THE NEW ZEALAND OFFICIAL YEAR-BOOK, 1945


Table of Contents

PREFACE.

IN presenting the 1945 edition of the New Zealand Official Year-Book (the fifty-third number of the volume) I am obliged to express regret that the hoped-for improvement in date of publication has not been found practicable. Continued shortage of staff and pressure of work in the Census and Statistics Department and the Government Printing Office, combined with delays in obtaining necessary material, are the responsible factors.

My grateful thanks are due to Mr. J. Gilchrist, Acting Chief Compiler, for the manner in which he has carried out the editorial duties under very severe handicaps. I thank also other officers of the Census and Statistics Department, and officers of other Departments, who have assisted by revising material for inclusion in the Year-Book.

J. W. BUTCHER,

Government Statistician.

Census and Statistics Department, Wellington C. 1, New Zealand, 19th October, 1945.

LATEST STATISTICAL INFORMATION

[Following are certain important statistical data for later periods than are included in the body of the Year-Book. The page numbers relate to the appropriate pages in this Year-Book containing more complete information in respect of earlier periods.]

POPULATION (pp. 13–31):—  
Population (inclusive of Maoris but exclusive of Cook and other Pacific Islands)—
       As at 31st December,
 1943.1944.
Males790,842813,568
Females851,199862,718
   Totals1,642,0411,676,286
MIGRATION (pp. 18–20):—Twelve Months ended 31st March,
 1944.1945.
Passenger arrivals*3,7477,207
Passenger departures*3,6406,189
VITAL STATISTICS, excluding Maoris (pp. 31–81).—Twelve Months ended 31st December
Numbers—1943.1944.
Births30,31133,599
Deaths15,44715,363
Marriages11,57913,125
Infant deaths9511,012
Rates—  
Births (per 1,000 mean population)19.7021.59
Deaths (per 1,000 mean population)10.049.87
Marriages (per 1,000 mean population)7.538.43
Infant mortality (per 1,000 live births)31.3730.12
AGRICULTURE (pp. 212–254):—  
Areas sown (p. 230)—1943–44. Acres.1944–45. Acres.
Wheat239,183188,771
Oats228,887228,470
Barley36,31043,200
Potatoes27,17829,774
Live-stock (pp. 240–252):—  
Dairy cows in milk1,647,9201,678,943
Total cattle4,439,2584,590,926
Sheep and lambs33,200,29833,974,612
Pigs573,362593,828
Horses225,823217,689
Wool-production (p. 244) (greasy basis) (million lb.)330.0372.0
Butterfat-production (pp. 247–248) (million lb.)387.8430.0
TRADE (pp. 684–737):—1944.1945.
Commodity exports—££
Twelve months ended 30th June73,235,27486,922,973
Commodity imports  
Twelve months ended 30th June97,779,76767,734,502
Excess of exports—  
Twelve months ended 30th June24,544,49319,188,471

* Excluding through passengers.

† Includes defence materials and equipment, also lend-lease supplies.

‡ Excess of imports.

PRINCIPAL EXPORTS, NEW ZEALAND PRODUCE (p. 690–705)

Twelve Months ended 31st December,
1943.1944.
Quantity.Value.Quantity.Value.
  £ £
Butter (cwt.)1,985,18714,392,7592,306,79818,553,480
Cheese (cwt.)2,009,9479,125,9581,554,0537,443,632
Frozen beef (cwt.)382,052876,73159,531137,853
Frozen lamb (cwt.)3,209,07211,119,5842,723,7859,643,671
Frozen mutton (cwt.)439,939740,5871,087,3631,825,710
Meat, dehydrated (cwt.)35,535547,07815,843218,953
Meat, canned (cwt.)331,5731,809,09581,657545,945
Sausage casings (lb.)4,333,2981,087,7534,263,4061,027,517
Milk, dried (lb.)19,169,318490,81617,485,231496,960
Biscuits..1,733,335..632,398
Calf-skins and cattle - hides (number)1,361,1301,129,1741,193,098899,560
Rabbit-skins (number)12,290,284903,24113,886,065974,909
Sheep-skins (number)14,776,6252,264,08015,231,7602,386,648
Wool (bale)622,18213,483,544582,27212,711,407
Seeds, grass and clover (cwt.)90,720665,113158,4181,453,090
Tallow (ton)43,9551,071,23226,624608,263

IMPORTS—PRINCIPAL ITEMS (pp. 706–723)

Twelve months ended 31st December,
1943.1944.
 ££
Raisins and sultanas418,751478,085
Wheat513,1051,002,855
Sugar1,355,9641,424,754
Tea462,341941,219
Tobacco (unmanufactured)669,577619,745
Floor-coverings191,078405,331
Cotton, linen, silk, and artificial silk piece-goods6,831,9927,310,304
Woollen piece-goods831,6391,302,697
Sewing silks and cottons352,308410,729
Bags, sacks, and woolpacks858,1421,331,487
Yarns1,027,3071,108,814
Paints, colours, and varnishes344,179307,857
Metal cordage303,592309,535
Iron wire (other than fencing)842,399235,824
Agricultural implements and machinery410,554356,749
Electrical machinery (including wireless apparatus)2,758,8854,687,522
Timber306,779312,566
Printing-paper922,243800,858
Other paper661,452579,092
Books, papers, and music, printed575,074677,536
Manures504,026713,946
Plain table-cloths, towels, sheets, and drapery, n.e.i.305,062716,585
Railway and tramway plant214,675593,471
Tools and implements, artificers&342,537518,202

FACTORY PRODUCTION (pp. 281–307)

Production Year.
1942–43.1943–44.
Number of establishmentsNo.6,1276,202
Persons engagedNo.114,590117,864
Salaries and wages paid£32,256,07134,433,075
Cost of materials used£107,447,799112,883,932
Other expenses of manufacture£13,331,97314,516,235
Value of output£165,936,284175,686,689
Added value£58,488,48562,802,757

FACTORY PRODUCTION—CERTAIN PRINCIPAL INDUSTRIES (pp. 300–307)

Industry.Production Year.
1942–43.1943–44.
* Excluding establishments exclusively engaged in malting
Meat freezing and preserving works—
Total persons engagedNo.10,13710,186
Salaries and wages paid£3,839,2613,818,619
Value of output£29,662,48329,356,630
Added value£6,522,4426,225,468
Ham and bacon curing works—
Total persons engagedNo.576710
Salaries and wages paid£201,728254,319
Value of output£2,243,4102,810,406
Added value£453,440486,780
Butter, cheese, and condensed-milk factories—
Total persons engagedNo.3,9833,900
Salaries and wages paid£1,205,7681,188,746
Value of output£29,489,63028,494,686
Added value£2,719,3202,775,645
Grain-mills—
Total persons engagedNo.765756
Salaries and wages paid£245,354255,451
Value of output£2,957,7473,058,993
Added value£568,735610,276
Biscuit, confectionery, and sugar-boiling works—
Total persons engagedNo.3,1112,812
Salaries and wages paid£713,626672,858
Value of output£3,635,8283,569,314
Added value£1,665,6411,611,723
Breweries and malthouses*
Total persons engagedNo.1,0941,211
Salaries and wages paid£402,080475,514
Value of output (including beer duty)£5,297,6166,425,322
Added value£1,158,4751,433,133
Sawmills—
Total persons engagedNo.7,5747,806
Salaries and wages paid£2,448,3422,605,540
Value of output£6,610,3456,935,702
Added value£3,963,7194,153,104
Industry.Production Year.
1942–43.1943–44.
* Including operations of motor-assembly works.
Gasworks—
Total persons engaged No.1,6681,704
Salaries and wages paid £563,316591,392
Total revenue £1,758,7271,860,234
Quantity of gas sold cub. ft. (000)4,149,7464,390,293
Lime and cement works—
Total persons engaged No.1,2761,355
Salaries and wages paid £435,239479,132
Value of output £1,414,6331,586,355
Added value £1,111,2981,247,745
Engineering, iron and brass works—
Total persons engaged No.7,3458,409
Salaries and wages paid £2,546,8702,872,829
Value of output £6,698,6377,735,790
Added value £3,993,7564,807,065
Paint and varnish works—
Total persons engaged No.392445
Salaries and wages paid £122,184141,556
Value of output £1,052,0381,385,026
Added value £351,289388,581
Coachbuilding and motor and cycle engineering works*
Total persons engaged No.5,8646,190
Salaries and wages paid £1,573,1131,753,733
Value of output £4,366,0814,871,704
Added value £2,619,6132,860,117
Tanneries—
Total persons engaged No.869949
Salaries and wages paid £288,379321,484
Value of output £1,454,3031,535,822
Added value £488,806482,401
Chemical fertilizer works—
Total persons engaged No.808781
Salaries and wages paid £258,285262,399
Value of output £1,586,4801,553,287
Added value £695,822723,432
Boot and shoe factories—
Total persons engaged No.4,5134,518
Salaries and wages paid £997,1331,071,463
Value of output £3,308,6813,528,535
Added value £1,451,9441,520,865
Woollen-mills—
Total persons engaged No.4,0454,050
Salaries and wages paid £981,905991,196
Value of output £2,892,9062,840,126
Added value £1,814,8571,762,924
Knitted goods and hosiery factories—
Total persons engaged No.2,1052,182
Salaries and wages paid £432,090474,296
Value of output £1,849,8552,059,102
Added value £814,207907,871
Clothing factories—
Total persons engaged No.13,82813,279
Salaries and wages paid £2,403,9202,460,981
Value of output £6,794,8457,478,680
Added value £3,439,0283,670,359
Industry.Production Year.
1942–43.1943–44.
Tinware and sheet-metal works—
Total persons engaged No.2,3102,361
Salaries and wages paid £687,315706,729
Value of output £2,914,4582,919,055
Added value £1,187,8691,172,490
Agricultural and dairying machinery and implement works—
Total persons engaged No.1,3761,460
Salaries and wages paid £397,565430,577
Value of output £1,115,7881,345,388
Added value £651,402730,773
Electrical engineering works—
Total persons engaged No.1,3531,395
Salaries and wages paid £339,429389,810
Value of output £1,130,8371,426,409
Added value £566,791692,057
Printing and publishing works—
Total persons engaged No.6,2786,095
Salaries and wages paid £1,771,7541,789,145
Value of output £4,877,1325,408,695
Added value £3,281,9843,521,069
Furniture and cabinet making factories—
Total persons engaged No.2,5472,810
Salaries and wages paid £640,455739,626
Value of output £1,898,6902,223,356
Added value £943,7021,096,601
PRODUCTION AND INCOME:—1942–43. £(m.)1943–44. £(m.)
Value of production (pp. 626–628)169.8174.2
Aggregate private income (pp. 502–503)264.4292.3
 1942–43. £(m.)1944–45. £(m.)
Aggregate salary and wage payments175.9176.5

TRANSPORT (pp. 156–191):—

Railway (pp. 161–168)—Twelve Months ended March,
1944.1945.

* Including road motor and other subsidiary services.

† As at 31st March.

Net ton-miles run Number832,594,000814,905,000
Passenger journeys Number38,611,26732,994,529
Revenue—
Railway operation £13,464,97912,448,307
Total* £15,325,30614,459,750
Expenditure—
Railway operation £11,365,91711,696,895
Total* £12,757,33613,260,277
Road (pp. 176–186)—
Motor-vehicles licensed292,137301,154
CIVIL AVIATION (pp. 187–191):—
Internal services—
Miles flown855,110993,707
Passengers carried38,14552,424
Overseas services—
Miles flown229,140427,460
Passengers carried2,9245,803
CONSOLIDATED FUND (pp. 325–328):—
Receipts £48,828,27454,247,798
Payments £46,595,69453,033,079

OTHER PRINCIPAL STATISTICAL SERIES

Prices index numbers (pp. 504–522):—Month of June,
1944.1945.
Wholesale—All-groups (1926–30 = 1000)15651583
Export—All-groups (1909–13 = 1000)16691846
Share prices—
Industrial (1938 = 1000)12631276
All-groups (1938 = 1000)12931345
 Twelve Months ended 31st March,
 1944.1945.
Mortgages registered (pp. 464–468) £15,645,82718,106,486
Mortgages discharged (pp. 464–469) £20,030,31321,013,533
Land transfers registered (pp. 200–202) £38,145,15832,458,908

Social security benefits (pp. 363–377):—

Age—Month of June,
1944.1945.
Number103,211105,271
Annual value £8,545,8718,742,757
Widows'—
Number10,88111,029
Annual value £985,8191,019,631
Invalidity—
Number12,13112,173
Annual value £1,077,2331,071,224
Family—
Number16,49725,756
Annual value £1,088,8022,075,934
Universal superannuation—
Number50,74154,768
Annual value £1,014,8201,232,280
War pensions (pp. 376–383):—
1914–18 war—
Number20,96720,791
Annual value £1,887,0301,988,659
Present war—
Number15,65321,376
Annual value £1,357,8981,540,141
Boer war—
Number4445
Annual value £2,9263,472
Banking (pp. 410–430):—
Trading banks—
Debits, weekly average (excluding Government) (p. 416) £23,756,39927,434,886
Ratio of advances to deposits (p. 414) Per cent.38.9041.01
Reserve Bank—25th June.
Net reserve ratio (p. 412) Per cent.37.2968.58
Reserve—
Gold (p. 412) £2,801,8782,801,878
Exchange (p. 412) £31,597,13262,417,173
Net note circulation (pp. 417–418) £32,321,71934,493,761
Net overseas funds of banks (p. 418) £41,037,85277,565,588
 31st March.
Radio-receiving licenses (p. 607)375,412379,189
Industrial disputes (pp. 580–586)—Twelve Months ended 31st December,
1943.1944.
Number of disputes69149
Number of firms affected114263
Number of workers involved10,91529,766
Total duration Days122281
Working-days lost14,68752,602
Approximate loss in wages £20,17973,957

PUBLICATIONS OF THE NEW ZEALAND CENSUS AND STATISTICS DEPARTMENT

Title.Latest No.Month of Issue.Price per Copy.Postage (extra).
* £1 1s. per annum (post free).
   s. d.d.
New Zealand Official Year-Book1945Dec., 19457 66
Annual Statistical Reports—    
Population and Buildings1943–44June, 19452 61
Vital Statistics1942June, 19455 03
Justice1942July, 19452 61
Trade and Shipping (Part I)1942Nov., 194510 03
Trade and Shipping (Part II)1941Sept., 19443 62
Agricultural and Pastoral Production1943–44May, 19452 61
Factory Production1942–43July, 19453 62
Insurance1942May, 19452 01
Miscellaneous (Prices, Wage-rates and Hours of Labour, Unemployment, Industrial Accidents, Tramways, Cinematograph Theatres, Banking, Building Societies, Bankruptcy, Statistical Summary)1942Aug., 19455 03
Local Authorities Handbook of New Zealand (published annually)1941–42Nov., 19447 65
Pocket Compendium of New Zealand Statistics1945Jan., 19451 01
Monthly Abstract of Statistics....2 6*1
Volumes of 1936 Census Results—
Increase and Location of Population1936Sept., 19374 62
Dependencies1936Sept., 19371 61
Maori Census1936April, 19403 01
Ages and Marital Status1936April, 19404 02
Orphan Children and Dependent Children1936June, 19402 61
Religious Professions1936June, 19402 61
Birthplaces1936July, 19452 61
Duration of Residence of Overseas-born1936July, 19452 61
Race1936Aug., 19452 61
Unemployment1936Aug., 19454 01
Incomes1936Sept., 19457 62
Poultry1936Sept., 19371 61
War Service1936June, 19381 61
Census of Libraries1936May, 19401 61
Life Tables1936Dec., 19441 61
(Other volumes to follow)

NOTE.—This list is subject to revision from time to time. Publications are obtainable from the Government Printer, Wellington.

Chapter 1. SECTION 1.—DESCRIPTIVE

LOCATION, AREA, AND BOUNDARIES.

Consisting of two large and several smaller islands, the Dominion of New Zealand lies in the South Pacific Ocean some 1,200 miles to the eastward of Australia. With South America some 6,000 miles distant to the east and the Antarctic Continent 1,600 miles distant to the south, the Islands are, for their size, among the world's most isolated. For statistical purposes, the following classification of the administrative area is the most convenient:—

(a) Islands forming the Dominion proper (total area, 103,416 square miles):—

 Square Miles.
North Island and adjacent islets44,281
South Island and adjacent islets58,093
Stewart Island and adjacent islets670
Chatham Islands372

In all further references in this volume, unless the context indicates the contrary, Chatham Islands and Stewart Island are included with the South Island. It should be noted also that statistics for “the Dominion” and for “New Zealand”refer to the above group of islands, unless it is expressly stated that the outlying islands, group (b), and/or the annexed islands, group (c), are included.

(b) Outlying islands (total area, 307 square miles) included within the geographical boundaries of New Zealand as proclaimed in 1847:—

 Square Miles.
Three Kings Islands3
Auckland Islands234
Campbell Island44
Antipodes Islands24
Bounty Islands
Snares Islands1
Solander Island

None of the outlying islands is regularly inhabited.

(c) Islands (total area, 212 square miles) annexed to New Zealand:—

    Kermadec Islands, annexed in 1887 (area, 13 square miles).

    Cook and other Pacific Islands, annexed in 1901:—

     Cook Islands (area, 84 square miles)—

Rarotonga.Aitutaki.
Mangaia.Mauke (or Parry).
Atiu.Takutea.
Mitiaro.Manuae (or Hervey Islands).

     Islands outside the Cook Group (area, 115 square miles)—

Niue (or Savage)Rakahanga (or Reirson).
Palmerston (or Avarau)Pukapuka (or Danger).
Penrhyn (or Tongareva)Suwarrow (or Anchorage).
Manihiki (or Humphrey)Nassau.

The total area of the foregoing groups is 103,935 square miles. Elsewhere in this issue (viz., in the section on land tenure, settlement, &c.) the aggregate area of the Dominion appears as 66,390,657 acres—i.e., 103,735 square miles. The latter area does not include the Cook and other Pacific Islands annexed in 1901.

As well as exercising jurisdiction over the areas already mentioned, the Dominion also administers the Union Islands, the Ross Dependency, and Western Samoa (which is held on a mandate from the League of Nations). Jointly with the Imperial Government and the Government of Australia, New Zealand is responsible for the mandate over the Island of Nauru. The administrative appointments for the island 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.*

The Island Territories Act, 1943, provides for the appointment of a member of the Executive Council as Minister of Island Territories. This Minister is charged with the administration of the government of any territory out of New Zealand which may at any time be a dependency or mandated territory of the Dominion, or otherwise be under the jurisdiction of the Government or Parliament of the Dominion.

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

The Proclamation of British sovereignty over New Zealand, dated the 30th 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 1847, 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. By Proclamation bearing date the 21st July, 1887, the Kermadec Islands, lying between the 29th and 32nd degrees of south latitude and the 177th and 180th degrees of west longitude, were declared to be annexed to and to become part of the then colony of New Zealand.

By Proclamation of the 10th June, 1901, the Cook Group of islands, and all the other islands and territories situate within the boundary-lines mentioned in the following schedule, were included as from the 11th June, 1901:—

A line commencing at a point at the intersection of the 23rd degree of south latitude and the 156th degree of longitude west of Greenwich, and proceeding due north to the point of intersection of the 8th degree of south latitude and the 156th degree of longitude west of Greenwich; thence due west to the point of intersection of the 8th degree of south latitude and the 167th degree of longitude west of Greenwich; thence due south to the point of intersection of the 17th degree of south latitude and the 167th degree of longitude west of Greenwich; thence due west to the point of intersection of the 17th degree of south latitude and the 170th degree of longitude west of Greenwich; thence due south to the point of intersection of the 23rd degree of south latitude and the 170th degree of longitude west of Greenwich; and thence due east to the point of intersection of the 23rd degree of south latitude and the 156th degree of longitude west of Greenwich.

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

By Imperial Orders in Council of the 4th November, 1925, the Union or Tokelau Islands (consisting of the islands of Fakaofu, 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 the 8th March, 1926, delegated to the Administrator of Western Samoa.

* The island of Nauru was occupied by the Japanese in August, 1942.

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 land-mass lies along a south-westerly and north-easterly axis, parallel to the direction of its mountain-chains.

By reason of the latter fact the coast-line is, on the whole, not greatly indented; and, as a consequence, New Zealand is not well endowed with natural harbours. In the North Island, Auckland and Wellington are the only two safe natural harbours of which the fullest commercial use can be made. On the east coast of the North Auckland peninsula several deep and sheltered harbours exist, but as the surrounding country is comparatively undeveloped and the area somewhat remote 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, &c. 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. 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 extinct. 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 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.

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. Due 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 was given a list, not claimed as exhaustive, of 223 named peaks of 7,500 ft. or more in altitude, while the 1942 and intervening issues of the Year-Book have contained a list of the more important mountains, together with details of height in each case.

Glaciers.

In keeping with the dimensions of her 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, this 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 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, while the 1942 issue contains a list of the more important, with details of their length and, in some cases, the approximate rate of discharge. The six principal rivers are the Waikato (220 miles), Wanganui (140 miles), Manawatu (100 miles), Buller (105 miles), Waitaki (135 miles), and Clutha (210 miles). The three first-named are in the North Island and the remainder in the South Island.

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

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

Lakes.

In considering New Zealand's numerous lakes, a distinction can be made, especially from the scenic viewpoint, between the lakes of the two Islands. Surrounded by extremely rugged country the larger lakes of the South Island are distinguished by the grandeur of their alpine settings, while those of the North Island, situated on a volcanic plateau, are of interest by reason of the neighbouring thermal activity. Due 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, and Tekapo in the South Island, being of particular significance in this respect.

An article on the lakes of New Zealand will be found in the 1932 Year-Book, while the 1942 issue contains particulars of the more important lakes.

GEOLOGY.

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

EARTHQUAKES.

An article on earthquakes in New Zealand appeared in the 1943 and earlier issues of the Year-Book. The information given below has been supplied by Mr. R. C. Hayes, Acting-Director of the Dominion Observatory.

Seismicity and Earthquake Distribution.

A comparison between the records of destructive earthquakes in New Zealand and those in other seismic countries shows that the seismicity of New Zealand, on the whole, is surprisingly high. However, this is due to the occurrence of a large number of earthquakes of the semi-destructive type (R.-F. 8) with comparatively few major destructive shocks (R.-F. 9, 10).

During the period 1835–1934 sixty-nine destructive earthquakes are known to have occurred in New Zealand, forty-nine of which were of the semi-destructive type (not exceeding intensity R.-F. 8). Of the remainder, fourteen were of intensity 9, and six of intensity 10.

The total number of earthquakes of all intensities, and the maximum intensity, reported felt in New Zealand in each of the years 1922 to 1943 were as follows:—

Year.Number of Earthquakes reported felt.Maximum Intensity of Heaviest Shock.
R.-F. Scale.M.-M* Scale.
* Modified Mercalli Scale of 1931, which is now used for recording earthquake effects in New Zealand.
19221,18787
19237665–6
19247076–7
19257687
192617387
192710787
19288087
19290781010
193074887
19314321010
193231398+
193310876–7
193423098+
193515076–7
193612365–6
19371796–76
193813287
193915776–7
194012076–7
194110787
19421989+9
194317687

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

Earthquakes in 1943.

The year 1943 was notable for unusual seismic activity in the South Island, especially in the south-western part of the Island. Two shocks reached minor destructive intensity (VII on the Modified Mercalli Scale = 8 on the Rossi-Forel Scale). One of these occurred on 8th May in the Lake Wanaka region, and the other on 23rd August in the Arthur Pass region. The shock on 8th May was apparently the most pronounced felt in Dunedin for many years.

Following on the heavy seismic disturbances which occurred in the latter half of 1942, slight or moderate activity continued in the Wairarapa region, with occasional rather strong shocks in the early part of the year.

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 recent years it is possible to divide the country roughly into four seismic regions. These regions are classified below, in order of seismicity.

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

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

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

  4. Areas north of Auckland.

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

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

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

Deaths due to Earthquakes.

During the period 1848–1943 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 3rd February, 1931.

CLIMATE.

An article on the climate of New Zealand, supplied by Dr. M. A. F. Barnett, M.Sc., Ph.D., F.Inst.P., Director of Meteorological Services, was included in the 1942 and earlier editions of the Year-Book, but considerations of space preclude its repetition in this issue.

The following table, however, suffices to give some indication of the chief climatological elements, average values being given for a selection of stations throughout the country based on records over a varying number of years. The temperature figures shown relate to the whole year and also to January and July, which are, for most places, the warmest and coldest months respectively.

CLIMATOLOGICAL AVERAGES (OVER A PERIOD OF YEARS)

Station.Altitude of Station.Average Annual Rainfall.*Average Number of Rain-days.Average Bright Sunshines.Temperatures in Shade, Degrees Fahrenheit.
Mean Daily Maximum.Mean Daily Minimum.
Jan.July.Year.Jan.July.Year.

* Normals relate to present site.

† Temperature records for less than 10 years.

 Ft.In. Hours.      
Te Paki, Te Hapua20057.031692,13872.257.965.550.944.751.7
Auckland10049.821842,03372.550.064.859.945.953.1
Tauranga1053.551512,30874.457.200.254.039.747.3
Hamilton East13140.591592,08075.056.466.352.137.345.1
Rotorua93155.221432,04075.254.464.953.537.045.3
Gisborne1238.181392,20077.954.066.354.338.447.4
Onepoto, lake Waikare moana2,11074.80183..67.045.957.552.330.545.1
New Plymouth10060.281872,24769.754.962.855.442.749.4
Napier532.271142,41073.854.264.457.539.148.8
Taihape2,15736.72179..68.146.957.850.135.943.1
Wanganui7236.091532,22571.452.763.350.039.049.1
Plant Research Bureau, Palmerston North11039.801691,93070.552.262.054.038.647.0
Masterton35038.351512,09174.852.064.351.835.843.8
Wellington41542.911022,05067.7*51.4*59.8*54.0*41.3*48.3*
Nelson2437.991192,51071.154.063.054.430.540.1
Blenheim6024.041122,30475.952.965.453.832.944.4
Hanmer Springs1,22545.041341,87371.547.562.047.929.039.2
Hokitika12114.321871,91860.152.759.753.030.545.5
lake Coleridge1,22031.45109..70.048.461.449.230.440.9
Christchurch2225.501201,90770.249.860.852.034.844.1
Timaru5022.901151,88569.949.360.061.633.043.0
Milford Sound20251.45187..63.747.250.819.733.142.0
Queenstown1,11030.41982,61468.844.658.848.030.441.0
Alexandra52013.11902,19871.843.060.750.828.140.5
Dunedin69030.901011,71160.949.158.950.237.344.0
Invercargill3245.271991,02060.148.758.448.434.041.9

A Brief Review of 1943.

The chief feature of the year 1943 was a dry autumn followed by wet and dull conditions in the late winter and spring, which delayed the coming season. There was then a rapid development due to a favourable November and December, but by the end of the year droughty conditions were adversely affecting most farming interests.

Over the whole year mean temperatures were mostly below normal, the deficiencies being over 1° F. at places near the western foothills of the main ranges. In the far north and in a belt extending from northern Nelson across the Rangitikei district to the Bay of Plenty temperatures were, however, slightly above normal. At many places the duration of bright sunshine was better than average. From Auckland City northwards and also at Westport the annual total exceeded the average by over 200 hours. Sunshine was poorer than usual in most inland districts of the South Island, as well as at Nelson City, in the Wairarapa and Hawke's Bay, and locally in the Waikato.

For the country as a whole rainfall was rather light. North of a line from Awakino to Whakatane the year's total was slightly deficient, as was also the case in central and southern Hawke's Bay, including the back country. Elsewhere in the North Island there was surplus rainfall, the excesses being appreciable between Wairoa and East Cape, and less marked in northern Taranaki. In the South Island the majority of stations from Marlborough Sounds to Palmerston recorded small excesses, but slight deficiencies occurred locally north of Christchurch and in the neighbourhood of Timaru. Westland and the Southern Alps received appreciably less precipitation than usually.

Seasonal Notes.—January was dry, with some cloudy humid spells. All crops were satisfactory, but the dryness caused a decline in dairy production. In February rainfall was heavy, with little settled weather. For most of New Zealand March was dry, sunny, and cool. Harvesting was interrupted in the south, while the prolonged dry spell in the Auckland Provincial District further adversely affected the dairy industry. April, like March, was dry, with fine, clear conditions. The duration of sunshine was above average almost generally. Dry, cold weather was experienced during May, and in many places in the south it was the coldest May on record. Conditions were favourable for agricultural work, but after the cold spell at the close of the month all growth ceased. June had frequent and heavy rains, some records being broken. Stock were wintering well, but sheep losses were reported during a severe snowstorm in Canterbury near the end of the month. July was cold though sunny, and with mainly light winds. Frosts therefore were numerous, but autumn-sown crops made steady progress. Due to the frequency of winds from a southerly quarter, August was also cold, and record low temperatures were reported at widely scattered places. Thus the season was considerably delayed, and the wet conditions adversely affected stock. Scattered snow on the 25th killed some early lambs. September was persistently unsettled. Except in the far south, rain was heavy and frequent, and few wetter Septembers have been experienced. On the whole the month was dull and most unpleasant, and after a poor August it proved most severe on young stock. Although October showed some improvement, the weather was still rather unsettled, with frequent but not excessive rain. November was a dry month with several fair spells, giving favourable farming conditions in most districts. The rapid promotion of pasture and garden growth compensated for the late spring. The weather was dry, warm, and settled during December, excellent for harvesting and shearing, but with insufficient rain for many crops.

Summary of Meteorological Observations.—The observations from which the following summary was compiled for the year 1943 were taken at 09.30 hrs., N.Z. civil time—i.e., 9 a.m. New Zealand mean time.

Station.Temperatures in Shade, Degrees Fahrenheit.Hours of Bright Sunshine.Rainfall.
Mean Daily Maximum.Mean Daily Minimum.Approx Mean Temperature.Extremes for 1943.Previous Extremes.Total Fall (Inches)Number of Wet Days.
Maximum and Month.Minimum and Month.Absolute Max.Absolute Min.
Te Paki, Te Hapua66.152.059.079.0Jan.31.0Sept.80.027.02,370.262.55163
    Feb.       
Auckland64.953.059.086.5Feb.38.0July80.533.22,283.739.78140
Tauranga65.848.257.088.4Jan.30.0July90.722.52,335.944.31149
Hamilton East65.245.055.181.4Jan.20.0June94.421.31,949.042.94161
Rotorua64.545.955.287.0Jan.29.1Aug.98.021.02,062.140.30144
Gisborne65.548.457.095.2Jan.27.1July....2,254.049.05153
Onepoto, Lake Waikaremoana57.244.051.133.0Jan.30.1June88.027.1..81.15199
New Plymouth61.749.055.474.0Feb.32.3June89.027.02,393.764.95177
Napier65.048.150.890.5Jan.29.2June90.527.52,332.331.44127
Taihape58.243.050.680.3Jan.28.0July.87.820.4..35.93181
      Aug.     
Wanganui62.748.555.080.9Jan.30.5Aug.....2,319.034.38148
Plant Research Bureau, Palmerston North61.047.154.479.5Feb.29.0Aug.87.021.21,890.239.25181
Masterton63.443.453.486.5Jan.25.0July95.420.02,083.540.02112
    Feb.       
Wellington50.748.153.978.8Dec.33.8Aug.88.028.02,108.067.06176
Nelson62.445.654.080.5Jan.28.6Aug.92.025.02,401.137.74116
Blenheim63.642.953.294.6Jan.22.6Aug.94.622.02,887.425.56102
Hanmer Springs60.538.349.487.8Feb.12.0July97.08.21,880.047.18128
Hokitika59.043.751.874.0Nov.27.0June.84.525.01,923.3101.77188
Lake Coleridge59.889.949.984.5Feb.13.4July93.011.5..33.54128
    Dec.       
Christchurch59.743.851.787.8Jan.25.3July95.721.31,989.424.72129
Timaru59.842.150.987.8Jan.20.8July99.019.81,912.221.72121
Milford Sound60.741.849.375.1Nov.28.0July79.023.1..231.42202
Queenstown58.330.849.082.4Feb.19.2July90.219.22,002.029.04116
    Dec.       
Alexandra59.939.249.088.9Feb.11.0July91.211.02,074.413.31106
Dunedin50.142.749.475.5Nov.29.0July94.023.01,722.032.70165
Invercargill57.740.649.283.0Dec.23.1July90.019.01,787.634.23200
      Aug.     

For 1943 the mean sea-level pressure at 09.30 hrs. N.Z.C.T., in millibars, was: Auckland, 1,014.5; Wellington, 1,013.0; Nelson, 1,012.9; Hokitika, 1,013.0; Christchurch, 1,011.3; Dunedin, 1,011.0.

PLANTS OF NEW ZEALAND.

Those desiring information on the flora and plant covering of New Zealand are referred to the article by Dr. W. R. B. Oliver, D.Sc., F.R.S.N.Z., which appeared in the 1940 and previous issues of the Year-Book, while a brief reference to the geographical distribution of the forest trees is made in the section of this Year-Book dealing with Forestry (Section 18). For more detailed information the following works may also be consulted: “Plants of New Zealand,”by R. M. Laing and E. W. Blackwell, ed. 4, 1940; “Manual of the New Zealand Flora,”by T. F. Cheeseman, ed. 2, 1925; “The Trees of New Zealand,”by L. Cockayne and E. Phillips-Turner, 1928; “The Forest Flora of New Zealand,”by T. Kirk, 1889; “New Zealand Trees and Shrubs and how to Identify Them,”by H. H. Allan, 1928; “New Zealand Ferns,”by H. B. Dobbie, ed. 3, 1931; “New Zealand Plants and their Story,”by L. Cockayne, ed. 3, 1927; “The Vegetation of New Zealand,”by L. Cockayne, ed. 2, 1928; “The Cultivation of New Zealand Plants,”by L. Cockayne, 1923; “The New Zealand Nature Book,”Vol. 2, by W. Martin, ed. 2, 1944; and numerous articles published in the Transactions of the Royal Society of New Zealand.

FAUNA.

A brief article on the fauna of New Zealand, originally prepared by the late Mr. James Drummond, F.L.S., F.Z.S., and revised by him in 1935, is contained in the 1940 and earlier editions of the Year-Book.

Chapter 2. SECTION 2. CONSTITUTION

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 11th May, 1917, published in the New Zealand Gazette of 24th April, 1919 (p. 1213). 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 His Majesty without delay, with the reasons for his so acting.

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

At present (March, 1945), the Executive Council consists of thirteen members in addition to the Governor-General, and also in addition to the two members of the War Cabinet who are not members of the Government Cabinet, and one member of the Legislative Council holding a special war portfolio. Two members, exclusive of His Excellency or the presiding member, constitute a quorum.

Under the Civil List Act, 1920, His Excellency the Governor-General receives an honorarium of £5,000 per annum, an allowance of £2,000 per annum for the salaries and expenses of his establishment (exclusive of the Official Secretary), and an allowance of £500 per annum for travelling-expenses.

The Civil List Act fixed the number of paid Ministers (exclusive of the Prime Minister) at ten, but an amendment in 1936 increased the number to eleven, with a proviso that the total amount paid in any one year was not to exceed the aggregate amount specified in the principal Act. Part V of the Finance Act (No. 3), 1944—which expires on the 31st March next following the termination of the present war—further increased the number to twelve, each of whom is to receive the rate specified in the principal Act, as reduced by the Public Expenditure Adjustment Act, 1921–22. The Prime Minister's salary is now at the rate of £1,800 per annum and that of other Ministers £1,170 per annum, in addition to which Ministers who do not occupy a Ministerial residence receive an allowance in lieu thereof at the rate of £200 per annum.

In addition to the number of paid Ministers as provided by the Civil List Act and its amendments, the Finance Act, 1940, authorized the payment, to every member of the War Cabinet who does not hold any of the Ministerial offices, of a salary at the rate of £1,170 per annum, plus a house allowance of £200 per annum. There are two such appointments current (March, 1945).

Authority is also given in the Civil List Act for the appointment of either one or two Maoris or half-castes as members of the Executive Council representing the Native race. One such appointment is at present extant, the salary attaching thereto being £990 per annum, plus house allowance of £200 per annum.

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 a position, formerly £600, was increased to £800 by Part V of the Finance Act (No. 3), 1944, plus house allowance of £200 per annum. At the present time (March, 1945) two such appointments are current.

The present Government, shortly after assuming office, instituted a scheme whereby the services of all parliamentary representatives of the Government party might be co-opted to assist Ministers in bringing the Government's policy into effect. As part of this plan, Ministers shared a portion of their authorized salaries with other Government parliamentary representatives.

LEGISLATIVE COUNCIL.

The Imperial Act under which the earliest appointments were made to the Legislative Council under a system of responsible government provided that the first appointees should be not less than ten in number. The number actually summoned for the first session (held at Auckland from 24th May, 1854) was sixteen, of whom only fourteen attended. The number increased irregularly for thirty years. In 1885 and 1886 it stood at fifty-three, but has not since reached that limit. The number of members at present (March, 1945) is thirty-four.

An Act of the Imperial Parliament in 1868 provided that future appointments of Councillors should be made by the Governor (not by the Sovereign). Until 1891 members were appointed for life, but since that year appointments have been made for seven years only, members, however, being eligible for reappointment. Prior to 1891 the Speaker was appointed by the Governor, but the Council now elects its own Speaker, who holds office for five years. The Chairman of Committees was formerly elected every session, but in 1928 the standing orders were amended to provide for a three years' term of office. Speaker and Chairman are both eligible for re-election.

Provision for an elective Legislative Council is contained in the Legislative Council Act, 1914, which may be brought into operation at a date to be specified by Proclamation.

The qualifications for membership of the Legislative Council are the same as for the House of Representatives (see post), with the proviso that a person may not at the same time be a member of both Houses. Prior to 1941 women were not eligible for appointment to the Legislative Council, but this restriction was removed by section 40 of the Statutes Amendment Act, 1941. Up to the present, no women members have been appointed.

Before the year 1892 the honorarium of Councillors was understood to be for the session, not for the year, and formed the subject of a special vote every session, the amount varying in different sessions. By the Payment of Members Act, 1892, the honorarium was made annual, not sessional, and was fixed at £150 a year. There have been several alterations since that date and the rate, prior to the passing of the Finance Act (No. 3), 1944, had for several years been £315 per annum. The Act in question raised the honorarium to £375. This Act also increased the honorarium of the Speaker from £720 to £800, and that of the Chairman of Committees from £450 to £500 per annum. The Speaker also receives free sessional quarters. Besides the honorarium, members receive certain concessions in regard to travelling-expenses actually incurred in going to and from Parliament, and also privileges in respect of postages, &c.

Subject to certain exemptions, members not attending the Council are liable to be fined.

HOUSE OF REPRESENTATIVES.

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

After each population census the Dominion is divided anew into seventy-six European electorates, according to population distribution. In the allocation of electorates an addition is made to rural populations so that the number of rural electorates, in proportion to their population, is higher than urban electorates. The “country quota,” as this allowance is called, is computed on the basis that 28 per cent. is added to the rural population, which for electoral purposes means population other than that contained in a city or borough of over 2,000 inhabitants or in any area within five miles of the chief post-offices at Auckland, Wellington, Christ-church, or Dunedin. The “country quota” first appeared in 1881, to the equivalent of an addition of 33⅓ per cent. to the country population. It was reduced in 1887 to 18 per cent., but was increased in 1889 to the present 28 per cent.

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 1914–18 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 30th August, 1943.

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

The payment made to members of the House of Representatives was increased' from £450 to £500 per annum by Part V of the Finance Act (No. 3), 1944, which also made provision for an allowance at the rate of £250 per annum to provide for expenses incurred in connection with parliamentary duties. As stated earlier, Part V of the 1944 Act is to remain in operation only until the 31st March following the termination of the present war. 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, &c.

The election of a Speaker is the first business of a new House after the members have been sworn. A Chairman of Committees is elected as soon afterwards as is convenient. Both Speaker and Chairman of Committees hold office until a dissolution, and receive payment until the first meeting of a new Parliament. The Speaker's remuneration was raised from £900 to £1,000 per annum by Part V of the Finance Act (No. 3), 1944, in addition to which he receives a sessional allowance of £100 and free sessional quarters. The Act referred to increased the honorarium of the Chairman of Committees from £675 to £750, and also provided for an allowance of £150 per annum to cover expenses incurred in connection with his parliamentary and official duties.

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

FRANCHISE.

Since the abolition of plural voting in 1889 and the introduction of women's suffrage in 1893 every person twenty-one years of age or over has had the right to exercise a vote in the election of members for the House of Representatives. To be registered as an elector a person must have resided for one-year in the Dominion, and for three months in the electoral district for which he claims to vote. A system of compulsory registration of electors was introduced at the end of 1924, but for Maori electors a Proclamation is necessary before registration becomes operative. Up to the present this Proclamation has not been made.

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

  • An alien:

  • A mentally defective person:

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

The Electoral Emergency Regulations 1943 prescribed the following additional classes of persons who were not entitled to be registered as electors or to vote:—

  • A person who has been committed to military defaulters' detention and has not been discharged therefrom:

  • A person who has been taken into custody under the Aliens Emergency Regulations 1940 and has not been released therefrom.

Maoris are qualified to vote only at elections of the four members representing the Maori race. A Maori half-caste may register on the roll of a European' electoral district; and, if so, may not then vote at an election of Maori members.

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

For the system of local-government administration a modified form of franchise exists, a ratepaying qualification being necessary for the exercising of votes on financial issues. Further reference to this aspect of franchise will be found in Section 25 of this Year-Book.

Chapter 3. SECTION 3.—POPULATION.

POPULATION.

POPULATION censuses were taken during 1936 in New Zealand and in all its inhabited dependencies. For New Zealand proper the census related to the night of Tuesday, 24th March, 1936, and recorded a total of 1,573,810, inclusive of 82,326 Maoris. The annexed Kermadec Islands had a population of 2. For the Cook Islands and Niue Island the effective date of the census was 30th April, 1936, and the population was 16,350 (Cook Islands, 12,246; Niue Island, 4,104). The Tokelau (Union) Islands, where a census was taken by the Western Samoan Administration for 4th November, 1936, had a population of 1,170. The same date was selected by the Administration for its census of the mandated territory of Western Samoa, the population being recorded as 55,946. All the outlying islands (vide page 1) were uninhabited, as was also the Ross Dependency situated in Antarctic regions. The total population of New Zealand and its island territories at the 1936 censuses was 1,647,278.

Further 1936 census figures will be found later in this section or in other portions of this volume, but for details it will be necessary to refer to the census volumes published separately. The following summary gives, where available, figures more recent than those of the census.

Date.Males.Females.Totals.
New Zealand proper (exclusive of Maoris)31st Dec., 19447(52,583812,8401,575,423
Maoris31st Dec., 194451,02149,849100,870
Totals, New Zealand proper31st Dec., 1944813,604862,6891,676,293
Kermadec Islands1st April, 194420..20
Cook Islands and NiueCensus, 19368,3677,98316,350
Tokelau Islands(Oct.), 19446667131,379
Mandated Territory of Western Samoa31st Dec, 194433,98232,46566,447
Totals..856,039903,8501,760,489

METHOD OF COMPILATION.

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

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

Intercensal figures of total population are based on the customary equation:— Population = Population (census) + Births and immigration — Deaths and emigration.

The first interruption in the sequence of New Zealand censuses was caused by the abandonment, for reasons of financial stringency resulting from the world-wide economic depression, of the census proclaimed for 21st April, 1931. Owing to the outbreak of war and its subsequent effect on population no census was taken in 1941, the necessary legislative sanction being provided by section 36 of the Finance Act, 1940. The section authorized the census due in 1941 to be taken in any year not earlier than 1941 nor later than 1945.

The comparative shortness of the interval between the census enumerations in normal times, combined with New Zealand's insular position and the completeness of her registration system, prevents serious intercensal errors in statements of the total population of New Zealand.

The distance of the Dominion from other countries, combined with the fact that overseas migration centres in a few ports or air-ports, facilitates the compilation of accurate statistics of external migration. Records of passenger traffic by sea and air between the North and South Islands are also maintained.

Population figures for war years are exclusive of New Zealand soldiers, &c., overseas, and of members of forces of overseas countries who may be in New Zealand. New Zealand troops within the Dominion, whether intended for overseas service or for home defence, are counted in the population totals.

Residents of the Kermadec Islands, Cook Islands, Niue, Western Samoa, and the Tokelau Group are not included in the population statistics quoted throughout this section, except in the first table. Separate statistics of the Maori population are given towards the end of this section.

INCREASE OF POPULATION.

The outstanding note of the history of population movement in New Zealand is that of unbroken growth. That it has not been invariably regular is well attested by the accompanying table, and by the long-term comparison shown in a later section of this Year-Book entitled “Statistical Summary.”

Date of Census.Population (excluding Maoris).Numerical Increase.Percentage Increase.Average Annual Percentage Increase.
* See letterpress.
December, 185126,707......
December, 1858..59,41332,706122.461244
December, 1861*97,90438,49164.7918.26
December, 1864171,00973,10574.6720.74
December, 1867217,43646,42727.158.20
February, 1871254,92837,49217.245.11
March, 1874297,65442,72616.765.29
March, 1878412,465114,81138.578.49
April, 1881487,88975,42418.295.60
March, 1886576,52488,63518.173.41
April, 1891624,45547,9318.311.60
April, 1896701,09476,63912.272.33
March, 1901770,30469,2109.871.91
April, 1906885,995115,69115.022.79
April, 19111,005,585119,59013.502.60
October, 19161,096,22890,6439.011.57
April, 19211,214,677118,44910.812.31
April, 19261,344,469129,79210.692.05
March, 19361,491,484147,01510.931.05

NOTE.—the census due to be taken in 1931 was abandoned owing to financial stringency; the census due in 1941 was postponed, and the enumeration will take place in the spring of 1945.

Commencing with the 1926 census all half-caste European-Maoris were included with the Native population in lieu of the previous practice of treating as Europeans such half-castes as were living in European fashion, and as Maoris those half-castes who were living in Native fashion. The figures in the preceding table have been corrected from 1861 onwards, to accord with the present practice. Lack of data prevents adjustment for years prior to 1861. The increase from 1858 to 1861 is, therefore, very slightly understated.

The “European” population now looks in retrospect down a vista of well over one hundred years. At the opening of the nineteenth century there existed a more or less fluctuating population of perhaps one hundred; by 1839 it had swelled to a total of about a thousand whalers, sealers, traders, missionaries, adventurers, and settlers. Activities of the colonizing companies and societies in the “forties” brought rapid changes and swiftly rising numbers, to be enhanced in the “sixties” by the gold rushes of the period.

The most significant period is possibly that of the “seventies,” marked by a vigorous developmental policy of public works and assisted immigration. The record year 1874, which saw a rise in population of 46,000 (including 32,000 assisted immigrants), was, and still is, the high-water mark of population gains. Both 1874 and 1875 showed a ratio of growth far in advance of any level subsequently attained.

In the late “eighties” and early “nineties” came economic depression and, consequently, comparative stagnation in population. In the three years 1888, 1890, and 1891, emigrants exceeded immigrants, these being the only such occasions in the history of the country, until the recent depression years, when departures exceeded arrivals in the five years 1931–35. A small decrease was also recorded in 1943.

Up to the “seventies” New Zealand was dependent on migration for the greater portion of her increase of population, but since then natural increase—i.e., excess of births over deaths—has been the principal factor.

A table is appended showing for each five-yearly period from 1861 the excess of births over deaths and of immigration over emigration. Maoris are not included, nor, prior to 1921, are crews of vessels. Figures for years later than 1920 have not been adjusted consequent upon the censuses. While there thus exist discrepancies with total population increases given elsewhere, such discrepancies do not invalidate the use of the table.

Period.Excess of Births over Deaths.Excess of Arrivals over Departures.Total Increase.
Males.Females.Both Sexes.Males.Females.Both Sexes.Males.Females.Both Sexes.

*Decrease.

†Members of Armed Forces, &c., are not included in migration figures.

1861–657,6258,98516,61063,28529,88493,16970,91038,869109,779
1866–7015,66317,77933,44211,1679,36928,53626,83027,14853,978
1871–7519,41021,12940,53946,50135,44581,94665,91150,57!122,485
1876–8030,14432,80762,95131,87022,91754,78762,01455,724117,738
1881–8532,36235,04667,40815,95813,00128,95048,32048,04796,387
1880–9030,78133,54464,325−4,911*− 3,791**25,87020,75355,823
1891–9527,25530,03057,8859,0175,40315,32037,17236,03373,205
1896–190028,09731,13759,5347,3203,31810,63835,41731,75570,172
1901–0532,51536,22368,73831,22311,22345,44663,73850,446114,181
1906–1038,08143,00781,74825,45415,51240,96061,13558,670122,714
1911–1542,32310,68289,00517,65617,00535,56150,07964,587124,580
1916–2035,24841,35970,6076,0797,87514,85442,22749,2349l,181
1921–2541,87644,80880,74420,70523,20450,08968,07168,102136,833
1926x2013;3036,88640,45677,84214,7589,86924,02751,04450,325101,969
1931–3530,71533,23763,052−5,256*−4,602*−9,918*25,4 5928,57554,034
1936–4032,60437,10269,7967,4334,03512,30840,03742,12782,104
19419,04010,30819,054−10*2272179,63610,53520,171
19428,3488,84117,1891,1493721,5216,4976,21318,710
19437,3217,54314,804−75*;−131*−206*7,2407,41214,058
19448,7209,50518,2311,1306261,7629,86210,13119,993
Totals, 1801–1944516,220570,0381,086,864308,349205,501513,940824,575776,2291,600,804

Trend of Population.

While the population of New Zealand has been growing, the rate of increase has declined substantially, the lowest point being reached in 1935. The next four years showed steady improvement until 1939, when the percentage increase recorded was the highest since 1927. Since the outbreak of war, however, the check on migration and the movement of members of the Armed Forces, &c. have introduced abnormal features.

Immigration now contributes relatively small increments to the population; indeed, in the five depression years 1931–35 there was a net exodus from New Zealand of 9,918. With the passing of the depression the net inward flow resumed, but, largely owing to war conditions, the excess of arrivals for the nine years 1936–44 was only 15,662.

In recent years natural increase (excess of births over deaths) reached a critical position. The natural increase rate (per 1,000 of mean population) reached a low point of 7.89 in 1936. It is obvious that this meant that the population was still increasing at a moderate rate, but owing to the time-lag it was less obvious to many that a rate as low as this meant, in the near future, a stationary or, more probably, a declining population. In other words, the population was failing to reproduce itself in sufficient numbers for growth and even for the maintenance of a stationary population.

One method of measuring the status of a population is that of the net reproduction index, which is based on female children born and probably surviving. Gross and net reproduction rates in recent years are:—

Year.Gross Rate.Net Rate.
19361.0440.970
19371.0740.999
19381.1061.028
19391.1541.073
19401.2841.195
19411.3691.274
19421.2981.208
19431.1581.077

Though economic factors are not the only, and possibly not even the most important, cause of the decline in the birth-rate, the immediate cause of the low level reached in 1935 was almost certainly the economic depression from 1931 onwards. As economic conditions recovered there was some improvement in the birth-rate (though accompanied by higher death-rates), and the net reproduction index returned to a level indicating a modest margin of growth, although decreases have been recorded for the last two years. This index is not and cannot be, an exact measure, but it does afford a close and fairly reliable approximation in normal circumstances. In its use it is necessary to remember, inter alia, that the probability of survival of the children born is calculated on past mortality experience in more or less normal conditions; no allowance is made for wars, major epidemics, or other factors which may result in abnormal losses of population.

The foregoing observations necessarily omit any forecast of the trend of external migration; also they do not take into account the Maori section of the population, which is increasing fairly rapidly.

SEX PROPORTIONS.

The following table is interesting as showing the early excess of males and the gradual equalization of the sexes in New Zealand. The figures quoted are exclusive of Maoris.

Census Year.Males.Females.Females to 1,000 Hales.
185115,03511,672776
186160,43537,469620
1871149,600105,328704
1881268,553219,336817
1891331,744292,711882
1901404,799365,505903
1911530,433475,152896
1921621,136593,541956
1926686,384658,085959
1936756,226735,258972

The preponderance of males in the early years of New Zealand was doubtless due to the fact that the difficulties of pioneering and the remoteness of the country from Europe were such as to deter female immigration to a greater extent than male. This was accentuated by the character of the early industries.

Of the two sources from which the Dominion's population has been recruited— viz., migration and natural increase—the effect of the former has hitherto been to give in the aggregate a considerable preponderance of males, and of the latter to give a regular preponderance of females.

INTERCENSAL RECORDS.

As already noted, the intercensal statements of total Dominion population, prepared from the records of vital statistics and of external migration, have been by virtue of the favourable position of the Dominion in this respect relatively accurate, and the 1936 census results afforded a further demonstration of this. The same degree of accuracy does not persist, however, for Maori and European elements. Results for the censuses of 1921 and 1926 suggested that numbers of Maori-European children of at least half Maori blood have been counted in birth statistics as Europeans. In consequence, the Maori population had been slightly understated, and the European population overstated to a corresponding degree. The 1936 census results afforded further support to this view. Accordingly the statements of population at intercensal dates, 1921–36, were revised.

Year ended 31st March,Population (excluding Maoris) at End of Year.Increase during Year.Mean Population for Year.
Males.Females.Totals.Numerical.Per Cent.
* Minus sign (−) signifies a decrease.
1934747,614724,8281,472,4429,7450.671,466,149
1935751,641729,3731,481,0148,5720.581,475,487
1936756,417735,1431,491,56010,5460.711,484,106
1937762,111740,6261,502,73711,1770.751,495,336
1938769,394748,3181,517,71214,9751.001,508,642
1939779,095757,1691,536,26418,5521.221,523,796
1940781,723768,1981,549,92113,6570.891,543,748
1941765,131778,8511,643,982−5,939*−0.38*1,544,371
1942751,312789,3461,540,658−3,324*−0.22*1,537,734
1943740,369797,2681,537,637.3,021*.0.20*1,545,052
1944739,744805,2971,545,0417,4040.421,539,978

As population figures for the calendar year are in demand for numerous purposes, figures are given also for years ending 31st December.

Year ended 31st December,Population (excluding Maoris) at End of Year.Increase during Year.Mean Population for Year.
Males.Females.Totals.Numerical.Per Cent.
* Minus sign (—) signifies a decrease.
1934750,745728,2441,478,9898,9810.611,473,293
1935754,168733,7371,487,9058,9160.601,481,674
1936760,667739,9911,500,65812,7530.861,492,344
1937768,238747,1581,515,39614,7380.981,504,826
1938775,976754,3901,530,36614,9700.991,519,606
1939785,946765,3881,551,33420,9681.371,539,420
1940766,021775,9101,541,931−9,403*−0.61*1,546,312
1941751,919786,2271,538,146−3,785*−0.25*1,538,620
1942745,008795,6221,540,6302,4840.161,545,112
1943741,045802,7411,543,7863,1560.201,538,651
1944762,583812,8401,575,42331,6372.05l,55!i, 312

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

Population (including Maoris) at End of Year.Mean Population tor Year.
Males.Females.Totals.
Years ended 31st March
1934787,965762,1601,550,1251,542,651
1935793,221767,7711,560,9921,554,297
1936799,303774,6241,573,9271,565,263
1937806,011781,2001,587,2111,578,757
1938814,456790,0231,604,4791,594,275
1939825,063799,6511,624,7141,611,362
1940828,971811,9301,640,9011,633,447
1941812,421823,8091,636,2301,635,715
1942798,938835,4001,634,3381,630,419
1943789,400844,6941,634,0941,640,191
1944789,772854,1281,643,9001,637,570
Years ended 30th June
1934787,896762,3001,550,1961,545,628
1935792,566767,7761,560,3421,556,923
1936798,407774,3521,572,7591,568,432
1937805,973781,4201,587,3931,582,244
1938814,678789,8071,604,4851,598,570
1939826,135800,3701,626,5051,616,650
1940821,983814,0841,636,0671,636,680
1941802,716826,3021,629,0181,634,238
1942800,492838,2101,638,7021,631,375
1943786,189846,4801,632,6691,639,407
1944793,9ii9856,7881,053,7571,041,434
Years ended 31st December
1934791,997766,3761,558,3731,551,532
1935796,732772,9571,569,6891,562,233
1936804,304780,3131,584,6171,575,231
1937813,104788,6541,601,7581,589,972
1938821,668796,6451,618,3131,606,703
1939832,841808,7981,641,6391,628,512
1940813,028820,6171,633,6451,637,305
1941799,241832,0351,631,2761,630,948
1942793,681842,7221,636,4031,639,572
1943790,842851,1991,642,0411,635,635
1944,813,604802,6891,676,2931,655,794

EXTERNAL MIGRATION.

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

Commencing with the year 1933–34, the year ending 31st March has been adopted as a standard for the statistical expression of external migration in place of the calendar year formerly in use. The principal reason for the change was to avoid the partition of a season's migration movement into two statistical years as was inevitable with the calendar year ending in the middle of the summer flow of tourists and immigrants.

Including crews of vessels, 37,592 persons from overseas arrived in New Zealand during the year ended 31st March, 1944, which, compared with 1942–43, shows a decrease of 5,504. During the same period 36,947 persons departed. This figure, compared with the corresponding one for 1942–43, shows a decrease of 7,170.

Wartime restrictions on migration, diversion of ships, and use of passenger-liners as troop-carriers and hospital ships have inevitably led to a considerable decrease in the migration figures, which during the last three years have reached their lowest ebb for over eighty years.

In addition to the figures just quoted there were also 1,812 “through” passengers who called at a port of New Zealand en route to their destination.

The excess of total arrivals over total departures for 1943–44 was 645, compared with an excess of departures of 1,021 during 1942–43.

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, &c. (1939–40 to 1943–44), have not been taken into account in this table.

Year ended 31at March,Arrivals.Departures.Excess of Arrivals over Departures.
Males.Females.Totals.Males.Females.Totals.
* Excess of departures over arrivals.
193410,0459,64219,68711,40110,62122,022−2,335*
193512,65512,24624,90114,08013,97128,051−3,150*
193613,37513,66126,93613,82614,22428,050−1,114*
193716,04115,62931,67015,54716,47632,023−353*
193819,29219,44638,73817,87018,48236,3522,386
193921,56921,07942,64818,21519,47037,6854,963
194015,86815,56431,43213,07012,33425,4046,028
19417,0536,76113,8146,9556,14513,100714
19423,7093,3937,1023,7023,1916,893209
19431,8901,2433,1331,3821,2102,592541
19442,1221,6253,7471,8481,7923,640107

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.

1939–40.1940–41.1941–42.1942–43.1943–44.
* Includes only cases where persons were definitely stated to be evacuees for the duration of the war. Figures are probably understated.
Immigrants intending permanent residence7,3152,2261,062857748
Permanent residents returning14,0934,9322,7178911,171
Visitors—     
Evacuees from United Kingdom..559*7*....
Tourists6,8903,8101,798630974
Tourists on cruising liners559....  
On business1,316897512283349
Theatrical, entertaining, &c.5621204543
Others, officials, &c.336249120139150
In transit836962840329352
Not stated84591....
Through passengers11,8855,8584,3668451,812
Crews58,91649,33846,89339,96333,845
Totals102,79269,01058,35143,94139,404

The succeeding table gives a similar analysis of departures.

1939–40.1940–41.1941–42.1942–43.1943–44.
Permanent residents departing—     
Permanently3,1292,8411,6059241,479
Temporarily10,2053,6151,765332774
Not stated16916721....
Temporary residents departing11,9016,4773,5021,3361,387
Tourists on cruising liners559........
Through passengers11,8855,8584,3568451,812
Crews59,00849,59045,95841,52533,307
Totals96,85668,54857,20744,96238,759

Ages.

The following table gives the age-distribution of immigrants and emigrants for the twelve months ended 31st March, 1944.

Age, In Years.Permanent Arrivals.Permanent Departures.Excess of Departures-over Arrivals.
Males.Females.Totals.Males.Females.Totals:
0–147085161158143301140
15–24409113168176244113
25–346114220389255344141
35–4435589386137223130
45–594255977711919699
60 and over27356254116170108
Unspecified..11..11..
Totals2814677485329471,479731

ASSISTED IMMIGRATION.

The general scheme of Governmental assistance to immigrants has been restricted in varying degrees since May, 1927.

Various systems of assisted immigration have been in force since 1871, with the exception of the period 1892 to 1903 (inclusive).

The numbers of assisted immigrants during each of the last eleven years were as follows:—

Year ended 31st March,Number.
19344
19351
1936Nil.
193711
193810
193913
19408
19413
1942–1944Nil.

The total to 31st March, 1944, was 226,274, of which number all came from the United Kingdom with the exception of 3,909 from the Continent of Europe, spread over the five years 1874 to 1878 (inclusive).

