. The teaching of science in post-primary schools. Wellington. New Zealand Council for Educational Research, 1958.

SMITH, Sir David S. Devolution in academic matters: the Rhodes scholarships. Wellington. University of New Zealand, 1953.

SMITH, Sir David S. The quality and standing of the University. Wellington. University of New Zealand, 1954.

TURNER, Harold Walter. Halls of residence. Wellington. New Zealand Council for Educational Research, 1953.

WHITE, Dorothy Mary. Books before five. Wellington. New Zealand Council for Educational Research, 1954.

AGRICULTURE AND INDUSTRY

BACHAM, 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.

BUCHANAN, Ruthven A. A breeding analysis concerning the dual purpose Romney in New Zealand. Palmerston North, 1957.

ELPHICK, John Oliver. A users' directory of New Zealand coals. Wellington. Department of Scientific and Industrial Research, 1956.

FEDERATED FARMERS OF NEW ZEALAND OTAGO PROVINCIAL DISTRICT HYDATIDS COMMITTEE. The practical approach to the problem of hydatid disease. Dunedin, 1958.

FENNESSY, B. V. The control of the European rabbit in New Zealand. Commonwealth Scientific and Industrial Research Organization. Melbourne, 1958.

HADFIELD, J. W. Linen flax fibre production in New Zealand. Christchurch. Linen Flax Corporation of New Zealand, 1953.

HOWARD, Walter Wegner. The rabbit problem in New Zealand. Wellington. Department of Scientific and Industrial Research, 1958.

LEVY, Sir E. Bruce. Grasslands of New Zealand. Wellington. Government Printer, 1951.

MACDONALD, George Ranald. The Canterbury Frozen Meat Company Ltd., the first seventy-five years. Christchurch, 1958.

MCEWAN, John Martin. The wheat varieties of New Zealand. Wellington. Department of Scientific and Industrial Research, 1959.

MCNULTY, Francis Edward. There's money in meat: the story of the freezing industry in New Zealand. Auckland. In Print Publishing Co., 1959.

MASSEY AGRICULTURAL COLLEGE. Dairy farming annual (since 1948). Palmerston North.

MASSEY AGRICULTURAL COLLEGE. Sheepfarming annual (since 1938). Palmerston North.

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.

ORCHISTON, H. D. Fertilizers, lime and farm production in New Zealand, 1900–1952. Christchurch. Canterbury Agricultural College, 1957.

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.

PHILPOTT, Bryan Passmore, and STEWART, J. D. Capital income and output in New Zealand agriculture 1922–56. Wellington. Meat and Wool Board's Economic Service, 1958.

SUTCH, William Ball. The oil industry of New Zealand. Wellington. Department of Industries and Commerce, 1959.

TEBB, Cuthbert Palmer. Aerial top-dressing: review of five years' operation in Raglan-Waikato-King Country, 1953–58. Christchurch. New Zealand Meat and Wool Board's Economic Service, 1958.

WILD, L. J. The development of agricultural education in New Zealand. Christchurch. Whitcombe & Tombs, 1953. (The Macmillan Brown Lectures.)

WILSON, R. A. Fifty years farming on sand country. Palmerston North. Keeling and Mundy 1959.

LAW

ANDERSON, H. E. The law relating to companies in New Zealand. 2nd edition. Edited by D. J. Daiglish and others. Wellington, Brooker, 1957.

BIRKS, Walter Richard. The legal relationship of parent and child. Wellington. Legal Publications, 1952.

BURTON, Robert C. C. Bankruptcy law in New Zealand, and the law relating to insolvent estates, private assignments, chattels, transfer hire purchase, and arbitration. Wellington. Sweet and Maxwell, 1959.

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, Reweti Tuhorouta. He Konae Aronui. Proverbs and sayings of the Maori. Wellington, Reed, 1951.

MEAD, Sidney Moko. We speak Maori. First lessons in the Maori language. Wellington. Reed, 1959.

WALL, Arnold. New Zealand English: a guide to the correct pronunciation of English, with special reference to New Zealand. 3rd ed. Christchurch. Whitcombe and Tombs, 1959.

WALL, Arnold. The Queen's English. A commentary for New Zealand. Christchurch. Pegasus, 1958.

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.

COWAN, James. The Caltex book of Maori lore, revised by J. B. Palmer. Wellington. Reed, 1959.

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.

FINLAYSON, Roderick David and SMITH, Joan. The Maoris of New Zealand. London. Oxford University Press, 1958.

FIRTH, Raymond William. Economics of the New Zealand Maori. 2nd ed. Wellington. Government Printer, 1959.

FREEMAN, J. D. and GEDDES, W. R. (editors). Anthropology in the South Seas. Essays presented to H. D. Skinner. New Plymouth. Avery, 1959.

GORST, Sir John Eldon. The Maori king, edited by Keith Sinclair. Hamilton. Paul, 1959.

GRACE, John Te H. Tuwharetoa: the history of the Maori people of the Taupo district. Wellington. Reed, 1959.

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.

— Maori houses and food stores. Wellington. Dominion Museum (Monograph No. 8), 1952.

— Carved Maori houses of western and northern areas of New Zealand. Wellington. Government Printer, 1955.

— 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.

COTTON, Charles Andrew. New Zealand geomorphology, 1912–25. Wellington. New Zealand University Press, 1955.

EIBY, George. Earthquakes. London. Muller, 1957.

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.

HAMILTON, William Maxwell and BAUMGART, I. L. White Island. Wellington. Department of Scientific and Industrial Research, 1959.

HOCHSTETTER, Ferdinand von. Geology of New Zealand … the provinces of Auckland and Nelson, translated and edited by C. A. Fleming. Wellington. Government Printer, 1959.

NEW ZEALAND ASTRONOMICAL HANDBOOK. (Annual). Wellington. Royal Astronomical Society of New Zealand.

NEW ZEALAND SOIL BUREAU. General survey of the soils of North Island, New Zealand. Wellington. Government Printer, 1954.

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.

SUGGATE, Richard Patrick. New Zealand coals: their geological setting and its influence on their properties. Wellington. Department of Scientific and Industrial Research, 1959.

WILLIAMS, Gordon John. New mineral discoveries in the Nelson province. Nelson. Stiles, 1957.

MEDICINE

BEAGLEHOLE, Ernest. Mental health in New Zealand. Wellington. 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

BRITTENDEN, Richard Trevor. Great days in New Zealand cricket. Wellington. Reed, 1958.

CRICKET ALMANACK of New Zealand 1959, edited by Arthur H. Carman. Wellington. Sporting Publications, 1959.

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.

MCLEAN, Terence H. P. Great days in New Zealand rugby. Wellington. Reed, 1959.

— Kings of rugby. The British Lions' 1959 tour of New Zealand. Wellington. Reed, 1959.

RUGBY ALMANACK OF NEW ZEALAND, 1959, edited by Arthur H. Carman, Read Masters, and Arthur C. Swan. Wellington. Sporting Publications, 1960.

SWAN, Arthur Cameron. History of New Zealand rugby football. Vol. 2. 1946–57. Wellington. New Zealand Rugby Football Union, 1958.

POETRY

BAXTER, James Keir. Recent trends in New Zealand poetry. Christchurch. Caxton, 1951.

— The fallen house: Poems. Christchurch. Caxton, 1953.

— In fires of no return: poems. London. Oxford University Press, 1958.

BETHELL, Mary Ursula. Collected poems. Christchurch. Caxton, 1950.

BRASH, Charles Orwell. The estate and other poems. Christchurch. Caxton, 1957.

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. The best of Whim Wham. Hamilton. Paul, 1959.

CURNOW, Thomas Allen Monro (editor). A book of New Zealand verse, 1923–50. Christchurch. Caxton, 1951.

DALLAS, Ruth. Country road and other poems 1947–52. Christchurch. Caxton, 1953.

DOYLE, Charles Desmond. A splinter of glass: poems 1951–55. Christchurch. Pegasus, 1956.

DUGGAN, Eileen May. More poems. London. Allen and Unwin, 1951.

GLOVER, D. J. M. Arawata Bill: A sequence of poems Christchurch. Pegasus Press, 1953.

— Since then. Wellington. Mermaid, 1957.

JOHNSON, Louis (editor). New Zealand poetry yearbook. Vol. 8. Wellington. Pegasus Press, 1959.

JOSEPH, Michael Kennedy. Imaginary islands: poems. Auckland. Whitcombe and Tombs, 1950.

OLIVER, William Hosking. Fire without phoenix: poems 1946–54. Christchurch. Caxton, 1957.

SCHAFER, Adele. Hinemoa and Tutanekai and other … poems. Wellington, 1959.

SINCLAIR, Keith. Songs for a summer. Christchurch. Pegasus, 1952.

— Strangers or beasts. Christchurch. Caxton, 1954.

SMITHYMAN, William Kendrick. The blind mountain. Christchurch. Caxton, 1950.

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 (pseudonym). 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

ART GALLERIES AND MUSEUMS ASSOCIATION OF NEW ZEALAND. Guide to the art galleries and museums of New Zealand. 1958.

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.

— Frances Hodgkins and her circle. An exhibition. Auckland. Pelorus Press, 1954.

— New Zealand literature: a survey. London. Oxford University Press, 1959.

— 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.

REED, A. H., and A. W. The House of Reed: fifty years of New Zealand publishing, 1907–57. Wellington. Reed, 1957.

REID (Joan and Russell), Ltd. Prompt book: a New Zealand theatre guide. 2nd ed. Wellington. 1959.

SCHOLEFIELD, Guy Hardy. Newspapers in New Zealand. Wellington. Reed, 1958.

SCHRODER, John Henry Erle. Second appearances. Wellington. Reed, 1959.

STEWART, Douglas Alexander. Four plays. Sydney. Angus and Robertson, 1959.

TAYLOR, Ernest Mervyn. Engravings on wood. Wellington. Mermaid, 1957.

FICTION

CARMAN, Dulce. Dream of the dark. London. Wright and Brown, 1955.

COURAGE, James. The call home. London. Cape, 1956.

— A way of love. London. Cape, 1959.

— The young have secrets. London. Cape, 1954.

CROSS, Ian Robert. The God boy. London. Deutsch, 1958.

DAVIN, D. M. (editor). New Zealand short stories. Oxford University Press, 1953.

— The sullen bell. London. Michael Joseph, 1956.

DUGGAN, Maurice. Immanuel's land. Auckland. Pilgrim Press, 1956.

EDEN, Dorothy. Listen to danger. London. Macdonald, 1958.

FOWLER, Leo. Brown conflict: a tale of white man and Maori 1861–62. Wellington. Reed, 1959.

FRANCE, Ruth. The race. London. Constable, 1958.

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.

JOSEPH, Michael Kennedy. I'll soldier no more. London. Gollancz, 1958.

MCLEOD, David. The tall tussock: stories of the high country. Christchurch. Whitcombe and Tombs, 1959.

MANSFIELD, Katherine. Selected short stories, with an introduction by D. M. Davin. Oxford University Press, 1953.

MARSH, Ngaio. Off with his head. London. Collins, 1957.

— Opening night. London. Collins, 1951.

— Singing in the shrouds. London. Collins, 1958.

MIDDLETON, Osman E. G. The stone and other stories. Auckland. Pilgrim Press, 1959.

PARK, Ruth. One-a-pecker, two-a-pecker. Sydney. Angus and Robertson, 1957.

REES, Rosemary Frances. Love in a lonely land. London, Harrap, 1958.

SARGESON, Frank. I for one. Christchurch. Caxton, 1954.

SCOTT, Mary E. The white elephant. Hamilton. Paul, 1959.

SHADBOLT, Maurice. The New Zealanders: a sequence of stories. Christchurch. Whitcombe and Tombs, 1959.

WARNER, Sylvia Ashton-. Spinster: a novel. London. Secker and Warburg, 1958.

WILSON, Guthrie Edward. Brave company. London. Hale, 1951.

— Julien Ware. London. Hale, 1952.

— Strip Jack naked. London. Hale, 1957.

— Sweet white wine. London. Hale, 1956.

— The feared and the fearless. London. Hale, 1954.

DESCRIPTION AND TRAVEL

ACRES, Thyna A. M. Opo the gay dolphin. Wellington. Reed, 1956.

ADKIN, George Leslie. The great harbour of Tara … Maori place-names and sites of Wellington… environs. Christchurch. Whitcombe and Tombs, 1958.

AUCKLAND Provincial Public Relations Office. The story of the Auckland harbour bridge. Auckland. 1959.

BRUNNER, Thomas. The great journey. An expedition to explore the interior of the Middle Island, 1846–48. Edited by John D. 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, 1957; vol. 2., 1958. Auckland.

CUMBERLAND, Kenneth Brailey, and Fox, J. W. New Zealand: a regional view. Christchurch. Whitcombe & Tombs, 1958.

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.

HARDINGHAM, John Frederick Watson. New Zealand travel guide. Wellington. Reed, 1958.

HARDWICK, John M. D. Opportunity in New Zealand. London. Rockliff, 1955.

— 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.

KEAM, Ronald Frank. Lake Taupo. Auckland. 1959.

MCCLYMONT, William Graham. The exploration of New Zealand. 2nd ed. London. Oxford University Press, 1959.

MCLINTOCK, Alexander Hare (editor). A descriptive atlas of New Zealand. Wellington. Government Printer, 1959.

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. Great days in New Zealand mountaineering. Wellington. Reed, 1958.

— Land uplifted high. Christchurch. Whitcombe & Tombs, 1952.

PETERSEN, G. C. Lake Taupo. Wellington. Reed, 1957.

REED, Alfred Hamish. Walks in Maoriland byways. Wellington. Reed, 1958.

REED, Arnold Wyclif. The story of New Zealand place names. Wellington. Reed, 1952.

REVES, 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.

— Rangi and Rotorua. Wellington. Reed, 1955.

— Waitomo Caves. Wellington. Reed, 1953.

STONE, Desmond (editor). Verdict on New Zealand. Wellington. Reed, 1958.

SUTHERLAND, W. T. G. The golden bush. London. Michael Joseph, 1953. Also at Christchurch. Whitcombe & Tombs, 1953.

WEBB, Beatrice. Visit to New Zealand in 1898 … with entries by Sidney Webb. Wellington. Price, 1958.

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.

WILSON, Robert A. Bird islands of New Zealand. Christchurch. Whitcombe and Tombs, 1959.

WINKS, Robin William. These New Zealanders. Christchurch. Whitcombe & Tombs, 1954.

WOOD, Frederick Lloyd Whitfield. This New Zealand. 4th ed. London. Hammond, 1958.

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, 1958–59. Wellington. Business Book Co., 1958.

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), 1956–57. Auckland. White's Aviation, 1956.

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.

MULGAN, Alan Edward. The making of a New Zealander. Wellington. Reed, 1958.

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.

WARD, Edward Robert. The journal of Edward Ward 1850–51. Christchurch. Pegasus, 1958.

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.

WOODHOUSE, Airini Elizabeth. Guthrie-Smith of Tutira. Christchurch. Whitcombe and Tombs, 1959.

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.

— 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.

MCLINTOCK, Alexander Hare. Crown colony government in New Zealand. Wellington. Government Printer, 1958.

MILLER, Harold G. New Zealand. London. Hutchinson, 1950.

NEW ZEALAND DOMINION ARCHIVES. A guide to the Dominion archives. Wellington. Department of Internal Affairs, 1953.

— Archives of the Governor-General. Wellington. Department of Internal Affairs, 1953.

— Archives of the Army Department. Wellington. Department of Internal Affairs 1953.

— 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 ARCHIVES. Archives of the provinces of Auckland and Taranaki, Wellington. Department of Internal Affairs, 1958.

— Archives of the provinces of Nelson and Marlborough and of the Nelson Trust Funds Board. Wellington. Department of Internal Affairs, 1958.

NEW ZEALAND NATIONAL HISTORICAL PLACES TRUST. Rules. Wellington. Government Printer, 1956.

SINCLAIR, Keith. A history of New Zealand. Harmondsworth. Penguin Books, 1959.

TAPP, Edwin John. Early New Zealand, a dependency of New South Wales 1788–1841. Carlton. Melbourne University Press, 1958.

HISTORY: SPECIAL

ACLAND, Leopold George Dyke. The early Canterbury runs and glossary of station terms. (Incorporating earlier volumes.) Christchurch. Whitcombe & Tombs, 1951.

ALLAN, Ruth Mary. The history of Port Nelson. Wellington. Whitcombe and Tombs, 1954.

BAGNALL, A. G. Masterton's first hundred years. Masterton. Centennial Committee, 1954.

— Old Greytown, 1854–1954. Greytown Centennial Book Committee, 1953.

— A history of Carterton; the story of the first hundred years. Carterton. Borough Council, 1957.

BANKS, Sir Joseph. Sir Joseph Banks in New Zealand. Edited by W. P. Morrell. Wellington. Reed, 1958.

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.

ELVY, William John. Kei puta te Wairau: a history of Marlborough in Maori times. Christchurch. Whitcombe & Tombs, 1957.

GILLESPIE, Oliver Arthur. South Canterbury: a record of settlement. Timaru. South Canterbury Centennial History Committee, 1958.

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.

GOLDMAN, Lazarus Morris. The history of the Jews in New Zealand. Wellington. Reed, 1958.

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.

HOBBS, Leslie Raymond. The wild west coast. Christchurch. Whitcombe and Tombs, 1959.

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.

MILLER, John Owen. Early Victorian New Zealand: racial tension and social attitudes, 1839–52. London. Oxford, 1958.

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 Printer, 1954.

PETERSEN, George Conrad. The pioneering days of Palmerston North. Levin. Kerslake, Billens, and Humphrey, 1952.

RAMSDEN, George Eric Oakes. Rangiatea: The story of Otaki church. Wellington. Reed, 1951.

REED, Alfred Hamish. The story of Hawke's Bay. Wellington. Reed, 1958.

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.

RYAN, Archie Bruce. Gold discoveries in New Zealand. Wellington. Reed, 1959.

SCOTT, R. G. The Parihaka story. Auckland. Southern Cross Books, 1954.

SHARP, Charles Andrew. Crisis at Kerikeri. Wellington. Reed, 1958.

SINCLAIR, Keith. Maori land league. Auckland University College, 1950.

— 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.

SUTHERLAND, Allan. Flags of New Zealand. Auckland. 1958.

TORLESSE, Charles Obins. The Torlesse papers … concerning the founding of the Canterbury settlement in New Zealand 1848–51. Edited by Peter P. Maling. Christchurch. Pegasus, 1958.

TURNBULL, Michael R. M. The New Zealand bubble: the Wakefield theory in practice. Wellington. Price Milburn, 1959.

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.

WOOD, Russell George. From Plymouth to New Plymouth. Wellington. Reed, 1959.

WYNYARD, Montague Harrison. The story of Maungakiekie the ancient Maori fortress and now One Tree Hill. Auckland. One Tree Hill Domain Board, 1958.

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.

— 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, James Herbert. 22 Battalion. Wellington. 1958.

— R.M.T. 1954.

KAY, Robin Langford. 27 (Machine Gun) Battalion. Wellington. 1957.

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, Angus. 23 Battalion. 1959.

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.

— Medical services in New Zealand and the Pacific. 1958.

— War surgery and medicine. 1954.

THOMPSON, H. L. New Zealanders with the Royal Air Force. 3 vols. 1953–59.

UNDERHILL, Rev. M. L., and others. New Zealand chaplains in the Second World War. 1950.

WAR HISTORY BRANCH. Documents relating to New Zealand's participation in the Second World War, 1939–45—

Vol. I. 1950.

Vol. II. 1951.

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. C. 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

AIRMAN, 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.

SCHOFIELD, James Cecil. The geology and hydrology of Niue Island. Wellington. Department of Scientific and Industrial Research, 1959.

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, 1958.

VICTORIA UNIVERSITY OF WELLINGTON DEPARTMENT OF GEOGRAPHY. Western Pacific. Studies of man and environment in the Western Pacific. Wellington. 1958.

WRIGHT, Alfred C. S. Soils of Chatham Island (Rekohu). Wellington. Department of Scientific and Industrial Research, 1959.

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.

JUPP, Kathleen M. Report on the population census of Western Samoa 1956. Wellington. Government Printer, 1958.

KEAR, David and WOOD, B. L. The geology and hydrology of Western Samoa. Wellington. Department of Scientific and Industrial Research, 1959.

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.

FUCHS, Sir Vivian Ernest, and HILLARY, Sir Edmund. The crossing of Antarctica, the Commonwealth Trans-Antarctic Expedition 1955–58. London. Cassell, 1958.

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.

(d) GRASSLAND RESEARCH IN NEW ZEALAND

Contributed by B. L. Evans, M.A., Dip.Ed., Agricultural High School, Feilding

(As in the case in previously published special articles, the Department of Statistics does not accept responsibility for the views expressed in this short history; the article has, however, been submitted by the author to some of the foremost authorities in the field of grassland research.)

 Page
Introduction1243
Early Research to About 19201244
Montane Tussock-grassland of South Island1247
Research in the 1920's1248
North Island Hill Country1251
Fundamental Grassland Research1254
Seed Certification Scheme1255
Plant Breeding1256
Plant Breeding and Seed Certification1257
Soil Fertility and Pasture Growth1258
Plant Physiology and Factors influencing the Rate of Growth of Pasture1260
Utilization of Pasture1261
Seventh International Grassland Congress 19561263

Introduction.—The importance of grassland research in New Zealand is as great as that of the grass itself, and the importance of grass as the basis of New Zealand's economy is too well-known to need re-emphasis here. It is of interest to outline briefly the increase in the acreage of sown pastures in New Zealand, and to show how the increase in the acreage farmed is only one factor among many when considering the reasons for the increase in the stock-carrying capacity of our pastures.

In 1861 there were 158,000 acres of sown pastures in New Zealand, and by 1881 this area had increased to 3½ million acres. During that period the sheep population increased from approximately 3 million to 13 million. This increase was brought about not so much by the increase in sown pastures as by the grazing of the tussock grassland and the increase in the acreage being farmed. From 1881 to 1925 sown pastures increased to 16½ million acres, but thereafter the annual increase was so small as to be almost negligible in assessing the reasons for increases in stock on New Zealand farms.*

In the same period occupied holdings reached a total area of 43½ million acres, and the area has remained in the region of that figure, so that the large increase in stock-carrying capacity since 1925 must have been brought about by factors other than increasing acreage. During the period 1925–54, allowing one unit for a breeding ewe and six for a dairy cow, breeding units in New Zealand increased from 20 million to 36 million. This increase of some 16 million units (i.e., about 77 per cent) came about over a period of 30 years when the total area being farmed remained static. It follows therefore, that other factors have been at work – land drainage, irrigation, better farm management, topdressing, to mention just some – and grassland research.

Each of these factors has contributed to improved carrying capacity, but there is little doubt that the most important of all – because of its general application to all farmlands – has been topdressing. There is equally little doubt that the second in importance is grassland research. The sorting out of the best strains of New Zealand's grasses and clovers, the use of these by the plant breeder to produce new and better strains, and the continuous flow of these to the farmer through the certification scheme has helped very considerably to bring about a slow but steady improvement in the general pasture cover of most of the 18 million acres of sown grass pasture.

This general improvement in the productive capacity of the grass and clover plants, which form the basis of our swards, has been the work of the agrostologists and plant breeders, and if we add to their work that of a host of other research workers in closely related fields – animal and field husbandry, irrigation, drainage, plant chemistry, veterinary science, animal diseases, and so on – we have the answer to the phenomenal increase in breeding units over the past thirty years.

* Evans, B. L.: Agricultural and Pastoral Statistics of New Zealand, 1861–1954, Tables 4, 20.

The first investigations relating to pasture and grass in New Zealand were these of the early botanists, most of whom merely recorded the various species, both native and introduced, and were content to give botanical descriptions of the grass plants themselves and of their habitat. They showed little interest in the importance of various grasses as food for stock. It was not until the visit to New Zealand of Professor R. Wallace, of the University of Edinburgh, in the 1890's that consideration began to be given to the economic importance of pasture. Wallace was interested in pastures from the point of view of primary production, and he studied the various methods of bringing bush and swamp land into pasture, and the success with which various English grasses had been used for pasture in comparison with native grasses.*

In 1892, following the establishment of the Department of Agriculture, the importance of pasture began to receive attention from official sources and substantial prizes were offered for the best collections of grasses and forage plants gathered in New Zealand. Special encouragement was given to collections of “useful indigenous species” and the best collections were kept by the Department and added to the reference collections for the use of departmental experts. In 1896 Mr T. W. Kirk, the Department's chief botanist, established a grass garden at Moumahaki Experimental Station, and by 1900 it contained over 130 different kinds of grasses and fodder plants. From time to time the plots were cut, the cuttings were weighed, and the amount of green fodder from each plot for the year was calculated. Attention was also given to pests affecting pasture especially the grass grub.

Early Research to About 1920.—A very important appointment in 1909 in relation to grassland science was that of Mr A. H. Cockayne as assistant biologist to Mr Kirk, Director of Biology Section. One of Cockayne's principal duties was to undertake the identification of economic-plant specimens, a work which brought him into close contact will all kinds of plants, including the various common pasture plants. He became especially interested in clovers and grasses. Mr E. Bruce Levy later joined the staff of the Biology Section, and these two men not only pioneered the early investigations into pasture development and improvement but initiated certain seed-testing services for the benefit of the farming community. This early work laid the foundations of the much greater work to be carried out later at the Plant Research Station at Palmerston North.

Further, the decision of the Department of Agriculture to publish each month the Journal of Agriculture gave both men the opportunity of publishing the results of their investigations, and it is of interest that the first article in the first Journal in 1910 was written by Cockayne on the effect of burning the natural pastures of New Zealand. This was the first of a long series of articles on The Grasslands of New Zealand, articles of the greatest importance not only for the information and advice they contained, but perhaps even more for what they did to make New Zealand farmers conscious of the great national importance of their pasture lands, and to direct their attention to the very great necessity for preserving, maintaining, and improving them whenever possible.

In New Zealand our grass crop far outshadows all others. In round numbers, of the 16 million acres under cultivation, grass claims 14 million, or over 87 per cent. To this has to be added the area devoted to supplementing the pastures – namely, the green crops, about 750,000 acres, and a large proportion of the oat crop. Thus, roughly about 95 per cent of our cultivated land is devoted to the production of feed for our herds and flocks, and 5 per cent to all other crops. When these figures are considered, especially in conjunction with the vital importance of our export trade in animal produce – wool, meat and dairy produce – it is apparent how essential to the national welfare of the country is the improvement of our grass lands and their subsidiary crops.

* Wallace, R.: The Rural Economy and Agriculture of Australia and New Zealand, pp. 287–311.

Kirk, T. W.: Annual Report, Department of Agriculture 1894, p .52.

Gillanders, F.: Annual Report, Department of Agriculture. 1900, p. 232.

So said Cockayne in 1910, and the same can be said with almost equal truth today, except that in the meantime science has accomplished much for the improvement of our pastures. It was their future improvement that Cockayne now began to envisage, and he immediately foresaw that one of the most urgent necessities was the establishment of a properly equipped plant-breeding station under Government control. He showed that as plant-breeding was a specialized science, it could not be undertaken with any degree of satisfaction on the various experimental farms then in existence, and it was therefore necessary to have one station devoted solely to this particular branch of agricultural research. Such a station would deal mainly with the improvement of grasses and subsidiary crops. He mentioned the great results which had been obtained by the breeding of cereals, fruits, vegetables, flowers, and root crops in America and in Europe, and although less had been done in the improvement of forage plants, he realized that this would prove the most fruitful line of investigation that could be undertaken in New Zealand. He suggested that the New Zealand grass crop could be improved by the production of varieties with increased yield, and by varieties that were more drought-resistant, and by still of her varieties which would have increased nutritive qualities.*

In a subsequent article in the Journal Cockayne enlarged on the importance of plant-breeding, by giving the history and importance of the Svalof Plant-Breeding Station in Sweden, a station which, up to that time, had done much to improve wheat, oats, rye, barley, peas, and crops. Not only had this station been the means of increasing greatly the agricultural resources of Scandinavia, but it had been the means of arousing general interest in the problems of plant-breeding and had shown to the world the vast possibilities and the great monetary value arising from the artificial improvement of the staple crops. He mentioned also the work in the breeding of plants for improvement of yield, length of time of growth, palatability, and increased nutritive qualities being carried out at institutions such as Cambridge University, the Seed and Seed-breeding Bureau of the German Agricultural Society, and the American Breeders' Association.

The Minister of Agriculture, the Hon. Thomas MacKenzie, was apparently somewhat impressed with Cockayne's views on the importance of New Zealand's pastures and on the necessity for their improvement by plant-breeding. In an address delivered before the New Zealand Agricultural Conference, in 1911, he pointed out that in most older countries where cereal crops had always been of such high importance the work of plant-breeding hitherto had become almost synonymous with grain improvement. In New Zealand, however, cereal growing was of minor importance in comparison with our other products. It followed, therefore, that plant-breeding in New Zealand should be applied to those plants which represented the staple crops of the farm – the grasses, legumes, and fodders.

In general, the aim of New Zealand farming should be to increase the carrying-capacity of the land … and there can be no gainsaying the fact that the improvement by scientific breeding of those plants that constitute the feed of our farm animals would have a most important bearing on the stocking capability of our farms.

The remainder of MacKenzie's address was largely repetition of what Cockayne had written a year earlier on plant-breeding in America, England, Sweden, and on the Continent of Europe. Unfortunately, however, he did not share Cockayne's conviction that such work could be done satisfactorily only at a station devoted solely to that kind of research, and instead decided that the the work would have to be done at the Ruakura and Moumahaki Stations. Moreover, MacKenzie was more concerned with framing legislation for the prevention of abuses in the seed trade than he was in establishing the necessary conditions for the fundamental improvement of the grasses themselves and, although the former was a matter of considerable importance at that time, it was later completely overshadowed by the necessity of producing pure strains by plant selection, or of new strains by plant-breeding, both fundamental to pasture improvement.

During 1912 Cockayne extended his work on grasses and clovers, especially in the field of seed testing, and in November of that year published accounts of tests for purity, germination, and extraneous seeds made with samples of cocksfoot, red clover, and lucerne. He stressed the need for seed testing. Agricultural seeds probably varied more in quality, and therefore in value, that any other commodity the farmer had to buy. At the same time they were, weight for weight, the most expensive of any of his recurring purchases, and for that reason great care had to be exercised in buying. Unfortunately, most farmers bought their seeds on a mere superficial examination of the general appearance, whereas the only satisfactory means of deciding whether a sample was really suited to the farmer's wants was to have it tested for both purity and germination. At that time (1913), the Department had a small, but well-equipped laboratory, for the purposes of seed testing and the steady increase in the number of samples tested was indicative of the growing importance attached to this work.

In addition to his investigational work into seeds and pastures Cockayne at this time became something of an evangelist. The importance of pasture in the national economy was his gospel – a gospel of which he never wearied nor ceased to proclaim. He sought above all to make farmers pasture-conscious.

* New Zealand Journal of Agriculture, September 1910, pp. 230–240.

New Zealand Journal of Agriculture, January 1911, pp. 1–9.

New Zealand Journal of Agriculture, September 1911, p. 175.

In May 1913, for example, he stressed that roughly 95 per cent of land occupied for farming in New Zealand was wholly utilized for pasture purposes, and if to this was added the area used for special annual crops to supplement pastures, then approximately 97 per cent of occupied land was devoted to the maintenance of flocks and herds. This served to show the overwhelming importance of grazing and pastoral interests in New Zealand agriculture. The importance of grass and stock as the basis of our economy is so well-known today that it has become almost a platitude to emphasize it; but fifty years ago, when cereal cropping was also an important feature of farming and when the dairy industry was just on the threshold of a period of great expansion, there was not the national consciousness of the importance of the pastoral industries which exists at present; nor was there any national awareness of the great potentialities of grass pasture in increasing our products as foreseen by Cockayne. It was his work and writings which, more than any other factor, aroused the farming community to an awareness of the importance of pasture in relation to stock and to production as a whole.

Other features were stressed also. Cockayne showed, for example, that with comparatively few exceptions New Zealand pastures could be grazed throughout the entire year, and the great advantages that accrued from that fact; he emphasized too the wealth being derived from some 15 million acres of native vegetation which had been converted into pastures consisting of introduced grasses and clovers.

At this time (1913) Cockayne was making a special study of the 10 million acres of pasture which had been surface sown after the felling and burning of native vegetation. He deplored the folly of many of the early farmers, who after having expended years of time and labour in clearing the land, used only the poorest seed when sowing down; and he stressed the fact that even at that time farmers still failed to realize the importance of the first sowing and were still failing to sow bush-burnt land with the best seed. He argued that grass once sown in hilly country would have to remain for all time and that never again would conditions be as suitable for the establishment of pastures as after the burning of the original forest. It is not likely that Cockayne ever imagined at that time that one day these pastures might be improved by dropping fertilizer and seed from the air.

For a time grassland research was somewhat held up by the First World War. In 1918, however, it was recommenced, and the series of articles on The Grasslands of New Zealand began to flow once more from Cockayne's facile pen. He now turned to a consideration of the production and earning power of grass. He showed that when conditions were exceptionally favourable for grass development there was in New Zealand no crop that would compete successfully against it. To compete successfully against it a crop had to cost less per grass-ton than did a ton of grass grown under similar conditions. Exceptionally good yields of nearly all the grass-supplementary crops could compete successfully against grass, but when the average yield was considered the net-earning power of a grass-supplementary rarely exceeded that of grass. The important consideration was that successful competition depended on the cost of production under similar circumstances; and if it were not for the fact that grass possessed, except under favourable circumstances, certain grave defects when considered as a continuous whole-year crop, no supplementary crops would ever be grown. The point was that grass could supply sufficient fodder to carry all our stock, but the supply was not even throughout the year. And, finally, as it could be shown that grass was in almost every instance the cheapest feed grown the two great problems of pasture study were, on the one hand, to try to reduce the necessity for the growing of supplementary feed and, on the other, to secure grassland that would produce feed at the cheapest rate.

With this idea in mind, Cockayne next turned to a general study of the component species of New Zealand pasture. Although there were over three thousand species of grasses and many hundreds of species of clover, between thirty and forty species only of clover were sown in pasture mixtures throughout the world. But in the laying down of pastures probably no country in the world used regularly so many different species as did the New Zealand farmer. This was partly because of the very wide variety of soil-types and conditions involved in grass production in New Zealand, and partly because the aim in New Zealand was to grass as well as possible every type of ground, irrespective of whether it is suitable or not for the more commonly-used English grasses. In consequence a considerable diversity of species was used. Nevertheless, two grasses stood out as predominant – perennial rye grass and cocksfoot. These two grasses are characteristic of nearly all sowings in New Zealand, but they were not necessarily characteristic of the older pastures in which they were sown, a fact which had had a very great influence on the extended sowing of many other species of grasses.

To an observer today much of Cockayne's work may perhaps seem to have been simply the study and relating of the obvious – merely the collection and publication of facts which, although true, would have little effect on farming. Many of his observations, too, and his advice on the use of pastures would today be regarded as common sense and merely the emphasising of what has become established farming practice. The important point is, however, that all this early research was a necessary preliminary in the building up of a mass of fundamental knowledge which would not only justify the need for future research, but would provide a basis for that research and determine the lines on which it would be carried out. It served also to publicise the importance of pastures and the fact that science could help to improve both the pasture itself and the farmers' use of it.

In 1920, Cockayne, as the Department of Agriculture's Chief Biologist, visited the United States. His time there was devoted mainly to the study of agronomical conditions and research, seed-testing methods, agricultural education, and the university extension system. On his return Cockayne was able to show how the New Zealand seed-testing system could be improved, for example, by more careful sampling by seed merchants and others sending in samples for test.

In 1923, when the Fields Division of the Department of Agriculture was re-established, the work of this Division comprised “agricultural instruction, experimental areas, the laying out of experimental work on State farms, advice regarding crops and pastures, biological work, hemp-grading and grain-grading”. Cockayne was appointed Director, and as such had a unique opportunity for co-ordinating and directing research into all phases of its work, and in particular for the supervision of research into pastures.

Montane Tussock-grassland of the South Island.—Meanwhile another important project in grassland research was being conducted by Mr A. H. Cockayne's father, Dr L. Cockayne. This was An Economic Investigation of the Montane Tussock-grassland of New Zealand. This work was begun in 1919 and continued for a period of about three years.

In defining the meaning of the word “montane”, Dr Cockayne pointed out that the plant covering of high mountain country was arranged in distinct belts, each of which had its own special plant-associations, while a number of species were confined either to it alone, or were much more common on that belt than on any others. Each belt provided a different type of pasture for sheep. The lowest, extending from about 1,000 to about 3,000 feet, was called the “montane” belt. This grassland spreads over an area of some 6 million acres, and provides the pasture for the mountain flocks of sheep of the South Island.