PASSPORTS

Permission to enter New Zealand.—With certain specified exceptions, no person of sixteen years of age or over may land in New Zealand unless in possession of a passport or some other document satisfactorily establishing nationality and identity. Exemption (which is additional to the requirements of the Immigration Restriction and Undesirable Immigrants Exclusion Acts) may be granted by the Minister of Internal Affairs. With certain exceptions, all aliens require a visa.

For persons from the Cook Islands, Niue, and Western Samoa the only requirement is a permit to visit New Zealand granted by the Resident Commissioner of the Cook Islands or Niue or by the Administrator of Western Samoa, as the case may be. The regulations, further, do not apply to a British subject who is the master or a member of the crew of the vessel in which he arrives, or to a British subject arriving from Australia.

Departure from New Zealand.

All persons sixteen years of age or over travelling overseas require a permit from the Minister or Under-Secretary of Internal Affairs.

British subjects travelling between New Zealand and Australia do not require passports, but permits are necessary.

IMMIGRATION RESTRICTION.

Detailed information under this head will be found on pp. 41–45 of the 1942 number of the Year-Book.

NATIONALITY AND NATURALIZATION.

The British Nationality and Status of Aliens (in New Zealand) Act, 1928, which was reserved for Royal assent, came into force on the 1st July, 1929. This Act made important alterations in the naturalization law of New Zealand, and made provision for the adoption of Part II of the British Nationality and Status of Aliens Act, 1914 (Imperial). A fairly detailed account of its effects will be found on pp. 92–95 of the 1931 issue of the Year-Book.

The British Nationality and Status of Aliens (in New Zealand) Amendment Act, 1934–35, brings the New Zealand law into conformity with the law of the United Kingdom relative to the nationality of married women (see p. 70 of 1940 Year-Book). In addition, a woman who has lost her British nationality by reason of her marriage to an alien has the right, while she remains in New Zealand, to-claim the same privileges as if she had remained a British subject. The legislation does not seek to alter the fact that such a woman has in law ceased to be a British subject; it merely says that upon making the prescribed declaration she is, while she remains in New Zealand, entitled to all the rights and privileges and is subject to all the duties and obligations of a natural-born British subject.

The British Nationality and Status of Aliens (in New Zealand) Amendment Act, 1943, brings the nationality laws of New Zealand into conformity with the United Kingdom law in the matter of declarations of alienage and in the British nationality of persons born abroad. The Act also makes provision for naturalization to be granted to aliens serving with the Armed Forces during the period of the present war, notwithstanding that the provisions of the principal Act may not have been complied with. Provision is also made in the Act for the recognition in New Zealand of any certificates which may be granted under similar provisions in the United Kingdom or in any other British Dominion.

During 1943, 34 women took advantage of section 3 of the 1934–35 Act and made the necessary declaration. The nationalities of the husbands were as follows: Norwegian, 6; Austrian, 5; Dutch and Swiss, 4 each; Yugoslav, 3; Chinese, Finnish. Italian, and Polish, 2 each; Danish, Greek, Syrian, and United States of America, 1 each.

DISTRIBUTION OF POPULATION—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 Maori War which broke out in 1860 retarded settlement in the North, while a large area of land reserved for the Maoris was for many years a serious hindrance to the development, by Europeans, of this portion of the Dominion. The South Island was practically free from Maori troubles, and settlement was more rapid, though much of the land was disposed of in large areas. The discovery of gold in Otago in 1861 and on the West Coast in 1864 attracted to these localities considerable numbers of miners.

Census Year.Population (excluding Maoris).Proportions per Cent.
North Island.South Island.Totals.North Island.South Island.
* Includes Maori half-castes (total, 4,236), living as Europeans.
1881191,534296,355487,88939.2660.74
1886248,909327,615576,52443 1756.83
1891279,642344,813624,45544.7855.22
1896338,739362,355701,09448.3251.68
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

At 31st December, 1944, the North Island population was estimated as 1,110,514, inclusive of 97,336 Maoris; and the South Island population as 565,779, inclusive of 3,534 Maoris.

The natural increase of European population (i.e., excess of births over deaths) for the South Island during the 1926–36 intercensal period was 47,181, but the total net increase was only 39,889. For the North Island the natural increase was 92,130, and the total net increase 107,126. Allowing for the fortuitous presence in the South Island in 1926 of 2,000 or 3,000 North Island residents visiting the Dunedin Exhibition the margin is reduced, but the existence of a northward drift of population is still evident.

Internal Migration.

Particulars of passenger movement between the North and South Islands are available and are of use in the compilation of population statements. During the year ended 31st March, 1944, the North Island showed a gain of 345 from the South Island, compared with 5,093 in 1942–43.

Provincial Districts.

The approximate areas and the populations, inclusive of Maoris, of the various provincial districts are as follows:—

Provincial District.Area (Square Miles).Census Population.Estimated Population as at. 1st April, 1941.
1901.1921.1926.1936.
* Including 196 Maori wives of Europeans, provincial district not specified.
Auckland25,400204,899406,899469,458646,970582,613
Hawke's Bay4,26039,60465,08070,35376,96879,100
Taranaki3,75040,46565,24471,84877,65279,600
Wellington10,870146,326254,695281,020316,446336,700
Marlborough4,22013,74618,28918,79319,14920,200
Nelson10,87038,06747,73460,87859,48158,100
Westland4,88014,56614,25316,26018,67618,800
Canterbury13,940144,195199,969215,079234,399239,417
Otago—      
Otago portion14,050125,782137,062149,921151,213149,300
Southland portion11,17048,01662,43965,52972,85672,500
Totals103,410816,862*1,271,6641,408,1391,573,8101,636,230

The foregoing table illustrates the wide disparities in the size of the provincial districts, whether measured by area or by population. The growth of population during the interval between 1926 and 1936 is given below both in absolute numbers and as a percentage of the 1926 totals. The figures include Maoris.

 Numbers.Per Cent.
Auckland77,51216.51
Hawke's Bay6,6159.40
Taranaki5,8048.08
Wellington35,42612.61
Marlborough3561.89
Nelson8,60316.91
Westland3,41622.39
Canterbury19,3208.98
Otago—  
Otago1,2920.86
Southland7,32711.18
Dominion165,67111.77

Urban and Rural Population.

On 24th March, 1936, somewhat over one-third (38.5 per cent.) of the population of the Dominion (excluding Maoris) was included in the four principal urban areas—Auckland, Wellington, Christchurch, and Dunedin—and over one-half (51.7 per cent.) in these or in the ten secondary urban areas. In the following table urban population means the population in cities and boroughs, while rural population covers counties, all town districts, and extra-county islands. The continuance of urban drift is noticeable, but with a marked slackening in pace.

Census.Population.Per Cent.
Rural.Urban.Migratory.Rural.Urban.Migratory.
* Figures exclude military and Internment camps.
Excluding Maoris—      
1881292,036194,9812,91659.6139.800.59
1886328,144245,6124,72656.7242.460.82
1891352,991270,3433,30556.3343.140.53
1896392,678307,2943,38155.8343.690.48
1901418,746350,2023,76354.1946.320.49
1906459,492424,6144,46751.7147.790.50
1911497,858505,5985,00849.3750.130.50
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
Including Maoris—      
1926610,446790,5557,13843.3556.140.51
1936677,087892,0244,69943.0256.680.30

Another conception of urban and rural population is presented in the next table, which covers the last seven censuses. Maoris are omitted, as data are not available over the whole period. The great bulk of Maoris inhabit rural communities. In the case of the larger centres there are numerous suburban boroughs and town districts; consequently, as regards the fourteen urban areas the centre has been taken as including all cities, boroughs, and town districts within the territory of the present urban area. In other instances the “centre” is a borough or town district.

Centres of1901.1906.1911.1916.1921.1926.1936.
Population
1,000-2,49941,81447,00254,89565,70680,12084,70282,516
2,600-4,99933,47831,98237,19240,15956,48749,59461,770
5,000- 9,99936,83460,45051,32644,83823,30632,07348,292
10,000-24,99910,63733,00562,71582,770128,084155,105172,886
25,000 and over214,098254,138302,943340,271401,710472,603531,588
Totals, urban330,861416,577509,071588,744690,607794,167887,060
Rural432,087467,529494,885499,518528,076548,217599,752
Grand totals (excluding migratory)768,948884,1061,003,4501,087,2021,213,0821,337,3841,480,812
Per Cent.
1,000-2,4995.445.825.476.046.606.345.56
2,600-4,9994.353.623.714.254.653.713.48
5,000-9,9994.795.715.114.131.922.403.25
10,000-24,9991.883.736.257.6110.0311.0011.03
25,000 and over27.8528.7430.1932.1283.1035.8336.75
Totals, urban43.8147.1250.7354.1556.9059.3859.66
Rural56.1962.8849.2746.8543.1040.6240.34
Grand totals (excluding migratory)100.00100.00100.00100.00100.00100.00100.00

The comparison is not an exact one, but is sufficiently accurate to indicate the general trend of urbanization. For instance, it is noticeable that in 1901 29 per cent. of the population were in towns of 10,000 population or over; by 1936 the proportion had become 47 per cent.

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, as in the case of the Australian States—e.g., Victoria, whose capital city (Melbourne) contains over one-half of the total population of the State—the more highly urbanized portion of the community is localized in four widely separated centres. These four centres have always existed more or less on the same plane, a fact which has played no small part in the development of the country. An interesting feature is the wide gap which has long existed between the four major centres and the next largest towns.

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

RECENT MOVEMENTS IN TOWNS.

Urban areas afford the best basis of comparison of population-growth in the case of the largest towns, since their boundaries are stable and, of greater significance, they include the suburbs as well as the central city or borough. The following table excludes Maoris—data being lacking in earlier years—but their numbers are too small to exercise any significant effect.

Urban Area.1911.1916.1921.1926.1936.
Auckland115,750133,712157,757192,223210,393
Wellington82,80095,235107,488121,527149,382
Christchurch87,40092,733105,670118,601132,282
Dunedin67,20068,71672,25585,09581,848
Hamilton5,7008,98013,79816,53819,373
Gisborne10,70012,66014,45014,78915,521
Napier13,00015,13117,18718,06618,443
Hastings8,75011,01812,99014,46017,715
New Plymouth8,6009,79512,64515,93118,194
Wanganui16,25019,51723,52326,12925,312
Palmerston North11,90014,00616,88519,70923,953
Nelson8,8759,96210,63211,75213,545
Timaru12,47513,71615,50716,82218,805
Invercargill15,70017,86219,21021,84925,682

POPULATION ESTIMATES.

It has been the practice, in years in which a census is not taken, to compile estimates of population for provincial districts, urban areas, counties, cities, boroughs, and town districts, these relating to 1st April. Owing to various factors arising out of the war, it has now been found impossible to compile accurate estimates, and authority has been granted, by the Population Estimates Emergency Regulations 1942, to discontinue these until after the next census.

The latest estimates, which relate to 1st April, 1941, are now given, and these have been adjusted to 1st April, 1944, where necessary, for any alterations to population and area in cases where boundaries have been changed.

Urban Areas.

The population of each of the fourteen urban areas (cities or boroughs, plus their suburbs), as estimated for 1st April, 1941, was as follows:—

Urban Area.—Estimated Population (including Maoris), 1st April, 1941

Urban Area.Population (including Maoris.
* Excludes a small area which, though part of the borough, is not within the urban area.
Auckland 
Auckland City106,800
Birkenhead Borough3,450
Northcote Borough2,380
Takapuna Borough7,610
Devonport Borough9,900
New Lynn Borough3,670
Mount Albert Borough20,900
Mount Eden Borough19,200
Newmarket Borough2,970
Ellerslie Borough2,770
One Tree Hill Borough8,920
Onehunga Borough11,500
Otahuhu Borough6,020
Remainder of urban area17,610
Total223,700
Wellington 
Wellington City120,700
Lower Hutt City22,600
Petone Borough11,050
Eastbourne Borough2,370
Johnsonville Town District1,980
Remainder of urban area1,800
Total160,500
Christchurch 
Christchurch City101,200
Riccarton Borough5,870
Sumner Borough3,290
Lyttelton Borough*3,060
Remainder of urban area22,080
Total135,500
Dunedin 
Dunedin City65,200
Port Chalmers Borough2,020
West Harbour Borough1,780
St. Kilda Borough7,650
Green Island Borough*2,330
Remainder of urban area3,220
Total82,200
Hamilton 
Hamilton Borough17,950
Remainder of urban area2,950
Total20,900
Gisborne 
Gisborne Borough13,900
Remainder of urban area2,300
Total16,200
Napier 
Napier Borough16,650
Taradale Town District1,510
Remainder of urban area1,240
Total19,400
Hastings 
Hastings Borough13,650
Havelock North Town District1,210
Remainder of urban area4,140
Total19,000
New Plymouth 
New Plymouth Borough17,550
Remainder of urban area1,850
Total19,400
Wanganui 
Wanganui City23,400
Remainder of urban area2,600
Total26,000
Palmerston North 
Palmerston North City23,600
Remainder of urban area1,900
Total25,500
Nelson 
Nelson City11,400
Tahunanui Town District890
Remainder of urban area1,510
Total13,800
Timaru 
Timaru Borough17,800
Remainder of urban area1,400
Total19,200
Invercargill 
Invercargill City22,600
South Invercargill Borough1,160
Remainder of urban area2,640
Total26,400

Counties.—Estimated Population (including Maoris) and Area, 1st April, 1941

(NOTE.—“Administrative Counties” do not include boroughs or town districts independent of county control, but include dependent town districts.)

Administrative County.Population (including Maoris).Approximate Area, in Square Miles.
North Island—  
Mangonui8,540958
Whangaroa2,690240
Hokianga9,220613
Bay of Islands10,740820
Whangarei11,9601,046
Hobson6,720746
Otamatea5,350421
Rodney5,110477
Waitemata14,450607
Eden12,10014
Great Barrier Island410110
Manukau10,300240
Franklin14,340551
Raglan10,550936
Waikato13,020648
Waipa12,910435
Otorohanga5,770600
Kawhia2,360330
Waitomo7,9501,137
Taumarunui3,810878
Coromandel2,680439
Thames2,840419
Hauraki Plains5,010233
Ohinemuri3,440237
Piako10,700444
Matamata9,880930
Tauranga10,250609
Rotorua6,090989
Taupo4,2303,272
Whakatane10,8001,677
Opotiki4,9001,537
Matakaoa1,990295
Waiapu6,830793
Uawa1,800256
Waikohu3,320947
Cook7,910791
Wairoa7,7501,373
Hawke's Bay15,2501,673
Waipawa3,530524
Waipukurau1,000121
Patangata2,700658
Dannevirke4,860426
Woodville1,910156
Weber340118
Ohura2,160416
Whangamomona1,260447
Clifton2,870444
Taranaki6,480229
Inglewood3,360187
Egmont4,660239
Stratford5,310419
Eltham3,570207
Waimate West2,77083
Hawera5,880191
Patea3,930591
Kaitieke3,300550
Waimarino3,130883
Waitotara3,700468
Wanganui3,790460
Rangitikei9,4901,675
Kiwitea2,410359
Pohangina1,360259
Oroua3,920190
Manawatu5,560265
Kairanga5,420187
Horowhenua7,570544
Hutt7,810459
Makara4,600117
Pahiatua2,830285
Akitio1,150321
Castlepoint610203
Eketahuna2,010311
Mauriceville780115
Masterton3,390586
Wairarapa South2,950440
Featherston3,940953
Totals420,26043,807
South Island—  
Sounds1,030505
Marlborough7,5501,920
Awatere1,5101,019
Kaikoura2,870929
Amuri2,4002,256
Cheviot1,370327
Waimea11,9501,539
Takaka1,990456
Collingwood1,480562
Buller6,2601,950
Murchison1,7601,412
Inangahua3,840949
Grey5,6401,579
Westland5,6004,410
Waipara2,640937
Kowai2,020157
Ashley760309
Rangiora3,25096
Eyre1,840176
Oxford1,640318
Tawera840941
Malvern2,990250
Paparua5,730136
Waimairi14,33048
Heathcote4,97019
Halswell2,07040
Mount Herbert4,44066
Akaroa1,600169
Chatham Islands700372
Wairewa990170
Springs1,79091
Ellesmere3,220230
Selwyn1,510954
Ashburton11,5002,459
Geraldine5,850691
Levels4,900263
Mackenzie3,0502,739
Waimate7,0401,383
Waitaki9,9302,392
Waihemo1,220338
Waikouaiti4,460312
Peninsula2,80040
Taieri5,850903
Bruce4,210520
Clutha7,1301,016
Tuapeka4,7201,388
Maniototo2,8501,340
Vincent4,5202,922
Lake2,2203,872
Southland25,9103,736
Wallace9,8603,727
Fiord203,035
Stewart Island490670
Totals227,00059,037
Grand totals647,260102,844

Boroughs.—Estimated Population (including Maoris) and Area, 1st April, 1941

Borough.Population (Including Maoris).Approximate Area, In Acres.
North Island—  
Whangarei7,6003,354
Dargaville2,2802,800
Birkenhead3,4503,084
Northcote2,3801,190
Takapuna7,6102,780
Devonport9,9001,100
New Lynn3,6701,392
Auckland (City)106,80018,253
Mount Albert20,9002,430
Mount Eden19,2001,476
Newmarket2,970182
Ellerslie2,770745
One Tree Hill8,9202,430
Onehunga11,5001,876
Otahuhu6,0201,345
Manurewa1,5601,960
Papakura1,9202,010
Pukekohe2,6903,470
Huntly2,090801
Ngaruawahia1,4701,112
Hamilton17,9503,740
Cambridge2,3301,280
To Awamutu2,5701,162
Te Kuiti2,6201,668
Taumarunui2,7601,925
Thames4,2202,712
Paeroa2,2601,419
Waihi3,9704,094
Te Aroha2,4502,783
Morrinsville2,000950
Matamata1,480934
Tauranga3,910998
TePuke1,0201,047
Rotorua6,5403,288
Whakatane2,1601,524
Opotiki1,510772
Gisborne13,9003,378
Wairoa2,6301,603
Napier16,6502,178
Hastings13,6502,612
Waipawa1,1401,710
Waipukurau2,1101,040
Dannevirke4,4001,300
Woodville1,0501,054
Waitara2,0601,587
New Plymouth17,5504,132
Inglewood1,270703
Opunake1,090676
Stratford3,9002,016
Eltham1,8801,599
Hawera4,790897
Patea1,4801,420
Ohakune1,3902,079
Raetihi1,180958
Wanganui (City)23,4005,726
Taihape2,2101,923
Marton2,8301,415
Feilding4,7202,031
Foxton1,510757
Palmerston N. (City)23,6004,851
Shannon920844
Levin2,8201,332
Otaki1,8201,390
Upper Hutt4,3902,165
Lower Hutt (City)22,6005,460
Petone11,0501,132
Eastbourne2,3701,546
Wellington (City)120,70016,289
Pahiatua1,740720
Eketahuna730948
Masterton9,4803,002
Carterton1,9401,265
Grey town1,1801,927
Featherston1,040759
Martinborough9401,070
Totals619,560171,580
Picton1,3901,052
Blenheim5,2001,640
Nelson (City)11,4004,966
Richmond1,1302,600
Motueka1,7302,523
Westport4,240760
Runanga1,6701,186
Greymouth8,4602,522
Brunner9805,700
Kumara420842
Hokitika2,730674
Ross4204,196
Rangiora2,240877
Kaiapoi1,610877
Riccarton5,870728
Christchurch (City)101,20012,351
Sumner3,2903,797
Lyttelton3,1102,540
Akaroa460233
Ashburton7,1301,830
Geraldine930566
Temuka1,900795
Timaru17,8002,782
Waimate2,300716
Oamaru7,6101,384
Hampden280630
Palmerston780900
Waikouaiti5801,958
Port Chalmers2,020500
West Harbour1,7802,020
Dunedin (City)65,20015,227
St. Kilda7,650462
Green Island2,340875
Mosgiel2,150965
Milton1,370315
Kaitangata1,2801,280
Balclutha1,690639
Tapanui290129
Lawrence630615
Roxburgh450515
Naseby200112
Alexandra870815
Cromwell730806
Arrowtown230457
Queenstown920270
Gore4,7201,940
Mataura1,5301,272
Winton880505
Invercargill (City)22,6005,914
South Invercargill1,1602,257
Bluff2,0602,111
Riverton900718
Totals320,510102,343
Grand totals940,070273,923

Town Districts.—Estimated Population (including Maoris) and Area, 1st April, 1941

Town District.Population (Including Maoris).Approximate Area, in I Acres.

* Parent county shown in parentheses.

† Merged into county, 22nd June, 1944.

(a) TOWN DISTRICTS NOT FORMING PARTS OF COUNTIES
North Island—  
Kaitaia8601,123
Kaikohe7601,167
Hikurangi1,000960
Kamo460852
Warkworth6401,420
Helensville9401,300
Henderson1,2001,265
Glen Eden1,3301,267
Howick9301,091
Papatoetoe2,6401,267
Waiuku8801,275
Tuakau7201,265
Leamington5301,330
Otorohanga780314
Manunui7701,251
Putaruru840975
Mount Maunganui690935
Taradale1,5101,469
Havelock North1,210835
Ohura460815
Manaia610510
Waverley680484
Mangaweka380955
Hunterville570791
Bulls510677
Johnsonville1,980842
Totals23,88026,435
Tahunanui890520
Leeston550391
Tinwald6701,525
Pleasant Point540730
Wyndham530680
Lumsden5101,264
Nightcaps590285
Otautau580954
Totals4,8606,349
Grand totals28,74032,784
(b) TOWN DISTRICTS FORMING PARTS OF COUNTIES*
Kohukohu (Hokianga)3601,020
Rawene (Hokianga)330280
Russell (Bay of Islands)3601,066
Kawakawa (Bay of Islands)530280
Onerahi (Whangarei)410990
Mercer (Franklin)2901,000
Te Kauwhata (Waikato)3701,290
Ohaupo (Waipa)2701,283
Kihikihi (Waipa)340523
Kawhia (Kawhia)240470
Te Karaka (Wai-kohu)350700
Patutahi (Cook)2701,275
Ormondville (Danne-virke)2601,255
Kaponga (Eltham)400558
Normanby (Hawera)350260
Totals5,13012,250
South Island—  
Havelock (Marlborough)250210
Takaka (Takaka)460585
Southbridge (Ellesmere)390531
Outram (Taieri)370886
Clinton (Clutha)420930
Edendale (Southland)410696
Totals2,3003,838
Grand totals7,43016,088

AGE DISTRIBUTION.

The following table shows the estimated age distribution of the population at 31st December, 1943. The figures are based on the 1936 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-group.Excluding Maoris.Maoris.
Males.Females.Totals.Males.Females.Totals.
Under 579,49575,941155,4369,6229,08318,705
5–961,20059,300120,5006,8506,67513,525
10–1462,50059,800122,3006,8006,65013,450
15–1966,40064,500130,9005,5505,35010,900
20–2443,00065,900108,9003,7504,1007,850
25–2940,90064,400105,3002,8253,0256,450
30–3451,10063,400114,5003,1753,2256,400
35–3952,60057,900110,5002,5252,4004,925
40–4450,40051,700102,1001,9751,7753,750
45–4944,90048,30093,2001,8501,6003,450
50–5442,10045,10087,2001,3501,0252,375
55–5942,90043,00085,9001,2509252,175
60–0438,60037,20075,8008006001,400
65–6929,00028,40057,4006505501,200
70–7419,10019,20038,300400425825
75–7910,30011,20021,500325350675
80 and over6,5507,50014,050100100200
Total under 14190,400182,600373,00021,97521,17543,150
Total under 16216,300207,600423,90024,45023,62548,075
Total under 21282,000272,700554,70029,77528,70058,475
Totals 21 and over459,045530,041989,08620,02219,75839,780
Total population741,045802,7411,543,78640,79748,45898,255

DENSITY OF POPULATION.

The total area of the Dominion of New Zealand is approximately 103,935 square miles. Omitting the annexed islands and certain uninhabited outlying islands, the area of the land-mass remaining is 103,416 square miles. This calculation, it should be explained, includes all inland waters—viz., lakes, rivers, harbours, estuaries, &c. It should be noted also that there is a great deal of high mountainous country in New Zealand, particularly in the South Island, while there are also great areas 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.

The density of population in 1944 may be quoted as 16.27 persons to the square mile. This figure would be higher if members of the Armed Forces serving overseas were included in the population.

The area and population of individual towns and counties will be found in preceding tables in this section. At the 1936 census density of population in the various provincial districts was:—

 Persons per Square Mile.
Auckland21.53
Hawke's Bay18.07
Taranaki20.71
Wellington29.11
Marlborough4.54
Nelson5.47
Westland3.83
Canterbury16.81
Otago—Otago10.76
Southland6.52

Attention must be drawn to the necessity for the exercise of discretion in the use of data concerning density of population, particularly in comparing one country with another. Areas may be calculated in many ways, while area itself may have little relationship to potentiality of use. In the case of urban population, it is impossible to obtain the aggregate area of sites actually in occupation by business premises, residences, &c. Many boroughs contain within their boundaries large reserves which, with farming and other unbuilt-on land, tend to disguise the actual relation of population to area.

MAORI POPULATION.

A record of early statistics of Maoris is given in Vol. III of the 1936 Census Results. The first official general census 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, and even some later enumerations hardly claim to be more than approximations.

Available statistical evidence points to a decline in the numbers of the Native race following the advent of Europeans, but this decline was commonly exaggerated by early writers. Of later years an unmistakable and now fairly rapid increase has been noted. This gain, however, has been accompanied by a very considerable dilution of blood.

The Maori population recorded at the census of 24th March, 1936, was 82,326, which is an increase of 18,656 on the 1926 total. The percentage increase was 29.30, equivalent to an average annual increase of 2.60 per cent. These percentages, it will be noted, are considerably higher than the corresponding figures for the non-Maori population—viz., 10.93 per cent. and 1–05 per cent. For the year 1943–44 the net increase of the Maori population was 2,402, or 2.49 per cent., as compared with an increase of 7,404 (0.48 per cent.) for the non-Maori population. Movements of troops tend to invalidate this comparison; the natural increase ratios for the year 1943–44 afford a better illustration. These are:—

 Non-Maori.Maori.
Birth-rate20.8846.68
Death-rate9.9217.90
Natural-increase rate10.9629.59

The census record of Maori population is as follows:—

Year.No.
1857–5856,049
187447,330
187845,542
188146,141
188643,927
189144,177
189642,113
190145,549
190650,309
191152,723
191652,997
192156,987
192663,670
193682,326

Of the 100,870 Maoris at 31st December, 1944, 97,336 were in the North Island. Auckland Provincial District contains the bulk of the Maoris, particularly in the Auckland Peninsula and Poverty Bay regions. In the South Island Maoris do not attain any numerical significance.

The records of the 1926 and 1936 censuses permit of a statement of the total numbers wholly or partly of Maori blood.

Counted in the Maori population— 
 1920.1030.
Full Maori45,42955,915
Maori-Europeans—  
Three-quarter caste6,63211,397
Half-caste11,30614,891
Degree not specified303123
Totals63,67082,326
Counted in the non-Maori population—
 1926.1936.
Maori-European quarter-caste6,05311,508
Maori-Polynesian39102
Maori-Japanese99
Maori-Chinese..38
Maori-Indian941
Maori-Syrian..26
Maori-American Indian..3
Cook Island Maori..103
Totals6,11011,830

In 1936 there were recorded in New Zealand some 94,156 persons wholly or partly of Maori origin. Of these, some 59 per cent. were recorded as of unmixed Maori descent. There is some reason to believe that the degree of miscegenation is understated, and it is unlikely that the proportion of pure Maori descent is more than 50 per cent.

Chapter 4. SECTION 4.—VITAL STATISTICS

SUBSECTION A.—BIRTHS

REGISTRATION.

Registration of births in New Zealand dates from 1848, consequent upon the passing, in 1847, of a Registration Ordinance which made provision for a record of births and deaths being kept by the State. Under this Ordinance many registrations were effected, some of births as far back as 1840. Compulsory registration did not, however, come into force until 1855. Registration of still-births, previously not provided for, was made compulsory from the 1st March, 1913.

The law as to registration of births is now embodied in the Births and Deaths Registration Act, 1924, a consolidation of the then existing legislation. The provisions generally as to registration are that a birth may be registered within sixty-two days without fee. After sixty-two days 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 a fee of 5s. When six months have elapsed, and a conviction for neglect to register has been entered against the persons responsible, a birth may be registered with a Registrar of Births within one month after conviction, and in this case no fee is payable. An information for such neglect must be laid within two years of date of birth.

Notwithstanding the foregoing provisions, power is given by the Act of 1924 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, together with the payment of a fee of 5s. This provision does not, however, relieve any person from liability to prosecution for failure to register in the proper manner.

Although sixty-two days are allowed for the registration of a birth, it is compulsory to notify the birth to the Registrar within a much shorter interval—viz., forty-eight hours if in a city or borough and twenty-one days in every other case.

Particulars now 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 illegitimate 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 (see pp. 40–41). A child born out of New Zealand but arriving before attaining the age of eighteen months may be registered within six months of arrival.

Birth statistics are compiled from the records of the Registrar-General. The births covered by a year's statistics are those registered during the year irrespective of the year of birth. The figures do not include still-births, except in the special classification on page 42.

Registration of 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 60 of the Births and Deaths-Registration Act, 1924), 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 the 1st March, 1913. The number of Registrars of Maori Births and Deaths in the Dominion is over 250, most of these being in the North Island, where the great majority of the Maori population is located. Every Native settlement of any size is within easy reach of one of these Registrars. Maori registrations are entered in a separate register, and the figures of births given in the following pages do not include those of Maoris, which are dealt with at the end of this subsection.

NUMBERS AND RATES.

The numbers and rates of births (children born alive) for each of the last twenty years were as follows:—

Year.Number.Rate per 1,000 of Population.
192428,01421.60
192528,15321.20
192628,47321.06
192727,88120.29
192827,20019.57
192926,74719.03
193026,79718.83
193126,62218.45
193224,88417.12
193324,33416.63
193424,32216.51
193523,96516.17
193624,83716.64
193726,01417.29
193827,24917.93
193928,83318.73
194032,77121.19
194135,10022.81
194233,57421.73
194330,31119.70

The year 1936 witnessed the first yearly increase in the number of births since-1930, and also an actual increase in the birth-rate after a continuous downward movement during the previous fifteen years. From 1936 until 1941 a further continuous rise in both the number of births registered and the birth-rate was recorded. This followed the rapid rise in the marriage-rate, which began in 1933 and continued until 1940. With the advent of the war both the marriage-rate and the birth-rate during the following years have been affected by varying influences.

In 1941 the number of births registered reached a total substantially in excess of that recorded in any other year in the history of the Dominion, while the birth-rate was the highest since 1922. In the two following years, however, the numbers declined by 1,526 and 3,263 respectively. The birth-rate also fell appreciably, but did not descend to the pre-war level.

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

The “crude” rates do not permit of allowance being made for variations in the proportion of women of the child-bearing ages, and it is advisable and of interest to supplement the table of “crude” rates with a computation of the legitimate birth-rate per 1,000 married women of 15 and under 45 years of age, or the total birth-rate per 1,000 of all women of these ages. The following table gives both rates for New Zealand in each census year from 1878 to 1936.

Year.Number of Women 15 and under 45.Number of Births.Birth-rate per 1,000 Women 15 and under 45.
Married.Total.Legitimate.Total.Legitimate.*Total.
* Per thousand married women.
187850,99980,31317,34117,770340.0221.3
188157,46196,14418,19818,732315.0194.8
188662,709117,89518,69719,299298.2163.7
189163,172131,27117,63518,273279.2139.2
189669,816158,21417,77818,612254.6117.6
190179,420183,38719,55420,491246.2111.7
190698,249212,59823,12024,252235.3114.1
1911119,390240,71425,27626,354211.7109.5
1916141,322267,30027,36328,509193.6106.7
1921150,400288,47727,30928,567181.699.0
1926161,737313,36327,00028,473166.990.9
1936173,557344,12423,71124,837136.672.2

The legitimate rate per 1,000 married women between the ages of 15 and 45 is seen to have fallen by 60 per cent. between 1878 and 1936, while an oven greater fall is shown for the total rate on the basis of all women of the ages mentioned. The greater fall in the latter rate than in the former is due to the fact that among women of the child-bearing ages the proportion of married women is considerably smaller than in the earlier years covered.

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

NATURAL INCREASE.

The decline of the birth-rate in New Zealand has been accompanied until recent years by a decrease in the death-rate. Nevertheless, the nominal rate of natural increase of population has fallen from 31.19 per 1,000 of mean population in 1870 to 9.66 in 1943. 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 (see section on Population).

Period.Annual Rates per 1,000 Population.
Births.Deaths.Natural Increase.
1871–187539.8812.6727.21
1876–188041.2111.8029.41
1881–188536.3610.9525.41
1886–189031.159.8521.30
1891–189527.6810.1517.53
1896–190025.759.5516.20
1901–190526.609.9116.69
1906–191027.069.7517.31
1911–191525.989.2216.76
1916–192024.3210.7313.59
1921–192522.268.6313.63
1926–193019.768.6011.16
1931–193516.988.238.75
1936–194018.369.209.16
1941–194321.4110.1611.25

The movements that have taken place since 1875 are well illustrated in the accompanying diagram, which shows the rates at five-yearly intervals and for the latest year.

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. The period preceding 1870 exhibited violent fluctuations in the proportion of males, which showed a tendency to disappear as the total of births grew larger. There has been a considerable increase in the masculinity rate during the last four years, particularly in 1943, the average for the period 1940–43 being 1,060, as compared with 1,039 for the preceding four years. The extreme range since 1870 has been from 1,016 male per 1,000 female births in 1878 to 1,081 in 1923.

Year.Number of Births of
Males.Females.Male Births per 1,000 Female Births.
193312,41911,9151,042
193412,55411,7681,067
193512,31611,6491,057
193612,60812,2291,031
193713,24512,7691,037
193813,92913,3201,046
193914,70514,1281,041
194016,81715,9541,054
194118,00317,0971,053
194217,24216,3321,056
194315,72814,5831,079

The masculinity rate from 1856 to 1943 is expressed in the following table in average ratios for successive decennial periods.

Period.Male Births per 1,000 Female Births.
1856–18651,062
1866–18751,043
1876–18851,045
1886–18951,045
1896–19051,054
1906–19151,055
1916–19251,053
1926–19351,057
1936–1943 (eight years)1,050

Further information as to the proportions of sexes of children may be obtained from some figures extracted from the records of births registered in the ten years 1932–41 in cases where the child was shown to be the fourth born of a family in which the three previously born children were still living. In the following statement showing the sex-nativity order up to the fourth child, families in which plural births occurred among the first four children have been excluded.

First-born.Second-born.Third-born.Fourth-born.Number of Cases.
MaleMaleMaleMale1,259
MaleMaleMaleFemale1,171
MaleMaleFemaleMale1,082
MaleMaleFemaleFemale1,061
MaleFemaleMaleMale1,037
MaleFemaleMaleFemale980
MaleFemaleMale1,065 
MaleFemaleFemaleFemale984
FemaleFemaleFemaleFemale1,059
FemaleFemaleFemaleMale1,084
FemaleFemaleMaleFemale983
FemaleFemaleMaleMale1,055
FemaleMaleFemaleFemale972
FemaleMaleFemaleMale1,031
FemaleMaleMaleFemale1,032
FemaleMaleMaleMale944

Of the 16,799 families covered, in 8,639 cases the first child was a male and in 8,160 a female, the number of males per 1,000 females being thus 1,059. The proportion is less for subsequent births. The figures are as follows:—

Child.Males.Females.Males per 1,000 Females.
First8,6398,1601,059
Second8,5528,2471,037
Third8,4618,3381,015
Fourth8,5578,2421,038

The sex-proportions of illegitimate births are generally supposed to be more nearly equal than those of legitimate births. However, although little reliance can be placed on the figures for New Zealand by reason of the small numbers represented, it may be stated that the average for the period 1934–43 was 1,057 males per 1,000 females.

MULTIPLE BIRTHS.

The number of cases of multiple births and the proportion per 1,000 of the total (living births only) during the last five years were:—

Year.Total Births.Total Cases.Cases of Twins.Cases of Triplets.Multiples Cases per 1,000 of Total Cases.
193928,83328,528299310.50
194032,77132,425344110.64
194135,10034,696398311.56
194233,57433,170400212.63
194330,31129,973332311.18

Counting only cases where both children were born alive, there were 332 cases of twin births (664 children) registered in 1943. There were also three cases of triplets.

The number of accouchements resulting in living births was 29,973, and on the average one mother in every 89 gave birth to twins (or triplets).

When still-births are taken into account, the total number of accouchements for the year 1943 is increased to 30,733, and number of cases of multiple births to 390. On this basis the proportion of mothers giving birth to twins or triplets is increased to one in 79.

The following table shows the sexes in individual oases of twin births for the years 1938–41 and 1943. The detailed statistics for this and certain other tabulations were not compiled for the year 1942.

Year.Total Cases.Both Males.Both Females.Opposite Sexes.
193829610189106
19392999698105
1940344111107126
1941398129120149
194333213388111

During the ten years 1934–43 there were twenty cases of triplets. In seven cases all three children were males, in six cases all were females, in five cases there were two males and one female, and in two cases two of the three children were females. Of quadruplets born in 1935, three of the children were females.

AGES OF PARENTS.

Information as to the relative ages of parents of legitimate living children whose births were registered in 1943 is shown in the following table.

Age of Mother, In Years.Age of Father, In Years.
Under 21.21 and under 25.25 and under 30.30 and under 35.35 and under 40.40 and under 45.45 and under 50.50 and under 55.55 and under 65.65 and over.Totals.

* Including thirty-eight cases where plural births would have been registered had not one child been still-born and two cases (triplets) where two children were still-born.

† Including three cases of triplets.

Single Births
Under 21188721348872318621..1,394
21 and under 25951,5772,7391,0572839621115..5,884
25 and under 3063903,5543,6481,27534894352029,372
30 and under 35..376562,7912,230799220785666,873
35 and under 40..1614641,4731,0203351205873,539
40 and under 45....5331494262671106471,061
45 and over........215252112176
Totals2892,7267,3638,0805,4352,7229683772162328,199*
Multiple Births
Under 21223..............7
21 and under 252101883..........41
25 and under 30..24747193........118
30 and under 35..1194020551....91
35 and under 40....372712621..58
40 and under 45........231......6
45 and over......................
Totals4159010271231231..321
Grand totals2932,7417,4538,1825,5062,7459803802172328,520

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 1943 is here summarized.

Age of Mother.Number of Previous Issue.Totals.
0.l.2.3.4.5.6 and under 10.10 and under 15.15 and over.
* This number represents 28,199 single cases and 321 multiple cases.
Under 211,116235482..........1,401
21 and under 253,3691,6137121794444....5,925
25 and under 302,8983,2702,006834308113601..9,490
30 and under 351,2891,8791,7799725002602787..6,964
35 and under 404116698596213952393633913,597
40 and under 45126128155184139971855121,067
45 and over74412107229176
Totals9,2167,7985,5632,8041,396720912107428,520*

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 1943 registrations, who are also taken into account in the computation of the averages.

Ago of Mother, in Years.Total Mothers.Total Issue.Average Issue.
Under 211,4011,7451.25
21–245,9259,7641.65
25–299,49021,5792.27
30–346,96420,6862.97
35–393,59713,6123.78
40–441,0675,0444.73
45 and over764576.01
Totals28,52072,8872.56

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 1943) 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 the five years 1938–41 and 1943 were as follows: 1938,2.41; 1939,2.33; 1940,2.30; 1941,2.29; and 1943, 2.56. In 1915, the earliest year for which reliable comparative figures are available, the average issue was 3.11. This falling trend in the average issue of women giving births to children is a measure of the tendency towards smaller families. The 1943 average, for the first time since these figures were compiled, reverses the trend, and is a reflection of the sharp decline in the proportion of first births referred to on the next page.

FIRST BIRTHS.

Of a total of 146,293 accouchements resulting in legitimate births during the five years 1938–41 and 1943, the issue of no fewer than 57,525, or 39 per cent., were first-born children. In 21,665, or 38 per cent., of these cases the birth occurred within twelve months, and in 39,932, or 69 per cent., within two years after the marriage of the parents. In the remaining 31 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.

In view of the abnormal conditions operating during the last few years, and particularly as a result of the heavy increase in the number of marriages during each of the six years 1935 to 1940, it is not surprising to find the proportion of first births for these years showing a definite increase. In fact, the proportion of first births to total births from 1936 to 1941 was phenomenal, and in each year up to 1940 established a new record.

Following a steady decline in the annual number of marriages celebrated since 1940, a substantial reversal of the trend in the proportion of first births was to be expected. It is necessary to go back as far as 1928 to find a lower proportion than that recorded for 1943.

The proportion of first births occurring within one year of the marriage of the parents was lower in the last five years than for many years past. The figures for each of the years 1938–41 and for 1943 are:—

Year.Total Legitimate Cases.Total Legitimate First Cases.Proportion of First Cases to Total Cases.First Cases within One Year after Marriage.First Cases within Two Years after Marriage.
Number.Proportion to Total First Cases.Number.Proportion to Total First Cases.
   Per Cent. Per Cent. Per Cent.
193825,79510,54540.884,38941.627,62072.26
193927,40811,34741.404,48039.488,04070.86
194031,15012,98641.695,05738.949,09470.03
194133,42013,43140.194,56734.009,19868.48
194328,5209,21632.313,17234.425,98064.89
Totals for five years146,29357,52639.3221,66537.6639,93269.42

During the five years there were 8,074 cases of legitimate births within seven months after marriage, a period which may be regarded as a minimum in a consideration of extra-marital conception; also 6,278 cases of illegitimate births were registered, and if these latter are all regarded as first births (which is not entirely the case), the following position is shown:—

Year.Total Legitimate First Cases. ((a))Illegitimate Cases. ((b))Legitimate Cases within Seven Months after Marriage. ((c))Proportion of ((c)) to (a). (d)Proportion of (b) + (c) to Total of (a) + (b). (e)
    Per Cent.Per Cent.
193810,5451,1541,82917.3424.64
193911,3471,1201,83216.1523.68
194012,9861,2751,86214.3422.00
194113,4311,2761,46110.8118.61
19439,2161,4531,09011.8323.84
Totals for five years57,5256,2788,07414.0422.49

After several years of a continuous and substantial decrease in the proportion of extra-maritally conceived cases, the figure for 1943 shows a considerable move upwards. The proportion is still comparatively low, however, as ten years ago the figure was 32.40 per cent.

Apart from the tendency to restrict the size of families (already commented upon), it would appear that postponement of the birth of the first child is becoming a feature of modern times. Statistics of first births over a number of years indicate that the proportion occurring within one year after marriage is rapidly declining. Possibly due to factors arising out of the war, this tendency has become accelerated in recent years, and a particularly heavy fall was recorded in 1943. The following table illustrates this point.

Duration of Marriage, In Years.Proportion per Cent, of Total First Births.
1914.1924.1934.1943.
Under 1 year52.9550.0646.2534.42
1 and under 2 years28.6226.6426.7930.47
2 and under 3 years9.0210.4310.2414.20
3 and under 4 years3.435.516.169.40
4 and under 5 years1.883.033.964.09
5 and under 10 years3.263.365.496.06
10 years and over0.840.971.111.36
Totals100.00100.00100.00100.00

For the years covered by the foregoing table the average duration of marriage before the birth of the first child was—1914, 1.63 years; 1924, 1.76 years; 1934, 1.85 years; and 1943, 2.14 years.

An item of interest extracted from the 1943 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 the same basis for the years 1914, 1924, and 1934.

FIRST BIRTHS, BY AGE OF MOTHER

Age of Mother.First Births, Proportion per Cent, at each Age-group to Total First Births.
1914.1924.1934.1943.
Under 206.737.558.906.13
20 and under 2535.8938.1640.3942.53
25 and under 3035.0132.5932.7931.45
30 and under 3515.6114.6813.1013.99
35 and under 405.525.333.794.46
40 and under 451.161.590.991.37
45 and over0.080.100.040.07
Totals100.00100.00100.00100.00

The figures of average ages of mothers at the birth of their first children are as follows for the above years: 1914, 26.55; 1924, 26.39; 1934, 25.90; and 1943, 26.10.

ILLEGITIMACY.

The births of 1,467 children (770 males, 697 females) registered in 1943 were illegitimate. The numbers for each of the years 1933–43, with the percentages they bear to total births registered, were as follows:—

Year.Number.Percentage of Total Births.
19331,1194.60
19341,1614.77
19351,0464.36
19361,1264.53
19371,2104.65
19381,1644.27
19391,1333.93
19401,2843.92
19411,2813.65
19421,3393.99
19431,4674.84

War influences, resulting in unusual movements of the population and the influx of servicemen to the more heavily populated centres, no doubt are responsible for the rise in the illegitimate birth-rate in 1943 to a level not exceeded since 1932.

The long-term trend in the rate of illegitimate births is indicated by the movement in the proportion of illegitimate births per 1,000 unmarried women—i.e., spinsters, widows, and divorced women—at the reproductive ages. The figures for each census year from 1891 to 1936 are as follows:—

Census Year.Unmarried Women 15 and under 45 Years of Age.Illegitimate Births.Illegitimate-birth Rate per 1,000 Unmarried Women.
189168,0306389.38
189688,3338349.44
1901103,6529379.04
1906114,0961,1329.92
1911120,7781,0788.93
1916125,4611,1599.24
1921136,5391,2589.21
1926148,5511,4739.92
1936167,7811,1266.71

Included in the total of 1,467 illegitimate births in 1943 were fourteen cases of twins, the number of accouchements being thus 1,453. From the following table it will be seen that of the 1,453 mothers 460, or 32 per cent., were under twenty-one years of age.

Age.Cases.
Years. 
121
143
159
1626
1756
1898
19128
20139
21136
22138
23103
2488
2568
2655
2752
2846
2935
3044
3133
3232
3327
3422
3520
3616
3712
3816
3911
4016
417
425
434
444
451
462
Total1,453

The Births and Deaths Registration Amendment Act, 1930, directs the omission of the word “illegitimate” from the register when the birth of an illegitimate 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.

An important Act was passed in 1894 and re-enacted in 1908, intituled the Legitimation Act. Under this Act any child born out of wedlock. whose parents afterwards intermarried was deemed to be legitimized by such marriage on the birth being registered in the manner prescribed by the Act. For legitimation purposes a Registrar was required to register a birth when called upon to do so by any person claiming to be the father of an illegitimate child; but such person was required to make a solemn declaration that he was the father, and was also required to produce evidence of marriage between himself and the mother of the child.

Prior to the passing of the Legitimation Amendment Act, 1921–22, legitimation could be effected only if at the time of the birth of the child there existed no legal impediment to the intermarriage of the father and mother, but the legal-impediment proviso was repealed by that amendment.

The amendment of 1921–22 also provided for legitimation by the mother in the event of the death of the father after the intermarriage of the parents. In such a case the application for legitimation was heard by a Magistrate, and upon his certifying that it had been proved to his satisfaction that the husband of the applicant was the father of the child, the child was registered as the lawful issue of the applicant and her husband.

Important changes were made by the Legitimation Act of 1939, which stipulates that every illegitimate person whose parents have intermarried, whether before or after the passing of the Act, shall be deemed to have been legitimated from birth by reason of such marriage. The Act requires the parents or surviving parent of any person legitimated under the Act to register with the Registrar-General the particulars of the birth of that person, showing that person as the lawful issue of the parents. Application for registration was required to be made within six months after the date of the passing of the Act in cases where the marriage took place prior to that date. In future, 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 registered in each of the last eleven years, and the total since the Act of 1894 came into force, are shown in the following table. The effect of the Legitimation Act of 1939 is evident in the figures for 1940.

 Number of Children legitimized.
Year.Previously registered.Not previously registered.Total.
193330995404
193428494378
193527663339
193632785412
1937322114436
193835697453
193934957406
1940409104513
194137957436
194239634430
194340037437
Totals from 1894 to 19438,3683,22911,597

ADOPTIONS.

The Births and Deaths Registration Act contains provision for the registration of adopted children. The Clerk 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 mode 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.

During the year 1943 the registration of 577 adopted children (279 males and 298 females) was effected, as compared with 773 in 1942, 561 in 1941, 632 in 1940, and 530 in 1939. Statistics of adoptions effected are available in New Zealand only since 1919. These indicate that the annual number of adoptions follows closely the economic condition of the country. The record total of adoptions was that of 773 recorded for 1942, the next highest being 632 in 1940. The lowest total (329) occurred in 1931. When the figures of adoptions are expressed as a proportion per 1,000 births registered in each year, the figure for 1942 holds the record with a proportion of 23, closely followed by 1938 with 21, and 1921 with 20. Possibly various factors arising out of the war had a bearing on the high totals recorded for 1940 and 1942, but undoubtedly some of the increase was due to the extension of age provisions mentioned in the preceding paragraph.

STILL-BIRTHS.

The registration of still-births was made compulsory in New Zealand as from the 1st March, 1913. A still-born child is defined as one “which has issued from its mother after the expiration of the twenty-eighth week of pregnancy and which was not alive at the time of such issue.” Still-births are not included either as births or as deaths in the various numbers and rates shown in this subsection and. in that relating to deaths.

The registrations of still-births during each of the years 1933–1943 were as follows:—

Year.Males.Females.Totals.Male Still-births per 1,000 Female Still-births.Percentage of Still-births to
Living Births.All Births.
19334173057221,3672.972.88
19343873006871,2902.822.75
19353933457381,1393.082.99
19364243087321,3772.952.86
19374273347611,2782.932.84
19384093347431,2252.732.65
19394954059001,2223.123.03
19405284379651,2082.942.86
19415244479711,1722.772.69
19424824098911,1782.652.59
19434503678171,2262.702.62

Masculinity is in general much higher among still-births than among living-births, the rate for still-births in 1943 being 1,226 males per 1,000 females as compared with 1,079 for living births.

The percentage of illegitimates among still-born infants was 7.10, and among infants born alive 4.84.

Of the living legitimate births registered in 1943, 32 per cent. were first births, while of legitimate still-births 38 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 accouchement than those having subsequent accouchements.

MAORI BIRTHS.

The number of births of Maoris registered with Registrars of Maori Births and Deaths during 1943 was 4,326 (2,200 males, 2,126 females). In addition, 114 births (67 males and 47 females) recorded as of Maori race were registered under the main Act, making a total of 4,440 Maori births for the year. This number represents an increase of 110 as compared with the previous year, although the rate per 1,000 of Maori population fell from 45.84 to 45.78. The Maori birth-rate in 1943 was more than twice the non-Maori birth-rate (19.70 per 1,000). Registrations in each of the last five years were as follows:—

Year.Number of Maori Births.Rate per 1,000 of Mean Population.
Males.Females.Total.
19392,1571,9594,11646.20
19402,2172,0484,26546.87
19412,1561,9784,13444.77
19422,2222,1084,33045.84
19432,2672,1734,44045.78

There is reason to believe that the number of Maori births is somewhat understated, and that both number and rate are actually higher than shown above. For population purposes, half-castes and persons between half and full blood rank as Maoris; but it is not always possible to ensure that this practice is followed in the registration of births (and of deaths).

SUBSECTION B.—MARRIAGES

MARRIAGE may be celebrated in New Zealand only on the authority of a Registrar's certificate, either by a person whose name is on the list of officiating ministers under the Marriage Act, or before a duly appointed Registrar or Deputy Registrar of Marriages. Marriage by an officiating minister may be celebrated only between 8 o'clock in the morning and 8 o'clock in the evening. Marriage before a Registrar can be celebrated at any time during the hours the office of the Registrar is open for the transaction of public business. Prior to the passing of the Marriage Amendment Act, 1920, the limits in all cases were 8 a.m. and 4 p.m.

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

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

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

The marriage of a man with his deceased wife's sister was legalized in New Zealand in the year 1881, and the marriage of a woman with her deceased husband's brother in 1901. Marriage with a deceased wife's niece or a deceased husband's nephew was rendered valid in 1929.

An amendment to the Marriage Act in 1933 prohibited the marriage of persons under the age of sixteen years, and also made provision enabling women to become officiating ministers for the purposes of the Marriage Act.

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.

Year.Number.Rate per 1,000 of Population.
192410,2597.91
192510,4197.85
192610,6807.90
192710,4787.63
192810,5377.58
192910,9677.80
193011,0757.78
19319,8176.81
19329,8966.81
193310,5107.18
193411,2567.64
193512,1878.23
193613,8089.25
193714,3649.55
193815,32810.09
193917,11511.12
194017,44811.28
194113,3138.65
194212,2197.91
194311,5797.53

The low rates for 1931 and 1932 are indicative of the effect of the period of financial stringency and depression. The partial recovery in 1933 probably reflects an acceptance of, or an adjustment to, the changed conditions. Following an improving trend in economic conditions the marriage-rate then showed a continuous increase, culminating in a record high rate in 1940, when the figure attained was 11.28 per 1,000 of population. The number of marriages during 1940 also created a new record for the Dominion. Saturation point in the marriage-rate was apparently reached in that year, as in every year since 1940 there have been appreciable decreases, the total fall from 1940 to 1943 being 5,869. The marriage-rate in 1943 was only 7.53 per 1,000 of population, and it is necessary to go back to the depression years to find a figure below this rate.

Changes in the available marriageable population, together with other factors arising out of the war, have affected the marriage-rate in recent years. From the time of arrival of American forces in New Zealand in 1942 up to the end of the year 1943, a total of 754 marriages between American servicemen and New Zealand women was celebrated in the Dominion.

STANDARDIZED MARRIAGE-RATE.

In a country like New Zealand where the age-constitution of the population has altered considerably, the crude marriage-rate based on the total population does not disclose the true position over a period of years. Even if only the unmarried (including widowed and divorced) population over twenty in the case of men and over fifteen in the case of women be taken into account, the rates so ascertained would still not be entirely satisfactory for comparative purposes as between various periods, owing to differences in sex and age constitution, divergences between rates for different age-groups, and variations in the proportions of marriageable persons in the community. A better plan is to ascertain the rate among unmarried females in each age-group and to standardize the results on the basis of the distribution of the unmarried female population in a basic year.

This has been done for each census year from 1881 to 1936, the year 1911 being taken as the standard. The course of the standardized rates as shown in the following table varies materially from that of the crude rates.

Year.Marriage-rate per 1,000.Index Numbers of Marriage-rates. (Base: 1911 - 100.)
Total Population.Unmarried Female Population 15 and over.Total Population.Unmarried Female Population 15 and over.
Crude.Standardized.Crude.Standardized.
18816.673.980.776125137
18866.055.160.46993102
18916.048.350.3698285
18966.847.348.0788081
19017.850.249.0908583
19088.555.653.7989491
19118.759.159.1100100100
19167.550.754.3868692
19218.759.763.9100101108
19267.953.162.69190106
19369.360.569.8107102118

The index numbers of the three classes of rates over the series of years enable the effect of standardization to be seen at a glance. Comparing, for instance, the years 1881 and 1911, it is seen that whereas the crude rate per 1,000 of total population was nearly one-fourth less in 1881 than in 1911, the crude rate, when only the unmarried female population of fifteen and over is considered, was one-fourth greater, and the standardized rate more than one-third greater.

The standardized rate for 1936 is considerably higher than that recorded for any other census year subsequent to 1881.

Owing to staff difficulties arising out of the war situation, no detailed marriage statistics have been compiled since 1940. The statistics and information contained in the following pages relate in most cases to 1940 and previous years.

CONJUGAL CONDITION.

The total number of persons married during the year 1940 was 34,896, of whom 32,088 were single, 1,356 widowed, and 1,452 divorced. The figures for each of the five years 1936–40, showing the sexes separately, are given in the table following.

Year.Single.Widowed.Divorced.Total Persona married.
Bridegroom.Bride.Bridegroom.Bride.Bridegroom.Bride.
193612,57912,82878845744152327,616
193713,05413,29776349154757628,728
193813,77014,10385354569968030,656
193915,70815,83375852764975534,230
194015,92116,16780954771873434,896

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

Year.Bridegrooms.Brides.
Single.Widowed.Divorced.Single.Widowed.Divorced.
 Per Cent.Per Cent.Per Cont.Per Cent.Per Cent.Per Cent.
193691.105.713.1992.903.313.79
193790.885.313.8192.573.424.01
193889.875.574.5692.013.554.44
193991.784.433.7992.513.084.41
194091.244.644.1292.663.144.20

During the ten years 1931–40 the number of divorced persons remarrying increased from 31 per 1,000 persons married to 42, an appreciable advance. On the other hand, the number of widowed persons remarrying fell from 53 per 1,000 persons married to 39 per 1,000 over the same period.

The relative conjugal condition of bridegrooms and brides for each of the five years 1936–40 is next given.

Year.Marriages between Bachelors andMarriages between Widowers andMarriages between Divorced Men and
Spinsters.Widows.Divorced Women.Spinsters.Widows.Divorced Women.Spinsters.Widows.Divorced Women.
193612,032193354477218933194676
193712,4452333764592059939353101
193813,11722343648524812050174124
193914,94724152043221211445474121
194015,1712684824882249750855155

Taking the whole period covered by the foregoing table, it is found that, while 3,054 divorced men remarried, the corresponding number for women was 3,268. In the case of widowed persons, however, in spite of the fact that widows greatly exceed widowers in the population, only 2,567 widows remarried, as compared with 3,971 widowers.

Included amongst the widows in 1940 were twenty-three women, and amongst the widowers eleven men, who elected to go through the form of marriage with other persons under the protection of the provisions of section 224, subsection (5), of the Crimes Act, which reads: “No one commits bigamy by going through a form of marriage if he or she has been continually absent from his or her wife or husband for seven years then last past, and is not proved to have known that his wife or her husband was alive at any time during those seven years.”

AGES OF PERSONS MARRIED.

Of the 34,896 persons married in 1940, 4,046, or 12 per cent., were under twenty-one years of age; 11,847, or 34 per cent., were returned as twenty-one and under twenty-five; 10,417, or 30 per cent., as twenty-five and under thirty; 6,052, or 17 per cent., as thirty and under forty; and 2,534, or 8 per cent., as forty years of age or over. The following table relates to the year 1940.

Age of Bridegroom, in Years.Age of Bride, in Years.Total Bridegrooms.
Under 21.21 and under 25.25 and under 30.30 and under 35.35 and under 40.40 and under 45.45 and over.
Under 213961442631....570
21 and under 251,7492,6706886384..5,182
25 and under 301,0472,8361,94234057846,234
30 and under 352167479895161242682,626
35 and under 404519734432921674181,222
40 and under 4514391231291186943535
45 and over932711371641914751,079
Total brides3,4766,6654,1831,51768737254817,448

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 since the beginning of the century, a table is given showing the proportions of men and women married at each age-period to every 100 marriages in quinquennia from 1900 to 1940.

Period.Under 21.21 and under 25.25 and under 30.30 and under 35.35 and under 40.40 and under 45.45 and over.Totals.
Males
1900–041.6724.7538.4218.638.053.584.90100.00
1905–091.7923.4239.2518.788.473.384.91100.00
1910–141.9422.0438.0420.758.543.904.79100.00
1915–193.2621.4033.0419.6710.475.027.14100.00
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
19403.2729.7035.7315.057.003.076.18100.00
Females
1900–0416.9239.7527.339.263.401.531.81100.00
1905–0916.1537.1028.5310.184.211.802.03100.00
1910–1415.6034.9028.5211.575.042.052.32100.00
1915–1915.2135.0126.1711.396.062.983.18100.00
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
194019.9238.2123.978.693.942.133.14100.00

A perusal of the above table reveals the fact that greater proportions of marriages are now being celebrated at both the younger and the older age-groups. The 1935–39 figures, however, illustrate the postponement of a number of marriages in the earlier years of the depression, resulting in a proportion of marriages falling in later groups than would normally have been the case, while the 1940 figures are probably affected by the war situation inducing earlier marriages in a number of cases.

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, after reaching its maximum in the three years 1917, 1918, and 1919, the average age recorded a slight but fairly constant decline during the next decade, since when it has fluctuated within narrow limits. The figures for each of the years 1930–40 are as follows:—

Year.Bridegrooms.Brides.
193028.4726.13
193129.8326.02
193229.7126.04
193329.7225.83
193429.8626.15
193529.9426.27
193629.9726.32
193729.9326.26
193830.0326.37
193929.6426.17
194029.4125.97

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 of the various conditions in each of the last five years for which the information is available were:—

Year.Bridegrooms.Brides.
Bachelors.Divorced.Widowers.Spinsters.Divorced.Widows.
 Years.Years.Years.Years.Years.Years.
193628.2941.3050.4725.2035.7946.86
193728.2440.9050.9825.0836.4846.13
193828.2040.7650.7925.1136.3146.60
193928.0641.6852.0425.0135.8847.01
194027.8241.0750.4624.8536.0045.68

The foregoing figures give the average ages at marriage, but these do not correspond with the modal or popular age, if the age at which the most marriages are celebrated may be so termed. For several years prior to 1918 age 26 held pride of place for bridegrooms and age 21 for brides. The latter has continued right through to 1940 without alteration, but in the case of bridegrooms the most popular age has varied, and for 1940 was 24.