Most of this great area had been converted into sheep runs during the 1850's so that the grassland under consideration had been continuously grazed for close on sixty years. During that long period nothing of moment had been done to improve the capacity of this grassland. On the contrary its carrying capacity had been depleted. Mr A. H. Cockayne had already pointed out that in New Zealand, where the general trend of farming operations was in the direction of increasing the carrying capacity of land, no effort had been made towards any improvement in the utilization of the montane tussock-grassland. Further, the carrying capacity of the montane tussock-grassland could not be considered satisfactory, though by investigations and experiment it was hoped to improve it. Some of the problems which Dr Cockayne had to solve in his economic investigations were the relative palatability of the various species, the question of burning the tussock, the damage done by rabbits, the distribution of danthonia, the surface sowing of this type of land, and cultivation.*

* New Zealand Journal of Agriculture, January 1919, pp. 1–9.

Between September 1919 and February 1923, Dr Cockayne published in the New Zealand Journal of Agriculture fourteen articles on his investigations. The first gave a general outline of the extent of the problems to be investigated. It was shown that there were several specific causes of depletion. These were the formation of rabbit warrens amongst the tussocks growing in the loose, fine-grained soil of gentle slopes, the ultimate destruction by the rabbits of the tussocks and all the more palatable plants, the removal by the wind of the finer particles of soil, the gradual widening of the barren area through the destruction of the wall of encircling tussocks, the tussocks separating adjacent rabbit warrens being destroyed, the incoming of the scabweed (Raoulia lutescens) and the ground between the scabweed mats being blown away by the wind. The rate at which the depletion proceeded was greatly accelerated by burning the tussock in the vicinity of the warrens because, although rabbits did not care much for either poa-tussock or fescue-tussock, as soon as the tussocks were burnt the young growth was eaten with avidity. The blue-tussock, however, was eaten to the ground, even without burning. Moreover, climate and aspect each exercised a remarkable effect on depletion, and it was found that in parts of Central Otago such depletion as had occurred was confined to the sunny slopes, while the slightly more shady remained covered with grass. It was remarkable how small a difference in aspect would work a change.*

Dr Cockayne also investigated the effects of understocking certain areas and compared these with the effects of stocking to full capacity; and at Earnscleugh, near Clyde in Central Otago, he investigated the effect of spelling for about seven months a pasture which had previously been heavily grazed. Finally, Dr Cockayne investigated a section of the Humboldt Mountains adjacent to the shores of Lake Wakatipu. The area, originally clothed with dense southern-beech forest, had been burnt in 1887 and again in 1895. By 1921 the mountain slope, completely devoid of life in 1895, had grown several distinct types of vegetation, some firmly established and others in the process of establishment.

In 1922 at the conclusion of his project Dr Cockayne pointed out the grave difficulties confronting those who were to undertake the most important problems of all – the problems of regrassing the montane; and the conditions which had to be met and overcome before this problem could be solved were certainly not very reassuring.

Nearly all the requirements of ordinary pasture plants appear to be absent, and in their stead stands obstacle after obstacle. Excessive drought, with a parched soil in the presence of high warm winds and a burning sun, has to be met. So too, germination is to take place on the hard dry ground with perhaps no water for several weeks at a time, and, if the seeds eventually germinate, all is so adverse for the young plants, that probably none will survive.

There is denudation resulting from water and from high winds to be encountered. There is no shelter from sun or gales. During the winter the young plants may have to grow for days together on ground frozen all the time, and from which they cannot extract one drop of water, or they may be frozen night after night and exposed to the hot sun day after day.

Finally, even if the plants manage to grow and reach a size large enough for food, they may be exposed to the attack of innumerable rabbits and from such sheep as the pasture can support.

On the other hand, notwithstanding all these difficulties, as has been seen, many plants, some of them of high palatability, have become established by nature on the badly depleted ground, while others linger on year by year ready for growth should the chance arrive. It does seem unreasonable, then, to conclude that what nature, with poor materials to hand, should have slowly accomplished, would not be impossible for man equipped with better material to be drawn from many sources, and with a knowledge of nature's methods combined with further knowledge, though yet incomplete enough, of the relation of the plant to soil and and climate.

Research in the 1920's.—Among those who had assisted Mr A. H. Cockayne in the Biology Section of the Department was Mr E. Bruce Levy. Like Cockayne, Levy was a gifted and enthusiastic research officer, and by 1921 had risen to the position of Chief Agrostologist of the Department. He had worked in close co-operation with Cockayne during the latter's pioneering research into pastures, and not only shared his master's convictions of the importance of New Zealand's grasslands, but shared also his belief that they could be improved by research in respect of both quality and production to an extent as yet quite unrealized.

Like Cockayne, Levy also had the ability to express himself clearly and tersely and in 1920, when Cockayne was in America, he carried on the work of grassland research and began a new series of articles on The Grasslands of New Zealand in the Journal of Agriculture. His aim was to place the results of his investigations and his conclusions before the farmers in a simple and attractive form; and in order to make them even more interesting, and to elucidate his narrative, he illustrated his articles with many photographs.

* New Zealand Journal of Agriculture, September 1919, pp. 130–132.

New Zealand Journal of Agriculture. June 1922, p. 334.

Levy began this phase of his work by a study of the “Principles of Pasture Establishment”, and during 1922–23 published thirteen articles on this subject. In his general introduction to the series he pointed out that:

New Zealand is essentially a land of pasture, and the endeavour of its farmers is to grass every type of country from the seashore to the line of perpetual snow. In no other country is the farmer more dependent – or, rather, more able to depend – on pastures for sustenance of his stock than in New Zealand. The study of pastures is therefore, with us, of national importance, and their improvement of national gain.

He then dealt with the pasture of good average first-class land, pointing out that “mixed” pastures should be established wherever possible. Mixed pastures were preferable because their growth-period was more uniform throughout the year than was that of pure pastures; they offered a variation of feed for stock; and the plant companionship was often mutually beneficial to the individual grasses of the association. Each of these factors was very important. For example, in the case of “plant companionship” the clover content of pasture should be looked upon as being one of the most vital factors in the life-history of any pasture association. If clovers could be kept going the grasses would look after themselves. The companionship of clovers and grass is most marked. If clover be excluded from grass association, in any but the fertile soils a more or less dried-up stunted growth results, lacking that healthy green colour which reflects full nutrition and a tender palatable herbage.

In dealing with the matter of “Transition of Pastures” it was pointed out that changes of transitions must be duly recognized in all grassland economy. Transitions might be divided into two great classes – topographical and biological. Those which arose in virtue of an entirely new soil-surface replacing the old are termed topographical; the spread of sand dunes, rivers overflowing their banks, or soil-surface erupted from a volcano. All other changes are biological, because they are all dependent on, or are governed by, phenomena of living organisms—bacterial, plant or animal; the environmental conditions govern those forms of bacteria, plant, or animal that may persist. All biological transitions are subject to modifications, and one of the phases of pasture-study is to gauge accurately the effects of each factor operating to influence any such transition that may come about. In respect of New Zealand pastures, Levy maintained that the two outstanding questions to be answered were: “What are the factors which govern the destiny of our grassland associations; and what considerations should be given to so constitute and govern our pasture that undesirable successions may be avoided, and that each respective transition may be of economic value.” It was of high importance that the temporary elements were so regulated that they did not crowd out the slower-establishing permanent grasses and clovers, changes had to be guided and it was for the farmer to so guide and regulate the seeding and stocking that undesirable successions were avoided.

Behind all transitions and successions must be recognized a great principle – namely, the persistence of a natural force, the force of environment, a force to which all nature is subject, and subject to a varying degree. Nature, it is found, always goes hand-in-hand with this environmental force, and moulds her forms, whether plant or animal, according to the strength of that force. Just as soon as the resistance offered by the plant is greater than the environmental force that plant will persist and thrive, and in our pasture work we must select plants naturally imbued with this power to persist, or assist other plants, through artificial means, by lessening the force of the environment … . Unless the farmer, by manuring, chain-harrowing, and so on, and by regulating his stocking, is prepared to control to some extent the conditions under which those plants are to grow, or, in other words, to modify the environment, it is utterly useless to expect any but the grasses natural to that soil to be of a permanent nature.*

Throughout 1922 the main consideration was the principles of pasture establishment as applied to swamp lands, steep unploughable forest country, to short-rotation grasslands and temporary pastures, and to coastal sand-dune areas. The swamp lands considered included the damp, fertile river-flat type, the Phormium (flax) swamp type, the river-flood type, and the peat-swamp lands.

During the earlier part of 1923 Levy continued his consideration of the principles of pasture establishment. Having discussed the general nature of the various pasture lands in his previous articles, he next turned to the important matters of the best seasons for the establishment of pastures, the different grass-seed mixtures for various soils and conditions, and the quality of seed and method of sowing.

* New Zealand Journal of Agriculture, January 1922, pp. 8–14.

In farm practice there were three more or less distinct periods or seasons of the year when an attempt was made to establish pasture plants: with or without cereal, in the early spring, or in a spring cultivation of winter-sown cereals; together with rape, in November; and with or without a winter cereal in the autumn. The factors that determined at which period or season of the year the pasture would be sown were primarily these: climate and location; nature of soil, and its condition with regard to drainage or to its weed-seed content; the previous crop or rotational system practised: the purpose for which the pasture feed is required; and the species which comprise the mixture to be sown.*

One of the greatest difficulties confronting a farmer in the establishment of pasture was what to sow, and climate and farm-management had a very decisive bearing on just what species should constitute the mixture sown. These varied from district to district, and thus a species which might be ideal for one set of climatic conditions and for one style of farm-management might not suit another in the least, although the soil conditions might be almost identical… . In the matter of grassland research, Levy considered that one of the first things necessary was: “to determine accurately just which species of grasses and clovers will persist on the various classes of soils under normal stocking conditions. The line of study is to learn exactly the developmental stages through which the pastures may go from the sowing until such time as the soil is populated with those species that are permanent there. The third line is to gauge the effect of the various types of farm-management on the developmental stages that occur in the life-cycle of the pasture. Any really comprehensive system for devising grassland mixtures must be based on information derived from these three lines of study.”

He then proceeded to give a series of sixty-five seed mixtures suitable for the various types and subtypes of grasslands, pointing out that they were not claimed to be the final word in connection with grass-mixture formulas. They were based upon the developmental study of grasslands as they occurred at that time.

The quantity of seed recommended in the mixtures given was in general higher than was usually sown at that time, and though a certain reduction might be made, it was confidently stated that the specified amount of seed sown would reflect very beneficially in the character of the resultant pasture. The question of grassland seed-mixtures was very important. The selection of suitable grasses and clovers and their establishment was most important, and no matter how good a farmer might be, or how excellent his management, he was seriously handicapped with paddocks filled with inferior grasses and weeds.

With regard to agricultural seeds there should be only one quality sown, namely, the best. It may be laid down as an axiom that poor seed is always expensive. Many samples of reputedly cheap seed have been analysed at the seed-testing station of the Department of Agriculture, and never in one instance could the individual living seeds of the sample be called cheap. It is admitted that there are certain types of country which demand cheapness of sowing. A cheap sowing, however, does not imply that the amount of money spent per acre must be low. Hence the quantity of good seed must be reduced. Just how to ensure this cheapness and also secure satisfactory results is a problem, but in buying agricultural seeds in general there are three main considerations: the germination of the seed, the purity of the seed, and its place of origin.§

In buying seed, farmers should always demand seed bearing a high germination percentage as shown by official testing, and should never accept seeds displayed as “Government-tested,” unless the germination-percentage was shown. Moreover, all seeds deteriorate in vitality on being stored Some species, for instance, Chewings fescue, might lose their vitality two years after harvesting, and for that reason, current season's seed should always be demanded.

As far as purity of seeds was concerned there was no doubt, with one or two exceptions, that the general well machine-dressed lines were satisfactory for sowing. In undressed seeds there was likely to be a whole host of impurities, and this applied to those imported from abroad as well as those grown locally. More important still, with machine-dressed seeds one was more certain of getting seeds that would grow than when buying undressed seeds.

* New Zealand Journal of Agriculture, January 1923, p. 16.

New Zealand Journal of Agriculture, May 1923, p. 264.

New Zealand Journal of Agriculture, May 1923, pp. 263–279.

§New Zealand Journal of Agriculture, June 1923.

For many years in New Zealand the place of origin of seed had been important, though not until about that time (1920–23) had there been any selection work on the ordinary pasture plants and the working up of strains into marketable products. Hawke's Bay, Poverty Bay, and Sandon rye-grass had been regarded for many years as superior to that grown in Canterbury, though at the time it was not definitely known whether their persistence was due to some inherent quality of those strains, or whether the soil conditions alone were responsible. At that time Canterbury or Southern rye-grass was considered preferable for short-rotation pastures, but Hawke's Bay and Sandon rye-grass for truly permanent pastures. There was, however, little experimental work to support these preferences.

In concluding this series of articles on pasture-establishment, Levy pointed out that he had merely touched on the fringe of the subject. “More and more research work is needed before we can learn just exactly how our soils may be made to produce that wealth of grassland which is actually the chief support of the country.”* Levy also stressed the need for plant breeding in pasture research “The call of the plant-breeder”, he said “was insistent”. The plant-breeder alone, however, would be of little use – there would have to be some seed-growing organization to carry the strain on from the nursery stage. Moreover, strains of seeds from all over the world would be tried out, and the best perpetuated by an efficient establishment for growing mother-seed.

The concept of strain and plant breeding had already been mentioned by Cockayne, in 1910, in his references to plant breeding in Europe and America, and at that time he had prophesied that, so far as New Zealand was concerned, the most profitable line to follow would be to conduct investigations into the strain, and the breeding, of pasture plants. Levy had now arrived at the same conclusions, but the Government was still unconvinced of the necessity for establishing what was vitally-necessary, namely, a new research station with a group of scientists, including both agrostologists and plant-breeders, whose sole duty would be to investigate the important matter of strain in pasture plants, to evolve new types by plant breeding, and to conduct research into pastures generally. The Government's reluctance to establish such a station delayed considerably much important research fundamental to the improvement of pastures.

North Island Hill Country.—Tn the meantime, in addition to his study and writings on the principles of pasture establishment, Levy had become involved in another matter requiring the services of the grassland scientist. Over the years, increasing areas of land sown in grass following the burning of the forest were becoming almost useless on account of their reversion to secondary growth. The extent of this reversion was such as to constitute something of a national problem, and it became the responsibility of the Fields Division of the Department of Agriculture to investigate the matter. Mr A. H. Cockayne, as Director of the Fields Division, was responsible for the general direction of this investigation; but it was the chief agrostologist, Levy, along with members of his staff, who carried out the work.

As part of all this work Levy made individual studies of the various species of the sward and published separate articles on each of the various grasses.

Levy pointed out that the hill country of New Zealand that had been cleared of forest had been neglected too much in the past from the point of view of grassland research. Millions of acres of forest had been felled and grassed more or less haphazardly. Those areas which could be stumped and ploughed were among the richest of our grassland areas, but of the unploughable forest lands, out of 11 million acres felled and surface-sown with grass, nearly 4 million acres had reverted to scrub and fern, and this state of reversion was by no means stationary, 500,000 acres having been added to the total during the previous four years. When it was thus remembered that every year during those four years some 125,000 acres of our hill country had gone back to secondary growth, it would be realized that money spent on research work on that country was amply justified. Every acre of such country that reverted to secondary growth meant an average expenditure of fully £2 per acre to clean and resow, making for each year an expenditure by the hill-country farmers of about £250,000 if the deterioration was to be stayed. The aim was to prosecute research more and more closely on New Zealand hill country generally.

* New Zealand Journal of Agriculture, June 1923, p. 343.

Although secondary growth on the country in question would appear to have baffled the farmer at every turn, Levy pointed out that secondary growth of a good character, vigorous and quick-growing, told rather of possibilities of a country than impossibilities. It told of wealth in those soils, if only this could be directed into channels useful to the farmer.

Meanwhile, the Government too had been giving consideration to the problem of lands reverting to secondary growth and to the importance of beginning research and experimental work in order to find ways and means of checking it. In 1923 the Fields Division of the Department of Agriculture decided to carry out a series of re-grassing experiments and the site chosen was in the Whangamomona County. This work was followed up by the appointment of a special committee in 1924 to investigate the deterioration of Crown lands in the midwest districts of the North Island. This area was covered by the following counties: Whangamomona, Ohura, Waitomo, Otorohanga, Kawhia, Raglan, Kaitieke, Waitotara, and Waimarino.

The extent of the deterioration was considerable. In the district under review there were about 1,990 Crown holdings with a total area of 874,700 acres. This did not include soldiers' lands. Of these holdings 75, with a total area of 42,905 acres, had been abandoned. This represented 3.77 per cent of the holdings and 4.9 per cent of the total area. From evidence compiled from information collected from 310 settlers occupying 165,220 acres, the Committee found that of the total areas these farms, 112,250 acres had been felled and grassed of which 68,341 acres (61 per cent) remained “fairly clean pasture”, while 43,909 acres (39 per cent) was in second growth. Taking these figures as affording a fair average over the whole of the Crown holdings in the counties under review, the Committee estimated that the total area of reverted country was 232,500 acres.*

The district in question was broadly typical of some of the harder areas of the hilly bushlands of the North Island. Not only had much of the formerly forest-clad areas of this region reverted to fern and scrub growth but the process was tending to increase rather than to diminish. In the aggregate hundreds of thousands of acres felled and grassed at a cost of several pounds per acre were now carrying practically no grass at all.

The chief factor in this result had been the lack of knowledge – a lack which could be made good only by systematic research, combined with analysis and pooling of the best practical experience of those settlers who had achieved success in grassing their holdings and maintaining the pasture. Another important factor in the land deterioration of this area was the inability of many of the settlers to finance schemes of development.

The experiments themselves were cooperative, in that the farmers supplied the land and assisted with the work, while the Department supplied all the seed and manure necessary, supervised the sowing, and recorded the results. In each district a small committee was set up, in most cases being a sub-committee of the Settlers' Association of the district. The work was supervised by Mr Levy and Mr E. A. Madden. The latter was stationed at Whangamomona from 1925 to 1929.

At the end of the first year the three outstanding questions to be definitely proved were: first, were cocksfoot and perennial ryegrass worth while? Secondly, would danthonia come in naturally (i.e., without being sown artificially, provided that sufficient feed from other more-cheaply-establishing species was secured to keep stock working on the area), in order that secondary growth might be controlled so effectively that the light could reach the surface of the ground? Thirdly, was the inclusion of small quantities of seed of browntop, Danthonia pilosa, Lotus major, paspalum, Poa pratensis, subterranean clover, yarrow, and Lotus hispidus justified on the score that these plants – so successful in other parts of New Zealand – would come on in later years if some seed were sown, and spread by their capacity to tiller out vegetatively?

The outstanding success of browntop Lotus major, and crested dogstail as good establishes and rapid sward-formers determined those concerned with the experiments to make those three species the basis of the mixtures – a determination which was not modified after three years' close examination of results.

In the autumn of 1926 additional areas were burnt and sown, the objective in these latter sowings being more or less to duplicate certain of the earlier ones so as to obtain fresh material for analytical work. The general mixtures for secondary burns were modified to some extent, but the general base of crested dogstail, browntop, white clover, and Lotus major was retained much as in the general sowings of 1925.

* Sew Zealand Journal of Agriculture, July 1925.

New Zealand Journal of Agriculture, February 1927, pp. 73–78.

Another interesting part of the regrassing experiments in Whangamomona County was the study of the individual species of the sward. In the early part of 1925 a preliminary ecological classification of the species was made. It aimed to classify the commoner pasture-plants under as many headings as possible so that it might be more readily seen which set of environmental conditions suited the growth and proper development of each species. It was shown that there were seven main factors that governed dominance or subjection of any one species, or set of species, in our pastures. These were soil fertility; soil-moisture content; intensity of light and shade; climatic conditions; growth-form of the plant; seasonal growth of the plant; and palatability of the plant.*

This preliminary ecological classification in 1925 was followed by a detailed review of grasses and clovers for hill country. Viewing the hill country of New Zealand as a whole, it was found that development had taken four very definite courses from the initial primary burn. In the first case the forest had been felled and badly burnt; the burn was unfenced and trackless, prohibiting stock from working over it. Here development in a few years after the burn resulted in a mass of fern and scrub growth – the initial stages of forest-regeneration. In the second case the development also resulted in secondary growth – bracken fern, hard fern, and manuka, and so on, but in this case after a profitable grassland period varying from six to ten years. The grasses sown were, in the main, first-class English grasses and clovers – ryegrass, cocksfoot, Poa pratensis, timothy, red and white clovers – all of which kept going well until the reserve of plant food of the forest burn was used up.

The third development – perhaps the major development – on hill country in New Zealand was characterized by the formation of a permanent grass cover formed largely by species other than those sown in the original mixtures applied to the forest burn, but which came in later unbidden as it were, as soon as the first-class grasses sown weakened and the turf opened up. In these two latter developments there is seen a similarity for the first six to ten years – ryegrass, cocksfoot, and so on, following the burn, a corresponding decrease in fertility, and a similar weakening of the species and opening up of the turf. At the weak, open-turf stage, however, the development forks. In one direction there is an encroachment of secondary growth, and in the other the development of a grass turf formed by harder, second-rate grasses and clovers, such as browntop, danthonia, paspalum, ratstail, Lotus major, suckling clover, and so on. This latter development is characteristic of the somewhat drier hill country of the east coast and northern part of the North Island, and of the north of the South Island.

The fourth development on hill country – unfortunately over only a comparatively small area -has consisted in a slight reduction of the first-class grasses and virtually no development of secondary growth. About Mangaweka and Taihape, in the Rangitikei County, and on certain more favoured areas in Hawke's Bay and in the Wairarapa, may still be seen hill country holding the majority of the English grasses sown – cocksfoot, Poa pratensis, white clover, and a fair sprinkling of ryegrass. The turf – at any rate, where at all managed, has remained sufficiently closed to prevent the entrance of either secondary growth or the hardier grasses. Even on this good hill country, however, where hard continuous grazing characterizes the farming, danthonia is making rapid headway.

From experience, therefore, the following general conclusions were drawn regarding the grassing of hill country:

Where the soil is sufficiently strong, and conditions are fairly easy there is no secondary growth and scarcely any appearance of the inferior, hardier grasses and clovers.

Where the soil has lost its original fertility, or where conditions are hard, the development has been either to secondary growth or to hardier grasses and clovers.

The appearance of weak turf, secondary growth, or inferior grasses: is a certain indication of conditions too hard for the better English grasses and clovers. For these to become dominant again conditions must be made easier, and surface fertility built up. Where fertility cannot be economically built up and conditions cannot be eased, inferior hardier grasses are the only alternative for hill country.

*New Zealand Journal of Agriculture, June 1925, p. 358.

New Zealand Journal of Agriculture, May 1926 pp. 291–300.

This general review of grasses and clovers for hill country was the prelude to a detailed study of the better and more desirable species for hill country. This work was carried on over several years and the results and findings appeared from time to time in the Journal of Agriculture during 1926 and 1928. A complete article was devoted to each of ryegrass, cocksfoot, Poa pratensis, crested dogstail, paspalum, browntop, danthonia pilosa, and ratstail. Each of these was reviewed and weighed in the light of what was termed the “new conception” – namely, that conditions of soil fertility, soil moisture, light and shade, climate, and management govern which species are the most profitable for the farmer to use. In the case of each species a description of the species and its habitat was given with illustrations in the text. In the case of ratstail, for example, information was given regarding its value, points in farm management, the significance of ratstail dominance on better-quality soils, and points on sowing.

Fundamental Grassland Research.—In 1926 an event of considerable importance in the history of grassland research in New Zealand was the visit of the eminent agrostologist, Professor R. G. Stapleton, Professor of Agricultural Botany, University College of Wales, and Director of the Welsh Plant Breeding Station at Aberystwyth. Professor Stapleton emphasised the need for organized research for the improvement of the grasslands, not only of New Zealand, but of the whole of the British Empire, and he was able to show, both by his lectures and by his writings, something of the research work being done in Great Britain, Canada, the United States, and Australia and to suggest new lines of research to those engaged in this type of work in New Zealand.

In 1927 a new epoch in the development of grassland research was begun. The Department of Agriculture, following on the insistence of Cockayne and Levy, decided to initiate a scheme of “fundamental grassland research”.

For this purpose the Department decided to establish a new plant-breeding and plant-disease research station as part of the Fields Division. The site chosen was at Palmerston North on a site adjacent to Massey College. Mr A. H. Cockayne, Director of the Fields Division was also made Director of the new station and, in order to enable him to carry out the duties of both positions efficiently, it was decided to transfer the whole of the headquarters staff of the Division, as well as the Biological Laboratory stall, to Palmerston North.

The establishment of this new research station, recommended first by Cockayne in 1910, marked a great step forward in the progress of grassland research. The mere fact, for example, of being able to conduct the bulk of the experimental work in one place, instead of at several research stations has such obvious advantages that it is difficult to understand why such a step forward was so long delayed; and when we consider what has been accomplished since the station was established the time lost by the original delay is even more deplorable. The Plant Research Station was divided into six main sections – Agronomy under Mr J. W. Hadfield, Crop Experiments under Mr A. W. Hudson, Agrostology under Mr E. B. Levy, Mycology under Dr G. H. Cunningham, Entomology under Mr J. Muggeridge, and Seed Testing under Mr N. R. Foy.*

The research work of the Agrostology Section was divided into two main branches – intensive critical research at the Plant Research Station itself; and field research in coordination with the Fields Extension Service of the Division and other specialist officers of the Plant Research Stations.

In 1929 Mr William Davies of the Plant Research Station at Aberystwyth, Wales, was seconded by that station to study pasture development in New Zealand, and for the next two years he worked with Cockayne and Levy at Grasslands.

With the new research station at Palmerston North linked closely with the Fields Division and extension and instructional services, and being conveniently placed in regard to land, and with the advantages of motor transport, the outlook for extensive, sustained, and well coordinated grassland research was very favourable. Cockayne thus defined the threefold aim of the Agrostology Section:

To know our grassland species and the exact niche into which each fits. Knowing the behaviour of each species and the requirements of each species, change in pasture-composition may be correctly interpreted. In other words, each grass and each clover is an indication of its sum environmental conditions. Species vary in habitat requirements and rearrange themselves in definite large or small association types, each association a contributor to a great mosaic grass complex, the outcome of variation in conditions of the habitat.

*Annual Report, Department of Agriculture, 1930, pp. 26–31.

To know type or strain within the species. While we are apt to visualize the species as stable or fixed, and to assert replacement and displacement, and rise and fall of association types in response to the environment, yet there is unquestionably a species variation, possibly a product of the environment. Danish cocksfoot differs in colour and form and persistency from Akaroa cocksfoot; Kentish wild white differs from Ladino or commercial Dutch white; Hawke's Bay ryegrass differs in growth-form, palatability, and persistency from Southland ryegrass; broad red clover differs greatly in form, persistency, and in time of flowering from Cornish Marl or Montgomery red clover. Are these variants exploitable? Can we, as it were, by type or strain selection, widen the habitat range of species? Strain-selection has unconsciously gone on in all arable-land-farming communities in New Zealand for the last four or five decades. Quick-maturing and free-seeding types of ryegrass, for example, have been harvested and sown over and over again. The slower-maturing tardy seed producing leafy strains have figured in lesser and lesser amounts, until to-day a free-seeding rapidly maturing, more or less annual ryegrass has been developed – the outcome of unconscious strain-selection. On the other hand, areas have remained in permanent grass for decades. These have been subjected to an entirely different set of environment conditions, and survival of the sward components has been determined by one of two things – the ability to reseed, or the ability to persist by vegetative spread as by tillering.

The third aim is to know how best to modify or change existing conditions on the farm, so that the very best species and the very best strains of those species may be provided, and the wherewithal for their optimum growth and maximum development. No consideration of species or strain is of value apart from determination of the conditions necessary for maximum production by those species or strains.*

Immediately it became established the Agrostology Section began the work of testing pasture grasses to ascertain what ecotypes (strains) were available, and seeds of many pasture plants, not only from New Zealand, but from other countries, were planted at the station in 1929. It was soon found that there were striking and important differences in the commonly used pasture plants, particularly in ryegrass, white clover, cocksfoot, and timothy. Selection and testing were followed by field investigations and, among other things, these revealed the necessity for a seed certification scheme.

This fundamental research into strain by Levy and Davies, assisted by Messrs S. H. Saxby and L. W. Gorman, agrostologists of the Plant Research Station, progressed throughout 1929–30–31. During this period strain investigations were made in ryegrasses, cocksfoot, red clover, white clover, browntop, and subterranean clover. Articles on this work appeared regularly in the Journal of Agriculture. The success of the work was such that in 1931 Levy was able to say:

A milestone on the road of progress has been set up that bids to mark an epoch as important if not more so than that which marks the introduction of top-dressing. The concept of strain and pedigree in herbage plants has given new stimulus and afforded greater vision into the possibilities of permanent pasture. Good strains of herbage plants will cheapen as well as increase production, and will tend to level out and spread better the total yearly grass crop.

Seed Certification Scheme.—The importance of strain in relation to grasses and clovers, along with investigations begun by Levy and Davies, had one immediate result which had far-reaching consequences. This was the decision of the Department of Agriculture to inaugurate during the 1929–30 season a Seed Certification Scheme.

*Annual Report, Department of Agriculture, 1929, p. 42.

Levy, E. B., in Annual Report, Department of Agriculture, 1931, p. 36.

New Zealand Journal of Agriculture, May 1912, p. 347.

There were two important needs which made a certification scheme necessary. The immediate need was the preservation of purity of strain of those strains of pasture plants which Levy and Davies had selected as being the best for New Zealand's needs at that time, and which it was proposed to multiply year by year for final distribution among farmers. Indeed, it would have been impossible to carry out this plan without a certification scheme. The second need was the long-standing one of improving both purity and germination of all commercial lines of pasture seeds. Many lines of seed, for example, perennial ryegrass, contained a high percentage of Italian rye, and many lines contained a high percentage of weed seeds. Cockayne, for example, had shown in 1912 that the spread of Californian thistle could be frequently traced to its accidental inclusion in various lines of agricultural seeds. In 1918 Levy found that one 8½-gram sample of crested dogstail contained 117 seeds of Californian thistle. This meant that if 3 lb. of this sample were included in any seed mixture, 18,750 seeds of Californian thistle per acre would be sown. Levy also showed that during the months of April, May, June 1912, twenty-seven samples of seed received for testing had a germination average of only 52 per cent, and practically one-third of the samples showed a germination capacity of between only 40 and 50 per cent. He concluded that this great variation in the vitality of this seed made a germination test imperative.*

The architect of the new certification scheme was J. W. Hadfield, Agronomist at the Plant Research Station, Palmerston North. In announcing the general principles and machinery of the scheme, he emphasized once more the findings of Levy and Davies in relation to strain, and the fact that at comparatively small expense the genuine crop could be identified, a nucleus supply of seed could be produced, and this would soon furnish sufficient genuine seed for all New Zealand's requirements.

In general, the immediate objective was to establish an organization which would ensure the accurate distribution of grass and clover seeds of superior strain and to stimulate the wider use and greater production of these seeds. It was hoped also, that with the co-operation of growers and merchants, to foster the export trade in these seeds. The general aim of the scheme was to produce lines of pure seed of known strain, whose purity, quality, and germination capacity would be guaranteed, the use of which would bring about a steady improvement in our pastures with consequent increased carrying capacity.

Important points in the system as originally established were the use of the paddock as the unit; checks on the age and origin of seed; the determination of strain by sample trials grown at the Plant Research Station; the registration of growers; the branding and sealing of sacks in the paddock at threshing time; the issue ity and germination certificates after tests; and the recording of all sales of seed by growers and merchants to enable follow up with a view to further certification.

As part of the system also a classification scheme had to be worked out. It was decided, for example, that there should be three classes of certified perennial ryegrass, namely, Certified Mother Seed, Certified Permanent Pasture Seed, and Certified First Harvest. With the advent of bred strains the scheme has since been somewhat enlarged, and the sequence is now Nucleus Stock Seed, Certified Government Stock Seed, Certified Pedigree Seed, Certified Mother Seed, and Certified Permanent Pasture or Certified Standard Seed.

The establishment of the certification scheme was a milestone in the improvement of pastures in New Zealand. This is not to say that the work of Cockayne and Levy at that date was without practical results, but the establishment of the certification scheme enabled seed derived from strains selected at the Station as being the best available for New Zealand's needs, to be multiplied and put on the market under a guarantee of trueness to strain.

Later, when the plant breeder began breeding new strains, these replaced the natural strains as the basis of the scheme.

In the meantime, however, the scheme began with the certification of the best strains of the two most important species of New Zealand permanent pasture – ryegrass and white clover. It was decided to proceed immediately with the certification of true perennial ryegrass, and as that found in Hawke's Bay and Poverty Bay was considered the best available from any source, this type was chosen for the beginning of seed certification in New Zealand. At the same time it was decided to proceed also with the certification of white clover and browntop.

Plant Breeding.—Investigations into strain and the great possibilities envisaged by the results of these investigations had emphasized still further the necessity for having a pasture plant-breeding programme.

Work on strain selection and plant selection was already being carried out by Messrs L. W. Gorman and S. H. Saxby who worked with Levy and Davies during the investigations into strains of pasture plants, Gorman on clovers and Saxby on grasses. Levy realized the great potentialities of plant improvement by breeding, and in 1935 Dr L. Corkill was appointed to undertake the breeding of pasture plants. Corkill had already done research into plant genetics with ryegrass while a post-graduate student at Massey Agricultural College, and he was now able to apply his knowledge and experience to work of the greatest national importance – that of pasture-plant breeding. Under his leadership the plant-breeding organization of the Grasslands Division was built up, and pasture plant breeding is now one of its major functions.

*New Zealand Journal of Agriculture, June 1918, p. 370.

New Zealand Journal of Agriculture, November 1929, p 289.

Ibid., p. 290.

The work of plant breeding began with the improvement of natural strains already sorted out by Levy and Davies – some of which were being used in the certification scheme. Having sorted out the best plants from the many natural strains offering, it was the plant-breeder's task to breed still better strains – that is, strains of greater productivity, a wider seasonal spread of production, leafiness, persistency, disease resistance, palatability to stock, quality of herbage, and uniformity of flowering. This necessitated the study of large populations of plants, selection of the best individuals, intercrossing to obtain the combination of desirable characteristics, and selection based on progeny tests.*

Up to the present there have been bred and released to the farmer, through the certification scheme, improved strains of perennial ryegrass, Italian ryegrass, short-rotation or Hi ryegrass, cocksfoot, timothy, white clover, Montgomery red clover, and broad red clover or cowgrass.

Although grass grows throughout most of the year in New Zealand there are periods, particularly in the late summer and late winter, when pasture growth is insufficient for stock needs. The shortages which occur during these periods can be greatly reduced by the use of strains bred for extended seasonal growth. For example, the bred strains of cocksfoot and red clover can assist materially in increasing the summer production of a pasture, while the winter shortage can to some extent be overcome by the inclusion in a pasture mixture of short-rotation ryegrass (Hi). This grass, bred by Dr Corkill at Grasslands from crosses between Italian and perennial ryegrass, has the high winter production and palatability of the former together with greater persistency, and helps considerably in overcoming winter feed shortages. Short-rotation ryegrass is a new strain bred from the re-crossing of two species to incorporate the good qualities of both.

Plant Breeding and Seed Certification.—Reference has already been made to the Seed Certification Scheme. Although this had been in operation for several years and had already produced certified seed in marketable quantities before the plant-breeding programme at Grasslands had got well under way, seed certification is now very closely linked with the plant breeding. When certification began, the best strains available at the time were used, but as soon as the plant breeder began to produce improved strains – first by selection and then by breeding – the seed of these new improved strains began to be used as the nucleus seed for certification, and the more the plant breeder improved or produced new and better strains, the more dependent the certification scheme became on his work, so much so that today practically all certified grass and clover seed in New Zealand is derived from bred strains produced at Grasslands. In other words, certified seed with the exception of browntop is no longer the progeny of natural strains, but of bred strains.

This dependence on the plant breeder for a continuous supply of new nucleus seed adds greatly to the importance of his work. His task is now twofold – first, to breed new strains which will have, if possible, all the highly desirable qualities of palatability, persistency, wider spread of production, and so on; and second, to maintain a continuous supply of nucleus seed for certification in which the strain quality is maintained or gradually improved.

Seed certification acts as a safeguard in preserving the identity of bred strains. Seed crops of pasture plants are particularly prone to strain contamination from cross-pollination as well as from so-called “volunteer” plants within the crop, and without the safeguard of a certification system, bred strains would rapidly lose their identity altogether.§

The importance, however, of either the certification scheme or the plant-breeder's work cannot be measured merely in terms of the guaranteed purity and germination capacity of new and improved strains. It is the use that the farmer makes of the improved certified strains that really counts. When certification began there was not the demand for the new certified lines that might have been expected. Many farmers continued to use any line of seed, especially if it was ryegrass ticketed “Hawke's Bay” or cocksfoot ticketed “Akaroa”, and it required a good deal of publicity by the Department of Agriculture to convince many farmers of the value of purchasing the then rather more expensive certified seed in preference to the cheaper uncertified lines.

*L. Corkill: “Pasture Plant Breeding in New Zealand” in the Agricultural Review, Vol. 3, No. 6, 1957.

L. Corkill: “Pasture Improvement in New Zealand” in the Empire Journal Experimental Agriculture, Vol. 17, 1949.

L. Corkill: “Short Rotation Ryegrass, its Breeding and Characteristics” (New Zealand Journal of Agriculture, November 1945.)

§Dr L. Corkill, Ibid. p. 1.

As more and more farmers were tempted to try the new certified lines, practical results on the farm gradually broke down the initial prejudice or indifference towards something new, and since the Second World War the ascendancy of certified seed over all other lines has been so marked that nowadays, although exact figures are not available, it is estimated from total quantities of seed marketed that a very high proportion of all marketed pasture seed is certified. The Certification Seed Scheme has grown in popularity with the grazing farmer because it guarantees him a standard product of high quality – other things being equal he knows exactly the type of pasture he will get if he uses certified seed. The farmer who harvests pasture seed for the market also uses certified seed, because he wants to sell a high-quality product and, subject to certain tests, this high quality in his seed is guaranteed if it is certified.

Whether using certified seed for pasture or seed production the grower benefits in both cases from any improvement in the new nucleus seed being fed continuously into the certification scheme.

“Parallel with the breeding of new strains has been ecological research at Grasslands directed towards making the most of their potentialities. This approach, combined with a vigorous extension service, has made the New Zealand farmer very conscious of strain in pasture plants – a state of mind essential for the best national exploitation of the plant breeder's work.”*

The high quality of New Zealand pastures resulting from the improvement of the pasture plants by plant selection, plant breeding, seed testing and certification, and also by topdressing, has created world-wide interest and a demand for New Zealand certified grass and clover seeds abroad. Since the inauguration of seed certification and plant breeding, however, exports have trebled. Annual exports of clover and grass seeds (nearly all certified) have since 1944 usually exceeded 150,000 cwt., valued at approximately £1½ million. The chief markets in order of importance are the United Kingdom, Australia, and the United States; others are Canada, the Republic of Ireland, Belgium, the Netherlands, France, German Federal Republic, and Uruguay.

Soil Fertility and Pasture Growth.—Another highly important field of grassland research is that of soil fertility in relation to pasture growth and the grazing animal. That there was a relationship was early recognized by Cockayne and Levy but little specific research had been carried out. The theory that phosphate was necessary to stimulate the clovers, that the clovers provided the nitrogen necessary for vigorous grass growth, while the grazing animal was essential to the fertility cycle, had been proved beyond any doubt, but the exact relationship of grass, clover, and the grazing animal had not been determined. Levy believed that in the building up and maintaining of soil fertility, the grazing animal played a very important part, and his theories in this respect hardened as a result of what he observed during a visit to England. Nothing, he said, had impressed him more than “the part the animal played in the soil-fertility building and up-keep of Great Britain and Europe generally… . It is becoming axiomatic that in grassland farming the more stock which can be adequately carried per acre, the better and more highly productive do the grasslands become”.

With the establishment of the Plant Research Station, at Palmerston North, a programme of fundamental research into this aspect of grasslands was put under way. The officer in charge of this work has been Dr P. D. Sears, the present Director of the Grasslands Division. In conjunction with other officers, notably Mr V. C. Goodall, he has carried out a vast programme of research into the many aspects of soil fertility, and a constant stream of literature pertaining to this in the form of scientific bulletins and papers, newspaper articles and lectures has appeared regularly.

In the early stages of this work the development of research techniques was as important as the research itself. For example, in the course of investigations into the effect of urine and faeces on pasture growth, Sears and Goodall had to design harness to be fitted to the sheep for the collection of dung and urine, so that the return of either or both to the soil could be regulated or prevented.

In outlining the scope of investigation into the effect of sheep droppings on yield, botanical composition and the chemical composition of pasture, Sears emphasized the need for close study of the effect of such swards on the grazing animal and, conversely, the effect of the animal upon the sward and the soils upon which they were growing. He pointed out that for many years agricultural scientists in New Zealand, England, and America were very conscious of the marked influence exerted by the grazing animal in modifying pasture growth. Appreciation of the value of dung and urine was especially high in countries such as England where weather conditions led to indoor feeding for long periods, and where a large quantity of droppings and refuse was collected.

*Ibid. p. 6.

Grasslands Division Publication No. 11, p. 36A.

P. D. Sears and V. C. Goodall: Apparatus for the Collection of Urine and Faeces from Grazing Sheep, 1943.

The fertility of the soil in such countries is maintained largely by the return of this refuse to the fields. In New Zealand, however, the continual outdoor grazing season does not result in any large scale accumulation of droppings; nor before the Second World War were there many plants for the proper collection and distribution of shed droppings in New Zealand. In other words, the New Zealand farmer, so long as he could obtain artificial fertilizers, was not very concerned about the beneficial effects to his pasture of animal droppings. As a result there was little conscious effort to manage grazing procedure to get the best return. However, with the restriction of supplies of artificial fertilizers through enemy action during the Second World War, the grassland farmer had to use whatever fertilizer was available, and the economic utilization of animal residues now became a matter of considerable importance. Although farmers and scientists had paid a good deal of attention to proper liming and phosphate fertilizing and to the use of certified seeds, there was as yet no full realization of the major part played by the animal in maintaining fertility and growth. Moreover, it was only in the years preceding the war that the practice of rotational grazing with full utilization of herbage had become at all common.

During the 1940's this work was concerned mainly with trials and experiments such as how-sheep reacted to various types of pasture and the tramping effect of the sheep themselves and animal manure on the pastures; manurial treatments of phosphates and nitrogenous manures on pastures consisting of grasses and clovers, on grasses on their own, and on clovers on their own; the measuring of the yields of pasture on a dry matter basis of the various species under various manurial treatments

During the 1950's further investigations were set on foot. One of considerable interest is that into the building up of soil fertility from scratch. About 10 inches of topsoil has been removed and the subsoil worked up. This subsoil has been sown down in plots of grass only, clover only, grass and clover, with and without mineral fertilizers, and the plots are grazed with and without the return of dung and urine.

The plots sown in grass without clover show little response to potash and super, and produce about 1,500 lb. only per acre of dry matter; clover alone produces about 9,000 lb. per acre; grass and clover without any return produce 11,000 lb. per acre, and with return, about 13,000 lb. Grass only with artificial nitrogen produces almost as much as grass and clover-clover thus produces the equivalent of about a ton of ammonia per acre. Soil fertility is increasing where grass and clover grow together but very little where grass only.

Another investigation, complementary to that just described, is one on the depletion of soil fertility after it has been built up, by growing in the same plots for several consecutive seasons crops of potatoes, chou, maize, or turnips. Combined with this are various fertilizer treatments to ascertain how much nitrogen is needed to restore fertility again after depletion.

These two investigations – one on soil-fertility build up and the other on soil-fertility depletion -will provide much valuable information on the build up and retention of soil fertility. Moreover, the general principles worked out from these investigations will be able to be applied elsewhere to other crops.

Another interesting piece of research is one to see how many ewes per acre can be carried using potentially high-producing strains. A small farm of 3 acres was in 1958 carrying ten ewes to the acre, fattening their lambs, and making hay. The pasture being used consisted mainly of ryegrass and white clovers, with a little cocksfoot, and timothy. By intensive grazing methods, making full utilization of pasture, this experiment showed what could actually be done. Each year one-tenth was sacrificed over winter, ploughed and put down in cash crop in spring, and resown to pasture the following autumn.

Investigations are also in progress to ascertain the beneficial or deleterious effects of treading in relation to pasture establishment and growth. It is well known that the eradication of fern by treading was an important element in the grassing of pumice lands and back country such as at Whangamomona; but what effect does animal treading have on an established pasture, or on one being established under favourable conditions? Can treading by stock, for example, if done at the right time and in the right way be used for getting rid of undesirable species – say poa grasses? There is a marked difference in the reaction of various species to compaction – ryegrass and clover apparently respond favourably to heavy treading, and the series of trials being conducted will doubtless establish considerable evidence how other species respond, and how treading can be used to the farmer's advantage.

As part of its programme of research, Grasslands has given considerable attention to the technique of pasture establishment, and during the early 1950's Dr Sears and Mr E. O. Hyde, of Grasslands, in collaboration with Mr M. W. Cross, of Massey College, developed a new type of roller drill designed for the specific placement of fertilizer and seed. The drill was developed in an attempt to get a better coverage of pasture on land under development, especially on the pumice country in the centre of the North Island. The drill was also used during the 1950–51 season for pasture establishment at Massey College.

Plant Physiology and Factors Influencing Rate of Growth of Pasture.—Two relatively new lines of grassland research in New Zealand are the investigations by Dr K. J. Mitchell and Mr R. W. Brougham into plant physiology and climatic factors influencing the rate of growth of pasture. In the past the “outward” effects of topdressing – for example, increased pasture growth, increased carrying capacity, the effect of dung and urine on soil fertility, the effects of drainage and irrigation – Have all been studied in relation to increased growth, palatability, and so on. Very little study, however, has been done on the “inward” effects – how various manurial treatments, changes of light, temperature, moisture, and other factors affect the growth of the plant itself. In other words, there has been little research into the physiology of the plant under varying conditions of light, temperature, moisture, grazing, and all the other factors which influence pasture growth.

The absence of this type of research has caused something of a gap in our knowledge between the conditions which affect the growth of pasture and the actual growth itself. We know that excessive heat, moisture, or shade, for example, cause the sward to deteriorate, but we are only beginning to learn about the fundamental processes involved and how they affect plant growth. We still have much to learn about the ecological physiology of both grass and clover.

In the field of plant physiology the work of Dr K. J. Mitchell, in charge of the Plant Physiology Unit at Palmerston North, has aroused considerable interest in New Zealand and abroad. In the study of the physiology of the individual plant, Mitchell's technique is to control the climate in which individual plants are grown by the use of cabinets in which temperature, light intensity, and humidity are all controlled. This technique involves the use of a combination of tungsten filament lamps and fluorescent tubes, and high levels of light intensity comparable with field conditions can thus be obtained.

In 1956 Mitchell defined the major programme of work with controlled cabinets as the measurement of the effects of different levels of temperature, and of differences in quantity of light received per day on the rate and form of growth of the nine pasture species of major importance to New Zealand as a source of feed for livestock, namely, certified New Zealand perennial ryegrass, certified New Zealand short-rotation ryegrass, certified New Zealand cocksfoot, paspalum, browntop, Yorkshire fog, certified New Zealand white clover, subterranean clover var. Mt. Barker, and lotus major.*

The use of the cabinet, in which all factors of plant growth can be kept constant, provides a means of measuring the effect of each factor – in midsummer the effect of excessive light, variation of temperature, humidity, length of day, and so on. The cabinet also enables the individual plant growth to be studied under stabilized conditions very different from the complex variations of temperature, light, and competition from other plants obtaining in the field.

The most important general use of the cabinet, however, has been its use to provide quantitative performance specifications for those species which allow an assessment as to how they can be expected to grow in wide variations of temperature and light both in and out of New Zealand. Mitchell's production of these specifications of performance at various levels of temperature is an original contribution to grassland science.

*K. J. Mitchell: “Influence of Light and Shade on the Growth of Pasture Species” (Proceedings, Seventh International Grassland Congress, 1956, p. 59).

By the use of the controlled-climate results two important advances in our understanding have already been made in relation to the growth of pasture, and more will follow. The first is at, except for paspalum, all species of grass are able to grow with equal facility within a wide range of temperature conditions, but that most English grasses are much more sensitive to high levels of temperature than had previously been realized; and second, that English grasses have, at the same time been found very responsive to the quantity of light which is available, and are very sensitive to changes in the quantity of light from season to season. This leads to the conclusion that seasonal changes in pasture growth such as, for example, a winter drop in pasture growth in the warmer parts of New Zealand, may be caused more by variation in light than the lower temperature of winter. The quantity of light, for example, in Northland in winter drops approximately to one-third of what it is in summer, and this factor, in addition to the cooler temperature, plays an important role in the general slow-down in the growth of pasture.

In considering how the results of detailed study of plants can he related to field conditions, Mitchell and others have propounded the concept that in a grazed pasture it is a reasonable generalization to regard the individual tiller as the productive unit. This concept allows significant results derived from controlled conditions to be judged in terms of field conditions. The study of the growth of the rooted tiller of a grass species has been basic to much of Mitchell's work.

In order to relate the information obtained from the study of plants in a controlled climate to what happens in the field, it is necessary to know the effective climatic and edaphic conditions with which pasture plants have to contend in different parts of the country. Climatic conditions near the soil surface may be very different from those measured in standard meteorological observations, most of which are taken several feet above the level of the pasture, and in order to obtain information on soil temperature and moisture at various distances above and below the surface of the soil, a series of micro-climatic stations were established by 1956 in sixteen widely differing localities. In each unit temperatures are measured at 1, 3, and 12 inches above, and 1, 2, 4, 8, and 16 inches below soil surface. Soil moisture is measured at 1, 2, 4, 8, and 16 inches below soil surface. Rainfall and total solar radiation are also recorded.

Complementary with the work of Mitchell is that of R. W. Brougham, Plant Ecologist, Grasslands Division, in ecology, especially his researches into the effects of light on plant growth. Using the sward in its natural environment as his laboratory, Brougham's work is the study of the various factors which affect pasture growth and, in particular, an intensive study of the effect of light.

These studies have established that, for vigorous or maximum pasture growth, a minimum amount of leaf (varying from plant to plant) is necessary to utilize all available light energy. A pasture, for example, where all the requirements of plant growth -fertility, temperature, moisture, and so on – are satisfactory will not continue to maintain maximum growth if grazed down so hard that there is insufficient foliage remaining to utilize all the energy from light.

The novel feature of this work has been the introduction of the concept of the Leaf Area Index – the idea that there is a definite ratio between the area of the surface of the leaves to the area of land on which they grow; and Brougham has demonstrated that the rate of pasture growth increases up to a maximum when there is complete interception of light by the foliage, and that the rate of growth decreases below that maximum as the operation of agencies restrictive to growth, e.g., limiting nitrogen supply, decomposition of the herbage through fungal attacks, amount of light not being intercepted, slugs, worms, and so on, reduce the total growth. This work has demonstrated the value of the Leaf Area Index as an additional tool in pasture studies. By its use it has shown that the capacity of any plant to utilize the maximum amount of light energy depends on factors such as the shape and area of the leaf, the angle of incidence of the sun, and the height of the foliage above ground level. It has shown too that these factors vary from plant to plant.

Another facet of this work includes taking regular growth measurements of the weight of herbage over different periods- a week, half a week, or a single day. This enables more accurate analysis of the influence of weather on the rate of growth of the plant. In combination with this a statistical technique is used to estimate the importance of light, moisture, and temperature governing the day-to-day growth of the herbage.

Brougham's work emphasizes the importance of day-to-day and seasonal changes in regulating the quantity of growth from an area of pasture, and the general aim is to find how the light factor in growth can best be put to practical use in farming – in other words how to establish a farming system in which the maximum use is made of light at all seasons in long and short pastures in which either clover or grass may be dominant.

Utilization of Pasture.—So far in this history we have been concerned with the work of the “pure” grassland scientists – the agrostologists, plant breeders, and so on; we now turn to another aspect of fundamental research in the grassland field, namely, the conversion of grass by the grazing animal into meat, wool, and milk.

During the past hundred years most pasture land in New Zealand has been converted to grassland from forest, swamp, and tussock; and during that hundred years it has been grazed by cattle and sheep, but with little knowledge of its conversion by stock into meat, wool, and milk. In the last fifty years a great deal of attention has been paid to increasing the production of grass by top-dressing and so on, and to the improvement of the grass plant by selection and breeding as already outlined in this work; but to the important matter of stock in relation to the grass they eat, little relatively has been done; and although research in this field at the Ruakura Animal Research Station over the past twenty years has made considerable progress and has created world-wide interest, the fact remains that as yet we are only at the beginnings of this new aspect of fundamental research.

As more and more land in New Zealand was brought into production, and as the numbers of stock increased, it became evident that there was also an increase in the problems of livestock on grass; and by 1930 the general question of how to use grass had become uppermost in the minds of many agriculturalists and research scientists. No action was taken to rectify the matter, and Mr A. H. Cockayne, in 1937, in his first report as Director-General of Agriculture, again stressed the urgency of the problem. He pointed out that it was customary in New Zealand to congratulate ourselves on the absence of many serious animal diseases rife in other countries. The position, however, was far from satisfactory, intensification of production brought about an intensification of animal disease and loss. Many of New Zealand's serious animal diseases were intimately connected with degrees in the plane of nutrition. Hitherto our grassland research had been more from the agronomic than the veterinary angle and had become quite unbalanced. Proper orientation from both angles was essential, but that would come about by extensive research in problems then almost unexplored. On the one hand stock losses each year were costing the nation millions of pounds, while on the other hand money being spent on research aimed at their avoidance amounted only to a thousand, or so, pounds annually. It was urgent that the position be rectified. The maintenance of animal health was so vitally concerned that the research into all phases of diseases under conditions existent in New Zealand should be vigorously prosecuted by the best brains procurable.*

Meanwhile in 1936 the Grasslands Research Station at Palmerston North passed from the Department of Agriculture to the Department of Scientific and Industrial Research. In 1938 this Department invited Dr John Hammond, of the Animal Research Institute, Cambridge University, to visit New Zealand to report and advise on the utilization of pasture by animals in New Zealand.

Dr Hammond's report was to bring about far-reaching changes in animal-grassland research in New Zealand. He recommended that there should be first a survey of the causes of losses in the different animal industries and an investigation into the conditions under which these losses were most prevalent. Following this there would be research into a group of problems relating to animal wastage – genetics, fertility, nutrition, meat and disease.

To carry out this wide programme of research Hammond recommended the establishment of an Animal Research Bureau. He suggested that three Animal Research Institutes be established, one at Massey College to deal with problems of feeding and management of dairy cows, pigs, sheep, beef cattle, horses, and poultry under North Island conditions, and one at Lincoln College to deal with similar problems under South Island conditions. The third institute would be at Wallaceville to deal with diseases of livestock.

In 1939 visits abroad by Dr C. S. Hopkirk, officer in charge at Wallaceville, and by the Director-General of Agriculture led, at last, to action being taken. It was decided, however, to co-ordinate the whole of the Department's facilities in order that animal research, particularly animal diseases, might be intensified. Hammond's recommendations were adopted in principle, but instead of establishing an Animal Research Bureau, a new Division was established within the Department of Agriculture – the Animal Research Division; and instead of establishing three new research institutes it was decided to turn Ruakura and Wallaceville into full-scale animal research stations, with Ruakura concentrating mainly on grazing management and the utilization of pasture by the grazing animal, and Wallaceville concentrating mainly on animal diseases.

This work of the interaction of stocking and grazing pioneered in New Zealand is now duplicated in all countries engaged in animal and grassland research; and the fact that at the Seventh International Grassland Conference held at Palmerston North, in 1956, four out of thirteen plenary sessions were devoted to various aspects of the grassland-animal complex illustrates further the importance attached by grassland scientists the world over to this new field.

The main, centre of this research in New Zealand is the Ruakura Animal Research Station. Research workers there are interested fundamentally in the utilization of pasture by animals. They have beer; likened by the Director, Dr C. P. McMeekan, to a group of “hybrids”, standing midway between the “keepers of the greensward – the agrostologists”, and the “keepers of the animal – the veterinarians”; and their task is to combine the best that those two groups can offer in converting grassland to human food. They are interested essentially in the interdependence of grassland and livestock, but are not concerned with either as such.

*A. H. Cockayne, in Annual Report, Department of Agriculture, 1937, pp. 4–5.

C. P. McMeekan: “Fifth Hudson Lecture” New Zealand Science Review, 11, pp. 115–121 (1953).

What essentially is the nature of the problem of converting grassland to animal products? In its simplest form it is “that of balancing or fitting the variable supply of nutrients from grassland to the variable nutritional needs of the animal”. The “hybrid” worker is concerned essentially with pasture growth and animal needs, and his starting point is an appreciation of the basic characteristics of these two media, and especially of the fundamental differences between them.

The study of the grassland-animal complex at Ruakura is along two broad lines of investigation. The first, under Dr L. R. Wallace, is the measurement of intake of pasture by the grazing animal, and the conversion of this fodder into meat, milk, and wool. This is absolutely basic both to animal nutrition and to the whole problem of livestock production on grassland. The second main line, under Dr McMeekan, is the study of grazing methods in relation to animal production on grassland - how to handle stock in order to get the most out of them on grass. These two lines of investigation have been the basis of most of the animal research work at Ruakura since 1939. Papers on both aspects of this work were delivered by Dr Wallace and Dr McMeekan to the Seventh International Grassland Congress, 1956.

This research at Ruakura, described here in fairly general terms, is basic to many lines of research being carried out there - ill thrift in hoggets, facial eczema, the treatment and use of hay and silage, and so on. Over the years facial eczema, for example, has received more publicity than the basic research of which it is only a part. Research into this disease is important, just as research into any animal disease is important, but because of the severity of the sporadic outbreaks of this disease, and the occasional disastrous losses to farmers, any progress in its prevention has made headline news. Research into a disease, however, which occurs infrequently on relatively few farms is not nearly as important as research into ill thrift which occurs on almost every farm to some extent every season.

Ill thrift in hoggets is by no means confined to New Zealand. It is a problem wherever sheep are grazed, and it is partly because of its world-wide prevalence that so much attention has been focused on pioneer research in this field at Ruakura.

This brief outline by no means covers the research projects into the various factors affecting the conversion of pasture to milk, meat, and wool being carried out at Ruakura. Every project at the station is related to this central idea in some way or other. These projects include intensive silage work designed to decrease the losses in pasture conservation; extensive work of artificial breeding now on an industrial basis and improving considerably the quality of cattle; the national problem of ill thrift in hoggets; basic studies on development of methods of assaying the animal for its hormone status; hormone therapy studies in the control of fertility rates and of growth rates of meat animals; growth studies in both dairy and meat-producing animals basic to the successful rearing of livestock; anatomical and physiological studies related to dystokia in cattle and sheep; toxicology studies arising from diagnostic work at Ruakura which cover losses in the field from crops and weeds which under certain conditions are poisonous to livestock; and, finally, infertility studies in sheep and dairy cattle which are related directly to the efficiency of conversion.

The various aspects of this work are publicised regularly in scientific journals such as the New Zealand Journal of Agriculture, and also in the form of bulletins, treatises, and papers read at the various scientific conferences and farmers' conferences held annually.

Seventh International Grassland Congress.—Research conducted by New Zealand grassland scientists is of a very high standard - so high, in fact, that some of our leading men in this field rank in world class. The decision made at the Sixth Congress in 1952 to hold the Seventh Congress in New Zealand in 1956 is a further testimony to the esteem in which our grassland scientists are held, and at the opening ceremony of this Congress, held in Palmerston North, tributes were paid to our two pioneers in this field, Mr A. H. Cockayne and Sir Bruce Levy. Each had conferred on him the Bronze Medallion and honorary life membership of the Royal Agricultural Society of New Zealand. At the same function Dr William Davies, who had worked with Cockayne and Levy in fundamental research into strain testing at Grasslands in 1929–31, and who has since become Director of the British Grassland Research Institute, at Hurley, Berkshire, received from the University of New-Zealand the honorary degree of Doctor of Science.

Papers were presented to this Congress by leading grassland scientists from many countries, with New Zealand scientists playing a prominent part. For visiting scientists there was much to see and much to hear about New Zealand's pastures and the relationship of these pastures to the animals which graze them. Visitors to the Congress were able to visit New Zealand farms and research stations and to observe both the nature of grassland research being carried out here and its general application.

Among the many papers presented to the Congress perhaps the most interesting to the general public was that by Mr A. H. Cockayne on what he termed “Grassland Philosophy”, in which he traced in broad outline New Zealand's grassland history. In the nineteenth century there was an increasing area being used for farming, and by ploughing up much of the virgin soil and sowing it down in imported pastures the number of stock could be increased continually. Very little was done to improve the grasslands once they were established. In the twentieth century, however, especially since 1920, there has also been a huge increase in stock carried - but with very little increase in the total area of land being farmed. This achievement in the expansion of numbers of stock carried is fundamental to New Zealand's economy and this result Cockayne attributed to seven factors - the realization that grass was a crop and that the grassland farmer was the most important crop-farmer in New Zealand; the development of agricultural instruction and research devoted mainly to grassland farming; the rise of topdressing to a major factor in grassland farming; research leading to the control of bush sickness; research leading to the development of superior strains of grasses and clovers and their use; better stock management; and drainage.* Thus grassland research has been an important key to New Zealand's agricultural progress.

* Proceedings: Seventh International Grassland Congress, 1956; pp. 590–591, et seq.

Appendix B. 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. 43).—Recent population changes are given in the following table.

MalesFemalesTotalMean Population for Year Ended
Total Population (Including Maoris)
30 June 19591,172,2091,158,9132,331,1222,311,339
30 September 19591,178,3841,165,0102,343,3942,323,337
31 December 19591,186,0831,173,6632,359,7462,334,617
31 March 19601,191,3991,178,7672,370,1662,345,602
Maori Population
30 June 195978,43775,682154,119151,167
30 September 195979,20576,341155,546152,631
31 December 195979,83777,002156,839154,074
31 March 196080,54977,806158,355155,501

The above figures are exclusive of the population of the Cook Islands, 18,041 (at 31 December 1959); Niue Island, 4,781 (at 31 December 1959); Tokelau Islands, 1,861 (at 31 December 1959); and Western Samoa, 105,863 (at 31 December 1959).

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 for the calendar year 1959 at 40,741 constituting a record.

Migration (pp. 57–61).—The total number of arrivals in New Zealand during the year ended 31 March 1960 was 218,874, while the total number of departures in the same year was 216,075. Excluding crews, through passengers and tourists on cruising liners, arrivals totalled 89,377 and departures 86,164, making the net excess of arrivals 3,213, as compared with 9,992 in 1958–59. A classification of total arrivals and departures gives the following results.

Year Ended 31 March
19591960
Migration: Arrivals
Immigrants intending permanent residence24,85220,294
New Zealand residents returning27,62332,526
Visitors—
  Tourists21,92724,794
  Others9,24611,763
Through passengers and tourists on cruising liners26,04535,637
Crews86,77993,860
        Total arrivals196,472218,874
Migration: Departures
New Zealand residents departing—
  Permanently10,98513,420
  Temporarily28,67434,667
Temporary residents departing33,99738,077
Through passengers and tourists on cruising liners26,04535,637
Crews86,44294,274
        Total departures186,143216,075

Passenger arrivals for the year ended 31 March 1960 reached a record level, as did passenger departures. While arrivals showed an increase of 5,729, or 7 per cent, over the previous year, departures increased by 12,508, or 17 per cent.

Immigrants intending permanent residence numbered 20,294, a decline of 4,558 on the previous year. The 2,549 assisted immigrants included in the 20,294 arrivals in 1959–60 show a decrease of 2,129 on the 1958–59 figure of 4,678.

New Zealand residents departing permanently showed a substantial increase of 2,435, or 22 per cent, over the 1958–59 figure.

PRICES OF PRIMARY PRODUCTS (pp. 542–544)

Wool.—Weight, sale value, and average value per pound of greasy wool sold at auction in New Zealand.

SeasonWeight of Greasy Wool SoldSale ValueValue per PoundAverage Minimum Floor Price per Pound of Greasy WoolPrice per Pound on Floor, Greasy*Index Numbers Base: 1949–50 (— 1000)

*Average of selected types.

† Based on price on floor, clean.

 lb (000)£(000)d.d.d. 
1958–59406,26161,06436.0733.0037.59962
1959–60409,19976,12144.6533.0046.051179

Dairy Produce.—The following table shows the average weekly sterling price for New Zealand butter and cheese ex-store, and the average weekly sales on the London market.

Period (Number of Weeks Given in Brackets)ButterCheese
(Finest and First Grades) Average Price per Cwt(All Grades) Weekly Average Sales(Finest and First Grades, White) Average Price per Cwt (Crated)(All Grades) Weekly Average Sales
* Revised.
1960—s.Tonss.Tons
  January (5)401*2,521*288*1,148*
  February (4)3542,5522521,387
  March (4)3342,4242301,584
  April (4)2922,9842301,814
  May (5)2902,5702301,585
  June (4)........
  July (4)........

PRODUCTION

Timber Production

Timber: Production (pp. 568–569).—Provisional figures issued by the New Zealand Forest Service indicate a record level of timber production for the year ended 31 March 1960, the output of rough-sawn timber being given as 693,833,000 board feet, substantially above the output of the previous year. The output of the principal species was as follows: rimu and miro, 231,450,000 board feet; matai, 35,888,000 board feet; kahikatea, 20,460,000 board feet; beech, 13,781,000 board feet; totara, 12,970,000 board feet; tawa, 19,267,000 board feet; and exotic pines, 333,965,000 board feet. Indigenous species totalled 338,788,000 board feet, and exotics, 355,045,000 board feet.

Factory Production Statistics, 1958–59

Production totals for the 1958–59 year rose by 5.5 per cent in volume of output over the previous year. The annual increases in volume of output for the two previous years were 0.7 per cent in 1956–57 and 7.2 per cent in 1957–58. Production of two groups of industries dropped in volume in 1958–59, namely, beverages (-5.3 per cent) and chemicals and chemical products (-0.7 per cent). Although indexes are not available for all groups of industries, employment and added value figures indicate further declines in the furniture and fittings, and transport equipment groups. In three groups the volume index rose by over 10 per cent compared with the previous year—textiles, 15.6 per cent; leather and leather products, 15.5 per cent; and electrical machinery and appliances, 12.1 per cent. In the several groups without individual volume indexes, employment and added value figures indicate a substantial increase in volume for the miscellaneous group in which plastic manufactures feature predominantly. Using the same indicators, two other groups also had worth-while increases in volume of production—petroleum and coal products and basic metal manufactures.

The number of factories surveyed increased from 8,529 in 1957–58 to 8,565 in 1958–59, and the average number of persons engaged in factories also increased from 162,985 to 168,772, or by 3.6 per cent. Overtime worked by all wage-earners in 1958–59, at 21,724,241 hours, represented an increase of 6.3 per cent on 1957–58. Average overtime hours worked by all wage-earners in 1958–59 were 188 hours for males and 47 hours for females, as against 184 and 42 respectively in the previous year. In 14 of the 20 industrial groups, total overtime hours were higher and four groups reported increases of over 20 per cent—miscellaneous products, 43.2 per cent; leather and leather products, 33.3 per cent; textiles, 30.3 per cent; and basic metal manufactures, 28.2 per cent.

Of the additional 5,787 persons engaged 3,805 were males and 1,982 were females. The following groups of industries showed significant changes from the previous year—food (+ 950), textiles (+886), footwear and clothing (+ 553), miscellaneous products (+470), beverages (-124), and furniture and fittings (-128). With the two latter exceptions, all other groups engaged more persons in 1958–59 than in 1957–58.

Total salaries and wages paid during the year, at £128,318,259, were £8.3 million higher than in 1957–58, an increase of 6.9 per cent. Wages paid in industry during 1958–59 averaged £821 for males and £441 for females as against £797 and £419 during the previous year, increases of 3.0 and 5.3 per cent respectively. These averages include overtime payments and bonuses.

Added value, at £240,807,255, represents the total contribution to New Zealand's production for 1958–59 by manufacturers covered in this series and shows a rise of 6.0 per cent over 1957–58. All groups showed increased added values, six recording increases of over 10 per cent—miscellaneous products 30.3 per cent, leather and leather products 17.1 per cent, basic metal products 16.4 per cent, textiles 16.1 per cent, electrical machinery and appliances 13.3 per cent, and petroleum and coal products 133 per cent. In 1958–59 salaries and wages represented 53.3 per cent of added value (52.8 per cent in the previous year), while the manufacturers' surplus was 17.5 per cent of added value (18.1 per cent in 1957–58).

Capital expenditure during 1958–59 amounted to £27.8 million, compared with £23.2 million and £24.3 million in 1957–58 and 1956–57 respectively. The total for 1958–59 is the highest yet recorded in this series. These amounts cannot be treated as the total capital expended by New Zealand manufacturers during the year, as they do not take into account capital expenditure of units not yet in production.

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 1959, 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 1959.

Summary (p. 601).—Following are the principal statistics of factory production for 1958–59, with comparable figures for the two previous years.

General Summary1956–571957–581958–59
Number of establishments8,4888,5298,565
Persons engagedNo.156,651162,985163,772
Production costs—
  Salaries, wages£110,868,088119,989,253128,318,259
  Materials£394,894,095417,918,274418,647,288
  Other expenses£59,890,15166,052,01570,320,610
        Totals£565,652,334603,959,542617,286,157
Value of output£601,900,034645,108,872659,454,543
Manufacturers' surplus£36,247,70041,149,33042,168,386
Value added in manufacture£207,005,939227,190,598240,807,255
Overtime worked by wage-earnersHrs.19,243,07420,431,80921,724,241
Volume index for industry: Base 1956–57 (= 1000)100010721130
Premises and plant—
Value at end of year—
    Land and buildings£105,237,510113,358,584123,305,997
    Plant and machinery£76,185,93477,228,49280,977,897
Capital expenditure during year—
    Land and buildings£9,573,8489,420,30811,184,624
    Plant and machinery£14,769,53513,801,68716,653,921
Coal consumption as fuelTons994,6661,014,3901,029,974

Principal Statistics 1958–59 (p. 626).—The following table gives the number of persons engaged, production costs, value of output, and added value for the year 1958–59, classified according to industry groups.

Industry GroupNumber of Persons EngagedProduction CostsValue of OutputAdded Value
Salaries and WagesMaterialsOther ExpensesTotal
  £(000)£(000)£(000)£(000)£(000)£(000)
Food30,78526,920195,02115,761237,702241,90646,885
Beverages2,1981,8575,2672,1109,23411,2325,965
Tobacco manufactures1,2808015,2035976,6027,1841,981
Textiles9,5576,22420,2953,22429,74431,67311,370
Footwear, other wearing apparel, and made-up textile goods26,02714,13426,0783,61243,82446,57220 494
Wood and cork products (except furniture)12,78510,31122,0936,08238,48641,72419 631
Furniture and fittings4,9843,7146,30297010,98511,8875,586
Paper and paper products5,1914,36213,9268,04926,33729,55615,631
Printing, publishing, etc.10,4088,3168,5803,76620,66323,95115,371
Leather and leather products (except footwear and apparel)1,6111,1282,8033814,3124,6361,833
Rubber products2,9112,6725,4761,7089,85611,4705,993
Chemicals and chemical products5,2524,16518,9553,69126,81229,82210,867
Petroleum and coal products4043502,2913342,9743,248957
Non-metallic mineral products n.e.i.6,8255,5497,5245,83418,90721,53314,009
Basic metal manufactures9248082,0344053,2463,6341,600
Metal products (except machinery and transport equipment)8,3066,96613,7312,65823,35525,94812,217
Machinery (except electrical)9,4147,82914,0872,81024,72626,65912,572
Electrical machinery and appliances4,4213,1898,3511,41212,95214,3576,007
Transport equipment22,04516,62136,1595,82558,60563,39227,233
Miscellaneous products3,4442,4004,4721,0937,9649,0704,598
          Totals, all groups168,772128,318418,64770,321617,286659,455240,807

Volume of Industrial Production (p. 624).—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 1956–57.

GROUP INDICES: BASE 1956–57 (= 1000)

Industry Group1956–57 Index1957–58 Index1958–59
Index(+) or (-) Over 1957–58
    Per Cent
Food100010631121+ 5.5
Beverages10001048993−5.3
Tobacco manufactures100011081148+ 3.6
Textiles100011141287+ 15.6
Footwear, other wearing apparel, and made-up textile goods100010531148+ 9.0
Wood and cork products (except furniture)10009891056+ 6.8
Paper and paper products100012201306+ 7.1
Printing, publishing, etc.100010571093+ 3.4
Leather and leather products (except footwear and apparel)100010151172+ 15.5
Rubber products100010981144+ 4.2
Chemicals and chemical products100010471040− 0.7
Non-metallic mineral products n.e.i.100010741121+ 4.4
Electrical machinery and appliances100011531293+ 12.1
Furniture and fittings100010731117+ 4.1
Petroleum and coal products
Basic metal manufactures
Metal products (except machinery and transport equipment)
Machinery (except electrical)
Transport equipment
Miscellaneous products
        Totals, all groups100010721130+ 5.5

Regional Distribution of Factory Production, 1958–59 (p. 601).—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 now being more than the total for the South Island.