Marriages of Minors.—Of every 1,000 men married in 1940, 33 were under twenty-one years of age, while 199 in every 1,000 brides were under twenty-one.

In 396 marriages in 1940 both parties were given as under twenty-one years of age, in 3,080 marriages the bride was returned as a minor and the bridegroom as an adult, and in 174 marriages the bridegroom was a minor and the bride an adult.

The proportion of minors among persons marrying declined continuously from 1932 to 1936, probably a result of the depression. Each year subsequent to 1936 recorded an increase in the actual numbers of minors marrying, particularly in 1939 and 1940, but it was only in the latter year that the increase was sufficient to have any appreciable effect on the proportion. The following table illustrates the increase that has taken place during the five years 1936–40.

Year.Age in Years.Totals.
16.17.18.19.20.Number.Rate per 100 Marriages.
Bridegrooms
1936..4431182053702.68
193716481142273962.76
1938..13441222193982.60
193926391412424302.51
194017651463515703.27
Brides
1936871994396928622,27916.51
19371002264857259742,5107.47
1938932605347349812,60216.98
1939903135779591,0562,99517.50
1940942636581,0821,3793,47619.92

MARRIAGES BY MINISTERS OF VARIOUS DENOMINATIONS.

Of the 17,448 marriages registered in 1940, Church of England clergymen officiated at 4,787, Presbyterians at 4,554, Methodists at 1,776, and Roman Catholics at 2,134, while 2,968 marriages were celebrated before Registrars.

The following table shows the proportions of marriages by ministers of the principal denominations in each of the years 1931–40.

Denomination.Percentage of Marriages.
1931.1932.1933.1934.1935.1936.1937.1938.1939.1940.
Church of England25.8225.5425.4725.5226.0726.1026.5226.9327.1627.45
Presbyterian25.7126.6326.7326.5826.7926.9426.8626.4625.3726.10
Methodist9.5910.2710.5210.5010.4310.5510.7410.7310.4110.17
Roman Catholic10.7310.8111.0611.5011.4011.6511.7411.5812.6012.23
Other denominations5.535.846.287.928.397.617.277.187.087.04
Before Registrars22.6220.9119.9417.9816.9217.1516.8717.1217.3817.01
Totals100.00100.00100.00100.00100.00100.00100.00100.00100.00100.00

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 members 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 denominations. Of the population (exclusive of Maoris) at the general census of 1936 who stated their religious profession, 42.7 per cent. were adherents of the Church of England, 26.2 per cent. Presbyterian, 13.9 per cent. Roman Catholic, 8.6 per cent. Methodist, and 8.6 per cent. other denominations.

NUMBER OF OFFICIATING MINISTERS.

The number of names on the list of officiating ministers under the Marriage Act is (January, 1945) 2,433, and the denominations to which they belong are shown hereunder.

Denomination.Number.
Church of England490
Presbyterian Church of Now Zealand444
Roman Catholic Church459
Methodist Church of New Zealand318
Salvation Army131
Baptist99
Associated Churches of Christ36
Congregational Independent33
Brethren37
Seventh-day Adventist50
Latter-day Saints30
Lutheran Church1
Evangelical Lutheran Concordia Conference5
Apostolic Church11
Commonwealth Covenant15
Evangelistic Church of Christ8
Churches of Christ6
Hebrew Congregations4
Liberal Catholic Church10
Unitarian4
Assemblies of God10
Spiritualist Churches of New Zealand11
Pentecostal5
Christadelphians3
Ratana Church of New Zealand133
Ringatu Church39
Te Maramatanga Christian Society7
Others34
Total2,433

The Ringatu Church, the Te Maramatanga Christian Society, and the Ratana Church of New Zealand are Maori denominations.

MAORI MARRIAGES.

In cases where both parties to a marriage are of the Native race there is no necessity under the Marriage Act to comply with the provisions of that Act, though the parties are at liberty to take advantage thereof. Considerable inconvenience, however, was found to exist on account of the non-registration of Maori marriages, and a section was inserted in the Native Land Act, 1909, and re-enacted in 1931, whereby it was laid down that Maori marriages must be celebrated either under the provisions of the Marriage Act or in the presence of a registered officiating minister, but without complying with the other requirements of the Marriage Act. Ministers solemnizing either class of marriages must send returns to the Registrar-General.

A marriage between a Maori and a European must be celebrated under the provisions of the Marriage Act, and does not rank as a Maori marriage.

Returns of 442 marriages in which both parties were of the Native race were received during the year 1943. The figures for each of the last five years are as follows:—

Year.Under Native Land Act.Under Marriage Act.Totals.
1939510166676
1940488148636
1911410107517
194246393556
194336379442

Maori marriages are not included in the numbers shown elsewhere in this subsection, nor are they taken into account in the computation of marriage-rates.

DIVORCE.

The provisions as to dissolution of marriage are contained in the Divorce and Matrimonial Causes Act, 1928, which consolidated and amended the then existing legislation on the subject.

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

Any married person, domiciled in New Zealand for two or more years at the time of filing the petition, may obtain a divorce on one or more of the following grounds:—

  1. Adultery since the celebration of the marriage.

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

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

  4. Sentence to imprisonment for seven years or more for attempting to murder, or for wounding or doing actual bodily harm to, petitioner or child.

  5. Murder of child of petitioner or respondent.

  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. Failure to comply with a decree of Court for restitution of conjugal rights.

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

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

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

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

The amending Act of 1930 establishes a New Zealand domicile for a wife petitioning for divorce where she has been living apart from her husband for three years, if she has been living in New Zealand for three years preceding the petition, and has the intention of residing in Now Zealand permanently.

Figures showing the operations of the Supreme Court in its divorce jurisdiction during recent years are as follows:—

Year.Dissolution or Nullity of Marriage.Judicial Separation.Restitution of Conjugal Rights.
Petitions filed.Decrees Nisi.Decrees Absolute.Petitions filed.Decrees for Separation.Petitions filed.Decrees for Restitution.
19338046836481..11877
1934839762683..19789
19358677426531..9480
19361,09993384951133104
19371,1541,0089174..138107
19381,1781,0631,05051145119
19391,2431,0921,03242161123
19401,1891,0421,0593..112106
19411,11599695661114100
19421,1779889625314294
19431,6411,3981,10041302227

The substantial increase in the number of divorce petitions filed and decrees granted during 1943 no doubt reflects the disturbing influence of wartime factors upon the social life of the community. This is still further reflected in the greatly increased numbers of petitions and decrees for restitution of conjugal rights.

The next table gives the grounds (dissolution or nullity cases) of petition-Decrees may relate to petitions filed prior to 1943.

Grounds.Petitions filed during Year.Decrees Nisi granted.Decrees Absolute granted.
Husbands' Petitions.Wives' Petitions.Husbands' Petitions.Wives' Petitions.Husbands' Petitions.Wives' Petitions.
Bigamy23..214
Adultery2721271729912965
Desertion136117125114100106
Drunkenness, with cruelty, failure to maintain, &c.17..5..4
Insanity164193171
Non-compliance with order for restitution of conjugal rights12537104377831
Separation for not less than three years341446289428245313
Non-consummation3..........
Other13..1..6
Totals897744709689570530

The figures shown for decrees nisi include cases where both nisi and absolute decrees were granted during the year, while those for decrees absolute cover all such granted during the year whether the antecedent decree nisi was granted in 1943 or in a previous year.

The principal grounds on which petitions were filed during 1943 showed the following increases as compared with 1942: Adultery, 165 (70.5 per cent.); desertion, 65 (34.6 per cent.); non-compliance with order for restitution of conjugal rights, 76 (88.4 per cent.); and separation for not less than three years, 149 (23.4 per cent.).

In 528 of the 1,641 cases where petitions for dissolution were filed during 1943 there was no living issue of the marriage. The number of living issue was 1 in 470 cases, 2 in 300 cases, 3 in 184 cases, and 4 or more in 156 cases. In 3 cases the number of issue was not stated.

The table which follows shows the duration of marriage in all oases for which petitions for dissolution were filed in the five years 1939 to 1943.

Duration of Marriage, In Years.Husbands' Petitions.Wives' Petitions.
1939.1940.1941.1942.1943.1939.1940.1941.1942.1943.
Under 51008778911946366735684
 5 and under 10156157131161220181173135181211
10 and under 15119134117114184171147125125169
15 and under 20917196881221179780104122
20 and under 30897810710211688929891121
30 and over34554033593432352836
Not stated......32........1
Totals589582569592897654607546585744

The number of children affected by the divorce petitions of their parents during each of the last five years was as follows: 1939, 1,775; 1940, 1,867; 1941, 1,753; 1942, 1,732; and 1943, 2,439.

SUBSECTION C—DEATHS

COMPULSORY registration of deaths was instituted in New Zealand in 1855. As in the case of births, a system of non-compulsory registration had operated since 1848.

Until the year 1876 the only particulars provided for in the death-registration entry were the date, place, and cause of death, and the name, sex, age, and occupation of deceased. The Registration of Births and Deaths Act, 1875, required information to be recorded as regards parentage, conjugal condition, and issue of deceased. Particulars as to burial had also to be entered, as well as more detailed information regarding cause of death. Subsequent amendments to the Act have made it requisite to give additional information concerning issue, 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 death if in a city or borough, or seven days in any other case. There is a penalty up to £10 for neglect, the undertaker in charge of the funeral being solely responsible for registration. Prior to 1913 the undertaker was primarily responsible for registration, but, in addition, the occupier of the house and every other person present at the death were also responsible parties.

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. It is not necessary to effect a death-registration entry in the case of a still-born child, though an entry must be made in the register of births.

Any person burying, or permitting of 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, a Coroner's order to bury the body, or a Registrar's certificate of registration of the death, renders himself liable to a fine of £10.

Prior to 1937 it was 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 undertaker or other person in charge of the burial). By section 11 of the Statutes Amendment Act, 1936, however, the medical practitioner is now required to deliver the certificate forthwith direct to the Registrar of the district in which the death occurred. It is also the duty of the medical practitioner, on signing a certificate of cause of death, to give written notice of the signing to the undertaker or other person having charge of the burial.

In the new form of medical certificate introduced by this amendment, provision is made for an additional statement to be filled in by the medical practitioner in any case where, in his opinion, the death has occurred in any circumstances of suspicion. The practitioner is required to report such case forthwith to the Coroner, and an indication that this has been done must be made in the space provided on the certificate.

Section 3 of the Statutes Amendment Act, 1944, makes provision for the correction of the register of deaths in cases where it is subsequently determined, as a result of a post-mortem examination or by any other means, that the causes of death as stated in the certificate are found to be materially incorrect.

DEATHS OF SOLDIERS, ETC., OVERSEAS.

Under the Registration of Deaths Emergency Regulations 1941, which superseded 1940 regulations of similar title, the Registrar-General is required to compile a War Deaths Register of all persons of New Zealand domicile who have died while out of New Zealand on service in some capacity in connection with the war. Members of the New Zealand Naval Forces are excluded from these regulations, special provision having previously been made in their case.

The Registrar-General is also required to compile a Provisional War Deaths Register, to contain the names of those persons of New Zealand domicile who are officially reported to be missing and believed killed while on war service out of New Zealand, but whose deaths have not been proved to the satisfaction of the Registrar-General.

Where the death of any person in respect of whom an entry has been made in the Provisional War Deaths Register is registered (whether in the War Deaths Register or otherwise), or where such person has subsequently been proved to be alive, a note to this effect is required to be made in the appropriate entry in the Provisional War Deaths Register.

Deaths registered in either the War Deaths Register or the Provisional War Deaths Register are not taken into account in arriving at the number and rate of deaths for New Zealand. Deaths of New Zealand soldiers, &c., which occur in New Zealand are included. Deaths of visiting overseas servicemen and of prisoners of war in New Zealand are, however, excluded.

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.

Year.Number.Rate per 1,000.
192410,7678.30
192511,0268.30
192611,8198.74
192711,6138.45
192811,8118.50
192912,3148.76
193012,1998.57
193112,0478.35
193211,6838.04
193311,7017.99
193412,5278.50
193512,2178.25
193613,0568.75
193713,6589.08
193814,7549.71
193914,1589.20
194014,2829.24
194115,1469.84
194216,38510.60
194315,44710.04

New Zealand has been noted for many years for its favourable death-rate. In the early history of the country the high proportion of immigrants to total population contributed very materially towards the establishment of a comparatively low death-rate. The effect of immigration in causing a high ratio of persons in the early adult ages—at which ages mortality experience is most favourable—more than counterbalanced the effect on the death-rate of the hazards inherent in the pioneering activities typical of the economy of the country in those days. The influence of immigration on vital statistics has, however, waned very considerably in the later decades.

The favourable climate of the country has always been an important factor contributing to a relatively low death-rate, while the high efficiency of health services has assisted considerably towards maintaining the Dominion's enviable record in respect of its death-rate. The progress of the health service has been reflected, inter alia, 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 greatly lowered infant mortality rate.

As observed in the subsection on Births, the general trend of the birth-rate in New Zealand has been downwards for several decades. The initial effect of a falling birth rate on the mortality experience of a population is to lower the death-rate, the age constitution becoming more favourable towards a low death-rate, since there are fewer infants and a relatively higher ratio of persons of the younger adult ages. That this has been a very material factor contributing to New Zealand's low death-rate is obvious; for a death-rate of 7.99 per 1,000—the low point which was reached in 1933—would connote an expectation of life of almost 125 years if it applied to a population of stable age-distribution. The increase in the crude death-rate in recent years has accompanied an upward movement in the birth-rate. It is, however, mainly due to the fact that, through an increasing proportion of people at the higher ages, the age constitution of the population has passed the optimum distribution from the viewpoint of maintaining a very low level of death-rates. This trend may be expected to continue, since the present death-rate is still lower than could be regarded as possible in a population stable in respect of age constitution.

A factor contributing to the increase in the death-rates during the war period, particularly the male rates, has been the absence overseas of considerable numbers of men of early adult years, which, as stated earlier, are the age-groups at which mortality experience is most favourable.

The death-rates of males and females for each of the years 1933–43 are shown separately in the next table.

Year.Deaths per 1,000 of Population.Male Deaths to every 100 Female Deaths.Male Rate expressed as Index Number of Female Bate (= 100).
Males.Females.Totals.
19338.747.237.99123121
19349.267.738.50124120
19358.957.528.25122119
19369.458.038.75121118
19379.858.28908122119
193810.718.689.71127123
193910.108.269.20126122
194010.188.289.24124123
194111.038.699.84123127
194211.809.4710.60119125
194311.368.8110.04119129

DISTRIBUTION OF DEATHS OVER THE YEAR.

An examination of the total number of deaths registered in each quarter of the decade 1934–43 gives the following averages: March quarter, 3,047; June quarter, 3,490; September quarter, 4,111; and December quarter, 3,490.

A classification according to month of death shows that in 1943 the months during which the greatest number of deaths occurred were August, July, and September, with totals of 1,525, 1,462, and 1,423 respectively. Excluding December, a proportion of deaths occurring in that month not being registered till January, February had the least number of deaths (1,011), followed by March and April, with 1,104 and 1,135 respectively.

The lowest number of deaths on any one day, again excluding December, was 23, this number occurring on the 1st February and also on the 29th April. The greatest number (71) occurred on the 21st August.

AGES AT DEATH.

The deaths registered during the year 1943 are tabulated below according to age.

Ages.Males.Females.Totals.
Under 1 month370275645
 1–2 months563894
 3–5 months5748105
 6–11 months6839107
 1 year7355128
 2 years503585
 3 years322052
 4 years201737
 5–9 years6845113
10–14 years6836104
15–19 years8663149
20–24 years14982231
25–29 years151120271
30–34 years135121256
35–39 years146159305
40–44 years178177355
45–49 years268250518
50–54 years390310700
55–59 years6535031,156
60–64 years9186631,581
65–69 years1,1798552,034
70–74 years1,1269332,059
75–79 years9399051,844
80–84 years6826871,369
85–89 years395414809
90–94 years128148276
95–99 years204060
 100 years..22
 101 years1..1
 103 years1..1
Totals8,4077,04015,447

The following table indicates the changes that have occurred over a period of fifty years 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 immerse saving of young life; the heavy fall in the birth-rate over the period; and the great increase in the proportion of old people in the community.

Ages, In Years.Number of Deaths.Percentage to Total.
1893.1903.1913.1923.1943.1893.1903.1913.1923.1943.
Under 11,6001,7701,6531,22595123.6620.7516.3410.646.16
 1 and under 577157644639530211.406.754.413.431.96
 5 and under 102832191862371134.172.571.842.060.73
10 and under 151911511341571042.811.771.321.360.67
15 and under 202492412052301493.672.832.022.000.96
20 and under 253023712883162314.464.352.852.751.50
25 and under 302803503623232714.134.103.582.811.76
30 and under 352233144474002563.293.684.423.481.66
35 and under 402563344534703053.783.924.484.081.97
40 and under 452313254204933553.413.814.154.282.30
45 and under 502833004345385184.183.624.294.673.35
50 and under 553673764526557005.424.414.475.694.53
55 and under 603284005156731,1564.854.695.095.857.48
60 and under 653995515787461,5815.906.465.716.4810.23
65 and under 702616797258892,0343.877.967.167.7213.17
70 and under 752796008881,0702,0594.147.048.779.2913.33
75 and under 802094369041,0871,8443.095.118.939.4411.94
80 and over2484961,0291,6072,5183.675.8210.1713.9716.30
Unspecified739......0.100.46......
Totals6,7678,52810,11911,51115,447100.00100.00100.00100.00100.00

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 comparison with 1931, however, the 1943 figures reveal increases in the rates for some of the groups, particularly those of later life. The female rate for the various age-groups is almost invariably lower than the male rate. The rapid increase in the death-rate (per 1,000 of population) at successive age-groups is well exemplified.

Year.Under l.*1 and under 5.5 and under 15.15 and under 25.25 and under 35.35 and under 45.45 and under 55.55 and under 65.65 and under 75.75 and under 85.85 and over.
* Per 1,000 live-births in this case.
Males
190178.606.811.893.523.976.1611.9423.1250.59126.26280.00
191163.485.361.912.423.876.2711.0220.8353.22116.21281.21
192153.104.781.852.443.565.559.6119.9646.17102.84257.70
193138.212.831.352.282.774.648.6918.2544.18111.00269.13
194132.552.140.991.982.623.768.7920.6746.31113.88313.16
194335.032.801.102.133.023.167.6219.3749.04111.03302.78
Females
190163.875.501.643.584.726.7010.6219.4443.32107.02285.30
191148.745.371.482.764.344.928.3817.8940.44104.84221.90
192142.314.491.312.343.384.468.0014.8836.8194.42230.05
193125.672.470.971.853.203.816.8415.3636.8398.31270.44
194126.852.040.711.352.053.146.5814.5538.0697.13249.09
194327.432.090.681.111.883.096.0214.6538.2998.27287.62
Both Sexes
190171.406.171.773.554.336.4011.3721.6347.87117.97282.52
191156.315.361.702.584.095.649.8219.5547.74111.73251.81
192147.824.641.582.393.475.108.8517.5941.9099.00245.21
193132.152.651.172.072.984.227.8016.8840.56105.02269.75
194129.772.090.851.652.323.447.6517.6842.20105.19278.78
194331.372.450.901.582.373.136.7917.0343.68104.32294.62

The average (arithmetic mean) age at death of persons of either sex in each of the years 1933–43 was as follows:—

Year.Males.Females.
193356.1756.45
193456.9957.75
193556.9557.79
193657.1257.70
193757.7058.82
193856.1358.10
193958.7759.14
194058.0259.96
194158.6559.60
194259.1361.20
194358.9261.01

EXPECTATION OF LIFE.

An Appendix to the 1936 Census statistics contains life tables constructed from the census data and the mortality experience of the quinquennium 1934–38. The following table shows the (complete) expectation of life for various ages.

Age.Males.Females.
065.4668.45
166.9269.46
266.2368.76
365.4467.91
464.5967.01
563.7066.10
1059.1161.45
1554.4256.69
2049.8952.02
2545.4347.48
3040.9442.98
3536.4238.51
4032.0334.05
4527.7829.70
5023.6425.47
5519.7221.38
6016.0617.49
6512.7613.91
709.8210.73
757.368.02
805.355.85
853.864.30

Expectation of life at age 0 is apparently still increasing in New Zealand. A brief comparison is quoted.

Period.Males. Years.Females. Years.
1891–189655.2958.09
1896–190057.3759.95
1901–190558.0960.55
1906–191059.1761.76
1911–191560.9663.48
1921–192262.7665.43
1925–192763.9966.57
193165.0467.88
1934–3865.4668.45

STANDARDIZATION OF DEATH-RATES.

Except where specifically stated, all death-rates quoted throughout this section are crude rates—i.e., those ascertained by applying the mean population for the year to the total deaths registered during the year.

In New Zealand the age and sex constitutions of the people have changed very materially within a comparatively short span of years, so that death-rates for recent years relate to a differently constituted population than do death-rates for earlier years. This factor has had a marked influence on the risks—and causes—of dying. In order to eliminate the effect of changing age constitution from other causes influencing the death-rate, the device of standardization is resorted to. The principle of this method is to compute death-rates on the assumption that the sex and age composition of the population has not varied. A “standard” population is selected, and the mortality experience of any particular year is weighted according to the age-distribution of that standard population.

The standardized death-rates thus calculated for each of a number of countries, or for a number of years for the same country, may then be regarded as indexes of the relative mortalities free from the distortion which might arise through differences in their respective sex or age constitutions.

A system of standardization of death-rates was introduced some years ago in New Zealand, the age and sex constitution of the population as disclosed at the Census of 1911 being taken as the basis. The following table gives both recorded and standardized death-rates per 1,000 of population (on the 1911 standard population) for each fifth year from 1875 to 1940 and for the year 1943.

Year.Recorded Rates.Standardized Rates.
Males.Females.Totals.Males.Females.Totals.
187516.5615.0715.9219.0315.3617.30
188012.0510.7311.4613.8111.4712.70
188511.519.6710.6713.3810.0612.36
189010.518.689.6612.2610.1111.25
189510.818.899.9112.2610.0711.22
190010.338.439.4311.049.2910.21
190510.188.249.2710.498.619.60
191010.678.639.7110.678.469.62
191510.197.879.0610.197.879.09
192011.119.1510.1510.838.849.89
19259.107.488.308.686.787.78
19309.427.698.578.666.487.63
19358.957.528.257.685.786.78
194010.188.289.247.955.676.87
194311.368.8110.048.145.646.96

Standardized death-rates are computed for New Zealand for a number of causes, and details covering a ten-yearly period are included in the annual Report on Vital Statistics. The standard population used is that of England and Wales at the census of 1901, in order that the death-rates so calculated may be comparable with those published for those countries.

ORPHANHOOD.

The table following shows the number of living issue left by married men or widowers whose deaths were registered during the ten years 1931–40, the latest period for which statistics are available, the information being given according to age of father and of issue.

Number of Issue left by Fathers, aged#8212;
Under 30.80 and under 40.40 and under 50.50 and under 60.60 and under 70.70 and under 80.80 and ever.Totals.
Age of issue, in years—        
 Under 54751,2931,00546513029..3,397
 5 and under 10921,4552,0601,37536872115,433
 10 and under 1537572,8573,1421,111206418,117
 15 and under 2111382,8336,2823,81786717614,114
 21 and over131,11512,99132,82244,88038,736130,548
 Unspecified....41......5
Totals5723,6469,87424,25638,24846,05438,964161,614
Married men or widowers who died—        
 Leaving issue3421,5743,2227,02310,02110,7377,94540,864
 Without leaving issue2203997371,4341,9601,8459997,594
Totals5621,9733,9598,45711,98112,5828,94448,458

During the period under review 40,864 fathers left issue to the number of 161,614, an average of 3.95. For the preceding decennial period, 1921–30, the average issue left was 4.40. Taking all deaths of married men or widowers, whether leaving issue or not, it is found that the average living issue was 3.34, as compared with 3.74 for the period 1921–30.

The following table shows the average living issue of deceased married men or widowers in various age-groups in successive periods.

Age-group.Total Number of Issue left.Average Number of Issue left.
1906–10.1911–20.1921–30.1931–40.1906–10.1911–20.1921–30.1931–40.
Under 302869256795721.011.141.111.02
30 and under 402,0796,8334,6243,6462.102.381.991.85
40 and under 504,13811,50611,9959,8743.302.002.752.49
50 and under 607,72716,85719,14724,2564.403.743.172.87
60 and under 7013,83728,43929,86038,2484.984.433.703.19
70 and under 8015,41140,81242,62946,0544.624.854.513.66
80 and over7,68924,91334,32138,9645.194.574.644.36
Totals51,167130,285143,255161,6144.234.003.743.34

The average number of children left by the death of married men or widowers has, as might naturally be expected, declined during the last two or three decades. It is of interest, however, to observe that the average issue left by married men or widowers under the age of thirty has declined least of all. The explanation probably lies in the fact that the proportion of childless marriages has not shown much variation in recent years, and that the majority of married men who died before reaching age thirty would not—even in the earlier periods covered—have been married long enough to leave more than one child. The remaining averages shed further light on the declining birth-rate and the dwindling in the average size of families in modern times.

Of the 877 cases where issue under 16 years of age was left by married men or widowers during 1940, a widow was also left in 838 cases, the aggregate number of children under 16 in these 838 cases being 1,650, and the average per widow 1.97. By the deaths of their fathers, children under 16 to the number of 66 were left without either parent, and for 3 children there was no information as to whether the mother was alive or dead.

The foregoing figures all refer to children partially or completely orphaned in the case of families where only the father died during the year (or decade). Similar information is also available for families of which the mother died during the year. Altogether 4,885 married women or widows died during 1940, leaving a total issue of 15,806, or an average living issue of 3.24. Considering only those mothers who left issue, the average issue left was 3.84.

During 1940 1,650 children under 16 years of age were left fatherless, but with their mother alive at the time of the father's death; 1,130 were left without a mother, but with their father living: thus a total of 2,780 were left with only one parent. By the death of their father 66 children, and by the death of their mother 49 children, were left without either parent, making a total of 115 true orphans under 16 years of age during 1940. In this total, of course, there might possibly be a few cases where both the father and the mother died during 1940, and in any such cases the number of children left would be duplicated, as they would be included in the figures of issue left upon the death of each parent.

The 115 children under 16 years of age left as true orphans during 1940 belonged to 64 families, the average per family affected being 1.80. The average number of children under 16 years of age left fatherless per family was 1.69; and the average number left motherless was 1.96. These averages, of course, relate only to those families in which there were any children under 16 years of age.

Widows and Orphans.

Of 48,458 married men or widowers whose deaths were registered during the ten years 1931–40, 12,452 were shown to have been widowers and 35,400 to have left widows, while in the remaining 606 cases there was no information on the point. Of the married men leaving widows, 30,098 had living issue also at time of death, and 5,302 had no living issue. In 10,513 cases widowers left issue, and in 1,939 cases no issue. In 253 of the 606 cases where no information was given as to whether a widow was left, there was living issue, and in 353 cases there was no living issue.

INFANT MORTALITY.

New Zealand has the lowest rate of infant mortality in the world, a fact attributable partly to such matters as climate, virility of the race, comparative absence of densely settled areas, &c., and partly to legislative and educative measures—the latter conducted by the State as well as by various organizations. A great deal of the success achieved in this direction has been due to the activities of the Royal New Zealand Society for the Health of Women and Children. Founded in Dunedin in 1907, this society has since extended its Plunket system throughout New Zealand, and its methods are being adopted to an ever-increasing extent in other countries.

Particulars of deaths of infants under one year of age for each of the years 1933–43 are shown in the following table.

Year.Number.Rate per 1,000 Live Births.
Males.Females.Totals.Males.Females.Totals.
193345531577036.6426.4431.64
193445632578136.3227.6232.11
193544432977336.0528.2432.26
193641535476932.9228.9530.96
193746135181234.8127.4931.21
193857040197140.9230.1135.63
193953236689836.1825.9031.14
194057341799034.0726.1430.21
19415864591,04532.5526.8529.77
194258737796434.0523.0828.71
194355140095135.0327.4331.37

For several years prior to 1938 the infant mortality rate had remained remarkably constant, but in that year a sharp rise occurred. Successive new low records were established in 1940, 1941, and 1942, but the rate again rose fairly sharply in 1943.

Normally the excess of the male over the female rate of infant mortality holds for each of the four divisions of the first year of life shown in the next table.

Year.Male Deaths per 1,000 Male Births.Female Deaths per 1,000 Female Births.
Under 1 Month.1 and under 3 Months.3 and under 6 Months.6 and under 12 Months.Under 1 Month.1 and under 3 Months.3 and under Months.6 and under 12 Months.
193925.573.743.813.0617.982.552.972.40
194023.843.093.273.8720.121.821.882.32
194121.774.002.724.0618.132.572.523.63
194221.872.384.475.3315.422.142.762.76
194323.523.563.634.3218.862.613.292.67

Even when the effect of the male excess among infants born is eliminated by comparing the respective rates for the two sexes, the number of male deaths per 100 female deaths in the first month of life during the five years 1939–43 is found to be 129; between one and three months, 143; between three and six months, 133; between six and twelve months, 150; and for the first year as a whole, 133.

The rates per 1,000 births for the two sexes in conjunction are now given for each of the last five years.

Year.Under 1 Month.1 and under 3 Months.3 and under 6 Months.6 and under 12 Months.Totals under 1 Year.
193921.853.153.402.7431.14
194022.032.472.603.1130.21
194120.003.302.623.8529.77
194218.732.263.634.0928.71
194321.273.103.473.5331.37

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 among the first class are due principally to causes operating before the actual birth of the infant. The second group, generally speaking, covers infants who have succumbed to causes arising from post-natal influences, such as the various epidemic diseases, faulty feeding, diseases of the respiratory system, &c. The first group naturally presents the greater problem to the infant-welfare worker, while the history of the comparatively rapid decline of the infant-mortality rate in New Zealand is largely an illustration of the effective measures adopted towards combating the post-natal causes of death in infancy.

The next table shows that, whereas in the period 1941–43 the death-rate for children under one month of age was 33 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-sixth as high as in the “eighties.” In other words, where the Dominion formerly lost between the ages of one month and one year more than sixty children out of every thousand it lost in 1941–43 only ten. A remarkable feature of the three-yearly period 1941–43, however, has been the very appreciable decline in the rate for infants under one month, while for infants who survived the first month of life the rate recorded a definite increase.

Period.Deaths per 1,000 Births.Deaths between 1 and 12 Months per 1,000 Children who survive 1 Month.
Under 1 Year.Under 1 Month.Between 1 and 12 Months.
1881–188590.6029.7760.8362.70
1886–189084.0927.5756.5258.13
1891–189587.6030.3457.2658.93
1896–190080.0630.3849.6851.24
1901–190574.7730.6444.1345.54
1906–191069.6230.2839.3440.57
1911–191553.6329.2824.3525.05
1916–192048.6228.1620.4621.05
1921–192542.7527.4815.2715.70
1926–193036.7024.8211.8812.18
1931–193531.8822.349.549.76
1936–194031.8322.519.329.50
1941–1943 (three years)29.9520.009.9510.14

The accompanying diagram further illustrates the reduction in the infant-mortality rate that has taken place during the last sixty years. It is of interest to note that the latest period shown (1941–43) recorded the lowest figures for children dying within one month of birth.

It would appear that on the one hand the diseases that can be combated openly, such as epidemic diseases, respiratory diseases, and diseases due to faulty nourishment, &c. (i.e., diseases of the digestive system), have shown a definite response to the strenuous campaigns launched against them; while, on the other hand, many infants are evidently non-viable at birth. Four out of every five deaths during the first month of life occur within the first week, and two out of every five on the first day. The following table shows the infant death-rate for subdivisions of the first month.

Year.Under 1 Day.1 Day and under 2 Days.2 Days and under 1 Week.Totals under 1 Week.1 Week and under 2 Weeks.2 Weeks and under 3 Weeks.3 Weeks and under 1 Month.Totals under 1 Month.
19399.432.406.2418.072.221.040.5221.85
19408.793.236.4718.492.200.790.5522.03
19417.982.575.7816.331.991.080.6020.00
19427.742.565.3015.601.610.770.7518.73
19438.383.635.7417.752.010.820.6921.27

The following table gives, for each of the last five years, detailed information as to the number of deaths at various periods of the first year of life.

Year.Under 1 Day.1 Day and under 2 Days.2 Days and under 1 Week.1 Week and under 2 Weeks.2 Weeks and under 3 Weeks.3 Weeks and under 1 Month.1 Month and under 2 Months.2 Months and under 3 Months.3 Months and under 6 Months.6 Months and under 9 Months.9 Months and under 12 Months.Totals.
Males
193916536103412293520562619532
194015461123391593121553035573
1941168441163319124230494429586
1942162491052919132516775636587
194314168973517122432573038551
Females
1939107337723862115421816366
19401344589331191910302314417
19411124687371992717433329459
1942983773257121718452322377
1943113427726892414482712400
Both Sexes
1939272691806430155635984435898
19402881062127226185031855349990
19412809020370382169479277581,045
19422608617854262542341227958964
194325411017461252148461055750951

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. If a comparison be made between the averages of the first and last five-yearly periods given—1872–76 and 1937–41—it is found that the general infant mortality rate shows a decline of 71 per cent., while even greater decreases are recorded for tuberculosis (96 per cent.), convulsions (98 per cent.), gastric and intestinal diseases (95 per cent.), epidemic diseases (90 per cent.), and respiratory diseases (76 per cent.). The rate for diseases of early infancy shows a decrease of only 30 per cent. in 1937–41 as compared with 1872–76, but of 33 per cent. as compared with 1917–21, and the figures indicate that some measure of success has already attended the steps taken in recent years to cope with ante-natal conditions.

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 most striking features of the figures for recent years are the increased death-rate for malformations and the drop in the rate for diseases peculiar to early infancy. The following table shows quinquennial average death-rates of infants under one year of age, per 1,000 live births.

Period.Epidemic Diseases.Tuberculosis.Infantile Convulsions.Respiratory Diseases.Gastric and Intestinal Diseases.Malformations.Early Infancy.Other Causes.Totals
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.l7.43.926.23.552.5
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
19421.40.10.13.71.24.015.52.728.7
19431.00.10.13.61.44.817.23.231.4

Two out of every three deaths of infants under one year of age are due to causes coming within the groups “Early Infancy” and “Malformations,” and premature birth alone is usually responsible for approximately one-third of the total infant mortality.

In accordance with international practice, New Zealand's infant mortality rate represents the number of deaths of infants actually born alive, expressed as a proportion per 1,000 live births. This method, however, takes no account of still-births. Reference has been made in an earlier paragraph to the effect on the infant mortality rate of efforts made towards the reduction of those ante-natal influences which generally cause death to ensue during the early weeks of life. The fact that still-births are also the result of such ante-natal influences should not be lost sight of, and for this and other reasons it is of interest to compute rates per 1,000 total births for neo-natal mortality (deaths of infants under one month of age) and still-births in conjunction, as in the following table. In the computation of the rates for numbers inclusive of still-births, the latter are taken into account in both births and deaths.

Year.Still-births.Neo-natal Deaths.Neo-natal Deaths plus Still-births.
Number.Rate.Number.Rate.Number.Rate.
193990030.2763021.191,53051.46
194096528.6072221.401,68750.00
194197126.9270219.461,67346.38
194289125.8562918.251,52044.10
194381726.2564520.721,46246.97

Recent years have shown a definite trend towards improvement in the combined rate.

The pronounced fall in New Zealand's infant mortality rate during the last three decades has not been accompanied by an increase in the death-rate of children between the ages of one and ten years. There has, on the contrary, been a substantial improvement in the death-rate at these ages.

CAUSES OF DEATH.

Since 1908, the classification of causes of death in New Zealand has been on the basis of the international classification initiated by Dr. Jacques Bertillon and used by the principal European and American countries and the Commonwealth of Australia.

Detailed information concerning the various causes of death is given in the annual Report on Vital Statistics. The statistics for tuberculosis, cancer, puerperal causes, and violence—causes which are of special interest and significance—are discussed later on in this subsection. Meningococcus meningitis, which assumed epidemic proportions towards the end of 1941, is also given brief mention.

The following table shows the numbers of deaths and the death-rates per 10,000 of mean population from certain principal causes, following the abridged international list, of causes of death (Fifth Revision. 1938).

Cause of Death.Numbers.Rates per 10,000.
1939.1940.1941.1942.1943.1939.1940.1941.1942.1943.
Typhoid and paratyphoid fever467830.030.040.050.050.02
Scarlet fever212120.010.010.010.010.01
Whooping-cough223684170.010.150.440.030.11
Diphtheria24161724320.160.100.110.160.21
Tuberculosis of the respiratory system5225014914924753.393.243.193.193.09
Other forms of tuberculosis9190106115970.590.640.690.750.63
Malaria11......0.010.01......
Syphilis12010294115990.780.660.610.750.64
Influenza17011975248651.110.770.491.610.42
Measles8143170.050.010.030.200.05
Other infective and parasitic diseases1131131432031820.730.730.931.311.18
Cancer and other malignant tumours1,8151,8582,0282,0292,13111.7912.0213.1813.1313.85
Non-malignant tumours and tumours of unspecified nature78586064600.510.350.390.420.39
Chronic rheumatism and gout22272942230.140.170.190.270.15
Diabetes mellitus3443003423523322.241.982.222.282.16
Alcoholism1188820.070.050.050.050.01
Avitaminoses, other general diseases, diseases of the blood, and chronic poisoning2742222492642521.781.441.621.701.64
Meningitis, and diseases of the spinal cord969286107870.620.590.560.690.57
Intracranial lesions of vascular origin1,2321,3071,3771,5301,5078.018.458.959.009.79
Other diseases of the nervous system and organs of special sense1651672072332191.071.081.351.511.42
Diseases of the heart4,2834,5654,8545,6255,18227.8029.5231.5536.4133.68
Other diseases of the circulatory system2312182272392311.521.411.481.551.50
Bronchitis2101731452102151.361.120.941.801.40
Pneumonia and bronchopneumonia6235245325014744.023.393.463.633.08
Other diseases of the respiratory system2181812322502251.441.171.511.621.46
Diarrhoea and enteritis69778378890.450.500.540.500.58
Appendicitis106908568730.690.580.550.440.47
Diseases of the liver and biliary passages1261201251351410.820.780.810.870.92
Other diseases of the digestive system3453183703602762.242.062.402.831.79
Nephritis5344935634934353.473.193.663.192.88
Other diseases of the genito-urinary system2132282372712331.381.471.541.751.51
Puerperal infection36365646320.230.230.360.300.21
Other diseases of the puerperal state69606239350.450.390.400.250.23
Diseases of the skin and cellular tissue, and of the bones and organs of locomotion57675161670.370.430.330.390.44
Congenital debility, malformations, premature birth, and other diseases of early Infancy7148137697087164.645.265.004.584.65
Senility3334074824674882.162.638.133.023.17
Suicide1801681431681321.171.090.931.090.86
Homicide571510190.030.050.100.060.12
Automobile accidents2311991751381331.501.281.140.890.86
Other accidental deaths4645055345756493.023.273.473.724.22
Cause of death not specified or ill-defined1771313100.110.050.080.080.07
Totals14,15814,28215,14616,38515,44791.9792.3098.44106.04100.39

MENINGOCOCCUS MENINGITIS.

Meningococcus meningitis is not nearly as common in New Zealand as a cause of death as it is in many other countries, which frequently experience severe epidemics of the disease. This type of meningitis has, however, recently made its appearance in the Dominion in epidemic form. The average number of deaths from meningococcus meningitis recorded for the ten years 1931 to 1940 was only 6.6. Towards the end of 1941, however, it became obvious that the Dominion was experiencing an epidemic of the disease, and the deaths for that year reached a total of 25. In 1942 the epidemic continued to increase in severity, and the total deaths recorded were 112. Deaths in 1943 numbered 72, but there was evidence that the epidemic was on the wane. In addition, 8 deaths of Maoris wore recorded in 1942 and 20 in 1943.

TUBERCULOSIS.

The death-rate from tuberculosis of the respiratory system has been decreasing gradually during recent years, with occasional upward fluctuations. The rate for 1943, 3.09 per 10,000 of population, was slightly below the average of the preceding five years.

In addition to the 475 deaths from tuberculosis of the respiratory system. during 1943, there were 97 deaths from other forms of tuberculosis, comprising—

Tuberculosis of meninges and central nervous system41
Tuberculosis of intestines and peritoneum14
Tuberculosis of vertebral column11
Tuberculosis of bones and joints4
Tuberculosis of genito-urinary system8
Tuberculosis of the lymphatic system3
Tuberculosis of other organs2
Disseminated tuberculosis14

Tuberculosis claims its victims at a comparatively early age. Of those dying from this cause in 1943, persons under the age of 45 years formed 56 per cent.

AGES OF PERSONS WHO DIED FROM TUBERCULAR DISEASES, 1943.

Age, in Years.Males.Females.Totals.
Under 5131629
 5 and under 108311
10 and under 15347
15 and under 2082230
20 and under 25132740
25 and under 30303262
30 and under 35233255
35 and under 40261945
40 and under 45212243
45 and under 50341448
50 and under 55221436
55 and under 60401252
60 and under 6526834
65 and under 70321244
70 and under 7512416
75 and under 809413
80 and over527
Totals325247572

CANCER.

Cancer is annually responsible for more deaths in New Zealand than. can be assigned to any cause other than diseases of the heart.

One factor contributing towards the recorded increase in deaths from cancer is the increasing proportion of persons reaching the ages where cancer largely claims its victims. This position has been brought about principally by the gradual amelioration of the one-time scourges of certain epidemic diseases which exacted a heavy toll of human life at the earlier ages.

Tuberculosis may, perhaps, be classified in the group mentioned, as the progressive decline in the death-rate from tuberculosis for very many years is practically uniform with the rise in the cancer death-rate. This is illustrated by the following figures of average death-rates from tuberculosis and cancer for decennial periods.

Period.Average Death-rates per Tuberculosis.10,000 of Population. Cancer.
1880–8912.353.42
1890–9910.625.44
1900–099.106.79
1910–196.998.22
1920–295.699.30
1930–394.1711.17
1940–43 (4 years)3.8513.05

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 1876 and for 1943.

In 1943 there were 2,131 deaths from cancer in the Dominion, a proportion of 13.85 per 10,000 of population. The recorded cancer death-rate for 1943 shows an increase of 0.72, and the standardized death-rate an increase of 0.36, per 10,000 as compared with the previous year.

Year.Number of Deaths from Cancer.Recorded Death-rate.Standardized Death-rate.*
* On basis of age distribution in 1911.
19331,62411.108.36
19341,69911.538.51
19351,65611.188.12
19361,76211.818.26
19371,77811.828.02
19381,78711.767.93
19391,81511.797.87
19401,85812.027.83
19412,02813.188.26
19422,02913.138.07
19432,13113.858.43

The following summary shows the types of cancer returned in the death entries for the year 1943.

Type.Males.FemalesTotals.
Carcinoma8898861,775
Adeno-carcinoma183149
Scirrhus carcinoma21618
Sarcoma181836
Lympho-sarcoma21728
Melanotic sarcoma235
Fibro-sarcoma123
Osteo-sarcoma628
Myxo-sarcoma..11
Epithelioma251439
Hypernephroma7613
Rodent ulcer5510
Endothelioma415
Spongioblastoma639
Myeloma246
Astrocytoma415
Medulloblastoma314
Seminoma4..4
Malignant glioma9817
Malignant teratoma2..2
Malignant melanoma9514
Malignant ulcer213
Malignant tumour92130
Malignant papilloma617
Malignant disease6511
Cancer (undefined)92029
Totals1,0691,0622,131

Full details of the location of the disease are published annually in the Report on Vital Statistics. A summary of deaths from cancer during 1943 is as follows:—

Seat of Disease.Numbers.Rates per 10,000 of Population.
Males.Females.Totals.Males.Females.Totals.
Buccal cavity and pharynx5317700.720.210.45
Digestive organs and peritoneum5974781,0758.075.986.99
Respiratory system115301451.550.380.94
Uterus..129129..1.610.84
Other female genital organs..6868..0.850.44
Breast..227227..2.841.48
Male genital organs135..1351.82..0.88
Urinary organs5528830.740.350.54
Skin3118490.420.230.32
Brain2416400.320.200.26
Other or unspecified organs59511100.810.640.71
Totals1,0691,0622,13114.4513.2913.85

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.

Age, in Years.Males.Females.Totals.
Under 5549
–5 and under 10415
10 and under 159312
15 and under 20325
20 and under 25729
25 and under 305712
30 and under 3581119
35 and under 40133144
40 and under 45184563
45 and under 50326597
50 and under 556483147
55 and under 60111132243
60 and under 65157132289
65 and under 70206167373
70 and under 75175152327
75 and under 80141106247
80 and over111119230
Totals1,0691,0622,131

Ninety-two per cent. of the deaths from cancer during 1943 were at ages 45 years and upwards, and 55 per cent. at ages 65 years and upwards.

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.

During the 44-year period 1872–1915 the death-rate from puerperal causes exceeded 5 per 1,000 live births on only 14 occasions, but after 1915 did not fall below this figure until 1925. The rate for 1920 (when the proportion of first births was high) was the third highest on record, having been exceeded only in 1884 and 1885, but the highest rate since 1920 was 5.14 per 1,000 recorded in 1922. The rate for 1943 is the lowest ever recorded in New Zealand. That a new low level appears to have been reached is evidenced by the average death-rate for the latest five years (1939–43), when the remarkably low figure of 2.93 was recorded. The rate for each of the last twenty years is as follows:—

Year.Proportion per 1,000 Live Births.
19245.00
19254.65
19264.25
19274.91
19284.93
19294.82
19305.08
19314.77
19324.06
19334.44
19344.85
19354.21
19363.70
19373.61
19384.07
19393.64
19402.93
19413.36
19422.53
19432.21

Commencing with 1916, special inquiry has been made in all cases where a woman of child-bearing age has been returned as having died of such causes as septicæmia, peritonitis, nephritis, &c. (without qualification), with the result that in each year several of such cases are found to be puerperal, and are now so classed. In 1928 the system of investigating possible puerperal cases was still further extended.

The number of women who lost their lives through some cause connected with pregnancy or childbirth fell from 118 in 1941 to 85 in 1942, and to 67 in 1943. The relatively low level to which the death-rate from puerperal causes has fallen in recent years is all the more remarkable in view of the abnormal proportion of first births in the total of births upon which the death-rate for these years is based. It is a well-established fact that puerperal mortality is higher in first confinements than in subsequent confinements.

The rate of deaths from puerperal causes is frequently, though inaccurately, referred to as “the maternal death-rate.” It should be noted, however, that the class provided for puerperal causes in the international classification covers all deaths from accidents and diseases of pregnancy and parturition, and is not limited to deaths resulting from accouchements of normal women after more or less normal pregnancies. If it were possible to exclude certain types of puerperal cases a true maternal death-rate would result—considerably lower than that shown for all puerperal accidents and diseases. Full distinction cannot be made, but it may be mentioned that the 67 deaths from puerperal causes during 1943 included 20 from abortion, of which 15 became septic cases. Including these 15 deaths from septic abortion there were 23 deaths from puerperal septicæmia in 1943.

Septic abortion claims a comparatively high total of deaths in New Zealand. The highest total over reached in one year in this country was 42, recorded in 1934.

The Fifth (1938) Revision of the International List of Causes of Death, used for the first time in New Zealand in the mortality and morbidity statistics for the year 1940, contains some revolutionary changes in the classification of causes relating to pregnancy and the puerperal state.

The most important change is represented in the attempt to differentiate in all the principal groups of causes between deaths occurring during the course of pregnancy and those occurring during or subsequent to parturition. Paucity of data in many cases makes it difficult to classify correctly in this manner, but with the assistance of the Department of Health in the matter of eliciting further information from the medical practitioners concerned, reasonably accurate classification has been made in the statistics from 1940 onwards.

Another important change was that associated with the classification of puerperal infection. Under the generic title of puerperal infection are now included puerperal pyelitis and pyelonephritis, general or local puerperal infection, puerperal thrombophlebitis, and puerperal embolism and sudden death. Greater distinction is also provided for in cases of abortion, both septic and non-septic.

These revolutionary changes in the classification of diseases of pregnancy, childbirth, and the puerperium render the statistics of the last years difficult to compare with those of previous years. In the following summary, however, the 1939 figures have been adjusted to conform as far as possible with the new classification.

Group.Number of Deaths.Rate per 1,000 Live Births.
1930.1940.1941.1942.1943.1939.1940.1941.1942.1943.
Post-abortive infection20142427150.690.430.680.800.49
Abortion without mention of infection284350.070.240.120.090.10
Ectopic gestation135250.030.090.140.060.16
Hæmorrhage of pregnancy2..3130.07..0.080.030.10
Toxæmias of pregnancy17171612120.600.520.450.360.40
Other diseases and accidents of pregnancy..2....1..0.06....0.03
Hæmorrhage of childbirth161014950.550.310.410.270.16
Infection during childbirth25223219170.870.670.910.560.57
Puerperal toxæmins71310720.240.400.280.210.07
Other accidents of childbirth1569320.520.180.260.090.07
Other and unspecified conditions of childbirth..112....0.030.030.06..
Totals1059011885673.642.933.362.532.21

Full details of puerperal deaths classified according to the Fifth Revision of the International List are contained in the Report on Vital Statistics for 1940 and subsequent years.

DEATHS FROM EXTERNAL CAUSES.

Deaths from external causes, apart from suicide, claim approximately 3 per cent. of the total deaths. Deaths from external causes in each of four years at quinquennial intervals are given in the next table.

Cause of Death.Number of Deaths.Rate per Million of Mean Population.
1928.1933.1938.1943.1928.1933.1938.1943.
Homicide10141219710812
Accidental causes—        
 Poisoning191191014766
 Conflagration19115461411030
 Burns and scalds3322262424151716
 Anæsthesia, asphyxia, &c.24771417559
 Drowning14412714980103879852
 Firearms2322231516151510
 Falls9612212212769838083
 In mines and quarries16141714129119
 Crushing283214337357203146222232
 Fractures (causes not specified)15125711835
 Other7257898552395955
Totals754623811798542425534519

The number of deaths recorded from all accidental causes in 1943 was 779, corresponding to a rate of 5.06 per 10,000 of population. By comparison with 1928, there is an increase of 35 in the number of deaths, but the death-rate has decreased by 0.29 per 10,000 of population.

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:—

Year.Deaths duo to Accident.Rate per 10,000 of Population.
Railway.Tramway.Motor-vehicle.Aircraft.Railway.Tramway.Motor-vehicle.Aircraft.
193331712060.210.050.820.04
193431515250.210.031.030.03
193521716640.140.051.120.03
1936411020230.270.071.350.02
1937411019540.270.071.300.03
193852723060.340.051.510.04
193939521650.250.031.400.03
1940355183180.230.031.180.12
1941405159500.260.031.030.32
19425116125680.330.100.810.38
1943749113970.480.060.730.63

As might be expected under present conditions, deaths arising out of aircraft accidents have greatly increased in recent years. The figures include Air Force accidents in New Zealand as well as civilian casualties. The sharp increase in 1943 in deaths due to railway accidents is accounted for by the train accident at Hyde referred to in the Railways section of this volume.

Deaths from motor-vehicle accidents recorded an appreciable increase up to 1930, but this trend was reversed during the depression years, largely due 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 of the Dominion. The 1938 total was the highest ever recorded in New Zealand. An appreciable drop, however, has been experienced since 1938 on account of there being less traffic on the roads owing to wartime restrictions in the use of petrol and rubber tires.

The figures given 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, as stated above, being assigned to the heavier vehicle. For 1943 there were 20 deaths from such accidents, bringing the total number of deaths in cases where a motor-vehicle was involved up to 133. The corresponding figure for 1942 was 138. 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 1943 numbered 132–males 90, females 42—the death-rate per 10,000 of mean population being 0.86.

Year.Number of Suicidal Deaths.Rate per 10,000 of Population.
Males.Females.Totals.Males.Females.Totals.
1939135451801.730.591.17
1940132361681.700.471.09
1941104391431.370.500.93
1942110581681.460.731.09
194390421321.220.530.86

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

Annual Average duringMales.Females.Both 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
1940–43 (4 yearn1.440.560.99

MAORI DEATHS.

Deaths of Maoris are not included in the statistics quoted in preceding pages of this subsection. Registrations of Maori deaths during each of the last five years have been as follows:—

Year.Number.Rate per 1,000 of Maori Population.
Males.Females.Totals.Males.Females.Totals.
19399678081,77520.8918.8719.92
19408447491,59317.9817.0017.51
19411,0208811,90121.6619.4820.59
19429337991,73219.4317.2018.34
19438628131,67517.5117.1117.27

The rates for the two sexes are much more nearly equal for Maoris than for the rest of the population, the female rate being indeed higher than the male in some years.

Apart from mere numbers by sex, statistics of Maori deaths are not available prior to 1920. Annual tabulations are now made on the bases of age and cause of death, and the detailed statistics may be found in the annual Report on Vital Statistics. The ages of Maoris whose deaths were registered during the year 1943 were as follows:—

Age, in Years.Males.Females.Totals.
Under 1220179399
 1 and under 5100115215
 5 and under 10373976
10 and under 15342963
15 and under 20384280
20 and under 25304979
25 and under 30253156
30 and under 35162238
35 and under 40363065
40 and under 45252045
45 and under 50332457
50 and under 55262349
55 and under 60492978
60 and under 65424284
65 and under 70393473
70 and under 75312758
75 and under 80322355
80 and under 85221537
85 and under 908917
90 and under 9591322
95 and under 1004812
100 and over268
Unspecified549
Totals8628131,675

With the exception of diphtheria and scarlet fever, epidemic and infectious diseases generally exact a much heavier toll proportionately among Maoris than among the non-Maori 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 diarrhœal diseases and stomach complaints.

On the other hand, there is a much lower mortality rate among Maoris from certain diseases which rank high as causes of death among the non-Maori population. Principal among these are cancer, heart-disease and other diseases of the circulatory system, nephritis, the group of general diseases which includes diabetes and exophthalmic goitre, and the group of diseases of the nervous system which includes apoplexy and cerebral hæmorrhage. Malformations show lower rates for Maoris than for Europeans, but the indefinite nature of the data in the registration entries covering the deaths of many Maori infants may be partly responsible. The figures of deaths from malformations and the group “early infancy” taken in conjunction indicate a much higher rate for Maoris from these causes as a whole than for the non-Maori population.

A summary is here given showing Maori deaths from the principal causes and groups of causes.

Cause of Death.Number of Deaths.Rate per 10,000 of Mean Maori Population.
1939.1940.1941.1942.1943.1939.1940.1941.1942.1943.
Typhoid fever161271091.791.320–761.060.93
Measles39..115124.38..0.111.591.24
Whooping-cough3l10237..0.340.1111.05;3.91..
Diphtheria422860.450.220.220.850.62
Influenza64382945277.184.183.144.762.78
Dysentery151725491.681.872.710.420.93
Pulmonary tuberculosis30029030131726733.6731.8732.6033.5627.53
Other forms of tuberculosis9286105999110.339.45ll.3710.489.38
Cancer43485456784.835.275.855.938.04
Cerebral hæmorrhage28392418413.144.292.601.914.23
Convulsions (under five years)1613129111.791.981.300.951.13
Heart diseases13818720623523315.4920.5522.3124.8824.02
Bronchitis53414433385.954«504.773.493.92
Broncho-pneumonia13211610815614814.8212.7518.20;16.5115.26
Pneumonia20112016415014122.5613.1917.7615.8814.54
Diarrhœa and enteritis68586854657.636.377.375.726.70
Nephritis14262726151.572.872.922.751.55
Senility618010168616.858.7910.947.206.29
Violence—          
Suicide8105320.901.100.540.320.21
Accident89848683789.999.239.318.798.04
Homicide3315..0.340.330.ll0.53..
Ill-defined or not specified37355117614.153.855.521.806.29
Other causes35128231828428239.4030.9834.4430.0629.08
Totals1,7751,5931,9011,7321,675199.23175.07205.90183.35172.71

From 1925 onwards information has been obtained as to whether the cause of death has been certified by a medical practitioner or a Coroner's inquest. As an indication of the improvements achieved in the specifying of the causes of deaths of Maoris, it may be said that in 1925, out of a total of 867 deaths, 446 or 51 per cent. were definitely shown to have been certified, while in 1943 the number so certified was 1,353 out of 1,675 registrations, equivalent to 81 per cent.

As regards infant mortality, the Maori rate is much higher than the non-Maori, principally owing to the ravages of epidemic diseases tuberculosis, respiratory diseases, and diarrhœal diseases. The infant mortality rate for the first year of life was, for the five years 1939–43, 103 per 1,000 births in the case of Maoris, as compared with 30 per 1,000 among non-Maori infants, and this in spite of the fact that for the first month of life the Maori rate is on the average slightly lower. It is during the succeeding eleven months that the toll of infant life is so much heavier among the Maoris.

The numbers and rates per 1,000 live births for the last eleven years are given in the next table.

Year.Maoris.Non-Maoris.
Number of Deaths under One Year.Rate per 1,000 Maori Births.Number of Deaths under One Year.Rate per 1,000 Non-Maori Births.
193327392.6177031.64
193427993.5978132.11
1935355109.2077332.26
1936399109.9276930.96
193736692.1781231.21
1938566153.2697135.63
1939473114.9289831.14
194037287.2299030.21
1941517125.061,04529.77
194242497.9296428.71
194339989.8695131.37

The next table shows for the year 1943 the principal causes of deaths of Maori infants under 1 year, classified according to age.

Cause of Death.Under 1 Day.1 Day and under 2 Days.2 Days and under 1 Week.1 Week and under 2 Weeks.2 Weeks and under 3 Weeks.3 Weeks and under 1 Month.1 Month and under 2 Months.2 Months and under 3 Months.3 Months and under 6 Months.6 Months and under 9 Months.9 Months and under 12 Months.Totals.
Influenza........1..1134313
Dysentery..........11..1227
Tuberculosis..............165517
Infantile convulsions..........1211319
Bronchitis............2233..10
Broncho-pneumonia......12..4428292795
Pneumonia......1....9218171966
Diarrhœa and enteritis........22441011639
Congenital malformations1251....2..3..216
Congenital debility, &c.......1..1311....7
Injury at birth7..21..............10
Premature birth127732..2..1....34
Other causes peculiar to early infancy44321............14
Accident............2..1216
Other defined causes......12..351511845
Unspecified or ill-defined13........3..22..11
Totals251617111053821938974399

SUBSECTION D.—MORBIDITY

DEATH-RATES are of great value as indicating the relative healthiness of different countries or of different years. The statistics of causes of registered deaths are of further use as showing the incidence of fatal diseases or accidents, and as indicating in a general way the relative rise or fall in the incidence of diseases over a series of years. For instance, the fall in the incidence of tuberculosis and the increase in cancer (discussed in Subsection C of this section) can be readily traced from the records of deaths attributed to these causes in different years.

In comparisons of healthiness based on death-rates, however, the effect of the advance of medical science in recent years is not taken into account. It is common knowledge that many diseases regarded a few decades ago as incurable now show a fair percentage 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 or never result fatally.

Of recent years much attention has been devoted in different countries to the possibility of obtaining reliable statistics of morbidity. In New Zealand certain diseases are notifiable, but beyond this and the statistics of industrial accidents, given in Section 41, practically the only record other than that of fatality is the information ascertainable from the returns of patients treated in public hospitals. Information regarding benefits granted under the Social Security Act is given in Section 24, and the sickness experience of friendly societies' members is mentioned briefly in Section 29. In the absence of full statistics of sickness information from the sources mentioned is of considerable value.

NOTIFICATIONS OF DISEASES.

Notifications of notifiable diseases during 1943 are shown for each month of the year in the following table.