FACTORIES: SUMMARY OF OPERATIONS BY EMPLOYMENT DISTRICTS, 1958–59

Employment DistrictNumber of FactoriesPersons Engaged:Salaries and Wages Paid
MalesFemalesMalesFemales
  No.No.££
Whangarei2372,5702272,047,03194,465
Auckland2,13234,68216,37230,653,0897,496,299
Hamilton5326,1818685,160,376368,650
Paeroa1231,4623281,185,061126,835
Tauranga1151,048209798,71879,262
Rotorua2075,2833924,993,958179,209
Gisborne1151,3873671,088,944153,956
Napier1591,6614101,333,938178,524
Hastings1643,1596172,660,563288,268
New Plymouth3464,0337753,397,685317,142
Wanganui2382,7879262,451,443371,682
Palmerston North4384,7291,5483,954,381684,181
Masterton1451,6783321,393,003134,935
Lower Hutt3207,7672,7597,541,6351,379,823
Wellington7229,0404,9158,244,5782,354,567
  Totals, North Island5,99387,46731,04576,904,40314,207,798
Blenheim96867174695,88479,284
Nelson1801,8813581,459,149149,851
Greymouth1601,243226985,51994,483
Christchurch1,00416,9766,98314,258,5963,106,481
Ashburton68943207815,72798,025
Timaru1702,4394082,080,736185,904
Oamaru57933187732,58975,379
Dunedin4938,3673,0996,838,3201,320,765
Invercargill3444,5284414,046,014183,352
  Totals, South Island2,57238,17712,08331,912,5345,293,524
  Totals, New Zealand8,565125,64443,128108,816,93719,501,322
EmploymentCost of MaterialsValue of OutputAdded Value
TotalPercentage of Total*
* Bracketed figures are percentages in previous year (1957–58).
 £££ 
Whangarei12,836,56117,885,9075,049,3462.1 (2.2)
Auckland112,716,811182,256,74569,539,93428.9 (27.4)
Hamilton28,534,13239,176,89810,642,7664.4 (4.5)
Paeroa11,057,21613,624,6852,567,4691.1 (1.2)
Tauranga4,401,6276,139,9521,738,3250.7 (0.6)
Rotorua13,647,55530,016,41516,368,8606.8 (7.0)
Gisborne3,745,7565,971,1052,225,3490.9 (1.0)
Napier4,812,5327,746,9112,934,3791.2 (1.3)
Hastings11,297,17716,111,0934,813,9162.0 (2.1)
New Plymouth20,697,79627,314,7276,616,9312.8 (2.8)
Wanganui10,298,26415,027,8034,729,5392.0 (2.0)
Palmerston North18,798,20527,024,8788,226,6733.4 (3.5)
Masterton7,246,8819,834,7632,587,8821.1 (1.0)
Lower Hutt34,685,78552,866,12318,180,3387.6 (7.8)
Wellington20,927,45939,690,87518,763,4167.8 (7.7)
  Totals, North Island315,703,757490,688,880174,985,12372.7 (72.1)
Blenheim2,043,6213,117,6891,074,0680.5 (0.5)
Nelson4,239,9977,821,0223,581,0251.5 (1.5)
Greymouth2,310,7254,284,2681,973,5430.8 (0.8)
Christchurch41,889,17572,717,03330,827,85812.8 (12.6)
Ashburton2,943,9414,493,8611,549,9200.6 (0.6)
Timaru8,705,63712,122,6223,416,9851.4 (1.4)
Oamaru3,556,5764,864,0951,307,5190.5 (0.7)
Dunedin20,960,89836,327,17915,366,2816.4 (6.3)
Invercargill16,292,96123,017,8946,724,9332.8 (3.4)
  Totals, South Island102,943,531168,765,66365,822,13227.3 (27.9)
  Totals, New Zealand418,647,288659,454,543240,807,255100.0 (100.0)

BUILDING ACTIVITY (pp. 659–665)

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
  £££
195818,95552,503,83649,262,796101,766,632
195920,56857,013,66044,452,495101,466,155
196023,57866,344,73347,654,768113,999,501

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
  £££
195813,77239,254,48540,183,11479,437,599
195915,59044,500,78735,808,11980,308,906
196018,43753,197,06539,834,39093,031,455

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
  £££
19585,18313,249,3519,079,68222,329,033
19594,97812,512,8738,644,37621,157,249
19605,14113,147,6687,820,37820,968,046

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
195819591960
Urban districts13,60014,80016,800
Rural districts5,0004,8004,800
    Totals, New Zealand18,60019,60021,600

VALUE OF GOODS AVAILABLE FOR USE (p. 688)

Provisional figures for 1958–59 are now available. These figures, together with revised figures for the two previous years, are shown in the following table.

Year Ended 30 JuneProduced in New ZealandImportedAll Goods Available for Use in New Zealand
TotalExportedAvailable for Use in New ZealandTotalPer Head
 TotalPer Head
VALUES
 £(m.)£(m.)£(m.)££(m.)£(m.)£
1957622.3276.7345.6156.6277.7623.3282.5
1958640.5286.6353.9155.6305,2659.1291.7
1959641.4241.3400.11731244.6644.7278.9
VALUE INDEX NUMBERS: BASE 1938–39 (=100)
1957467477459336470464340
1958480494470336516490351
1959481416531371414480336

AGGREGATE VOLUME OF GOODS AVAILABLE FOR USE (p. 689)

Provisional figures for 1958–59 are also now available for this series. These, and amended figures for 1956–57 and 1957–58, are as follows.

(On basis of unit values ruling in 1938–39)

£(million)
Year Ended 30 JuneProducedExportsImportsAvailable for Use
1957228.181.8105.8252.1
1958243.989.9115.9269.9
1959253.891.893.9255.9

The next table gives volume index numbers corresponding to these values.

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
1957171141194142179188138
1958183155205146196201144
1959190158215150159190133

LOCAL GOVERNMENT (pp. 837–860)

Statistics of local government in the financial year ended 31 March 1959, in continuation of the statistics included in pages 846–860 of this Year-Book, now follow.

Receipts

£
Year Ended 31 MarchRevenue FromTotal RevenueReceipts Not RevenueTotal Receipts
RatesPublic Utilities, Licences, Rents, Etc.Government
195822,707,45642,343,3934,515,99169,566,84031,051,063100,617,903
195924,392,26448,903,3824,935,00778,230,65329,874,497108,105,150

Expenditure

£
Year Ended 31 MarchWorks and Utilities (Construction and Maintenance)AdministrationInterest on Loans and OverdraftAmortization of DebtOtherTotal Expenditure
195879,619,0135,857,4854,224,7665,842,6162,744,43598,288,315
195985,868,6206,191,3225,132,6176,237,5513,169,300106,599,410

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
19581,827,520772,3473,357,770588,096620,743541,2541,313,1029,020,832
19591,802,866986,0041,523,426615,576704,464728,1841,519,5167,880,036

Assets and Liabilities

£
As at 31 MarchAssetsLiabilities
Cash AssetsOther Assets (Estimated)Total DebtOther LiabilitiesTotal Liabilities
 Gross DebtNet Debt
195837,100,818213,685,821114,675,190107,239,09111,010,219118,249,310
195940,251,118235,248,847127,970,353120,494,53711,910,668132,405,205

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.
19582,275,515114,675,1905071110,811,0214150
19592,326,129127,970,353550312,047,271537

Gross Loan Indebtedness

£
At 31 MarchCounties and Road DistrictsBoroughs and Town DistrictsUrban Drainage DistrictsUrban Transport DistrictsElectric Power DistrictsHarbour BoardsOther DistrictsTotal
19586,790,05551,580,9448,987,9124,149,03121,299,69015,689,1246,178,434114,675,190
19597,428,79455,909,18312,127,1943,908,45122,930,45417,562,2218,104,056127,970,353

Domicile of Debt

At 31 MarchAmountPercentage of Total
New ZealandUnited KingdomAustraliaNew ZealandUnited KingdomAustralia
 £££Per CentPer CentPer Cent
1958111,434,6632,963,000277,52797.182.580.24
1959125,812,7001,883,000274,65398.311.480.21

Debt Charges and Loans Sanctioned

£
At 31 MarchDebt ChargesLoans Sanctioned
On Debentures and Other SecuritiesOn Inscribed DebtTotalYearTotal ApplicationsSanctioned
New WorksRedemption Loans
195810,811,021 10,811,0211958-5921,510,31820,537,646542,100
195912,047,271 12,047,2711959-6032,847,56028,972,747236,800

Employment by Local Authorities

NUMBER OF WAGE EARNERS
(Average of Twelve Months Ended March)
Class of Local District19581959
Counties4,0514,049
Boroughs9,89510,045
Town districts5449
Road districts1515
River districts2824
Catchment districts377375
Land-drainage districts5961
Water-supply district44
Urban drainage districts355360
Urban transport districts1,5171,440
Road Tunnel Authority1 
Local railway district1613
Gas districts4846
Milk districts12
Valley authority11
Nassella tussock districts3246
Plantation board1716
Rabbit districts856815
Fire districts523535
Harbour boards3,3633,404
Harbour Bridge Authority104
          All districts21,22321,304

EXTERNAL TRADE

Statistics of external trade in the calendar year 1959, in continuation of the statistics included in pages 289–359 of this Year-Book, are given below.

Total Commodity Trade.—Following are statistics of exports and imports in 1957, 1958, and 1959.

£(000)
Calendar YearExportsImports (c.d.v.)Excess of Exports Over Imports
New Zealand ProduceTotal Exports
* The corresponding c.i.f. values were £297,098,000 in 1957, £285,077,000 in 1958, and £230,976,000 in 1959.
1957274,305276,569261,738*14,831
1958247,984250,173252,800*− 2,627
1959290,766293,400205,053*88,347

INDEX NUMBERS OF VALUE AND VOLUME OF TRADE BASE 1952 (=100)

Calendar YearExportsImports
Value IndexVolume IndexValue IndexVolume Index
1957115100114116
1958104106110112
19591221168993

The total trade per head of mean population in 1959 was £214 (exports £126 and imports £88).

Exports.—New Zealand's export commodity trade in 1959 was valued at £293.4 million, an increase of £43.2 million over the previous year. An indication of the movement in the value of exports in the main groups of commodities is afforded by the following table.

VALUE OF EXPORTS

£(000)
Calendar YearButterCheeseFrozen MeatWoolHides, Pelts, and Skins
195738,45617,92364,078105,95910,117
195838,85012,40273,49080,0378,317
195955,80622,10371,13989,51213,239

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 1949 are shown.

Tons (000)
Calendar YearButterCheeseFrozen MeatWool
1949147.794.0344.1191.8
1950138.399.9338.1175.9
1951147.5106.6274.8141.5
1952184.091.3385.6195.6
1953159.1101.4326.7174.8
1954132.590.4370.8175.4
1955151.085.1378.2186.3
1956167.588.9414.2191.0
1957145.188.5388.5192.7
1958175.489.5405.4204.0
1959193.083.5434.4235.8

Direction of Export Trade.—The table below shows the main destinations of New Zealand exports in 1959.

£(000)
CountryTotal Exports*
* Provisional figures.
United Kingdom165,610
India686
Ceylon284
Malaya335
Singapore455
Hong Kong390
Rhodesia-Nyasaland Federation138
Union of South Africa922
Trinidad and Tobago1,180
Bahamas133
Bermuda213
Barbados279
Jamaica1,589
Canada3,053
Australia10,952
Fiji1,147
Tonga221
Western Samoa822
Other Commonwealth countries413
  Totals, Commonwealth countries188,823
Belgium and Luxemburg5,197
Bulgaria140
Czechoslovakia1,374
Denmark396
Finland176
France17,241
German Federal Republic9,648
Greece322
Republic of Ireland145
Italy6,002
Netherlands4,177
Norway159
Poland1,264
Portugal382
Russia152
Sweden697
Yugoslavia232
Burma107
China2,490
Philippines273
Japan6,673
Egypt173
Mexico117
Netherlands Antilles271
Panama Republic273
Peru729
United States of America42,948
Venezuela201
Hawaii906
American Samoa141
Other countries805
      Totals, all other countries103,812
Ships' stores765
      Totals, all countries293,400

Exports to Commonwealth countries in 1959 accounted for 65 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.
195727,55521,87917,52138,63774,64237,638261,738
195824,76919,95220,70338,58871,23836,786252,800
195918,99018,56816,68932,48055,12328,134205,053

Direction of Import Trade.—The next table shows the main sources (origin) of New Zealand's imports in 1959.

£(000)
* Provisional figures.
CountryTotal Imports*
United Kingdom97,041
Aden383
Singapore892
Bahrain979
Ceylon2,204
Hong Kong807
India4,302
Malaya1,789
Ghana535
Kenya and Uganda363
Tanganyika203
Union of South Africa1,076
Canada4,738
Australia37,140
Fiji723
Gilbert and Ellice Islands171
Nauru Island535
Western Samoa668
Other Commonwealth countries941
  Totals, Commonwealth countries155,490
Austria328
Belgium and Luxemburg1,510
Czechoslovakia264
Denmark307
France1,303
German Federal Republic6,184
Italy1,482
Netherlands2,426
Norway685
Portugal157
Spain139
Sweden2,324
Switzerland1,628
China418
Indonesia2,113
Iran1,670
Japan3,573
Saudi Arabia1,356
Netherlands Antilles3,010
Peru300
United States of America16,979
Venezuela165
French Oceania209
Other countries1,033
      Totals, all other countries49,563
      Totals, all countries205,053

Imports from Commonwealth countries in 1959 comprised 76 per cent of the total.

FINANCE

Banking and Currency

Reserve Bank (pp. 863–864).—Data showing the liabilities and assets of the Reserve Bank of New Zealand at the last balance day in May 1960 are shown below, together with the corresponding figures for the last balance day in March 1960.

£(000)
As at Last Balance Day in
March 1960May 1960
* Expressed in New Zealand currency.
Liabilities—
  Total liabilities (including other)174,984196,020
  Bank notes79,18379,212
Demand liabilities—
    State16,66812,222
    Marketing233623
    Banks67,14790,736
    Other4161,228
Assets—
  Total assets (including other)174,984196,020
Investments—
    Overseas*11,72421,651
    In New Zealand32,80871,308
Reserve*
    Sterling exchange59,36866,442
    Other exchange474371
Advances—
    State42,5701,670
    Marketing organizations20,31025,781
    Other 730

Trading Banks (pp. 866–874).—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 1960May 1960
*Includes certain current accounts, operated by non-profit organizations, for which interest is payable on monthly minimum balances; these accounts were previously included in “deposits not bearing interest” column.
Bank debits during week—
  Government£32,292,52213,770,128
  Other£167,342,456130,501,315
Advances, including notes and bills discounted£182,108,188173,847,117
Unexercised overdrafts£122,398,332129,180,696
Deposits—
  Total£316,577,893330,485,133
  Government£5,552,5505,156,243
  Not bearing interest£250,555,763261,767,753
  Bearing interest£60,469,580*63,561,137*
Reserve Bank notes—
  Notes held by trading banks£13,366,32115,044,854
  Net note circulation£65,816,95064,167,061
Ratio of advances to depositsPer Cent57.5252.60

Overseas Assets of Banks (p. 875).—In the following table overseas assets of banks (on account of New Zealand business only) are shown.

£(000)
Overseas Assets at End of
March 1959March 1960
Trading banks' overseas assets—
  In London20,89128,649
  Elsewhere5,6126,011
Reserve Bank's overseas assets—
  Sterling exchange51,14759,368
  Other overseas assets14,29212,360
Total gross overseas assets91,942106,388
Overseas liabilities of trading banks9,6528,745
Overseas liabilities of Reserve Bank7,42457
Net overseas assets74,86697,586

Net overseas assets at 8 June 1960 totalled £114.1 million.

Savings Banks (pp. 880–885).—A summary of statistics of savings banks at 31 March 1960 is given below.

Post Office Savings BankTrustee Savings BanksNational Savings Accounts

* Excess of withdrawals over deposits.

On deposits held during year ended 30 June 1959.

Number of depositors1,826,037441,703..
 £££
Total amount of deposits during year158,152,50345,547,7915,559,834
Total amount of withdrawals during year146,492,32640,712,3939,877,618
Excess of deposits over withdrawals11,660,1774,835,398−4,317,784*
Interest credited to depositors7,525,9831,716,7072,123,648
Total amount to credit of depositors at end of March 1960283,099,26665,044,97358,908,077

Post Office Savings-bank Accounts Classified by Amount Groups (p. 881).—The following is a classification of the balances in Post Office Savings-bank accounts at 31 March 1958, 1959, and 1960, shown by amount groups and percentage of accounts within each group.

At 31 March 1958*At 31 March 1959At 31 March 1960
Number of AccountsPercentage of TotalNumber of AccountsPercentage of TotalNumber of AccountsPercentage of Total
* Does not include investment accounts or home lay-by accounts.
££      
Under 1—      
Non-operative163,8679.55158,9048.94161,1318.82
Operative177,28010.34200,18911.26198,42010.87
1 and under10438,68125.58455,40925.61457,12925.03
10 and under50341,15419.89359,53220.21376,05020.59
50 and under100141,5388.25147,7468.31153,5068.40
100 and under200138,0648.05139,6207.85145,6307.98
200 and under30075,2304.3978,4844.4182,0074.49
300 and under40051,5563.0151,1802.8852,9842.90
400 and under50039,1412.2838,8332.1840,5062.22
500 and under60030,0311.7529,6171.6730,7711.69
600 and under70019,3401.1318,9391.0620,6351.13
700 and under80014,6630.8514,8020.8316,5100.91
800 and under90012,1500.7112,0700.6812,7020.70
900 and under1,00010,2800.6010,4700.5911,0300.60
1,000 and under1,50030,3361.7731,4441.7733,6171.84
1,500 and under2,00013,5740.7912,8730.7213,3850.73
2,000 and under3,00011,9320.7011,6410.6512,1250.67
3,000 and under4,0003,5490.213,7820.214,3530.24
4,000 and under5,0001,6400.091,7100.101,8620.10
5,000 and over1,0090.061,1810.071,6840.09
Total number of accounts1,715,015100.001,778,426100.001,826,037100.00

Overseas Receipts and Payments.—The following statement gives statistics of overseas exchange transactions for the years ended 31 March 1959 and 1960. Comparable items for the calendar years 1958 and 1959 are, however, given on pages 877–878. All figures quoted are taken from Reserve Bank sources.

£NZ(000)
Year Ended 31 March 1959Year Ended 31 March 1960
ReceiptsPaymentsReceiptsPayments
Exports—
  Butter47,275..62,455..
  Cheese19,475..20,862..
  Meat82,200..71,697..
  Wool76,790..106,884..
          Totals (including other)273,586..314,219..
Imports—
  Licensed..202,124..209,560
  Decontrolled..20,252..4,621
  Government..23,911..27,159
          Totals (including other)..255,821..241,340
Transport: Freights, fares, ships' charters4,17911,8475,27911,943
Travel: Private and business (exclusive of fares)3,0107,8253,2649,604
Insurance—
  Insurance, reinsurance, other transfers1,4802,5049682,605
International investment income—
  Interest, dividends, and other private investment income4,4478,9845,1069,234
  Interest on Government and local authority loans..4,806..5,711
          Totals, international investment income4,44713,7905,10614,945
Government transactions—
  Current expenditure by New Zealand Government overseas..7,636..8,988
  Current receipts by New Zealand Government and expenditure by other Governments in New Zealand2,412 2,472 
          Totals, Government transactions2,4127,6362,4728,988
Miscellaneous current transactions—
  Commissions, royalties, rebates, etc.9642,7621,0432,991
  Films and entertainments..1,139..1,197
  Unilateral transfers (immigrants' transfers, personal remittances, charitable, legacies, etc.)7,4328,4227,64110,184
  Expenses of business firms1,0164,0257224,334
  Other current transactions5821,4986981,757
          Totals, miscellaneous current transactions9,99417,84610,10520,462
Capital transfers—
  Private6,9422,68011,4813,077
  Government41,7497,81810020,210
  Bank drawings on Australian Bank Credit7,455....7,455
  Local authority..1,091..506
          Totals, capital transfers56,14611,58911,58231,247
Cook Islands exports or imports5220720187
Unidentified161..58..
          Grand totals355,466329,067353,072341,321

PUBLIC FINANCE

Consolidated Fund (pp. 790–794).—The following table contains a summary of the receipts and payments of the Consolidated Fund for the financial years ended 31 March 1959 and 1960.

£(000)
1958–591959–60

* Excludes £933,000 in 1958–59 and £2,326,000 in 1959–60 of duty on motor-spirits refunded under the Transport Amendment Act 1958; this comprises refunds to persons entitled to exemption from the additional payment of Customs duty from 27 June 1958.

Includes social security income tax and also £2,420,000 social security charge on 1957–58 income.

* See footnote on page 1282.

Receipts
Taxation204,830*276,446
Interest on capital liability—
  Post Office2,4362,654
  Electric supply6,0306,559
  Housing and Housing Construction1,6161,697
  Land settlement2,0872,131
  New Zealand National Airways Corporation7495
Interest on other public moneys1,5421,840
Profits on trading undertakings3,7483,355
Departmental receipts18,01420,070
        Totals, receipts240,377*314,848
Payments
Permanent appropriations—
  Civil list176194
Debt services—
    Interest27,27728,759
    Amortization8,8449,343
    Administration and management1,299333
  Superannuation (subsidy and contribution)4,8524,971
  Miscellaneous575*952*
          Totals, permanent appropriations43,025*44,553*
Annual appropriations—
  Legislative265269
  Prime Minister's Office2224
  External Affairs2,2932,665
Finance—
    Treasury398524
    Stabilization12,94012,601
    Customs621643
    Inland Revenue1,8241,992
    Audit233251
        Totals, finance16,01516,012
General administration—
    Public Service Commission137152
    Internal Affairs2,7142,204
    Island Territories9521,534
    Printing and Stationery1,4091,609
    Marine664748
    Labour2,0211,819
    Maori Affairs9921,054
    Valuation424432
    Statistics227226
    Rehabilitation960917
        Totals, general administration10,50110,695
Law and order—
    Justice1,9762,224
    Crown Law3039
    Police3,0313,298
        Totals, law and order5,0365,562
Defence—
    Navy3,9204,326
  Army5,9436,585
    Air6,1406,214
    Defence construction and maintenance1,7902,097
        Totals, defence17,79319,222
Maintenance—
  Public works and services10,69411,509
  Roads2,3092,026
Development of primary and secondary industries—
  Lands and Survey2,0412,114
  Forest Service2,7472,951
  Agriculture10,2745,661
  Industries and Commerce494528
  Tourist and Publicity1,0681,162
  Scientific and Industrial Research1,6581,812
  Mines197130
  Transport706751
  Civil Aviation and Meteorological Services3,6783,441
        Totals, development of primary and secondary industries22,86418,550
Social services—
    Health7,5868,335
    Public hospitals15,77417,205
    Education36,14539,445
    War and other pensions10,96211,576
    Contribution to Social Security Fund24,600106,500
        Totals, social services95,067183,060
        Totals, annual appropriations182,858269,594
Unauthorized expenditure7270
Transfer to Defence Fund9,000..
Transfer to Public Works Account5,000..
        Totals, payments239,955*314,217*
Surplus or deficit from current year's operations+422+ 631
Balance in Fund at end of year7,4078,038

Taxation (pp. 800–801).—Particulars of revenue from taxation for the financial years 1957–58, 1958–59, and 1959–60 are contained in the following table.

£(000)
Item of Revenue1957–581958–591959–60

* See footnote on page 1282.

Includes social security income tax and also £2,420,000 social security charged on 1957–58 income.

Consolidated Fund—
  Customs31,98239,099*41,090*
  Beer duty7,02011,25813,350
  Sales tax24,22225,75124,241
  Film-hire tax150169166
  Mileage tax..82190
  Stamp duties and racing taxation7,4517,1937,625
  Death (including gift) duties9,00310,42612,335
  Land tax1,3081,4481,526
  Income tax77,787109,406175,923
        Totals158,925204,830*276,446*
Social security taxation—
  Social security charge66,256....
  Social security charge 1957–58 income..10,366..
  Social security income tax..70,249..
National Roads Fund taxation—
  Highways revenue (less rebates)19,70119,79820,842
        Grand totals244,882305,243*297,288*

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
 £(000)£s. £(000)£s.
1949–5080,186421259.2135,556721
1950–5195,208491360.3157,947827
1951–52121,71462360.7200,5501028
1952–53124,209611662.2199,770998
1953–54130,51763663.4206,8021006
1954–55144,492681261.5234,76611110
1955–56150,60970161.5244,82911317
1956–57159,753721663.2252,8521155
1957–58144,04364358.8244,8821091
1958–59190,021821362.1305,24313216
1959–60175,92375059.2297,28812615

State Indebtedness (pp. 824–825).—The public debt as at 31 March 1960 amounted to £844,516,000, an increase of £27,964,000 as compared with a year earlier. Of the 1960 debt figure, £117,764,000 was held in the United Kingdom, £18,965,000 in the United States of America, and £707,787,000 in New Zealand.

SOCIAL SECURITY AND WAR PENSIONS (pp. 207–238)

Receipts of the Social Security Fund for the year ended 31 March 1960 consisted of a contribution of £106,500,000 from the Consolidated Fund. Included in this amount was £2,419,663 received as social security charge on 1957–58 income. Miscellaneous receipts totalled £233,430 making the total receipts of the Fund £106,733,430.

Payments from the Fund in 1959–60, with 1958–59 payments in parentheses, were: Monetary benefits, £83,843,190 (£69,438,209) including emergency benefits and supplementary assistance, £1,204,439 (£1,106,273); medical, etc., benefits £19,891,627 (£18,655,375); administration expenses, £1,522,130 (£1,360,302); Family Benefits (Home Ownership) Act 1958—advances under section 4 (1), £3,879,889 (nil); other payments, £57,498 (£9,482). Total payments from the Fund were therefore £109,194,334 (£89,463,368). The balance in the Fund at the end of March 1960 was £18,140,487.

Particulars of the various social security benefits (monetary and health) and war pensions in force at the end of March 1960, together with total payments during the financial year 1959–60, are shown in the following table.

Class of Benefit or PensionAs at 31 March 1960Payments During Year Ended 31 March 1960
Number in ForceAnnual Value
Social security benefits—
  ££
Monetary—
    Superannuation87,95913,693,01615,460,047
    Age116,07726,254,84727,291,008
    Widows'13,0493,792,4333,915,785
    Orphans'27740,99939,441
    Family343,19329,178,26831,791,986
    Invalids'8,0242,026,3712,118,411
    Miners'353108,635112,832
    Sickness4,064..1,719,343
    Unemployment312..189,898
    Emergency3,536..931,429
    Supplementary assistance5,525276,848273,010
        Totals582,369 83,843,190
Medical—
    Medical....4,243,361
    Hospital....5,650,253
    Maternity....1,561,861
    Pharmaceutical....5,956,302
    Supplementary....2,479,850
        Totals....19,891,627
War pensions—
    First World War14,8903,291,2853,390,183
    Second World War24,4302,790,5902,837,898
    War Veterans' Allowances12,9615,068,7194,927,681
    South African War215,5815,502
    Mercantile Marine243,5493,852
    Emergency Reserve Corps92,2432,149
    K Force20918,30817,701
    War Pensions Supplementary Assistance1279,3109,580
        Totals52,67411,189,58511,194,546
Sundry pensions and annuities62083,59386,733
        Grand totals635,663..115,016,096

PRICES

Retail Prices (pp. 987–992).—Details of the consumers' price index for the calendar year 1959 and for the quarter ended 31 March 1960 are given below.

CONSUMERS' PRICE INDEX

(Revised Series)

Base: Weighted average twenty-one towns, 1955 (= 1000)

Calendar Year 1959Quarter Ended 31 March 1960
Food—
  Meat and fish11711167
  Fruits, vegetables and eggs10731042
  Other foods10311037
        All foods10771071
Housing—
  Rent11971214
  Home ownership12531289
        All housing12361266
Household operation—
  Fuel and light11291133
  Home furnishing10731088
  Domestic supplies and services10911113
        All household operation10941108
Apparel—
  Clothing10181027
  Footwear11641215
        All apparel10411056
Transportation—
  Public transport11751201
  Private transport12661231
        All transportation12401223
Miscellaneous—
  Tobacco and alcohol13961298
  Other supplies11061123
  Other services12161245
        All miscellaneous12731237
All groups11461145

Share Prices (pp. 1003–1005).—Index numbers of share prices in 1959, together with the average for the year ended March 1960, are given below.

GroupIndex Numbers Base Average for Each Group, 1938 (= 1000)
Average for 1959Average for Year Ended March 1960
Frozen meat43784483
Woollens20672248
Gas699723
Timber14541463
Minerals12521310
Miscellaneous (including breweries)17361946
          All industrial groups18121947
Banks16371713
Insurance30093241
Loan and agency34213676
Miscellaneous25362763
          All finance, etc., groups25442731
          All groups combined21782339

Monthly statistics for the first five months of 1959 and of 1960 are given below.

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

19591960
Industrial GroupsFinance GroupsAll GroupsIndustrial GroupsFinance GroupsAil Groups
January157322641919215230842618
February160823041956214230172579
March163522511943214429622553
April166522941979219130072599
May168923302009242330672745

Terms of Trade (p. 1003).

INDEX NUMBERS OF IMPORT AND EXPORT PRICES AND TERMS OF TRADE, BASE: 1957 (= 100)*

YearImport Price IndexButterCheeseMeatWoolAll Exports
Export Price IndexTerms or TradeExport Price IndexTerms of TradeExport Price IndexTerms of TradeExport Price IndexTerms of TradeExport Price IndexTerms of Trade

* Now presented on base calendar year for arithmetical convenience.

I.e.—Purchasing power (in units of imports) of 100 units of exports.

195594133141132140981049298104111
19569710811117117696999194102105
1957100100100100100100100100100100100
19581008686120120959571718585
1959971271311731788891767898101
1st quarter 195999103104178180949568699192
2nd quarter 1959981301331801848890767898100
3rd quarter 19599713513918419082858891104107
4th quarter 19599413614516417480858388100106

LABOUR STATISTICS

Wage-rates (pp. 1044–1048).—Index numbers of average nominal weekly wage-rates of adult male and adult female wage-earners in 1958 and 1959, and of adult male wage-earners as at 31 March 1960, are as follows.

Industrial GroupBase: All Groups 1954 (= 1000)
Adult MalesAdult Females
Average for YearAs at 31 March 1960Average for Year
1958195919581959
Provision of—
  Food, drink, etc.11871212126710161028
  Clothing, footwear, and textiles11021125117111001118
  Building and construction107010931147....
  Power, heat, and light104610621105....
  Transport by water and air130513401405....
  Transport by land112211471195....
  Accommodation, meals, and personal service10841098115012331254
Working in or on—
  Wood, wicker, seagrass, etc.113111581210....
  Metal118412041261....
  Stone, clay, glass, chemicals, etc.106510871130....
  Paper, printing, etc.12091227129510721090
  Skins, leather, etc.106510791133....
  Mines and quarries113011441196....
  The land (farming pursuits)9899941025....
        All groups combined11161136118611281146

Effective Weekly Wage Rates (p. 1049).—The following table shows nominal and effective weekly wage rates of adult workers for the years 1958 and 1959, and of males only for the first quarter of 1960. 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
1958113211161128986996
1959117511361146967975
1960—
  March quarter11741186..1010..

Average Rates of Wages (pp. 1050–1053).—The following table gives the prescribed minimum average weekly wage rates as at 31 March 1960, the series being confined to adult males.

OccupationAverage Wage (Four Principal Districts) at 31 March 1960
Adult Males
Bakers—s.d.
Journeymen2673
Labourers2258
Butchers—
  First shopmen2822
  Second shopmen26211
Butter-factory employees—
  Churning and butter making: Others2548
Flourmilling—
  Kilnmen2587
  Assistant smuttermen2452
  Rollermen2835
Meat freezing—
  Slaughtermen, per 100 sheep1184
  Workers not otherwise specified2770
Meat preserving—
  Boners3309
  Others2853
Sausage-casing making: Workers not otherwise specified2957
Aerated water and cordial making-Cordial makers2381
  Others22711
Brewing: Others2605
Tailors—
  Journeymen2574
  Stock cutters (Factory)2574
Footwear manufacturing workers2605
Woollen mills—
  Spinners2688
  Others24110
Building—s.d.
  Bricklayers2700
  Carpenters and joiners2734
  Plasterers2756
  Plumbers2850
  Builders' labourers2417
  General labourers2233
Sawmilling—
  Sawyers2839
  Tailers-out25911
  Yardmen, head2780
  Workers not specified2553
  Boatbuilding: Shipwrights2760
Metal works, etc.—
  Boilermakers, journeymen2668
  Iron and brass moulders2698
  Tinsmiths, journeymen2784
  Engineering fitters, etc.2800
  Electrical wiremen2775
  Motor mechanics27311
Printing—
  Linotype operators (day)2894
  Letterpress machinists (day)2790
Skin and leather workers-Curriers2550
  All other workers2279
Mineral and stone workers—
  Flangers and moulders25711
  All other workers2346
Mining (coal)—
 s.d.
  Surface: Tippers2831
  Miners (on day wages, per shift)565
  Truckers2545
Quarrymen2250
Agricultural and pastoral workers—
  General farm hands1683
  Threshing-mill: Other workers, per hour511
  Ploughmen1683
  Shearers (per 100 sheep shorn)626
  Shepherds1683
  Wool pressers2512
  Dairy-farm workers2056
Railways—
  Engine drivers, average third and sixth years3071
  Firemen, average second and ninth years2750
  Guards, average first and third years2939
Tramways—
 s.d.
  Drivers2626
  Conductors (after six months)2532
Shipping and cargo working—
  Assistant stewards, first grade2435
  Assistant stewards, second grade2394
  Chief cooks2976
  Second cooks2695
  Able seamen2614
  Ordinary seamen, 18 years or over1992
  Waterside workers: Ordinary cargo2834
Hotel workers—
  First cooks2557
  Waiters1838
Miscellaneous—
  Retailing of apparel: Shop assistants2561
  Grocers' assistants2491
  Warehouse storemen2442

NOTE.—The following perquisites (as assessed for statistical purposes), as at 31 March 1960, should be added to the listed occupations: General farm hands, ploughmen and shepherds, 42s. 6d., and dairy-farm workers, 42s. 6d. per week for board and lodging; shearers and wool pressers, 8s. per day for rations; assistant stewards (first and second grade), chief and second cooks, able and ordinary seamen, 54s. 5d. per week as value of board and lodging; and hotel first cooks and waiters, 54s. 6d. per week as value of board and lodging.

Estimated Distribution of the Labour Force (p. 1061).—The following table supplies an estimated distribution of the total labour force at 15 October 1959 and 15 April 1960.

(000)
Industrial GroupMalesFemalesTotals
October 1959April 1960October 1959April 1960October 1959April 1960
Primary industry134.5133.410.810.9145.3144.3
Manufacturing industry160.6171.650.051.5210.6223.1
Power, water, and sanitary services11.911.80.80.812.712.6
Building and construction80.981.51.51.582.483.0
Transport and communication73.574.510.210.183.784.6
Distribution and finance97.098.748.149.4145.1148.1
Domestic and personal services19.920.324.725.444.645.7
Administration and professional64.366.061.161.9125.4127.9
        Totals, in industry642.6657.8207.2211.5849.8869.3
Armed forces10.612.00.60.511.212.5
Unemployed1.00.60.10.11.10.7
        Totals, labour force654.2670.4207.9212.1862.1882.5

Half-yearly Surveys of Employment (pp. 1062–1065).—Following is a summary of the employment statistics as returned for 15 April 1960. These statistics are provisional.

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)10,637152,93911,78453,74355,18872,54311,72652,216420,776
Male working proprietors48110,396117,3172,25211,4183,61754836,040
Female employees (full-time)29247,2658391,2839,33239,85014,29650,195163,352
Female working proprietors81,378....1074,2052,3452108,253
Number of establishments63412,7082676,5072,68416,3844,8414,00848,033

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

Food, Drink, and TobaccoTextiles, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and Metal WorkingMiscellaneous Manufacturing
Male employees (full-time)35,06612,73926,30556,31322,516
Male working proprietors1,1351,1972,0104,9391,115
Female employees (full-time)7,28424,0151,8675,9788,121
Female working proprietors46253146215124
Number of establishments1,7171,8322,5285,1761,455

Limitations in the coverage of the figures shown above are noted on page 1062.

Summary of Vacancies, Placements, and Disengaged Persons.—This table gives additional figures to those presented on page 1070.

Vacancies at End of MonthPlacements During MonthDisengaged Persons at End of Month
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
* From and including May 1959 vacancies notified by Railways Department were reduced following a assessment of their staffing requirements.
Monthly average over calendar year—
  19584,4072,7287,1358904061,29673352785
  1959*3,0462,2545,3001,0253891,4141,096921,188
Monthly total—
  1960         
    January3,5252,1975,7229185441,46284593938
    February3,7242,3156,0391,1019352,03661087697
    March3,6532,4606,1139294381,36759035675
    April3,6582,4886,1466973051,00258064644
    May3,6932,5436,2368122571,06968577762

TRANSPORT

Shipping and Cargo Handled (pp. 370–385).—Statistics of entrances and clearances of vessels in the foreign trade in 1958 and 1959, 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
19581959
Entrances—
Overseas—
  Number of vessels929883
  Net tonnage4,053,7684,027,125
Clearances—
Overseas—
    Number of vessels911903
    Net tonnage3,974,2924,114,739
Total calls made—
Overseas—
    Number of vessels2,9772,875
    Net tonnage11,879,34212,699,652
Coastal—
    Number of vessels12,73510,999
    Net tonnage4,793,3644,972,529
Total—
    Number of vessels15,71213,874
    Net tonnage16,672,70617,672,181
Tonnage of cargo handled—
  Inwards7,124,6746,674,316
  Outwards3,683,0603,842,680
  Transhipped296,564255,266
Total manifest tonnage11,104,29810,772,262

Statistics of shipping movement and cargo handled at New Zealand ports in 1958 and 1959 are given below.