Disease.January.February.March.April.May.June.July.August.September.October.November.December.Totals.
Scarlet fever373459515349661231331462182271,196
Diphtheria53428267601251058969434748830
Typhoid and paratyphoid fever1271046691623672
Pulmonary tuberculosis1431461371051501291751711651401281601,749
Other tuberculosis17171715171381716263814215
Meningococcus meningitis362929243548475752362318434
Acute poliomyelitis..10385922723151444178
Pneumonic influenza........l3............4
Erysipelas183236281635272624322522321
Puerperal fever—             
Ordinary65456553674359
Following abortion818171211671212101818149
Eclampsia31344466154344
Tetanus6......1..21..1..213
Hydatids22626336265143
Trachoma..11222132..5322
Ophthalmia neonatorum1111..211..1..110
Lethargic encephalitis11......1........1..4
Food poisoning18321131..223131481
Bacillary dysentery102313765221511166108314
Amœbic dysentery......1....1..........2
Undulant fever31311122224123
Actinomycosis....1..................1
Lead poisoning1......1l11..3..19
Beriberi..1....................1
Totals3753745834574174564795455144805405545,774

The foregoing figures are exclusive of notifications of diseases of Maoris, figures for whom are far from complete. The following were the notifications of principal diseases among Maoris during 1943: Diphtheria, 15; typhoid and paratyphoid fever, 27; pulmonary tuberculosis, 518; other tuberculosis, 60; meningococcus meningitis, 65; lethargic encephalitis, 12; trachoma, 42; bacillary dysentery, 37; other, 28: total, 804.

The relative immunity of the Maori to scarlet fever is shown by the fact that in 1943 only 1 case of scarlet fever was reported in the Maori population, as compared with 1,196 in the non-Maori population.

A quinquennial summary of notifications (exclusive of Maori notifications) of certain principal diseases is now given.

Disease.1939.1940.1941.1942.1943.
Scarlet fever4803573384571,196
Diphtheria517367383542830
Typhoid and paratyphoid fever6159566672
Pulmonary tuberculosis9891,0931,1971,4181,749
Meningococcus meningitis2219163852434
Acute poliomyelitis4922430178
Erysipelas552339374264321
Puerperal fever and septic abortion251255224218208

There was a definite falling off in the incidence of meningococcus meningitis during 1943 (approximately 50 per cent.), although the total number of notifications was still comparatively high. While this disease is commonly experienced in some countries in epidemic form, New Zealand is fortunate in that seldom do the yearly notifications approach the 100 mark. The latest epidemic first made itself felt about August, 1941, in which month 19 notifications of the disease were received. For the year 1941 the total reached 163, as compared with an average of 18 for the preceding five years. The peak of the epidemic appears to have been reached in August, 1942, when 169 notifications were recorded. After that month the incidence remained comparatively high, but with a falling tendency.

The year 1943 witnessed another outbreak of scarlet fever, the most severe epidemic since 1936, when the total number of notifications of this disease was 1,152, as compared with the 1943 figure of 1,196. It would appear probable that the peak of the 1943 epidemic had not been reached by the end of the year, as the monthly rise in notifications continued without interruption from July to December. The last big epidemic of scarlet fever occurred in 1928 (6,123 cases) and 1929 (4,844 cases).

Diphtheria also showed a considerable increase in notifications in 1943, when the total recorded was 830, compared with 542 in 1942. The last major epidemic of this disease occurred in 1917 (5,458 cases) and 1918 (5,539 cases).

In each of the last four years, particularly in 1942 and 1943, there has been a marked increase in the number of notifications of pulmonary tuberculosis. Certain factors, however, would appear to show that this movement does not necessarily indicate an increase in the incidence of the disease. A significant feature is an increase in the notification of males of the age-groups from which the members of the Armed Forces-are drawn. X-ray examinations of the chest are carried out as part of the routine-medical examination of all recruits, and the presence of the disease, hitherto unsuspected in many cases, would be detected in this way. A reorganization of tuberculosis work. in connection with the medical inspection of schools may also be a contributing-factor. Contact supervision previously done in the schools is now carried out in the homes. School medical officers arrange X-ray examinations of all household contacts and such other measures as may be necessary for full diagnosis and treatment of incipient disease in contacts, while much valuable work has been carried out in this. connection by district health nurses. Also, as part of its programme of case-finding, the Health Department has encouraged Hospital Boards to establish miniature radiographic machines. Group X-ray examination of certain sections of the community has been undertaken, but an insufficiency of radiologists and equipment has. limited its scope. Efforts in this connection have therefore been concentrated upon family contacts and other groups exposed to infection, such as nurses in public hospitals, dental nurses, training-college entrants, school-teachers, medical students, and laboratory workers. A limited number of factory workers have also been examined.

The following figures reflect the work performed by the district-nursing service and school medical officers in this connection during 1943:—

New tuberculous homes brought tinder control2,050
Total number of homes under control6,865
Number of new contacts examined and brought under control4,611
Total number of contacts under supervision to be brought up for revision18,094
Number of Mantoux tests1,822
Number of positive reactors474
Number of contacts X-rayed5,522
Number, of cases found among contacts as active from Mantoux testing and X-ray examination377

The number of cases of tuberculosis (inclusive of Maoris) known to the Department of Health at the end of 1943 was 6,772, of which 6,096 were pulmonary and 567 non-pulmonary. The form was not stated in the remaining 109 cases and was presumed to be mixed.

Information as to case-fatality in regard to the first three diseases mentioned in the table on the preceding page is now given for each of the last eleven years.

Year.Scarlet Fever.DiphtheriaTyphoid and Paratyphoid Fever.
Cases notifiedDeaths.Case-fatality.Cases notified.Deaths.Case-fatality.Cases notified.Deaths.Case-fatality.
   Per Cent.  Per Cent.  Per Cent.
193378340.51963272.8010665.66
193476281.05436265.965111.96
193586380.93747334.42871011.49
19361,15280.69513203.9061813.11
193792460.65599244.0155916.36
193866220.30786313.9464812.50
193948020.42517244.646146.56
194035710.28367154.0959610.17
194133820.59383174.4356712.50
194245710.22542244.4366812.12
19431,19620.17830323.867234.17

In diseases of this nature, comparatively wide year to year fluctuations in the numbers affected are inevitable. In general, however, all three show reductions in incidence during the period covered by the table.

PUBLIC HOSPITALS: PATIENTS TREATED.

The public hospitals to which the following statistics relate include all hospitals under the control of the various Hospital Boards; several hospitals which are also old people's homes; five special infectious diseases hospitals; the various tuberculosis institutions and special sanatoria; and such public maternity hospitals as also have provision for emergency general cases. Special military hospitals, and additions made to hospitals to accommodate military patients only, are also included. All St. Helens Hospitals, private hospitals, and solely maternity hospitals, are excluded. Outpatients are not covered by the statistics, which, however, relate to all in-patients—whether European or Maori. Inmates of old people's homes or infirmaries controlled by the Hospital Boards, for whom hospital benefits under the Social Security Act are payable for treatment received in such homes, are included in the statistics of patients treated.

During the year 1943 the total admissions to public hospitals in New Zealand numbered 152,379. There were 7,739 patients in hospital at the beginning of the year, the total cases dealt with during the year thus being 160,118, equal to 979 per 10,000 of mean population, including Maoris. In other words, the equivalent of one person out of every ten in the Dominion received some-degree of treatment in public hospitals in 1943, although, of course, the total of cases mentioned includes an unknown number of multiple admissions of the same persons.

The following table shows for each of the last eleven years the total number of patients treated, and the proportion of population.

Year.Total Patients treated.Rate per 10,000 of Mean Population.
193383,817544
193488,085568
193593,173596
193698,444625
193798,235618
1938107,323668
1939112,502690
1940127,839781
1941139,486855
1942171,4831,046
1943160,118979

From 1932 to 1942 there was a continuous and substantial increase in the number of patients treated, with the one exception of 1937, when a small decrease of 200 was recorded. In 1938 the epidemic of measles with its accompaniments of ear troubles and respiratory diseases (chiefly broncho-pneumonia and pneumonia) accounted for nearly 6,000 of the 9,000 increase of that year. The further gain of 5,000 in 1939 cannot be attributed specifically to any disease or group of diseases, and it seems probable that some of this increase may have had its origin in the introduction of the hospital benefit under the social security scheme. This benefit, particulars of which may be found in Section 24, came into operation on 1st July, 1939.

The tremendous increases during the next three years can probably be attributed partly to the same cause, but the great majority of these increases are due to the admissions of Armed Services personnel, particularly in 1942, when the numbers of persons under arms in New Zealand was greatly increased consequent upon the entry of Japan into the war. In general, all military personnel ill over forty-eight hours are transferred to hospital, and outbreaks of such minor epidemic diseases as measles, chicken-pox, mumps, &c., commonly associated with military camps, would result in a great number of persons entering hospital who in normal times would be treated in their own homes. The great bulk of such cases were transferred to emergency wards. of public hospitals adjacent to the camps.

The figures would also include a substantial number of patients who entered hospital for remedial treatment to enable them to be passed fit for military service. Members of the Services returned from overseas who have been admitted to public hospitals for further treatment are also included. The decrease in the total for 1943 no doubt reflects the beginning of the decline in the numbers of mobilized forces in New Zealand.

Information is not available as to the number of members of the Armed Forces who were treated in public hospitals in 1940, but in 1941 the number of such patients discharged from or dying in these hospitals was 13,660, and in 1942, 44,435. Seventy-two females were included in the 1941 total and 523 in that for 1942. The figures of military patients treated during 1943 are not available.

Condition on Discharge.

Of the 160,118 persons treated as in-patients in public hospitals in 1943, 89,849 were discharged as recovered, 46,928 as relieved, and 6,970 as unrelieved. Deaths in hospital numbered 7,372, and 8,999 patients were still in hospital at the end of the year.

The numbers of admissions, discharges, and deaths for each of the last five years were:—

Year.Admissions.Discharges.Deaths.Total Discharges and Deaths.
Recovered.Relieved.Unrelieved.
1939106,83467,86928,3134,9355,568106,685
1940122,02577,81032,3185,3025,825121,255
1941132,90286,51333,6535,8236,511132,500
1942164,418110,26939,4956,9297,073163,766
1943152,37989,84946,9286,9707,372151,119

The following percentage analysis of total cases dealt with during each of the five years is of interest.

Year.Discharged asDied.Remaining at End of Year.
Recovered.Relieved.Unrelieved.
193960.3325.174.394.955.16
194060.8725.284.154.565.14
194162.0224.134.174.675.01
194264.3023.034.044.134.50
194356.1229.314.354.605.62

Sexes of Patients.

For many years males considerably outnumbered females among hospital patients. In 1932, for the first time, and in each of the three following years, females were in the majority. From 1935 onwards, however, the proportion of males again showed a tendency to increase. This excess of male patients became especially pronounced in the figures for 1940 and subsequent years, reflecting the large number of military patients admitted to hospital during these years. The death-rate is invariably higher among male than among female patients, chiefly due to a higher average incidence of serious types of diseases and of accident cases among male patients. The large number of military personnel admitted to hospital for comparatively minor complaints, however, has resulted in a greatly decreased male death-rate during the last four years, and in 1942 the female death-rate exceeded that for males. The decline of the numbers of men in the Armed Forces stationed in New Zealand in 1943 would result in the proportion of minor cases treated in hospital falling considerably. This factor, combined with a greater number of seriously wounded men returning from overseas, probably accounts for the increase of the male case-fatality rate as compared with 1942.

Year.Discharges and Deaths.Deaths.Death-rate per 1,000 Cases.
Males.Females.Males per 100 Females.Males.Females.Males per 100 Females.Males.Females.
193339,31739,888992,4321,6041526241
193441,38042,015982,6191,7641486342
193544,10644,1231002,6751,8221476141
193646,94146,3411012,9731,9791506343
193747,02545,8341033,2572,0171616944
193851,09150,5641043,5832,3761517047
193964,17252,5131033,3782,1901546342
194064,75356,6021153,5012,3241515441
194171,37461,1261173,8362,6751436444
1942101,27962,4871624,1872,8861454146
194382,10069,0191194,2953,0771405245

Ages of Patients.

The ages of patients who were discharged from or who died in public hospitals during 1943 were as shown in the following summary. The proportions of the population at each group which the discharges and deaths represented are also given.

Ages of Patients, in Years.Males.Females.Total.Proportion per Cent, of Total Population.
Males.Females.Total.
Under 59,0376,64215,67910.317.899.12
 5 and under 106,6645,16611,8309.947.938.95
10 and under 154,9783,6338,6117.155.426.30
15 and under 2517,34815,28332,63114.5510.9512.61
25 and under 3513,56614,43628,00213.4410.7211.88
35 and under 459,6188,31717,9358.997.378.16
45 and under 556,4255,30311,7287.175.546.33
55 and under 656,4304,93911,3697.746.096.92
65 and over7,9005,24913,14912.187.9110.02
Totals (including unspecified)82,10069,019151,11910.418.159.24

In normal years there is a pronounced excess of females over males in the age-groups 25–34 and 35–44. This is attributable to the fact that these two age-groups contain the majority of the very large numbers of women admitted to public hospitals for normal confinement or for treatment of diseases and accidents of pregnancy, labour, and the puerperal state. This disproportion disappeared in 1942, owing to the influence of the numbers of military patients referred to earlier, and the ratio was still far from normal in 1943. In 1939 the number of male patients in the 25–34 age-group was 7,854 and the proportion per cent. of the total male population of those ages 5.78, as compared with 13,566 and 13.44 per cent. respectively in 1943. The corresponding figures for female patients in 1939 were 11,442 and 8.85 per cent., and in 1943, 14,436 and 10.72 per cent.

Summary of Diseases, &c.

As explained in the preceding subsection, the international classification of diseases and causes of death is used in New Zealand. The following table covers all patients discharged from or dying in public hospitals during the year 1942, which is the latest year for which such figures are available at present.

Class.Discharges.Deaths.Total Discharges and Deaths.
Recovered.Relieved.Unrelieved.Males.Females.Males.Females.
I.1nfectious and parasitic diseases29,0724,96495052837028,6287,256
II.Cancer and other tumours1,5431,6026945464002,1292,656
III.Rheumatic diseases, diseases of nutrition and of endocrine glands, and other general diseases2,2212,655363951732,7832,724
IV.Diseases of the blood and blood-forming organs130310535142307279
V.Chronic poisonings and intoxications15492214..23833
VI.Diseases of the nervous system and of organs of special sense4,1553,3681,1644084135,6323,876
VII.Diseases of the circulatory system2,6933,2443811,0345964,9782,970
VIII.Diseases of the respiratory system8,7402,6772364452458,2954,054
IX.Diseases of the digestive system24,4635,70468231320219,13012,234
X.Diseases of the genito-urinary system5,8293,157458277904,2305,581
XI.Pregnancy, labour, and puerperal state9,679752268..71..10,770
XII.Diseases of the skin and cellular tissue5,6271,67911621135,1472,309
XIII.Diseases of the bones and of the organs of movement1,7431,66421222142,733922
XIV.Congenital malformations218370923728417328
XV.Diseases of early infancy29847146855246236
XVI.Senility..1382367958276235
XVII.Violence or accident10,7615,88338025911513,4403,958
XVIII.Ill-defined diseases2,9371,189609..12,6702,066
Totals 110,26939,4956,9294,1872,886101,27962,487

Principal Diseases.

A summary is now given of the principal diseases treated in public hospitals during the year 1942. All figures given (including deaths) are inclusive of Maoris.

It should be noted that the disease or condition for the treatment of which a patient is admitted to hospital is not necessarily that which would rank as the cause of death in the death statistics. Cystitis, for instance, ranks comparatively high in hospital cases as the condition immediately affecting the patient, but is frequently only the consequence of some more important disease, which would take precedence over cystitis in the statistics of causes of death. Generally speaking, the hospital returns show only the immediate or final disease or condition for which the patient is treated, and classification for statistical purposes is generally made regardless of the primary cause of that disease or condition. In the death statistics, on the other hand, the primary cause of decease is of paramount importance. In the hospital statistics a case admitted on account of the fracture of any bone is treated and classified as “fracture.” Should the patient die, however, the death would be classified in the mortality statistics according to the cause of the fracture—e.g., motor-car accident, accidental fall, &c.

SUMMARY OF PRINCIPAL DISEASES TREATED IN PUBLIC HOSPITALS DURING 1942

Diseases.Total Deaths registered in the Dominion.Total Cases in Public Hospitals.Deaths In Public Hospitals.
Number.Proportion of Total Deaths in Dominion.Proportion of Total Cases in Public Hospitals.
* See letterpress ante.
    Per Cent.Per Cent.
Typhoid and paratyphoid fever181021688.8915.69
Meningococcus meningitis12090510275.4211.27
Measles461,7311123.910.64
Scarlet fever13531100.000.28
Whooping-cough4149512.2010.20
Diphtheria325032990.035.77
Influenza29320,2828529.010.42
Erysipelas7243571.432.06
Acute poliomyelitis573240.002.74
German measles13,7971100.000.03
Mumps16342*0.32
Pulmonary tuberculosis8092,81036945.6113.13
Tuberculous meningitis104987774.0478.57
Other forms of tuberculosis1108077366.369.05
Venereal diseases1311,1065945.045.33
Septicæmia (non-puerperal)191,093736.840.64
Hydatids151591173.336.92
Cancer2,0852,94590343.3130.66
Non-malignant tumours681,8404363.242.34
Diabetes3581,32516245.2512.23
Exophthalmic goitre816673441.985.10
Leukæmia and aleukæmia65984670.7746.94
Diseases of the spinal cord71951419.7214.74
Cerebral hæmorrhage, apoplexy1,53198559138.6060.00
Diseases of the heart5,8004,0471,51725.8937.48
Diseases of the arteries1903108544.7427.42
Bronchitis2432,5318534.983.36
Broncho-pneumonia4821,88527456.8514.54
Pneumonia3852,78121154.817.59
Pleurisy567482035.712.67
Asthma478591736.171.98
Ulcer of the stomach and duodenum1771,7429553.675.45
Diarrhœa and enteritis1322,1666650.003.05
Appendicitis755,8166080.001.03
Hernia, intestinal obstruction1312,94212293.134.15
Diseases of the liver (excluding hydatids)581002746.5527.00
Diseases of the gall-bladder and biliary passages791,6494455.702.67
Peritonitis1114511100.007.59
Nephritis51373314227.6819.37
Urinary calculi307301550.002.05
Diseases of the bladder1287524*2.74
Diseases of the prostate14578810572.4113.32
Diseases of the female genital organs183,6881689.000.43
Septic abortion321722784.3815.70
Puerperal septicæmia221181045.458.47
Other puerperal diseases and accidents (including normal childbirth)8310,4803440.960.32
Diseases of the skin327,45634*0.46
Osteomyelitis307392480.003.25
Congenital malformations2047456531.868.72
Diseases of early infancy59348212320.7425.52
External causes98217,39837438.092.15
Other diseases1,48348,94179853.811.63
Totals18,117163,7667,07339.044.32

Armed Forces: Patients treated.

In an endeavour to obtain some measure of the influence on the hospital population statistics of the admission of Armed Services personnel, figures have been extracted for 1941 and 1942 of the numbers of such patients discharged from or dying in the public hospitals of the Dominion during those years, according to disease treated and the age of the patient. The figures for 1942 are given in the following table, while those for 1941 were published in the 1944 edition of the Year-Book.

Diseases.Under 25.25 and under 35.35 and under 45.45 and under 55.55 and over.Totals.*Military Patients Per Cent. of Total Patients treated.
* Includes 523 females; also 21 Japanese prisoners, the ages of whom were not specified.
Numbers
I.1nfectious and parasitic diseases12,9306,5762,0836006222,26262.04
II.Cancer and other tumours8271332852194.58
III.Rheumatic diseases, diseases of nutrition and of endocrine glands, and other general diseases3573811926191,00118.18
VI.Diseases of the nervous system70757825066261,02717.11
VII.Diseases of the circulatory system32841319494261,05513.27
VIII.Diseases of the respiratory system1,308950376148462,82822.90
IX.Diseases of the digestive system3,6671,926702329436,06721.26
X.Diseases of the genitourinary system3462821086088048.19
XII.Diseases of the skin and cellular tissue1,2366202137292,15028.84
XIII.Diseases of the bones and organs of movement40332011346389424.46
XVII.Violence or accident2,0901,302417132213,97722.86
XVIII.Ill-defined diseases37930511041784217.78
Other diseases, not included above4032251111090.82
Totals23,87913,7654,8161,08826644,43527.13
Percentage at each Age-group
I.1nfectious and parasitic diseases58.1129.549.362.690.28100.00..
II.Cancer and other tumours37.4432.4215.0712.792.28100.00..
III.Rheumatic diseases, diseases of nutrition and of endocrine glands, and other general diseases35.6038.0619.196.090.90100.00..
VI.Diseases of the nervous system43.4535.5315.364.061.60100.00..
VII.Diseases of the circulatory system31.0939.1518.398.912.46100.00..
VIII.Diseases of the respiratory system46.2533.5913.305.231.63100.00..
IX.Diseases of the digestive system55.0028.8910.534.930.65100.00..
X.Diseases of the genitourinary system43.0335.0713.437.471.00100.00..
XII.Diseases of the skin and cellular tissue57.4928.849.913.340.42100.00..
XIII.Diseases of the bones and organs of movement45.0836.8112.045.140.33100.00..
XVII.Violence or accident52.5532.7410.483.320.53100.00..
XVII.Ill-defined diseases45.0136.2213.074.870.83100.00..
Other diseases, not included above36.7029.3622.9310.090.92100.00..
Totals53.7430.9810.843.800.60100.00..

The total of 44,435 Armed Forces personnel treated in hospital in 1942 represents 27 per cent. of the total hospital population for that year. Of the total military patients treated, 43,912 were males, this figure being 43 per cent. of the total male patients treated in hospital during the year. It should be noted that the figures include members of the services returned from overseas who have been admitted to public hospitals for further treatment.

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

SUBSECTION A.—PUBLIC HEALTH

THE law relating to public health in New Zealand is contained in the Health Act, 1920, and its amending Act of 1940. A full account of the 1920 Act was given in the 1927 issue of the Year-Book.

For the administration of the Act there is established a Department of Health, with a Director-General of Health as chief administrative officer. The Department comprises Divisions of Public Hygiene, Hospitals, Nursing, School Hygiene, Maternal Welfare, Tuberculosis, and Dental Hygiene, each of which is under the supervision of a Director.

For purposes of local administration the country is divided into health districts, each of which is under the charge of a Medical Officer of Health, who must he a medical practitioner with special qualifications in public health. These officers are entrusted with wide powers, and act as advisers of the local governing bodies in matters pertaining to public health.

In addition to being charged with the administration of the Health Act, the Department controls the registration of medical practitioners, dentists, nurses, midwives and maternity nurses, psychiatric nurses, opticians, masseurs, and plumbers. It supervises the sale of food and drugs (including poisons and “dangerous” drugs), and protects the public against exploitation by fraud in connection with alleged remedies. The Department also administers the law covering the control of cemeteries and crematoria, and has certain responsibilities in connection with the administration of the Pharmacy Act, reference to which is made at a later stage of this section.

A further function of the Department is the administration of that part of the Social Security Act, 1938, which deals with medical, hospital, and other related benefits. This matter is treated in detail in Section 24.

The Director-General of Health is Chairman of the Medical Research Council setup in 1938. The functions of the Council are —

  1. To correlate, as far as may be practicable, medical research work in New Zealand.

  2. To recommend what researches and investigations should be undertaken.

  3. To appoint separate ad hoc committees to take charge of each investigation.

  4. To recommend what amount of money should be allocated for medical research each year, and to suggest an apportionment of the amount to separate investigations.

The dental inspection and treatment and the medical inspection of school-children are carried out by special divisions of the Department.

NOTIFIABLE DISEASES.

The system of notification of certain diseases has been in force in New Zealand for many years, and the list of notifiable diseases has undergone several alterations. The list at present is as follows:—

A. Notifiable infectious diseases mentioned in Part I of First Schedule of Health Act, 1920:—

  • Anthrax.

  • Cerebro-spinal fever (cerebro-spinal meningitis).

  • Cholera.

  • Dengue.

  • Diphtheria.

  • Erysipelas.

  • Enteric fever (typhoid fever, paratyphoid fever).

  • Leprosy.

  • Plague (bubonic or pneumonic).

  • Puerperal fever (puerperal septicæmia and puerperal sapræmia).

  • Scarlet fever (scarlatina).

  • Smallpox (variola, including varioloid, alastrim, amaas, Cuban itch, and Philippine itch).

  • Typhus.

  • Yellow fever.

B. Infectious diseases declared notifiable by Gazette notice:—

  • Dysentery (amæbic and bacillary).

  • Encephalitis lethargica.

  • Fulminant influenza.

  • Pneumonic influenza.

  • Septicæmia influenza.

  • Ophthalmia neonatorum.

  • Acute poliomyelitis (infantile paralysis).

  • Trachoma (granular conjunctivitis, granular ophthalmia, granular eyelids).

  • Undulant fever.

  • Septicæmia consequent on abortion or miscarriage.

  • Puerperal fever, involving any form of puerperal sepsis other than or in addition to puerperal septicæmia and puerperal sapræmia.

  • Any form of sepsis or sapræmia following abortion or miscarriage.

C. Notifiable diseases, other than infectious, mentioned in the Second Schedule to the Act:—

  • Actinomycosis.

  • Ankylostomiasis (hookworm disease).

  • Bilharziosis (endemic hæmaturia, Egyptian hæmaturia).

  • Phosphorus poisoning.

  • Beriberi.

  • Hydatids.

  • Food poisoning (botulismus, ptomaine poisoning).

  • Chronic lead poisoning.

  • Tetanus.

D. Notifiable diseases, other than infectious, declared by Gazette notice:—

  • Eclampsia.

  • Malaria.

  • Tuberculosis (all forms).

SOCIAL HYGIENE REGULATIONS.

In November, 1924, syphilis, gonorrhoea, and soft chancre were declared to be infectious diseases within the meaning of the Health Act, 1920, and in July of the following year provision was made for the compulsory notification of these diseases in certain circumstances, and for the treatment of those affected by venereal disease in a communicable form. In the Health Amendment Act, 1940, gonorrhoea, syphilis, and soft chancre were added to the list of other infectious diseases included in Part II of the First Schedule to the Act, thus strengthening the position in regard to the control of these diseases.

In December, 1941, amended regulations in connection with the more stringent control of venereal disease came into force, revoking the Social Hygiene Regulations 1925. Under the present regulations it is incumbent upon a medical practitioner, or a medical officer of a hospital, who has been treating any person suffering from venereal disease in a communicable form, to notify the Medical Officer of Health if such person fails for two weeks after the date fixed in that behalf by the medical practitioner or medical officer to attend for further treatment, or fails on two or more successive occasions to attend for treatment as directed by the medical practitioner or medical officer, unless he is known in the meantime to have placed himself under treatment by another medical practitioner.

If the Medical Officer of Health has reason to believe (either from a notification as provided for above or otherwise) that a person is suffering from venereal disease in a communicable form, he may require such person to submit himself for examination to some medical practitioner and to supply a medical certificate, in the form specified, as to the state of his health in relation to venereal disease. If a medical certificate is not supplied within the time specified, or if the certificate does not definitely disclose whether or not the person to whom it relates is suffering from venereal disease in a communicable form, the Medical Officer of Health may require the person to submit himself for examination to a medical practitioner nominated by the Medical Officer of Health, and to obtain a certificate from such medical practitioner.

In cases where a certificate is not obtainable, or where the certificate shows the person to be suffering from venereal disease in a communicable form, or where a notice has been received from a medical practitioner of failure to attend for treatment as set out above, the Medical Officer of Health may, if he thinks it expedient so to do in the interests of the public health, make an order under section 84 of the Health Act, 1920, for the removal of such person to a hospital or other place where he may be effectually isolated. The medical officer in charge is required to admit such person and make any necessary examination to determine whether the patient is suffering from any venereal disease, and if so, he may detain the patient for a period not exceeding six weeks for the purpose of diagnosis and treatment. The Medical Officer of Health may, however, on the recommendation of the medical officer of the hospital or institution, extend the period of detention for not more than six weeks at any one time unless he is satisfied that the person detained is no longer suffering from venereal disease in a communicable form. A detained person may, with the consent of the Medical Officer of Health, be released by the medical officer of the hospital or place where he is detained, but must follow out the directions of the medical officer as to further treatment or investigation. Provision is made for the right of appeal by a detained person to a Magistrate, who may order an examination by two medical practitioners, and if it appears from the evidence brought before him that the person concerned is free from venereal disease in a communicable form, the Magistrate may make an order for his release.

Where treatment is not conveniently obtainable at a public hospital or public clinic the Director-General of Health may authorize a registered medical practitioner to administer free treatment if the patient is unable to pay. In such cases fees for services are paid by the State according to a scale laid down.

It is an offence for any person, while suffering from venereal disease in a communicable form and while not being treated to the satisfaction of a medical practitioner, to engage in any employment or act in any capacity in or about any factory, shop, hotel, restaurant, house, or other place if, by reason thereof, in the opinion of the Medical Officer of Health, any food intended for consumption by any other person or any food utensil is exposed to infection from venereal disease, or is likely to be so infected. Any person who, while suffering from venereal disease in a communicable form, is employed for hire or reward in any occupation involving the care of children under five years of age also commits an offence. If any person suffering from venereal-disease knowingly infects, or does or suffers any act likely to infect, any other person, he is liable to imprisonment for twelve months, together with a fine of £100.

It is the duty of every medical practitioner who is consulted by any person, sixteen years of age or over, suffering from venereal disease in a communicable form, to give such person a notice setting forth the requirements for treatment and for not infecting others, and expressly warning him or her against marrying until medically certified as cured.

Every precaution is taken for the maintenance of secrecy and the avoidance of publicity in the carrying-out of the regulations.

HYDATID PREVENTION.

In January, 1930, an amendment to the Dogs Registration Act, 1908, came into force requiring local authorities to keep a supply of approved remedies for the care or prevention of disease in dogs caused by infection from the parasite Echinococcus granulosus. At the time of registration every person registering a dog receives a sufficient amount of an approved remedy to enable him to treat the dog every three months until the ensuing date of registration, and also printed instructions for the use of the remedy. The approved remedy at present supplied is arecoline hydrobromide. The Act is administered by the Department of Internal Affairs.

DIPLOMAS IN PUBLIC HEALTH.

In addition to the powers of conferring degrees of Bachelor and Master of Surgery and Bachelor and Doctor of Medicine, the Senate of the New Zealand University has power to grant diplomas in public health, and to make regulations for the examination of candidates for such diplomas. The examination for the diploma in public health is held in two parts, which may be taken separately or at the same time.

REGISTRATION OF MEDICAL PRACTITIONERS.

Under the Medical Practitioners Act, 1914, as amended by the Medical Practitioners Amendment Act, 1924, is constituted the Medical Council of New Zealand, consisting of. the Director-General of Health and six other registered medical practitioners. One of the six 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 enacts that every person shall be entitled to 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 eligible for registration on such last-mentioned register; or the holder, after a course of not less than five years' study, of a foreign diploma approved by the Council. The Council may however, refuse to approve any diploma (even in the case of persons registered or eligible for registration in the United Kingdom) 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 pass an examination in medicine and surgery to be prescribed and conducted by the Senate of the New Zealand University.

Regulations issued on 20th August, 1941, permit of a provisional practising certificate being issued to a medical student who, with a view to becoming registered in New Zealand, has completed all parts of the curriculum up to and including the passing of the necessary examinations pertaining to the first five of the six years' course. This is a temporary measure, necessitated by war conditions.

An applicant who is refused registration as a medical practitioner has the right of appeal to the Supreme Court. The fee for registration is £2, payable on deposit of evidence of qualification. Under the Finance Act, 1932– 33 (No. 2), an annual practising certificate (fee 5s.) is required.

The Medical Council is vested with disciplinary powers, including the suspension of a medical practitioner from practice. 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 misconduct, or is convicted of an indictable offence punishable by imprisonment with hard labour for a term of two years or upwards. The number of medical practitioners on the register at 31st March, 1944, was 1,863. During the year 1943–44 the names of 20 practitioners were removed and 89 added, 84 of the latter having New Zealand qualifications.

REGISTRATION OF DENTISTS.

The Dentists Act, 1936, provides for the constitution of a Dental Council consisting of—

  1. The Director-General of Health.

  2. Two dentists appointed on the recommendation of the Minister of Health.

  3. One dentist, being a member of the Faculty of Dentistry in the University of Otago, appointed on the recommendation of the Minister.

  4. One dentist appointed upon election by postal vote of those dentists whose registered addresses are in the North Island.

  5. One dentist appointed upon election by postal vote of those dentists whose registered addresses are in the South Island.

  6. One medical practitioner, being a member of the Faculty of Medicine in the University of Otago, appointed on the recommendation of the Minister.

  7. One medical practitioner nominated in that behalf by the New Zealand Branch of the British Medical Association and appointed on the recommendation of the Minister.

Every 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 His Majesty' s dominions (in the latter case, however, the Council may require a further examination); or 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.

Application for registration should be made to the Director-General of Health. The fee for initial registration is £2. 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 on the register at 1st October, 1944, was 830.

NURSES, MIDWIVES, AND MATERNITY NURSES.

The Nurses and Midwives Registration Act, 1925, as amended in 1926, 1930, 1939, 1943, and 1944, provides for a Nurses and Midwives Registration Board, consisting of the Director-General of Health or his deputy; the Director-General of Mental Hospitals or his deputy; the Director of the Division of Nursing (who is Registrar of the Board); a registered medical practitioner; a registered nurse, a registered midwife, a registered psychiatric nurse, and one other person recommended by the New Zealand Registered Nurses' Association or a similar body; and one person nominated by the Hospital Boards' Association.

Every person who has attained the age of twenty-one years and is certified as having undergone training for not less than three years and three months in a hospital approved by the Board as a training-school under the Act, and who has passed the prescribed hospital and State examinations, is entitled to registration. The 1943 Amendment gives the Board power to grant an applicant for registration credit for training received elsewhere than in New Zealand.

The number on the register of nurses in active practice at 31st March, 1944, was 3,228.

There are thirty-nine public hospitals recognized as training-schools for nurses. The following table shows the number of occupied beds in training schools, registered nurses, and pupil nurses for each of the last five years.

 1940.1941.1942.1943.1944.
Number of occupied beds in training schools5,3326,0406,2866,8097,603
Number of registered nurses8099229841,1721,366
Number of pupil nurses2,2192,5752,7982,9743,124

Private hospitals complying with certain specified conditions, public mental hospitals, and hospital ships may be approved by the Board as training-schools for nurses.

Maternity Nurses and Midwives.

The Act also provides for the registration of midwives and maternity nurses. The requirements for training are as follows:—

Maternity Nurses.

In the case of a person who is a registered nurse the period of training is six months, and in the case of any other person, is a period of eighteen months. At the end of this time the candidate is eligible to sit for the State Maternity Examination.

Midwives.

No person may be accepted for training as a midwife until such person has been registered as a maternity nurse; the duration of the course of training will then be a period of six months, at the end of which the candidate is eligible to sit for the State Midwifery Examination.

The number on the register of midwives in active practice on the 31st March, 1944, was 730, and the number of registered maternity nurses on the active list was 1,283.

Nursing Aids.

The Nurses and Midwives Registration Amendment Act, 1939, provides for the registration and training of “nursing aids.” There were 62 on the register at 31st March, 1944.

Psychiatric Nurses.

The Nurses and Midwives Registration Amendment Act, 1944, which came into force on 1st January, 1945, provides for the registration and training of psychiatric nurses. Regulations issued on 14th February, 1945, prescribe that the period of training for a psychiatric nurse is two years in the case of a registered nurse and three years in the case of any other person. The period of training is deemed to include any period of training undergone in any public mental institution between 1st January, 1942, and the date of coming into force of the regulations referred to (23rd February, 1945).

Hospital Dietitians.

A State course for training hospital dietitians has been established. The course is of one year' s duration for graduates of the Home-science School, University of Otago, and two years for approved registered nurses. Thirty-nine have qualified as hospital dietitians since the course was introduced in 1942.

District Health Nurses.

There are 18 departmental Nurse Inspectors and 156 District Health Nurses stationed throughout the Dominion. These include School Nurses.

Post-graduate Training.

Selected registered nurses periodically undergo a postgraduate course of training for administrative positions. The Department of Health has established at Wellington a school for this purpose in charge of specially trained tutor sisters. Thirty-two nurses attended this course in 1944.

REGISTRATION OF 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' training in New Zealand as prescribed by regulations.

Under the Finance Act, 1932– 33 (No. 2), an annual practising certificate (fee 10s.) is required.

Regulations pursuant to the Opticians Act, 1928, prescribe the conditions and. period of training and the syllabus for the examination conducted by the Opticians Board.

The number of opticians on the register at 31st March, 1944, was 281.

REGISTRATION OF MASSEURS.

Under the Masseurs Registration Act, 1920, and the Masseurs Registration Amendment Act, 1924, there is constituted the Masseurs Registration Board of New Zealand, consisting of the Director-General of Health, a registered medical practitioner, and two persons engaged in the practice of massage in New Zealand.

The Board deals with all applications for registration (fee £3) under the Act. It is necessary for applicants to be in possession of approved certificates for the three branches of massage: (1) Massage; (2) medical electricity; (3) remedial exercises and other branches of physiotherapy.

Under the Finance Act, 1932–33 (No. 2), an annual practising certificate (fee 10s.) is required.

The number of masseurs on the register at 31st March, 1944, was 376.

REGISTRATION OF PLUMBERS.

The Plumbers Board of New Zealand, constituted under the Plumbers Registration Act, 1912, consists of five members—viz., the Director-General of Health or his deputy (Chairman); the Director of Education; a city or borough engineer nominated by the Municipal Association of New Zealand; a master plumber and a journeyman plumber elected by their respective associations.

The functions of the Board are to decide what persons may be registered under the Act, and in what districts sanitary plumbing may be performed only by registered plumbers. It also decides the scope of the examinations to be held as a part of the process of securing registration.

Under the Finance Act, 1932– 33 (No. 2), an annual license fee of 5s. is payable by registered plumbers doing sanitary plumbing. A registered plumber is not-required to pass any examination or to pay any license fee under local authority by-laws.

The total of names on the register at 31st March, 1944, was 2,939.

SALE OF FOOD AND DRUGS.

In order to make better provision for the sale of food and drugs in a pure state the Sale of Food and Drugs Act was passed by the Legislature, and came into force on 1st January, 1908. The Act is administered by the Department of Health, and 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 be proved to be unfit for human consumption, or likely to cause injury to health if consumed, 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. The sale of any vessel or utensil made of enamelware of such a nature as to be capable of imparting any poisonous or deleterious-properties to any foodstuff is prohibited. The selling of light-weight bread is an offence under the Act, as is also the taking back of bread after it has been in the possession of the purchaser for more than an hour.

Considerable progress has been made in implementing the purposes of the Act. All the commonly used foodstuffs are standardized, and the labelling of packages is controlled by regulations which are revised and added to as the necessity arises.

An amendment of the Act in 1924 marked a noteworthy advance in legislation of this kind, and has been used to good effect in controlling all kinds of publicity concerning any food or drug whereby a purchaser is likely to be deceived in regard to the properties of such food or drug, whether it is dealt with by a regulation or not.

The definition of “drug” includes medicines used externally or internally by man; it also includes anæthetics, soaps, ointments, disinfectants, and tobacco.

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 or drug and to submit it for analysis.

The administration of the Weights and Measures Act is among the functions of the Department of Labour; the correct weight of bread, butter, and other foodstuffs coming within the scope of this Act.

MEDICAL ADVERTISEMENTS ACT, 1942.

This Act, which superseded and repealed the Quackery Prevention Act, 1908, came into force on 1st January, 1943. An advertisement is described as any words, whether written or spoken, or any picture, drawing, or figure which may be inserted in any newspaper or other periodical or brought to the notice of the public in any other manner. The term does not, however, include any advertisement or scientific matter which is distributed only to members of the medical or pharmaceutical professions, or of any other profession concerned with the health of the human body, or which is published only in a publication which in the ordinary course circulates only among, or is distributed only to, such persons. The control of all advertisements is in the hands of an authority, called the Medical Advertisements Board, which consists of the Director-General of Health as Chairman, an analyst under the Food and Drugs Act, 1908, a medical practitioner, and two other persons.

The Board may serve on the proprietor of any drug, cosmetic, dentifrice, article, substance, preparation, instrument, or apparatus to which any medical advertisement relates, or on any person for whom or on whose behalf a medical advertisement has been published, a notice requiring the proprietor or other person to prove to the satisfaction of the Board any claim or statement which is contained or implied in the advertisement. Persons served with a notice are entitled to appear before the Board and submit evidence. Advertisements which are the subject of a notice must not be published after the expiration of seven days from the service of the notice and until the Board has notified its decision.

With the prior authority of the Board, the Chairman may, for the purpose of protecting the public, publish statements relating to any matter contained or implied in medical advertisements. All such statements will be privileged. All medical advertisements are to contain the true name of the advertiser. Provision is also made for the control of testimonials appearing in advertisements.

Regulations issued under the Act list a schedule of diseases in two parts. Concerning those in Part I, no claim to be able to diagnose, prevent, alleviate, treat, or cure may be made, but a claim to be able to treat or alleviate those in Part II is allowed provided no indication or suggestion of prevention or cure is made. Advertisements may not state that any article or method of treatment is used or recommended by medical practitioners, dentists, chemists, nurses, or masseurs, or by any person using the description or title of “doctor,” “scientist,” or “professor” unless the person named is or was a medical practitioner registered by law in some part of the British Empire. Inter alia, the regulations also prohibit any claim or statement which is false, or likely to mislead or deceive, or indecent, or intended to suggest the fear of serious consequences from some trivial or minor complaint. No person may invite correspondence from the public for diagnosis of or consultation concerning any complaint. The regulations also cover the issuing of directions concerning dosage, and precautions concerning glandular preparations, dangerous drugs, and poisons.

Every person who infringes the provisions is liable to imprisonment for a term up to three months or to a fine not exceeding £50, and for a continuance of the offence to a further fine not exceeding £5 for every day during which the offence continues. In the case of a corporate body the penalty is a fine not exceeding £200, and up to £20 a day for continuing offences.

DANGEROUS DRUGS AND POISONS.

In order to carry out New Zealand' s obligations under the Geneva Convention (League of Nations), 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 subject to a license granted by the Director-General of Health or by some other lawful authority. Provisions are made to prevent illicit traffic in drugs of a habit-forming nature. Suitable regulations are in force to give effect to the provisions of the Act, and follow lines similar to the regulations in England and Australia.

The Poisons Act, 1934, is aimed principally at preventing deaths from misadventure arising from two main causes: first, the careless use of industrial and farm poisons through loose packing or handling in bottles commonly used for foodstuffs, beverages, or harmless medicines; second, the increasing tendency by the public to use certain of the newer drugs having hypnotic or pain-reducing properties, or supposed to be effective for slimming, &c. Regulations providing machinery for carrying out the Act have been passed on the lines of the provisions in force in Great Britain.

PHARMACY.

The Pharmaceutical Society of New Zealand, constituted by the Pharmacy Act, 1939, consists of about 800 members. These are known as “registered chemists,” and all pharmacies are required to be under the immediate supervision and control of one of these.

The affairs of the Society are managed by the Pharmacy Board, set up by the Act. This Board consists of twelve members, one of whom is appointed by the Minister of Health, nine are elected on a district basis by members of the society, and two by persons (other than members of the society) employed in pharmacies. The main function of the Pharmacy Board is to administer the Pharmacy Act and its amendments in the interests of the public and of the members of the society, and also to watch such other legal provisions generally as may have a bearing upon pharmacy.

The Society has reciprocal agreements with the societies of Great Britain and all the Australian States—that is to say, a member registered after passing the full examinations of a reciprocating country may be registered in any of the others on complying with prescribed formalities and on payment of the necessary fees.

The Pharmacy Board holds examinations annually for those who wish to obtain the necessary qualifications entitling them to registration. Candidates must also serve four years' apprenticeship. The College of Pharmacy in Wellington was taken over as a function of the Board at the beginning of 1944. For the preceding period of eleven years the College had been conducted privately, but the Board had always evinced a keen interest in the welfare of the College. Apprentices may be required to attend for certain periods at this college as a compulsory part of their technical training.

The Society has a Benevolent Fund, which is used for the relief of members who may be in needy circumstances, or of their relatives who may be unprovided for.

In addition to the statutory organization set up by the Pharmacy Act, members of the Pharmaceutical Society have another organization known as the Chemists' Defence Association, Ltd., which provides an indemnity guarantee for its members, deals with matters of general interest not covered by the Act, and governs ethical questions as between pharmacists and medical men and the public generally. There is also a Chemists' Service Guild governing purely business matters.

Pharmacy is now subject to the provisions of the Industrial Efficiency Act, 1936, every open shop being under license: no company or individual may open a pharmacy or change his premises without consent from the licensing authority. There are 560 pharmacies at present open under license.

CEMETERIES.

The Cemeteries Act, 1908, which was amended in 1912, 1922, and 1926, constitutes the legislation governing burial and cremation in New Zealand. The Cemeteries Amendment Act, 1926, transferred the work of administration from the Minister of Internal Affairs to the Minister of Health, one of the objects being to utilize the services of Inspectors of Health in giving closer attention to matters for which a field staff is essential.

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.

In regard to cremation, the law provides that this method of disposal may be carried out subject to the prior condition that the deceased was not known to have left any written direction to the contrary and also subject to the condition that the cremation is effected in conformity with the regulations. The latter impose stringent precautions against cremation being used for any criminal purpose. Crematoria have been established in Auckland, Wellington, Christchurch, Dunedin, and Hastings.

MEDICAL INSPECTION OF SCHOOLS.

The Division of School Hygiene is responsible for medical inspection of school-children throughout New Zealand. The School Medical Service was placed on a definite basis in 1912 with the appointment of three full-time School Medical Officers. The staff now consists of a Director and 13 full-time and 3 half-time School Medical Officers. In addition, 5 Medical Officers of Health act as part-time School Medical Officers. The nursing work of the Division of School Hygiene, originally carried out by specialized school nurses, is now done by a staff of 141 district nurses as part of their general programme, and 2 Plunket nurses doing part-time duties. Eighteen Nurse Inspectors give part of their time to school duties, while a further 21 nurses employed by Hospital Boards and the Public Works Department carry out the school nursing work of their respective areas.

The School Medical Service aims at securing for each child three physical examinations during his primary-school life. These examinations are made as the child enters school, half-way through, and at leaving. In between these times special examinations are carried out when requested by teachers, parents, or district nurses, or when considered necessary by School Medical Officers. Parents are notified of defects found, the choice of medical attendance or public hospital treatment being left to the parents. The district nurse follows up the doctor' s work by visiting homes and encouraging parents to have defects remedied.

The following summary furnishes particulars of children medically examined in schools in 1943:—

 Non-Maori.Maori.
Children completely examined50,4644,493
Number of children notified a defective (medical and dental)23,3452,715

The size of the existing staff does not permit of medical supervision of non-Maori secondary schools as a routine measure, but annual inspections are carried out where circumstances permit. Maori scholarship-holders are examined annually, and routine inspections with X-ray examinations are made at Maori secondary schools.

Kindergartens are inspected as a routine. Some 4,780 pre-school children were medically examined in 80 pre-school clinics operating in co-operation with the Plunket Society. Advice is given as necessary, and return visits are arranged for in cases where the child' s health shows need of continued supervision. The mother is referred to her own medical adviser or the public hospital when this course of action is deemed necessary.

Entrants to the teaching profession are medically examined before admission to training colleges. Dental trainees of the Dental Hygiene Division are also medically examined before entrance to Dental School. These examinations include chest X-ray.

The milk-in-schools scheme was inaugurated at the beginning of 1937. In 1943, 235,361 pupils representing some 84 per cent. of school population were receiving free bottled, pasteurized, malted milk, or milk for cocoa-making.

Apples free of cost were supplied during the apple season to pupils attending all types of schools. The supply continued for a period of eight weeks and involved the distribution of approximately 92,000 cases of apples. This scheme was inaugurated in 1941.

The health-camp movement has progressed steadily since the formation of the National Federation of Health Camps in 1936, and the inauguration of the King George V Memorial Fund Board in 1938. Permanent camps are established or are in the course of establishment in some areas, and summer camps are operating in all districts. The sale of health stamps through post-offices is one source of revenue towards their maintenance.

Diphtheria immunization is being steadily offered by the School Medical Service, and the following numbers of children had this protective course in 1943: Pre-school, 7,806; school-children, 15,660: total, 23,466. The scope of immunization work has been widened to include whooping-cough. Vaccine has been obtained in quantity, and free treatment is available through pre-school clinics. Tuberculosis work has been entirely re-organized, the family being taken as the unit for preventive work. Contact supervision, previously done in schools, is now carried out in the homes. District nurses see that the tuberculosis case is under proper care and treatment, arrange the X-raying of all household contacts, also such base hospital, sanatorium, and specialist visits as may be needed for full diagnosis and treatment of incipient disease in contacts. Backward children, or children with defects of speech and hearing, are referred to special classes or schools.

The sanitary condition of school buildings is inspected, and defects are reported to the Education Authorities for remedial action.

DENTAL TREATMENT OF SCHOOL-CHILDREN.

The New Zealand School Dental Service, instituted in 1921, is conducted by the Dental Division of the Department of Health. By the end of 1943 school dental clinics had been established at 413 centres in the Dominion, and further expansion was being continued. Each clinic deals with the children of certain specified schools in its vicinity, and these are organized into a “dental group.” Local administration of clinics is in the hands of a dental clinic committee, composed of parents and other local residents. Treatment of the children in the clinics is carried out by school dental nurses specially trained for this work by the Department. For this purpose there is a modern well-equipped training school at Wellington.

At the end of December, 1943, there were 441 trained school dental nurses in the Service, and in addition there were 150 student dental nurses in training. At the same date, 168,588 children belonging to 2,203 schools were under systematic treatment at the various clinics. With the consent of their parents, children are brought under treatment while they are in the primer classes, but the attendance of pre-school children is also encouraged. Children who attend are kept dentally fit until they leave primary school. For this purpose they are re-examined at six-monthly intervals and necessary treatment is carried out. The number of children of preschool age included in the total quoted above was 18,122.

Particular attention is given to instructing children in the principles of dental hygiene, and the Department aims at securing the co-operation of both the children and their parents in the endeavour to reduce the prevalence of dental disease.

During the year 1943– 44 the staff of the Dental Division gave 7,246 talks, addresses, and other forms of educational activity.

The following is a summary of the treatment performed in the Service during the year 1943: Fillings, 980,766; extractions, 81,524; other operations, 400,114: making a total of 1,462,404 operations.

Plans for the extension of the Government' s dental services to provide for children beyond primary-school age are now under way, and it is intended that the scheme will eventually embrace adolescents up to the age of eighteen years.

NATIONAL PHYSICAL WELFARE AND RECREATION.

Probably no other country in the world has better natural facilities than New Zealand for popular recreation. The Dominion has also had the benefit of much organization by sports bodies for the promotion of various games, but it was not until 1937, with the passing of the Physical Welfare and Recreation Act, that the cult of physical fitness became a definite part of a national policy, in line with movements in other British countries, several countries of the Continent of Europe, and the United States of America. The purpose is tersely set out in the Act—“to provide for the development of facilities for, and the encouragement of, physical training, exercise, sport, and recreation, and to facilitate the establishment of centres for social activities related thereto.”

Before the Act was passed the goodwill of representatives of sports bodies from all parts of the Dominion was shown at a conference in Wellington, from which the structure of a National Sports Council emerged. The Act made provision for a National Council of Physical Welfare and Recreation, comprising the Minister of Internal Affairs (Chairman), the Under-Secretary of Internal Affairs (Deputy-Chairman), the Director-General of Health, the Director of Education, a representative of the Naval, Military, and Air Forces, and other members (not more than ten) to be appointed by the Minister. There was provision also for the declaration of areas as districts under the Act and the appointment of District Committees, representing the Councils.

Before preparations were complete for a systematic functioning of the National Council and District Committees, a state of war was declared, and the development of activities had to be adapted to the abnormal conditions.

Physical Welfare Officers.

Despite the difficulties, a practicable programme was carefully planned and physical welfare officers were appointed to put the national policy into operation. For administrative purposes, the Dominion has been divided into sixteen districts.

Voluntary Leaders.

To make amends, as far as possible, for unavoidable limitation of staff, the Department encourages the training of voluntary leaders until they are qualified to spread the benefits of the instruction given by the Physical Welfare Officers. In this manner very important service has been given for the Home Guard, the Air Training Corps, the Women' s War Service Auxiliary, Church Youth Groups, and other organizations.

War Effort.

For some time after the outbreak of war the main activities of the male officers were concerned with the Home Guard.

Later on, the principal training scheme was for the Air Training Corps, information regarding which will be found in Section 8. In addition to special exercises the cadets are encouraged to take part in suitable sports. Instruction in swimming is an important feature, and a high degree of efficiency has been reached. As a result of the scheme many cadets who had shown an indifferent attitude to field games before joining the Corps have now developed into enthusiastic players. The physique of cadets was thus much improved.

Sports Councils

The Department' s officers have helped materially in the formation of the New Zealand Sports Council and the provincial district Sports Councils, which function for the welfare of all types of sport. These Councils, which are self-governing, have the Department' s friendly co-operation whenever it is desired.

School Recreation Cards.

Other assistance for sports bodies is given with the use of recreation cards, which facilitate recruiting among pupils when they leave school.

Group Travel.

A scheme for the promotion of group travel, particularly tours for people of moderate means, was formulated and some progress has been made despite war restrictions.

Camps for Women Industrial Workers.

A successful start has been made with recreational week-end camps for women industrial workers, particularly in industries closely linked with the war effort.

Educational Activities.

Supporting the practical demonstrations, the Department carries on keep-fit campaigns by means of newspaper articles, radio talks, and lectures.

SUBSECTION B.—HOSPITALS AND CHARITABLE INSTITUTIONS

HOSPITAL BOARDS.

PRIOR to the abolition of the provinces in 1876 hospital maintenance was left to the care of the several Provincial Councils, each of which had a system of its own. On the change-over to the county form of government in the following year all of these diverse systems came under the charge of the Central Government, and many difficulties and incongruities arose. Gradually there grew up a system of excessive demands upon the Government, and in 1885 an attempt to reduce a somewhat chaotic state of affairs to some semblance of order and uniformity took shape in the Hospitals Act of that year, which provided for the constitution of special hospital districts and Boards. Several amendments, based on the result of experience, were passed in later years, and the present law relating to the subject is embodied in the Hospitals and Charitable Institutions Act, 1926, to which a number of amendments have since been made.

The management of affairs in each hospital district is entrusted to a Hospital Board, consisting of not more than twenty and not less than eight members representing the contributory local authority districts comprising the hospital area. Members are elected at the ordinary general election of the contributory authorities.

Subject to the consent of the Minister of Health, a Hospital Board has power to establish, control, and manage any of the following institutions: Hospitals, charitable institutions, maternity homes, convalescent homes, sanatoria, habitual inebriates' homes, reformatory institutions for the reception of women and girls, and any other institutions for any purpose which the Governor-General by Order in Council may declare to be a public charitable purpose. It may grant charitable aid to indigent, sick, or infirm persons; may provide medical, surgical, and nursing attention for persons not inmates of an institution; and may grant financial assistance to medical and nursing associations and private philanthropic institutions approved by the Minister.

It is the duty of every Hospital Board to provide and maintain such hospitals as the Director-General of Health considers necessary in any part of the district for (a) the reception, relief, &c., of any persons suffering from infectious diseases; (b) the reception, &c., of persons suffering from other than infectious diseases. Hospital Boards are also required to provide for the removal to hospital of these classes of persons. In addition, Boards must provide maternity hospitals.

Provision of Finance.

No rating-powers are given to Hospital Boards, but under the Hospitals and Charitable Institutions Act the estimated net expenditure (excluding Government subsidy) of a Board is apportioned by the Board among the contributory local authorities within its district in proportion to the capital value of the rateable property in each contributory district. On levies from local authorities for maintenance purposes a scale of subsidy is in operation ranging from 14s. to 26s. per £1, and averaging throughout the Dominion £1 for £1. The principle of the scale is to give relatively greater assistance where the requirements are high in proportion to the rateable capital value of the hospital district.

Prior to the coming into operation of the Social Security Act, 1938, patients' fees and other recoveries from those assisted formed about a third of the total maintenance receipts of Boards.

Under Part III of the Social Security Act, however, Hospital Boards now receive payments from the Social Security Fund in respect of hospital treatment and examinations (including out-patient treatment), pharmaceutical requirements, and district nursing services. These payments provide free treatment for all persons entitled to benefits under the Act. The only exceptions to the foregoing are laboratory services for, and dental treatment of, outpatients. (Details of hospital and other benefits appear in the section dealing with “Social Security, Pensions, Superannuation, &c.”)

Receipts from the Social Security Fund are now the major source of Boards' revenue for maintenance purposes. Levies on local authorities and Government subsidy thereon are each about one-fourth of the total maintenance receipts.

As regards capital works, the net requirements are met by levy and by subsidy in equal amounts; in other words, the subsidy is at the rate of £1 for £1. Where Boards may have recourse to borrowing, loan repayments are financed in the same way as ordinary capital expenditure, and interest charges in the same manner as in the case of maintenance expenditure.

A Government subsidy was formerly payable on voluntary contributions and bequests, but this has been discontinued since March, 1932.

Receipts.

The following is a summary of the receipts of Hospital Boards for the years ended 31st March, 1942 and 1943.

1941–42.1942–43.
 ££
Voluntary contributions and bequests9,66612,762
Levies1,065,5001,310,694
Subsidies1,248,1471,402,479
Payments from Social Security Fund, patients' payments, and charitable-aid recoveries1,530,6141,761,083
Rent, interest, and dividends31,41931,611
Loans497,213323,626
Sale of capital assets2,5261,798
Miscellaneous receipts48,885113,900
Totals4,433,9704,963,853

Expenditure.

Although the figures in the preceding statement relate to receipts, the official returns of Hospital Boards have since 1916– 17 been supplied on the basis of an Income and Expenditure Account and Balance-sheet.

During the war years the expenditure only (not the income) has been tabulated. The following summary for the years ended 31st March, 1942 and 1943, gives the total expenditure by Hospital Boards, with the addition of expenditure on Government hospitals other than mental hospitals.

1941–42.1942–43.
Amount.Percentage of Total.Amount.Percentage of Total.
 £ £ 
Hospital maintenance2,903,54986.33,324,85786.1
Charitable relief—    
   Indoor86,2652.682,2242.1
   Outdoor43,7301.337,2381.0
Medical associations9,7050.37,4130.2
District nursing26,0550.827,0540.7
Ambulances19,5000.621,2350.6
Miscellaneous maintenance expenditure27,4740.882,9502.1
Administration123,2233.6125,6363.3
Interest on loans90,0962.7110,9012.9
National Provident Fund35,8401.040,6921.0
Totals3,365,437100.03,860,200100.0

Capital expenditure for the year 1942–43 totalled £1,031,825, this amount including £130,436 in respect of amortization of loan-money. The total, expenditure for the-year, excluding amounts paid from one Board or departmental institution to another,. was thus ਲ4,892,025.

Hospital Maintenance Expenditure.

The average annual cost of maintenance of general hospitals per occupied bed in the years shown was as follows:—

Year.Provisions.Surgery and DispensaryDomestic and Establishment.Salaries and Wages.Miscellaneous.Totals, Maintenance,
 ££££££
1914–1525.010.727.043.51.9108.1
1919–2040.415.443.262.40.3151.7
1924–2540.914.950.477.08.4191.6
1929–3042.318.452.790.21.42050
1934–3529.816.641.180.23.5171.2
1935–3631.717.844.585.43.9183.3
1936–373.4118.748.497.04.1202.3
1937.3837.419.752.7110.84.2224.8
1938–3940.520.956.4131.74.6254.0
1939.4042.721.061.8142.54.7272.7
1940–4142.322.261.9153.35.2284.9
1941–4245.823.064.6170.76.2310.3
1942–4348.527.065.9180.66.2328.2

Charitable-aid Expenditure.

Charitable-aid expenditure during the last five years has been as follows:—

Year.Indoor Relief.Outdoor Relief.Totals.
 £££
1938–39173,20291,061264,263
1939–40167,17459,625226,799
1940–4184,06047,087131,147
1941–4286,26543,730129,995
1942–4382,22437,238119,462

The increase in rates of various existing pensions, the introduction of invalidity pensions in 1936, and the introduction of social security benefits in 1939, have relieved Hospital Boards of an appreciable amount of expenditure under the heading of “Outdoor Relief,” the decrease between 1935– 36 and 1942– 43 amounting to 80.1 per cent. The reduction in “Indoor Relief” between 1939– 40 and 1940– 41 was accounted for mainly by the reclassification of certain institutions which are now included with hospitals.

Cost to Government and Local Authorities.

The following shows, for triennial periods, the average annual net maintenance requirements of Hospital Boards—i.e., the average estimated deficit to be met by levies on the local authorities and the Government subsidy thereon.

Triennium.Average Annual Amount.
 £
1930–31 to 1932–331,116,503
1931–32 to 1933–341,075,146
1932–33 to 1934–351,086,479
1933–34 to 1935–361,100,228
1934–55 to 1936–371,173,581
1935–36 to 1937–381,306,206 1
1936–37 to 1938–391,495,335
1937–38 to 1939–401,711,469
1938–39 to 1940–411,697,051
1939–40 to 1941–421,733,178
1940–41 to 1942–431,838,279
1941–42 to 194342,036,843

Loans.

During the year 1942– 43 twelve new loans aggregating £893,850 were authorized for terms ranging from ten to twenty–five years.

The amount of loans outstanding at the 31st March, 1943, was £2,798,623. This amount, however, is reduced by a sum of £159,671 standing to the credit of sinking funds, making the net amount of loan-money £2,638,952.

PUBLIC HOSPITALS.

Subsection D of the preceding section contains statistics of in-patients treated at public hospitals other than purely maternity hospitals. In the following table the figures are inclusive of maternity hospitals, sanatoria, &c., and relate to the financial year instead of to the calendar year.

Year.In-patients treated.Average Number of Occupied Beds.Beds available.
Total Number.Proportion per 1,000 of Population.Number.Proportion per 1,000 of Population.Number.Proportion per 1,000 of Population.
1938–39114,45171.06,8974.39,2255.7
1939–40123,54075.67,3064.59,7396.0
1940–41143,29187.68,8085.411,1476.8
1941–42152,56393.39,3785.711,6117.0
1942–43184,644112.910,2256.313,4178.2

The number of institutions coming under the heading of public hospitals for the year ended 31st March, 1943, was 145, comprising 74 general hospitals (6 of which were also old people' s homes, and 2 special hospitals), 1 chronic hospital, 4 convalescent hospitals, 54 maternity hospitals, 5 tuberculosis sanatoria, 1 tuberculosis prevention institution, 2 chronic.tuberculosis hospitals, 2 tuberculosis dispensaries, and 2 infectious.diseases hospitals. A comparison of beds and patients for the last five years is as follows:—

 1938–39.1930–40.1940–411941–42.1942–43.
* In addition, dental cases treated during the year and attendances were: Auckland, 2,144, 8,164; Wellington, 28,510, 46,502; Christchurch, 6,203, 22,850; and Timaru, 083, 3,675.
Number of institutions129130139143145
Number of beds—     
General5,0915,5656,7336,9408,732
Children's cots1,2361,2511,3221,3291,390
Maternity638688776868893
Tuberculosis1,1681,2031,2441,3211,532
Infectious disease1,0921,0321,0721,153870
Totals9,2259,73911,14711,61113,417
Average number of occupied beds per diem6,8977,3068,8089,37810,225
In-patients treated during year114,451123,540143,291152,503184,644
Deaths during year5,8455,5976,3086,7517,400
Out-patients—     
Number151,601172,000238,352281,757386,645*
Attendances565,939569,128693,217829,446,035,234*

PRIVATE HOSPITALS.

The Private Hospitals Act, which came into force on 1st January, 1907, is now embodied in the Hospitals and Charitable Institutions Act, 1926, Part III of which provides for the licensing, management, and inspection of private hospitals. All such institutions must be licensed, and every application for a license must be accompanied by a full description and plan of the building it is proposed to use, together with a statement showing the number and class of cases it is proposed to receive. The license shall state whether it is in respect of a lying-in private hospital or a surgical and medical private hospital, or if for both classes of cases: no private hospital may be used for any purpose other than that in respect of which the license is granted and purposes reasonably incidental thereto.

For every private hospital there must be a resident manager, either the licensee or some person appointed by the licensee, and in every case the manager must be a legally qualified medical practitioner or a registered nurse in the case of a surgical and medical hospital, or a registered midwife in the case of a lying-in hospital, or a registered nurse and midwife, or a registered nurse having as resident assistant a registered midwife, in the case of a hospital licensed for both purposes. No license may be granted in respect of a house not previously licensed until such house and annexed buildings have been approved by the Director-General of Health, and no addition may be made to any private hospital until it has been so approved. No license may be granted unless the character and fitness of the applicant are deemed to be satisfactory. The license must be renewed on 1st January of each year.

In every private hospital there must be kept a register of patients showing particulars as to name, age, abode, and date of reception of each patient, date when such patient left (or, in the event of death, the date thereof), name of medical practitioner attending, and such other details as may be prescribed. Inquiry may be made at any time as to the management, conduct, and equipment of any private hospital, and if such inquiry discloses an unsatisfactory state of affairs the license may be revoked. Provision is made for the inspection of private hospitals in the same manner as for public institutions.

The Social Security Act, inter alia, provides for the payment to licensees of private hospitals (who have entered into contracts under the Act) of prescribed amounts in respect of hospital treatment afforded by them. Particulars are contained in Section 24, “Social Security, Pensions, Superannuation, 'c.”

The total number of private hospitals licensed in the Dominion as at 31st March 1943, was 314, with 1,1C8 maternity beds and 1,815 beds for general cases.

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 24, “Social Security, Pensions, Superannuation, 'c.”

State Maternity Hospitals.

There were formerly seven State maternity (St. Helens) hospitals, but in 1933 two-Wanganui and Gisborne-were handed over to the control of the Wanganui and Cook Hospital Boards respectively, and at the end of 1937 the St. Helens Hospital, Dunedin, was closed. 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 £6 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 the 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 out-patient department attached to each hospital, which provides nursing services for patients not entering the institution.

The statistics given below for the year 1943 cover only the four State maternity (St. Helens) hospitals.

Hospital, and Year of Opening.Number of Beds.Confinements in InstitutionConfinements attended Outside.
Total Live Births.Total Still-1 births.Deaths of Mothers,Deaths of Infants in Hospital.
Auckland (1906)32596l61168
Wellington (1905)3344314146
Christchurch (1907)1529217....8
Invercargill (1918)17194515..
Totals971,5255232522

Public Maternity Hospitals.

There were at 31st March, 1943, 85 public maternity hospitals or maternity wards attached to public hospitals under control of Hospital Boards. These maternity hospitals and wards had 796 beds available. These institutions admit all residents of their respective districts, irrespective of income. At most of them patients may be attended by the midwives in charge of the institution, under the supervision of the medical superintendent of the hospital, or in some instances may engage their own medical attendants.

For the reception of single girls there are special charitable institutions at Auckland, Wellington, and Christchurch, in addition to those established by the Salvation Army at the four chief centres and at Napier and Gisborne.

District Midwives and Maternity Nurses.

Fourteen Hospital Boards have forty-seven district nurses, who in most cases carry out some obstetrical work in conjunction with other health work. In addition, there are Health Department district nurses appointed for the purpose of attending the Maori population, part of their work being attendance on Maori women during confinement.

Ante-natal Services.

Since maternity benefits have been provided free to patients under the Social Security Act and medical men 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 antenatal clinics are established in connection with the four St. Helens Hospitals, the eighty-five public maternity hospitals or maternity wards, and a number of clinics conducted by the Plunket Society. In the case of women living far from the main centres of population, the work is also supplemented by the District Nurses who are employed by the Health Department or by Hospital Boards.

The majority of women now realize that ante-natal care is as essential to their welfare as attendance during their delivery and lying-in period by a doctor and trained maternity nurse or midwife. The Department has supplemented the service by the free distribution of a pamphlet “Suggestions to Expectant Mothers,” which has served its purposes as propaganda for ante-natal care.

Every effort is being made to impress the public with the importance of parental hygiene and systematic ante-natal care throughout pregnancy. Addresses and lectures are delivered by Medical Officers of the Department of Health to nurses and societies interested in this subject. So that there will be definite co-operation between the midwife and the ante-natal clinic, and in order that the midwife may be informed of the clinical methods adopted by the Health Department, refresher courses of lectures, particularly on ante-natal work, are available to all registered midwives and maternity nurses.

BENEVOLENT AND ORPHAN ASYLUMS.

One hundred and twenty institutions classed under the heading of benevolent and orphan asylums furnished returns to the Census and Statistics Department for the year 1943. These institutions, which are conducted by Hospital Boards, religious bodies, and other public or semi-public organizations, are alike in that they provide accommodation on a benevolent or charitable basis, but differ largely in the classes of persons to whom they afford assistance. The generic name covers old people' s homes, maternity and refuge homes for women and girls, orphanages, homes for the infirm or afflicted, “prison gate” homes, and an institute for the blind. Some of the orphanages deal with cases similar to those dealt with by the special schools under the control of the Education Department, and a few of the women' s institutions receive offenders committed to them by the Courts.

The following table gives particulars of admissions, discharges, &c., during each of the last five years.

Number of InstitutionsAdmissions during Year.Births in Institutions during Year.Discharges during Year.Deaths in Institutions during Year.Inmates at 3lst December.Total Inmates during Year.
193912410,9531,00011,2156116,19618,022
194012710,58649910,4056516,17217,228
194112411,38450611,2216516,09717,969
19421229,0978769,3917355,93716,063
19431206,4962916,3273275,38512,039

The foregoing figures reveal a substantial decrease in the number of inmates of charitable institutions during the last two years, but the actual position is obscured by the fact that certain inmates of institutions under the control of Hospital Boards are now supported by hospital benefits from the Social Security Fund, and are no longer counted in these statistics. Such inmates are now included in the statistics relating to public hospitals.

The next table gives similar information for the year 1943, classified according to the class of authority controlling the institutions.

Controlling Authorities.Number of Institutions.Inmates at 1st January.Admissions during Year.Births in Institutions during Year.Discharges during Year.Deaths in Institutions during Year.Inmates at 31st December.Total Inmates during Year.
Hospital Boards23799884..6611618611,683
Church of England1558927424281..606887
Roman Catholic Church161,696767447601011,6462,507
Presbyterian Church17465144..13415460609
Methodist Church4207166..13213228373
Baptist Church15031..24..5181
Salvation Army279183,6041703,729229414,692
Brethren12845..46..2773
Undenominational associations, 'c.1650058153560155591,134
Totals1205,2526,4962916,3273275,38512,039

In many cases there is a variation in the class of inmate provided for by the different controlling bodies. For instance, none of the homos under the supervision of the Presbyterian Church, the Methodist Church, the Baptist Church, or the Brethren are maternity homes of any description. The four churches mentioned control children' s homes and orphanages only, while the Church of England and the Roman Catholic Church provide chiefly for children, although some maternity cases are dealt with. The Hospital Boards concentrate chiefly upon old people' s homes, while the Salvation Army deals with all types, and is the only body that conducts extensively the “prison-gate” or industrial type of institution. Factors such as these affect the demands made upon the different institutions for accommodation or relief.

The ages and sexes of all inmates in the institutions at 31st December, 1943, were as follows:—

Age-group.Males.Females.Totals.
Under 5 years211233444
5 and under 10 years539456995
10 and under 15 year6965821,278
15 and under 17 year90156246
25 and under 25 year39208247
25 and under 35 year4576121
35 and under 45 year7489163
45 and under 55 year10897205
55 and under 65 year174146320
65 years and over8364781,314
Unspecified242852
Totals2,8362,5495,385

Some remarkable differences in the sex proportions at the various age-groups are apparent in the foregoing table. In the first group there is naturally little relative disparity, but in the groups covering ages 5 and under 15 years, there is a considerable preponderance of males. The next four groups, covering ages 15 and under 45 years, show a large excess of females. The number of females in these groups, of course, is greatly increased by the inclusion of girls and women entering maternity homes. The figures are also affected by the fact that the majority of boys who have spent most of their lives in orphanages obtain outside employment at about age 15. From 45 onwards a distinct male excess is observed.

The overwhelming majority of males dependent upon charitable aid at these later ages is indeed remarkable, although the “prison-gate” and industrial type of home no doubt swell the numbers at this stage.

The next table contains information concerning inmates of orphanages and of a few other institutions which provide for both children and older people. The figures relate to inmates under the age of twenty-one who were admitted to the institutions during 1943.

Age, In Completed Years.Legitimate.No Information as to Legitimacy.Illegitimate.Totals.
Father and Mother both Alive.Father Dead, Mother Alive.Father Alive, Mother Dead.Father and Mother both Dead.No Information as to Orphanhood
020..1......3556
16013......1074
255..3......765
37824......388
48754..1..4101
58765..1..3102
689149..1..5118
7771516..1..4113
88871031..5114
9761617..1..5116
10641210..2..391
1154782....576
12441092....368
131991013..345
1412751....126
1591..3......13
163..1........4
172..1......14
18421........7
19621........9
2031..........4
Not stated3..1..3....7
Totals94011711913141971,301

Contrary to what might generally be expected, the above figures reveal that children both of whose parents are alive constitute a substantial majority of those admitted to homes. Cases where both parents are dead are comparatively few.

SUBSECTION C.—MENTAL HOSPITALS

THERE are eight public mental hospitals in the Dominion maintained wholly or in part out of the public revenue. There is also one private hospital licensed for the reception of the mentally afflicted.

The patients on the register at the end of 1943 were distributed as shown below. Numbers given throughout this subsection are inclusive of Maoris. Figures for Maoris are also given separately toward the end of the subsection.

Mental Hospital.Males.Females.Totals.
Auckland7056411,346
Kingseat (Papakura)423327750
Tokanui3906171,007
Porirua6054021,007
Nelson6234111,034
Hokitika265269534
Christchurch7296861,415
Seacliff and Waitati626369995
Ashburn Hall (private mental hospital)102434
Totals4,3763,7468,122

The number of patients remaining at the end of each of the last five years is shown in the following table.

Year.Patients remaining at 31st December.Proportion per 10,000 of Population.
Males.Females.Totals.Males.Females.Totals.
19394,3693,5817,95052.4644.2848.43
19404,3533,6788,03153.5444.8249.16
19414,4043,7388,14255.1044.9349.91
19424,38313,6938,07655.2243.8249.35
19434,3763,7468,12255.4744.2449.66
Average of five years4,3773,6878,06454.3644.4249.30

The total number of patients under supervision, care, or control during 1943 was 9,285 (4,933 males, 4,352 females), as against 9,353 in 1942. The average number resident in mental hospitals was 7,694 in 1943 and 7,687 in 1942.

ADMISSIONS.

The total admissions to mental hospitals during the year 1943 was 1,208 (550 males and 658 females), this number not including 233 transfers from one institution to another. The principal causes of insanity as assigned on admission were as follows:

Heredity72
Congenital191
Previous attack203
Puberty and adolescence24
Climacteric16
Puerperal state16
Senility182
Involution20
Mental stress, prolonged118
Syphilis26
Constitutional186
Alcohol15
Epilepsy24
Organic brain disease67
Physical disorders59

Of the 1,208 persons admitted to mental hospitals during 1943, those admitted for the first time to any mental hospital in New Zealand numbered 969 (453 males, 516 females), and those readmitted 239 (97 males, 142 females).

The figures for 1943 represent one first admission for every 1,688 persons of the-mean population of the Dominion. The number of first admissions and the rate per 10,000 of mean population for each of the last five years were as follows:—

Year.Number of First Admissions.Proportion per 10,000 of Mean. Population.
Males.Females.Totals.Males.Females.Totals.
19395114829936.186.016.10
19404584629205.575.675.62
19414875161,0036.056.246.15
19424665169825.816.165.99
19434535169695.746.095.92
Average of five years4754989735.876.035.96

The number of males admitted to mental hospitals has not shown any appreciable increase since the outbreak of war, the average for the four years 1936– 39 being 560, as compared with an average of 568 for the period 1940– 43. Female admissions, on the other hand, rose from an average of 573 in the former period to 639 in the latter, an increase of 11.5 per cent. These figures are inclusive of readmissions.

VOLUNTARY INMATES.

A person labouring under mental defect, but capable of understanding the meaning of the procedure, may seek admission to a mental hospital as a voluntary boarder. At the beginning of 1943 there were 286 such patients on the books (130 males, 156 females), and during the year 374 (161 males, 213 females) were admitted. If a voluntary boarder should after admission show mental defect sufficiently pronounced and sustained to render it improper to classify him any longer as such, application for a reception order is made to a Magistrate. During the year 1943, 10 (2 males, 8 females) were transferred from the voluntary to the ordinary register, and 13 males and 14 females died, while 274 (115 males, 159 females) were discharged, leaving 349 (161 males, 188 females) on the records at the end of the year.

PATIENTS FROM THE ARMED FORCES.

The following table shows the position in regard to servicemen suffering from psychiatric disorders admitted to mental hospitals from the commencement of hostilities up to 31st December, 1943. These figures possess added interest in view of the fact mentioned previously that there has been practically no increase in the total male admissions since the outbreak of war.

Admitted after Overseas Service.Admitted from Camps, Ac., in New Zealand
Admitted..110Admitted..127
Discharged recovered49 Discharged recovered59 
Discharged not recovered13 Discharged not recovered17 
Died2 Died5 
  64  81
Remaining at 31st December, 1943 46Remaining at 31st December, 1943 46

AGES OF INMATES.>

A summary is given showing the ages of patients in. mental hospitals at the end of 1943.

Age, in Years.Males.Females.Totals.
1 and under 5322658
5 and under 107347120
10 and under l512080200
15 and under 20231169400
20 and under 306214601,081
30 and under 407445851,329
40 and under 507597021,461
50 and under 607707901,660
60 and under 706555791,234
70 and under 80278231509
80 and under 90544195
90 and over246
Unknown373269
Totals4,3763,7468,122

DISCHARGES AND DEATHS.

The next table gives the average number resident, those who were discharged as recovered, and those who died, during the period 1939–43.

Year.Year.Discharged as recovered.Died.
Number.Percentage of Number admitted.Number.Average Number resident.
19397,42632827.384606.19
19407,59034129.704966.53
19417,66631325.205577.27
19427,68734428.416568.53
19437,69436129.885447.07
Average of five years7,61333728.115437.12

The table following shows the duration of residence in mental hospitals of patients who died and of patients who were discharged as recovered during the year 1943. Of those discharged as recovered, 59 per cent. had been inmates for loss than one year.

Duration of Residence.Patients who died.Patients discharged as recovered.
Males.Females.Totals.Males.Females.Totals.
Under 1 month303464156
1 month and under 3 months273259242751
3 months and under 6 months203050213960
6month and under 9 months101424163854
9 month and under 12 months91120172542
1 year and under 2 years272350385997
2 years and under 3 years211839111627
3 year and under 5 years1919384812
5 year and under 7 years81119213
7 year and under 10 years131427448
10 year and under 12 years12719......
12 year and under 15 years12820..11
15 years and over593594......
Died during absence14721......
Totals281263544138223361

Old age and diseases of the circulatory system are the principal causes of death among mental hospital patients. The figures for the principal causes and groups of causes for the year 1943 are as follows:—

Tuberculosis19
Cancer17
Other general diseases20
General paralysis of the insane15
Epilepsy27
Other diseases of the nervous system65
Diseases of the circulatory system127
Diseases of the respiratory system88
Diseases of the digestive system13
Diseases of the genitourinary system4
Old age120
External causes6
Died during absence23
Total544

A table is added showing for all admissions since 1876 the percentages of patients who were discharged (as recovered and relieved, separately), who died undischarged, or who still remained at the end of 1943.

Males.Females.Totals.
*includes a small number of patients discharged whose condition was not improved.
Discharged—Per Cent.Per Cent.Per Cent.
Recovered33.4038.3335.59
Relieved*11.6413.1712.32
Died39.0431.4535.67
Remaining at end of 194315.9217.0516.42
Total admissions, 1876—1943100.00100.00100.00

PRIVATE MENTAL HOSPITAL.

A license may be granted to enable a private mental hospital to receive patients for treatment. Stringent conditions are attached to the issue of such a license, which may be revoked at any time. The Director.General of Mental Hospitals has wide powers in the regulation and control of private institutions, which are placed practically on the same footing as public mental hospitals in regard to inspection and other matters.

There is only one licensed private mental institution in the Dominion, that at Wakari (Ashburn Hall), near Dunedin, established in 1882. Particulars of admissions, discharges, deaths, and patients remaining, for the last five years, are as follows. These figures are included in preceding tables.

Year.Admissions.Discharges.Deaths.Patients remaining at End of Year.
193999234
194064531
1941148334
19421410335
1943125834

MAORIS IN MENTAL HOSPITALS.

The number of Maoris admitted as patients to mental hospitals is small. The figures for the last five years were:—

Year.Admitted during Year.Remaining at End of Year.
Males.Females.Totals.Males.Females.Totals.
19391621378264146
19401834528183164
19412015358986175
19421714319292184
19431615319595190

The above figures are also included in the tables covering all inmates of mental hospitals.

The number of Maoris remaining in mental hospitals at the end of 1943 represented a rate of only 19.59 per 10,000 of the Maori population, as compared with a rate of 51.55 in the case of the non-Maori population.

EXPENDITURE, ETC.

The total expenditure on maintenance of public mental hospitals (not including the cost of new buildings and additions), and receipts on account of patients and for sale of produce, &c., during the last five years were as follows:—

Year.Total Expenditure.Receipts on account of Patients, Sale of Produce,&c.Net Expenditure,
 £££
1939—40658,290354,537303,753
1940—41685,605259,934425,671
1941—42709,887269,247440,640
1942—43738,204263,769474,435
1943—44766,530262,615603,915

As from 1st April, 1939, free maintenance and treatment have been provided in all public mental hospitals in accordance with the provisions of the Social Security Act, 1938. The consequent loss of revenue to the Mental Hospitals Department, through the operation of the Act, is now recoverable from the Social Security Fund, the amount so recovered during 1943–44 being £183,199. Of the balance of receipts, £13,218 represents the recovery of patients' accounts outstanding at 31st March, 1939. The gross average cost per patient in 1943– 44 was £95 4s. 2d., as compared with £92 12s. 5d. in 1942– 43, £89 4s. 9d. in 1941– 42, and £86 11s. 4d. in 1940– 41.

Chapter 6. SECTION 6.—EDUCATION

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 which had each 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 sixty-odd 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 Education Department 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 Dominion grading scheme was instituted under which all primary-school teachers were annually awarded grading marks by the Inspectors. A teacher's total marks give him a place on a numerically graded list*. Since all ordinary appointments are decided on the basis of this list, the system of appointment is in effect a national one, and the Boards have very limited powers of discretion although they make the appointments and the teachers are servants of the Boards. In 1940 biennial grading was substituted for annual grading, thus freeing the inspectors of schools in alternate years to give more time to schools. The provision of an annual grading number for teachers was, however, retained.

It does not follow, however, that, since the Boards and the School Committees have lost many of their original powers, they have ceased to play an important part in the system. The Committee's primary function is the care of school buildings, grounds, and equipment, but, in addition to this, many interest themselves very keenly in the general activities of the school and provide in each district a focusing-point for local opinion on educational matters. The Education Boards are still the initiating bodies on matters of buildings, sites, conveyance of pupils, consolidation, and provision of school facilities generally; and, although the final word often lies with the Minister of Education or the Department, the Boards have no small influence in the fixing of policy within their districts. The schools are legally their schools and the teachers their teachers, and, although in general the Boards' choices of applicants are limited by the grading system, they have much more discretion in the selection of applicants for special or key positions. The teachers' class-room activities are under the control of the Inspectors, but their general responsibility is to the Boards, and their professional' life tends to centre on the Boards rather than on the Department. In spite of the apparent clumsiness of the administrative structure and of periods of strong feeling in the past, the system at present functions remarkably smoothly, and has achieved a balance, workable if not ideal, between the claims of local initiative and national efficiency.

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.

* A teacher's salary was determined by his grade. In 1938 now regulations for the purpose of raising the salaries and stabilizing the staffs of public-school teachers fixed a basic salary dependent on years of service, plus a possible position salary depending on the position held.

† The Education Amendment Act of 1938 provided for Increased grants to Education Boards for general purposes, and also for the incidental expenses of the School Committees.

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 completing a primary-school course or attaining fourteen years of age.

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 Dominion 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.

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. The kindergartens are under the control of the Free Kindergarten Association, subsidized by the Government. At the age of five he may enter, and at seven he must enter, either a primary school organized under one of the nine Education Boards, or a registered private primary school. All State primary schools are co-educational. The child passes through the infant classes and Standards I, II, III, and IV. At this point he will in most places go straight on to Forms I and II in the same school, but since 1922 there have been established a number of intermediate schools (under the control of Education Boards) and intermediate departments (most of them under post-primary school Boards), which take Form I and II pupils from contributing schools in their areas.

On satisfying the requirements of his headmaster in Form II, or on reaching the age of fourteen, the way is now open 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. Most children will enrol for the additional compulsory period at post-primary schools, but the Correspondence School will be called upon to cater for some pupils in the more remote country districts.

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 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 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.

Prior to 1944 a pupil desiring to undertake a University course remained at post-primary school for three or four years before sitting for the University Entrance Examination. This procedure has now been changed in certain respects, and pupils of certain approved schools may be accredited for matriculation purposes provided that they have completed a four-years secondary-school course. In other cases a pupil who has passed the School Certificate Examination, which is of the same standard as the old University Entrance Examination except that there is only one compulsory subject (English), may sit for a new examination of three subjects at the advanced stage, provided that he or she will have attained the age of sixteen years by 31st December in the year in which the examination is taken. The completion of another year of satisfactory work at school after passing this examination gives the pupil a Higher Leaving Certificate, which entitles him to free tuition at a University college. The University of New Zealand, whose controlling body is the University Senate, is constituted of University colleges in Auckland, Wellington, and Canterbury, and the University of Otago (which does not itself grant degrees). The School of Agriculture, consisting of Massey and Canterbury Agricultural Colleges and governed under one Council in connection with the University of New Zealand, is open to students specializing in agricultural studies.

The four teachers' training colleges, although they work in conjunction with the four University colleges, are organically related to them only through the recently formed Boards of Studies. The Education Boards in the four main centres are the controlling authorities of the training colleges.

The State system also caters for the needs of certain special groups of children. Maori children may attend the public schools, but there are also Native village schools provided for their primary education.* There are also a few mission schools remaining from the pre-Maori War system established with the help of Government subsidies. For his post-primary education the Maori child may go free to any available secondary school; but in remote areas he will go to a denominational Maori secondary school. Some of those denominational secondary schools are financed in part from public endowments specially provided, and all of them receive funds from special State scholarships.

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.

Finally there are several special schools and smaller homes, administered by the Education Department's Child Welfare Branch, to take care of deaf-and-dumb, backward, or delinquent children.

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 p. 117) may be tenable at a private school, while assistance in the matter of conveyance on the railways and a boarding-allowance under certain conditions may also be given to pupils attending private schools, whether primary or post-primary. All private schools must be registered, and are subject to an annual inspection by the Department's Inspectors. The majority of the private-schools are conducted by the Roman Catholic Church. Amongst the private schools are two endowed secondary schools modelled after the English public school.

To complete the above sketch it should be added that co-education exists only in certain stages of the system. In the public, Native, technical, and some of the secondary schools (particularly those in the country), in the teachers' training colleges, and in the University colleges, pupils and students of both sexes attend together. The principal State secondary schools in the larger centres, however, and—with one exception—all the registered private secondary schools, are single-sex schools.

During 1944 consideration was given to the report of the Consultative Committee on the post-primary curriculum. This report is probably the most important contribution ever made to secondary education in the Dominion. In October, 1944, the Minister of Education called a conference in Christchurch to consider pre-school education, youth services, adult education, religion in education, and rural education. It was the first widely representative conference on education held in New Zealand, and valuable reports were made on the topics under consideration.

* Established under the Native Schools Act, 1867, and administered by the Education Department since 1880.

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

‡ Education Amendment Act, 1921–22.

PUPILS AND STUDENTS.

The number of pupils and students receiving instruction in the educational institutions of the Dominion is shown in the following summary. The table refers to roll numbers as at the end of the year (except in the case of technical classes, which are as at 1st July).

Class of Institution.1939.1940.1941.1942.1943.

* Exclusive of children in kindergartens (2,182 in 1943).

† There were also 996 students taking part-time courses.

Primary Education     
Public (State) schools205,066203,951204,050203,912204,060
Intermediate schools and departments205,066203,951204,050203,912204,060
Native village schools10,40310,73010,91611,00911,274
Native mission schools722736720641614
Registered private primary schools27,55827,71827,89427,82628,714
Lower departments of secondary schools200186155160187
Correspondence classes (primary)1,6881,7271,7931,9161,941
Chatham Islands schools149139127128125
Totals, primary*245,786245,187245,655245,592246,915
Post-primary Education     
Secondary schools14,74314,30313,60913,52314,774
Combined schools2,8082,7932,7802,6602,901
Secondary departments of district high schools5,4015,2535,0334,8525,197
Technical high schools8,4818,0097,3717,9238,436
Maori secondary (boarding) schools431419400346371
Registered private and endowed secondary schools5,5735,6375,7295,8666,572
Correspondence classes (secondary)628644565554559
Totals, post-primary38,06537,05835,48735,72438,810
Technical Classes (excluding Technical High Schools and Technical Day Schools)     
Conducted by Education, Secondary School, or High School Boards5,4145,3994,9962,2932,489
Conducted by Technical School Boards11,4809,8979,2338,0779,002
Conducted by University colleges334302313295368
Totals, technical17,22815,59814,54210,66511,859
University Education     
University colleges5,0204,7394,5553,7564,921
Canterbury Agricultural College1058113647120
Massey Agricultural College22524916634140
Students exempt from lectures629459409536772
Totals, University5,9795,5285,2664,3735,953
Totals, scholars and students*307,058303,371300,950296,354303,537

The transfer of young men to the Armed Forces and the demand for wartime labour are clearly reflected in the foregoing table. Between 1939 and 1942 students attending post-primary schools decreased by 2,341 (6.2 per cent.), part-time students attending technical classes by 6,563 (38.1 per cent.), and University students by 1,606 (26.9 percent.). This trend was arrested in 1943, and the figures for that year recorded increases under practically all headings as compared with 1942, a contributing factor being the partial demobilization of home-service personnel of the Armed Forces, many of whom were under twenty years of age.

ANNUAL EXAMINATIONS.

The number of candidates who actually presented themselves for the various examinations conducted by the Education Department during the last five years is given below.

Examination.1939.1940.1941.1942.1943.

* Final grade only.

Public Service Entrance1,8742,5583,0382,8852,902
Teachers' Certificate171169185174184
School Certificate4,8045,0405,1724,9425,470
London University3..1..6
Handicraft Teachers' Certificate129664
Technological176127108..6*
Naval Cadetships148711
Totals7,0417,9078,5188,0148,583

The University of New Zealand conducted examinations in 1943 in the faculties of arts, science, medicine, public health, dentistry, home science, law, engineering, commerce, agriculture, and music; for diplomas in journalism, in banking, and in fine arts; and for admission to the legal and accountancy professions. There were 6,757 entrants for the degree and professional examinations in 1943, compared with 5,084 in 1942. The number of candidates for the University Entrance Examination in the last five years has been: 1939, 5,437; 1940, 5,191; 1941, 5,255; 1942, 4,947; 1943. 5,152.

PUBLIC EXPENDITURE ON EDUCATION.

Out of public funds £5,221,389 was spent on education for the financial year ended 31st March, 1944. This sum included amounts paid from reserves revenue, but not revenues received by certain secondary schools and University colleges from endowments, fees, &c., which are available for educational purposes. Direct income of post-primary schools and University colleges in 1943–44 from reserves vested in them amounted to approximately £50,000. The following shows the expenditure from public funds for each branch or service of education for each of the last five years.

Service.1939–40.1940–41.1941–42.1942–43.1943–44.
 £££££
General administration48,31246,93350,56546,71048,919
Elementary education3,433,8183,275,8343,146,7653,067,7383,148,806
Secondary education and technical instruction1,055,5021,023,1711,029,970917,839941,314
Training colleges, &c.226,056195,700198,724219,286267,833
Higher education178,996166,920174,343179,917187,016
Native schools236,180241,932227,491193,390191,481
Physical instruction4,0615,3297,32412,10312,060
School for the deaf11,65410,94813,45912,21513,467
Education of the blind5,1746,2606,6955,8624,619
Schools for the mentally backward38,40526,71726,35125,37924,485
Child welfare161,956182,965170,945179,334198,080
Material and storesCr. 5471,165....2,495
Country library service7,1789,78811,55413,42116,384
Vocational guidance    12,035
Miscellaneous services156,581162,731154,432165,201152,395
Totals5,563,3265,355,3935,218,6185,038,3955,221,389

There is now given a series of comparative figures which shows the cost of education during the period 1933–34 to 1943–44.

Year ended 31st March,Expenditure from Public Funds.Expenditure per Head of mean Population.
 £(000)£s.d.
19342,7411156
19352,87111611
19363,257217
19373,9762104
19384,61921711
19395,100334
19405,563381
19415,355356
19425,2193310
19435,038315
19445,221339

PRIMARY SCHOOLS.

The primary-school system consisted in December, 1943, of 2,090 public schools (including district high schools and intermediate schools or departments), 156 Native village and 10 mission schools for Maoris, 302 registered private primary schools, and 5 lower departments of secondary schools. There were also 46 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 out of the income from endowments of the school or from Government grants. At the end of 1943 the total number of pupils in the five departments mentioned in the preceding paragraph was 187 (128 boys, 59 girls), with 7 teachers.

The curriculum of the primary school, as set out in the syllabus of instruction, includes English, arithmetic, geography, history and civics, drawing and handwork (including needlework), nature-study and elementary science, physical education, moral instruction and health, and singing. Elementary science, agriculture, and, in some schools, dairy work are taught by the regular staff under the supervision of specialist itinerant instructors. Woodwork and metal-work instruction is given to the older boys at manual-training centres, and the older girls are taught domestic subjects, including cookery and hygiene.

The whole of the curriculum is being systematically revised by a number of committees representative of the Education Department and of teachers' organizations. The report of the Arithmetic Syllabus Revision Committee was the first to be adopted, and during 1944 a series of arithmetic text-books was issued to primary schools. These and other text-books produced under the scheme are to be issued free of charge to pupils in all schools, both State and private.

Emphasis has recently been placed on the fuller use of broadcasting, visual aids, art-work, the school library, and physical education.

At the end of the primary course a pupil may receive from the headmaster a Primary School Certificate to the effect that he has satisfactorily completed the work of Form II as prescribed in the Public Schools Syllabus. This certificate replaces the proficiency certificate which was abolished in 1936.

Kindergartens.

Children below the age of five are not enrolled in the State primary schools. They may be enrolled, however, at free kindergartens maintained by local branches of the New Zealand Free Kindergarten Association. Since 1935 the Government has substantially increased its total grant to the kindergartens. In 1939 three women advisers to infant departments and kindergartens were appointed, and in 1942 grants were provided for the training of kindergarten teachers. The number of trainees to whom the Government pays allowances was increased in 1943 from thirty-nine to eighty.

At the end of 1943 there were 2,182 children on the rolls of forty-six free kindergartens. As yet the system is far from universal.

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.

Year.Population at 31st December (excluding Maoris).Number of Schools (including Intermediate Schools and Departments).Pupils at End of Year.Mean of Average Weekly Roll.Average Attendance, Whole Year.Average Attendance as Percentage of Weekly Roll.
19391,551,3342,230205,066199,133180,77690.8
19401,541,9312,204203,951198,763180,18090.6
19411,538,1462,169204,050200,308177,47288.5
19421,540,6302,136203,912198,023172,52587.1
19431,543,7862,090204,060197,466176,26189.3

Of the 2,090 schools shown above for 1943, 1,453 had rolls of not more than seventy, and of these 767 had rolls ranging from one to twenty-four.

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 on the 31st March, 1943, was 37, allocated as follows: Auckland, 11; Hawke's Bay, 3; Taranaki, 2; Wanganui, 3; Wellington, 4; Nelson, 2; Canterbury, 6; Otago, 4; Southland, 2.

The following table relates to pupils on the rolls of the public primary schools and Forms I and II of intermediate schools and departments at the 1st July, 1943.

Age, In Years.1943.Percentage of Total Pupils.
Boys.Girls.Totals.1939.1940.1941.1942.1943.
5 and under 610,4389,99320,4319.19.39.510.010.4
6 and under 711,40610,82522,23110.610.710.811.011.4
7 and under 810,93310,52421,45711.210.910.910.911.0
8 and under 911,05210,16421,21611.911.211.010.910.9
9 and under 1010,98310,39121,37411.612.011.210.910.9
10 and under 1110,99710,48821,48511.711.612.011.211.0
11 and under 1211,24710,61321,86011.911.711.612.011.2
12 and under 1311,73810,75822,49611.311.611.411.511.5
13 and under 148,9727,70716,6797.57.78.58.48.5
14 and under 153,2362,1045,3402.72.72.72.72.7
15 and under 165402818210.50.50.40.40.4
16 and over54501040.00.10.00.10.1
Totals101,59693,898195,494100.0100.0100.0100.0100.0

In 1943 a total of 19,571 pupils (9,903 boys and 9,668 girls) left public primary schools, as against 19,891 (10,176 boys and 9,715 girls) in 1942. Of those leaving in 1943, 16,988, or 87 per cent., had passed Form II (Standard 6), and 2,583, or 13 per cent., bad not passed that standard. The corresponding percentages in 1942 were 84 per cent. and 16 per cent. respectively. Of those leaving public primary schools in 1943, 74 per cent. of boys and 78 per cent. of girls went on to full-time post-primary schooling. The corresponding percentages for intermediate schools and departments were 83 and 82 respectively.

Primary Schools for Maoris.

Approximately one-half of the Maori children in New Zealand are educated in the public schools. At the end of 1943 there were 13,528 attending public schools out of a total of 24,802 Maori children receiving primary education.

The language of instruction in the Native 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 becoming increasingly practical, and objectives more closely related to the special needs of the Maori people. In many of the Native schools, such equipment as woodwork-rooms, cookery-rooms, model cottages, baths, hot and cold showers, and laundries is supplied. Elementary agriculture and health are essential centres of activity in every Native school.

The number of pupils on the rolls of the 156 Native village schools at the end of 1943 was 11,274 (including 996 non-Maori children), while the total roll number of the ten Maori mission schools was 614.

The following table gives the principal statistics of Native village schools during the last five years.

Year.Number of Schools at End of Year.Roll at 1st July.Average Attendance, Whole Year.Average Attendance as Percentage of Weekly Roll.Number of Teachers.
Maori.Non-Maori.Males.Females.
1939.1459,1641,0298,97088.2157293
19401469,4711,0689,30286.9170296
19411499,6351,0169,04385.4163313
194215410,0179969,09179.0138339
19431569,9759399,26184.4145335

Three Inspectors of Schools attached to the Education Department are engaged in the inspection of Native schools, mission schools, and secondary schools for Maoris.

Intermediate Schools.

The intermediate school (formerly termed junior high school) was first initiated as an experiment in New Zealand in 1923. By the end of 1943, twenty-three intermediate schools or departments had been established, of which twelve are separate schools, six are attached to secondary schools, four to district high schools or departments, and one to a technical school, A child may transfer to an available intermediate school after passing Standard IV of the primary school or, with special permission of the Director of Education, on reaching the age of thirteen. Since 1932 the regular course has been two years, though in a few schools, particularly where pupils are not proceeding to a post-primary school, a third-year course is available. The main purpose of the intermediate school is to secure the benefits of consolidation for the older children and, through the provision of varied and enriched courses, to help them decide on their lines of further education.

Pupils on the rolls of intermediate schools or departments at the end of 1943 numbered 8,670, or 19 per cent. of all children in Forms I and II of public primary and intermediate schools. The average attendance during the year was 8,182. The ages of pupils on the roll at 1st July, 1943, were:—

Age, In Years.Boys.Girls.Totals,
Under 115865123
11 and under 127618541,615
12 and under 131,6461,5273,173
13 and under 141,5191,2812,800
14 and under 15556373929
15 and under 1610249151
16 and over15419
Totals4,6574,1538,810

Private Schools.

By the Education Amendment Act, 1921–22, every private school was required to apply for registration before the 13th July, 1922, and no private school can now 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 Native mission schools which are shown separately in the summary table on p. 109.

YearNumber of Schools.Roll at End of Year.Average Yearly Attendance.Teachers.
Boys.Girls.Totals.Males.Females.Totals.
193930413,77614,50428,28025,2741409191,059
194030613,70814,74628,45425,3561379151,052
194130413,78514,82928,61425,246114858972
194230013,86814,59928,46724,663106854960
194330214,11415,21429,32825,791115859974

The majority of the schools included in the preceding table are Roman Catholic, the figures for Roman Catholic schools for 1943 being—Schools, 231; scholars on roll at end of year, 24,684 (11,998 boys, 12,686 girls); average yearly attendance, 21,730; teachers, 747 (62 males, 685 females).

POST-PRIMARY SCHOOLS.

Over a lengthy period of years, one of the most striking features of New Zealand education has been the proportion of pupils who proceed to some form of post-primary schooling at the conclusion of the primary course. In 1943, approximately 77 per cent. of the children leaving public primary schools and intermediate schools and departments went on to full-time post-primary schooling. Now, as a result of the raising of the school leaving-age referred to below, some period of secondary education is compulsory in practically all cases. The movement towards free secondary education for all began in 1901, when free places were introduced in the 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. The final step was taken in 1936, when the Proficiency Examination was abolished and free post-primary education to the end of the year in which he is nineteen was offered to every child completing a primary-school course or attaining the age of fourteen years. As mentioned earlier in this section, every child as from 1st February, 1944, must attend school until the age of fifteen years is reached. Free places will, of course, be available to those who have reached this age and who have not been awarded a Primary School Certificate. Extension beyond the age of nineteen is allowable in special cases approved by the Minister. The average length of stay in the State post-primary schools as a whole is two and a half years. In 1943, returns for secondary and combined schools showed that 340 per cent. (36.5 per cent. in 1942) of their pupils received education beyond the second year.

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.

Year.State Secondary Schools.Combined Schools.Secondary Departments of District High Schools.Technical High Schools.Maori Secondary Schools.Endowed and Private Secondary Schools.Totals.
19393979520860229
19403979621863234
19413979821865238
19423979821764236
19433979821662233

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.” The basic course is academic, as in the normal secondary school; but, where staffing and equipment allow, special courses are provided in agriculture, commercial work, and domestic science. Technical schools are described later in this section.

Until 1904, secondary schools were established by special (local) Acts of the General Assembly, and the majority of schools giving post-primary education have been established in this manner. At the present time the provisions of the 1914 Education Act allow the Minister of Education to establish such schools. State secondary schools and combined schools are controlled by Boards of Governors, and district high schools by the Education Boards.

The inspection of State secondary schools is regularly carried out by four Inspectors and of technical schools by three Inspectors, attached to the Education Department. Combined schools are inspected by both secondary and technical Inspectors. In addition, there is a woman Inspector of home science.

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.

Year.State Secondary Schools.Combined Schools.District High Schools.Technical High Schools.Maori Secondary Schools.Endowed and Private Secondary Schools.Correspondence Classes.Totals.
193914,7432,8085,4018,4814315,57362838,065
194014,3032,7935,2538,0094195,63764437,058
194113,6092,7805,0337,3714005,72966535,487
194213,5232,6604,8527,9233465,86655435,724
194314,7742,9015,1978,4363716,57255938,810

In addition to the foregoing, there were, in 1943,11,859 part-time students attending technical classes and 996 students receiving part-time tuition from the Correspondence School.

At the end of 1943, of the total scholars attending State secondary schools, 7,567 were boys and 7,207 girls; combined schools, 1,626 and 1,275; secondary departments of district high schools, 2,339 and 2,842; technical schools, 4,915 and 3,521; endowed and registered private secondary schools, 3,026 and 3,546; and Maori secondary schools, 112 and 259.

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 controlled either by a Board of Managers or by the Education Board of the district acting in a similar capacity.

There were twenty-one technical schools in 1943. The following table shows the number of pupils taking the different courses available (as at 1st July in each of the last five years).

Course.1939.1940.1941.1942.1943.
Industrial3,5173,5403,0773,1473,753
Commercial and general4,6694,6144,1993,9774,140
Domestic1,2361,0941,0791,0151,255
Agricultural.364382423388509
Art496558479489398
Totals10,28210,1889,2579,01610,055

Technical Classes.

The number of centres at which technical classes for part-time-day and evening students are given was 51 in 1943. These technical classes, on the whole, are more in the nature of trade classes than the usual technical-school course, but many of the pupils attend in order to continue their general post-primary education, and a great number to be trained only in shorthand, typing, and book-keeping.

The number of individual students in 1943 was:—

Classes conducted by Education or High School Boards2,191
Classes conducted by Technical School Boards or by Managers9,300
Classes conducted by University colleges368
Total11,859

Of the above number, 8,062 (5,317 males and 2,745 females) held free places.

Secondary Schools for Maoris.

The Maori child has the same right to a free secondary education as the non-Maori, and where a State post-primary school is accessible he may attend it. There were also in 1943 six denominational Maori secondary schools available to Maori children, five for girls and one for boys. In addition to catering for private-pupils, these schools provide secondary education for Maori children in remote districts by means of Government scholarships provided by the Education Department. Some of them are also partly financed out of public endowments originally provided for the purpose of Maori education.

At the end of 1943, 371 Maori pupils were receiving secondary education at these schools, 199 of the total being Government scholarship-holders. In addition, there were 26 scholarship-holders enrolled in non-Maori secondary schools.

In 1940 a further step forward in the provision of post-primary education for Maoris was the approval of the establishment of three Native district high schools in the East Coast district of the North Island. These schools, unlike the private-denominational schools, are controlled by the Education Department; they provide courses of a practical nature specially suited to the needs of the Maori pupils.

War Bursaries for Soldiers' Dependants.

Regulations which came into force in January, 1918, provided for the award of bursaries to dependants of members of the New Zealand Expeditionary Forces who were killed through active military service or who were disabled through such service. In 1941, bursaries were made available to dependants of members of the Second New Zealand Expeditionary Force and of veterans of the Great War who are in receipt of pensions under the War Veterans'Allowances Act, 1935 (consolidated in the War Pensions Act, 1943). To qualify for a. war bursary a child must be eligible for—

  1. Free education at technical classes; or

  2. A free place at a post-primary school; or

  3. A University National bursary.

War bursaries to the number of 764 were current in December, 1943.

Secondary School Bursaries.

Under Regulations dated 15th December, 1943, as amended in April, 1944, a bursary of a maximum annual value of £40 and tenable for a period of up to two years may be granted to a pupil who is 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, an applicant 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.

VOCATIONAL GUIDANCE.

Since 1938 full responsibility for the work of vocational guidance of pupils at post-primary schools, which for some years past had been carried on almost entirely by voluntary organizations, has been taken by the Government. Eight vocational guidance officers (four men and four women) were appointed, two to 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 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 Education Department has now assumed the full control of the youth centres, and the staffs of the centres (now called Vocational Guidance Centres) have been greatly strengthened and their activities expanded. So far, branch offices have been opened in the four main centres and in Invercargill only, but the Vocational Guidance Officers have made 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 tries to find suitable employment for him and endeavours to follow up his progress until ho is finally and satisfactorily settled in his fine of work. The Centres have also assumed new and important functions in connection with the rehabilitation of returned servicemen. Working in conjunction with the Education Committee of the Rehabilitation Board, the Vocational Guidance Officers report on applications by servicemen for bursaries and scholarships, and where it is considered that an applicant is not suited for the educational facilities for which he asks, every effort is made to find some other field of training for which he is better fitted.

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 encouraged wherever practicable. Owing to transport difficulties brought about by war-time conditions, recent new consolidations have been restricted to cases where the only alternative would have been heavy building programmes.

Conveyance and Board.

A natural consequence of consolidation is the provision of adequate conveyance facilities to bring children into the centres. Free passes on the railway to the nearest public or private school are granted to children living near a railway-line but out of reach of a primary school, and the same privilege is enjoyed by pupils having to travel to attend secondary schools, combined schools, district high schools, and technical high schools, as well as to pupils travelling to attend. technical schools or classes other than at technical high schools and manual-training centres.

In certain circumstances, mainly on account of railway facilities not being available, the cost of the conveyance of pupils to schools is met by way of conveyance or horseback allowance, and in other cases the Education Department. provides school buses.

The following table gives the details of expenditure on conveyance of pupils for the last two years.

1942–43.1943–44.
Rail.Other.Totals.Rail.Other.Totals.
 ££££££
Public primary7,164243,045250,2097,626231,938239,564
Private primary4,229..4,2294,351..4,351
Public post-primary8,89321,56930,46212,92822,46235,390
Native..15,29415,294..17,00717,007
Private secondary2,748..2,7482,893..2,893
Totals23,034279,908302,94227,798271,407299,205

During the last three years the expenditure on board of pupils attending schools was:—

 1941–42.1942–43.1943–44.
 £££
Public primary9,0137,5747,903
Public post-primary34,57930,41334,296
Native1,3231,2891,476
Totals£44,915£39,276£43,675

The following table shows the number of children conveyed to school and the number in receipt of boarding-allowance as at 1st July, 1943.

Type of School.Number of Pupils on BollTotal Pupils conveyed to School.Number receiving Boarding-allowance.

* Includes 24 pupils of two schools which had not in fact been recognized as district high schools.

Public primary schools186,78724,006648
Intermediate schools and departments8,81052433
Secondary departments of district high schools5,923*2,717246
Secondary schools15,6902,4611,282
Technical high schools10,0552,907567
Combined schools3,122493469
Native schools10,9142,371104
Ohatham Islands schools1262326
Totals241,42735,5023,375

Correspondence School.

Since 1922, correspondence classes have been conducted for the primary education of children in very remote areas and of those unable to attend school on account of lengthy illness or other causes. In 1929, courses were extended to cover secondary education up to the stage of the University Entrance Examination. The usual subjects of the syllabus of instruction are taught at the school, and in addition pupils who require instruction which is usually available in a special class in a public school are taught by teachers on the staff of the school who are trained for the purpose. A corporate school spirit is developed through craft and club activities, weekly radio lessons, and personal visits from special travelling teachers. The work of the school has been greatly facilitated by the extension of the practice of visiting pupils in their homes. Vacation schools have been organized in various centres in order to give pupils the opportunity of doing practical work and of taking part in group activities.

Young persons in employment, including teachers of small public schools, junior assistants in Native schools, Post Office cadets, and others who are unable to attend post-primary schools for evening classes, also receive tuition as part-time pupils of the Correspondence School. One of the features of the school is the provision of instruction for pupils taking practical subjects, such as needlework, woodwork, and practical agriculture.

The facilities at the Correspondence School have been made available to the Army Education and Welfare Service, mainly in the preparation of courses.

At the end of 1943 there were 3,496 pupils on the roll of the Correspondence School, 1,941 being in the primary department, and 559 full-time and 996 part-time students in the secondary department. The staff of the school consists of a headmaster, 48 secondary, and 36 primary assistant teachers (7 of whom are engaged in the infant department), 8 specialists engaged exclusively in teaching needlework, and 7 teachers of “special class” children. There are also 24 office-assistants.

Agricultural Clubs.

An effort has recently been made to see that the curriculum is adapted to the social and economic background of each school, and the teaching of agriculture is made a special feature in the rural schools. Projects have been undertaken by the boys' and girls' agricultural clubs in the rearing of calves, lambs, chickens, pigs, and bees, and in the production of crops. In 1938–39 some 18,531 projects were completed; in 1939–40, 21,370; in 1940–41, 26,762; in 1941–42, 26,975; and in 1942–43, 26,516.

HEALTH SERVICES:

Physical Education.

Physical education, including swimming and life-saving, is a recognized part of the primary and post-primary school curricula. In the public primary schools three half-hourly periods per week are devoted to the subject, and in post-primary schools at least one hour a week. During the month of February public schools suspend ordinary time-tables and concentrate on development of physical welfare and outdoor activities. Corrective classes are held in the larger schools for the purpose of remedying physical defects of the children.

A Superintendent, to organize and control physical education in the schools throughout the Dominion, was appointed in 1939. Area organizers have also been appointed to develop still further the work in their respective districts, and assistants have been appointed to teach physical education in the schools to which they are attached and in neighbouring schools. In 1943 there were 42 teachers in the primary-school system engaged full-time on physical education.

Medical and Dental Treatment.

Information on the medical and dental inspection of school-children and the dental-clinic system is given in the section (5A) of this Year-Book devoted to Public Health.

Free Issue of Milk and Apples.

The milk-in-schools scheme, for the free issue of a half-pint daily ration of milk to children, commenced on 1st March, 1937. The consumption of the milk is entirely voluntary.

In remote areas where it is impossible to maintain a pasteurized supply, the needs of the children are met by the free issue of milk for cocoamaking or the issue of whole-milk or malted-milk powder.

A similar scheme in regard to apples was inaugurated in 1941, and during the apple season (approximately eight weeks) apples, free of cost, are supplied to children attending all types of schools (see also Section 5A referred to above).

CHILD WELFARE AND SPECIAL SCHOOLS.

The Child Welfare Act of 1925 provided for the creation of a special branch of the Education Department, known as the Child Welfare Branch. The Act was passed to make better provision with respect to the maintenance, care, and control of children who are specially under the protection. of the State, and to provide generally for the protection and training of indigent, neglected, and delinquent children.

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 exorcise 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 about 250 honorary child welfare officers are utilized for this important work.

The principle of dealing with children in the privacy of the Magistrate's room had been followed for many years throughout the Dominion, and the Child Welfare Act was designed to give legality to such a practice. Very wide discretionary powers are given to these special Courts in dealing with children. The ordinary procedure of requiring the child to plead, of taking evidence on oath, and, indeed, of hearing the particular charge may be dispensed with altogether. Wherever practicable the Children's Court is held in premises apart from the ordinary Police Court, and no newspaper is permitted to publish either the names of children appearing before these Courts or any particulars that are likely to identify a child.

A child was originally defined for purposes of the Act as one under sixteen years of age. This age was raised to seventeen in 1927.

In order to provide for the greater protection of infants of unmarried mothers and for the assistance and guidance of the mothers themselves, there is provision for Child Welfare Officers, on being notified of such births, to investigate each case and to render such assistance as is required, either in placing the child in a suitable foster-home or in advising the mother in the matter of affiliation proceedings, or in assisting her in obtaining employment, &c. By an amending Act in 1927 provision was made for the inspection and registration of all private institutions for children.

In addition to the work in connection with the maintenance and education of indigent, neglected, and delinquent children committed by the Courts, the Child Welfare Branch (1) supervises all infants and young children under the age of six years who are living apart from their parents; (2) makes inquiry through its field officers, for the information of Magistrates, into all applications for the adoption of children; (3) supervises all children and young persons placed under the field officers by order of the Court; and (4) controls institutions for deaf or for mentally backward children.

The following figures (which are exclusive of children dealt with as preventive cases, 1,954 in 1943–44) indicate the numbers under control during each of the last-five years. In addition there were in 1943–44 24 children at the New Zealand Institute for the Blind, for whom the Education Department made payment.

 1939–40.1940–41.1941–42.1942–43.1943–44.
Boarded out, institutions, receiving homes, and in hospitals, or convalescent homes, &c.4,1104,0514,1994,2724,125
Under supervision1,0411,1091,1231,3011,375
Infant-life protection623581627665698
Deaf children103117110126175
Mentally backward children240236183183180
Totals6,1176,0946,2426,5476,553

The Child Welfare Act authorizes Children's Courts to place children under the supervision of Child Welfare Officers in cases where it appears undesirable or unnecessary to remove them from their own homes, and generally in all cases the friendly contact with the parents as well as the children is sufficient to bring about a readjustment of the home conditions or the correction of incipient anti-social traits in the children. In this important work the Department receives valuable assistance from private social service organizations.

The number of oases dealt with by the Courts in 1943–44 was 3,076 (3,071 in the previous year), and of these 1,954 were placed under supervision and dealt with as indicated in the foregoing paragraph. The number committed to the care of the Superintendent during the year was 586.

At 31st March, 1944, the number of children boarded out was 1,980, as compared with 2,034 at the end of the preceding year. The boarding-out rate is 17s. 6d. per week for infants under one year, 16s. per week for children aged one year and under twelve years, 17s. 6d. per week for children aged twelve years and over. Higher rates are payable in respect of children attending intermediate or post-primary schools, these ranging from 18s. to 20s. for children attending the former and from 20s. to 21s. 6d. in the case of the latter. These rates include pocket-money, the amount of which varies according to the age of the child. The Department provides free medical and dental treatment and medicines, and also school books and stationery.

Of the total number under control at 31st March, 1944, the number placed in employment was 1,486, of whom 449 were in farm situations, 167 in factories, 112 in shops and offices, 173 in domestic work, and the remainder (585) in some 30 different occupations. Of the foregoing 53 were apprenticed to trades and 338 were receiving some assistance—e.g., with their board, clothing, books, fees—from the Department in the early stages of their employment. Except in a comparatively few cases these State wards receive standard rates of wages, the exceptions being entirely due to some physical or mental handicap which prevents the young people concerned from competing on equal terms with their fellows.

The Boys' Training Centre at Levin provides for boys of all ages—usually from fourteen years upwards—who require a period of reformative detention in an institution. There is a similar institution for girls at Burwood, and also a Girls' Hostel in Wellington.

An institution at Otekaike provides a special course of education for mentally-backward boys. The older lads, under capable supervision, are employed in farm-work, garden and orchard work, bootmaking, and carpentering. Girls are provided for at the Special School at Richmond, and are employed in housework and laundry-work, sewing, knitting, &c., and in outside occupations, such as gardening and flower-growing.

In order to meet the requirements of children who are retarded in their development owing to physical or other defects, special classes have been established. These classes provide for children in certain public hospitals, for hard-of-hearing children and speech defectives, for under-nourished and physically, defective children, and for children who are unable to benefit from ordinary class instruction.

Infant-fife protection is carried out under the supervision of trained nurses who are fully qualified in the care and feeding of infants and young children. Very many infants dealt with under this system are illegitimate.

A residential school at Sumner exists for the teaching of deaf children, and special classes are established in the main centres for the education of hard-of-hearing children and for the correction of defective speech among children. Classes are also conducted for adults. During 1942 a residential school for the deaf was opened at Titirangi, Auckland, and a number of the children from Sumner were transferred to this new school.

Provision is made for blind children and also for blind adults at the New Zealand Institute for the Blind at Auckland. This institute is administered by a board of trustees, on which the Government is represented. Certain children not admitted by private arrangement are admitted as Government pupils, the number of such pupils in residence at 31st March, 1944, being 24.

British Children.

There were 203 British children in New Zealand at the 31st December, 1943, who had arrived from the United Kingdom under a scheme approved by the Governments of both countries. The children, who are staying for the duration of the war, are with relatives or friends or otherwise in private homes, and are under the general care of the Superintendent of the Child Welfare Branch.

TEACHING PROFESSION:

Training of Teachers.

There are four training colleges available to students who desire to enter the teaching profession, and at the end of 1943 there were 1,833 students in training. Of these, 1,813 were “Division A” students and 20 “Division C” students. The minimum academic qualification for “Division A” is the University Entrance or School Certificate Examinations, while students of “Division C” must be University graduates.

The normal course of training for“Division A”students is a period of two years at a training college, followed by a further period of one year as a probationary assistant attached to a public school. For students of “Division C” the course is for one year. Recently the practice has been revived of giving an extra year's training to selected students wishing to specialize in the teaching of certain subjects of the curriculum. 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.

Public Primary-school Teachers.

A classification of primary-school teachers for the years 1941–43 is not available, but at 31st December, 1940, there were 1,007 sole teachers, 1,127 heads of schools, 665 probationary assistants, and 3,567 assistant teachers, making a total of 6,366. In addition, there were 220 teachers in intermediate schools and departments. Of the total number of teachers in 1940, 87.3 per cent. held teacher's certificates, while the proportion of men teachers to women teachers was 100 to 142.

Information as to the Teachers' Superannuation Fund will be found in the section of this book dealing with “Social Security, Pensions, Superannuation, &c.”(section 24).

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.

Year.Secondary Schools.District High Schools.Technical High Schools.Combined Schools.Grand Totals.
Males.Females.Males.Females.Males.Females.Males.Females.
103935330516311029315880551,517
194036229615811730716481531,538
194135228814612930615982531,515
194227533511514925117166581,420
194329034712014127217271581,477

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 during 1943, the number for that year being 759. Female teachers showed an increase of 88 during the three years. Teachers employed in private post-primary schools or Maori secondary schools are not included in the figures.

TEACHING AIDS.

In order to assist teachers to make their work more realistic, a Supervisor of Teaching Aids was appointed to the Education Department in 1941. His work includes the supervision of school broadcasts and the work of the Education Officers in the museums and the building-up of a library of films and film strips.

Broadcasting.

Regular broadcasting programmes for schools were initiated in 1931, the full cost being borne by the National Broadcasting Service. An increasingly varied series of talks is given weekly over the YA stations at Auckland, Wellington, Christ-church, and Dunedin. No accurate information is available as to the number of schools which listen in to the special educational programmes. Special lessons are broadcast for Correspondence School pupils.