(000)
Total Shipping MovementTotal Cargo Handled
1958: Net Tonnage1959: Net Tonnage1958: Tons1959: Tons
Auckland7,6467,8583,3093,092
Wellington8,4038,8102,5652,238
Lyttelton5,8006,0161,3791,296
Dunedin2,4772,644556546
Tauranga7681,013399570
Other ports8,2369,0802,8963,030
        Totals33,33035,42111,10410,772

Railway Transport (pp. 386–397).—Summarized statistics of railway transport in the years ended 31 March 1958, 1959, and 1960 follow.

UnitYear Ended 31 March
195819591960
* Including road motor and other subsidiary services.
Passenger journeys—
  Railways(000)24,81725,43726,134
  Railway road motor services(000)19,71420,03221,201
Tonnage of goods carried—
  TimberTons (000)1,2581,4681,572
  LivestockTons (000)621643657
  Other goodsTons (000)8,4548,2568,316
  TotalsTons (000)10,33210,36710,545
Net ton-miles runMillions1,1511,1581,172
Revenue—
  Railway operation£(000)30,01029,823 
  Total*£(000)34,44334,37334,937
Expenditure—
  Railway operation£(000)31,06430,505 
  Total*£(000)35,58835,13735,500

Road Transport (p. 412).—Statistics of motor vehicles licensed at 31 March 1959 and 1960 are as follows.

ClassAs at 31 March
19591960
Cars480,381502,574
Trucks—
  Light50,23549,724
  Heavy67,46669,686
Contract vehicles1,7301,679
Omnibuses2,2682,317
Taxis2,4422,445
Rental cars2,2342,225
Private-hire cars184174
Service cars673628
Trailers91,283100,855
Vehicles exempted from payment of licence fees (other than exempted Government-owned vehicles)52,85257,224
Government vehicles16,86216,683
Motor cycles26,62426,874
Power cycles9,5449,937
    Totals804,778843,025
Dealers' cars3,2213,054
Dealers' motor cycles200152
    Grand totals808,199846,231

EDUCATION (p. 178)

The following table shows the number of scholars and students receiving instruction in the educational institutions of New Zealand during the years 1958 and 1959. Registered private schools are included.

19581959

* Exclusive of students taking part-time courses with the Correspondence School, 1,503 in 1958, and 1,844 in 1959.

Includes 714 students taking short courses at the agricultural colleges in 1958 and 523 in 1959.

Primary schools430,686440,542
Post-primary schools94,595*107,749*
Technical classes (part-time)42,01045,562
Universities13,59514,911
Teachers' training colleges3,4243,675
        Totals584,310612,439
Kindergartens13,92814,807

RETAIL TRADING STATISTICS (pp. 705–708)

Values of quarterly sales or turnover for all stores, corrected for seasonal fluctuations and for price and population changes, are shown in the following table.

REVISED QUARTERLY SALES OR TURNOVER—ALL STORE TYPES*

Quarter EndedIn Current £sIn Constant 1957–58 £sIn Current £sIn Constant 1957–58 £s
As RecordedSeasonally CorrectedBefore Seasonal CorrectionSeasonally CorrectedAs RecordedSeasonally CorrectedBefore Seasonal CorrectionSeasonally Corrected
ValueIndexValueIndexValueIndexValueIndex

* For a description of this series see supplement to April 1960 Monthly Abstract of Statistics.

Base: Average quarterly values during the year ended March 1958 (= 1000).

 total turnover £(m) total turnover £(m) turnover per head of population £ turnover per head of population £ 
1954—Mar93.7100.281999.6106.587145.048.188347.951.2940
      Jun102.9103.9850107.2108.288549.249.791351.351.8951
      Sep102.3105.6863107.1110.690448.850.392451.152.7968
      Dec120.2107.9882125.4112.792256.951.193859.453.4981
1955—Mar100.8107.7881105.0112.291747.450.793149.452.8970
      Jun108.1109.1892111.7112.892250.751.193852.452.9972
      Sep108.2111.6913111.3114.993950.552.195752.053.6984
      Dec123.9111.39101281115.194157.551.694859.453.4981
1956—Mar104.9112.0916108.1115.594448.351.694849.853.2977
      Jun111.2112.2917113.6114.793851.151.694852.252.7968
      Sep110.1113.7930110.7114.293450.452.095550.752.3961
      Dec128.7115.6945129.7116.595358.552.696659.053.0973
1957—Mar109.7117.2958112.1119.898049.552.997250.654.1994
      Jun118.3119.4976119.3120.598553.253.798653.654.1994
      Sep117.3121.1990117.4121.299152.454.199452.554.2995
      Dec136.7122.81004136.3122.5100260.754.5100160.554.4999
1958—Mar117.8125.91029117.0125.0102251.955.5101951.655.11012
      Jun127.1128.41050125.4126.6103555.856.3103455.055.61021
      Sep120.1123.91013116.0119.797952.554.199450.752.3961
      Dec135.7121.9997130.3117.095758.852.997256.550.7931
1959—Mar110.8118.4968106.5113.893047.751.093745.949.0900
      Jun123.6124.81020118.8119.998053.153.698451.051.5946
      Sep123.3127.31041117.6121.499352.854.5100150.352.0955
      Dec145.1130.31065138.5124.4101761.755.4101758.952.9972
1960—Mar129.4138.31131123.5131.9107854.758.5107452.255.81025

MISCELLANEOUS STATISTICS

Radio Licences (p. 447).—The number of radio licences in force for receiving stations on 31 March 1960 was 577,403, and for all classes of radio licences 583,214, compared with 567,164 and 573,000 respectively at 31 March 1959.

Horse Racing (p. 819). —The number of racing days in the calendar year 1959 was 378. Totalizator turnover totalled £43,717,000 in 1959 (£46,283,000 in 1958) while Government taxation totalled £4,037,000 in 1959 (£4,276,000 in 1958).

Land Transfers (pp. 453–457).—Transactions under the Land Transfer Act showed increases in both number and consideration. The average amount per transaction (town and suburban properties) in 1959–60 was £2,102, as compared with £2,036 in 1958–59 and £2,125 in 1957–58.

Year Ended 31 March
195819591960
Town and suburban properties—
  Number 42,18341,85445,125
  AreaAcres10,39110,28310,999
  Consideration£(000)89,64185,21694,866
Country properties—
Freehold—
    Number 7,7036,7967,204
    AreaAcres (000)1,4401,0721,264
    Consideration£(000)46,11339,61944,576
Total freehold and leasehold—
    Number 8,3907,2997,730
    Consideration£(000)50,06042,40047,859
All properties: total consideration£(000)139,701127,616142,725

Mortgages (pp. 898–908).—Particulars of gross totals of mortgages registered and discharged during the last three financial years are shown below. Mortgage registrations have again shown an increase in number, and the increase of £11,819,000 in the total amount of consideration is comparable with the increase of £8,332,000 in 1958–59. Mortgages discharged have also shown increases both in number and amount of consideration.

Year Ended 31 MarchRegistered*Discharged*
NumberAmountNumberAmount
* Inclusive of duplicate registrations and discharges.
  £ £
195855,468100,855,00037,44646,088,000
195956,218109,187,00036,92544,418,000
196057,867121,006,00039,93551,758,092

Justice.— Prisoners in gaols at end of calendar year (p. 265): 1958, 1,695, or 7.32 per 10,000 of population; 1959, 1,746, or 7.40 per 10,000 of population.

Registration of Aliens (p. 65).—The number of aliens on the register at 1 April 1960 totalled 27,643 (17,072 males, 10,571 females), compared with 1 April 1959 figures of 27,975 (17,467 males, 10,508 females).

Naturalizations (p. 64).—The number of certificates of naturalization issued to former aliens during the year ended 31 March 1960 was 1,017, compared with a total of 1,049 in the previous year. Certificates of registration as a New Zealand citizen were granted to 735 citizens of other countries of the Commonwealth or former aliens (794 in 1958–59), and 301 certificates of registration (366 in 1958–59) to minor children (either citizens of other countries of the Commonwealth or former aliens).

Appendix C. PUBLICATIONS OF THE NEW ZEALAND DEPARTMENT OF STATISTICS

Table of Contents

[Obtainable from the Government Printer, Corner of Rutland and Lome Streets (P.O. Box 5344) Auckland; Lambton Quay, Wellington; and 130 Oxford Terrace (P.O. Box 1721), Christchurch]

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

* £2 10s. a year (post free).

* Not yet published.

   s.d.
Annual Report of the Department of Statistics (H. 39)1960July 196010
New Zealand Official Year-Book1960August 1960176
Pocket Digest of New Zealand Statistics1960April 196036
Annual Statistical Reports:
  Balance of Payments1958–59October 195956
  External Trade Statistics, Report on and Analysis of1958May 1960156
  Farm Production Statistics1958–59June 1960116
  Income and Income Tax Statistics for the Income Year1956–57February 196096
  Industrial Accidents Statistics1958March 196076
  Industrial Production Statistics1957–58November 1959300
  Insurance Statistics1958–59February 196056
  Justice Statistics1958November 1959106
  National Income and Expenditure1958–59September 195946
  Special Supplement: The Accounts of the Government Sector1955–56 to 1958–59May 196066
  Population, Migration, and Building Statistics1958–59November 195996
  Prices, Wages, and Labour Statistics1958December 1959136
  Shipping and Other Transport Statistics1959June 196086
  Vital Statistics1959July 196076
Inter-Industry Study of the New Zealand Economy1954–55June 195956
Local Authorities Handbook of New Zealand1957–58September 1959176
Monthly Abstract of Statistics*  50
  Supplements:
    Census of Distribution (December Abstract)1958December 1958..
    Changes in Age Distribution of New Zealand Male Population (September Abstract)..October 1958..
    Compound Interest Tables (October Abstract)..November 1959..
    Factory Production Statistics (March Abstract)1958–59April 1960..
    Industrial Classification of Salary and Wage Payments (May Abstract)1958–59June 1960..
    Livestock Numbers and Other Farm Statistics (February Abstract)1959March 1960..
    Manufacturers' Stocks (February Abstract)Mar. QuarterJuly 1960..
    National Income and Expenditure (August Abstract)1958–59September 1959..
    New Zealand Prices and Wages Index Numbers 1913–1957 (April Abstract)..May 1958..
    Normal Seasonal Variation of Temperature in New Zealand (March Abstract)..April 1959..
    Retail Trading Statistics (Quarterly Issue)Mar. QuarterJune 1960..
    Survey of Dairy Farmers' Incomes (May Abstract)1957–58June 1959..
    Survey of Sheep Farmers' Incomes (March Abstract)1957–58April 1960..
    Survey of Town Milk Producers' Incomes (May Abstract)1957–58June 1959..
  Special Supplements:
    Consumers' Price Index, 1955 Revision (November Abstract)..December 195630
    New Zealand Tables of Working Life (February Abstract)1951March 195720
Agricultural and Pastoral Statistics of New Zealand, 1861–1954..July 195620
Final Report on the Census of Farm Production1949–50May 1956116
Volumes of 1956 Census Results:
Vol. I. Increase and Location of Population1956March 1958166
  Vol. II. Ages and Marital Status1956February 1959176
  Vol. III. Religious Professions1956February 195956
  Vol. IV. Industries and Occupations1956January 1960196
  Vol. V. Incomes1956June 195956
  Vol. VI. Birthplace and Duration of Residence of Overseas-born1956May 195946
  Vol. VII. Race1956October 195956
  Vol. VIII. Maori Population and Dwellings1956April 1960136
  Vol. IX. Dwellings and Households1956April 1959126
  Vol. X. General Report (including Details of War Service, Dependent Children, and Usual Place of Residence)*1956*..
  Appendix A. Census of Poultry1956February 195846
  Interim Returns of Population and Dwellings1956November 195646
Census of Distribution, 19581958August 1959106
Census of Libraries, 19591959March 196076

INDEX (DETAILED)

A

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.
Abortion, 113, 124, 130, 136.
Accident Fund, 589.
Accident Insurance, 589, 936–941, 1218.
State, 950–951.
Accidents—
Aircraft, 115, 132.
Cases Treated in Hospitals, 132.
Causes of, 1111.
Deaths from, 73, 109, 114–116, 121, 397, 420, 587, 1109–1111, 1113–1116.
Farming, 116.
Frequency Rates, 1106–1107.
Industrial, 1100–1116.
Mining, 116, 587, 1108, 1109, 1115.
Motor-vehicle, 73, 109, 114, 115, 121, 417–421.
Railway, 115, 132, 397, 419.
Time Lost Through, 1113.
To Port Workers, 1119.
Tramway, 115, 419.
Transport, 114, 115, 132, 419–421.
Acclimatization of Fishes, 7, 583.
Accommodation Licences, 1170–1174.
Accommodation, Subsidized, 160–161.
Accounts of the Government Sector, 735.
Accounts, Public, 787–800.
Accounts, Sector, and Inter-Industry Studies, 736–763.
Acreage and Yield of Crops, 504–522, 1200.
Acreage of Holdings, 449–450.
Acts Passed in 1959, 1177–1179.
Added Value in Manufacturing, 599–605, 617–619, 622, 623, 624, 628–644, 1208.
Administration, 32–34.
Cook Islands, 1128–1129.
Niue Island, 1133.
Western Samoa, 1136–1137.
Adolescent Dental Service, 141.
Adoptions, 85.
Adult Education, 203–204.
Adultery, 92, 95.
Advances—
Bank, 864, 866–872, 1213.
Bank Control Policy, 870–872.
Building Societies, 915–919.
Rural, 458, 908–914.
State (see State Advances and State Aid).
Advertisements, Medical, 137–138.
Advertising by Radio, 442–447.
Aerated Water and Cordial Industry, 602, 632.
Aerial Surveys, 427, 472.
Aerial Work Operations, 426–427.
Aero Clubs, 430.
Aerodromes, 278, 430.
Afforestation, 553–561, 565.
Companies, 553, 565.
Age Benefits, 209, 210, 211–213x, 228, 1010.
Age Distribution, 54.
Ages of—
Cancer Decedents, 112.
Infants Dying, 103–104, 122.
Injured Employees, 1111.
Inmates of Mental Hospitals, 166.
Maoris Dying, 119, 122.
Migrants, 58.
Mothers or Parents, 80, 81, 83, 84.
Offenders Probationed, 261.
Patients in Public Hospitals, 128.
Persons Dying, 98–100, 119, 122.
Persons Married, 89–91.
Population, 54.
Prisoners, 266.
Public School Pupils, 184, 186.
Tubercular Decedents, 110.
Aggregation of Incomes, 961–962.
Agricultural and Pastoral Production, 481–532, 1200, 1201.
Persons Engaged in, 1077.
Value of, 481–487.
Volume of, 483, 488.
Agricultural Aviation, 426–427, 460.
Agricultural Machinery, 503–504, 605, 644.
Imports of, 354.
Agricultural Produce—
Consumed Locally, 485, 692–694.
Exported, 312, 314, 330, 333, 334, 485.
Gross Farming Income, 481–484.
Agricultural Workers Act, 1024–1026.
Agriculture, 481–504.
Department of, 496–497.
Occupational Safety, 1125.
Research in, 497–500, 510, 511, 522.
Aids, Artificial, 227–228, 229.
Aids, Nursing, 148.
Air Force, 277–279, 280, 281.
Casualties, 281.
Expenditure on, 279, 793.
Air Mails, 423–429, 432–433.
Air Pollution, 143.
Air Training Corps, 278.
Air Transport and Aviation, 277–279, 422–430.
Aircraft, 279, 422–430.
Accidents, 115, 132.
Licensing and Control, 422–430.
Aitutaki Island, 2, 1128, 1129.
Alcoholic Liquors—
Consumption of, 693.
Duty on, 361–364, 801, 803.
Exports of, 312, 314.
Imports of, 337, 345, 356.
Sale of, 1170–1174.
Alexander Turnbull Library, 1227.
Aliens, Naturalization and Registration of, 63–65, 1296.
Alps, 4–5.
Aluminium Industry, 598.
Ambassadors, 1192–1195.
Ambulance, St. John, 151.
Amortization of Debt, 156, 792, 795, 833–835, 849.
Amputees, 232.
Amusement Tax, 801, 819, 821, 1159–1162.
Angling, 583.
Animal Life, 14.
Animals, Noxious, 558, 562.
Anniversary Days, 1179.
Annual Holidays Act, 1018.
Annuities, 228, 238–241, 932.
Antarctic, New Zealand Activities in the, 1144–1146, 1227.
Ante-natal Services, 159.
Antimony Ore, 591.
Antipodes Islands, 2, 1127.
Anzac Day, 1019.
Apiaries or Apiculture, 517, 532.
Apparel, Duty on, 362.
Apples, 507, 519–520.
Consumption of, 692.
Exported, 312, 314, 330, 333, 334, 1205.
Fixation of Prices of, 539.
Marketing of, 539–540.
Apprentices, 283, 1059–1060.
Appropriation, Expenditure under, 792–793.
Arbitration (see Industrial Conciliation and Arbitration).
Area—
In Crops, 504–522, 1200.
In Cultivation, 450, 507–513.
Of Land Holdings, 449, 450.
Of New Zealand, 1–3, 55, 449.
Of Properties Transferred, 454–456.
Of Provincial Districts, 45.
Top-dressed, 516.
Armed Forces—
Casualties in, 281.
Demobilization of, 288.
Honours and Awards Conferred, 1185–1187.
Overseas at Census Dates, 39.
Pay and Allowances, 718, 727, 732, 733.
Serving Overseas, 272, 274, 276, 279.
Strengths of, 271, 273, 277, 279, 280, 1061.
Army, 274–277, 279–281.
Expenditure on, 277, 793.
Arrivals (see Migration).
Arson and Incendiarism, 947.
Art Galleries, 1166.
Art Unions, 1174.
Articles on Special Subjects in Previous Issues, 1226–1227.
Artificial Aids, 227–228, 229.
Artificial Limbs, 228.
Asbestos, 592.
Assessable Income, 953–976.
Assessment of—
Income Tax, 804–815, 953–971.
Land Tax, 815.
Land Values, 476–477.
Assets of—
Bankrupts, 1155, 1217.
Banks, 864, 866, 875–876, 885, 1213, 1280.
Building Societies, 919.
Companies, 977–978.
Electric-power Undertakings, 679.
Fire Insurance Companies, 942–943.
Friendly Societies, 246.
Life Assurance Companies, 935.
Local Government, 851–852, 1274.
Manufacturing Industries, 620–621.
Atafu Islands, 2, 3, 1142–1144.
Atiu Island, 2, 1127, 1129.
Auckland—
Broadcasting Stations, 443, 444.
Building Values, 662.
Climate, 11, 12.
Houses and Flats, New State, 664.
Population, 47, 48, 51.
Sales Tax Receipts, 822.
Shipping, 332, 358, 373, 376–380.
Trustee Savings Bank, 883, 884.
University of, 197.
Urban Transport, 401–403.
Auckland Islands, 2, 1127.
Audit of Expenditure, 787.
Australia—
Birth and Natural Increase Rates, 78.
Consumption of Foodstuffs, 691, 694.
Debt Domiciled in, 830, 855, 1210.
Libraries, 1165–1166.
New Zealand Representatives in, 1191–1192.
Population, Annual Average Increase, 41.
Prices in, 984.
Reciprocal Trade with, 366.
Representatives in New Zealand, 1193.
Social Security Reciprocity with, 207, 208, 209, 221.
Automobiles (see Motor Vehicles).
Aviation, Agricultural, 426–427, 460.
Aviation and Air Transport, 277–279, 422–430.
Awards, Cultural, 1166–1167.
Awards to Armed Forces Personnel, 1187.

B

Bachelors Marrying, 89.
Bacon and Ham, Consumption of, 692.
Bacon and Ham Curing, 602, 629.
Balance of Payments, 764–786.
Capital Account, 764–765, 770, 773, 775, 777, 779.
Current Account, 764, 767–769, 774, 776, 778.
Merchandise Transactions, 770–772.
Regional Accounts, 772–780.
Survey of Companies with Overseas Affiliations, 780–786.
Balance of Trade, 295.
Bananas, 541, 1130, 1132, 1135, 1141.
Consumption of, 692.
Imports of, 344, 356, 359.
Bank Notes, 861–866, 873–875, 894.
Denominations of, 875, 894.
In Circulation, 873–875, 889, 1213.
Bank of New Zealand, 826, 835, 865.
Banking and Currency, 861–897, 1213, 1214, 1279–1281.
Banking and Insurance Sector Account, 739–740, 746.
Bankruptcy, 1038, 1154–1158, 1217.
Banks, Overseas Assets of, 866, 875–876, 1280.
Banks, Savings—
Post Office, 880–883, 891–892, 1214, 1280.
School, 883.
Trustee, 883–885, 1280.
Barley, 507, 508, 509, 512, 522.
Beds, Hospital, 157, 158.
Beef—
Cattle, 527.
Cattle Farms, 529.
Chilled, 333, 334, 550, 551.
Consumption of, 691, 692.
Export of, 333, 334, 536.
Slaughterings for, 495, 628.
Beer—
Consumption of, 693.
Duty on, 361, 362, 364, 791, 801, 803.
Production of, 632.
Bees, 532.
Benefits, Social Security, 141, 170, 209–230, 714, 724, 727, 798.
Bentonite, 584, 592.
Beverages, Production of, 606–626, 632.
Bibliography—
General, 1228–1242.
New Zealand Flora and Fauna, 14.
Bills, Treasury, 824, 830.
Births, 71, 74–86, 1197.
Excess of, over Deaths, 44, 71–72, 77.
In Cook Islands, 1129.
In Niue Island, 1133.
In Western Samoa, 1138.
Of Maoris, 71, 117–118.
Biscuit Industry, 602, 631.
Bituminous Coal, 584–586.
Blind, Benefits for and Education of, 181, 216, 221 283.
Board of School Children, 192.
Board of Trade, 308–309, 360.
Bobby Calves, 495.
Boilers, Inspection of, 1120.
Bonds, National Savings, 824, 885–886.
Boroughs, 837–860.
Area of, 51–52.
Bridges in, 406.
Capital and Unimproved Values, 479.
Debt, 851, 854, 855, 1212.
Employees of, 860.
Housing, 650, 664, 845.
Mileage of Streets, 406.
Population, 51–52.
Borstal Institutions, 254, 257, 263, 268.
Boundaries of New Zealand, 1–3.
Bounty Islands, 2, 1127.
Bread, Price Fixation of, 979.
Bread Subsidy, 695.
Breeding Bulls, 527.
Breeding Ewes, 523–526.
Breeding Sows, 523, 524, 529.
Breweries, 602, 632.
Brick Production, 640.
Brides and Grooms, 88–91.
Bridges, 388, 406.
Bridle-tracks, 406.
Brigades, Fire, 562, 948.
British Countries, Representatives in New Zealand, 1193–1195.
British Nationality, 63.
British Phosphate Commission, 2, 835, 1147.
British Postal Orders, 435.
British Preference, 364–368.
British Sovereignty, 3.
British Trade Representatives, 1195.
Broadcasting, 442–448.
For Schools, 196, 445.
Time Signals, 445, 1176.
Bronze Coinage, 892.
Building, 645–665.
Persons Engaged in, 1061, 1063, 1064.
Wages and Hours Worked of Employees, 1050, 1056.
Building and Construction Sector Account, 739, 744.
Building and Housing Construction and Tenancy, 645–668, 908–915.
Group Building Scheme, 648.
Building Costs, 645, 658.
Building Materials, 646–647.
Imports of, 339, 647.
Building Permits, 659–665, 1272.
Building Societies, 915–919.
Deposits, 892, 917, 919.
Buildings, Education, 182–183.
Bulk Purchase Agreement, 538.
Bullion, Exports of, 311, 313, 333, 334, 1204.
Bullion Production, 7, 590.
Burials, 96, 138.
Bursaries—
Dental, 141, 199.
Department of Health, 135.
Ex-servicemen's, 199, 284.
Ex-servicemen's Children, 234, 284.
Medical, 199.
Physical Education, 194.
Post-primary Teachers', 194.
Secondary Schools, 191.
Technical Schools, 191.
University, 198–200.
Bush, 14, 451, 553–560.
Bushel Units, Weights of, 507.
Business, Census of, 696–705.
Business Failures, 1038, 1154–1158, 1217.
Business Loans, 285–288, 911–913.
Butter (see Dairy Produce).
Butterfat Production, 490–492, 629, 1207.
Butterfat Yields, 490, 491.

C

Cabinet, 33.
Cable Tramway, 403.
Cables, Ocean, 438.
Cadets—
Army, 276.
Navy, 273.
Calf-skins Exported, 312, 313, 328, 333, 334, 1206.
Calves Slaughtered, 495.
Campbell Island, 2, 38, 1127.
Camps, Health, 139, 151.
Canada—
Consumption of Foodstuffs, 691, 694.
Exchange Rate with, 896.
Libraries, 1165–1166.
New Zealand Representatives in, 1192.
Population, Annual Average Increase, 41.
Prices in, 984.
Reciprocal Trade with, 367.
Representatives in New Zealand, 1193.
Canadian Pacific Air Lines, 429.
Cancer, 73, 109, 110–112, 121, 129, 170.
Candle and Soap Industry, 604, 638.
Canned and Preserved Meats, Production of, 628.
Canned Fish—
Exports of, 581.
Imports of, 344, 356.
Canned Fruits—
Consumption of, 692.
Imports of, 344, 356.
Production of, 632.
Canned Meat Exported, 312, 313, 325, 333, 334.
Canned Vegetables—
Consumption of, 692.
Exports of, 312, 314, 333, 334.
Production of, 632.
Canterbury Agricultural College, 176, 178, 200.
Capital—
Expenditure of Government, 794.
Invested in Electric-power Undertakings, 674–678.
Invested in Manufacturing Industries, 620–621.
Invested in Railways, 387, 1216.
Invested in Telegraph Construction, 435.
Invested in Telephone Construction, 437.
Invested in Urban Transport, 400, 401, 402, 404.
Of Banks, 861, 865.
Of Joint-stock Companies, 919–922.
Capital Formation, 715–722.
Capital Issues Control, 872.
Capital Sector Account, 740, 749, 750.
Capital Transfers, 877, 878.
Capital Value of Land, 475–480.
Rating on, 842–844.
Capitation Scheme, Social Security, 223.
Cargo Carried by Air Transport, 423–429.
Cargo Handled at Ports, 370–382, 1292–1293.
Carnegie Corporation, 203.
Carpets and Rugs, Imports of, 347.
Carton, Paper Bag, etc., Industry, 636.
Casein Exported, 312, 313, 329, 333, 334.
Casein Produced, 492, 629.
Cash Order Trading, 709.
Cassiterite, 591.
Casualties in War, 281.
Casualties, Shipping, 385.
Catchment Boards, 459, 561, 837–860.
Cattle, 523, 527–529, 1201.
Cattle Hides Exported, 312, 313, 328, 333, 334, 1206.
Cattle Slaughtered, 495.
Causes of—
Accidents, 1111.
Deaths, 73, 103–117, 120–123, 170.
Fires, 947.
Industrial Disputes, 1096–1097, 1099.
Infant Mortality, 105–107.
Maori Deaths, 120–123.
Mental Illness, 164–165, 167.
Still-birth, 107.
Cement—
Carried on Railways, 395.
Exports of, 311, 313.
Imports of, 348, 357.
Industry, 604, 640.
Production of, 640.
Cemeteries, 138.
Census, 34, 39, 44–47, 55–56, 83.
Employment Statistics, 1072–1077.
Incomes of Individuals, 978.
Of Agriculture, 450, 502–503, 506, 517, 525.
Of Distribution, 696–705.
Of Dwellings, 65, 651–655.
Of Libraries, 1163–1165.
Of Poultry, 65, 530–531.
Of Religions, 68–69.
Publications, 65.
Unemployment Statistics, 1071.
Central Reserve Bank (see Reserve Bank).
Cereals, 504–512, 1200.
Consumption of, 694.
Certificates—
Dentists' Practising, 148.
Engine-drivers', 1120.
Land titles, 453–454.
Marine Officers', 383–384, 1023.
Medical Practitioners', 147.
Mine Officials', 1120.
Naturalization, 63–64.
Occupational Therapists', 149.
Opticians', 150.
Physiotherapists', 149.
Plumbers', 150.
Teachers', 180.
Certification of Seed, 513, 522.
Certification of Trades, 180, 181.
Charitable Aids, 160.
Chatham Islands, 2, 438, 1148, 1242.
Schools, 178, 192.
Cheese (see Dairy Produce).
Chemicals and Chemical Products Industry, 604, 606–626, 638–639.
Chemists, Registration of, 150.
Child Hygiene, 138–140.
Child Migration, 60.
Child Welfare, 138–140, 151, 181, 200–203, 259.
Childbirth, Accidents, etc., of, 73, 105, 107–108, 109, 113–114, 121, 124, 130, 136.
Children—
Adopted, 85.
Affected by Divorce Proceedings, 95.
Allowances in Respect of, 207–232.
Backward, 139, 177, 200–202.
Born, Numbers and Rates, 71, 75–77, 118.
Born, Sexes of, 78–80, 86, 118.
Crippled, 151, 191.
Dental Treatment of, 140.
Dependent, 67–68.
Fathers' Income Group, 966.
Intellectually Handicapped, 161.
Legitimated, 84.
Medical Inspection of 139.
Offences by, 200–202, 259–260.
Under One, Deaths of, 74, 98, 99, 102–107, 121–123, 1197.
Children's Courts, 200–202, 259–260.
Children's Homes, 160, 202.
Chilled Beef, 333, 334, 550, 551.
Chinese, 1138, 1147.
Christchurch—
Broadcasting Stations, 443, 444.
Building Values, 662.
Climate, 11, 12.
Houses and Flats, New State, 664.
Population, 47, 48, 52.
Sales Tax Receipts, 822.
University of Canterbury, 197.
Urban Transport, 400 403.
Churches, 91–92.
Cigarettes and Tobacco—
Duty on, 361, 363, 364.
Imports of, 337, 345, 356.
Production of, 521, 602, 606–626, 633.
Cinematograph Film-hire Tax, 791, 801, 821.
Cinematograph Films, 1123.
Cinematograph Theatres, 1158–1163.
Cinnabar, 591.
Cities, Population of, 48, 51, 52.
Citizenship, 63.
Citrus Fruits, 507, 519, 520, 541–542, 1130, 1132.
Consumption of, 692.
Imports of, 356, 359.
Civil Aviation, 422–430.
Civil Law Cases, 248–252.
Civil List, 31, 33, 792.
Claims, Insurance, 929–952.
Clays, 584.
Clergy of Each Church, and Marriages by, 91–92.
Climate, 4–5, 10–13.
Cook Islands, 1127.
Niue Island, 1133.
Western Samoa, 1136.
Clinics—
Ante-natal, 159.
School Dental, 140.
Clocks, Public, 1177.
Closing Hours of Shops, 1020.
Clothing and Footwear, Retail Prices of, 982.
Clothing, Imports of, 338.
Clothing Industry, 602–603, 633–634.
Clover Seed (see Grass and Clover Seed).
Club Charters, 1173.
Clubs, Aero, 430.
Clubs, Agricultural, 193.
Clubs, Rifle, 277.
Clubs, Working-men's, 245.
Coal—
Carried on Railways, 395, 396.
Consumption of, 588, 614, 684.
Exports of, 311, 313, 333, 334.
Production of, 584, 587.
Research, 589, 594.
Resources, 586.
Coal Mines Act, 586, 1121.
Coal Mining, 557, 584–589.
Disputes, 1095, 1096.
Wages and Hours Worked of Employees, 1051, 1055.
Welfare and Research Fund, 589.
Coast Line, 4.
Coastal Shipping, 375, 378–381.
Coastal Vessels Registered, 383.
Coin Held by Banks, 864, 866.
Coin Imported and Exported, 305, 1202.
Coin in Circulation, 889.
Coinage and Currency, 892–895.
Colleges—
Agricultural, 176, 178, 200, 500.
Military, 275.
Naval, 273.
Pharmacy, 150–151.
Teachers' Training, 176, 180, 181, 193–194.
Collieries, 584–589.
State, 588–589.
Colombo Plan, 27.
Commerce, Overseas, 289–382, 1202–1206, 1276–1278.
Commercial Failures, 1038, 1154–1158, 1217.
Commodities, Consumption of, 687–695.
Commodity Sales, Retail, 699, 706–707.
Commodity Sales, Wholesale, 702.
Community Centres, 152, 204.
Companies—
Assets of, 977–978.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Bank Advances to, 869.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Co-operative Dairy, 493.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Deposits with, 887–888, 892.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Financial Statements, Analysis of, 923–928.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Income of, 718–735, 955, 969–976.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Joint Stock, 919–928, 975.
In Manufacturing Industries, 622.
In Manufacturing Industries, 622.
Overseas, 921–922, 942, 945.
In Manufacturing Industries, 622.
Paid-up Capital, 974–976.
In Manufacturing Industries, 622.
Private, 921–922, 975.
In Manufacturing Industries, 622.
Registered, 919–922, 1217.
Share Price Indices, 1003–1006.
Taxation of, 208, 812, 955, 969–976.
Comparisons with Other Countries—
Birth and Natural Increase Rates, 78.
Cinema Attendance, 1160.
Consumption of Foodstuffs, 693–694.
Dairy Produce Consumption, 691.
Death Rates, 73, 98.
Expectation of Life, 102.
External Trade Per Head, 294.
Health Insurance, 1010.
Infant-mortality Rates, 74, 102–103.
Libraries, 1165–1166.
Marriage Rates, 88.
Population, Annual Average Increase, 41.
Prices, 984.
Suicide Rates, 117.
Telephones to Population, 436.
Unemployment Insurance, 1010.
Compassionate Allowances, 230.
Compensation, Workers', 1100–1108.
Compulsory Insurance, 951, 1103.
Compulsory Unionism, 1083.
Conciliation Council, 1010, 1087–1088.
Concrete Products Industry, 604, 641.
Confectionery Industry, 631.
Confinement, Deaths in, 73, 105, 109, 113–114, 121, 130.
Confinements, 79, 82, 84.
Conjugal Condition of Persons Marrying, 88–89.
Conjugal Rights, Restitution of, 92, 94.
Conservation of Forests, 553–554.
Conservation of Soil, 458–460, 561.
Consolidated Fund, 208, 790–794, 801–803, 1209, 1282–1283.
Constitution, 28–32.
Of Local Districts, 838–839.
Construction, Building, and Housing, 645–668, 908–915.
Wages and Hours Worked of Employees, 1050, 1056.
Consuls, 1192–1195.
Consumer Council, 981.
Consumer Credit, Survey of, 709–712.
Consumers' Goods, Imports of, 339, 340, 341.
Consumers' Price Index, 985–992, 1227, 1286.
Consumption of—
Coal, 588, 614, 684.
Commodities, 687–695.
Electricity, 669, 679–680.
Farm Produce, 484–485, 493, 494, 511, 691–694.
Motor Spirits, 413–414.
Wheat, 511.
Wool, 496, 633.
Contact Lenses, 227.
Contagious Diseases, 73, 105, 106, 109, 120, 124–130, 136.
Contractors' Liens, 1037.
Contributory Negligence Act, 1104.
Control of—
Bank Advances, 870–872.
Capital Issues, 872.
Exchange, 300–302, 877, 895.
Exports, 305, 538.
Imports, 306–308, 362.
Poultry, 531–532.
Prices, 979–980.
Rivers, 458–460.
Convictions—
For Drunkenness, 253, 254, 255, 258.
For Traffic Offences, 253, 254–255.
Of Juveniles, 259–260.
Of Maoris, 259.
Of Women, 252, 255, 256, 259.
Convictions in Magistrates' Courts, 251–255, 259, 1199.
Convictions in Supreme Court, 256–257, 259, 1199.
Cook Islands, 1–3, 61, 239, 1127–1132.
Bibliography, 1242.
Exports to, 335–336.
Imports from, 358–359.
Population, 38, 1129.
Public Finance, 1132.
Radio Stations, 438, 1131.
Shipping, 381–382.
Trade, 1131–1132.
Co-operative Credit Associations, 914.
Co-operative Dairy Companies, 493.
Copper Ore, 591.
Cordial and Aerated-water Industry, 632.
Corn Crops, 507–509.
Correspondence Classes, 178, 189, 192–193.
Cosmetics, Manufacture of, 639.
Cost of Living, 979–992.
Costs—
Railway Construction, 387, 794, 1216.
Roading, 407–410, 795.
Cotton Piece-goods, Imports of, 346.
Council, Consumer, 981.
Council, Defence, 270.
Council, Dental, 148.
Council, Executive, 32–33.
Members of, 1182.
Council, Fire Service, 848, 948.
Council for Educational Research, 203.
Council, Legislative, Abolition of, 28.
Council, Medical, 147.
Council, Medical Research, 146–147.
Council of Adult Education, 203.
Council of Legal Education, 197.
Council of Scientific and Industrial Research, 498.
Counties, 837–860.
Area of, 49–50.
Bridges in, 406.
Building Values, 663.
Capital and Unimproved Values, 479.
Debt, 851, 854, 855, 1212.
Employees of, 860.
Mileage of Roads, 406.
Population, 48–50.
Country Lands, Mortgages on, 901–902, 904, 911.
Courts—
Appeal, 248–249, 252, 258, 1185.
Arbitration, 249, 1010–1012, 1016–1018, 1042, 1081, 1087–1090, 1185.
Bankruptcy, 1154.
Children's, 200–202, 259–260.
Compensation, 249, 1102–1104, 1185.
Divorce, 93, 94.
Judges of, 1185.
Land Valuation, 249, 457, 476–477, 1185.
Magistrates', 249, 250–251, 259, 1199.
Maori Appellate, 458.
Maori Land, 468.
Supreme, 93, 94, 249, 251, 256–257, 1199.
Cover, Fire, 943.
Cow Testing, 498, 500.
Cranes, Inspection of, 1120.
Crayfish, 578, 581, 582.
Exports of, 311, 313.
Cream, Consumption of, 691.
Cream Separators on Farms, 503.
Credit, Consumer, Survey of, 709–712.
Credit, Letters of, Post Office Savings Bank, 882.
Credit, Rural Intermediate, 914.
Creditors' Petitions, 1154.
Crematoria, 138.
Crews of Overseas Vessels, 58.
Crime, Law and, 248–269, 1199.
Criminals, Habitual, 268.
Crippled Children, 151, 191.
Crops, 450, 504–522, 1200.
Research, 500.
Crown Land, 451, 460–467, 796.
Rates Paid to Local Authorities, 848.
Crown Tenants, 461–464.
Cultivation, Area In, 450, 507–513.
Cultural Awards, 1166–1167.
Cupro-nickel Coinage, 893.
Currency and Banking, 861–897, 1213, 1214, 1279–1281.
Customary Land, 467.
Customs, Representative Overseas, 1192.
Customs Tariff and Revenue, 359–369.
Customs Taxation, 359–369, 724, 791, 801, 803.

D

Dairy Board, 493, 537, 546–547.
Dairy Cows, 504, 523, 527–529, 1201.
Dairy Farms, 503, 528.
Dairy Industry, 481–487, 504, 527–529, 543–550, 602, 629, 869, 1024–1026, 1055.
Dairy Industry Stabilization Account, 552.
Dairy Produce, 490–493, 543–550.
Bulk Purchases of, 538.
Carried on Railways, 395, 396.
Consumption of, 691.
Export of, 310–315, 326–327, 333, 334, 379, 535, 691, 1204.
Factories, 490–493, 629.
Grading of, 493, 498.
Gross Farming Income, 481–483.
Guaranteed Prices for, 545–550.
Levy on, 493.
Marketing of, 534.
Prices Paid for, 543–550, 1266.
Production of, 490–493, 629.
Subsidy on, 694, 695.
Dairy Products Marketing Commission, 538, 545–549.
Dairying Machinery, 503, 504.
Exports of, 314.
Damage (Earthquake and War) Insurance, 799, 951–952.
Daylight Saving, 1175.
Death Duties, 724, 791, 801, 816–817.
Estates Passed for, 1151–1153.
Death Penalty Abolished and Restored, 257.
Deaths, 72–73, 77, 96–117, 119–123, 129–131, 397, 420, 587, 1197.
Accidental (see Accidents).
Distribution Over Year, 98.
Due to Earthquakes, 10.
Foetal, 86.
From External Causes, 114–116.
From Puerperal Causes, 73, 108, 109, 113–114, 121, 130.
In Cook Islands, 1129.
In Hospitals, 129–131.
In Mental Hospitals, 168–170.
In Niue Island, 1133.
In Western Samoa, 1138.
Inquests on, 261–262.
Neo-natal, 98, 103–108, 122–123.
Of Friendly Society Members, 246.
Of Infants, 74, 98–100, 102–107, 119, 121–123, 1197.
Of Insured Persons, 931–934.
Of Maoris, 72, 117, 119–123.
Of Servicemen Overseas, 96, 281.
Violent, 73, 109, 114–117, 121, 262, 420, 587.
Debenture Tax, 812.
Debentures, 823, 852–855, 885, 1210.
Debits, Bank, 873.
Debt, Conversion of, 828–829.
Debt, Location of, 830, 855, 1210.
Debt of Local Government, 157, 836, 852–859, 1211, 1212, 1274, 1275.
Debt, Public, 792, 823–836, 1210.
Debtors' Petitions, 1154.
Deceased Persons' Estates, 1151–1153.
Decrees in Divorce, 92–95.
Deeds Registration, 453, 898.
Defence, 270–281.
Council, 270.
Expenditure on, 274, 277, 279, 724, 793.
Fund, 800.
Science, 270–271.
Sector Account, 740, 753.
Degrees, University, 147, 197.
Demobilization of Servicemen, 288.
Demography, 38–70, 1196, 1197.
Density of Population, 55.
Dental Benefits (Social Security), 141, 227, 229.
Dental Services, Hygiene, etc., 140–141, 148, 227.
Department of Agriculture, 496–497.
Department of External Affairs, 22–23.
Department of Health, 134–135.
Department of Scientific and Industrial Research, 498–500, 1227.
Departments, Government, 33–34, 1149, 1182, 1187–1189.
Departures (see Migration).
Dependants of Soldiers, Pensions for, 231–238.
Dependent Children, 67–68.
Dependent Children, Care of, 181, 200–203.
Deposits—
By Insurance Companies, 929, 942.
Interest Rates on, 890–892.
With Building Societies, 892, 917, 919.
With Local Authorities, 892.
With Reserve Bank, 863.
With Savings Banks, 881–886, 1214.
With Stock and Station Agencies, 886.
With Trading Banks, 867–868, 888, 891, 1213.
With Trading Companies, 892.
Depreciation Allowances, 620, 714, 722, 741—748, 805.
Depreciation of New Zealand Currency, 895.
Desertion, 92, 95, 213.
Desertion, Ship, 253, 1024.
Designs, Registration of, 1168.
Detention, Reformative, 257, 263, 268.
Diagnostic, Laboratory, Services, 227.
Diagnostic, X-ray, Services, 225–226, 229.
Diagrams and Graphs—
Balance of Payments—
By Monetary Areas, 780.
Changes in Overseas Direct Investment, 782.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Banking, 867, 870, 874, 876.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Building Permits, 660.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Butterfat Production, 492.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Dairy Produce, Prices and Sales of, 545.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Dairy Production, 492.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Electricity Generation, 680.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Exports, 296.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Factory Production, 619.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Farming Income, Gross, 483.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Imports, 296.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Industrial Accidents, 1109.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Infant Death Rates, 104.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Life Assurance, 929, 936.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Manufacturing Industries, 619.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Mortgages, 907.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Motor Vehicles Licensed, 414.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Motor-spirits Consumption, 414.
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
National Income and Expenditure—
Expenditure, 719
Private Income, 730.
Private Outlay, 720.
Note Circulation, 874.
Overseas Assets of Banks, 876.
Population, 41.
Price Indices, 987, 1004.
Production, 492, 510, 619.
Pulp and Paper, etc., Production, 570.
Railways, Tonnage of Goods, etc., 396.
Rates of Interest on Mortgages, 907.
Retail Prices Indices, 987.
Retail Trading, 697.
School Population, 179.
Share Prices Indices, 1004.
Taxation Revenue, 803.
Temperature Pattern, 13.
Timber Production, 568.
Trading Banks, 867, 870, 876.
Union Membership, 1084.
Vital Statistics, 78, 111.
Wheat Production, 510.
Wool Production, 496.
Dietitians, 149.
Diphtheria, 73, 105, 109, 124, 125, 136, 139.
Diplomas, 147, 180, 198.
Diplomatic Representatives, 1191–1195.
Disabilities from Industrial Accidents, 1105–1111.
Disability War Pensions, 238.
Disabled Servicemen, 231–238, 283.
Discharged Soldiers' Settlement, 281–288, 465–467, 913.
Discount Rates, 890–891.
Disease, Prevention of, 139.
Diseases, Notifications of, 124–127, 136.
Diseases, Principal, Deaths from, 73, 108–114, 120–123, 129–130.
Diseases Treated in Hospitals, 128–130.
Diseases, Tropical, 1130, 1138.
Disengaged Persons, 1070, 1292.
Displaced Persons, 61.
Disputes, Industrial, 1087–1099.
Dissolution of Parliament, Dates of, 1184.
Distribution, Census of, 696–705.
Distribution of Population, 44–53.
By Ages, 54.
By Industries, 1073–1074.
By Occupations, 1075–1077.
Distribution of Private Income, 727–735.
Distribution Statistics, 696–712.
District High Schools, 178, 187–190, 195, 1198.
Districts—
Electoral, 34–35, 1183.
Income Tax, 968.
Land, 451, 460.
List of Local, 837
Local, 837–860.
Roads Councils, 407.
Dividends, Bankruptcy, 1155.
Dividends, Companies, 784.
Dividends, Totalizator, 820.
Divorce, 92–95.
Divorced Persons Remarrying, 88–90.
Dogs, 530.
Domains, Public, 451–452.
Domestic Assistance, 221, 226, 229.
Domicile of Debt, 830, 855, 1210.
Drainage Districts, 837–860.
Dredging, Gold, 590.
Drivers' Licences, 412, 848.
Drowning Accidents, 114.
Drugs, 137, 223.
Drunkenness, 92, 95, 253, 254, 255, 258.
Ducks, 530.
Dunedin—
Broadcasting Stations, 443, 444.
Building Values, 662.
Climate, 11, 12.
Population, 47, 48, 52.
Sales Tax Receipts, 822.
Shipping, 332, 358, 373, 376–380.
Trustee Savings Bank, 883, 884.
University of Otago, 197.
Urban Transport, 401–403.
Duties—
Customs and Excise, 359–369, 724, 791, 801, 803.
Death, 724, 791, 801, 816–817.
Export, 363, 1142.
Gift, 801, 818–819.
On Instruments, 801, 819.
On Lottery Tickets, 819, 1174.
Stamp, 791, 801, 819.
Dwellings (see also Houses and Flats).
Amenities of, 652–653.
Materials of Outer Walls, 655.
Means of Cooking, 652.
Occupants of, 653–654.
Rooms by Occupants, 652.
Size of, 653.
Tenure of, 652.

E

Earthquake and War Damage Insurance, 799, 951–952.
Earthquakes, 9–10.
Economic Pensions, 233.
Economic Stabilization, 979, 980, 1013–1014, 1038–1042.
Education, 172–206, 1130, 1134, 1138–1139, 1144, 1198, 1294.
Adult, 203–204.
Boards, 172–174.
Buildings, 182.
Buildings, Debt on, 826.
Commission on, 174.
Endowments, 173, 182.
Expenditure on, 181–182, 192, 724, 793.
Of Ex-Servicemen, 284–285, 288.
Of New Settlers, 204.
Pacific Islands, 205–206.
Physical, 151–152, 194.
Educational Association Workers' 204.
Educational Research, 203.
Effective Weekly Wage-rates, 1049, 1288.
Eggs, 531.
Consumption of, 693.
Marketing of, 541.
Retail Prices of, 982.
Subsidy on, 695.
Elections, General, 30–31, 1169.
Representation Commission, 35.
Electoral Districts, 34–35, 1183.
Electoral Provisions, 34–35.
Electoral Qualifications, 35–36, 839–841.
Electors, Registration of, 36, 840.
Electric—
Motors on Farms, 503.
Steam Station, 588, 672.
Power Boards, 674–675, 676, 837–860, 1212.
Steam Station, 588, 672.
Power, Development of, 670–674.
Steam Station, 588, 672.
Power, Generation and Supply, 669–682.
Steam Station, 588, 672.
Power in Manufacturing Industries, 613.
Power, Review of Operations, 675–682.
Railways, 386–389.
Supply Account, 795.
Tramways, 398, 403–404.
Electrical Machinery and Appliances Industry, 605, 606–626, 642.
Electricity, Consumption of, 669, 679–680.
Emergency Benefits, 209, 220, 228.
Emergency Reserve Corps, 280.
Pensions for, 228, 234, 236.
Emigration, 57–59.
Employees—
Electric Supply, 675–677.
Farm, 1077.
Fire Brigade, 948.
Forest Industries, 573.
Government, 1067–1068.
Hospital Boards, 860.
In Industry, 1061, 1063–1068.
Legislation Affecting, 1009–1029.
Local Government, 860, 1067–1068, 1079, 1275.
Manufacturing Industries, 599–610, 622, 628–644, 1061, 1063–1068, 1077, 1208.
Mining, 587, 588.
Picture Theatres, 1159, 1163.
Post Office, 441, 1068.
Public Service, 1190.
Public Works, 1027, 1077–1078.
Quarries, 593.
Railway, 397, 1068.
Retail Trading, 698.
Service Establishments, 703.
State Coal Mines, 588.
Unions of, 1081–1086.
Urban Transport, 399, 403, 405.
Wholesale Trading, 702.
Employers, 1083, 1086.
Employers' Liability Insurance, 937–939, 950–951, 1100–1104.
Employers' Unions, 1083, 1086.
Employment and Unemployment, 1058–1080.
Employment Districts, Manufacturing Industries, Production in, 601.
Employment Placement Scheme, 1070.
Employment Promotion, 1058–1060.
Taxation, 821, 1044.
Employment, Seasonal Fluctuations in, 1077.
Employment Service, National, 1058.
Employment, Subsidized, 1058.
Employment, Survey of, 1062–1071, 1291.
Employment Vacancies, 1066, 1069, 1070.
Endowment Land, 462–465.
Endowments, Education, 173, 182.
Engine-drivers' Certificates, 1120.
Engineering Industries, 642–644.
Engines—
Employed in Manufacturing Industries, 613.
Employed on Farms, 503.
Inspection of, 1120.
Railway, 388, 389.
Ensilage (see Silage).
Entertainments Tax, 801, 819, 821, 1159–1162.
Erosion, 561.
Estate Duty, 801, 816–817.
Estates—
Administered by Public Trust Office, 1149–1150.
Assigned, 1154–1158.
Intestate, 1150.
Passed for Death Duty, 1151–1153.
Ewes, Breeding, 523–526.
Examinations—
Education Department, 180.
Electric-tram Drivers', 1120.
Engine-drivers', 1120.
Marine Officers', 383–384.
Medical, of School Children, 139.
Medical Practitioners, 147.
Mining, 1121.
Teachers' 180.
Trades, 181.
University, 147, 180.
Exchange Allocation, 308, 879–880.
Exchange (Currency), 895–896.
Control of, 300–302, 877, 895.
Expenditure on, 824.
New Zealand - London, 895–896.
Rates of, 895–896.
Reserve, 864, 875–876.
Exchanges, Telephone, 435–438.
Excise Duties, 362–363, 364, 724, 801, 803.
Executive Council, 32–33.
Members of, 1182.
Exemptions from Taxation—
Income Tax, 804–815, 964–966.
Land Tax, 815.
Ex-nuptial Infants—
Births of, 83–84.
Legitimation of, 84.
Protection of, 202.
Exotic Plantations, 556–557, 559–561.
Expectation of Life, 100–102, 120.
Expeditionary Forces, 280, 1221–1223.
Expenditure—
Air Force, 279, 793.
Army, 277, 793.
Audit of, 787.
Broadcasting, 446.
Civil Aviation, 423.
Defence, 274, 277, 279, 724, 793.
Education, 181–182, 192, 724, 793.
Electric Power, 674–678, 681–682.
Forest Service, 565–566.
Government, 723–727, 787–800, 1209, 1282.
Health, 135, 793.
Insurance Companies, 932, 934, 937, 944–945, 949–952, 1218.
Local Government, 156, 674, 676, 678, 726, 849–850, 1211, 1274.
Mental Hospitals, 170–171.
National, 713–735.
National Roads Fund, 409, 795.
Naval, 274, 793.
Picture Theatres, 1158–1162.
Post Office, 435, 437, 440.
Railway, 390–392, 797, 1216.
Rehabilitation, 285–288, 792.
Roads, 409.
Urban Transport, 398, 402, 403, 405.
War, 826.
Explosives, 1122–1123.
Export Control, 305, 538.
Dairy Produce, 493, 538.
Honey, 542.
Meat, 538.
Export Duties, 363, 1142.
Export Licences, 305.
Export Prices, 543–544.
Index Numbers of, 996–1001.
By Classes, 1000.
By Commodity Groups, 1000.
By Destination, 1000.
Exports, 289–336, 365–367, 687–689, 770–771, 1202–1206, 1276–1277.
Apples, 312, 314, 330, 333, 334, 1205.
By Ports, 332.
By Section and Division, 314–316.
Casein, 312, 313, 329, 333, 334.
Classification of, 310–316.
Crayfish, 311, 313.
Currency, Restrictions on, 893.
Dairy Produce, 310–315, 326–327, 333, 334, 379, 535, 691, 1204.
Destination of, 316–331.
Excess over Imports, 295.
Fats, 312, 313, 327–328, 333, 334, 379.
Fish, 311, 313, 331, 333, 334, 581.
Gold, 311, 313, 333, 334, 1204.
Hides, Skins, and Pelts, 310, 312, 313, 328–329, 333, 334, 379, 1206.
List of, 311–314.
Meat, 310–315, 323–325, 333, 334, 379, 536, 691, 1203.
Metal, Scrap, 312, 314.
Milk, Dried and Condensed, 312, 313, 327, 333, 334, 1205.
Newsprint, 311, 313, 331, 333, 334.
Receipts from, 877, 878.
Sausage Casings, 312, 313, 329, 333, 334.
Seeds (Grass and Clover), 312, 314, 330, 333, 334, 1205.
Specie, 305, 1202.
Timber, 311, 313, 331, 333, 334, 379, 573–576.
Valuation of, 292, 310.
Values, Index Numbers, 304, 688.
Volume, Index Numbers, 303, 689.
Wood Pulp, 311, 313, 331, 333, 334.
Wool, 310, 312, 313, 322–323, 333, 334, 379, 1203.
External Affairs, Department of, 22–23.
External Migration, 57–61 1196, 1265–1266.
External Trade, 289–382, 1202–1206, 1276–1278.

F

Factories, 595–644, 1208.
Accidents in, 1105–1116.
Act, 142, 1019–1020.
Classification of, 598, 602–605.
Classified by Size, 609–610.
Coal Consumed in, 614.
Dairy, 490–493, 629.
Employees, 599–610, 622, 628–644, 1061, 1063–1068, 1077, 1208.
Fire Losses on, 948.
Registered, 599.
Summary of Operations, 626–644.
Factory Production, 485–488, 595–644, 1208, 1267–1271.
By Employment Districts, 601.
By Provincial Districts, 600.
Fakaofo Island, 2, 3, 1142–1144.
Fallow Land, 450, 508.
Family Benefits, 207, 209, 210, 215–216, 228, 815.
Family Homes, 454, 650.
Farm Employees, 1077.
Farm Employees, Wage-rates, etc., 1026, 1044, 1045, 1051, 1053.
Farm Finance, Provision of, 285–287, 461–466, 869, 908–914.
Farm Holdings, 449–450.
Classification of, 502–503.
Farm implements, 503–504.
Manufacture of, 644.
Farm Industry Reserves, 552.
Farm Loans for Ex-servicemen, 285–288.
Farm Machinery, 503–504.
Imports of, 339, 350, 354.
Farm Produce—
Consumption of, 484–485, 493, 494, 511, 691–694.
Export of, 310–315, 322–330, 333, 334, 379, 484–485, 1203–1206.
Marketing of, 532–552.
Farm Subsidies, 500–501.
Farm Training and Settlement of Discharged Servicemen, 283–284, 288, 465–467.
Farmers—
Advice for, 497–500.
Financial Assistance to, 458, 869, 908–914.
Mutual Insurance Associations, 948.
Farming, 481–532.
Farming Income, Gross, 481–484.
Farming Lands, Mortgages on, 901–902, 904, 911.
Farming Sector Account, 738, 741.
Fathers, Ages of, 80.
Fats Exported, 312, 313, 327–328, 333, 334, 1203.
Fauna, 14.
Female Suffrage, 35, 1221.
Female Wage Rates, 1031, 1047–1049, 1052, 1053.
Ferns, 14.
Fertilizer Industry, 604, 638.
Fertilizer, Land Top-dressed with, 516.
Fertilizer Used in Aerial Top-dressing, 427.
Fertilizers, Imports of, 338, 352, 357.
Fertilizers, Subsidy on Imported, 501.
Fertilizers, Subsidy on Transport of, 501.
Fever, Scarlet, 73, 109.
Field Crops, 504–522.
Film Library, National, 196.
Film Unit, National, 1227.
Film-hire Tax, 791, 801, 821.
Finance and Investment, 898–928.
Finance, Farm, 285–287, 458, 461–466, 869, 908–914.
Finance, Government, 723–727, 787–836, 1209, 1210, 1282–1284.
Finance, Local Government, 154–157, 676, 725–726, 845–859, 1211–1212.
Hospital Boards, 154–157.
Fire Brigades, 562, 948.
Fire Districts, 558, 837–860.
Fire Insurance, 941–948, 1218.
State, 831, 951.
Fire Losses, 943–948, 951.
Fire Prevention in Forests, 558, 562.
Fires on Vessels, 385.
First Births, 82–83.
Fish, 7, 577–583.
Canned—
Exports of, 581.
Imports of, 344, 356.
Consumption of, 693.
Exported, 311, 313, 331, 333, 334, 581.
Value of Production, 487, 578.
Fishing, Big-game, 582.
Fish-liver Oil, 581.
Fixed Deposits, 867, 891.
Flats, 651, 656.
Pensioners', 160.
Flax Lands, 451, 521.
Flax, Linen, 508, 521–522, 835.
Exports of, 312, 314.
Flax, Phormium (see Phormium).
Floating Debt, 824, 827.
Flogging Abolished, 257.
Flora, 14.
Flour—
Consumption of, 693.
Price, Fixation of, 979.
Production of, 630.
Subsidy, 695.
Fodder Crops, 507–508, 511, 514.
Foetal Deaths, 86.
Fog Signals, 384.
Food and Drugs, Sale of, 137.
Food Consumption, 687–695.
Food Poisoning, 124, 127, 136.
Food Production, 602, 606–626, 628–632.
Food, Retail Prices of, 982, 984.
Footwear and Clothing, Retail Prices of, 982.
Footwear, Imports of, 338, 346, 356.
Footwear Industry, 603, 634, 1055.
Foreign Vessels, 374.
Foreigners, Naturalization of, 63–64.
Forest Fire Prevention, 558, 562.
Forest Produce Exported, 311, 313, 331, 333, 334, 573–576.
Forest Trees, 14, 576.
Forestry, 553–576.
And Logging Sector Account, 738, 741.
Persons Engaged in, 573, 1067.
Research, 563–564.
Value of Production, 487.
Forty-hour Week, 1018, 1019.
Fowls, 530.
Franchise, General Government, 35–37.
Franchise, Local Government, 839–841.
Freehold, Crown Land Made, 465.
Freehold Land, 451.
Freight—
Carried by Air Transport, 423–429.
Carried by Shipping, 370–382.
Carried by Trains, 392–396, 1216.
Subsidy, 500–501.
Train Mileage, 395.
Frequency Rates of Accidents, 1106–1107.
Friendly Societies, 245–247.
Fruit—
Consumption of, 692, 693.
Export of, 312, 314, 330, 333, 334, 1205.
Fixation of Prices of, 539, 541.
Imports of, 344, 356, 359.
Industry, 450, 507, 508, 519–520.
Fruit and Vegetable Preserving Industry, 602, 631–632.
Fuels and Lubricants, Imports of, 339, 340, 348, 357.
Funds of Public Account, 787–800.
Funeral and Sick Funds, 246.
Furniture and Fittings Industry, 603, 606–626, 635.
Furniture Loans, 285, 288, 913.

G

Gaming Act, 820, 1174.
Gaols, Prisoners in, 264–267, 1199.
Gardens, Acreage in, 450, 507, 517–518.
Gardens (Commercial), Registration of, 518.
Gardens, Production in Home, 518–519.
Gas District, 837–860.
Gas Generation and Supply, 682–686.
Gas Price, 682–683.
Gas Subsidy, 682, 695.
Geese, 530.
General Assembly, 28–32, 1183.
Generating Stations, 670–673.
Geographic Board, 473.
Geographical Features, 4–8.
Geology, 9, 593–594.
Geophysical Year, International, 1145–1146.
Geothermal Steam, 673.
Geysers, 4.
Gift Duty, 801, 818–819.
Gilbert and Ellice Islands, 3.
Glaciers, 6.
Glass and Glass Products Industry, 604.
Gold, Discovery of, 7, 1220.
Gold Exported, 311, 313, 333, 334, 1204.
Gold Mining and Production, 7, 590.
Gold Reserve, 864.
Gonorrhoea, 129, 136.
Goods Available for Use, 687–690, 1273.
Goods Carried on Railways, 393–396, 1216.
Goods, Dangerous, 1123.
Goods-service Licences, 415–417.
Government Departments, 33–34, 1149, 1182, 1187–1189.
Government Finance, 723–727, 787–836, 1209, 1210, 1282–1284.
Government Housing, 645, 655–658, 663–664, 794, 826, 914–915.
Government Insurance, 949–952.
Government Marketing, 538.
Government Railways, 386–397, 1216.
Industrial Tribunal, 397, 1027.
Superannuation Fund, 238, 397.
Government Representatives Overseas, 1191–1193.
Government Roads, 411–412.
Government Sector, Accounts of the, 735.
Government Service Tribunal Act, 1026.
Government Superannuation Fund, 238–241.
Government, System of, 28–34.
Governments, Provincial, 172, 837.
Governor-General, 1180.
Powers, Duties, etc., 28.
Grading of—
Dairy Produce, 493, 498.
Public Servants, 1190, 1191.
Graduates, University, 197.
Grain Crops, 507–512, 1200.
Grain Milling, 602, 630, 1050, 1055.
Grapes and Vineyards, 517, 519.
Graphs (see Diagrams).
Grass and Clover Seed, 506–508, 514–515.
Exports of, 312, 314, 330, 333, 334, 1205.
Grass Lands, 450, 451, 489, 508, 515–516.
Grassland Research in New Zealand, 1243–1264.
Gratuities, Ex-servicemen's, 881.
Gravel and Sand, 584.
Greenstone, 593.
Groceries, Retail Prices of, 982.
Gross Farming Income, 481–484.
Gross Indebtedness, 824–825, 1210.
Of Local Government, 836, 852–854, 1211.
Of Local Government, Purpose for Which Raised, 855.
Of Local Government to Government Departments, 853.
Gross National Product, 714–718.
Gross Reproduction Rate, 39.
Guaranteed Prices for Dairy Produce, 545–550.
Guidance, Vocational, 191, 1059.
Gum, Kauri, 592.
Exported, 311, 313, 333, 334, 592.

H

Half-castes, 56, 118.
Ham and Bacon, Consumption of, 692.
Ham and Bacon, Curing, 602, 629.
Harbour Boards, 837–860, 1212.
Harbour Bridge Authority, 837–860.
Harbour-ferry Services, 415–417.
Harbours (see also Ports), 4.
Hardwoods, Imported, 574.
Harvests, 504–522, 1200.
Hay, 514.
Heads of Government Departments, 1187–1189.
Health Camps, 139, 151.
Health, Department of, 134–135, 1118.
Health, Education, 142.
Health, Insurance, 207, 216–228, 1010.
Health, Occupational, 142–143.
Health, Public, 133–171.
Hearing Aids, 227.
Heavy-traffic Fees, 408, 415.
Hepatitis, 124, 125, 127.
Herd Testing, 498.
Hides, Skins, and Pelts Exported, 310, 312, 313, 328–329, 333, 334, 379, 1206.
High Commissioners, 1191–1195.
High Schools, 178, 187–190, 195, 1198.
Higher Education, 178, 196–200, 1198.
Highways, 411.
Taxation, 407–408, 801, 803–804.
Hire Purchase, 699, 709–712.
Historic Places Trust, National, 1168.
History, Early and From 1870, 15–20.
History of Labour Laws, 1009–1016.
History of New Zealand, 15–20, 1219–1225.
Hoarding Prohibited, 979.
Hoes, Rotary, and Garden Tractors, 503.
Holdings (see Land Holdings).
Holidays, 1018, 1019, 1021, 1023, 1025, 1179.
Home Garden Vegetable Production, 518–519.
Home Lay-by Accounts, Post Office Savings Bank, 882.
Home-nursing Services, 226.
Homes, Benevolent, 160.
Homes, Children's, 160, 202.
Homicide, 73, 109, 114, 121, 257, 262.
Honey, 532.
Consumption of, 693.
Exported, 312, 313, 333, 334, 532.
Marketing of, 542.
Honours Conferred, 1185–1187.
Hops, 521, 632.
Exports of, 312, 314.
Horse-racing, 819–821, 1295.
Horses, 503, 523, 530, 1201.
Exported, 312, 314.
Horticulture, 498, 503, 517.
Hosiery and Other Knitting Mills, 633.
Hosiery, Imports of, 346, 356.
Hospital Benefits, 209, 222–229.
Hospital Boards, 153–160, 224, 837.
Employees of, 860.
Employees' Superannuation, 242.
Finances of, 154–157.
Indebtedness of, 836.
Levies on Local Government, 154, 155, 157, 849.
Hospital Districts, 153.
Hospitals, 127–132, 152–171, 224–229, 1130, 1134, 1138.
Accommodation of, 157–158.
Maternity, 142, 159–160, 224–225.
Mental, 161–171, 224.
Private, 158, 224, 225, 229.
Private Mental, 161, 162.
Public, 127–132, 225, 229.
St. Helens, 142, 159, 225.
Staff of, 860.
Hostels, 160–161, 1058.
Hot Springs, 4, 1177.
Hotels and Restaurants, Fire Losses on, 948.
Hotels, Licensed, 1170–1174.
Hourly Wage Rates, 1045–1046.
Hours of Labour, 624–625, 1018, 1019, 1020, 1022, 1025, 1054–1057.
House of Representatives, 28–32, 1183.
Broadcast of Proceedings of, 445.
Members of, 1183.
House Rents, 666–668.
Houses and Flats, 645–665.
Advances, for, 285–288, 845, 908–915.
Census Enumerations, 651–655.
Completed, 656–657, 665, 1272.
Fire Losses on, 948.
In Course of Erection, 663–664.
Maori, 288, 658–659.
Rents, 666–668.
Sale of State, 914–915.
State, 645, 655–658, 663–664.
Housing, 645–668, 794, 845, 908–915.
Conference, 648.
Debt, 826.
Group Building Scheme, 648.
Home Lay-by Scheme, 648.
Local Government, 845, 850.
Of Ex-servicemen, 285–288.
Of Maoris, 288, 658–659.
State, 645, 655–658, 663–664, 794, 826, 914–915.
Hungarian Refugees, 61.
Hunting, Fishing, etc., Sector Account, 738, 742.
Hydatids, 124, 125–126, 136, 137.
Hydro-electric Power, 6, 7, 670–672.
Development of, 670–672.
Hygiene—
Child, 138–140.
Dental, 140–141.
Environmental, 136.
Industrial, 142–143.
Mental, 161.
Public, 135–138.
School, 138.
Social, 136.

I

Ice-cream, Consumption of, 691.
Ice-cream Industry, 602, 630.
Illegitimacy (see Ex-nuptial).
Immigration, 57–62, 1058, 1196.
Assisted, 59–60.
Hostels, 1058.
Restriction on, 62.
Implements, Farm, 503–504.
Manufacture of, 644.
Import Control and Licences, 306–308, 362.
Cook Islands, 1131.
Import Price Indices, 1002, 1007.
Importers, Bank Advances to, 869.
Imports, 289–309, 336–359, 364–367, 687–690, 771–772, 1202, 1276, 1278.
By Ports, 357–358.
Cook Islands, 1131.
Classification of, 336–341.
Cook Islands, 1131.
Currency, Restrictions on, 893.
Cook Islands, 1131.
Excess of Exports over, 295.
Cook Islands, 1131.
Free and Dutiable, 359–369.
Cook Islands, 1131.
Licensing and Control of, 306–308, 362.
Cook Islands, 1131.
List of, 344–357.
Cook Islands, 1131.
Origin, of, 341–355.
Cook Islands, 1131.
Payments on Account of, 877, 878.
Cook Islands, 1131.
Purpose or Use of, 336–341.
Cook Islands, 1131.
Restrictions on, 306–308, 362.
Cook Islands, 1131.
Specie, 305, 893, 1202.
Valuation of, 292, 336.
Value of, Index Numbers, 304, 688.
Volume of, Index Numbers, 303, 689.
Income—
Company, 718–735, 955, 969–976.
Gross Farming, 481–484.
National, 713–735.
Of Individuals, 955–968.
Personal, 718, 719.
Private, 714–720, 727–735.
Returnable, 955, 961, 970, 971.
Income tax, 724, 791, 801, 804–815, 953–978.
Non-resident Traders, 978.
Increase of Population, 38–39, 44–47, 71–72, 77–78.
Indebtedness of Local Government, 157, 836, 852–859, 1211, 1212.
Indebtedness, State, 823–836, 1210.
Index Numbers—
Consumers' Price, 987–992.
By Classes, 1000.
By Commodity Groups, 1000.
By Destination, 1000.
Value and Volume, 488, 623–624.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Deaths, Sex-ratio, 97.
By Classes, 1000.
By Commodity Groups, 1000.
By Destination, 1000.
Value and Volume, 488, 623–624.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Electricity, Generated, 669.
By Classes, 1000.
By Commodity Groups, 1000.
By Destination, 1000.
Value and Volume, 488, 623–624.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Export Prices, 996–1001, 1007.
By Classes, 1000.
By Commodity Groups, 1000.
By Destination, 1000.
Value and Volume, 488, 623–624.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Factory Production—
Value and Volume, 488, 623–624.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Farm Production, Value and Volume, 483, 488.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Gross Farming Income, 483.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Hours of Labour, 1057.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
House Rent, 987.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Import Prices, 1002, 1007.
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Manufacturing Industries Production—
Value and Volume, 488, 623–624.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Private Income, 728, 734.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Production, 483, 488.
Farm, Value and Volume of, 483, 488.
Manufacturing Industries, Value of, 488, 623–624.
Retail Prices, 984–992, 1007, 1008.
Share Prices, 1003–1006.
Value of Exports, 304.
Value of Goods Available for Use, 688.
Value of Imports, 304, 688.
Value of Production, 483, 488.
Value of Trade, 304.
Volume of Dairy Production, 492.
Volume of Exports, 303, 689.
Volume of Goods Available for Use, 689.
Volume of Imports, 303, 689.
Volume of Production, 483, 488, 623–624.
Volume of Trade, 303.
Wage Rates, 1008, 1042–1049, 1057.
Wholesale Prices, 992–996, 1007, 1008.
Wool Prices, 542–543.
Indigenous Forests, 451, 556.
Industrial Accidents, 1100–1116.
Compensation Rates, 1107.
Frequency and Severity Rates, 1106–1107.
Nature and Location of, 1112.
Time Charge of, 1113.
Industrial Associations, 1086.
Industrial Conciliation and Arbitration, 1016–1018, 1081–1090, 1097–1098.
Industrial Distribution of Population, 1073–1074.
Industrial Efficiency, 597.
Industrial Hygiene, 142–143.
Industrial Relations Act, 1090.
Industrial Unions, 1081–1086.
Industries—
Bank Advances to, 869.
Classification of, 598, 602–605.
Licensing of, 597.
Manufacturing, 485–488, 595–644, 1208, 1267–1271.
Industry—
Earnings and Hours Worked in, 1054–1056.
Fatigue in, 1114.
Manufacturing Sector Account, 738–739, 743.
Organization of, 622–623.
Persons Engaged in, 599–610, 622, 628–644, 1061, 1063–1068.
Sector Accounts, 736–763.
State Aid to, 911–913.
Infancy, Diseases of, 73, 105–106, 121–123, 130.
Infant Mortality, 74, 98–100, 102–107, 121–123, 1197.
Maori, 74, 121–123.
Infantile Paralysis (Poliomyelitis), 73, 105, 109, 120, 124, 125, 136.
Infectious Diseases—
Control of, in Schools, 139.
Deaths from, 73, 109, 110, 120, 129.
Hospital Cases, 129.
Notification of, 124–127, 136.
Injuries (sec Accidents).
Input-Output Transactions, 758–759.
Inquests, 96, 261–262.
Insanity, 92, 93, 95, 161–171.
Insolvency, 1038, 1154–1158, 1217.
Instalment Sales, 709.
Instruments, Duty on, 801, 819.
Instruments, Registration of, 453.
Insurance, 929–952, 1218.
Accident, 589, 936–941, 1218.
Earthquake and War Damage, 799, 951–952.
Fire, 941–948, 1218.
In Manufacturing Industries, 620.
Life, 929–936, 949–950, 1218.
Motor-vehicles, Third-party Risks, 936–941.
State, 949–952.
Inter-Industry Studies and Accounts, 736–763.
Interest—
Credited by Savings Banks, 881, 883–885, 1214.
On Local Government Debt, 156, 726, 855–856, 859.
On Mortgages, 903–907, 913, 914.
On Post Office Capital Liability, 440, 791.
On Public Debt, 714, 718, 725, 792, 832–833.
On Railways Capital Liability, 390.
Payments Overseas, 832, 855.
Payments to Consolidated Fund, 791.
Rates (see Rate;; of Interest).
Reduction of, 890–892.
Intermediate Credit, Rural, 914.
Intermediate Schools, 175, 178, 185, 186, 192, 195.
International Activities, New Zealand's, 20–28, 1227.
International Air Services, 427–429.
International Geophysical Year, 1145–1146.
International Investment Income, 877.
International Payments, 877–878.
International Refugee Organization, 61.
Intoxicating Liquor—
Duty on, 361–364, 801, 803.
Sale of, 1170–1174.
Invalids' Benefits, 209, 210, 216–217, 228.
Investment Accounts, Post Office Savings Bank, 882.
Investment and Finance, 898–928.
Investment Certificates, 823.
Investment in New Zealand and Overseas, 780–786.
Investment Pool, National Provident Fund, 243.
Investment Societies, 915–919.
Deposits, 892, 917, 919.
Investments, Reserve Bank, 864.
Investments, State, 826, 831.
Invisible Imports and Exports, 877–878.
Iron and Steel, Imports of, 348–349, 357.
Iron and Steel Industry, 598.
Iron Ores and Ironsands, 584, 589–590.
Irrigation, 1078.
Island Territories, 2, 38, 1126–1148.
Islands—
Administered on Trust, 1–3, 38, 1136–1142, 1147.
Annexed, 1126–1135.
Outlying, 1, 1126.