Visual Aids.

The use of visual aids, particularly the film-strip projector, is increasing in the schools. The Department of Education is concentrating on building up, in the Education Board offices, libraries of films and film-strips for free use in schools. The Visual Education Association in Auckland runs a circuit of silent films covering some fifty schools.

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. Museum boxes are circulated amongst schools where pupils are unable to make regular visits to a museum.

Publications.

An illustrated monthly paper, called the School Journal, is published by the Education Department for use as the chief reader in primary schools and intermediate schools and departments, and is supplied free to all schools, both public and private.

A monthly Gazette, mainly for the information of teachers, is published by the Department. In addition to containing articles by leading educationists, it is a medium for the prompt dissemination of official information and for the advertisement of vacancies. Copies are distributed to educational authorities and to State schools throughout the Dominion.

As stated under an earlier heading, new text-books, which are being produced as a result of a systematic review of the primary-school curriculum, are to be issued free to all pupils in public and private primary schools.

HIGHER EDUCATION:

New Zealand University.

Control of higher education in New Zealand is vested in the New Zealand University, founded by the New Zealand University Acts of 1870, 1874, and 1875.

The University was formerly an examining, not a teaching, body with four teaching institutions affiliated to it—the Auckland University College, founded in 1882; Victoria University College, founded in 1897 at Wellington; Canterbury University College, founded in 1873 at Christchurch; and Otago University, founded in 1869 at Dunedin. By the New Zealand University Amendment Act, 1926, the constitution of the University was altered so that it now actually consists of the four University colleges. Each of the colleges, besides providing the usual University courses, specializes in certain directions: Otago University has medical and dental schools, a school of mining and metallurgical engineering, and a school of homo science; Canterbury University College has a school of engineering (mechanical, electrical, and civil), and a school of art; Auckland University College has a school of architecture, and a school of engineering up to and including the second professional examination; and Victoria University College specializes in law. There are also two agricultural colleges—viz., Massey and Canterbury—attached to the University (see page 124).

In 1930 a New Zealand University Amendment Act was passed to enable the New Zealand 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.

In 1943 there were 5,181 students actually in attendance at the four University colleges and the two agricultural colleges. Of these, 337 were graduates, 4,250 undergraduates, and 694 unmatriculated students. In addition there were 772 students attached to the various University colleges, but exempt from lectures. Comparable figures for the last five years are given in the following table.

Year.Students attending Lectures.Exempt Students.Totals.
Males.Females.Males.Females.
19394,0651,2855141155,979
19403,7121,3573511085,528
19413,2451,6123041055,266
19422,3221,5153921444,373
19433,4571,7246131595,953

The demobilization of home-service personnel was one of the factors contributing to the large increase in the numbers of male students in 1943. It will be noticed that the marked increase in the number of female students attending lectures since 1940 has been maintained.

Professors attached to the various University colleges in 1943 numbered 74, of whom Auckland had 17; Victoria, 14; Canterbury, 16; Otago, 23; Massey, 2; Canterbury Agricultural, 2. In addition there was a considerably larger number of full-time lecturers, part-time lecturers, and assistants.

Free University Education.

Free University education was instituted in 1911 for all holders of University Scholarships (gained by examination) and bursaries (gained by accrediting). University Junior Scholarships and University National Scholarships are of the value of £25 per annum plus tuition fees, and are tenable for three years. In the case of holders living away from home a further sum of £5 per annum is allowed. The number of University Junior and National Scholarships awarded in 1943 was thirty. Taranaki Scholarships are of the annual value of £60, and the Senate may, at its discretion, extend the tenure from three to four years. The above scholarships are awarded on the results of the Entrance Scholarships Examination. There are also some thirty or forty local and privately endowed scholarships awarded on the results of the same examination.

Scholarships awarded during the degree course are the Senior University (£70 per annum) and John Tinline Scholarship (£70 per annum). The various colleges also have private scholarships for which their own students may compete. The chief scholarships awarded at the end of the University course are the Rhodes Scholarships, the 1851 Exhibition Scholarships, the Travelling Scholarships in Arts, Science, Commerce, Law, Engineering, Architecture, Medicine, and Dentistry, the Macmillan Brown Agricultural Scholarship, the Shirtcliffe Scholarship, and the National Research Scholarships. All except the last-named are tenable abroad. The Research Scholarships are each of the value of £100 per annum.

In 1937 new regulations were issued for University national bursaries, and holders are now entitled to the payment of tuition fees up to £20 per annum. Furthermore, the higher leaving certificate has been reinstated as a qualification, and a number of boarding bursaries of £50 per annum are available for those who are obliged to live away from home to attend a University college. A bursary is tenable for a three (or possibly four) years' course at a University college or at a school of agriculture recognized by the University. The number of University national bursaries held in 1943 was 1,685. In order to assist qualified students to pursue special University courses, special bursaries are available in agriculture, architecture, fine arts, engineering, and home science. In 1943 the number of special bursaries held was twenty-six in agriculture, thirteen in engineering, two in architecture, fifty-one in home science (tenable at Otago University), and ten in fine arts (tenable at Canterbury College School of Art). The annual value of special bursaries is £30, plus £40 hoarding-allowance for holders living away from home.

A number of bursaries for medical and dental students were awarded in 1943 and in each of the following two years. These bursaries, which are administered by the Department of Health, are tenable for five years in the case of medical students and for four years in the case of dental students, and are of an annual value of £70 plus £40 if the student is obliged to five away from home.

From the table given below will be seen the number of students who received free University education during each of the last five years.

Year.Junior University, University National, and Taranaki ScholarshipsSenior University Scholarships.University Bursaries.Training-college Studentships.Other.Totals.
1939107231,3607172082,415
1940111181,5116312372,508
1941102201,5946112222,549
194278151,4884802102,271
194382201,6856323122,731

School of Agriculture.

The New Zealand School of Agriculture consists of two agricultural colleges specializing in higher agricultural education—Massey Agricultural College, near Palmerston North, and Canterbury Agricultural College, near Christchurch. Until 1937 the two colleges were separately governed, though both were attached to the University of New Zealand. Under an Act of that year they were co-ordinated as the New Zealand School of Agriculture in connection with the University of New Zealand. They are now governed by one Council, but continue to specialize in their respective spheres of work as separate institutions. The staff of Massey College consisted in 1943 of two professors, twelve lecturers, and one assistant lecturer, while that of Canterbury was made up of a director, professor, and eight lecturers. The total number of students at Massey College in 1943 was 140 and at Canterbury 120.

Encouragement to the development of higher agricultural education is given through a Government statutory grant to the Council, amounting to £33,000 in 1943. Various research projects at the colleges have been aided by expert assistance and grants from the Department of Scientific and Industrial Research.

In addition, agricultural bursaries are awarded to qualified candidates to provide them with practical training for positions as teachers or instructors of agriculture. During 1943 fourteen bursars were in attendance at Canterbury Agricultural College, seven at Massey College, one at Auckland University College, two at Canterbury University College, and two at Otago University.

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.

The Council has concentrated on New Zealand problems, and many of its publications (some thirty in all) 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 administers the finances of the Carnegie Museums Trust Fund and 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:

Council of Adult Education.

The Council of Adult Education, consisting of the Director of Education, the Director of Broadcasting, two representatives of the Senate of the University of New Zealand, one representative of the Dominion Council of the Workers' Educational Association, and two persons appointed by the Minister of Education, was established under the Education Amendment Act of 1938. The purposes of the Council are—

  1. To co-ordinate the different activities of adult education and to take any action which the Council may consider desirable to further the interests of adult education:

  2. To recommend to the Minister of Education the amount of the annual grant for adult education to be paid to the University of New Zealand:

  3. To recommend to the Minister the allocation of the grant among such bodies or agencies engaged in adult education as the Council may approve:

  4. To receive annual reports from the University College Councils and from any other bodies to which grants for adult education are made.

Provision was made for the appointment of district advisory committees to facilitate the work of the Council.

Workers' Educational Association.

The Workers' Educational Association is the principal agency for adult education in New Zealand. It operates in conjunction with the University colleges in the four University districts, and on the administrative side consists of two parts—the District Council and the Tutorial Classes Committee. The former consists of representatives of affiliated bodies (such as trade-unions) and members of classes, and is responsible for organizing classes. The latter is composed of equal representation from the District Council and the University colleges, and is responsible for the maintenance of academic standards and the appointment of staff and class tutors.

The work of the Workers' Educational Association is carried on in the cities by means of tutorial classes, which cover a wide range of cultural subjects, such as economics, sociology, psychology, literature, social and economic history, international affairs, music, art, drama, &c. The usual practice is for the lecture to last an hour, followed by class discussion for an hour.

The country work is carried on by means of duplicated lectures specially prepared as a basis for discussion among groups of interested people. By way of variation, boxes of material illustrative of the lectures (especially in the arts) are sent to the groups. These country groups are visited and assisted by travelling tutors. This method has enabled adult educational facilities to be carried to very remote parts of the country and to reach a large number of people. The result has been that country students now outnumber those attending tutorial classes in the cities.

The Workers' Educational Association is financed by Government grant, University grant, and donations from local authorities, trade-unions, and private individuals.

Community Centre.

In 1938 an experimental Community Centre was established at Feilding under the supervision of two experienced educationists specially appointed to the staff of Feilding Agricultural High School. They spend half a day each per week in class-teaching in order to maintain contact with the older pupils; the remainder of their time is spent at the Community Centre, a building in the town specially equipped to cater for adult education in the fullest sense.

Classes are conducted in drama, child-care, literature, art appreciation, physical welfare, and the like, and courses are also carried out in outlying areas. The centre serves not only as a meeting-place for existing adult-education organizations, but as a place where any individual may call for advice and guidance.

COUNTRY LIBRARY SERVICE.

The Country Library Service, founded in 1938, is financed by the Government, and is under the control of the Minister of Education.

Its primary purpose is to assist library authorities in country districts and towns with a population of less than 15,000 to give better service. Free loans of books are granted to libraries controlled by local authorities provided that such libraries give a free service locally and are maintained at a reasonable standard of efficiency. Subscription libraries in country districts—i.e., outside the area of boroughs and town districts—may hire books from the Service for an annual payment of £3 per 100 books. Both free and subscription libraries exchange their books from a book-van, which calls at each library twice (in normal times three times) a year. Fiction and non-fiction books are supplied from the vans. The more serious type of non-fiction book is available to local libraries by mail from the headquarters of the Service, where an extensive library for students is being built up.

Hampers of books for general reading are sent to isolated groups of readers from Country Library Service headquarters. Individuals living in such sparsely populated areas that they cannot even join a group can get a postal service from headquarters.

The numbers of libraries, &c., obtaining books from the Country Library Service at 31st December, 1944, were as follows: Free libraries, 50; subscription libraries, 421; groups, 66; readers receiving individual service, 396; lighthouses, 21.

Apart from its work in small towns and country districts, the Country Library Service is an important factor in library progress generally in New Zealand. The Army Education and Welfare Service, which circulates books to Navy, Army, and Air Force personnel of the New Zealand Forces, is supplied in bulk by the Country Library Service, while the Central Bureau for Library Book Imports and the national union catalogue are located there. When the location of a wanted book is not known by a library, a request is sent to the Country Library Service, which acts as a clearing house and publishes each week a list of items not found in Wellington or traced in the union catalogue. This service covers all the important libraries in New Zealand.

The launching of the School Library Service, operating upon a circulating basis, has been a most important development. This Service, which is financed by the Education Department and administered by the Country Library Service, aims at giving primary-school children access to the best of children's modern literature. At 31st December, 1944, some 750 schools, representing 45,496 children, were getting books from the School Library Service.

Chapter 7. SECTION 7.—JUSTICE

CIVIL CASES.

The law relating to the jurisdiction of Magistrates and Justices of the Peace in civil matters was consolidated by the Magistrates' Courts Act, 1928. Under this statute the ordinary civil jurisdiction of a Magistrate is limited to claims not exceeding  300; or, where the parties agree in writing that the Court shall have jurisdiction, to claims not exceeding  500. Justices of the Peace may hear and decide certain civil cases when the sum in dispute does not exceed  20.

The numbers of plaints entered and of cases tried, and the amounts sued for and for which judgment was recorded, in the lower Courts during the last eleven years are shown in the following table.

Year.Plaints entered.Cases tried.
Number.Total Amount used for.Number.Total Amount claimed.Total Amount for which Judgment entered.
      
193364,6811,065,49944,669766,503687,009
193457,957848,38940,883619,243536,367
193559,105871,41340,094588,844504,448
193654,085767,89737,911523,553440,828
193753,613767,578435,015473,848378,810
193861,351829,93540,327500,395423,528
193967,298894,86642,577555,503456,627
194061,828781,29439,953507,710421,302
194149,000687,77732,913427,536362,538
194232,484495,03821,582306,926253,296
194322,337353,73615,027215,764175,315

The numbers of actions commenced, cases tried, and judgments entered, together with the total amount for which judgments were recorded, in the Supreme Court of New Zealand in its civil jurisdiction during the last eleven years were as follows:—

Year.Number of Actions commenced.Cases tried.Judgments recorded.
With Jury.Without Jury.Number.Amount.
      
19331,14754418493148,119
193490050346364200,805
193593188303383148,155
1936934128284386176,636
1937887144282334137,714
1938775138127245137,916
1939999130282312153,667
194082596205201112,534
19417516520219882,344
19425986517619277,634
19435555118215848,400

INQUESTS.

The following is a table of inquests held over the last eleven years.

YearMalesFemalesTotalsMaoris (included in Totals).
19331,0233741,39774
19341,1404231,563110
19351,0644961,560134
19361,1754651,640142
19371,2285661,794147
19381,4306052,035156
19391,1584931,651125
19401,1575071,664122
19411,2925301,822145
19421,1835161,699126
19431,0463861,432121

Inquests held during 1943 are shown hereunder according to the type of verdict returned:—

Nature of VerdictMalesFemalesTotals.
Diseases and natural causes350176526
Accident566165731
Homicide9615
Suicide9336129
Violent deaths of which nature (accident, homicide, suicide) unknown28331
Totals1,0463861,432

Of the accidental deaths the most common causes are injuries by motor-vehicles and drowning. The verdicts show that in 1943 129 deaths, or 17.6 per cent. of the total accidental deaths, were due to injuries by motor-vehicles, while 113 deaths were due to drowning, 47 to falls, 78 to burns and scalds, and 54 to accidents on railways (excluding collisions between train and motor-vehicle).

Inquests in which a verdict of suicide was returned during each of the last eleven years have been:—

Year.Males.Females.Totals.
193316244206
193415035185
193511139150
193612830158
193710660166
193815847205
193912942171
194013035165
19419836134
194211157168
19439336129

Of the 129 suicides during 1943 only 2 were Maoris.

Fire Inquests.

In case of fire causing the destruction of any building, ship, or merchandise, or any stack of grain, pulse, or hay, or any growing crop, a Coroner may hold an inquiry into the cause of such fire, the procedure being similar to that of inquests into causes of death. During the five years 1939–43, only 4 such inquests were held. In 2 cases the verdict was arson, and in the remaining 2 cases there was insufficient evidence to determine the cause.

POLICE FORCE.

The Police Force in New Zealand is a national body maintained wholly by the General Government. As at present constituted, it was established under the provisions of the Police Force Act, 1886, which came into operation on 1st September of that year. Prior to that date police duty in New Zealand had been carried out by members of the Armed Constabulary, which was then disbanded, Borne of its members being transferred to the newly constituted Police Force and others to the Permanent Militia. The Police Force Act, 1886, consolidated in 1908, was revised and brought up to date by the Police Force Act, 1913, and the latter, with minor amendments in 1919, 1924, 1938, and 1941, is the statute under which the Force now functions.

Organization and Duties.

The Commissioner of Police, with headquarters at Wellington, has, subject to the directions of the Minister in Charge of the Police Department, the general superintendence and control of the Police Force. The Dominion is divided into fifteen districts, each under the charge of a Superintendent or Inspector of Police, who is responsible to the Commissioner for the maintenance of good order and the proper execution of police duty therein. Districts are divided into sub-districts under the charge of sergeants or constables, and cities and towns where regular beat duty is performed are divided into beats, patrolled by constables under the supervision of sergeants.

The principal duty of the Police Force as defined by the Police Force Act is“the preservation of peace and order, the prevention of crime, and the apprehension of offenders against the peace.”In addition to the enforcement of the criminal law and the provisions of the Police Offences Act, there are several statutes of a regulatory nature which the police are called upon to administer, wholly or partly, such as the Arms Act, Licensing Act, Gaming Act, Dangerous Drugs Act, Motor-vehicles Act, Pawnbrokers Act, Second-hand Dealers Act, &c. They also undertake inquiries and other duties on behalf of other Departments of the Government Service, principally the Social Security Department, Registrar-General's Office, Internal Affairs Department, and Education Department (Child Welfare Branch).

Police in country districts in many cases hold such additional appointments as Clerks and Bailiffs of Magistrates' Courts, Inspectors of Factories, Probation Officers, Inspectors of Sea-fishing, Kauri-gum Rangers, and Sub-enumerators of Agricultural and Pastoral Statistics.

Recruiting.

Recruits for the Police Force must be between the ages of twenty-one and thirty years, be not less than 5 ft. 9 in. in height, and have a normal chest measurement of not less than 38 in. They must be the holders of a certificate of school attainment for Form I, or possess educational qualifications of an equal or higher standard. They must be of good moral character, smart, active, intelligent, and free from bodily complaint or infirmity. The selection of recruits is made by the Commissioner after exhaustive inquiries have been made into the character, antecedents, and qualifications of the applicants. Before appointment they undergo a course of training in the Training Depot, in which they are drilled and receive instruction in the duties they will be called upon to perform.

Appointments to vacancies in the higher ranks of the Force are made from those members of the next lower rank who have qualified by examination, efficiency, and seniority for such promotion.

Members who show an aptitude for detective duty are detailed for service in the Detective Branch, which is attached to each district headquarters and undertakes the investigation and detection of the more serious crimes.

Strength of Force.

In addition to the Commissioner, the strength of the Police Force on 31st March, 1944, was 1,634, a decrease of 6 during the year. The total was made up as follows: 6 superintendents, 18 inspectors, 7 sub-inspectors, 48 senior sergeants, 125 sergeants, 928 constables, 386 temporary constables, 12 senior detectives, 34 detective-sergeants, and 70 detectives. There were also 14 police surgeons, 33 policewomen, 8 matrons, 2 district constables, and 1 Native constable.

The following table shows the growth of the Police Force during the last eleven years.

As at 31st March,Officers.Non-commissioned Officers.Detectives.Constables.Totals.*Police to Population (including Maoris).Cost per Head of Population.
* Not including surgeons, police-women, matrons, &c.
       s.d.
193423124729921,2111 to 1,2805
193528127749901,2191 to 1,28157
193626123771,0001,2261 to 1,2845
193725127911,0121,2551 to 1,26563
193826145931,1641,4281 to 1,12376
193927148911,1731,4391 to 1,1297
194027149901,1911,4571 to 1,1267
194128155971,2291,5091 to 1,084711¼
1942291591051,3061,5991 to 1,0228
1943291751121,3241,6401 to 998810½
1944311731161,3141,6341 to 1,0069

Women Police.

By the Statutes Amendment Act, 1938, provision was made for the appointment of women police, it being enacted that the terms of the Police Force Act, 1913, shall apply to women appointees. The first 10 appointees completed their training and commenced duty in October, 1941. The present strength is 33, 16 being stationed in Auckland, 9 in Wellington, 4 in Christchurch, and 4 in Dunedin. These women police are attached to the detective staffs and do not wear uniform. Their duties consist mainly of investigating complaints in respect of women and children, and their work is confined largely to their own sex.

CRIMINAL CASES IN MAGISTRATES' COURTS.

Maoris are included in the statistics relating to Magistrates' Courts in the following pages, as well as in those for the Supreme Court and for prisons. Separate figures relating to offences by Maoris are given towards the end of this section. Children's Court cases are excluded, however, and will be found under the later heading“Juvenile Offenders.”

The following table shows the number of criminal charges dealt with in Magistrates' Courts during each of the last eleven years.

Year.Number.Per 1,000 of Mean Population.
Against Males.Against Females.Totals.Against Males.Against Females.Totals.
193342,1072,36844,47553.773.1328.89
193440,8302,74843,57851.773.6028.09
193541,3462,63443,98052.103.4328.15
193644,5122,56347,07555.663.3029.88
193747,7412,84250,58359.143.6331.81
193854,6583,00057,65867.003.7935.88
193957,3213,00860,32969.333.7537.05
194050,6602,56053,22061.573.1432.50
194143,8142,47846,29254.453.0028.38
194235,3532,71438,06744.103.2423.22
194334,2472,92137,16843.413.4522.72

The next table shows the results in all cases heard during each of the three years 1939–41, and similar information concerning distinct cases for the year 1941—i.e., counting only the principal offence in cases where a person is charged simultaneously with two or more offences. Owing to shortage of staff and other difficulties arising out of the war, it has not been possible to continue the compilation of detailed statistics for this and other tables relating to convictions, &c., in Magistrates' Courts beyond 1941.

Result of Hearing.Total Cases.Distinct Cases.
1939.1940.1941.1941.
Dismissed or withdrawn for want of prosecution or of evidence4,4534,0493,7322,536
Dismissed on the merits1,9441,4601,4071,115
Admonished and discharged34626156
Committed for trial426515428196
Committed for sentence1,1841,0241,028337
Summarily convicted52,28846,11039,63632,419
Totals60,32953,22046,29236,659

Summary Convictions.

The summary convictions for the year 1941 represent a rate of 24.30 per 1,000 of mean population. The figures for the latest eleven years available are as follows:—

Year.Number.Per 1,000 of Mean Population.
193140,37426.66
193240,59126.58
193336,04323.41
193435,75223.04
193536,23023.19
193639,51725.09
193742,72626.87
193849,65130.90
193952,28832.11
194046,11028.16
194139,63624.30

The great bulk of the cases dealt with in New Zealand are in respect of comparatively trivial offences — drunkenness and offences against traffic regulations usually accounting in recent years for over half of the total convictions. An analysis of traffic offences is given later in this section.

The following table gives the number of convictions in Magistrates' Courts during each of the latest five years available, classified according to some of the more common offences or groups of offences.

——1937.1938.1939.1940.1941.
Offences against the person581633703697592
Offences against property (including forgery)4,1914,3844,6525,1394,882
Drunkenness (including issue of prohibition orders)6,2587,0497,6616,9045,100
Offensive conduct or language, obstruction, &c. of police, and vagrancy1,1991,7061,7542,8642,434
Breaches of traffic regulations, &c.16,47323,20624,65218,50413,274
Other offences against good order1,7101,3621,4921,3112,336
Selling short-weight or adulterated foods, and other breaches of Sale of Food and Drugs Act163207154154226
Breaches of Licensing Act3,6393,3584,1773,8633,200
Breaches of Destitute Persons Act2,8383,0032,8812,3052,237
Breaches of Impounding Act503573674543314
Breaches of Arms Act273273239355118
Breaches of Employment Promotion and Social Security Acts1,221507108168267
Unlicensed wireless sets1,0769031,169612991
Other offences2,6012,4871,9722,6913,665
Totals42,72649,65152,28846,11039,636

Included in the“Other Offences”group for 1941 were 937 convictions for breaches of the National Service Emergency Regulations.

Punishment on Summary Conviction.

A table showing punishments following summary convictions for the year 1941 is now given.

Punishment.Offences against the Person.Offences against Property.*Good Order.Other Offences.Totals.
* Including forgery and offences against the currency.
Released under Offenders Probation Act168813844979
Convicted and discharged681,4871,9356654,155
Convicted and ordered to come up for sentence76636162109882
Committed to Borstal institution, Salvation Army Home, &c.61072722162
Fined2781,05019,2077,48828,023
Imprisonment in lieu of fine96024553367
Peremptory imprisonment1347554555561,900
Bound over5..3..8
Order made..71,0722,0813,160
Totals5924,88223,14411,01839,636

CRIMINAL CASES IN SUPREME COURT.

Criminal cases in the Supreme Court are of two classes—viz., 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. As previously mentioned, Maoris are included.

Year.Tried in Supreme Court.Sentences in Case of Committal for Sentence.Total Sentences.
Indictments and Informations.Convictions.
M.F.M.F.M.F.M.F.Totals. 
Total Cases
19396012428271,181191,463261,489
19405902328951,063371,352421,394
19417463130261,167211,469271,496
194251017238101,176361,414461,460
194353520268121,035631,303751,378
Distinct Persons
19392331514864041355219571
19402321214953821153116547
19412211213543891452418542
1942228911653261044215457
1943196911343532446628494

Of the 205 distinct persons indicted during 1943, 117 were convicted and 69 acquitted. Of the remainder, no bill was returned or the prosecution was otherwise not proceeded with in 16 instances, 1 person was found insane, and 2 wore awaiting trial at the end of the year.

The next table summarizes the offences of persons convicted or sentenced in the Supreme Court during each of the last five years.

Year.Total Convictions or Sentences.Distinct Persons convicted or sentenced.
Offences against the Person.Offences against Property.Forgery and Offences against the Currency.Other OffencesTotals.Offences against the Person.Offences against Property.Forgery and Offences against the Currency.Other OffencesTotals.
1939332973126581,4892103143413571
194037487371761,3942132772433547
1941358961115621,4962062752635542
194235796459801,4601992062230457
1943248960135351,3781602912518494

The following were the principal offences for which persons were convicted or sentenced in the Supreme Court during 1943:—

I.—PERSON

Murder2
Manslaughter2
Negligent driving causing death or bodily injury7
Assault18
Sexual offences106
Procuring abortion1
Bigamy20
Other4

II.—Property

Robbery2
Burglary32
Breaking and entering11.
Embezzlement19
Theft and receiving85
Fraud and false pretences26
Ar2
Other6

III.—FORGERY, ETC.

Forgery23
Forgery and uttering2

IV.—OTHER OFFENCES

Escaping from custody7
Breach of Licensing Act1
Perjury2
Rogue and vagabond2
Breach of War Emergency Regulations1
False declaration3
Other2

Seventy-eight Maoris were included in the 494 distinct offenders sentenced in the Supreme Court in 1943, and 344 others (including 22 women) were born in New Zealand. The birthplace was England or Wales in 24 cases, Scotland in 12, Northern Ireland and Eire in 4, and Australia in 23 cases.

Particulars of sentences imposed in the Supreme Court during 1943 are as follows: Released under the Offenders Probation Act, 122; ordered to come up for sentence, 15; fined, 13; imprisonment, 209; reformative detention, 92; detention in Borstal institution, 41. Two of those sentenced to imprisonment received, in addition, a term of reformative detention. Two others were awaiting sentence at the end of the year.

Of the offenders, 84 were under twenty years of age, 122 between twenty and twenty-five, 64 between twenty-five and thirty, 103 between thirty and forty, 78 between forty and fifty, 31 between fifty and sixty, and 12 sixty years or over.

By the Crimes Amendment Act, 1941, the death sentence for murder was abolished, life imprisonment with hard labour being substituted therefor. This amendment is an affirmation of governmental policy, all death sentences from 1936 onwards having been commuted to imprisonment for life. The same enactment also removed flogging and whipping from the list of sentences that may be imposed.

COURT OF APPEAL.

Under the provisions of the Judicature Amendment Act, 1913, the Court of Appeal consists of two divisions, called the First Division and the Second Division, each division consisting of five Judges of the Supreme Court, who are appointed as members of either division by the Governor-General in Council on the recommendation of three Judges of the Supreme Court, including the Chief Justice. The same division does not exercise the jurisdiction of the Court of Appeal at two successive sittings, but exercises its jurisdiction separately, except that in cases of importance involving special difficulty the Chief Justice and one other Judge may recommend, for the approval of the Governor-General in Council, that a joint sitting of both divisions be held. The Chief Justice or, in his absence, the senior Judge presides. The decision of the Court must be in accordance with the majority of the Judges present but, if the Judges present are equally divided in opinion, the judgment, &c., appealed from is deemed to be affirmed.

Under an amendment of 1933, special sittings of the Court of Appeal may be held at times and places appointed by Order in Council. This authority may be exercised only on a certificate of not less than three Judges (of whom the Chief Justice shall be one) that it is not expedient to delay hearing the appeal or other proceeding. For a special sitting any three or more Judges may exercise the jurisdiction of the Court.

In addition to the ordinary appeals from the Supreme Court, certain other proceedings arising in inferior Courts may, on an order of the Supreme Court, be removed into the Court of Appeal for argument. All decisions of the Court of Appeal are final unless leave is granted to appeal to His Majesty in Council (i.e., the Privy Council).

In criminal cases questions of law may be reserved by the Supreme Court for the Court of Appeal, and upon a refusal by the Court to reserve any question the person aggrieved may move the Court of Appeal for leave to appeal. Any person aggrieved may also (after conviction) apply to the Court of Appeal for a new trial upon leave being granted by the Supreme Court. Any person has now the right to apply to the Court of Appeal against a sentence passed in the Supreme Court where such person has been convicted upon an indictment or sentenced for any crime on a plea of“Guilty.”

During the five years 1939 to 1943 14 Crown criminal cases were brought before the Appeal Court. In 5 instances convictions were affirmed, in 6 cases the conviction was quashed, and in the remaining 3 cases a now trial was ordered. There were 73 civil appeals, of which 41 were allowed, and also 22 cases removed to the Appeal Court, resulting in 11 judgments for plaintiffs and 11 for defendants.

Particulars concerning applications during the last five years (1939 to 1943) for leave to appeal against sentences under the provisions of the Crimes Amendment Act, 1920, are: Applications filed, 235; granted, 69; refused, 166. Of the 69 cases in which leave to appeal was granted the sentence was varied in all except six as a result of the appeal.

PRISONS AND PRISONERS.

There are fourteen prisons and State reformatories and three Borstal institutions in New Zealand, as well as 22 minor prisons and police-gaols. In addition to these there are the police-stations which, under section 17 of the Statute Law Amendment Act, 1917, may be deemed to be prisons for any period (which must not exceed seven days) during which prisoners are detained there undergoing sentence.

On the 1st January, 1943, the various institutions had 1,064 persons under detention (males, 966; females, 98). During the year 4,622 were received (males, 4,304; females, 318) and 4,609 discharged or transferred (males, 4,280; females, 329). At the end of the year 1,077 (males, 990; females, 87) remained in confinement. The daily average number of persons in confinement during the year 1943 was 1,100 (males, 1,001; females, 99).

The 4,609 discharges during 1943 include 1,703 transfers of inmates to other prisons or to the police. Prisoners discharged on expiration of sentence numbered 1,768, 51 were released on bail, 509 were set free on the recommendation of the Prisons Board, and 460 released on special remission. Debtors discharged during the year numbered 49, and 21 prisoners were transferred to mental hospitals. Three prisoners died in prison during the year. The remaining 45 discharges, with the exception of 5 prisoners who absconded and were not retaken, represented persons who had been in prison on remand or awaiting trial, and notice of whose acquittal had been received.

The following table shows the number of persons in prison on 31st December of each of the last eleven years.

At 31st December,Persons in Gaol.Proportion per 10,000 of Population.
Undergoing Sentence.On Remand and awaiting Trial, &c.Total.Undergoing Sentence.Total in Confinement.
19331,410321,4429.119.32
19341,199371,2367.697.93
19351,112381,1507.087.33
1936915479625.776.07
1937790458354.935.21
1938777318084.804.99
1939895399345.455.69
1940863328955.285.48
1941988271,0156.066.22
19421,034301,0646.316.49
19431,024531,0776.266.58

In the following table persons in confinement at the end of each of the last five years are classified according to nature of sentence.

Year.Hard Labour or Simple Imprisonment.Habitual Criminals.Detained for Reformative Purposes.Detained in Borstal Institution.On Remand, awaiting Trial, &c.Totals.
Under Three Months.Three Months and under One Year.One Year and over.

* Includes two debtors.

† Includes one debtor.

1939781692872816416939934
1940881532502416118532895*
19411571972812014918327l,015
194211820434215132223301,064
19438719332922154239531,077

The total number of new receptions—counting each person once every time received—in the various institutions during the year 1943 was 4,622 (males, 4,304; females, 318), as compared with 5,216 (males, 4,926; females, 290) in 1942. Thirty persons were in prison awaiting trial or sentence at the beginning of the year, thus bringing the gross total of receptions up to 4,652. When allowance is made for persons awaiting trial or sentence, or for debtors and insane persons received, transfers between institutions, multiple receptions, acquittals, &c., the residual figure represents the number of distinct prisoners received under sentence for criminal offences. The net total under this heading in 1943 was 2,482 (males, 2,319; females, 163), a decrease of 547 as compared with the previous year. Of the total of 2,482, 523 were Maoris (males, 477; females, 46).

Analysing the distinct receptions according to nature of sentence, 2,090 prisoners were sentenced to hard labour or simple imprisonment, 111 to reformative detention, 222 to Borstal detention, 29 to hard labour and defaulter's detention, 21 to hard labour and reformative detention, 5 to defaulter's detention, and 4 were declared habitual criminals and sentenced to hard labour or reformative detention. One prisoner (included in the foregoing) was given a life sentence of imprisonment.

The number of distinct persons received into prison under sentence of imprisonment daring the last eleven years, with the proportion per 10,000 of mean population, is given in the next table. Debtors and insane persons received into gaol have been omitted.

Year.Number.Per 10,000 of Population.
19332,73117.74
19342,37615.31
19352,15813.81
19361,79011.36
19371,99112.52
19382,22413.84
19392,50515.38
19402,20113.44
19412,36914.53
19423,02918.47
19432,48215.17

The exceptionally large increase in the number of persons sent to prison during the year 1942 was accounted for by the committal or transfer of over 500 military defaulters to prison, and approximately 400 persons involved in industrial disputes. There were no imprisonments under the latter heading in 1943, while the number of military defaulters committed to prison fell to 39, most of whom were transferred from detention camps.

Ages and offences of distinct persons received into prison under sentence during 1943 are summarized in the next table.

Age, in Years.Offences against the Person.Theft and other Offences against Property.DrunkennessVagrancy.Other Offences.Totals.
Sexual Offences.Assaults.Other.
15 and under 201010323143066354
20 and under 2512338321642217639
25 and under 3010317144720177396
30 and under 40232681831023217490
40 and under 50181141322324151363
50 and under 6095254203155176
60 and over441168161564
Totals86120331,081781868982,482
Maoris (included above)183882851247115523

The final table of this category supplies statistics of ages and previous convictions of distinct persons received into prison under sentence during 1943.

Age, in Years.Number of Previous Convictions.Total previously convicted.Not previously convicted.Total Distinct Prisoners.*
One.Two.Three.Four.Over Four.
* Including 284 cases where no Information was given as to previous convictions (If any).
Under 2111555211565271186483
21 and under 25585220309725746510
25 and under 3041312015102209176396
30 and under 4048253623166298167490
40 and under 5025321512157241109363
50 and under 6016123810013935176
60 and over483136521264
Totals3072151181047231,4677312,482

BORSTAL INSTITUTIONS.

Included among the 1,024 prisoners undergoing sentence at the 31st December, 1943, were 239 persons (193 males, 46 females) detained in Borstal institutions under the provisions of the Prevention of Crime (Borstal Institutions Establishment) Act, 1924. This Act, which is an adaptation of Part I of the Prevention of Grime Act, 1908 (Imperial), as amended by the Criminal Justice Administration Act, 1914, is designed to prevent crime, and provides for the detention of young offenders in a special class of reformative institution. An offender between the ages of fifteen and twenty-one years (twenty-three in certain cases), who would otherwise be liable to sentence of imprisonment by the Supreme Court or sentence of imprisonment of not less than one month by a Magistrate, may be made the subject of an order of detention of from two to five years by a Judge of the Supreme Court, and from one to three years by a Magistrate, without a conviction being recorded in the latter case. Inmates (if not over twenty-five years of age) may be transferred from prisons, reformatory homes, State reformatory institutions, and institutions under the Child Welfare Act, 1925, to Borstal institutions, and from Borstal institutions to prisons. The Minister of Justice has power to release an offender undergoing detention on condition that he is placed under the supervision or authority of a probation officer, or of a society or person (to be specified) who may be willing to take charge of the case.

PRISONS BOARD.

For the purposes of the Crimes Amendment Act of 1910 there is constituted a Prisons Board, the members of which are appointed by the Governor-General in Council for a period of three years, and may be reappointed. As at present constituted, the Board consists of a Judge of the Supreme Court, as President, and six other members. It is the duty of the Board to make inquiry from time to time as to whether there is reasonable cause for belief that any habitual criminal, habitual offender, or other person under sentence of imprisonment or reformative detention is sufficiently reformed to be released on probation or discharged, or for granting discharge to any person who has been released on probation; and to make recommendations as to the release or discharge of any habitual criminal, habitual offender, or other person under sentence of imprisonment or reformative detention, and as to the conditions which may be imposed on any such release or probation. The Board is required to take into consideration, at least once a year, the case of every habitual criminal, habitual offender, or person under sentence of reformative detention. Other classes of prisoners may not apply for and are not entitled to consideration until they have served at least half the sentence (or five years in the case of those sentenced to terms exceeding ten years), and no case is to be considered until six months after the date of reception of the prisoner into prison.

The following table shows the number of cases considered by the Board during each of the last five years.

Year.Borstal Detention.Reformative Detention.Hard Labour.Habitual Criminals and Offenders.Habitual Criminals for Remission of Hard Labour.Probationers for Discharge from Probation or Variation of Terms.Totals.
Crimes Amendment Act.Offenders Probation Act.
193929827733758119391,029
194030833627757515271,025
194140230326239414171,041
19423332372834121720933
194337325427335..913957

Of the cases considered in 1943, recommendations were made for release on probation in 501 cases, and for discharge from prison in 20 cases. Ten probationers under the Offenders Probation Act were ordered to be discharged, while in 2 cases the terms of probation wore modified. Twenty-four petitions were declined, while the remaining 400 cases were deferred.

PROBATION.

Legislation on this subject dates from 1886. Under the Offenders Probation Act of 1920 probation may be granted for“any offence punishable by imprisonment, whether on indictment or otherwise.”Formerly there were numerous important exceptions. The maximum period of probation was fixed in 1920 at five years.

The conditions of release on probation include the necessity for a person on probation to report to the Probation Officer on specified days not more than one month apart, arid to notify his address and any change of address. The nature and place of his employment must be made known to and be approved of by the Probation Officer, and he must not commit any offence against the law. The Probation Officer may warn him not to associate with any particular person or class of persons.

A breach of the conditions of the probationary license renders the offender liable to imprisonment or fine, and in addition he may, in respect of the original offence, be either committed to prison or again released on probation.

The following figures are taken from successive returns prepared by the Chief Probation Officer.

Year.Number admitted to Probation.
1933620
1934664
1935605
1936585
1937636
1938715
1939942
1940902
1941709
1942637
1943896

The following table gives the ages and terms of probation of offenders dealt with under the provisions of the Act during the year 1943.

Age, in Years.6 Months or under.1 Year.18 Months.2 Years.3 Years.4 Years.5 Years.Totals.
Under 20812253159221..365
20 and under 2581003184131..237
25 and under 3033213308....86
30 and under 408511825141..117
40 and under 5032271331150
50 and under 603124721..29
60 and over..624......12
Totals333451283226251896

JUVENILE OFFENDERS.

Under the provisions of the Child Welfare Act, 1925, offences committed by juveniles are dealt with by Magistrates in special Courts. The Child Welfare Amendment Act, 1927, altered the definition of“child”to cover persons under seventeen years of age, instead of sixteen as formerly. Cases dealt with in Children's Courts are not now included in the statistics relating to Magistrates' Courts, and it is not the practice to enter a conviction against juvenile offenders. During 1943 there were 4,840 cases dealt with in Children's Courts, of whom 4,262 were males and 578 females.

Detailed statistics for Children's Court cases during each of the five years 1937–41 are as follows. Detailed figures for later years are not available.

Result of Hearing.1937.1938.1939.1940.1941.
Dismissed or withdrawn for want of prosecution or evidence15614513711873
Dismissed on the merits10893445347
Admonished and discharged1,9861,6242,1562,2881,646
Committed for trial or sentence..1....3
Released under Offenders Probation Act816132125
Ordered to come up for sentence4558202735
Committed to care of Child Welfare Superintendent637739796906658
Placed under supervision of Child Welfare Officer1,1871,4531,5461,5071,141
Committed to an institution under Child Welfare Act473534653
Committed to Borstal institution, Salvation Army Homo, &c.3167762665
Fined284301275188199
Order made12113430
Totals4,5014,5435,1005,1443,975

Very few juvenile cases find their way to the Supreme Court, and, beyond the information disclosed by the Children's Courts returns as to committals for sentence or trial, no statistics of such cases in the higher Court are available. Statistics of ages of persons sentenced show, however, that no persons under seventeen years of age were sentenced in the Supreme Court during 1941.

Twenty-three distinct persons (including four females) under seventeen years of age were received into Borstal institutions during 1941.

OFFENCES BY WOMEN.

Of the 42,008 criminal charges dealt with in the Magistrates' Courts in 1943, 3,499, or 8.3 per cent. were against females. During the war period the number of charges against males has fallen substantially, the decrease between 1939 and 1943 amounting to 18,812, or 32.8 per cent., whereas charges against females increased by 491, or 11.6 per cent. Detailed statistics of convictions are not available for years subsequent to 1941, but the most common offences for which summary convictions were made in that year were as follows:—

Common assault23
Attempted suicide44
Theft414
Fraud and false pretences32
Drunkenness155
Vagrancy22
Breaches of traffic regulations624
Offensive conduct or language62
Breaches of by-laws, &c.54
Unlicensed wireless sets215
Application for prohibition order43
Breaches of prohibition orders15
Other breaches of Licensing Act150
Allowing horses, cattle, &c., to wander23

The Supreme Court statistics show that 20 indictments against women were dealt with during 1943, resulting in 12 convictions, representing 4 different persons. In addition, 24 women were sentenced after committal for sentence in respect of 63 offences.

The number of distinct females received into prison under sentence during 1943 was 163, the principal offences of these being—vagrancy, 65; theft, 39; keeping a. brothel, 12; breach of Social Hygiene Regulations, 10; selling liquor without a license, 8; and breach of probation, 4.

Two reformatories (at Addington and Tawa Flat (near Wellington)) house women prisoners only. There is also a Borstal institution at Tawa Flat for women only.

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 Census of 1936, 3.92 per cent. of the total population of the Dominion aged fifteen and over were Maoris (i.e., full, three-quarter, or half-caste).

The number of summary convictions of Maoris brought before Magistrates' Courts for the five years 1937–41 is shown in the next table.

Year.Class of Offence.Percentage of Total Convictions in Magistrates Courts.
Against the Person.Against Property.Against Good Order.Other Offences.Totals.
Drunkenness.*Other.
* Excluding prohibition-order cases.
19371006234949296672,8136.25
19381264745021,1176512,8705.78
19391314985991,1497083,0855.90
19401235296066478852,7906.05
19411397025859867103,1227.88

The 3,122 convictions entered against Maoris during 1941 related to 2,302 distinct offenders.

The total number of Maoris convicted and sentenced in the Supreme Court during the five years 1939–43 was 394, or 15.1 per cent. of the total of 2,616. Of 78 Maoris convicted or sentenced during 1943 (15.8 per cent. of the total of 494) 35 were for offences against the person (including 14 for unlawful carnal knowledge), and 34 for property offences (including 30 for burglary and breaking and entering). Seventy-one of these were sent up from the Magistrates' Courts for sentence, the remaining 7 having been tried and convicted in the Supreme Court.

The number of distinct Maoris received into prison under sentence during 1943 was 523 (21.1 per cent. of the total committals). Forty-six females are included in this figure. Corresponding figures for 1942 were 450 (401 males and 49 females).

DRUNKENNESS.

The extent to which convictions for drunkenness swell the total of convictions in Magistrates' Courts is obvious from the information given earlier in. this section. The number of convictions for drunkenness, including drunkenness with disorderly conduct, drunk in charge of vehicle or of horse, and habitual drunkenness, during 1941 totalled 5,100 (males, 4,945; females, 155). It is of interest to note that in 1895 the proportion of convictions for drunkenness per 1,000 of the mean population was 6.5, while in 1941 the proportion was 3.1.

The convictions for drunkenness in 1941 represent 12.8 per cent. of the total convictions during the year. In addition, there were 1,041 technical convictions in cases of applications for the issue of prohibition orders. Prohibition-order cases are not included in the following table, which shows the number of convictions for drunkenness recorded, and the proportion per 1,000 of the mean population of each sex, during each of the five years 1937–41.

Year.Convictions for Drunkenness.Per 1,000 of Mean Population.
Males.Females.Totals.Males.Females.Totals.
19374,8751575,0326040.203.16
19385,5671795,7466.820.233.58
19396,2741676,4417.590.213.96
19405,7521705,9226.990.213.62
19414,9451555,1006.150.193.13

Repeated charges against the same person are included in the totals shown in the preceding table.

Any person who has been three times convicted for drunkenness within the nine-months immediately preceding any conviction for drunkenness may be declared an. habitual drunkard, the number of such declarations during 1941 being 15 (12 males and 3 females). A Magistrate may, in addition to or in lieu of a penalty, commit an habitual drunkard to any institution authorized by the Governor-General to receive and detain such persons for any period of not less than twelve months.

The sentences in the 5,100 convictions for drunkenness during the year were Fined, 3,480; imprisonment in lieu of fine, 227; peremptory imprisonment, 196; committed to Salvation Army Home or other such institution, 20; convicted and discharged, 1,133; released under Offenders Probation Act, 4; other sentences, 40.

TRAFFIC OFFENCES.

The number of traffic offences dealt with in the Magistrates'Courts during 1941 was 15,107, convictions being entered in 14,141 instances. Comparative figures for 1940 were 20,774 and 19,528 for cases and convictions respectively. The more serious cases involving death or injury are, as a rule, sent on to the Supreme-Court for trial or sentence. Fifty-seven such cases were sent forward in 1941 as compared with 62 in 1940. During 1941, 31 persons were sentenced in the Supreme Court for offences of this type. Following a long period of rapid growth in road transport, and a corresponding increase in breaches of traffic regulations, the figures for 1940 and 1941 reveal a substantial drop in the number of minor traffic offences, undoubtedly a reflection of the restrictions imposed on the use of motor-spirits and tires.

During the five years 1935–39, convictions for traffic offences increased by 11,485, or 80.7 per cent., while the number of motor-vehicles licensed increased by 107,337, or 53.5 per cent., during the same period. As stated above, however, convictions for this class of offence decreased considerably in the subsequent two years. They showed a decline of 6,387, or 27.5 per cent., during 1941, and since 1939 a decrease of 11,582, or 45.0 per cent. Nevertheless, traffic offences constituted a high proportion of cases dealt with in the Magistrates' Courts in 1941, no less than 35.7 per cent. of total convictions being on this account.

The following table shows convictions in Magistrates' Courts for traffic offences during the five years 1937–41.

Offence.1937.1938.1939.1940.1941.
Failing to stop motor-vehicle after accident involving bodily injury4........
Unlawfully converting vehicle to own use325372384471430
Drunk in charge of motor-vehicle573685670533419
Drunk in charge of other vehicle1516172018
Excessive speed in motor-vehicle1,5872,8553,3892,4671,384
Negligent or dangerous driving of motor-vehicle3,7124,5234,6243,2831,678
Negligent or dangerous driving of other vehicle548426451467295
Breaches of regulations for the lighting of vehicles2,4382,3012,3581,8541,391
Offences relating to the registration, &c., of motor-vehicles4,2654,3172,3071,938759
Offences relating to driver's license2,2791,9841,902
Breaches of parking regulations2,1613,5473,4981,7791,432
Other traffic offences1,7625,2375,7464,7324,433
Totals17,39024,27925,72319,52814,141
Convictions per 1,000 of mean population10.9415.1115.7911.938.67

Most convictions in the lower Courts are for comparatively trivial offences, and are usually dealt with by fine. Unlawful conversions and intoxication in charge, however, often incur the penalty of imprisonment.

OFFENCES REPORTED TO THE POLICE.

So far all criminal statistics in this section relate to offenders who have been brought before the Courts, no account being taken of those cases where offences have been reported to the police but in which no arrest or summons resulted.

The following figures relating to offences reported are taken from the reports of the Police Department for the years 1939–43.

Year.Number of Offences reported.Offences In which Arrests or Summonses resulted.
Number.Percentage of those reported.
193946,37843,16293.07
194045,00941,61992.50
194138,55935,89693.09
194234,60830,79088.96
194333,19228,72286.53

It will be seen that, in cases where a crime is definitely established as such and reported to the police, an arrest or summons usually follows. The proportion of arrests and summonses varies with the offence, however, offences against the person, as might be expected, yielding a much higher proportion of arrests or summonses than offences against property, in which detection of the lawbreaker is relatively more difficult.

The following table shows, in respect of some of the principal offences, the number of offences reported during the last four years, and the number of arrests and summonses which resulted.

Offences.1940.1941.1942.1943.
Reported.Resulting in Arrest or Summons.Reported.Resulting in Arrest or Summons.Reported.Resulting in Arrest or Summons.Reported.Resulting in Arrest or Summons.
Murder and attempts551111641916
Manslaughter66774388
Negligent driving causing death or injury5350494620192727
Attempted suicide7473595970697674
Assaults, wounding, &c.809782788765726693692660
Sexual offences440406342323428411334312
Robbery, breaking and entering, theft and receiving9,8787,4808,7706,90710,0527,16911,4407,859
Forgery, embezzlement, and fraud1,010961875819697642724693
Arson and attempts6661262511101110

Chapter 8. SECTION 8.—DEFENCE

THE ARMY.

—In peace-time the New Zealand Military Forces are raised, maintained, and organized under the provisions of the Defence Act, 1909, as amended by the Defence Amendment Acts of 1910, 1912, 1915, and 1931. They are divided into the Regular Force and the Territorial Force.

The Regular Force is maintained in order to provide commanders and staffs at the various headquarters and military establishments; adjutants, instructional staff, and instructional cadres for the Territorial Force; nucleus garrisons for the fixed defences; and maintenance and administrative staffs at ordnance depots. It is raised by voluntary enlistment, and corresponds to the Regular Army in Great Britain.

The Territorial Force is maintained for the defence of New Zealand, and is so organized that on mobilization it will be capable of forming the field army and fortress troops required for that purpose. It is raised on the basis of voluntary service (supplemented during the present war by men called up by ballot), and corresponds broadly to the Territorial Army in Great Britain.

Since the outbreak of the present war an Expeditionary Force (designated Second New Zealand Expeditionary Force) has been formed for service within or beyond New Zealand, under the Expeditionary Force Emergency Regulations 1940.

Liabilities and Terms of Service.

Regular Force.—The engagement of personnel in the Regular Force is voluntary. The original period of engagement is for eight years, at the end of five years' service a soldier may be re-engaged (his engagement to terminate on his reaching the age of fifty-five years), or he may transfer to the Reserve for the remainder of his original engagement of eight years. During the first five years' service any soldier who is not on active service may purchase his discharge, but in that case he will be enrolled in the Reserve and be liable to be called up at any time during the remainder of his original engagement. Extension of service up to sixty years of age may be permitted, if necessary, to enable the soldier to qualify for pension. To meet the exigencies of the war, the Regular Force has been augmented by appointing, on a temporary basis for the duration of the war, a number of officers and other ranks for staff and other duties.

Territorial Farce, Cadets, and Militia.—The Defence Act, 1909, and amendments provide that all male inhabitants who have resided in New Zealand for six months and are British subjects are liable to be trained as follows:—

  1. From fourteen to seventeen years of age, in the Senior Cadets.

  2. From eighteen to thirty-five years of age (or such less age as may be prescribed), in the Territorial Force; but any member of the Territorial Force who has been classified as efficient for three consecutive years may be posted to the Territorial Force Reserve.

  3. From the date of posting to the Territorial Force Reserve to forty years of age, in the Reserve.

Training in Peace-time.—From 1st October, 1930, to 22nd July, 1940, the compulsory provisions of the Defence Act were in abeyance, and enlistment and training in the Territorial Force was purely voluntary. Recruits for the Territorial Force voluntarily engaged to serve for three years. Men were permitted to extend their service up to the age of thirty-two years, and W.O.s, N.C.O.s, and specially selected men for a further period of three years.

The only Cadets trained are those at secondary schools, practically every such school having a Cadet unit, service in which is entirely voluntary.

Liability for Compulsory Service in War.—In time of war all male inhabitants between the ages of seventeen and fifty-five (with certain exceptions mentioned in the Act) are liable to serve in the Militia. The Militia, when embodied, becomes part of the Defence Forces. Both the Territorial Force and the Militia are liable to serve in any part of New Zealand. On the 22nd June, 1942, the National Service Emergency Regulations were amended to provide that every male member of any armed force shall be liable as such member to serve wherever he is required, whether in New Zealand or elsewhere. As a matter of policy, however, no soldier under the age of twenty-one years is permitted to serve beyond New Zealand.

Special War Legislation.—The National Service Emergency Regulations 1940 provide for the calling-up of men for service in the armed forces. Under these regulations the formation of a General Reserve was authorized, every person resident in New Zealand over the age of sixteen years becoming automatically a member of that Reserve. The Reserve consists of three Divisions, as follows:—

First Division: All male reservists who are natural-born British subjects and who for the time being are unmarried within the meaning of that term as prescribed and have attained the age of eighteen years but have not attained the age of forty-six years, with the following exceptions:—

  1. Members of any armed force who are liable as such members for service outside New Zealand.

  2. Men who have been discharged in consequence of disablement or ill-health from any armed force after service in that force outside New Zealand during the present war.

  3. Men undergoing a sentence of imprisonment for a term not less than one year, or in confinement as of unsound mind.

  4. Natives within the meaning of the Native Land Act, 1931.

  5. Men who have been called up for service with the armed forces and whose appeals have been allowed on the ground that they conscientiously object to serving with the armed forces.

  6. Men who have been declared by a Medical Board to be permanently medically unfit for service with the armed forces.

Second Division: All male reservists who are natural-born British subjects and who for the time being are married within the meaning of that term as prescribed and have attained the age of eighteen years but have not attained the age of forty-six years, with the exceptions specified in paragraphs (a), (b), (c), (d), (e), and (f) above.

Third Division: All other reservists.

Consequent upon the coming into force of the National Service Emergency Regulations 1940, voluntary enlistment for the Territorial Force and the Second New Zealand Expeditionary Force closed on the 22nd July, 1940, and from that date service was made compulsory. All men enlisted as the result of being called up by ballot under the National Service Emergency Regulations are required to serve for the duration of the war and twelve months thereafter, or until lawfully discharged.

Application of the Army Act.—Members of the Regular Force and officers of the Territorial Force are subject at all times to military law as established by the Army Act, except where it is inconsistent with the Defence Act, while other ranks of the Territorial Force in time of peace are so subject only when undergoing training. In time of war, however, all members of the Defence Forces are subject to military law at all times, with the limitations mentioned above. The members of the Second New Zealand Expeditionary Force, while in New Zealand, are subject to the provisions of the Defence Act as if the Expeditionary Force were part of the Territorial Force, but when overseas are subject to the Army Act, except that the death penalty may not be carried into effect without the concurrence of the Governor-General.

Command and Administration.

—The War Cabinet is responsible for controlling the Dominion's war effort. The Minister of Defence controls and administers the three fighting services through the medium of the Department of Defence, which is divided for the purpose into:—

The Navy Department:

  • The Army Department:

  • The Air Department.

The Army Board and Army Headquarters.—The Army Board is responsible for the command, training, and administration of the New Zealand Military Forces, and consists of:—

  • The Minister of Defence (President):

  • The Chief of the General Staff (First Military Member):

  • The Adjutant-General (Second Military Member):

  • The Quartermaster-General (Third Military Member):

  • The Army Secretary (Member).

Army Headquarters, which is the counterpart in New Zealand of the War Office in the United Kingdom, is organized as follows:—

  • The Branch of the General Staff:

  • The Branch of the Adjutant-General:

  • The Branch of the Quartermaster-General:

  • The Finance Branch.

The Military Districts,—New Zealand is divided into three military districts (Northern, Central, and Southern), with headquarters at Auckland, Wellington, and Christchurch respectively. Each military district is under the command of a senior officer of the Regular Force, who is provided with a suitable staff. Each military district is divided into four Areas. In peace-time an officer of the Regular Force is in charge of each Area, and is responsible for the inspection, training, and administration of both Territorial and Cadet units within his area and for general administration in connection with recruiting, &c.

Composition.

—(a) The Regular Force.—The Regular Force consists of:—

  • The New Zealand Staff Corps:

  • The New Zealand Permanent Staff:

  • The Royal New Zealand Artillery:

  • The New Zealand Permanent Army Service Corps:

  • The New Zealand Army Medical Corps:

  • The New Zealand Army Ordnance Corps.

[Note.—Officers of the New Zealand Staff Corps are liable to be posted for staff or instructional purposes to any arm of the service, and are trained accordingly.]

(b) The Territorial Force Reserve.—The Territorial Force Reserve is composed of those who served efficiently for three years in the Territorial Force and are under the age of forty-one years.

Training.

The Regular Force.—All ranks of the Regular Force are required to assist in the training of the Territorial Force, and provide in certain cases a permanent nucleus thereof. The officers of the Regular Force undergo the same examinations for promotion, and candidates for the staff colleges the same entrance examinations, as British Regular officers.

In addition to specialist courses, refresher courses are held from time to time for the benefit of officers studying for their promotion examinations.

The Territorial Force.—In peace-time the annual training prescribed for all units of the Territorial Force consisted of:—

  1. Annual training camp—Mounted Rifles (now known as Armoured Regiments) and Coast Regiments, ten days; other arms and services, six days:

  2. Out-of-camp training (at week-end bivouacs)—Mounted Rifles and Coast Regiments, four days; other arms and services, eight days.

Attendance at a six days' course of instruction at the Army or a District School of Instruction is authorized in addition to the annual training prescribed.

There are obligatory courses in camp lasting one week for Majors, Captains, and Lieutenants who are preparing for their promotion examinations.

As a war measure practically all units were mobilized for varying periods.

The Territorial Force Reserve.—Officers of the Territorial Force Reserve are liable to be called upon to attend a camp of instruction with their unit triennially, but these officers have not been called up since 1930. Other ranks do no training at all. Since the outbreak of the present war this Reserve has been considered as non–existent.

The New Zealand Staff College.—This was established in October, 1941, for the purpose of training officers for Staff appointments. The college was closed on 31st March, 1944.

The Armoured Fighting Vehicles School.—At this establishment instruction was given in the operation of all classes of armoured fighting vehicles used in modern warfare. This school is now closed.

School of Artillery.—This was an offshoot of the Army School, necessitated by the expansion of the Artillery arm of the service. Instruction at this school embraced field, anti-aircraft, and coast artillery. It is now absorbed into the Artillery Training Regiment at Trentham Camp.

Military Establishments.

The Army School of Instruction.—In peace-time the Army School of Instruction provides for refresher and specialist courses for officers and other ranks of the Regular Force, besides courses in tactics, staff duties, &c., for senior officers of the Territorial Force. All recruits for the Regular Force also receive their training at this school.

From the outbreak of the present war until the end of 1942 the school devoted most of its efforts towards the selection and training of officers for overseas, and latterly, to a greater extent, for the Territorial Force. Since the beginning of 1943 this activity has ceased and the main effort is now directed to the training of specialists and tradesmen for Second New Zealand Expeditionary Force reinforcements—e.g., Engineers, Signals, Army Service Corps, instrument mechanics, motor mechanics, and allied trades.

District Schools of Instruction.—Each military district has a small training-school at which are held all courses essential for the military education of the junior officers of the Territorial Force and secondary school Cadets.

[Note.—There is no military college in New Zealand corresponding to the Royal Military Colleges at Sandhurst, Kingston, and Duntroon, but cadets are sent to the last mentioned (in Australia). Under peace-time conditions these cadets, after completing their courses and receiving their commissions, are sent abroad for further training, but during a state of war this practice is suspended, and the newly-appointed officers are utilized to the best advantage either in New Zealand or overseas.]

Officers' Training Corps.—The only Officers' Training Corps in New Zealand in peace-time is the Otago University Medical Company, which consists of medical and dental students.

Home Guard.

—This is a wartime organization which was established under the Emergency Reserve Corps Regulations 1940, and constituted a part of the Defence Forces on the 30th July, 1941, by the Defence Emergency Regulations 1941. It forms a second line of defence to the Territorial Force. Training in the Home Guard is compulsory, and the members are subject to the same regulations as the Territorial Force, except where such regulations are modified by Army Orders. The Home Guard was placed on a reserve basis on 31st December, 1943.

National Military Reserve.