J

Joinery Industry, 603, 635.
Joint Family Homes, 454, 650.
Joint-stock Companies, 919–928.
In Manufacturing Industries, 622.
Journal of Agriculture, 498, 515.
Journal, School, 196, 1126.
Judiciary, 34, 248–249.
Members of, 1185.
Superannuation of, 240.
June Year Exports, 293, 332–334.
June Year Imports, 293.
Juries, 250.
Justice, 248–269, 792, 1199, 1296.
Justices of the Peace, 252.
Juvenile Offenders, 200–202, 259–260.
Juvenile Wage-rates, 1052–1053, 1057.

K

Kale, 507, 514, 522.
Kauri Gum, 592.
Exported, 311, 313, 333, 334, 592.
Kea, Destruction of, 500.
Kermadec Islands, 1–3, 38, 1127.
Kindergarten Schools, 174, 178, 183.
Knitting Mills and Hosiery Industry, 633.

L

Laboratory Diagnostic Services, 227, 229.
Labour, Department of, 1058, 1059, 1062–1071, 1116–1118.
Labour Disputes Investigation Act, 1090.
Labour Force, 1061, 1291.
Projections, 1061–1062.
Labour, Hours of, 624–625, 1018, 1019, 1020, 1022, 1025, 1054–1057.
Labour Laws and Working Conditions, 1009–1029.
Labour Shares, 1011.
Lakes, 7–8, 670–672.
Lamb, Consumption of, 494, 691, 692.
Lamb Exported, 333, 334, 536, 691.
Lamb Produced, 493, 494.
Lambs, 523, 524.
Slaughtered, 495, 628.
Land Act, 182, 460–467.
Land Development, 461–466, 470–471.
Land Districts, 451, 460.
Land Drainage Districts, 837–860.
Land for Ex-servicemen, 283–284, 465–467.
Land Holdings, 449–450.
Classification by Farm Types, 502–503.
Mortgages on, 898–902, 911.
Land Marginal, 458.
Land, Occupation of, 449–451.
Land, Purchase of, 460–467.
Land Sales, Control of, 457.
Land Settlement, 449–471.
Land Settlement Account, 796.
Land Settlement Board, 460.
Land Settlement Promotion Act, 457–458.
Land Surveys, 471–474.
Land Tax, 724, 791, 801, 804, 815–816.
Land Tenure and Settlement, 449–471 Land Titles, Registration of, 453–454.
Land Transfer, 453–457, 1296.
Land, Valuation of, 474–480.
Lands Open for Selection, 462.
Latest Statistical Information, 1265–1296.
Law and Crime, 248–269, 1199.
Law, Mortgage, 898–899.
Law, Revision of, 248.
Laws Affecting Labour, 1009–1029.
Laws Enacted in 1959, 1177–1179.
Leasehold Landholdings, 451, 462–465.
Leases, Renewable, 461–466.
Leather and Leather Products Industry, 604, 606–626, 637.
Legacy Duty, 816–819.
Legal Education, 197.
Legal Tender, 893.
Legations, 1193–1195.
Legislation—
Labour and Allied, 1009–1029.
Passed in 1959, 1177–1179.
Legislative Authority, 28–32.
Legislative Council, Abolition of, 28.
Legitimation, 84.
Letter Boxes, 432.
Letter Telegrams, 435.
Letters of Credit, Post Office Savings Bank, 882.
Letters, etc., Posted, 431, 432, 1215.
Levies by Fire Authorities, 944.
Levies by Hospital Boards, 154, 155, 157, 849.
Levy—
Coal Production, 589, 1121.
Dairy Produce, 493.
Electric Power, 674.
Honey, 542.
Meat, 363.
Orchard, 519.
Totalizator, 820.
Vegetable Growers, 518.
Wool, 363, 497.
Liabilities of—
Bankrupts, 1155–1157, 1217.
Banks, 863, 866, 875, 1213.
Building Societies, 919.
Electric-power Undertakings, 679.
Fire Insurance Companies 942.
Friendly Societies, 246.
Life Assurance Companies, 935.
Local Government, 157, 851, 1274.
Reserve Bank 863.
Library, Alexander Turnbull, 1227.
Library Services, 181, 204–205, 267, 1163–1166.
Licences—
Aerodrome, 430.
By Local Authorities, 848.
Drivers', 412, 848.
Export, 305.
Fishing, 583.
Fishing Vessels, 577.
Flight Crew, etc., 430.
Import, 306–308, 362.
Motor Vehicle, 412–414.
Petroleum Prospecting, 591.
Publicans', 848, 1170–1174.
Radio, 447–448.
Raffle, 1174.
Ross Sea Whaling, 1146.
Transport, 415–417.
Licensing, 1170–1174.
Authority, 415–417.
Control Commission, 1170–1174.
Poll, 1169.
Trusts, 1173–1174.
Licensing of—
Commercial Air Servicer, 423.
Industries, 597.
Lotteries, 1174.
Motor Vehicles, 412–414.
Private Hospitals, 158.
Sale of Alcoholic Liquor, 1170–1174.
Liens, Contractors', 1037.
Life Assurance, 929–936, 949–950, 1218.
Death-rates, 935.
State, 949–950.
Life, Expectation of, 100–102, 120.
Lifts, Inspection of, 1120.
Lighthouses, 384–385.
Lignite, 584–586.
Lime Industry, 604.
Lime, Land Top-dressed with, 516.
Lime, Subsidy on Transport of, 500, 501.
Limestone, 584.
Linen Flax, 508, 521–522, 602, 835.
Exports of, 312, 314.
Linseed, 508, 514.
Liquor Licensing, 1170–1174.
Literature, New Zealand, 1228–1242.
Livestock, 523–532, 1201.
Carried on Railways, 394, 395.
Slaughterings of, 495.
Loans—
Allocation of, 826.
By Building Societies, 915–919.
Conversion of, 828.
Dates of Maturity of, 828–830, 856.
Domicile of, 830, 855, 1210.
Guaranteed, 825.
National Development, 799, 828, 829.
Of Hospital Boards, 155, 156, 157.
Of Local Government, 155, 156, 157, 842, 852–859, 1211, 1212.
On Assurance Policies, 935, 950.
Raised for War Purposes, 826.
Redemption of, 792, 795, 828–829, 849.
Rehabilitation, 285–288, 910–913.
State Advances, 648–649, 848, 908–915.
Supplementary, 285, 911, 912.
Suspensory, 285, 909, 911, 912.
Local Government, 153–160, 674–675, 676, 725–726, 837–860, 1211–1212, 1274–1275.
Advances to, 409–411, 845, 848, 911–913.
Assets of, 851–852.
Borrowing, 842.
Commission, 841.
Debt of, 157, 836, 852–859, 1211–1212.
Deposits with, 892.
Employees of, 860, 1067–1068, 1079, 1275.
Expenditure of, 156, 676, 726, 849–850, 1211.
Forestry, 565.
History of, 837–838.
Investment Pool, 243.
Levies on, by Hospital Boards, 154, 155, 157, 849.
Liabilities of, 157, 851.
Obligations under Health Act, 134.
Pensioners' Flats, 160.
Receipts of, 155, 676, 725, 846–848, 1211.
Registered Stock, 852.
Royal Commission on Finance, 841.
Superannuation, 242.
Taxation by, 725, 823, 842–844.
Urban Transport Operated by, 398–405.
Local Option Polls, 1170.
Local Railway District, 837–860.
Lockouts, 1087–1092.
Locomotives, 388, 389.
Lodges, Friendly Societies, 245–247.
London Prices for Dairy Produce, 544.
London Prices for Meat, 550.
Losses from Fire, 943–948, 951.
In Forests, 562.
Lotteries, 1174.
Duty on, 819, 1174.
Lubricants and Fuels, Imports of, 339, 340, 348, 357.
Lucerne, 507, 508.
Lump-sum Payments, 714.

M

Machinery—
Accidents, 1111.
Farm, 503–504.
Imports of, 338, 350, 354.
Industry, 605, 606–626, 644.
Manufacturing Industries, 613, 621.
Safety of, 1117–1118.
Magistrates, Stipendiary, 249.
Superannuation of, 240.
Mails, 431–433, 1215.
Air, 423–429, 432–433.
Maize, 507, 508, 509.
Malting Barley, 512.
Malting Industry, 602.
Mangaia Island, 2, 1127, 1129.
Manganese Ore, 584, 591.
Mangolds, 508.
Manihiki Island, 2, 1128, 1129.
Manuae Island, 2, 1128, 1129.
Manufacturing Industries, 485–488, 595–644, 1208, 1267–1271.
By Employment Districts, 601, 1270–1271.
By Provincial Districts, 600.
Classification of, 602–605.
Coal Consumed in, 614.
Persons Engaged in, 599–610, 622, 628–644, 1061, 1063–1068, 1077.
Registered, 599.
Stocks, 621–622.
Summary of Operations, 626–644.
Manufacturing Sector Accounts, 738–739, 743.
Manure Industry, 638.
Manures, Imports of, 338, 352, 357.
Manures, Land Top-dressed with, 516.
Manures Used for Aerial Top-dressing, 427.
Maori Affairs, Board of, 468.
Maori Electorates, 1183.
Maori Housing, 288, 658–659.
Maori Lands, 467–471.
Maori Trustee, 469, 831.
Maori Welfare, 1175.
Maoris—
Births of, 71, 118.
Children Attending Schools, 178, 186–188, 190, 192.
Deaths of, 72, 117, 119–123.
Employment, 1058.
Expectation of Life, 120.
Franchise, 36.
Half-castes, 56, 118.
In Mental Hospitals, 170.
In Prisons, 259, 266.
Infant Mortality of, 74, 121–123.
Marriages of, 118.
Members of Parliament, 30–31, 1183.
Natural Increase of, 72.
Offences by, 258–259.
Population, 38, 45–47, 55–56, 1265.
Rehabilitation of, 284, 288.
Schools for, 176, 178, 181, 183, 186–188, 190, 192.
Sex Proportions of, 42.
Still-births, 86.
Map of New Zealand (End of Volume).
Maps and Charts, 473–474.
Maps, Geological, 593.
Maps Showing Mineral Resources, 585.
Marine Department, Occupational Safety, 1118–1120.
Marine Officers' Certificates, 383–384, 1023.
Marital Status, 66–67, 88–89.
Market Gardens, 507, 517–518, 1025–1026.
Registration of, 518.
Market Prices of Shares, Yield on, 1006.
Marketing of Primary Produce, 532–552.
Marriages, 72, 86–95, 118, 1197.
Masculinity Rate, 79, 86.
Masseurs (see Physiotherapists).
Massey Agricultural College, 176, 178, 200.
Materials Used in Manufacturing Industries, 599–601, 614–616, 622, 626–644, 1208.
Maternal Mortality, 73, 108, 109, 113–114, 121, 130.
Maternal Welfare, 135, 142.
Maternity Benefits, 159, 209, 224–225, 228, 229.
Maternity Hospitals, 142, 157, 158, 159–160, 224–225.
Maternity Nurses, 148, 159, 224, 225.
Maternity Services, 159–160, 224–225, 228.
Maturity Dates of Loans, 828–830, 856.
Mauke Island, 2, 1127, 1129.
Mean Population, 43, 488, 1196.
Mean Time, 1175.
Measures and Weights, 471, 507.
Meat—
Bulk-purchase of, 538.
Consumption of, 493, 494, 694.
Export Control, 538.
Export of, 310–315, 323–325, 333, 334, 379, 536, 1203.
Export Price Index, 1000.
Freezing and Preserving Industry, 602, 628, 869.
Industry Reserve Accounts, 552.
Inspection of, 498.
Levy on Exports of, 363.
Marketing of, 532–533, 539.
Prices for, 539, 550–552.
Production, 493–495, 628–629, 1207.
Retail Prices of, 982.
Meat Producers Board, 539, 551.
Medical Advertisements, 137–138.
Medical Benefits, 209, 222–223, 228, 229.
Medical Bursaries, 199.
Medical Council, 147.
Medical Practitioners, 147, 223.
Medical Research Council, 146–147.
Medical Services, 133–171, 222–229.
In Cook Islands, 1130.
In Niue Island, 1134.
In Western Samoa, 1138.
Medical Statistics, 124–132, 146, 246.
Medicine, Physical, 144–145.
Members of Parliament, 29–32, 1183.
Superannuation of, 31–32, 240.
Meningitis, 136.
Meningococcal Infections, 73, 105, 109, 120, 124.
Mental Defectives, 161–170.
Mental Hospitals, 161–171, 224.
Mercantile Marine, 281, 370–385.
Pensions, 228, 234, 236.
Merchandise, Exports of, 289–336, 365–367, 687–689, 770–771, 1202–1206, 1276–1277.
Merchandise, Imports of, 289–309, 336–359, 364–367, 687–690, 771–772, 1202, 1276, 1278.
Merchandise Transhipped, 378–381.
Mercury, 591.
Metal Products Industry, 605, 606–626, 643.
Metal, Scrap, Exports of, 312, 314.
Meteorology, 10–13.
Cook Islands, 1127.
Niue Island, 1133.
Western Samoa, 1136.
Midwives, 145, 148, 159, 224, 225.
Migration, External, 57–61, 1196, 1265–1266.
Child, 60.
Mileage of—
Bus, etc., Routes, 401, 404.
Commercial Air Services, 424, 428.
Highways, 410, 411.
Railways, 386, 393, 397, 1216.
Roads, 406.
Mileage Tax, 408, 791, 801.
Military Colleges, 275.
Military Forces, 274–277.
Military Pensions, 231–238.
Milk—
Boards, 837.
Consumption, 691, 694.
Control of Prices and Sale of, 540–541.
Districts, 837–860.
Dried and Condensed, Exports of, 312, 313, 327, 333, 334, 1205.
Dried and Condensed, Production of, 492.
Examination and Testing of, 493, 498.
For School Children, 139, 193.
Marketing of, 540–541.
Subsidy, 695.
Milk Products (see Dairy Produce).
Milking Machines, 504.
Mills, 595–644.
Mineral Waters, 1177.
Minerals and Mineral Production, 584–594.
Miners' Benefits, 209, 210, 217–218, 228, 589.
Miners' Phthisis, 217.
Mining, 584–594, 826.
Accidents, 116, 587, 1108, 1109, 1115.
Disputes, 1095, 1096.
Legislation, 1021–1022.
Persons Engaged in, 587, 588, 1067.
Produce Exported, 311, 313, 333, 334.
Sector Account, 738, 742,
Value of Production, 487, 584.
Ministers of Each Church, and Marriages by, 91–92.
Ministers Plenipotentiary, 1193–1195.
Ministries, Successive, 1180–1181.
Minors, Marriages of, 91.
Mission Schools, 1138, 1139, 1144.
Mitiaro Island, 2, 1128, 1129.
Monarch, The, 28.
Monetary, Banking, and Credit Systems, Royal Commission on, 861, 1227.
Monetary Benefits, Social Security, 209–222, 228, 798.
Money Orders Issued and Paid, 433–434, 1215.
Money, Volume of, in Circulation, 889.
Morbidity, 124–132, 246.
Mortality (see Deaths).
Mortgage Corporation, 908.
Mortgage Exemption, 815.
Mortgagee, Rights of, 899.
Mortgages, 898–908, 911, 935, 1296.
Rates of Interest on, 903–907, 913, 914.
State Advances, 908–915.
Mothers, Ages of, 80, 81, 83.
In Ex-nuptial Cases, 84.
Mothers, Average Issue of, 81.
Mothers, Previous Issue of, 81.
Motive Power in Manufacturing Industries, 613.
Motor Body Building and Repairs Industry, 643.
Motor Spirits—
Consumption of, 413–414.
Imports of, 348, 357.
Price Fixation of, 979.
Taxation on, 362, 408, 415, 804, 848.
Motor Transport, 391, 398–405, 412–421.
Motor Vehicles—
Accidents, 73, 109, 114, 115, 121, 417–421.
Assembly of, 605, 642.
Drivers' Licences, 412, 848.
Duty on, 362.
Imports of, 353, 357.
Insurance, 936–941.
Methods of Purchasing, 711.
Post Office, 441.
Registration and Licensing of, 412–414, 1294.
Repairs Industry, 605.
Taxation, 362, 408, 724, 804.
Traffic Offences, 253, 254–255, 418–419.
Motor Vessels Registered, 383.
Motor-engineering Industry, 642–643.
Motorways, 411–412.
Mountains, 4–5.
Multiple Births, 79–80.
Murder, 73, 92, 109, 114, 121, 257, 262.
Abolition and Restoration of Death Penalty for, 257.
Museums, 196, 1166.
Mussels, 578, 581.
Mutton, Consumption of, 494, 691, 692.
Mutton Exported, 333–334, 536, 691.
Mutton Produced, 493, 494, 628.
Mutual Insurance Associations, 948.

N

Nassau Island, 2, 1128, 1129.
Nassella Tussock Districts, 837–860.
National Airways Corporation, 423, 424, 791, 826, 835.
National Council of Adult Education, 203.
National Development Loans, 799, 828, 829.
National Employment Service, 1058.
National Film Library, 196.
National Film Unit, 1227.
National Health Institute, 146.
National Historic Places Trust, 1168.
National Income and Expenditure, 713–735.
National Library Service, 181, 204–205, 267.
National Licensing Polls, 1169.
National Provident Fund, 241–244, 831.
National Roads Board, 406–407, 803.
National Roads Fund, 406–409, 794–795, 804, 1284.
National Safety Association, 1125.
National Savings, 823–824, 831, 885–886, 1280.
National Service Registration Act, 271.
Nationality, 63–64.
Of Naturalized Persons, 64.
Of Overseas Shipping, 374–375.
Of Registered Aliens, 65.
Native Animals, 14.
Native Bush, 14, 451, 553–560.
Native Fresh-water Fishes, 583.
Native Grasses, 14.
Natural Increase of Population, 39, 44, 71–72, 77–78, 1265.
Naturalization, 63–64, 1296.
Nauru Island, 2, 1147–1148.
Naval Defence, 272–274, 280.
Naval Expenditure, 274, 793.
Neo-natal Deaths, 98, 103–108, 122–123.
Nephrite, 593.
Net Note Circulation, 873–875.
Net Reproduction Rate, 39.
New Zealand Broadcasting Service, 196, 442–447, 831.
New Zealand Dairy Board, 493, 537, 546–547.
New Zealand Electricity Department, 670, 1078.
Occupational Safety, 1122.
New Zealand Forest Products Ltd., 571.
New Zealand Mean Time, 1175.
New Zealand Red Cross Society, 151.
New Zealand Representatives Overseas, 1191–1193.
New Zealand's International Activities, 20–28, 1227.
Newspapers, 1158.
Produced, 627.
Registered, 433.
Newsprint, Exports of, 311, 313, 331, 333, 334, 576.
Newsprint, Imports of, 351, 575.
Newsprint, Production of, 570.
Niue Island, 1, 2, 38, 335, 381–382, 438, 1133–1135.
Note Issue, 863, 866, 873–875, 894.
Notes in Circulation, 873–875, 889, 1213.
Notification of Births, 75, 117–118.
Notification of Diseases, 124–127, 136.
Nukunono Island, 2, 3, 1142–1144.
Nullity of Marriage, 93–94.
Nurseries, 517, 518.
Nurses—
Dental, 140, 227.
District, 226.
In Public Hospitals, 860.
Industrial, 143.
Male, 148.
Maternity, 148, 159, 224, 225.
Plunket, 139, 151, 159.
Psychiatric, 148.
Public Health, 139, 151.
Registration of, 148.
Superannuation for, 242.
Nursing, 145–146, 226.
Nursing Aids, 148.
Nylon Piece-goods, Imports of, 347.

O

Oatmeal, etc., Consumption of, 693.
Oatmeal, etc., Production of, 630.
Oats, 507, 508, 509, 511–512, 514, 522, 1200.
Observatory, Time Signals From, 445, 1176.
Occupation of Land, 449–451.
Occupational Health, 142–143.
Occupational Safety, 1116–1125.
Occupational Therapists, 149.
Occupational Training of Discharged Servicemen, 282–283, 286.
Occupations of Bankrupts, 1156–1157.
Ocean Island, 1147.
Offences, 252–261.
By Children, 200–202, 259–260.
By Maoris, 258–259.
By Women, 258.
Offenders Probation Act, 260, 268.
Officers' Certificates (Marine), 383–384, 1023.
Offices Act, Shops and, 1020–1021.
Official Representatives, 1191–1195.
Oil, Fish-liver, 581.
Oil, Production from Coal, 588.
Oil Refinery, 597–598.
Oil Wells, 591–592.
Oil, Whale, 311, 313, 578, 582.
Old People's Homes, 160.
Omnibuses Licensed, 412.
Onions, 508, 513–514, 522.
Exports of, 312, 314.
Opencast Mining, 587.
Opium, Prohibition of, 137.
Opossum Skins Exported, 312, 313, 333, 334.
Opticians, Registration of, 149–150.
Oranges, Imports of, 345, 356, 359.
Orchards, 507, 508, 517, 519–520, 1025.
Orchestra, National, 445, 446.
Origin of Immigrants, 59.
Origin of Imports, 341–355.
Orphanages, 160.
Orphans' Benefits, 209, 210, 215, 228.
Ottawa Agreement, 360, 364.
Outlying Islands, 1, 1126.
Out-patients, 158.
Maternity Hospitals, 159.
Overdraft Authorities, Unexercised, 873.
Overdraft Rates, 890
Overtime, 624–625, 1019, 1020, 1022–1023, 1025, 1055–1056.
Owner-occupied Houses, Rental Value of, 713, 718, 727.
Oysters, 578, 581.

P

Pacific Islands, Annexed, 1126–1135.
Bibliography, 1242.
Education, 205–206.
Radio Communication, 438–439, 1131, 1134.
Paint and Varnish Industry, 604, 639.
Palmerston Island, 2, 1128, 1129.
Pan American World Airways, 429.
Paper and Paper Products Industry, 603, 606–626, 635–636.
Paper and Pulp, External Trade in, 575–576.
Paper, Imports of, 352, 357.
Paralysis, Infantile (Poliomyelitis), 73, 105, 109, 120, 124, 125, 136.
Parcels-post, 332, 432, 433.
Parents—
Ages of, 80, 81.
Duration of Marriage of, 82.
Parks, National, 452.
Parliament, 28–32.
Members of, 29–32, 1183.
Parliamentary Elections, 30–31, 1169.
Parliaments, Successive, 1184.
Parole Board, 267–268.
Passenger Mileage—
Air Services, 425–428.
Railways, 393.
Passenger Services, 415–417.
Passengers—
Buses, etc., 398, 399, 402, 405.
Commercial Aircraft, 425–429.
Motor Vehicle, 417.
Overseas, 57–58, 1196.
Railway, 392–394, 1216.
Shipping, 375.
Passports, 61.
Pastoral and Agricultural Production, 481–532, 1200, 1201.
Persons Engaged in, 1077.
Value of, 481–487.
Volume of, 483, 488.
Pastoral Produce—
Consumed Locally, 485, 691–692, 694.
Export of, 310–334, 485, 532, 1203–1206.
Gross Farming Income, 481–483.
Pasture Grasses, 450, 508, 515–516.
Patents, Designs, and Trade Marks, 1168.
Patients in Hospitals, 127–128, 157–158.
Patients in Mental Hospitals, 162–170.
PAYE, 208, 808–811, 812.
Payments, Balance of, 764–786.
Payments Overseas, 300–302, 877–878, 1281.
Peaks, Altitude of, 5.
Pears, 507, 519–520.
Export of, 312, 314, 1205.
Marketing of, 539–540.
Peas, 507, 508, 509, 512.
Export of, 312, 314, 330, 333, 334.
Pelts, Hides, and Skins, Export of, 310, 312, 313, 328–329, 333, 334, 379, 1206.
Penrhyn (Tongareva) Island, 2, 1128, 1129.
Pensions, 207–244, 714, 727.
Perinatal Mortality and Prematurity, 107–108.
Perlite, 592.
Permanent Building Societies, 916–918.
Permanent Heads of Government Departments, 1187–1189.
Permits, Building, 659–665, 1272.
Petitions—
Bankruptcy, 1154.
Divorce, 92–95.
Petrol (see Motor Spirits).
Petroleum, 584, 591–592.
Imports of, 357.
Pharmaceutical Benefits, 209, 223, 228, 229.
Pharmaceutical Chemists, 150–151.
Pharmaceuticals, Manufacture of, 639.
Pharmacy, 150.
Phormium, 451, 503, 521.
Industry, 602.
Phosphate Rock, 592, 638.
From Nauru Island, 2, 1147.
Imports of, 352, 357.
Phthisis (see Tuberculosis).
Miners', 217.
Physical Welfare and Recreation, 151–152.
Physiography, 1–8.
Physiotherapists, 149.
Physiotherapy Benefits, 226, 229.
Picture Theatres, 1158–1163.
Pig-meats—
Consumption of, 691, 692.
Export of, 333, 334, 691.
Prices for, 551.
Production of, 628.
Pigs, 503, 523, 524, 529–530, 1201.
Slaughtered, 495.
Pilots, Air, 430.
Pisciculture, 583.
Placement Service, 1058, 1070, 1292.
Plaints, 251.
Planing Mills, 603, 635.
Planning, Town and Country, 844–845.
Plantations, 450, 503, 508, 517, 553–555.
State, 555.
Plants, New Zealand, 14.
Platinum, 591.
Plumbers, Registration of, 150.
Plunket System, 151, 159.
Plywood and Veneer, 571–572, 603, 641.
Poisoning, 114, 124, 127, 130, 136, 1112.
Poisons, 137.
Police, 268–269, 792.
Superannuation, 239.
Policies, Insurance, 929–949, 1218.
Poliomyelitis, 73, 105, 109, 120, 124, 125, 136.
Vaccination, 125, 139.
Polling at—
General Elections, 1169.
Licensing Polls, 1169–1170.
Pollution, Air, 143.
Population, 38–70, 488, 1196, 1265.
Age Distribution of, 54.
Distribution of, 44–53.
Industrial Distribution of, 1073–1074.
Method of Compilation of, 42.
Occupations of, 1075–1077.
Of Campbell Island, 38.
Of Cook Islands, 38, 1129.
Of Kermadec Islands, 38, 1127.
Of Nauru Island, 1147.
Of Niue Island, 38, 1133.
Of Ross Dependency, 38.
Of Tokelau Islands, 38, 1143.
Of Western Samoa, 38, 1137–1138.
Projections, 39–41.
World, 70.
Pork Consumed, 492, 692.
Pork Exported, 333, 334, 691.
Pork Produced, 493, 494, 628.
Portfolios of Ministers, 1182.
Ports—
Fishing, 580.
Of Arrival and Departure, 373.
Of Registry, 383.
Safety of, 1119.
Shipping and Trade of, 332, 357–358, 370–380.
Post Office, 431–441, 831, 1215.
Account, 799.
Superannuation of, 239.
Wages and Hours Worked of, 1056.
Debt, 826.
Superannuation of, 239.
Wages and Hours Worked of, 1056.
Employees, 441, 1068.
Superannuation of, 239.
Wages and Hours Worked of, 1056.
Interest on Capital Liability, 791.
Savings Bank, 880–883, 891–892, 1214, 1280.
Staff Tribunal, 1027, 1036.
Postal Notes, 434–435, 1215.
Post-primary Education, 173–180, 187–191, 1198.
Potatoes, 507, 508, 512–513.
Consumption of, 692, 694.
Export of, 312, 314, 333, 334.
Marketing of, 540.
Pottery, China, and Earthenware Industry, 604, 640.
Poultry, 503, 530–532.
Consumption of, 693.
Poultry Runs Registration, 531–532.
Pounamu (Greenstone), 593.
Power Boards, 674–675, 676, 837–860, 1212.
Power, Electric (see Electric).
Power Used in Manufacturing Industries, 613.
Preferential Tariff, 359–362, 364–368.
Pregnancy, Diseases, etc., of, 73, 105, 107–108, 109, 113–114, 121, 124, 130.
Premiers, Successive, 1180–1181.
Premium Income, 929–952.
Preserved Meats, Production of, 628.
Prevention of Forest Fires, 558, 562.
Prevention of Profiteering, 979.
Price Tribunal, 979, 980.
Prices, 979–1008.
Collection of, 985.
Comparisons with Other Countries, 984.
Effect on Exports and Imports, 1003.
Fixation of, 979.
Guaranteed for Dairy Produce, 545–550.
Of New Zealand Stocks, 831.
Post-war Control of, 980.
Regulation of, 979–980.
Stabilization of, 979–980.
Trade Practices Act, 1958, 981.
Primage Duty, 360, 364.
Primary Products—
Consumption of, 484–485, 691–694.
Export of, 310–334, 379, 484–485, 1203–1206.
Marketing of, 532–552.
Primary Schools, 174–179, 183–187, 192–195, 1139, 1198.
Prime Ministers, Successive, 1180–1181.
Principal Events, 1219–1225.
Printing and Publishing Industry, 603, 606–626, 636.
Prisoners of War, 281.
Prisons and Prisoners, 259, 262–268, 1199.
Private Assignments, 1157–1158.
Probation, 253, 257, 260–261, 267.
Producers' Equipment, Imports of, 339, 340, 341.
Producers' Materials, Imports of, 339, 340.
Production—
Agricultural and Pastoral, 481–532, 1200, 1201.
Clothing, 633–634.
Dairy, 490–493, 629, 1207.
Fisheries, 578–580.
Forestry, 487.
Local Consumption of, 484–485, 691–693.
Manufacturing Industries, 487, 488, 595–644, 1208, 1267–1271.
Meat, 493–495, 628–629, 1207.
Mineral, 487, 584–594.
Per Head of Population, 488.
Pulp and Paper, etc., 569–571.
Timber, 567–569, 634, 1207, 1267.
Value of, 481–437, 688.
Volume of, 485, 487–488, 623–624, 689–690.
Wool, 482, 496–497, 1207.
Profit Sharing, 1011.
Profiteering, Prevention of, 979.
Prohibition Issue, 1169.
Prohibition Orders, 253.
Projections—
Labour Force, 1061–1062.
Population, 39–41.
School Population, 179.
Promotion of Employment, 1058–1060.
Properties Transferred, 453–457.
Proprietors, Working, 1063–1065.
Prorogation of Parliament, Dates of, 1184.
Protection of Wages, 1037–1038.
Provident Fund, National, 241–244, 831.
Provincial Districts, 837.
Area and Population of, 44–45.
Density of Population in, 55.
Manufacturing Industries in, 600.
Public Accounts, 787–800, 1282–1284.
Public Buildings, Expenditure on, 794.
Public Debt, 823–836, 1210.
Repayment of, 792, 823–829, 833–835.
Public Finance, 787–836, 1209, 1210, 1282–1284.
Public Health, 133–171.
Public Holidays, 1179.
Public Service, 1026, 1189–1191.
Board of Appeal, 1190.
Occupational Safety, 1124.
Classification, 1190, 1191.
Occupational Safety, 1124.
Commission, 1190–1191.
Occupational Safety, 1124.
Employees, 1190.
Superannuation, 239.
Public Trust Office, 1149–1151.
Public Utilities Sector Account, 739, 744.
Public Works—
Account, 794, 799.
Co-operative System, 1011.
Employees, 1027, 1077–1078.
Housing Construction, 655–658, 663–664, 794.
Occupational Safety, 1124–1125.
Railway Construction, 387, 794.
Road Construction, 406–407.
Public Works and Services, Maintenance of, 724, 793.
Publicans' Licences, 848, 1170–1174.
Publications—
Agriculture, Department of, 498, 515.
Census, 65.
Education, Department of, 196, 1126.
General Bibliography, 1228–1242.
Labour and Employment Gazette, 1062, 1117.
Lands and Survey, Department of, 473–474.
New Zealand Flora and Fauna, 14.
New Zealand Listener, 443, 446.
Register of Newspapers, 433.
Statistics, Department of, 1297–1298.
Publishing and Printing Industry, 603, 606–626, 636.
Puerperal Accidents, etc., 73, 105, 107–108, 109, 113–114, 121, 124, 130.
Puisne Judges, 1185.
Pukapuka (Danger) Island, 2, 1128, 1129.
Pulp and Paper, External Trade in, 575–576.
Pulp and Paper Industry, 569–571, 635.
Pulp and Paperboard, Imports of, 357.
Pumice, 311, 313, 584.
Pupils, School, 178–193, 1198.

Q

Quackery Prevention, 137.
Quarries, 593, 1022.
Accidents at, 116, 1108, 1109, 1115.
Persons Engaged in, 593, 1067.
Safety in, 1122.
Quartz Mining, 590.
Quicksilver, 591.
Quorum—
Executive Council, 33.
House of Representatives, 30.
Quotations, New Zealand Stocks, 831.

R

Rabbit Boards, 501.
Rabbit Districts, 837–860.
Rabbit Skins Exported, 312, 313, 333, 334.
Rabbits, Destruction of, 427, 500.
Racing Taxation, 801, 819–821.
Radiation Protection, 143–144.
Radio Advertising, 442–447.
Radio Assembly and Manufacture, 605, 627, 642.
Radio Beacons, 384.
Radio Broadcasting, 196, 442–448.
Radio Communication, 438–439, 1131, 1134.
Radio Licences, 447–448, 1295.
Radio Stations, 438, 439, 442–445, 1127, 1131, 1134.
Radio Time Signals, 445, 1176.
Radioactive Substances Act, 143.
Radiologists, 143–144, 225, 229.
Radio-telephone Services, 439.
Raffles, 1174.
Rail Cars, 388.
Railway and Tramway Equipment, Imports of, 339, 353.
Railways, 386–397, 1216, 1293.
Accidents, 115, 132, 397, 419.
Air Freight Service, 425–426.
Debt, 826.
Employees, 397, 1068.
Private, 386, 397.
Revenue and Expenditure, 390–392, 797, 1216.
School Children's Transport, 192.
Superannuation, 239, 397.
Tribunal, 397, 1027, 1036.
Wages and Hours Worked of Employees, 1051, 1056.
Rainfall, 10–13.
Rakahanga (Reirson) Island, 2, 1128, 1129.
Rangemaking Industry, 605, 642.
Ranges, Mountain, 4–5.
Raoul Island, 1127.
Rape, 507, 522.
Rarotonga Island, 2, 1127, 1129–1131.
Rateable Value of Land, 480.
Rates, Local Government, 725, 823, 842–844, 1211.
Rates of Exchange, 895–896.
Rates of Interest—
On Building Societies' Deposits, 892.
On Company Deposits, 892.
On Fixed Deposits, 891.
On Local Government Debt, 856, 859.
On Mortgages, 903–907, 913, 914.
On Public Debt, 828–829, 832.
On Rehabilitation Loans, 285.
On Rural Intermediate Credit, 914.
Paid by Savings Banks, 891–892.
Rates of Tax, 804–815, 967–968, 972.
Rates of Wages, 1008, 1019, 1021, 1022, 1025, 1026, 1030–1056, 1289–1290.
Rates of War Pensions, 231–234.
Rating by Local Government, 154, 155, 842–844.
On Unimproved Value, 843.
On Urban Farm Lands, 477.
Rayon Piece-goods, Imports of, 347.
Receipts, Overseas, 300–302, 877, 878, 1281.
Reciprocal Benefits, Social Security, 207, 208, 209, 221–222, 798.
Reciprocal Tariff and Trade, 364–369.
Recreation and Physical Welfare, 151–152.
Recreation in Forests, 559.
Recruiting—
Air Force, 278.
Army, 274.
Navy, 273.
Police, 268.
Red Cross Society, 151.
Redemption of Loans, 792, 795, 828–829, 849.
Redemption of Mortgages, 898–899, 907–908.
Redemption of Savings Bonds, 886.
Re-exports, 335.
Reformative Detention, 257, 263.
Refrigerators, 627, 652.
Refuge Homes, 160.
Refugee Organization, International, 61.
Refugees, 61.
Registrars, Marriages Before, 86, 91.
Registration of—
Adopted Children, 85.
Aliens, 64–65, 1296.
Apiaries, 532.
Apprenticeships, 1059–1060.
Births, 71, 74–75, 117–118.
Building Societies, 915.
Chemists, 150.
Companies, 919–922, 1217.
Dairy Companies, 493.
Deaths, 96, 117, 119.
Deeds, 453, 898.
Dentists, 148.
Designs, 1168.
Electors, 36, 840.
Ex-nuptial Births, 75, 83.
Fishing Vessels, 577.
Friendly Societies, 245.
Hospital Dietitians, 149.
Industrial Unions, 1081.
Land Titles, 453–454.
Male Nurses, 148.
Maori Births, 117–118.
Maori Deaths, 97, 117, 119.
Maori Electors, 36.
Market Gardens, 518.
Marriages, 86, 118.
Maternity Nurses, 148.
Medical Practitioners, 147.
Midwives, 148.
Mortgages, 898–902.
Motor Vehicles, 412–414.
Newspapers, 433.
Nurseries, 518.
Nurses, 148.
Nursing Aids, 148.
Occupational Therapists, 149.
Opticians, 149.
Patents, 1168.
Pharmaceutical Chemists, 150.
Physiotherapists, 149.
Plumbers, 150.
Poultry-runs, 531–532.
Private Schools, 186.
Psychiatric Nurses, 148.
Still-births, 85, 96, 107.
Trade Marks, 1168.
Trade Unions, 1081.
Unemployed, 1071.
Vessels, 382–383.
Registry, Ports of, 383.
Regulation of Prices, 979–980.
Rehabilitation, 199, 281–288, 724, 792, 910–913.
Relief Institutions, 152–161.
Relief of Unemployment, 218–219.
Religious Professions, 68–69.
Marriages by Ministers of, 91–92.
Officiating Ministers, 86, 91–92.
Renewable Leases, 461–466.
Rent Restrictions, 666–668.
Rental Cars, 412.
Rental Value, Owner-occupied Houses, 713, 718, 727.
Renters, Film, Taxation of, 821.
Rents, House, 666–668.
Rents, Stabilization of, 666.
Repayment of Public Debt, 792, 828–829, 833–835.
Representation Commission, 35.
Representatives, House of, 28–32, 1183.
Broadcast of Proceedings of, 445.
Election of, 30–31, 1169.
Members of, 1183.
Representatives in New Zealand, 1193–1195.
Representatives Overseas, 1191–1193.
Reproduction Rate, 39.
Research, Agricultural, 497–500, 510, 511, 522.
Research, Dental, 141.
Research, Educational, 203.
Research, Forestry, 563–564.
Research, Grassland, 1243–1264.
Research Institute, Wheat, 510, 511.
Research, Medical, 146–147.
Research, Mining, 593–594.
Research Scholarships, 199.
Reserve Bank, 300–302, 831, 835, 861–864, 894, 1279.
Reserves, Air Force, 279.
Reserves, Farm Industry, 552.
Reserves, Military, 277.
Reserves, Naval, 272.
Reserves, Public or Scenic, 451–452.
Restrictions on Employment, 1019, 1022, 1023, 1026.
Retail and Wholesale Trade Sector Account, 739, 745.
Retail Prices, 982–984, 1286.
Retail Trading, 696–700, 705–709, 1295.
Retailers, Bank Advances to, 869.
Revaluations, Land, 477–478.
Revenue, 787–822, 1209.
Broadcasting, 446, 447.
Customs, 363–364, 801, 803.
Electric Power, 675–678, 680, 848.
Forest Service, 565–566.
Government (see Government Finance).
Insurance Companies, 932, 934, 937, 944–945, 949–952, 1218.
Local Government, 155, 676, 725, 846–848, 1211, 1274.
National Roads Fund, 408, 795.
Picture Theatres, 1158–1162.
Post Office, 435, 439, 440.
Railway, 390–392, 395, 797, 1216.
Social Security Fund, 208, 798, 801, 821.
Urban Transport, 398, 402, 405.
Rice, Imports of, 356.
Rivers, 6–7, 670–672.
Control of, 458–460.
Road Districts, 837–860.
Bridges in, 406.
Debt of, 851.
Mileage of Roads, 406.
Road Goods Services, 415–417.
Road Passenger Services, 398–405, 415–417.
Road Safety, 417–419.
Road Transport, 398–405, 414–417, 1294.
Roads, 406–421.
Accidents on, 73, 109, 114, 115, 121, 419–421.
Expenditure on, 407–410, 795, 826.
Taxation, 407–408, 415, 801, 803–804.
Roll, Valuation, 475–476, 843.
Rolling Stock—
Buses, etc., 400, 401, 404.
Railway, 388–389.
Roman Catholic Schools, 177, 187, 1130.
Ross Dependency, 2, 3, 38, 1144–1146, 1242.
Whaling, 1146.
Rotorua Thermal Springs, 1177.
Royal New Zealand Air Force, 277–279, 280, 281.
Royal New Zealand Navy, 272–274, 280, 281.
Rubber Products Industry, 604, 606–626, 637, 1056.
Rural Advances, 458, 908–914.
Rural Education, 191–193.
Rural Housing, 649–650, 659, 663, 845, 911.
Rural Intermediate Credit, 914.
Rural Mail Deliveries, 432.
Rural Mortgages, 901–902, 904, 911.
Rural Population, 45–46.
Ryecorn, 507, 522.

S

St. Helens Hospitals, 142, 159, 225.
St. John Ambulance, 151.
Safety, Occupational, 1116–1125.
Safety of Machinery, 1117–1118.
Salaries and Wages, 399, 403, 405, 440, 599–605, 610–612, 626–644, 675–677, 684–686, 698, 702, 703, 718, 727, 732, 733, 741–746, 963, 1159, 1208.
Charge on, 155, 208, 798, 801, 821, 1044.
Salaries of Members of—
Executive Council, 31.
House of Representatives, 31–32.
Public Service, 1191.
Sales Tax, 724, 791, 801, 822.
Salmon, 583.
Salt, 584, 593, 835.
Samoa (see Western Samoa).
Sanatoria, 158.
Sanctuaries, Wildlife, 453.
Sand and Gravel, 584.
Sand Dunes, Stabilization of, 561.
Sanitation, 133–138.
Sausage Casings, Export of, 312, 313, 329, 333, 334.
Savai'i Island, 3, 1136.
Savings Accounts and Bonds (National), 823–824, 885–886.
Savings Banks, 881–886, 891–892, 1214, 1280.
Savings, Private, 715–722.
Savings, Small, 886.
Sawmills, etc., 567–573, 603, 634.
Wages and Hours Worked of Employees, 1051, 1055.
Scheelite, 311, 313, 591.
Scholarships, 198–200, 1139.
School Certificate, 175–176, 180.
Schoolchildren, 178–193, 1198.
Dental Treatment of, 140.
Medical Inspection of, 139.
Milk for, 139, 193.
Transport and Board of, 191–192.
School Committees, 172, 173.
School Inspectors, 184, 186, 188.
School Journal, 196, 1126.
School Savings Bank, 883.
School System, 174–177.
School Teachers, 172–175, 186, 187, 193–196.
Superannuation, 239.
Schools, 172–206, 1130, 1134, 1138, 1139.
Combined, 178, 187–190, 192, 195.
Consolidation of, 191.
Denominational, 177, 187, 1130, 1138, 1139.
Dental Clinics, 140.
Free Text-books in, 196.
Military, 276.
Of Mines, 197, 593.
Private, 178, 186–187, 192, 1198.
Public, 172–196, 1198.
Special, 181, 202.
Science, Defence, 270–271.
Scientific and Industrial Research, Department of, 498–500, 1227.
Sea Fisheries, 577–582.
Seals, 582.
Seamen, 228, 234, 236, 1022–1024.
Seamen Act, Shipping and, 1022.
Secondary Education, 173–180, 187–191, 195–196, 1198.
Sector Accounts and Inter-Industry Studies, 736–763.
Seed Certification, 513, 522.
Seed Sowing, Aerial, 427.
Seeds, Grass and Clover, 507, 508, 514–515.
Exported, 312, 314, 330, 333, 334, 1205.
Seismology, 9–10.
Sentences on Criminals, 256–257, 1199.
Separate Rates, 842.
Separation, Judicial, 93, 94.
Separators, Cream, 503.
Serpentine, 584, 592–593, 638.
Service, Public (see Public Service).
Service-car Licences, 412.
Servicemen—
Acquisition of Land by Ex-, 283–284, 465–467.
Casualties Overseas, 281.
Demobilization of, 288.
Educational Facilities for Ex-, 284.
Financial Assistance to Ex-, 285–288, 465–467, 910–913.
Pensions for Ex-, 228, 231–238.
Registration of Deaths of, 96.
Rehabilitation of Ex-, 199, 281–288, 724, 910–913.
Services—
Air Force, 277–279, 280, 281.
Army, 274–277, 279–281.
Navy, 272–274, 280, 281.
Services Sector Account, 740, 746.
Sessions, Parliamentary, Successive, 1184.
Settlement of Industrial Disputes, 1087–1090, 1097–1098.
Settlement of Land, 449–471.
Settlement, Servicemen's, 283–284, 285–287, 465–467.
Settlement, Small Farms, 461–464.
Sex Proportions, 42.
Sexes of—
Children Born, 78–80, 86, 118.
Factory Employees, 607–609.
Patients in Mental Hospitals, 162–170.
Patients in Public Hospitals, 128.
Prisoners, 264, 265.
Scholars and Students, 184, 186–190, 197–198.
School Teachers, 186, 187, 193–196.
Twin Births, 80.
Sexual Offences, 253, 257, 259, 260.
Share Prices, Index Numbers, 1003–1006, 1287.
Sharemilking Agreements, 1025.
Shares in Building Societies, 916, 917.
Shares, Labour, 1011.
Sharks, 582.
Shearers' Wage Rates, 1036–1037, 1051.
Shearing Machines on Farms, 503.
Sheep, 523–527, 1201.
Sheep and Lambs Slaughtered, 495, 628.
Sheep Farms, 503.
Sheep Skins and Pelts Exported, 312, 313, 329, 333, 334, 1206.
Sheetmetal Working Industry, 605, 643.
Shipping, 370–385, 1292–1293.
On Inland Waters, 382.
Shipping and Seamen Act, 1022.
Ships (see Vessels).
Shoe and Boot Industry, 634.
Shops and Offices Act, 1020–1021.
Shops, Fire Losses on, 948.
Short-wave Radio Broadcasting, 443, 444.
Sick Funds, 246, 440.
Sickness, 124–132, 246.
Benefits, 209, 210, 219–220, 228.
Insurance, 246, 936.
Signals, Time, 445, 1176.
Silage, 514.
Silica Sand, 584.
Silver, 584, 590.
Coins, New Zealand, 892.
Exported, 311, 313.
Silviculture, 558–561, 563.
Sinking Funds, 157, 679, 681.
Skins, Hides, and Pelts, Export of, 310, 312, 313, 328–329, 333, 334, 379, 1206.
Slaughter of Animals for Food, 495.
Snares Islands, 2, 1127.
Soap and Candle Industry, 604, 638.
Social Accounts, 713–786.
Social Security, 155, 207–230, 1010, 1014, 1285.
Benefits, 141, 170, 209–230, 714, 724, 727, 798.
Charge, etc., 155, 208, 798, 801, 821–822, 970, 971, 1044.
Fund,' 141, 208, 798, 802, 821–822.
Income Tax, 208, 798, 801.
Reciprocity with Australia, 207, 208, 209, 221.
Reciprocity with United Kingdom, 207, 209, 221–222.
Supplementary Assistance, 220, 228.
Taxation, 208, 724, 798, 801, 821–822, 1044, 1284.
Soil Conservation, 458–460, 561.
Soil Survey, 499–500.
Solander Island, 2, 1127.
Soldiers, 274–277, 279–281.
Sources of Income, 963–964.
South Africa, Union of—
Birth and Natural Increase Rates, 78.
Libraries, 1165–1166.
Population, Annual Average Increase, 41.
Prices in, 984.
Reciprocal Trade with, 365–366.
South African War Pensions, 228, 236.
South-East Asia Treaty Organization (SEATO), 26.
Southern Alps, 4–5.
Sovereignty, 19–20.
Spas, 1177.
Specialist Services, 226, 229.
Specie, Movement of, 305, 1202.
Speed Limit, 417–418.
Spinsters Marrying, 89.
Spirits, Consumption of, 693.
Spirits, Duty on, 361–363, 364.
Spirits, Imports of, 345, 356.
Sports, 152.
Stabilization of—
Prices, 979–980.
Rents, 666.
Sand Dunes, 561.
Wages, 1038–1042.
Stabilization Subsidies, 694–695, 714, 725, 792.
Stakes, Tax on, 820.
Stamp Duties, 791, 801, 819.
Standard Time, 1176.
Standardized Death Rates for Cancer, 111.
State Advances, 845, 848, 908–915.
Corporation, 648–649, 831, 835, 845, 853, 908–915.
State Aid to—
Afforestation, 563–564.
Building, 648–649, 845, 908–915.
Cook Islands, 1132.
Discharged Servicemen, 281–288, 465–467, 910–913.
Farming Industry, 460–467, 497–500, 908–914.
Hospital Boards, 154, 155, 157.
Housing, 845, 908–915.
Immigrants, 59–60.
Local Government, 154, 155, 157, 409–411, 725, 845, 910–913.
Manufacturing, 911–913.
Mining, 593–594.
Niue Island, 1135.
Prospecting, 593.
Purchases of Private Land, 465.
Superannuation Funds, 241, 244.
Unemployed, 218–219, 228, 1071.
Wheat Growing, 510, 511.
State Coal Mines, 588–589.
Account, 797–798.
Persons Employed in, 588.
State Departments, 33–34, 1149, 1182, 1187–1189.
State Electricity Department, 670, 1078.
Occupational Safety, 1122.
State Finance, 723–727, 787–836, 1209, 1210.
State Forests, 553–555, 557, 826.
State Housing, 645, 655–658, 663–664, 794, 826.
Sale of, 914–915.
State Indebtedness, 823–836, 1210, 1284.
State Insurance—
Accident, 831, 950–951.
Earthquake and War Damage, 799, 951–952.
Fire, 831, 951.
Life, 949–950.
State Marketing, 538.
State Maternity Hospitals, 159, 224–225.
State Placement Service, 1058, 1070.
Stations—
Air Force, 278.
Fire Brigade, 948.
Hydro-electric, 670–672.
Meteorological, 11, 12, 1127.
Naval, 272.
Radio, 438, 439, 442–445, 1127, 1131, 1134.
Telephone, 436.
Statistical Information, Latest, 1265–1296.
Statistical Publications, 1297–1298.
Statistical Summary, 1196–1218.
Statutes of 1959, 1177–1179.
Steam Electric Power Station, 672.
Steam, Geothermal, 673.
Steel and Iron, Imports of, 348–349, 357.
Steel Industry, 598.
Sterling Exchange—
Holdings of, 864, 875.
Rates, 895–896.
Sterling Values of Currency, 895–896.
Stewart Island, 2, 3.
Oysters, 581.
Population, 50.
Still-births, 19, 80, 85–86, 107–108.
Registration of, 85, 96, 107.
Stock and Station Agents—
Advances to, 869.
Deposits, etc., with, 886–887.
Stock, Live (see Livestock).
Stock, Quotations for, 831.
Stock, Registered, Local Government, 852.
Stocks, Manufacturers', 621–622.
Stocks, Retail, 696–700, 709.
Stone Fruits, 507, 519, 692.
Stone Quarries, 593.
Stones, Building and Ornamental, 584, 593.
Stranding of Vessels, 385.
Streets and Roads, Length of, 406.
Strikes, 1087–1099.
Students, 178–180.
Students, University, 178, 180, 197–198, 1198.
Subscribers, Telephone, 436.
Subsidies—
Highways, 409–411.
On Food and Clothing, 725.
Stabilization, 694–695, 714, 725, 792.
To Farming Industry, 725.
To Gasworks, 682, 694, 695.
To Hospital Boards, 154, 155, 157.
To Local Government, 848.
To Mining, 593.
To National Provident Fund, 244.
To Superannuation Funds, 241, 440, 795, 797, 798.
Succession Duty, 819.
Suffrage, 31, 35, 839–841.
Sugar—
Consumption of, 693, 694.
Duty on, 36!, 363, 364.
Exported, 312, 314.
Imports of, 345, 356.
International Agreement, 369.
Price Fixation of, 979.
Used by Factories, 630, 631, 632.
Sugar of Milk Exported, 312, 313, 333, 334.
Suicide, 73, 109, 116–117, 121, 262.
Sulphur, Imports of, 357.
Sulphur, Used in Fertilizer Industry, 638.
Summary Convictions, 252–255, 259, 1199.
Summer Time (Daylight Saving), 1175.
Sunshine, 11, 12.
Superannuation, 31–32, 156, 238–241, 397, 792.
Benefits, Social Security, 209, 210–211, 228.
Private Funds, 241.
Superphosphate and Fertilizer Industry, 638.
Superphosphate, Price Fixation of, 979.
Supplementary Medical, etc., Benefits, 209, 225–229.
Surtax, 359, 361.
Survey of Companies with Overseas Affiliations, 780–786.
Survey Publications, 473–474.
Survey System, 471.
Surveys—
Aerial, 427, 472.
Geodetic, 471.
Geological, 593–594.
National Forest, 564.
Of Coal Resources, 586.
Of Consumer Credit, 709–712.
Of Employment, 1062–1071.
Of Land, 471–474.
Of Retail Prices, 984.
Of Retail Trading, Quarterly, 705–709, 1295.
Of Ships, 384.
Soil, 499–500.
Standard, 472.
Tidal, 473.
Sustenance Allowances, 1071.
Suwarrow (Anchorage) Island, 2, 1128, 1129.
Swedes, 507, 508, 514, 522.
Sweepstakes, 1174.
Swimming, 152.
Drowning Accidents, 114.
Swordfish, 582.
Syphilis, 73, 105, 109, 120, 129, 136, 164, 165, 167, 170.

T

Takutea Island, 2, 1128, 1129.
Tallow Exported, 312, 313, 327–328, 333, 334, 379, 1203.
Tallow Produced, 628.
Tanning Industry, 604, 637, 1055.
Tariff, Customs, 359–369.
Tariffs and Trade Agreement (GATT), 368.
Tasman Empire Airways Ltd., 427–428, 826, 835.
Tasman Pulp and Paper Co., 570, 835.
Tax, Income, 724, 791, 801, 804–815, 953–978.
Tax, Land, 724, 791, 801, 804, 815–816.
Taxation, 363, 714–735, 791, 800–823, 1209, 1284.
Amusement, 801, 821, 1159–1162.
Customs, 359–369, 724, 801, 803.
Direct, 720, 721, 724, 725, 729–733, 800.
Employment Promotion, 821, 1044.
Film Hire, 791, 801, 821.
Forest, 565.
Highways, 407–408, 801, 803–804.
Indirect, 714, 721, 724, 729, 730.
Local Government, 725, 823, 842–844.
Motor Spirits, 362, 408, 415, 804, 848.
Motor Vehicles, 362, 408, 724, 804.
Orchards, 519.
Racing, 801, 819–821.
Roads, 407–408, 801, 803–804.
Sales, 724, 791, 801, 822.
Social Security, 208, 724, 798, 801, 821–822, 1044, 1284.
Taxis, 412.
Taxpayers, Incomes of, 953–978.
Tea—
Consumption of, 693.
Duty on, 361.
Imports of, 345, 356.
Teachers' Grading, 173.
Teachers' Superannuation, 239.
Teachers' Training Colleges, 176, 180, 181, 193–194.
Teaching Aids, 196.
Teaching Profession, 193–196.
Technical Correspondence School, 178, 189.
Technical Education, 178, 187–191, 195, 1198.
Telegraph Services, 435–436, 438.
Telephones, 435–438.
Television, 444.
Temperature Records, 11–13.
Tenancy Act, 666–668.
Tenancy and Rents, 666–668.
Tenure of Crown Lands, 460–467.
Tenure of Dwellings, 652.
Tenure of Occupied Land, 451, 462–464.
Terminating Building Societies, 916–918.
Terms of Trade, 1003, 1287.
Territorial Air Force, 277–279.
Territorial Forces, 274–277.
Text-books in Schools, Free, 196.
Textiles, Duty on, 362.
Textiles, Production of, 602, 606–626, 633.
Theatres, etc., Fire Losses on, 948.
Theatres, Picture, 1158–1163.
Theft, 253, 257, 2 58, 260.
Therapists, Occupational, 149.
Third-party Risks Insurance, 936–941.
Thorium, 590.
Three Kings Islands, 2, 1127.
Threshing Machines, 504.
Thrift Club Accounts, Post Office Savings Bank, 882.
Tidal Survey, 473.
Timber—
Carried on Railways, 395, 396.
Value of, 487.
Export Duty on, 363.
Value of, 487.
Export of, 311, 313, 331, 333, 334, 573–576.
Value of, 487.
Import Duty on, 362.
Value of, 487.
Imports of, 351, 357, 573–574.
Value of, 487.
Output, 567–569, 634, 1207, 1267.
Value of, 487.
Plantations, 450, 503, 508, 517, 553–555.
Preservation of, 572–573.
Resources, 553–555.
Sales, 566.
Trees, 14, 576.
Timbers, Strengths of, 576.
Time Lost—
Through Industrial Accidents, 1113.
Through Industrial Disputes, 1092–1099.
Time Service, 445, 1175–1177.
Tin, 591.
Tire Tax, 362, 408, 804.
Title, Certificates of, Issued, 453–454.
Titles, Compulsory Registration of, 453.
Tobacco, 508, 521.
Consumption of, 693.
Duty on, 361, 363, 364.
Factories, 602, 606–626, 633, 1055.
Imports of, 337, 345, 356.
Tokelau (Union) Islands, 1–3, 38, 61, 1142–1144.
Toll Communications, 436, 438.
Ton-miles Flown, 425–428.
Tonnage of Registered Vessels, 382–383.
Tonnage of Shipping and Cargo, 370–383.
Tons, One-mile, Railway, 395.
Top-dressing, 427, 516–517.
Topographical Mapping, 472.
Totalizator Taxation, 819–820.
Totalizator, Turnover on, 819–821.
Tourist Agents Overseas, 1191–1193.
Tourist Attractions, 1177, 1227.
Tourists, 58.
Tourists' Rail Tickets Issued, 394.
Town and Country Planning, 844–845.
Town Districts, 837–860.
Area of, 53.
Bridges in, 406.
Capital and Unimproved Values, 479.
Debt, 851, 854.
Mileage of Streets, 406.
Population, 53.
Tractors, Imports of, 350, 357.
Tractors on Farms, 503, 504.
Trade, 289–382, 1202–1206, 1276–1278.
Agreements, 364–369, 534–535.
Balance of, 295.
Board of, 308–309, 360.
Classification of Statistics, 304.
Commissioner Service, 309–310.
Cook Islands, 335–336, 358–359, 1131–1132.
Direction of, 295–300.
Nauru Island, 1148.
Niue Island, 335, 1135.
Of Ports, 332, 357–358, 370–380.
Representatives, 1191–1195.
Terms of, 1003.
Volume of, 303, 689.
Western Samoa, 1140–1141.
Trade Marks, 1168.
Trade Practices Act 1958, 981.
Trade Training of Discharged Servicemen, 282–283, 288.
Trade Unions, 1081–1086.
Trades Certification, 180, 181.
Trading Accounts, State, 797–798.
Trading Banks, 864–873, 889, 1213, 1279.
Trading Companies, Deposits with, 892.
Trading, Retail, 696–700, 705–709.
Traffic—
Accidents, 73, 109, 114, 115, 121, 132, 397, 417–421.
Air, 422–430.
Motor, 412–421.
Offences, 253, 254–255.
Railway, 391–396, 1216.
Training of—
Defence Forces, 272–279.
Dental Nurses, 140.
Discharged Servicemen, 282, 288.
Forestry Employees, 564.
Nurses, 145.
Police Recruits, 268.
Teachers, 180, 181, 193–195.
Tramways, etc., 398.
Accidents, 115, 419.
Cable, 403.
Transhipment of Cargo, 378–381.
Transport, 370–430, 1292–1294.
Accidents, 114, 115, 132.
Districts, Urban, 837–860.
Equipment, Imports of, 339, 340, 341.
Equipment Industry, 605, 606–626, 642–643.
Licensing, 415–417.
Of School Children, 191–192.
Persons Engaged in, 1068.
Urban, 398–405.
Transport and Communications Sector Account, 739, 745.
Trawling, 577, 580.
Treasury Bills, 824, 830.
Treaty of Waitangi, 19.
Tree Planting, 553–561.
Trees, Forest, 14, 576.
Triplets Born, 79, 80.
Trolley-buses, 401, 404.
Trout, 7, 583.
Trust (Liquor) Control, 1173–1174.
Trust Territory, 1–3, 38, 61, 239, 1136–1142, 1147.
Trustee, Maori, 469, 831.
Trustee, Public, 1149–1151.
Trustee Savings Banks, 883–885, 892, 1280.
Tuberculin Tests, 127.
Tuberculosis, 73, 105, 106, 109, 110, 111, 122, 124, 127, 129, 134, 135, 136, 138, 151, 158, 170, 1130.
Maori Deaths from, 120, 122.
Register, 127.
Vaccination, 127, 138.
Tungsten Ore, 584, 591.
Tunnels, Railway, 386–388.
Turkeys, 530.
Turnbull, Alexander, Library, 1227.
Turnips, 507, 508, 514, 522.
Tussock Boards, Nassella, 837–860.
Tussock, etc., Land, 516.
Twins and Triplets Born, 79–80, 84.

U

Undergraduates, 197.
Under-Secretaries, Parliamentary, 31.
Unemployment, 1071.
Benefits, 209, 210, 218–219, 228, 1071.
Taxation, 1044.
Unexercised Overdraft Authorities, 873.
Unimproved Occupied Land, 451.
Unimproved Value of Land, 475–480.
Land Tax Assessed on, 815.
Rating on, 843.
Unions, Trade, 1081–1086.
United Kingdom—
Birth and Natural Increase Rates, 78.
Consumption of Foodstuffs, 691, 694.
Dairy Produce and Meat Imported into, 535–536.
Debt Domiciled in, 829–835, 855, 1210.
Libraries, 1165–1166.
New Zealand Representatives in, 1192.
Population, Annual Average Increase, 41.
Prices in, 984.
Representatives in New Zealand, 1195.
Social Security Reciprocity, 207, 209, 221–222.
United Nations, 3, 24–26, 78, 88, 98, 102, 117, 1136.
United States of America—
Birth and Natural Increase Rates, 78.
Consumption of Foodstuffs, 691, 694.
Debt Domiciled in, 830, 1210.
Exchange Rate with, 896.
Libraries, 1165–1166.
New Zealand Representatives in, 1193.
Population, Annual Average Increase, 41.
Prices in, 984.
Representatives in New Zealand, 1195.
University Education, 176, 178, 180, 190, 196–200, 1198.
Committee on, 200.
University Scholarships, 198–200.
Unpaid Fractions, Totalizator, 820.
Upolu Island, 3, 1136.
Uranium, 590, 594.
Urban Drainage Districts, 837–860.
Urban Drift, 45.
Urban Farm Lands, Rating on, 477.
Urban Housing, 659–665.
Urban Mortgages, 901–902, 904, 911.
Urban Population, 45–48.
Urban Transport, 398–405.
Urban Transport Districts, 837–860.

V

Vacancies, Employment, 1066, 1069, 1070, 1292.
Vaccination, 127, 138, 139.
Valuation—
Of Exports, 292, 310.
Of Imports, 292, 336.
Of Land, 474–480.
Of Personal Expenditure, 715.
Roll, 475–476, 843.
Value Added in Manufacturing, 599–605, 617–619, 622, 623, 624, 628–644, 1208.
Value of—
Currency, 895–896.
Farm Production, 481–487.
Goods Available for Use, 687–688, 1273.
Manufacturing Production, 485–488, 599–644, 1208.
Materials Used in Manufacturing Industries, 599–644, 1208.
Production, 481–487, 688.
Veal—
Consumption of, 494, 692.
Export of, 333, 334.
Production of, 493, 494, 628.
Vegetable Gardens, 518.
Home Production in, 518–519.
Vegetables—
Consumption of, 692, 693.
Exported, Canned and Frozen, 312, 314.
Retail Prices of, 982.
Vegetation, 14.
Vehicles—
Buses, 398–405.
Motor (see Motor Vehicles).
Railway, 388.
Veneer and Plywood, 571–572, 603, 641.
Venereal Diseases, 73, 105, 109, 120, 122, 129, 136, 164, 165, 167, 170.
Vessels—
Crews of, 58.
Entered and Cleared, 370–377.
Fishing, 578.
Nationality of, 373–374.
Naval, 272, 274.
Radio Communication with, 439.
Registered, 382–383.
Safety of, 1118–1119.
Survey of, 384.
Wrecked 385.
Veterans' Allowances, 228, 232, 234–235, 236.
Veterinary Services, 498, 500.
Vineyards and Grapes, 517, 519.
Visitors to New Zealand, 58.
Visual Aids in Teaching, 196.
Vital Statistics, 71–132, 1197.
Cook Islands, 1129.
Niue Island, 1133.
Western Samoa, 1138.
Vocational Guidance, 191, 1059.
Volcanoes, 4, 5.
Volume of—
Exports, 303, 689.
Farm Production, 483, 487–488,
Goods Available for Use, 689, 1273.
Imports, 303, 689.
Manufacturing Industries Production, 487–488, 623–624.
Money in Circulation, 889.
Production, 483, 487–488, 623–624.
Trade, 303, 689.
Voluntary Contributions to Hospitals, 155.
Voluntary Welfare Organizations, 151.
Voting—
At General Election, 1169.
At Licensing Polls, 1169–1170.
Qualifications, 35–36, 839–841.
Vouchers, Audit of, 787.

W

Wage and Salary Earners, 599–605, 860, 1086.
Wage, Basic, 1030.
Wage, Minimum, 1019, 1021, 1026, 1030–1031.
Wage Rates, 1008, 1019, 1021, 1022, 1025, 1026, 1030–1056, 1288.
Wages—
And Salary Payments, 399, 403, 405, 440, 599–605, 610–612, 626–644, 675–677, 684–686, 698, 702, 703, 718, 727, 732, 733, 741–746, 963, 1159, 1208.
And Wage Rate Legislation, 1030–1042.
Average Hourly Wage in Industry, 1055–1056.
Increases in, 1019, 1030–1055.
Legislative Changes in, 1030–1042.
Lost Through Industrial Disputes, 1092–1099.
Minimum Weekly Rates, 1050–1053.
Of Electric-supply Employees, 675–677.
Of Manufacturing Industry Employees, 599–605, 610–612, 626–644, 1208.
Of Picture Theatre Employees, 1159.
Protection of, 1037–1038.
Shearers', 1036–1037, 1051.
Stabilization of, 1038–1042.
Tax on, 155, 208, 798, 801, 821, 1044.
Waitangi, Treaty of, 19.
War, 279–281.
Bursaries for Ex-servicemen's Children, 234, 284.
Labour Legislation, 1013.
Prices, 979.
Casualties, 281.
Labour Legislation, 1013.
Prices, 979.
Damage and Earthquake Insurance, 799, 951–952.
Labour Legislation, 1013.
Prices, 979.
Deaths Register, 96.
Labour Legislation, 1013.
Prices, 979.
Debt, 826.
Labour Legislation, 1013.
Prices, 979.
Loans, 826.
Labour Legislation, 1013.
Prices, 979.
Measures Affecting—
Labour Legislation, 1013.
Prices, 979.
Pensions, 228, 231–238, 1285.
Pensions Appeal Board, 235.
Pensions Supplementary Assistance, 234.
Publications Pertaining to, 1241–1242.
Veterans' Allowances, 228, 232, 234–235, 236.
Warships, 272, 274.
Washing Machines, 627, 652.
Water Power, 670–672.
Waterfront Control, 1015–1016, 1027–1029.
Weather, 10–13.
Cook Islands, 1127.
Niue Island, 1133.
Western Samoa, 1136.
Weights and Measures, 471, 507.
Welfare, Maori, 1175.
Welfare, Maternal, 135, 142.
Welfare of Workers, 1020, 1021, 1022, 1023–1024, 1026.
Welfare Organizations, 151.
Wellington—
Broadcasting Stations, 443, 444.
Building Values, 662.
Climate, 11, 12.
Houses and Flats, New State, 664.
Population, 47, 48, 51.
Retail Prices, 982–984.
Sales Tax Receipts, 822.
Shipping, 332, 358, 373, 376–380.
Urban Transport, 404–405.
Victoria University of, 197.
Western Samoa, 1–3, 61, 239, 1136–1142.
Bibliography, 1242.
Education, 1138–1139.
Population of, 38, 1137–1138.
Radio Communications, 439, 1140.
Trade, 1140–1141.
Whale Oil, 311, 313, 578, 582.
Whales and Whaling, 582, 1146.
Wheat, 507–511, 1200.
Imports of, 345, 356.
International Agreement, 368–369.
Milled, 630.
Price Fixation, 979.
Research, 499.
Whey Butter, 492, 629.
Whipping Abolished, 257.
Whitebait, 578, 582.
Wholesale and Retail Trade Sector Account, 739, 745.
Wholesale Liquor Licences, 1170–1173.
Wholesale Prices, 984, 992–996.
Wholesale Trading, 700–702.
Whooping-cough, 73, 105, 109, 120, 122, 139.
Widowers, Remarriages of, 89, 90.
Widows—
Benefits, 209, 210, 213–214, 228.
Remarriages of, 89, 90.
War Pensions, 231–238.
Wildlife Sanctuaries, 453.
Wills Administered by Public Trust Office, 1149–1151.
Wine, Consumption of, 693.
Wine, Duty on, 361.
Wine Licences, 1170–1173.
Wine-making Industry, 602.
Withdrawals from Savings Banks, 881–886, 1214.
Wives, Aggregation of Income, 961–962.
Wives, Allowances in Respect of, 211–239.
Women—
Air Force, Royal New Zealand, 277, 279.
Army Corps, Royal New Zealand, 274.
Deaths of, in Childbirth, 73, 109, 113–114, 121, 130.
Eligible for Parliament, 31.
Employed in Factories, 607–609, 1061, 1063–1068.
Nationality Laws, re, 63.
Naval Service, Royal New Zealand, 273.
Of Child-bearing Ages, 76–77.
Offences by, 258.
Police, 269.
Wage Rates of, 1031, 1047–1049, 1052, 1053.
Working Conditions of, 1019, 1020, 1022.
Working Hours of, 1057.
Wood Preservation, 572.
Wood Pulp, Exports of, 311, 313, 331, 333, 334, 576.
Wood Pulp, Production of, 569.
Wool—
Capital Account, 552.
Carried on Railways, 395, 396.
Commission Account, 552.
Commissions, 539.
Export Price Index, 1000.
Exports of, 310, 312, 313, 322–323, 333–334, 379, 1203.
Imports of, 345.
Levy, 363, 497, 539.
Marketing of, 539.
Prices for, 542–543, 1207, 1266.
Production, 482, 496–497, 628, 1207.
Retention Moneys, 552, 719.
Used at Local Mills, 496, 633.
Woollen Mills, 602, 633, 1055.
Woollen Piece-goods, Imports of, 347.
Woolscouring Industry, 602.
Workers' Compensation, 1100–1108.
Board, 1104, 1125.
Insurance, 937, 950–951.
Workers' Educational Association, 204.
Working Conditions, 1016–1029.
Working Conditions in the Government Service, 1026.
Working Days Lost Through Industrial Disputes, 1092–1099.
Working Hours, 624–625, 1018, 1019–1025, 1054–1057.
Working Life Expectancies, 1079–1080.
Working Proprietors, 1063–1065.
World Population, 70.
Wrecks, 385.

X

X-ray, 143–144.
Diagnostic Services, 225–226, 229.
Examinations, 127, 138, 225–226.

Y

Yields—
Butterfat, 490, 491.
Crops, 509–515, 1200.
On Market Prices of Shares, 1006.
Youth Centres, 191, 1059.
Youth Hostels, 160–161.
Youths—
Wage Rates of, 1052–1053, 1057.
Working Conditions of, 1019, 1020, 1022.

Z

Zoology, 14.