—The National Military Reserve was formed in May, 1939, but in 1942 was merged with the Territorial Force or the Home Guard according to the physical fitness of the members,

Women's Army Auxiliary Corps.

—In 1942 this organization was authorized by the Government as an auxiliary to the Military Forces. Enlistments are made for service both in New Zealand and overseas with the Second New Zealand Expeditionary Force. The Overseas Section consists of the Hospital Division and the Welfare Division. In New Zealand the members of this Corps are employed as clerks, cooks, waitresses, kitchen-hands, and in duties similar to those performed overseas, while others are employed in replacement of certain personnel in units of the Territorial Force and at training establishments.

Cadets.

—As from 1st January, 1945, the Cadets have ceased to be organized in battalions, and now each school has its own Cadet unit designated according to the name of the school.

The annual training approximates thirty drills of one and a half hours' duration, including a musketry course and a “barracks” lasting five days. Annual courses of instruction for officers and N.C.O.s are held at District Schools of Instruction.

Rifle Clubs.

—Rifle clubs exist for the purpose of encouraging individuals who are not members of the Naval, Military, or Air Forces, to learn to shoot. They are affiliated to, but do not form part of, the Territorial Force. All British subjects over the age of eighteen years are eligible to join. A free issue of 100 rounds of ammunition is made to all members, who fire and qualify in the annual musketry course prescribed, and a further 100 rounds to those who qualify as marksmen. Other ammunition is provided at quarter-cost. As a war measure the activities of Defence Rifle Clubs have for the time being ceased, and the grant of concessions in the matter of ammunition is consequently suspended.

Expeditionary Forces.

—New Zealand supplied ten contingents for service during the South African War, comprising a total of 6,500 officers and men.

Immediately the Great European War of 1914–18 broke out an Expeditionary Force was despatched to Western Samoa and occupied those islands, while a larger force in the form of a mixed brigade was despatched to Europe. The latter force was, however, landed in Egypt, and took part in the defence of the Suez Canal. It gave a good account of itself in the. desperate campaign on Gallipoli, and after being withdrawn to Egypt was expanded into a Division and a Mounted Brigade. The Division then went to the western front, while the Mounted Brigade continued to operate in Palestine. Both forces became famous for their military qualities, and took part in practically all the great actions of their respective theatres up to the Armistice.

A total of 98,950 troops left New Zealand for service with the New Zealand Expeditionary Forces, and, of these, 16,697 lost their lives on active service. In addition to the 98,950 of all ranks of the New Zealand Expeditionary Forces, 944 British Army Reservists, British Naval Reservists, and others left the Dominion to rejoin their units in the United Kingdom or in a theatre of war. It is also known that 3,370 (not included above) left New Zealand during the period of the war and joined units of the British Forces or the Expeditionary Forces of other Dominions.

On the Armistice being declared in November, 1918, New Zealand had 52,000 troops in the field, while 10,000 more were ready to embark or were under training.

The tremendous amount of transport work involved in the conveyance of these forces to Egypt, France, Britain, Gallipoli, and Samoa was carried out with extraordinary success, not one New Zealand transport having been lost while conveying troops.

The troops provided for foreign service represented nearly 10 per cent. of the total population of the Dominion in 1914, and over 40 per cent. of the male population between the ages of twenty and forty-five years. These percentages do not take into account New-Zealanders who served in the British or Australian Naval or Military Forces.

The Second New Zealand Expeditionary Force, which was formed shortly after the outbreak of the present war, is serving overseas.

Up to 31st January, 1945, a total of 114,940 all ranks, men and women (see note below), had embarked from New Zealand for service with the Second New Zealand Expeditionary Force in various theatres of the war.

Since the advance party for the First Echelon left Now Zealand in December, 1939, a total of 72,368 all ranks (up to 31st January, 1945) has embarked to join the 2nd Division in the Middle East, and of these 23,802 had returned to New Zealand by that date. The Division's casualties include 5,951 deaths, comprising killed in action and died as a result of wounds, accidents, or sickness.

The 3rd Division, formed in 1942, saw service in the Pacific, and on its return to New Zealand last year was disbanded. A total of 20,206 embarked with this force; its casualties included 148 deaths.

In 1940 it was decided to despatch a garrison force to Fiji. For service with this force 15,180 all ranks left New Zealand, but reliefs for the original garrison account for almost half this number. Many of the members of the first garrison who returned to New Zealand subsequently embarked for the Middle East. The garrison returned to New Zealand in 1942 and formed the nucleus of the 3rd Division. A small force is still serving in Fiji.

Other Pacific Islands for which New Zealand has supplied garrisons are Tonga. Norfolk, and Fanning. The number of men despatched to serve in Tonga was 2,737, of whom 706 subsequently re-embarked to join the 3rd Division, and 2,001 have returned to New Zealand. There is a small force still on this island. Embarkations for Norfolk totalled 2,738, of whom 1,268 later joined the 3rd Division and 1,465 returned to New Zealand. Some of the units garrisoning these two islands were formed from Grade II men—i.e., men whose medical grading did not reach the standard normally required for overseas service.

Embarkations from Now Zealand to the United Kingdom (2nd N.Z.E.F. only) total 382. These embarkation figures do not include the troops of the Second Echelon who served in the United Kingdom before joining the rest of the 2nd Division in the Middle East. There have been 21 deaths among N.Z.E.F. personnel serving in this theatre.

(Note.—All the foregoing figures have been compiled up to 31st January, 1945. It should be pointed out that the total of 114,940 embarkations does not represent the actual number of men and women who have served outside New Zealand with the Second Now Zealand Expeditionary Force, as it is possible for one man to be included more than once in this total.)

THE NAVY.

—The Naval Forces of the Dominion are administered by a Naval Board consisting of the Minister of Defence as Chairman, a Captain (Royal Navy) as First Naval Member with the rank of Commodore, a Commander (Royal Navy) as Second Naval Member with the rank of Captain, and a Commander (S) (Royal Navy) as Naval Secretary and member with the rank of Captain (S).

The First Naval Member also holds office as Chief of Naval Staff. The Admiralty have vested in him the charge and direction of Imperial ships and Imperial Naval interests on the New Zealand station. As a temporary measure for the duration of the war, the appointment of Commodore Commanding New Zealand Squadron is in abeyance.

His Majesty the King in September, 1941, graciously approved the proposal that the New Zealand Naval Forces should be designated “The Royal New Zealand Navy.” This honour is greatly appreciated, for it implies a recognition of the war services of our Naval Forces, covering not only the trained personnel loaned from the Royal Navy, but also those officers and men who entered the Service as New-Zealanders and of whom the Service at the present time predominantly consists.

On 7th February, 1942, the combined naval forces of the Australian and the New Zealand areas were established under a single command, which, by agreement with the United States of America, was exercised by Vice-Admiral H. F. Leary, United States Navy, with the title of Commander, Anzac Forces.

Later in that year this arrangement was modified and the New Zealand ships were placed under the operational command of the United States Commander, South Pacific Area and South Pacific Forces. Subsequently the cruisers of the Royal New Zealand Navy joined the Eastern Fleet, which in November, 1944, was reconstituted the British. Pacific Fleet.

At the outbreak of war in September, 1939, permanent New Zealand naval personnel. then serving totalled eight officers and 716 ratings, together with 74 officers and 541 ratings on loan from the Royal Navy. In addition, there was in New Zealand a Royal Naval Volunteer Reserve organization totalling some 70 officers and 600 ratings, who formed an invaluable nucleus for the rapid expansion in naval personnel that became inevitable on the outbreak of hostilities.

In 1944 the permanent New Zealand personnel serving in the Royal New Zealand Navy comprised 27 officers and 899 ratings, together with 80 officers and 643 men of the permanent R.N.Z.N.V.R. In addition, there were 1,565 temporary officers and 5,966 “hostilities only” ratings.

Thus it will be seen that in 1944 there were more than 9,000 New-Zealanders in the Royal New Zealand Navy, nearly thirteen times as many as in September, 1939, and the proportion of New-Zealanders serving, both afloat and ashore, had increased to nearly 95 per cent. of the total of approximately 10,000, which included some 500 members of the Women's Royal New Zealand Naval Service, referred to later in this section.

Of the total personnel of the Royal New Zealand Navy in 1944, some 3,000 officers and ratings were serving in ships and establishments of the Royal Navy, including about 650 in the Fleet Air Arm. The majority were recruited under Scheme “B” (for general service) and Scheme “F” (for Fleet Air Arm). Serving in all types of ships from capital ships and aircraft-carriers to submarines, mine-sweepers, and motor torpedo boats, they have taken part in all the major British naval operations of this war, as well as in numberless minor engagements.

The ships of the Royal New Zealand Navy have seen service in many parts of the world and have played a full part in maintaining the security of our sea communications and retaining command of the sea.

The Naval Station.

—The base of the Royal New Zealand Navy is at Devonport, Auckland, and the repair yard is known as “H.M.N.Z. Dockyard, Devonport.” The property in this base was vested in the Auckland Harbour Board, but certain important rights therein were exercised by the New Zealand Naval Board under the terms of two-contracts entered into between the Admiralty and the Harbour Board in 1899 and 1903. These contracts gave full rights of use of the machinery and of the Calliope Dock.

H.M.N.Z.S. “Philomel,” which, for many years, had acted as depot ship and: instructional establishment, has been replaced by buildings erected on shore within the precincts of H.M.N.Z. Dockyard. These buildings form the shore headquarters of the Royal New Zealand Navy, in which the officers and men live during such periods as they are not serving on board sea-going ships. The transfer to a shore establishment has also facilitated the development of the instructional establishment, which has been planned to provide for courses to qualify men for non-substantive ratings.

In the year 1935 the Government approved of plans for the lengthening. of the Calliope Dock to permit of the accommodation of a cruiser of the “Leander” class. A three-year plan (now completed) was inaugurated for the reconstruction and modernization of the Dockyard at Auckland, and negotiations were made with the Auckland Harbour Board for the purpose of drawing up a new contract to provide for the effective Naval control of the repair facilities to be installed. Under authority of the Naval Defence Amendment Act, 1936, the Crown purchased: the property of the Harbour Board surrounding the Calliope Dock at Devonport, and entered into a deed of arrangement, dated 22nd December, 1936, with the Harbour Board as to the use of the dock and the provision of certain wharves and other services. A further lengthening of Calliope Dock was completed in 1944.

The reconstruction and modernization programme referred to above was supplemented by a reorganization of the controlling and supervisory staff of the Dockyard. The Dockyard has now attained a very high standard of efficiency, and this has been exemplified in the very successful major refits of cruisers carried out there.

The Government also proclaimed part of a public domain at Kauri Point, in Birkenhead Borough, for use as a Naval Armament Depot, and inaugurated there a three-year programme (now completed) of developmental works. A further extension of the Naval Armament Depot has also been completed.

Provision of Personnel.

Officers.—Officers of the Royal Navy are lent from time to time to the New Zealand Government for service in the ships and establishments of the Royal New Zealand Navy.

In 1940 the entry of New-Zealanders as officers in the Executive, Engineering, and Supply Branches was inaugurated. Candidates enter as Cadets, Cadets (E), and Probationary Sub-Lieutenants (S) respectively, and must be between seventeen and eighteen years of age on the 31st December of the year of entry.

Candidates must have passed the University Entrance Examination, or an equivalent, and they must undergo medical and educational examinations for entry, as well as an interview before a Board. Candidates for entry as Probationary Sub-Lieutenants (S) who possess the degree of Bachelor of Laws or Commerce, or who have passed the Accountants' Professional Examination, are not required to undergo the educational examination. Artificer apprentices from the Naval Dockyard at Devon-port are also eligible for consideration for entry as Cadets (E).

Immediately after entry all officers proceed to England for training in the Royal Navy, the cadets and cadets (E) for about three years, the Sub-Lieutenants (S) for six months, before being appointed to ships of the Royal New Zealand Navy.

All officers can rise to the rank of Commander and Captain in their respective branches,

Regulations for the entry of officers in the Royal New Zealand Navy (R.N.Z.N. Booklet E.O.I) can be obtained on application to the Naval Secretary, Navy Office, Wellington.

The entry of New-Zealanders as medical officers has been approved, and the first entry was effected in August, 1940.

Vacancies for warrant officers are filled by the promotion of New-Zealand-recruited ratings when such ratings qualify for promotion.

The Admiralty makes provision for the nomination of a limited number of New-Zealand-born naval cadets into R.N. College, Dartmouth, and of special-entry cadets to the training cruiser; candidates are required to pass medical and educational examinations. The nomination of cadets is made by the Governor-General on the recommendation of the Director of Education. The age qualification now ruling is—13 years 4 months to 13 years 8 months for R.N. College, Dartmouth; 17 to 18 years for special-entry cadets.

These candidates are eligible for periods of “loan” service in the Royal New Zealand Navy as soon as they have passed the examinations for the rank of Lieutenant.

A very limited number of ratings selected from the Seamen, Signal, Wireless, and Engine-room Branches, who display exceptional ability and marked officer-like qualities, are eligible under New Zealand Regulations for promotion to commissioned rank in the Royal New Zealand Navy.

The Admiralty Regulations provide for the nomination of a limited number of qualified medical and dental practitioners for entry into the Medical and Dental Branches of the Imperial Service.

Ratings.—Recruiting of New Zealand boys and young men is open for all branches of the Service, provided they are medically fit, give proof of the required educational standard, and possess (where applicable) trade qualifications. The branches of the Service are:—

Seamen:
Communications (Signalmen and Telegraphists):
Engine-room Artificer:
Stoker (outstanding Stoker ratings may qualify as Mechanicians):
Electrical and Ordnance Artificers:
Shipwright:
Joiner, Blacksmith, Plumber, and Painter (in very limited numbers):
Sick Berth:
Writer and Stores:
Cooks and Stewards.

Advertisements giving particulars of numbers required are inserted in the press periodically. Recruiting for all branches is effected by the Director of Naval Recruiting, H.M.N.Z.S. “Philomel,” Auckland. Full information may be obtained on application to the Director of Naval Recruiting, or the Naval Recruiters at Wellington and Christ-church. All candidates are required to possess a Primary School Certificate or to be capable of passing an educational test of equivalent standard.

The term of engagement in the Naval Service is for twelve years, or, if under the age of eighteen years, to serve until the age of thirty.

All ratings are eligible for advancement to Leading, Petty Officer, and Chief Petty Officer rates in their respective branches, provided they satisfy the conditions provided for in the regulations.

On completion of the first engagement all ratings may re-engage for two more periods of five years' service, provided they are recommended.

Provision is made for the qualification of ratings in technical work connected with Gunnery, Electricity, Torpedoes, Diving, Physical Training, Signals, and Wireless Telegraphy, &c., in the technical schools attached to Naval establishments in Australia and England, where these facilities are not available in New Zealand.

Ratings may qualify for and be promoted to Warrant Officer rank as vacancies occur. Selected men may be transferred from time to time to the Imperial Fleet to gain further experience.

Royal New Zealand Naval Volunteer Reserve.—Divisions of the Royal New Zealand Naval Volunteer Reserve are appropriated to the four divisional headquarters at Auckland, Wellington, Christchurch, and Dunedin. Men enrol for a period of four years and may re-enrol for periods of two years up to twenty years' total service.

They undergo training at sea in H.M.N.Z. ships.

Recruiting for the Royal New Zealand Naval Volunteer Reserve is not operative during war, and training at divisional headquarters ceases as soon as the members are mobilized and drafted away. Reservists are permitted to re-enrol.

The Royal New Zealand Naval Reserve and the Royal Naval Reserve were mobilized by Proclamation on 4th September, 1939. H.M. ships of the Royal New Zealand Navy were brought up to war complement by the draft of reserve officers and ratings, and the various port services established and expanded by the same means. The officers and men of the Royal New Zealand Naval Volunteer Reserve not required for service in New Zealand have been transferred for the duration of the war to the Royal Navy.

Women's Royal New Zealand Naval Service.

—Late in 1941 the question of the establishment of a Women's Naval Service in New Zealand was considered with a view to releasing naval ratings serving in shore establishments for service in seagoing vessels. Rates of pay and conditions of service were approved early in 1942, and on 26th May, 1942, the Director and Deputy Director of the Women's Royal New Zealand Naval Service were appointed for the preliminary work in connection with the establishment of the Service. The consent of His Majesty the King to the use of the term “Royal” in the designation of the Service was graciously given.

The first rating was entered in the Women's Royal New Zealand Naval Service on 4th July, 1942. Personnel are now employed as Book Correctors, Classifiers, Coders, Cooks, D/G Recorders, Motor Transport Drivers, Stewards, Messengers, Plotters, Signal Distributing Office Watchkeepers, Teleprinter Operators, Visual Signallers, Writers, Supply Ratings, Mail Clerks, Shorthand Typists, Boats' Crews, R/T Operators, Telephone Switchboard Operators, and Wireless Operators.

The necessary regulations providing for the establishment of the Service were issued on 18th November, 1942, and provided that members of the Women's Royal New Zealand Naval Service were to be regarded as part of the Royal New Zealand Navy. The regulations also provided the necessary approval for establishing a Service and the machinery for the fixing of rates of pay and general conditions of service.

Members of the Women's Royal New Zealand Naval Service are employed at Auckland, Wellington, Lyttelton, and Dunedin.

THE AIR FORCE.

—The Royal New Zealand Air Force can trace its beginnings to the early days of aviation, when, in 1911, preliminary arrangements were made to train officers and N.C.O.'s (Defence Forces Annual Report, 1912). In the following year a New Zealand officer was sent to England for aviation instruction, and at the same time an aircraft was presented to the Dominion “as the first unit of an Imperial Air Fleet” by a group of citizens in the United Kingdom. This aircraft was brought to New Zealand in 1913, where it was flown and exhibited—the Dominion's first military aircraft. On the outbreak of war in 1914, the aircraft was sent to the Royal Flying Corps in the United Kingdom, and it was decided not to proceed with the establishment of an Aviation Corps in New Zealand for the time being.

Two private flying schools were formed (during the period of the war of 1914–18), one at Kohimarama, Auckland, and one at Sockburn, Christchurch, and a number of New Zealanders received flying instruction at these schools. By special arrangement with the Government, trainees were given the opportunity of qualifying for entry into the Royal Flying Corps.

Approximately seven hundred New Zealanders served with the Air Force in the war of 1914–18.

Between 1918 and 1920 the question of forming an Aviation Corps in New Zealand engaged the attention of the Government and the military authorities, and an Air Board was set up to advise on aviation matters. Steps were also taken to register all qualified pilots in the Dominion and to establish a Reserve. An expert on aviation matters was invited to New Zealand in 1919 to advise the Government on policy with regard to flying, and shortly after his arrival the British Government offered the Dominion a substantial number of aircraft as a gift to assist in the establishment of an Air Force.

Under this gift thirty-three aircraft arrived in New Zealand in 1921, and the advisers on air policy were constituted as a permanent Board. In 1922 the strength of the New Zealand Permanent Forces included two officers and two other ranks as an aviation unit, the first of its kind in the Dominion.

The New Zealand Permanent Air Force actually came into being in 1923, when the formation of a force to be part of the Permanent Military Forces and a territorial unit to be part of the Territorial Forces was approved. The administration of these Air Forces was within the organization of the Regular Military. Forces (Army).

Wigram and Hobsonville were the first Air Stations, being established in 1923 and 1925 respectively.

Service flying in New Zealand developed slowly, but from about 1928 the Aero Club movement gained momentum, and arrangements were made by the Government for these clubs to provide a reserve of pilots.

On the 1st April, 1937, the administration of Service and civil aviation was provided for by the establishment of the Air Department.

Prior to the declaration of war on 4th September, 1939, the Royal New Zealand Air Force consisted of—

  1. The Regular Air Force:

  2. The Air Force Reserve:

  3. The Territorial Air Force.

A Civil Reserve had also been established.

The Regular Air Force was distributed between the administrative headquarters and the two Royal New Zealand Air Force stations at Hobsonville and Wigram. Territorial squadrons had been established at Auckland, Wellington, and Christchurch, and buildings for the Territorial Flight at Dunedin had been commenced. The projected operational stations at Ohakea and Whenuapai were in course of construction, the former nearing completion. The railway workshops scheme for training flight mechanics and riggers was making satisfactory progress. Buildings at the railway workshops at Lower Hutt had been completed, and those at Auckland, Christchurch, and Dunedin were nearing completion.

Immediately war was declared the Air Force was mobilized. Territorial and Air Force Reserves were called up and, in addition, a number of personnel of the Civil Reserve who, by virtue of their civil trade, were suitable for immediate employment, were called up and posted to Service units.

British Commonwealth Air Training Plan.

—The British Commonwealth Air Training Plan, which was originated in 1939, was modified by a 1943 agreement which came into force on 31st March, 1943, and covered the period 1st April, 1943, to 31st March, 1945, unless varied in the interim by the Governments concerned.

This agreement reduced the four-weekly commitment from 144 pilots trained to Service Flying Training School standard to 135 and varied their disposal for training by requiring 51 to be sent to Canada in lieu of the previous figure of 48. It also required New Zealand to produce 72 fully trained pilots from the remaining 84, as opposed to the previous commitment of training 80 from 96.

The agreement provided the maintenance of an air training organization in New Zealand comprising schools of sufficient capacity to produce the following estimated output from each category of school every four weeks.

Category of School.Total Output per Four Weeks.To receive Further Training In-
New Zealand.Canada.
Initial Training Schools—   
Pilots180180..
Navigators52..52
Wireless Operators/Air Gunners55..55
Elementary Flying Training Schools—   
Pilots1358451
Service Flying Training Schools—   
Pilots72....

Permission was also given for the retention of such portion of the output of the New Zealand Training Organization as might be necessary to man home defence squadrons and the remainder of the pupils completing training in New Zealand to be made available for service with, or in conjunction with, the Royal Air Force.

The usual clause providing for the loan of personnel from the Royal Air Force to assist with training requirements was retained.

During the year 1944 New Zealand was able to fulfil, and in some categories of aircrew to exceed, her commitments under the above plan, and particulars of aircrew despatched from New Zealand during the year are as follows:—

Wireless Operators/Air Gunners278
Navigators169
Air Bombers140
Pilots (trained to elementary standard)580
Pilots (fully trained)218
Total1,385

In the second half of the year advice was received from England intimating that no further aircrew need be sent overseas under the British Commonwealth Air Training Plan. Under these circumstances a revision of the Now Zealand Training Organization immediately became necessary, and training was reduced to supply domestic and Pacific requirements only.

Technical Training, 1944.

—The manning requirements of the R.N.Z.A.F. in skilled tradesmen have been met satisfactorily throughout the year by the various technical training schools.

Nelson is now entirely devoted to training, the Technical Training School for flight personnel being situated there. In addition, a small section trains photographers.

Electrical and wireless trades are dealt with at the Electrical and Wireless School, Wigram, where a considerable reduction in trainees has been effected.

The Instrument School at Hamilton satisfies demands in the trades concerned, while armourers, fitters armourer, and clerical personnel receive their training at Wood-bourne.

Recruiting.

—During 1944 the R.N.Z.A.F. made a far-reaching variation in its recruiting system. A general policy of decentralization, based on Army Area Offices, was embarked upon with most satisfactory results.

On attaining the age of sixteen years all males become members of the General Reserve in terms of the National Service Regulations. During their eighteenth year they are made available for service by being called in a ballot, the results of which are recorded in indexes in Army Area Offices. The record is in two forms, the Army Area Pool and the Air Force Pool, the latter consisting of men who, after being balloted, elect to join the R.N.Z.A.F. A considerable proportion of each draft of recruits is filled by the Air Training Corps, which accepts volunteers for service in the R.N.Z.A.F. from among its members and mobilizes the young men under arrangements made within its own organization.

A proportion of men who are members of the General Reserve volunteer and are accepted for service before they are balloted, in which cases the card is withdrawn from the ballot by the National Service Department. In full co-operation with Army, Navy, Appeal Boards, Industrial and Primary Production Councils, Man-power Officers and National Service Department, men from the Air Force Pool are called for interview, medically examined, and mobilized in accordance with the needs of the Service mainly to replace normal wastage and aircrew requirements.

Matters of policy providing for setting recruiting quotas, types of men to be accepted, age-groups, and the many other administrative decisions required from time to time are decided at Air Department by the Director of Manning and his Deputy Director for Mobilization, who is also responsible, under the Director of Manning, for demobilization.

A special educational scheme was also established for the purpose of bringing personnel selected for aircrew duties to the necessary standard in mathematics and. elementary science.

Personnel.

—From the outbreak of war to 31st December, 1944, a total of 29,949 personnel embarked from New Zealand for service overseas. Of this number, 3,667 went direct from New Zealand to the United Kingdom, 7,987 to Canada (with a large proportion subsequently proceeding to the United Kingdom), and 17,671 to the Pacific area. Personnel were also sent to India, the Far East, and to the Middle East. It should be pointed out that the total of 29,949 embarkations does not represent the actual number of men and women who have served outside New Zealand, as a large number have served more than one tour in the Pacific area and would be included more than once among the embarkation totals.

The strength in New Zealand at 31st December, 1944, totalled 21,847, including 2,676 members of the Women's Auxiliary Air Force.

From the outbreak of war to 31st December, 1944, the following fatal casualties have occurred to personnel of the Royal New Zealand Air Force in Now Zealand (particulars of casualties on active service are shown later in this section):—

Killed in flying accidents256
Killed in non-flying service accidents7
Killed in non-service accidents37
Died from natural causes69
Missing in flying accident1
Missing in non-service accident1
Total371

Air Force Stations.

—Since the implementation of the British Commonwealth Air-Training Plan approximately £11,000,000 has been approved for expenditure on services, buildings, and flying fields for the Royal New Zealand Air Force.

Air Training Corps.

—The Air Training Corps was established in October, 1941, for the purpose of providing preliminary training for youths between the ages of fifteen and twenty years who are desirous of joining the Royal New Zealand Air Force on reaching the required age. The scheme is divided into three groups: (a) Town Units, consisting of youths between the ages of sixteen and eighteen years; (b) School Units, consisting of youths between the ages of fifteen and eighteen years who are attending secondary schools; and (c) Correspondence Units, consisting of youths between the ages of sixteen and under twenty years who, by reason of their inability to attend regular parades of the Town Units, are unable to receive instruction except by correspondence. Educational classes are compulsory for Cadets in Town Units who have reached the age of seventeen years and are desirous of joining the Royal New Zealand Air Force as aircrew members. Educational classes are not compulsory for Cadets wishing to carry out ground duties on joining the Royal New Zealand Air Force, although every endeavour is made to ensure that all cadets cover this work. Units are established in all main centres of population in New Zealand.

Women's Auxiliary Air Force.

—The Women's Auxiliary Air Force was established in 1941 for the purpose of providing women personnel for various ground duties in the Royal New Zealand Air Force. Personnel of the Women's Auxiliary Air Force have been serving in more than thirty trades and have rendered valuable assistance to the Royal New Zealand Air Force. At 31st December, 1944, 2,730 members of the W.A.A.F. were serving with the R.N.Z.A.F. in New Zealand and overseas.

Operations in 1943–44.

—The year 1943–44 was notable for the increase in operational squadrons of the Royal New Zealand Air Force. Squadrons of the R.N.Z.A.F. were operating in the forward area during the occupation of New Georgia, Treasury, Bougainville, and Green Island by forces from the United States of America and New Zealand. At the end of 1944 the R.N.Z.A.F. was air support cover for the Australian troops on Bougainville and was attacking the Japanese in New Britain and New Ireland from bases on Bougainville, Green Island, and Emirau (St. Matthias Group). Further squadrons were carrying out reconnaissance patrols and convoy duties from other Pacific bases, including Fiji, Funafuti (Ellice Group), Espiritu Santo, Los Negros (Admiralty Group).

A New Zealand Transport Squadron has been operating in the Pacific area, transporting personnel, freight, and mails from New Zealand to the various bases, and a Pacific Ferry organization has ferried aircraft across the Pacific to New Zealand and to Pacific bases.

One Flying Boat Squadron, operating in the Pacific, has been responsible for the rescue of approximately 80 personnel located in the sea.

A large number of New Zealand personnel continues to operate with success in all theatres of the war where the Royal Air Force is to be found. At the end of 1944 4,995 New-Zealanders were serving with the Royal Air Force overseas.

CASUALTIES ON ACTIVE SERVICE.

—The following particulars of casualties suffered by members of the Now Zealand Forces (Navy, Army, and Air Force) on active service since the outbreak of the present war have been compiled by the National Service Department. The figures shown for the Navy and Air Force include New Zealand personnel serving with the Royal Navy and Royal Air Force respectively.

Period ended 3lst December,Deaths since Outbreak of War.Missing as at End of Year.Prisoners of War as at End of Year.Total Cases reported Wounded to End of Year.Total Casualties.
Navy
194138151820217
19422421072029398
19433246042117543
19444125049133644
Army
19417551,0143,4373,9579,163
19422,9527057,6828,77320,112
19434,3925036,81911,93623,650
19445,8334246,61416,76029,631
Air Force
1941442127118210897
19421,1733662464212,206
19432,0983344296313,492
19442,8424475017844,574
All Services
19411,2351,2923,5634,18710,277
19424,3671,1787,9489,22322,716
19436,8148977,29012,68427,685
19449,0879217,16417,67734,849

The figures for deaths do not include deaths due to sickness or other natural causes, while the figures relating to “missing” and “prisoners of war” have been adjusted to allow for personnel subsequently reclassified as dead, taken prisoner, escaped, or repatriated.

Casualties suffered while undergoing training in New Zealand are not included.

HONOURS AND AWARDS.

—The following table shows, as far as available records will permit, the numbers of honours, decorations, &c., for distinguished or gallant conduct, devotion to duty, &c., which have been awarded to New Zealand personnel serving with His Majesty's Forces from the outbreak of the present war up to 31st December, 1944.

The figures for the Navy include New Zealand personnel serving with the Royal Navy and also members of the Royal Navy serving with the Royal New Zealand Navy, while the Air Force figures include New Zealand personnel serving with the Royal Air Force.

Honour or Award.Navy.Army.Air Force.Totals.
Victoria Cross..527
British Orders of Knighthood, &c.—    
Companion of Order of the Bath14..5
Knight Commander of the British Empire..1..1
Commander of the British Empire..21425
Distinguished Service Order (Bar)..12214
Distinguished Service Order57955139
Officer of the British Empire753969
Member of the British Empire8761397
Decorations—    
Royal Red Cross..23..23
Distinguished Service Cross (Second Bar)1....1
Distinguished Service Cross (Bar)5....5
Distinguished Service Cross57....57
Military Cross (Bar)..10..10
Military Cross..1701171
Distinguished Flying Cross (Second Bar)....22
Distinguished Flying Cross (Bar)....5353
Distinguished Flying Cross....632632
Air Force Cross (Bar)....22
Air Force Cross....5050
Albert Medal1....1
Medals for gallantry and distinguished conduct—    
Distinguished Conduct Medal..91..91
Conspicuous Gallantry Medal1..56
Distinguished Service Medal31....31
Military Medal (Bar)..4..4
Military Medal..4032405
Distinguished Flying Medal (Bar)....11
Distinguished Flying Medal....170170
Air Force Medal....44
George Medal....55
British Empire Medal11401263
Mentioned in despatches901,4481701,708
Allied orders, decorations, medals, &c.345233119
 2522,4921,2273,971

Chapter 9. SECTION 9.—EXTERNAL TRADE

SUBSECTION A.—GENERAL

DATA regarding the overseas trade of New Zealand possess a special significance in view of the Dominion's relatively high degree of dependence upon its external trade. According to figures compiled by the Secretariat of the League of Nations, New Zealand's total trade per caput is the highest in the world. Parenthetically, it may be observed, as a factor highly relevant in this connection, that New Zealand's overseas debt commitments are also upon a relatively high scale. It may be noted, however, that the amount of public debt domiciled overseas has actually decreased during the last ten years, whereas the internal debt has risen enormously, particularly since the outbreak of war.

In the official annual statistics of the trade of New Zealand the twelve-monthly period adopted is the calendar year. Summarized trade statistics over a lengthy period of years are included in the Statistical Summary at the end of this volume. Monthly figures covering the principal items of export and import are published in the Monthly Abstract of Statistics, so that summarized figures are readily available for any twelve-monthly period. As the farm production year ends about June and the financial year on 31st March, it is desirable to record trade for years ended 30th June and 31st March as well as for calendar years.

The following table relates to merchandise only—i.e., it excludes specie, particulars of which will be found at the end of this subsection. Up to the end of 1929 New Zealand currency and sterling were at virtual parity, but thenceforward New Zealand currency has been below sterling parity (vide section relating to Banking and Currency). Consequently figures of total merchandise trade have been converted to a sterling basis, and a summary covering the last eleven complete years follows.

YearYear ended 31st December.Year ended 31st March.Year ended 30th June.
ExportsImportsExportsImports.ExportsImports.
 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
193447,342,84731,339,55246,042,57026,135,49649,141,91426,703,380
193546,538,38136,317,26744,918,13032,567,78542,953,69834,301,328
193656,751,94044,258,88649,675,99237,439,94453,659,96339,509,276
193766,713,37956,160,69560,234,51147,621,10464,621,47450,076,468
193858,376,28355,422,18965,007,94658,064,55961,919,91357,542,606
193958,049,31649,387,18357,867,27954,408,44757,891,91156,499,607
194073,741,13348,997,66959,683,93845,571,77465,858,63646,070,033
194167,479,41349,167,01071,179,43047,918,22465,766,53046,184,967
194281,284,63753,856,01269,163,12150,589,65274,039,15151,377,986
194371,862,59895,242,33076,112,38360,967,78871,711,92971,958,098
194477,786,94686,686,53175,252,14895,849,75473,235,27497,779,767
 £(Stg.)£(Stg.)£(Stg.)£(Stg.)£(Stg.)£(Stg.)
193437,874,00025,071,00036,834,00020,908,00039,314,00021,363,000
193537,380,00029,170,00035,985,00026,082,00034,450,00027,495,000
193645,584,00035,549,00039,900,00030,072,00043,101,00031,734,000
193753,585,00045,109,00048,381,00038,250,00051,905,00040,222,000
193846,889,00044,516,00052,215,00046,638,00049,735,00046,219,000
193946,439,00039,510,00046,415,00043,657,00046,381,00045,291,000
194058,993,00039,198,00047,747,00036,457,00052,687,00036,856,000
194153,984,00039,334,00056,944,00038,335,00052,613,00036,948,000
194265,028,00043,085,00055,330,00040,472,00059,231,00041,102,000
194357,490,00076,194,00060,890,00048,774,00057,370,00057,566,000
194462,230,00069,349,00060,202,00076,680,00058,588,00078,224,000

TRADE PER HEAD.

The next table shows the total merchandise trade, exports, and imports per head of the population. Values are expressed in terms of New Zealand currency.

Year.Exports.Imports.Total Trade.
 £s.d.£s.d.£s.d.
1925391813717477155
1926320635486752
192733140312564165
192838333016068193
1929375733167071
193030202914059160
193123181710040118
19322365162103993
193326128161244350
193430103204050143
193529159234115308
19363607281116426
19374119235657757
193836683491070166
1939351211306665195
194045092918674193
194141763021171105
1942491163216118285
194343189584710234
19444619752719968

The year 1943 produced a record for imports, both total and per caput. The previous highest per caput figure (£49 10s. 11d.) occurred in 1920, while the export record of £49 11s. 6d. was produced in 1942.

VISIBLE BALANCE OF TRADE.

As a debtor country New Zealand has normally a substantial excess of exports over imports, imports having exceeded exports in only five (calendar) years since 1885—viz., in 1908, 1920, 1926, 1943, and 1944. The figures for the last twenty years—merchandise only—are as follows:—

Year.Visible Excess of Exports.
*Excess of Imports.
 £(N.Z.)£(Stg.)
19252,817,2902,817,290
1926−4,542,839*−4,542,839*
19273,713,6883,713,688
192810,726,27910,726,279
19296,195,5916,195,591
1930600,863677,000
19318,452,5477,695,000
193210,963,9139,967,000
193315,424,55312,340,000
193416,003,29512,803,000
193510,221,1148,210,000
193612,493,05410,035,000
193710,552,6848,476,000
19382,954,0942,373,000
19398,662,1336,930,000
194024,743,46419,795,000
194118,312,40314,650,000
194227,428,62521,943,000
1943−23,379,732*−18,704,000
1944−8,899,585*−7,119,000*

It will be noticed that the balance for the year 1930 is greater on a sterling basis than on a New Zealand currency basis. The apparent anomaly is due to a combination of (1) successive movements in the exchange rate, and (2) the unequal distribution of exports over the year.

A pronounced fall in exports from the previous year's level was responsible for the import excess in 1926, and a similar movement accounted for the low excess of exports in 1930 and in 1938. The improvement in 1939 was effected by a reduction in imports under the policy of import selection and control which was inaugurated at the beginning of that year. The excess of exports in 1940 was the highest recorded to that date but this was exceeded by approximately £3,000,000 (New Zealand currency) in 1942. A record total of imports, mainly as the result of the huge expansion of the importation of defence materials and supplies under lend-lease arrangements (which to a large extent invalidates comparisons with earlier years) was responsible for the excess of imports in 1943. A tapering off in this respect during 1944, together with an appreciable rise in the value of exports, reduced considerably the excess of imports in that year.

The visible balance of trade — i.e., the excess of exports over imports or vice versa—is an essential record valuable for numerous purposes, but with very definite limitations.

In the first place, although this is not the most important factor, the trade statistics themselves contain inevitable errors. For instance, it is necessary in many instances to assess the value of exports where goods are not sold until arrival at their destination; again, in the case of imports, an arbitrary assumption is made to cover freight, insurance, and handling charges. While errors arising from such sources do not appreciably affect items or totals of exports or imports, they may conceivably cause significant errors in the visible balance of trade, since there is no guarantee that such errors will be of a compensatory nature. In particular, when a small visible balance emerges from a year's trading in commodities, a relatively small margin of error in the assessment of export or import values (or both) may make a quite significant error in the residual balance. The possible error arising from the necessity of pre-estimating the final realization in the case of certain exports is not likely to be of importance in years of relatively stable prices; but, in periods when world prices are changing rapidly, an appreciable margin of error may result from this cause in the assessment of the total of export valuations for a single year.

Furthermore, there are additional difficulties where trade with individual countries is concerned. The ultimate destination of goods exported is sometimes not known at the time of export. In particular, it is evident from the United Kingdom trade statistics that a considerable proportion of New Zealand's exports to continental countries in normal timc3 is recorded in the New Zealand statistics among exports to the United Kingdom. Such produce may be sold on the United Kingdom markets to continental purchasers; while, again, goods may be diverted to continental markets after arrival in the United Kingdom.

Various factors arising out of the war have further obscured the position in recent years, particularly during the period that lend-lease arrangements were in operation.

Of much greater importance is the fact that the visible trade is not the only factor to be taken into account in considering the balance of payments between countries. Debt payments, capital investments and flow of capital, freight payments, 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 in the section of this Year-Book dealing with “Banking and Currency.”

The partial disintegration of world trade, accompanied by currency difficulties, which has been such a marked feature of recent economic trends, has intensified interest in the bi-lateral aspect of trade statistics as opposed to the multilateral aspect, which latter is the really significant indication of the external trading relations of a country.

The following table 6hows for the year 1943 the amount of merchandise exports to, and imports from, each of the principal countries trading with the Dominion. Exports are valued f.o.b. New Zealand ports, and. imports at New Zealand import values—i.e., current domestic value in country of shipment plus 10 per cent. allowance for freight, &c. The trade balances therefore represent the differences between exports and imports, both at New Zealand ports. Since this is the accepted practice internationally in statistics of trade, it follows that New Zealand trade statistics will yield different results in respect of her trade with any given country than will be obtained from the trade statistics of that country, unless allowance be made for this practice.

TRADE BY COUNTRIES, 1943

Country.Exports.Imports.
New Zealand Produce.Total.By Country of Shipment.By Country of Origin.
 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
United Kingdom46,341,99246,367,94032,606,53232,615,873
Ceylon16,07717,089474,529475,645
India2,564,2682,564,4262,881,1762,921,283
Union of South Africa26,84326,88291,27393,389
Canada4,535,0954,535,20711,453,20311,455,147
Australia2,759,0862,849,12510,354,78610,160,380
Western Samoa223,533264,928173,070165,791
Fiji430,992561,851655,482602,302
Other British countries212,685230,424336,285356,524
Totals, British countries57,110,57157,417,87259,026,33658,846,334
Russia (U.S.S.R.)911,644911,6445013,580
Switzerland....115,030121,804
Iraq154,168154,168..279
Egypt5,348,0366,358,21457,00915,938
Peru....706,600706,615
United States of America6,371,5566,385,40234,760,97634,889,239
Tuamotu Archipelago11,86515,343377,598377,586
Other foreign countries218,244220,507198,280280,955
Totals, foreign countries13,015,51314,045,27836,215,99436,395,996
Ships' stores108,614399,448....
Totals, all countries70,234,69871,862,59895,242,33095,242,330

The progress of, and the trends in the direction of the Dominion's overseas trade, are illustrated by the accompanying diagram. Other features portrayed are the extent to which New Zealand is dependent on the United Kingdom as a market for its exports, the expansion and subsequent decline of imports of goods of foreign origin following the war of 1914-−18, and the extent of foreign imports in 1943.

BALANCE OF OVERSEAS PAYMENTS.

For many years the Census and Statistics Department prepared a statement of New Zealand's international balance of payments—that is, of the Dominion's receipts from and payments to overseas countries. While reasonably accurate information was available for imports and exports, Government and local authority interest payments and debt movements, and miscellaneous Government receipts and payments, there were a number of important items for which it was necessary to make estimates, all more or less unsatisfactory. It was, for example, extremely difficult to estimate investments of private capital in New Zealand and the amount of outgoings by way of interest or dividends on such capital. Hardly more satisfactory was the position regarding tourist expenditure, both by tourists to New Zealand and by New Zealand tourists abroad. Altogether, the statement did not amount to anything more than a rough approximation.

Since the institution of exchange control as part of New Zealand's economy, however, it is no longer necessary to estimate the balance of payments, for the Reserve Bank of New Zealand, through which exchange control is administered, finds it possible to make a complete and detailed statement of the Dominion's foreign exchange transactions, and reference should be made to the section of this Year-Book dealing with “Banking and Currency” for detailed figures of overseas receipts and payments.

INDEX NUMBERS OF VALUE AND VOLUME OF TRADE.

The table following facilitates appreciation of the movement of external trade in recent years, both in value and in physical volume. Volume of exports and effect of price changes upon exports are dealt with at greater length in the subsection succeeding this.

INDEX NUMBERS OF VALUE AND VOLUME OF TRADE. (Base: 1936–38 = 100)

Year.Value.Volume.
On Gold Basis.On Sterling Basis.On New Zealand Currency Basis.Exports.Imports.Total Trade.
Exports.Imports.Exports.Imports.Exports.Imports.Total External Trade.
* Provisional.
192615519893119759685658072
1927166178100107808683707372
1928190179114107928689737775
1929187194113117919492758780
193014716989102748579777777
1931100886558585155785065
193279646654594754865070
1933765567496849591015077
193480627860786070986281
193576707770777074967385
1936948694859485901028996
1937110108110108110108109101106104
193895106961079610710197105100
193987879595969595989496
19401027912194122941091088296
194193791119411195104977386
1942112871341031341041201147696
19439915311818211918314896119*107*
194410714012816612816714699*....

PORT CARGO STATISTICS.

In order to obtain statistics of the total trade of individual ports, a system of monthly returns from the various port authorities was instituted in 1922, showing under some forty headings the quantity of goods handled, distinguishing inwards and outwards cargo, coastal and overseas, and transhipments. The resultant statistics (which were temporarily discontinued for security reasons) show on a tonnage basis the total trade of each port, including all exports, whether placed on the overseas vessel there, sent to a central port for shipment overseas, or despatched coastwise to another port for consumption in New Zealand.

The following table gives for the aggregate of all ports covered by the statistics (a few very small ports are omitted) a summary of the cargo handled during each of the last available eleven years.

Year.Inwards.*Transhipments.Outwards.*Total Manifest Tonnage.
Coastal.Overseas.Coastal.Overseas.
* Excluding transhipments.
 Tons.Tons.Tons.Tons.Tons.Tons.
19321,403,9771,489,347248,5361,488,052829,9165,708,364
19331,383,8451,374,774235,7221,447,258995,6505,672,971
19341,493,2691,655,838273,8141,540,510953,5286,190,773
19351,603,8251,886,316258,2661,626,784936,3376,569,794
19361,833,9912,304,836282,0671,835,5361,000,0357,538,532
19371,984,3532,639,861318,0671,984,248976,1168,220,712
19381,971,8322,708,117303,9211,937,129936,2748,161,194
19392,088,0522,716,550263,9962,039,431945,2088,317,233
19402,124,2052,269,300286,0362,094,7721,015,9818,076,330
19412,210,2701,903,044310,7142,173,675875,1937,783,610
19422,182,6731,980,120350,4302,092,3381,137,4408,093,431

It is advisable to note that the term “ton” does not invariably denote a weight of 2,240 lb. For a portion only of the goods handled is it practicable to obtain the actual weights involved. In other cases close approximations are made by applying uniform formulæ as to the number of bales, cases, sacks, &c., to the ton. In a few instances the tons are “short” tons of 2,000 lb. 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 is in “measurement” tons, thus artificially swelling the figures, direct comparison of import cargo tonnage with export is invalid.

IMPORT AND EXPORT CONTROL.

A decline in overseas funds commenced during 1936–37 and—allowing for seasonal fluctuations—continued steadily until 28th November, 1938, when the net overseas funds of the Reserve Bank and the trading banks were under £(N.Z.)8,000,000 (see section on Banking and Currency).

With a view to conserving overseas funds, so as to ensure that overseas debt services would be met and that sufficient funds would be available for essential imports, regulations—effective from 7th December, 1938, and known respectively as the Import Control Regulations 1938, and the Export Licenses Regulations 1938—were made by Orders in Council of 5th December, 1938.

The Import Control Regulations prohibit the importation of goods except in pursuance of a license under the regulations or of an exemption granted by the Minister. Under the Export Licenses Regulations, goods (with certain minor exceptions) may not be exported except under license.

Three classes of export licenses are provided for—viz., particular, general, and purchaser's. The particular license applies to an occasional shipment; the general license is issuable to exporters who make regular or frequent shipments; and the purchaser's license is for cases where goods have been purchased for export by means of credits made available from overseas. A condition of the issue of any export license is that the overseas credits arising from the sale of the goods (or used to finance their purchase) must be sold to a New Zealand bank in exchange for New Zealand currency.

From 7th December, 1938, also, the Minister of Finance has suspended the obligation of the Reserve Bank to give sterling in exchange for its bank-notes. This obligation was imposed by section 16 (1) of the Reserve Bank of New Zealand Act, 1933, which—as amended by section 8 of the Finance Act, 1934—reads as follows:—

“On presentation at the Head Office of the Reserve Bank in Wellington of notes of the Bank to any amount not less than one thousand pounds, it shall be the duty of the Bank, in accordance with this section, to give in exchange for such notes sterling for immediate delivery in London.”

These measures had the effect of arresting the fall in the overseas funds, and, although there was little improvement during the next twelve months, a series of monthly increases commencing in November, 1939, raised the total to £(N.Z.)27,382,104 by 24th June, 1940. By 25th June, 1945, the amount held had risen to £(N.Z.)77,565,588.

Movement of Specie.

There is no Mint in New Zealand, while there is a fairly considerable production of gold bullion. Uncoined gold, therefore, ranks as an ordinary export of the Dominion, along with wool, dairy-produce, and other merchandise.

The following table shows exports and imports of specie stated at face value for each of the eleven years ended in 1944. Exports in 1934 were easily a record, mainly due to gold shipments by the Reserve Bank. A further contributing factor, however, and also the main reason for the high imports of that year and the comparatively high figures of 1935, was the introduction of a distinctive coinage for use in New Zealand. The arrangements made for the withdrawal of British and Australian coins, which formerly constituted the metal currency of the country, and their replacement by the new issue are outlined on page 426 of this Year-Book.

Year.Specie imported.Specie exported.Excess of Specie Imports (+) or Exports (−).
 £££
19341,242,0002,283,900−1,041,900
1935381,821521,000−139,179
193636,60145,245−8,644
1937318,5103,500+315,010
193831,27431,805−531
193925,3642,795+22,569
194036,646..+36,646
1941205,409..+205,409
1942147,01025,375+121,635
1943461,8001,240+460,560
1944159,640400+159,240

SUBSECTION B.—EXPORTS

IN New Zealand the Department of H.M. Customs requires for every package exported a declared statement of the contents, value, and destination.

In all cases exports are valued “free on board at the port of shipment.” In cases where the goods are not sold till arrival at their destination values must be assessed in New Zealand with reference to current prices. Exports of merchandise are valued in terms of New Zealand currency, which has been below sterling parity since the beginning of 1930 (vide section on Banking and Currency). The value of total exports, 1934–44, in sterling will be found in the preceding subsection.

The ultimate destination of the goods is distinguished as far as is practicable, but it is impossible to discover what proportion of the exports is intended for home consumption in the country of destination. In the trade records a distinction is made between exports of New Zealand produce and re-exports of imported goods.

CLASSIFICATION OF EXPORTS.

The total merchandise exports (i.e., excluding specie) during the last eleven years available are given in the following table, classified according to four broad divisions.

Year.Food, Drink, and Tobacco.Raw Materials and Articles mainly unmanufactured.*Articles wholly or mainly manufactured.Miscellaneous.Total Merchandise Exports.
* Including uncoined gold and silver.
 £££££
193328,437,19011,165,2741,141,632261,82341,005,919
193429,210,95616,687,3841,121,438323,06947,342,847
193533,315,23211,655,9081,209,680357,56146,538,381
193636,398,20418,675,3001,234,704443,73256,751,940
193739,836,45925,129,5581,317,848429,51466,713,379
193840,317,72416,395,7531,237,322425,48458,376,283
193940,017,41516,273,7641,233,955524,18258,049,316
194048,864,00222,590,2751,689,979596,87773,741,133
194145,988,42519,100,5721,589,396801,02067,479,413
194252,278,72125,415,1142,679,438911,36481,284,637
194345,374,69520,168,4045,375,460944,03971,862,598

Easily the most important class is that for food, drink, and tobacco, which, in the case of exports from New Zealand, is composed almost wholly of foodstuffs, the principal items being butter, cheese, and frozen meat. Of the total exports during the five years 1939–43 this class accounted for 66.0 per cent. The only other class of any magnitude is that covering raw materials (mainly wool, hides, skins, tallow, and gold), which during the last five years constituted 29.4 per cent. of the total exports for that period. Prior to the outbreak of war, manufactured goods had not figured very prominently in New Zealand's exports, and during the five years 1935–39 accounted for only 2.2 per cent. of the total. In 1942 the proportion of manufactured goods was 3.3 per cent., and in 1943, 7.5 per cent.

The extent to which the Dominion relies upon the pastoral industry for her exports is indicated by the following figures showing exports of pastoral products and the percentage which they represent among total exports of New Zealand produce. The percentage supplied by this group was high in the late “nineties,” but after 1898 fell relatively, owing mainly to increased exports of agricultural and mining produce. From 1902 onwards, however, the percentage increased almost continuously, till in 1924 and 1925 it amounted to 94.2 per cent. of the total. The percentage dropped noticeably in the depression years, owing to the relatively greater fall in prices of pastoral products, particularly wool, but with the advent of improved prices recovery was made during subsequent years, the record percentage of 94.6 being reached in 1940. The decline recorded in the aggregate value of pastoral products exported in 1941 was attributable mainly to shipping difficulties, the stocks of a number of items held in New Zealand at the end of that year being heavier than usual, and this factor contributed to the record total for 1942. Decreased quantities of most of the principal pastoral exports, particularly wool, contributed to the heavy fall in 1943, and this, together with the substantial increase in the export of manufactured articles, resulted in the proportion to total exports falling to a level not experienced since 1915.

EXPORTS OF PASTORAL PRODUCTS

Year.Value.Percentage.*
* Of total exports of New Zealand produce.
 £ 
192448,944,82894.2
192551,370,47994.2
192640,763,34891.9
192744,207,03792.9
192851,509,52094.2
192950,780,11393.8
193041,368,14593.6
193132,112,63493.6
193232,102,21891.8
193337,102,51091.8
193443,336,96092.7
193542,569,66692.4
193652,671,97593.6
193762,533,50494.5
193854,285,43593.9
193953,725,43393.5
194069,038,03394.6
194162,227,02792.9
194274,346,19092.3
194360,989,45886.8

Agricultural exports showed an abnormal increase from 1899 to 1903, the period which covers the South African War, but their importance then steadily declined. Their lowest level (0.6 per cent. of total exports) was reached in 1916 and 1917. From 192C onwards there was a considerable development in the export of apples, pears, peas, and, to a lesser extent, grass- and clover-seeds, and tobacco. In recent years, the export of unmanufactured tobacco has practically ceased, and, owing to the available refrigerated shipping space since the outbreak of war being required for the more essential commodities, the export of apples and pears has fallen away to negligible proportions. On the other hand, the quantities of peas and grass- and clover-seeds exported has increased enormously since 1939, and under the stimulus of a wartime demand, a new commodity (linen-flax) has achieved considerable importance. Over a long period of years kauri-gum was the principal item of the forest produce group, but in later years exports of this commodity have fallen to almost negligible proportions. Timber exports, which fell to low levels during the depression period recovered somewhat in 1934 and 1935, but in 1943 recorded their lowest value for over sixty years. Mining products have recorded a marked increase since 1931 due to the enhanced price of gold, which lead to greater activity in the gold-mining industry, but war factors have resulted in an appreciable decline in the production of this metal since 1940.

In the following table merchandise exports during 1943 are grouped in classes in accordance with the statistical classification which has been used for both exports and imports since 1914.

No.Class.New Zealand Produce.Re-exports.
* Including commodities not included in individual groups.
  ££
IFoodstuffs of animal origin (excluding live animals)42,061,071150
IIFoodstuffs of vegetable origin, and common salt3,213,4504,149
IIIBeverages (non-alcoholic), and substances used in making up the same29,17329,362
IVSpirits and alcoholic liquors29,7901,380
VTobacco and preparations thereof6,36772
VILive animals16,09717
VIIAnimal substances (mainly unmanufactured), not being foodstuffs17,882,2422
VIIIVegetable substances and non-manufactured fibres1,225,1462,410
IXAApparel522,7261,988
IXBTextiles12,55037,540
IXCManufactured fibres4,37219,013
XOils, fats, and waxes1,116,171294,652
XIPaints and varnishes12,0251,417
XIIStones and minerals used industrially147,89643
XIVAMetal (unmanufactured and partly manufactured) and ores1,617,530523
XIVBMetal manufactures other than machinery and machines524,18216,289
XVMachinery and machines290,08937,622
XVIARubber and manufactures thereof (not including tires)1,4951,708
XVIBLeather and manufactures thereof (including substitutes)12,038718
XVIIATimber60,94211,660
XVIIBWood, cane, and wicker manufactures15,793848
XVIIIEarthenware, china, glass, stoneware, cement, and cement materials13,8752,439
XIXAPaper103,576627
XIXBStationery and paper manufactures28,0801,859
XXJewellery, timepieces, and fancy-goods4,7181,134
XXIOptical, surgical, and scientific instruments1,05221,334
XXIIADrugs, chemicals, and druggists' wares96,3608,014
XXIIBManures3,06629
XXIIIAVehicles3,75925,736
XXIIIBMiscellaneous111,89846,455
..Parcel-post132,820..
Totals, merchandise*70,234,6981,627,900 

Quantity figures of exports of the principal items of New Zealand produce are next given for the last five years. 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).1939.1940.1941.1942.1943.
* Ounces of the fineness of 20 carats and upwards.
The mine—      
  Coal(ton)43,99080,58758,17954,70042,537
  Gold*(oz.)176,370188,459176,242167,246149,563
  Scheelite(cwt.)7601,8001,2951,3772,104
  Silver(oz.)315,526449,404295,667320,326197,892
The fisheries—      
  Fish(cwt.)43,47339,10933,16027,38924,978
  Oysters(doz.)62,89938,51915,22618,938834
  Whale-oil(gal.)116,258144,122135,72031,09541,400
The forest—      
  Kauri-gum(ton)2,3161,6831,4211,061590
  Timber, sawn and hewn(sup. ft.)13,172,31217,322,81319,036,4087,439,9624,390,585
Pastoral products—      
  Butter(cwt.)2,443,2972,622,7002,263,1352,344,0221,985,187
  Butterfat, dry(cwt.)....65553,01134,776
  Casein(cwt.)38,51824,34712,4054,92614,766
  Cheese(cwt.)1,677,2572,033,5062,366,2352,687,6212,009,947
  Honey(lb.)440,199957,415913,7609,61216,456
  Live sheep(number)14,75818,1805,787206142
  Preserved meats(cwt.)71,61778,481119,850328,593331,573
  Dehydrated meats(cwt.)......48635,535
  Meat extract(lb.)118,377223,385485,262812,666966,150
  Frozen and chilled meats(cwt.)5,906,2536,976,6255,284,8485,741,3894,412,657
  Milk, dried and preserved(lb.)24,545,70423,440,04729,641,50627,585,51023,190,863
  Sugar of milk(lb.)810,780754,7401,501,3601,143,8941,144,948
  Sausage-casings(cwt.)40,81346,11245,01742,69638,690
  Cattle-hides(number)528,357519,510384,885356,767417,608
  Calf-skins(number)1,103,1821,032,1651,015,593931,058943,522
  Opossum-slims(number)82,970102,043122,709329,365141,016
  Rabbit and hare skins(number)11,190,29410,412,15613,403,67311,818,76112,290,284
  Sheep-skins and pelts(number)15,156,53613,138,92918,513,63215,603,73314,776,625
  Tallow(cwt.)582,740682,760786,5601,035,580879,100
  Lard(cwt.)19,38520,60719,55216,50717,527
  Wool(lb.)277,391,713300,288,687215,743,296307,547,296206,822,348
Agricultural products—      
  Apples(lb.)37,980,56723,708,272423,301322,620180,616
  Pears(lb.)3,925,7604001,2284,2904,860
  Peas(cental)163,755209,114256,245296,452337,162
  Hops(cwt.)1,0231,3961,9082381,623
  Onions(ton)5,0422881,1291,324875
  Potatoes(ton)1,3667,6937511,0091,729
  Seeds (grass and clover)(cwt.)45,82945,74288,19182,49990,720
  Linen-flax (fibre and tow)(cwt.)....6,27927,19451,895
Miscellaneous—      
  Ale, stout, and cider(gal.)19,02932,525442,305363,964118,868
  Phormium fibre and tow(ton)1,59368177461
  Footwear(doz. prs)19174,5565,551
  Sugar(cwt.)19,70118,52416,22521,40615,127
  Metals, scrap (not precious)(cwt.)17,0202,2903,13713,53816,654
  Nails and tacks(cwt.)2102063,4306,82149,698
  Pumice, sand and stone(ton)3,6813,1773,3053,0933,412
  Blood and blood-and-bone manures(ton)1,9301,5534602162

The values of principal exports are given in the following table.

Commodity (New Zealand Produce).1939.1940.1941.1942.1943.
The mine—£££££
  Coal59,971144,068109,500120,70490,716
  Gold1,628,5261,948,2801,830,3651,726,5401,542,793
  Scheelite7,72814,99712,91620,83946,557
  Silver35,15957,10332,41233,89920,923
The fisheries—     
  Fish162,430154,319141,746120,623116,143
  Oysters97578126227436
  Whale-oil12,99017,09919,2233,9516,397
Commodity (New Zealand Produce).1939.1940.1941.1942.1943.
* Including items not enumerated.
The forest—£££££
  Kauri-gum112,65087,45088,64374,73744,528
  Timber, sawn and hewn155,652194,370220,04294,46060,942
Pastoral products—     
  Butter16,111,20718,228,02615,777,86416,477,94314,392,759.
  Butterfat, dry....5,764449,684313,798
  Casein69,26557,80332,13315,92146,412
  Cheese5,869,8908,233,4869,833,86111,860,4719,125,958
  Honey12,37631,38732,376415801
  Live sheep64,95069,57935,64914,4035,428
  Preserved meats318,529421,373650,5501,667,0791,809,095
  Dehydrated meats......6,803547,078
  Meat extract6,03226,77487,040124,788188,830
  Frozen and chilled meats15,390,80119,681,34316,595,29017,777,43613,801,632
  Milk, dried and preserved377,506419,176699,533683,578598,228
  Sugar of milk24,41322,95846,68740,79344,034
  Sausage-casings698,317917,610804,016919,1481,087,753
  Cattle-hides505,149587,772605,895613,116679,558
  Calf-skins275,974272,290397,156451,509449,616
  Opossum-skins24,38624,88843,07090,10941,384
  Rabbit and hare skins262,904401,7161,006,238745,742903,241
  Sheep skins and pelts1,460,0721,931,9572,007,3762,806,7232,264,080
  Tallow456,527707,721818,3701,143,8791,071,232
  Lard22,50129,83426,75228,56530,208
  Wool11,665,90916,875,46312,613,37118,336,50713,483,544
Agricultural products—     
Apples520,170225,9934,6423,4001,930
  Pears54,53491811172
  Peas154,580220,160309,852350,622480,844
  Hops6,8188,39422,8533,30120,189
  Onions74,1323,01115,42117,39520,545
  Potatoes12,21444,4456,82517,90826,869
  Seeds (grass and clover)284,514369,035563,673592,681665,113
  Seeds (various)8,29014,19567,452164,901107,485
  Linen-flax (fibre and tow)....55,439209,330446,375
  Miscellaneous—     
Ale, stout, and cider4,4657,69591,91073,09426,480
  Dairying machinery35,33419,66814,3729,3949,359
  Fire-fighting appliances....1,0645,527252,214
  Nails and tacks3555007,29714,008113,471
  Electrical apparatus2,5653,1203,14127,989132,245
  Wireless apparatus2,9711,668553615105,442
  Blood - and blood -and - bone manures21,85321,7125,338203,066
  Other manures31,09614,3292,170908..
  Metals, scrap (not precious)18,0423,0994,8753,0853,206
  Foods, infants' and invalids'18,25319,08610,54214,89339,142
  Biscuits294302422,717917,7251,733,335
  Apparel and ready-made clothing3821,26251656,278448,505
  Leather3,5302,3517,1019,1215,913
  Footwear49212269,36373,633
  Phormium fibre and tow25,2121,3992,75980324
  Card-board, paste-board, wood-pulp board, &c.10516,53622,52928,678103,093
  Pumice, sand and stone11,17210,34110,97911,70112,454
  Soap5,5334,2409,53016,79430,482
  Sugar15,74316,60013,63328,60222,281
  Woollen manufactures935771,2404,4393,074
Totals, New Zealand produce*57,448,03072,973,53666,946,93680,545,57470,234,698

DESTINATION OF NEW ZEALAND EXPORTS.

The first exports from Now Zealand went naturally to the earlier-developed sister colony, and for a considerable time Australia had a monopoly of our trade. In 1865, 70 per cent., and even in 1871, 44 per cent., of the total exports went to Australia. But since the establishment of direct shipping lines the United Kingdom has absorbed the bulk of New Zealand exports, having taken during the forty years 1875–1914, £365,880,997 (78 per cent.) of a grand total of exports amounting to £469,347,969. This percentage, prior to the war of 1914–18, did not vary greatly from year to year, but there have been considerable variations since 1914. In each of the three years 1915–17 approximately 80 per cent. of exports went to the United Kingdom, but there was a sudden drop to 64.1 per cent. in 1918. By 1921 the percentage had risen to 86.4, but a continuous decline then commenced, reaching a low point of 72.9 in 1928. Particularly high figures in this respect were recorded during the depression period, the peak being reached with 88.0 per cent. in 1932. From 1933 to 1937 the general trend was downwards, but the following year saw a sharp rise, with a further increase in 1940. The war years, of course, have effected marked changes in the distribution of New Zealand's exports. The proportion sent to the United Kingdom has fallen steadily since 1940, with a particularly heavy drop in 1943. This has been compensated by appreciable increases in the export trade to Egypt, India, Canada, and Russia (U.S.S.R.).

The principal destinations of New Zealand's exports of merchandise (including re-exports) during the last twenty years are given in the table below. The principal “other countries” in 1943, in order of magnitude, were Egypt (£6,358,214), India (£2,564,426), Russia (U.S.S.R.) (£911,644), Fiji (£561,851), Western Samoa (£264,928), Iraq (£154,168), Tonga (£151,041), and Tutuila (£82,959).

Year.United Kingdom.Canada.Australia.France.Germany.United States.Other Countries.*Total Merchandise Exports.
* Including ships' stores.
 ££££££££
192441,969,691716,5432,474,879561,5691,166,3023,278,1352,342,10452,509,223
192544,066,981423,0682,489,230600,8141,614,0904,349,7581,699,10655,243,047
192635,102,087861,7173,048,282681,668364,6293,818,2321,392,30945,268,924
192736,877,8871,666,5983,665,9621,008,2911,139,6542,681,0911,456,87148,496,354
192840,510,0752,469,1502,902,6551,800,8971,290,0714,160,3152,437,21855,570,381
192940,417,0433,353,9752,338,4101,768,3991,220,5523,553,4272,278,25754,930,063
193036,015,1282,539,2121,562,281519,727401,0842,116,7521,786,33344,940,517
193130,73,976256,8901,167,403419,016309,847920,9311,136,63534,950,698
193231,344,670244,1601,444,860508,960289,917690,0151,087,33735,609,919
193335,275,909560,8751,393,311738,179376,8861,188,9721,471,79041,005,919
193438,629,240697,8651,882,5161,228,699944,3101,250,3642,709,85347,342,847
193538,921,568656,9841,781,811484,610165,3042,468,0662,060,03846,538,381
193645,492,9891,103,0081,843,4751,646,168272,4812,877,7523,516,06756,751,940
193750,705,5911,678,4031,824,1831,014,941919,1484,784,0995,787,01466,713,379
193848,897,9901,127,1242,189,4541,015,456890,9761,421,6302,833,65358,376,283
193946,689,198963,7102,256,0071,579,176390,0062,847,1583,324,06158,049,316
194064,129,1061,709,1692,159,339716,752..2,825,8982,200,86973,741,133
194152,395,5382,822,3342,400,266....5,190,6134,670,66267,479,413
194260,471,0983,616,6462,717,619....5,990,0678,489,20781,284,637
194346,367,9404,535,2072,849,125....6,385,40211,724,92471,862,598

The statistics quoted in the foregoing table indicate the destination of New Zealand exports as recorded by the Customs Department. In some instances the ultimate destination of exports is not known at the time of export, such goods being entered as exported to the country to which they are being shipped. This consideration applies more particularly to wool, considerable quantities of which. are shipped to the United Kingdom, and, in normal times, subsequently re-exported to the Continent. It should be observed, however, that in all instances where the final destination is known at the time of export the exports are credited to that. destination in the New Zealand trade statistics. It is possible, of course, that the destination of goods may be changed while in transit; and this, in fact, happens occasionally in the case of wool. In such cases the actual destination will be different from that to which the goods have been credited in the statistics; but. it is quite impossible to keep a record of 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 such instances, the wool is entered in the New Zealand statistics as exported: to the United Kingdom.

It will be realized from the considerations outlined above that the actual final destinations of New Zealand exports may vary appreciably from the classification shown in the table. For these reasons it is probable that our exports to Continental' countries are normally somewhat higher than the figures indicate; conversely, our exports to the United Kingdom for retention in that country are lower than the totals quoted in the table.

The table which follows shows for each of eleven years the percentage of total exports (excluding specie, and—in 1937 and subsequent years—ships' stores), taken by each of the principal countries trading with the Dominion.

Country.1933.1934.1935.1936.1937.1938.1939.1940.1941.1942.1943.
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
United Kingdom86.0381.5983.6380.1676.3084.1780.9987.6078.1574.9764.88
India0.080.140.130.220.200.240.251.061.551.283.59
Union of South Africa0.030.060.060.040.050.030.100.030.040.020.04
Canada1.371.461.411.952.531.941.672.344.214.486.35
Australia3.403.983.833.252.753.773.912.953.583.373.99
Fiji0.210.180.190.180.140.170.250.260.260.470.78
Other British countries0.380.420.520.480.460.430.550.450.630.490.72
Totals, British countries91.5087.8389.7786.2882.4390.7587.7294.6988.4285.0880.35
Belgium0.811.291.391.091.030.631.52........
France1.802.601.042.901.531.752.740.98......
Germany0.922.000.360.481.381.530.68........
Russia (U.S.S.R.)................0.992.431.28
Egypt0.01..0.020.030.040.280.060.092.204.478.90
Japan0.861.810.932.744.711.020.680.110.07....
United States of America2.912.645.305.077.202.454.943.867.747.438.93
Other foreign countries1.191.831.191.411.681.591.660.270.580.590.54
Totals, foreign countries8.5012.1710.2313.7217.579.2512.285.3111.5814.9219.65

Exports to each Country, 1939–43.

The table following shows the exports (including re-exports, but excluding specie) for live years 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.

Country.1939.1940.19411942.1943.
 £££££
United Kingdom46,689,19864,129,10652,395,53860,471,09846,367,940
British Possessions, Protectorates, Mandated Territories, &c.
Europe—
  Eire114767562345,134
  Malta353,471....
  Other....2....
 1177724,035345,134
Asia—
  Burma1,7069376,6122..
  Ceylon2417741,67016,65517,089
  Hong Kong24,45827,21025,74359..
  India145,548776,5111,042,0471,030,3042,564,426
Malaya111,006124,774137,51027,814..
  Palestine31,31616,0571,59022,758
Other33813720122..
 282,995932,3351,230,3591,076,5462,604,273
Africa—
  Union of South Africa60,09521,69924,20519,52126,882
  Kenya and Uganda61892515510,87649,914
  Other3153714552571,145
 61,02822,99524,81530,65477,941
Country.1939.1940.1941.1942.1943.
British Possessions, Protectorate, Mandated Territories, &c.—ctd.£££££
America—     
  British West Indies52,85042,32273,79366,656..
  Canada963,7101,709,1692,822,3343,616,6464,535,207
  Other1649,12955,62161,3716
 1,016,7241,760,6202,951,7483,734,6734,535,213
Pacific—     
  Australia2,256,0072,159,3392,400,2662,717,6192,849,125
  Fiji143,098189,828174,017378,670561,851
  Gilbert and Ellice Islands5,9907,6478,9231,203 
  Nauru Island5,2372,6596,124....
  Norfolk Island38918117923151
  Papua6,1093,7653,693311..
  Solomon Islands3171,294976....
  Tonga23,22830,07822,27467,507151,041
  Western Samoa75,51164,93158,663148,338264,928
  Other3,3207,814839154208
 2,519,2062,467,5362,675,8543,313,8253,827,304
Foreign Countries and Possessions     
Europe—     
  Belgium874,62049......
  Bulgaria14,572........
  Czechoslovakia20,1293......
  Denmark46,7263......
  Finland5,11115......
  France1,579,176716,752......
  Germany390,006........
  Greece35,119..81,155....
  Italy1,565182......
  Netherlands266,278414......
  Poland86,712........
  Portugal17,672..7....
  Spain..........
  Sweden176,71377......
  Switzerland2,194365231..
  Yugoslavia1,0144......
  Russia (U.S.S.R.)....667,0221,962,813911,644
  Other3,82910......
 3,521,436717,874748,2071,962,814911,644
Asia—     
  China69,6397,4138,913....
  French Indo-China5,6977,984523....
  Iraq..140310269,532154,168
  Japan890,78381,45744,884....
  Netherlands East Indies7,8236,8498,80314,858..
  Philippine Islands12,51215,58215,69323..
  Thailand5,72537318....
  Other13149335946..
 492,310120,29179,503274,459154,168
Africa—     
  Algeria........72,316
  Egypt34,35664,1071,475,9913,607,8216,358,214
  Other7006469237114
 35,05664,1131,476,4608,608,0586,430,643
America—     
  Argentina3,5934,9035,09611,315..
  Brazil9,3613,4152,7685,3399,360
  Chile45..61,193540
  Ecuador4......7
  Panama Canal Zone67,02746,68161,39041,006..
  United States of America2,847,1582,825,8985,190,6135,990,0676,385,402
  Uruguay1,8657098,112687..
  Other2,09871,9545,061..
 2,931,1512,881,6135,269,9386,054,5686,395,309
Pacific—     
  Hawaii55,82267,23985,2567586
  New Caledonia6827,5826,287..27
  Society Islands29,36425,79856,28067,49855,062
  Tuamotu Archipelago....5,3476,29215,343
  Tutuila14,74214,90535,99359,23582,959
  Other5216932..37
 100,662105,693189,195133,100153,514
Ships' stores399,433538,185433,761624,808399,448

Destination of Main Exports.

Full details of quantities and values of commodities exported to various countries are given in Part I of the annual Statistical Report on Trade and Shipping, while in Part II of the same report values of exports of principal commodities to various countries are summarized. The table which follows shows quantities of principal export commodities sent to various destinations during the last five years. Both New Zealand produce and re-exports are covered.

Country to which exported.1939.1940.1941.1942.1943.
Wool
 lb.lb.lb.lb.lb.
United Kingdom154,959,078257,504,234145,200,646179,290,41189,887,929
India186,50311,415,46414,968,42412,724,13210,820,339
Union of South Africa33,127........
Canada8,477,32415,636,28929,780,92752,216,53458,774,508
Australia14,644,2061,568,5754,048,118328,9922,537,664
Belgium17,974,138........
Bulgaria341,468........
Czechoslovakia£46,713........
Denmark812,009........
France87,574,44214,161,430......
Germany5,545,100........
Greece843,455..1,667,938....
Italy..35,845......
Netherlands5,134,562........
Poland2,007,928........
Portugal866,962........
Russia (U.S.S.R.)....10,927,99730,677,88912,356,442
Sweden3,224,495........
Yugoslavia22,018........
China1,231,5582,65......
Japan8,312,591........
Egypt634,910........
United States of America14,428,149..9,149,24632,309,33832,445,466
Other countries55,132........
Totals277,391,713300,288,687915,743,296307,547,296206,822,348
Frozen and Chilled Meat
 Cwt.Cwt.Cwt.Cwt.Cwt.
United Kingdom5,876,2426,929,8254,964,5075,009,9223,776,518
Canada9,9639,80527,89615,617534
Egypt..29,832247,413671,324595,072
United States of America12,5016,32029,97639,5367,369
Hawaii4,6533,98012,655....
Pacific islands (other than Hawaii)1,4471,3251,9274,8647,238
Other countries (including ships' stores)1,4451,03847412625,926
Totals5,906,2516,976,6255,284,8485,741,8894,412,657
Butter
 Cwt.Cwt.Cwt.Cwt.Cwt.
United Kingdom2,391,5122,583,8942,208,6442,818,2111,981,163
Hong Kong2,9872,9741,379....
India4,9614,9843,667241..
Malaya6,5635,4926,488624..
Union of South Africa5,600........
Bermuda..1,0157,2367,118..
British West Indies7,7655,7649,9729,087..
Canada5001,5754,953151..
China1,3516065....
Philippine Islands1,7752,2152,216....
Panama Canal Zone9,9256,5508,2505,600..
United States of America1,697575848....
Hawaii5,9765,3755,788....
Society Islands3972095071,875762
Other countries (including ships' stores)2,2882,0183,1221,7203,262
Totals2,443,2972,622,7002,263,1352,844,6221,985,187
Cheese
 Cwt.Cwt.Cwt.Cwt.Cwt.
United Kingdom1,676,3202,031,2342,317,1302,663,5771,979,232
Hong Kong835455....
India8753282....
British West Indies58........
Canada1451,6251,117....
Australia16887..4,06420
Fiji325315333340430
Egypt....11319,29829,783
United States of America....47,124....
Other countries (including ships' stores)7113881342482
Totals1,677,2572,033,5062,366,2352,687,6212,009,947
Milk (Dried, Preserved, and Condensed)  
 lb.lb.lb.lb.lb.
United Kingdom20,477,38417,266,18419,574,76818,786,82418,613,224
Burma1,1202,240157,120....
Ceylon10,08034,72050,320....
Hong Kong41,61088,410298,186....
India315,7661,271,7652,240,1581,646,2082,571,172
Malaya3,104,3023,780,0772,781,299185,800..
Palestine..50,220330,400....
British West Indies18,63233,87029,52049,300..
Australia88,15672,920148,938168,000235,248
Fiji7,19517,70526,440290,962346,483
Western Samoa25,19120,87421,92087,640153,691
China119,516254,622196,000....
French Indo-China.54,410......
Netherlands East Indies3,36011,27818,162....
Egypt..100,8003,233,7046,076,653858,384
Panama Canal Zone78,40044,80073,92022,400..
Hawaii4742,24036,400....
Society Islands224,264292,326392,778237,731296,715
Other countries (including ships' stores)30,25440,58631,47333,992115,889
Totals24,545,70423,440,04729,641,50627,585,51023,190,806
Tallow
 Ton.Ton.Ton.Ton.Ton.
United Kingdom19,74131,31519,71942,65323,114
India4,8152,5344,5301,030635
Canada5551005,3645235,931
Australia27201,817....
Fiji2121491115138
Belgium336........
Germany1,740........
Netherlands411........
Thailand25420......
United States of America566..7,6127,45814,137
Other countries480..285....
Totals29,13734,13839,32851,77943,955
Hides (Cattle and Horse)
 Number.Number.Number.Number.Number.
United Kingdom95,497318,050118,32064,48171,391
India6,367........
Canada93,69764,89068,54736,64635,027
Australia91,81322,43747,852103,03999,956
Belgium70,406........
Denmark14,087........
Finland3,792........
France31,674........
Germany18,638........
Netherlands3,820........
Sweden854........
Yugoslavia21........
Japan3,833........
United States of America102,282115,048150,782163,983213,143
Other countries3,636..1,049....
Totals530,317520,425386,550858,149419,517
Calf-skins
 Number.Number.Number.Number.Number.
United Kingdom95,183310,816277,918107,930114,572
Canada191,617120,693145,721135,71197,641
Australia25,4671,3396933,79322,189
Belgium30,200........
Netherlands26,869........
United States of America733,946598,917591,167683,624709,120
Other countries..40094....
Totals1,103,1821,032,1651,015,593931,058943,522
Opossum-skins
 Number.Number.Number.Number.Number.
United Kingdom46,42926,22013,430....
Canada..3,00015,53210,9352,378
United States of America36,52872,82393,747318,430138,638
Other countries13........
Totals82,970102,043122,709329,365141,016
Rabbit-skins
 Number.Number.Number.Number.Number.
United Kingdom450,263440,5502,189,1052,007,538575,846
Canada29,940210,791660,713735,547953,671
Australia1,409,375257,06931,1942,4002,283
Belgium201,971........
France88,35647,406......
Netherlands East Indies18,439........
United States of America8,991,9509,456,34010,522,6619,073,27610,758,484
Totals11,190,29410,412,15613,403,67311,818,76112,290,284
 Sheep-skins (with Wool)  
 Number.Number.Number.Number.Number.
United Kingdom500,433874,75641,77095,32092,022
Canada178,621617,856429,210438,175258,426
Australia18,615..200....
Belgium11,886........
France604,145........
Germany65,444........
Netherlands22,022........
United States of America531,506306,189298,400479,790426,131
Totals1,932,6721,798,801769,5801,013,285776,679
 Sheepskins (without Wool)  
 Number.Number.Number.Number.Number.
United Kingdom2,404,0834,906,947874,1103,202,6333,035,165
India300..24,000....
Canada91,318162,72355,70454,000455,019
Australia270,06350,076....4,704
Belgium624,451........
France39,565........
Germany4,318........
Netherlands12,610........
Japan78,288160,978137,229....
United States of America9,698,8686,059,40416,653,00911,333,81510,505,168
Totals13,223,86411,340,12817,744,05214,690,44814,000,046
Sausage-casings
 lb.lb.lb.lb.lb.
United Kingdom1,728,0541,711,7931,422,6891,719,5331,740,351
Canada1,362,9281,151,6221,662,3881,054,346779,025
Australia149,666371,011235,211285,674248,513
United States of America1,330,0211,936,3251,808,6141,716,0341,562,244
Other countries1,5214,14413,0167,3933,165
Totals4,572,1905,174,8955,041,9174,781,9804,333,298
Peas (Unprepared)
 Cental.Cental.Cental.Cental.Cental.
United Kingdom93,763166,308199,653198,312151,655
Union of South Africa6,4884,5085,4695,4401,440
Canada1,1356802,262672594
Australia47,35436,18942,79984,580180,405
Belgium4,754........
Germany1,148........
United States of America4,1131,3866,0416,9522,296
Other countries..4321496772
Totals163,755209,114256,245296,452337,162
Apples (Fresh)
 lb.lb.lb.lb.lb.
United Kingdom24,814,52022,576,320400....
Malaya100,80091,12065,600....
Canada2,354,520742,080......
Fiji136,132172,552222,282289,690163,476
Western Samoa13,90914,14012,21922,8107,680
France2,076,720........
Germany4,232,120........
Netherlands1,519,640........
Sweden1,902,840........
Netherlands East Indies97,40093,600101,640....
Philippine Islands44,000........
Brazil680,000........
Other countries (including ships' stores)10,67318,46021,16010,1209,460
Totals37,983,27423,708,272423,301322,620180,616
Seeds (Grass and Clover)
 Cwt.Cwt.Cwt.Cwt.Cwt.
United Kingdom12,14026,17642,21259,17956,963
Union of South Africa66917645175..
Canada1,5641,6053,0181,6262,461
Australia19,5266,13021,3047,21716,443
Denmark151........
Netherlands445........
United States of America11,48610,94020,03514,30114,414
Other countries1588171,5842441
Totals46,13945,84488,19882,50090,722
Timber (Sawn and Hewn)
 Sup. ft.Sup. ft.Sup. ft.Sup. ft.Sup. ft.
United Kingdom136,932135,045....7,000
Australia11,824,38815,192,28617,533,3326,703,9083,714,813
Fiji20,002553,203180,226211,70011,353
Tonga159,072110,995223,310207,190305,498
Western Samoa1,067,9011,340,2561,091,964320,080471,005
Other countries7,90710,1248,276..3,607
Ships' stores118,47864,89236,02832,11825,504
Totals13,334,68017,406,80119,073,1367,474,9964,538,780

EXPORTS FOR YEARS ENDED 30th JUNE.

As indicated elsewhere in this section (page 691) 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 30th June, in normal times, the great bulk of the season's farm-produce destined for export is shipped, except held-over wool and a certain amount of dairy-produce and frozen meat kept in cool store to equalize shipments. It is desirable, therefore, for some purposes to tabulate New Zealand exports for years ending in June instead of December, a desideratum which, it may be observed, applies to most countries in the Southern Hemisphere.

EXPORTSOF NEW ZEALAND PRODUCE (QUANTITIES) FOB YEARSENDED 30TH JUNE

Commodity.1939–40.1940–41.1941–42.1942–43.1943–44.
Buttercwt.2,319,8752,689,7812,141,8912,057,7842,071,782
Caseincwt.42,61817,8072,32010,84112,549
Cheesecwt.1,749,0052,505,6492,633,1572,226,1131,599,999
Fishcwt.38,22139,16033,15225,43624,560
Honeylb.1,260,398805,719237,1987,55277,400
Beef, chilledcwt.49,059236......
Beef, frozencwt.913,7301,184,434778,683717,14759,826
Lamb, frozencwt.3,152,1692,441,8363,248,3733,211,7622,702,278
Mutton, frozen1,578,318876,230893,085399,797533,430 
Pork, frozencwt.492,272445,400479,17845,6474,127
Veal, frozencwt.167,876171,7953,324128,422113,793
Meats, cannedcwt.78,05169,967244,205383,294165,369
Sausage-casingslb.5,391,2384,200,4005,140,6884,433,6834,163,157
Milk, preservedlb.7,253,5746,954,43311,610,4923,711,4001,279,154
Milk, driedlb.17,496,68120,432,11818,965,24120,356,01515,256,285
Apples, freshlb.24,116,844355,843380,490324,6769,360
Pears, freshlb.1,040802,2587,7801,020
PeasCental165,675182,573291,585419,343120,731
Hopslb.169,908123,802165,24233,745165,107
Potatoeston1,1857,4087121,2191,985
Calf-skinsNo.1,067,2411,052,7071,002,6391,050,217950,878
Hides, cattleNo.448,168494,973356,751393,574392,099
Rabbit-skinsNo.10,831,04510,721,79614,722,69611,583,91415,362,540
Opossum-skinsNo.108,878150,515263,113189,595243,782
Sheep-skins, with woolNo.2,038,144786,766984,580971,841778,140
Sheep-skins, without woolNo.12,552,51614,559,70815,238,73715,170,13613,448,425
Woolbale806,098591,660733,786745,359752,082
Phormium fibreton483..78..1
Linen-flax (fibre and tow)cwt.....21,80039,14847,894
Seeds, grass and clovercwt.40,94658,28099,82162,689107,403
Tallowton31,71222,69060,81645,50135,162
Coalton82,76048,63366,65945,60833,090
Kauri-gumton2,4061,3321,2274861,081
Goldoz.185,230176,495174,002146,345146,493
Silveroz.370,002431,260315,689153,512214,392
Timber, sawnsup. ft.16,384,99918,751,41512,143,9777,037,0213,558,298

EXPORTSOF NEW ZEALAND PRODUCE (VALUES) FOR YEARSENDED 30TH JUNE

Commodity.1939–40.1940–41.1941–42.1942–43.1943–44.
* Including commodities not enumerated.
 £££££
Butter16,059,08118,675,67814,951,77814,723,59115,019,292
Casein88,01344,7556,57034,89139,401
Cheese6,776,24010,154,91511,504,55310,014,1967,268,905
Fish148,129161,546141,502115,221126,401
Honey38,99828,0748,8373613,144
Beef, chilled95,976502.... 
Beef, frozen1,672,9452,327,4711,953,1171,653,984144,169
Lamb, frozen10,821,4828,628,81911,321,81711,084,8909,388,201
Mutton, frozen2,716,8651,616,1301,625,370678,454930,168
Pork, frozen1,733,7271,613,5611,817,856165,82317,154
Veal, frozen364,909401,8417,655293,079260,937
Meats, canned399,125400,2161,226,1832,060,493926,845
Sausage-casings941,338653,479911,7691,040,4571,037,783
Milk, preserved131,951162,931295,56196,84148,162
Milk, dried281,763418,945458,732506,541404,271
Apples, fresh231,8193,9574,0993,468147
Pears, fresh2424214925
Peas178,415230,027325,478546,930198,455
Hops9,1469,62818,2024,23618,198
Potatoes9,64142,97310,75721,48631,898
Calf-skins273,579285,669406,950507,292460,884
Hides, cattle493,560588,158607,725663,808619,586
Rabbit-skins285,844455,5951,156,855594,1221,232,724
Opossum-skins27,88141,04282,89743,620102,516
Sheep-skins, with wool544,517282,481352,587499,634391,199
Sheep-skins, without wool1,397,5011,384,9232,078,1382,210,5841,832,475
Wool14,663,64411,611,42914,429,38215,216,72516,310,924
Phormium-fibre7,797..1,553..24
Linen-flax (fibre and tow)....150,176340,589437,279
Seeds, grass and clover324,140402,353661,835429,352915,861
Tallow589,782489,0051,292,4811,056,443849,089
Coal139,57281,810143,58199,01266,538
Kauri-gum121,22673,68087,07936,78572,750
Gold1,854,6631,837,6981,803,4081,506,0801,507,431
Silver45,73450,76934,39316,25122,672
Leather1,6112,50810,3407,7106,032
Timber, sawn180,242213,933151,72188,44452,545
Totals*65,160,75065,068,18073,351,53071,091,89970,216,877

RE-EXPORTS.

The forwarding trade of New Zealand has never at any time been of great significance. The bulk of the total amount is made up by various classes of machinery, hardware, metal manufactures, motor-vehicles, and also items such as apparel, books, tobacco, spirits, and films.

There is a genuine entrepôt trade with the islands of the Pacific., the amount of which is, however, comparatively small. Exports to Cook Islands and Niue, which are treated as part of the Dominion, are not included in the figures of either exports or re-exports.

RE-EXPORTS (EXCLUDING SPECIE) FROM NEW ZEALAND

 £
1923567,885
1924588,395
1925722,016
1926929,741
1927925,121
1928910,016
1929754,050
1930731,111
1931631,454
1932633,532
1933597,168
1934571,554
1935486,648
1936488,135
1937505,322
1938575,657
1939601,286
1940767,597
1941532,477
1942739,063
19431,627,900

The destination of this re-export trade is shown in the following table.

Country.1839.1940.1941.1942.1943.
 £££££
United Kingdom38,40039,6934,4993,41125,948
Canada1,0741,892446..112
Australia96,381176,624102,19580,88690,039
Fiji71,906107,32071,858114,864130,859
Tonga5,96813,6236,9597,55217,739
Western Samoa20,40812,76810,46313,07841,395
Egypt....2605671,010,178
United States of America19,24520,67115,5656,44713,846
Society Islands1,5231,4407754891,824
Other countries20,76910,15611,67635,3175,126
Ships' stores325,612383,410307,781476,452290,834
Totals (excluding specie)601,286767,597532,477739,0631,627,900

EFFECT OF PRICES ON NEW ZEALAND EXPORTS.

The incidence of fluctuating prices over a number of years operates to render the currency aggregate of a country's trade of little value as an indicator of movement in the volume of trade—i.e., from a quantity point of view. Owing to the homogeneous nature of the bulk of the Dominion's exports it is possible, fortunately, in nearly every case to obtain the quantity exported as well as the value. By taking the average export values of any particular year, and applying to them the quantities exported for any other year, it is possible to obtain a reliable indication of changes in the volume of exports. A computation on the above basis is particularly applicable in the case of New Zealand, as approximately 97 per cent. of the Dominion's exports are treated quantitatively.

Comparisons of movement in the volume of exports are usually made over short periods in New Zealand, and therefore a computation of value of exports on the basis of values ruling in the previous year is of interest not only as indicating the effect of price-changes from year to year, but also in that it gives a reliable indication of year-to-year changes in the volume of exports. By establishing the relationship of the various years with their immediate predecessors it is possible to obtain link relatives, and by the application of these link relatives to a given base year or period a series of chain relatives (index numbers) permitting longer term comparisons is obtained. Index numbers on the base 1926=100, and computed by the method indicated above, are given in the next table.

Year.Total Exports (New Zealand Produce).Effect of Price-changes.Index Numbers of Volume of Exports (N.Z. Produce).
Recorded Value.Value at Prices of Previous Year.Gain.Loss.
 ££££(1926=100)
192644,339,18354,696,306..10,357,123100
192747,571,23348,094,196..522,963109
192854,660,36549,091,4665,568,899..112
192954,176,01356,465,248..2,289,235116
193044,209,40655,655,835..11,446,429119
193134,319,24444,630,116..10,310,872120
193234,976,38738,128,569..3,152,182133
193340,408,75140,999,141..590,390156
193446,771,29339,039,1927,732,101..151
193546,051,73345,694,497357,236..147
193656,263,80549,172,2617,091,544..157
193766,208,05755,966,79110,241,266..157
193857,800,62662,933,946..5,133,320149
193957,448,03058,702,703..1,254,673151
194072,973,53663,558,8919,414,645..167
194166,946,93665,141,6811,805,255..149
194280,545,57478,539,1322,006,442..175
194370,234,69867,369,9982,864,700..147

As mentioned previously, the comparison of each year with the preceding year brings out the gain or loss resulting from a rise or fall in prices. The gain or loss shown for individual years represents the increase or decrease in value due to rising or falling prices.

A study of the figures given in the Statistical Summary at the end of this book, showing quantities and values of the principal commodities exported over a lengthy period of years, will give a good idea of the relative effects of increased volume and of price-movements in the huge growth of external trade over the period as measured by the total value of exports.

The following comparison between the year ended 30th June, 1939, and the two latest years—1942–43 and 1943–44—is of interest as showing the influence of altered prices on the value of exports of principal commodities. As mentioned earlier, June years are in many respects preferable to calendar years, as affording a comparison between one season and another.

CommodityTwelve Months ended 30th June, 1930.Twelve Months ended 30th June, 1943.Twelve Months ended 30th June, 1944.
Recorded Value.Value at Prices of 1938–39.Recorded Value.Value at Prices of 1938–39.
 £££££
Butter15,813,14414,723,59113,217,65015,019,29213,307,563
Cheese5,726,52310,014,1967,941,8077,268,9055,708,104
Beef, frozen1,078,8071,653,9841,204,518144,169100,484
lamb, frozen8,768,23611,084,89010,865,8509,388,2019,142,193
Mutton, frozen1,812,624678,454704,336930,168939,762
Pork, frozen1,685,675165,823149,65317,15413,530
Veal, frozen265,485293,079244,288260,937216,461
Meats, canned274,4992,060,4931,724,195926,845743,889
Sausage-casings672,7001,040,457680,6101,037,783639,082
Milk, preserved99,24296,84163,21648,16221,788
Milk, dried237,272506,541286,979404,271215,083
Peas144,071546,930373,393198,455107,502
Calf-skins238,737507,292231,407460,884209,518
Hides, cattle475,227663,808345,482619,586344,187
Rabbit-skins244,191594,122246,0311,232,724326,285
Sheep-skins, with wool386,470499,634186,853391,199149,611
Sheep-skins, without wool1,045,3112,210,5841,131,2071,832,4751,002,822
Wool12,899,39715,216,72510,676,02816,310,92410,772,324
Tallow453,4901,056,443728,148849,089562,694
Gold1,505,8181,506,0801,289,6501,507,4311,290,954
Totals of above items53,826,91965,119,96752,291,30158,848,65445,813,836

Exports during 1943–44 of the commodities dealt with realized £13,034,818 more than they would have at prices ruling in 1938–39. In 1942–43 the corresponding gain was £12,828,666.

Certain export items other than those mentioned in the above table assumed importance during the war years (e.g., biscuits, dry butterfat, dehydrated meats, linen-flax, &c), with the result that the aggregate recorded value of the items listed in the table was reduced from 94 per cent. of the total exports of New Zealand produce for the year ended 30th June, 1939, to 84 per cent. for the year ended 30th June, 1944

EXPORTS TO COOK ISLANDS AND NIUE.

Trade with the Cook and other annexed Pacific Islands is not regarded as external to New Zealand, but merely as interchange between different parts of the Dominion, 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 the Dominion and the annexed islands, and exports to the islands are summarized below.

Year.Exports.
 £
193356,254
193454,261
193553,109
193666,857
193787,658
193864,456
193967,968
194075,445
194175,814
194273,673
1943103,760

Further particulars regarding the trade of the Islands will be found in the section of this book dealing with Island Territories.

SUBSECTION C.—IMPORTS

THE statistics of imports are compiled from entries passed at the Customs. The value shown for all merchandise imported is the current domestic value in the country of export at the time of exportation, plus an allowance of 10 per cent. to cover freight, insurance, &c. Import values are expressed in terms of New Zealand currency. In Subsection A will be found (in conjunction with export figures) a summary of import totals for recent years, expressed both in New Zealand currency and in sterling, together with a series of index numbers of the volume of import trade and of the value, expressed in terms of gold, sterling, and New Zealand currency. Import totals are exclusive of specie, except where the contrary is expressly stated.

Owing to war conditions, details of imports for 1943 were not available in time for the compilation of the various classifications and summary tables of this subsection, and consequently the statistics quoted in most instances throughout this section do not extend beyond the year 1942.

IMPORT CONTROL.

The Import Control Regulations, which came into force on 7th December, 1938, prohibit the importation of all goods into New Zealand except under a license or unless exemption from a license is granted by the Minister of Customs. Application for a license must be made in the prescribed form to the Collector of Customs at the port at which it is desired to import the goods. The policy generally is to ensure that after overseas debt commitments have been met from the sterling funds the maximum funds available will be provided for the importation of essential commodities, with particular regard to the needs of primary and industrial production in the Dominion and—during the war period—to the availability of supplies and shipping, and the dictates of a war economy. In the consideration of a license, existing stocks and probable requirements are taken into account, and also the possibility of manufacturing in New Zealand goods which were formerly imported. A further important feature of the policy has been the desire to give the greatest possible preference to the goods of United Kingdom manufacturers.

The issue of import licenses to the end of 1940 was for six-monthly periods, the first period commencing on 1st January, 1939. The brief period from 7th December to 31st December, 1938, was regarded as a preliminary one during which all goods imported were exempt from a license, provided that they were in transit prior to the date of the regulations (5th December) and also that they arrived in the Dominion not later than 31st December. Reductions were made in certain classes of imports during the first half of 1939, the basic period taken being the first half of 1938; but certain factors referred to later operated to more than offset these reductions, and total imports during the first half of 1939 were actually nearly £1,100,000 more than for the similar period of 1938. Moreover, there was no perceptible change in the direction of trade, and goods of United Kingdom origin imported during that period of 1939 were, expressed as a percentage of total imports, slightly less than in 1938. The factors responsible for increased imports in 1939 were: (1) additional imports of plant and materials were made for the development of industry within the Dominion, and (2) the provision requiring unlicensed goods to be landed by 31st December, 1938, was partly relaxed. Considerable quantities of goods were on order prior to the introduction of control, and provided they were not abnormally large and were the subject of orders despatched overseas before 5th December, 1938, they were admitted without restriction.

The basis for the issue of licenses for the second half of 1939 was announced on 22nd April, 1939. Although the fall in sterling funds had been arrested, it was anticipated that—mainly because of lower wool-prices—the return from exports in 1939 would be less than in 1938. Accordingly it was considered necessary to apply greater restriction for the second half of 1939, the basic period being the second half of 1938. The majority of imports were restricted, in some cases to the extent of 100 per cent., and a maximum preference was given to the United Kingdom. Complete prohibition was applied to, among other items: biscuits, chewing-gum; confectionery; matches; soups; cigars, cigarettes, and cut tobacco; beer, whisky, and other alcoholic beverages; various articles of apparel; bags and sacks; carpets, linoleum, and other floor-coverings; bottles; musical instruments; wireless receiving-sets; hand lawn-mowers; storage batteries and parts; electric irons; vacuum cleaners; tinware; assembled motor-vehicles; paints and varnishes; sawn dressed timber; and coal. Imports of unassembled or completely knocked down motor-vehicles from all sources were cut by 40 per cent., but consideration was given to the granting of licenses for additional unassembled vehicles up to 60 per cent. of the value of assembled vehicles imported during the first half of 1938. Consideration was also given to the granting of licenses where importers were able to arrange supplies without drawing on the sterling funds, and a result of this arrangement was that many commodities on the completely prohibited list were for some time in fair supply. The importation of fruits, vegetables, and certain other products was placed under the control of the Internal Marketing Division of the Marketing Department.

Conditions for the third licensing period, from January to June, 1940, were made known on 20th October, 1939. Imports for this period were again based on the 1938 level, and, owing to the prospective additional call on sterling funds for loan repayments and war requirements, they were subject to even greater restriction than before. Although a wide range of goods, generally materials for industry and other essential commodities, carried no restriction other than a confinement to the 1938 level, and many other goods were cut only when from a source other than the United Kingdom, the restriction generally was severe. The policy of maintaining a maximum volume of trade with the United Kingdom was emphasized, but it was recognized that owing to the uncertainties of war it might not always be possible to obtain imports from that source, in which case it was decided to give preference, as far as practicable, to some other British country.

Although some minor concessions were made for the fourth licensing period (July to December, 1940), increased costs of essential imports made impossible any general relaxation of the restrictions. More than 300 items and sub-items, including motor-vehicles, of a total of approximately 780 on the Tariff list were completely banned. Virtually all imports of foreign origin were prohibited. The practice adopted in the second period of giving consideration to importers not obliged to call on sterling was discontinued, except for the importation of plant for the establishment of a business in New Zealand. Among the minor increases were carpets, linoleum, gum-boots, hot water bags, rubber tires, women's stockings, and certain classes of chinaware and hardware.

Import licenses for the fifth period, in order to give importers a longer time in which to make their arrangements, were made to cover the full year 1941 instead of a six-monthly period as previously. Increases were allowed for a few items, including parts of motor-vehicles, motor engines, rubber tires for motor-vehicles, gum boots, and chinaware for table use. Some provision was also made for imports of chassis for motor-trucks. On the other hand, the restrictions were further tightened for a number of items, and total prohibition was applied to wooden matches, cotton-wool, women's cotton stockings, and bicycle tires and tubes.

A further cut was made in imports for the sixth period (1942). For the purpose of allocating licenses, imports were divided into six groups. In the first group imports from the United Kingdom and Crown Colonies only were allowed up to 50 per cent. of the 1940 value from these sources. In the second group, the allocation for imports from the United Kingdom and other British countries was also up to 50 per cent. For the third and fourth groups imports from all sources were allowed up to 50 per cent. and 100 per cent. respectively of 1940 values. In the fifth group applications for licenses were considered individually, and in the sixth group no allocation at all was made.

The basis fixed for allocations for the seventh period (1943) was, with certain modifications, the same as for the sixth period. In regard to certain specified items for which formerly an allocation was made it was decided to consider them individually, owing to the indefinite nature of the supply position overseas. The allocation for a number of other items was reduced because of the impossibility of obtaining the same quantities as previously. For certain essential goods it was made obligatory to order through the Ministry of Supply, to enable a scheme of bulk purchasing to be carried out.

No fundamental change was made for the eighth period (1944), the basis of allocations being largely the same as for 1943. Additional items were added to the list of essential goods which were subject to arrangement by the Ministry of Supply in connection with its bulk purchasing scheme. All applications for licenses for imports from the United States of America, irrespective of whether a basic allocation was indicated in the schedule, were subject to review in relation to the programme of requirements for imports from that country, and similar conditions obtained in respect of certain goods from other countries. Applicants for licenses to import textiles of cotton, rayon, and wool were required to make application for specific classes of these goods in order that information would be available as to the types and quantities ordered. This information was required by the authorities in the United Kingdom and the United States of America in connection with purchases from those countries, and was also necessary for the purpose of ensuring that the types of goods required to meet the needs of the community within the Dominion's rationing and stabilization policy were being procured.

The basis of allocation and the procedure to be followed for the ninth period (1945) were fundamentally the same as for the previous year, but in a considerable number of cases “control” items were replaced by basic allocations, thereby facilitating the granting of licenses. Certain imports from Canada were required to be processed for procurement under the Mutual-aid Agreement, and any imports to which the agreement applied were to be arranged on a Government-to-Government basis. As far as possible the Ministry of Supply was to arrange for such goods to be distributed in New Zealand through the ordinary trade channels. In view of the delays that were still being experienced in having orders fulfilled, eighth period (1944) licenses in respect of orders placed overseas prior to 1st November, 1944, were extended till 30th June, 1945.

CLASSIFICATION OF IMPORTS.

A classification of imports under four broad divisions is given in the following table for the last eleven years available. Taken in conjunction with a table based on the same classification which is given in Subsection B (Exports), the figures show plainly how New Zealand's export trade is derived predominantly from the products of her primary industries, and her import trade consists very largely of manufactured or partly manufactured goods. Imports of raw materials and articles mainly unmanufactured have, however, increased considerably in recent years. Between 1936 and 1941 the value of such imports increased by 84.8 per cent., while their proportion to total imports in 1941 was 6.4 per cent., as compared with 3.8 per cent. in 1936. In 1942 the total value of such imports declined substantially, while there was a considerable increase in the imports of manufactured goods, due to the building up of supplies of war materials from overseas to meet the war situation of that year.

Year.Food, Drink, and Tobacco.Raw Materials and Articles mainly unmanufactured.Articles wholly or mainly manufactured.Miscellaneous and Unclassified.Total Merchandise.
 £££££
19324,180,2841,236,46319,072,507156,75224,646,006
19334,016,8421,159,58620,257,535147,40325,581,366
19344,510,4281,380,13425,241,859207,13131,339,552
19355,038,7191,566,67329,497,032214,84336,317,267
19365,472,1121,695,86636,848,951241,95744,258,886
19376,701,2991,956,67047,203,577299,14956,160,695
19387,132,6592,247,48645,808,987233,05755,422,189
19396,516,9902,465,46240,171,398233,33349,387,183
19406,460,6182,918,35739,368,064250,63048,997,669
19416,082,9873,133,47939,818,442132,10249,167,010
19426,884,3762,380,63544,348,632242,36953,856,012

The principal groups of commodities normally imported are clothing and textiles, metals and machinery, sugar, tea, alcoholic liquors, tobacco, paper and stationery, oils, motor-vehicles and accessories, chemicals and drugs, fertilizers, and timber. It will be seen that articles wholly manufactured or mainly manufactured account for upwards of 80 per cent. of total merchandise imports. It should not be assumed, however, that items included in this class necessarily compete with New Zealand manufactures. In the first place, a large proportion of imports of manufactured commodities is comprised of goods which cannot be produced economically in New Zealand or products of industries which have never been established in New Zealand. A further point to be taken into consideration is the fact that many imports of manufactured or semi-manufactured goods form the raw material of further factory processes in the Dominion—e.g., piece-goods.

Imports for the year 1942 are classified in the following table according to the principal applicable heads of the British Board of Trade classification. The grouping by countries is on the basis of country of origin.

United Kingdom.Other British Countries.United States of America.Other Foreign Countries.Total Merchandise.
* Including commodities not listed.
£££££ 
Grain19731,31313,0133,002747,347
Milled products..117,8323452117,918
Fish46,0733104926,879
Fruits, fresh and dried..723,53930,76393,896818,198
Preserved fruits and vegetables, fruit-pulp, jams, &c.2,90591,46040920094,974
Sugar..1,554,143....1,554,143
Tea..2,307,075..4502,307,525
Alcoholic beverages234,421117,99292,797355,219
Tobacco8,9352,771225,812..237,518
Coal122,035....122,035 
Iron and steel—     
  Pig, ingots, &c.357134,54445,379..180,280
  Bar, rod, plate, sheet, &c.203,342630,2711,330,321..2,163,934
  Other manufactures of iron and steel995,379491,253863,1641,3572,351,153
Agricultural implements and machinery66,61341,76346,240410155,026
Electrical machinery and apparatus1,396,704285,242311,2822,2021,995,430
Other machinery1,106,220254,119734,2906,2032,100,832
Motor-vehicles and parts, excluding motor-bicycles222,816290,830392,21969905,934
Other metals and metal manufactures418,063254,08380,14717,296769,589
Yarns and threads732,172249,2088,289780990,449
Cotton piece-goods2,370,965687,87524,5853,9823,087,407
Woollen piece-goods962,73610,2523..972,991
Other piece-goods1,779,085318,6366,2841,7052,105,710
Apparel467,480162,73715,4544,793650,470
Miscellaneous textiles726,504589,30812,1911,2301,329,233
Footwear87,69930,2568,3724126,331
Chemicals, drugs, dyes, &c.1,110,463591,087289,77142,1972,033,518
Fertilizers16,32961,933236353,264431,762
Earthenware (including bricks, glass, &c.)551,24677,52925,942729655,446
Wood, timber, and manufactures thereof (including wood-pulp)3,557368,41279979,101451,869
Newsprint41,060....41,060 
Paper and cardboard, &c.448,806274,638177,807147901,398
Animal and vegetable oils, fats, greases, and waxes18,073288,84717,0727,929331,921
Oils—Petroleum, crude and refined1,7406,6471,608,1411,468,5743,085,102
Hides, skins, and furs (undressed)65516314..832
leather and manufactures thereof (except clothing and footwear)167,206104,29211,988187283,673
Rubber, raw1839,207....39,225
Totals, merchandise*20,156,85116,505,65614,970,9032,222,70253,856,012

Since 1914 the statistics of both imports and exports have been classified according to the nature of the commodity, the items being assembled in well-defined classes as shown in the following table, covering merchandise imports for the year 1942.

No.Class.Value in 1942.
* Including commodities not included in individual groups.
  £
IFoodstuffs of animal origin (excluding live animals)125,936
IIFoodstuffs of vegetable origin, and common salt3,656,530
IIIBeverages (non-alcoholic) and substances used in making up the same2,505,104
IVSpirits and alcoholic liquors386,769
VTobacco and preparations thereof237,518
VILive animals14,821
VIIAnimal substances (mainly unmanufactured), not being foodstuffs27,639
VIIIVegetable substances and non-manufactured fibres504,177
IXAApparel947,781
IXBTextiles7,284,172
IXCManufactured fibres1,170,998
XOils, fats, and waxes3,613,193
XIPaints and varnishes294,865
XIIStones and minerals used industrially240,454
XIVAMetal, unmanufactured, partly manufactured, and ores820,734
XIVBMetal manufactures, other than machinery and machines4,857,370
XVMachinery and machines4,077,203
XVIAIndiarubber and manufactures thereof (not including tires)256,967
XVIBLeather and manufactures thereof, including substitutes283,673
XVIIATimber321,963
XVIIBWood, cane, and wicker manufactures87,272
XVIIIEarthenware, china, glass, stoneware, cement, and cement materials672,434
XIXAPaper834,782
XIXBStationery659,408
XXJewellery, time-pieces, and fancy goods92,621
XXIOptical, surgical, and scientific instruments775,781
XXIIADrugs, chemicals, and druggists' wares1,936,339
XXIIBManures431,762
XXIIIAVehicles1,479,332
XXIIIBMiscellaneous552,402
 Total, merchandise53,856,012*

The next classification presented is that according to the purpose or use of commodities, particulars being given for the five years ended in 1942. 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. Also, where certain commodities are used for more than one purpose it has not been possible to segregate the portion applicable to each. In such cases the whole import has been assessed according to the principal use of the article or commodity in New Zealand.

Class of Merchandise.1938.1939.1940.1941.1942.
* Including items not classified above.
Producers' materials—£££££
  Building and construction4,140,9123,509,7883,137,0512,572,7282,057,691
  Farm1,212,7361,332,2371,193,5521,042,488714,472
  Manufacturing—     
   Food2,154,4171,995,7602,620,1412,290,9412,945,932
   Beverages57,46428,94061,541125,52061,547
   Tobacco324,222550,324604,733561,692240,238
   Textiles (apparel or household goods)3,958,2224,394,3556,359,3187,018,1886,677,059
   Other8,158,7037,841,54610,623,90210,256,4428,337,286
Fuels and lubricants3,092,2823,289,7543,709,4383,228,9793,232,028
Auxiliary aids to production992,1041,081,2661,606,4671,364,5981,384,553
Producers' equipment—     
  Farm1,609,0831,159,171909,129998,539478,373
  Commerce and industry6,263,6585,568,2485,007,7814,793,6054,164,361
Transport equipment—     
  Railway1,137,2721,383,994336,881366,531216,763
  Road7,040,5095,595,9572,286,1122,098,0381,339,085
  Other205,322113,695343,618190,295177,181
Consumers' goods—     
  Food2,145,1101,688,7601,443,9901,284,7161,110,589
  Beverages1,651,9281,614,2561,632,0421,905,1272,668,689
  Tobacco823,555557,346121,63521,71925,609
  Clothing and accessories3,071,6391,869,575578,175477,282598,771
  Household equipment3,045,7652,112,3501,575,4871,246,8201,128,900
  Other4,027,4503,093,6142,270,1112,029,4061,847,841
Totals, merchandise imports*55,422,18949,387,18348,997,66949,167,01053,856,012

The figures illustrate the changes that have been brought about through the policy of import selection and control, the change-over to a war economy, and, concomitantly, the development of the secondary industries.

In the next table particulars are given of New Zealand's import trade for the years 1938–42 according to the stage of production or degree of manufacture of commodities, the divisions used, following the classification of the League of Nations, being “crude,” “simply transformed,” and “more elaborately transformed.” In addition to total imports, the classification on these lines of the two main classes of commodities—“producers' materials” and “consumers' goods”—is shown.

1938.1939.1940.1941.1942.
Producers' materials—£££££
  Crude2,827,0522,869,3583,462,3323,024,0212,600,571
  Simply transformed6,834,7876,515,9857,730,3007,358,5886,689,375
  More elaborately transformed10,344,83710,267,60713,407,60613,485,39011,744,279
Consumers' goods—     
  Crude1,892,9201,792,7261,961,4082,452,5313,191,244
  Simply transformed264,315157,926117,592138,81599,454
  More elaborately transformed12,608,2128,985,2495,542,4404,373,7244,089,701
Total merchandise imports—     
  Crude5,465,5555,441,0136,193,5046,455,5246,993,370
  Simply transformed10,315,2999,756,24110,955,42310,066,9369,026,947
  More elaborately transformed39,641,33534,189,92931,848,74232,644,55037,835,695
Totals, all merchandise imports55,422,18949,387,18348,997,66949,167,01053,856,012

An indication of the changes that have occurred during the last five years is contained in the next table, which gives the figures for each of the divisions shown in the preceding table as a percentage of total imports.

1938.1939.1940.1941.1942.
Producers' materials—Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
  Crude5.105.817.076.154.83
  Simply transformed12.3313.1915.7814.9712.42
  More elaborately transformed18.6720.7927.3627.4221.81
Consumers' goods—     
  Crude3.413.634.004.995.93
  Simply transformed0.480.320.240.280.18
  More elaborately transformed22.7518.1911.318.907.59
  Total merchandise imports—     
  Crude9.8611.0212.6413.1312£-99
  Simply transformed18.6119.7522.3620.4716.76
  More elaborately transformed71.5369.2365.0066.4070.25
Totals, all merchandise100.00100.00100.00100.00100.00

The proportion of commodities described as “crude” rose from 9.9 per cent. in 1938, the year prior to the introduction of the system of import selection and control, to 13.1 per cent. in 1941, but fell away slightly in 1942. The “simply transformed” moved up from 18.6 per cent. in 1938 to 22.4 per cent. in 1940, but declined appreciably in the next two years, the 1942 percentage being 16.8. The “more elaborately transformed” group, which had fallen consistently up to 1940, rose slightly in 1941, with a more pronounced increase in 1942.

In 1938 producers' materials accounted for 36.1 per cent. of the total imports. In 1940 this percentage had risen to 50.2, but, following a slight fall in 1941, there was a substantial decline in 1942, the percentage in that year being 39.1. Consumers' goods, on the other hand, have fallen steadily over the period, the proportion to total imports in 1942 being 13.7 per cent., as compared with 26.6 per cent. in 1938. The actual value of consumers' goods imported in 1942 was £7,380,399, as compared with £10,935,901 in 1939, and £14,765,447 in 1938.

DIRECTION OF IMPORT TRADE.

The import trade of the Dominion, though spread over more countries than the export trade, is confined mainly to the United Kingdom, Australia, the United States of America, and Canada. In the early years of settlement Australia was the source from which the young colony drew most of its supplies, and for a long period imports from Australia overshadowed imports from the United Kingdom. The proportion of imports from Australia, however, decreased steadily from 60 per cent. in 1862 to 7 per cent. in 1929. In recent years the trend has been upward, and since 1940 between 15 per cent. and 16 per cent. of New Zealand imports have been of Australian origin.

Imports from the United Kingdom comprised between 60 per cent. and 70 per cent. of total imports during the “eighties” and “nineties”; so that, at that time, the United Kingdom and Australia between them supplied approximately 80 per cent. of the total imports of the Dominion. In the decade immediately preceding the war of 1914–18 the United Kingdom supplied about 60 per cent. of total imports; but, with the disruption in trading relations during that war, other countries—notably the United States of America and Japan—increased their share of New Zealand's import trade.

The economy of New Zealand and other countries following the war of 1914–18 has been characterized by a marked growth in the diversity of products entering into international trade. Notable examples of important now industries are to be found in the growth of the motor, artificial silk, motion picture, and radio industries. International trade in the products of these and certain other new industries became almost a monopoly of the United States of America; in fact, the dominating position of that country in such spheres of industrial activity has been seriously challenged only recently. The traditional position of the United Kingdom in the forefront of manufacturing activity was shaken severely by circumstances arising from the 1914–18 war, her textile industries, for example, being subjected to acute and increasing foreign competition. In the circumstances, it is not surprising to find that the proportion of goods of United Kingdom origin included in New Zealand's imports of merchandise fell from about 60 per cent. before the war to about 46 per cent. in the late “twenties.”

From 1930 onwards there was a definite improvement in the relative position of the United Kingdom in New Zealand's import trade, partly due to New Zealand's tariff policy, in which preference to Empire countries plays an important part. During each of the five years, 1931–35, over 50 per cent. of our imports of merchandise were of United Kingdom origin, this recovery having been made despite the growth in imports from Australia of certain goods—e.g., iron and steel—which were formerly almost entirely imported from the United Kingdom. In 1936 and 1937, however, the proportion fell slightly below 50 per cent., and since then there has been a progressive decline. The decrease in the first two years of the war period was of a comparatively minor nature, but in 1942 the percentage fell to 37, although this was due more to the increase in imports from other countries rather than to the actual fall in the value of goods of United Kingdom origin.

The United States of America was sending goods to New Zealand almost from the foundation of the colony, and the share of the imports received from that country steadily increased till in the first decade of the present century it was 11 or 12 per cent. The adoption of Imperial preference seems to have caused a temporary drop in the figure to about 7 per cent., though the proportion maintained a steady increase for several years after the 1914–18 war, and, indeed, considerably surpassed its old level. From 1933 to 1940 about one-eighth of the total imports came from the United States. The cutting-off of supplies from the United Kingdom and certain other countries owing to the exigencies of war and the necessity of obtaining war materials resulted in imports of United States origin showing an increase of £3,040,945 in 1941, with a further rise of £5,836,268 in 1942. This raised the proportion of such goods in the latter year to 27.8 per cent.

Imports of Canadian origin gradually rose to 9.8 per cent. of the total (in 1929), but fell during the depression period to 4.5 per cent. (in 1932). By 1939 the proportion had risen to 8.9 per cent., but there was a sharp fall to 5.9 per cent. in 1940. While the proportion in 1941 rose to 6.2 per cent. a further fall to 4.4 per cent. occurred in 1942.

The table which follows shows imports during the last eleven years from the United Kingdom, other British countries, and foreign countries.

Year.Country of Shipment.Country of Origin.Total Merchandise Imports.
United Kingdom.Other British Countries.Foreign Countries.United Kingdom.Other British Countries.Foreign Countries.
 £££££££
193212,906,4205,136,2766,603,31012,575,0544,972,4687,097,58424,646,006
193313,504,2455,858,0186,219,10313,128,0325,669,7336,785,60125,581,366
193416,152,7627,592,5137,594,27715,789,7617,349,8528,199,9393,339,552
193518,519,6008,592,1099,205,55818,283,0968,320,0649,714,10736,317,267
193622,078,95910,585,08411,594,84321,851,52410,341,09012,066,27244,258,886
193728,184,89113,750,26914,225,53527,861,27513,430,22114,869,19956,160,695
193826,886,47514,522,53614,013,17826,532,68814,238,39714,651,10455,422,189
193923,277,00413,811,17912,299,00023,133,87213,512,25812,741,05349,387,183
194023,111,97415,105,58010,780,11522,945,38614,760,75311,291,53048,997,669
194121,045,40715,947,95412,173,64921,179,81315,433,04512,554,15249,167,010
194220,072,32217,028,60416,755,08620,156,85116,505,55617,193,60553, 856,012

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 each of the five years 1938 to 1942, and on the basis of country of shipment for the year 1942.

IMPORTSFROM PRINCIPAL COUNTRIES

Country.On Basis of Country of Origin.On Basis of Country of Shipment.
1938.1939.1940.1941.1942.1942.
British Countries££££££
  United Kingdom26,532,68823,133,87222,945,38621,179,81320,156,85120,072,322
  British Borneo2,2842,055382,623253,679326295
  Ceylon818,192823,964952,3861,409,5032,276,6182,271,261
  India565,285705,0881,432,4311,358,4921,821,1331,693,945
  Malaya98,590426,751411,696435,56955,05557,757
  British West Africa53,15333,06069,72874,44950,10638,035
  Union of South Africa90,68279,540118,142131,161210,173207,426
  Canada4,855,3154,376,9122,887,3003,065,4382,351,2622,350,018
  Australia7,159,4286,419,4697,817,6018,023,6988,142,2738,789,804
  Fiji112,53847,96058,827131,1311,228,6871,269,986
  Gilbert and Ellice Islands64,69457,66361,302126,1359797
  Nauru Island140,647201,237204,79772,8432,3152,315
  Western Samoa104,81490,485104,620134,896187,029188,138
Foreign Countries      
  Belgium517,782417,488404,75220,9781,4501
  Czechoslovakia189,91131,9233,480326106..
  Finland116,06580,3765,733..4..
  France235,044232,428160,76512,7551,760155
  Germany1,119,013872,00949,3057,7874,8782,311
  Italy163,745137,83597,8232,513850143
  Netherlands269,798307,385106,40215,74119811
  Sweden404,828325,916208,06421,7073,3212,403
  Switzerland260,360159,161112,52591,88730,13723,715
  Bahrein Islands247,815278,493366,708......
  China121,523117,389131,522163,18421,38317,388
  Iran127,81129,1131,803133,14828,64718,810
  Japan1,208,5941,038,584809,165215,72810,8326,689
  Netherlands East Indies2,160,5242,434,8262,197,1382,068,518458,080445,021
  Curacao514443180,791405,961405,949
  United States of America6,856,1325,613,1546,093,6909,134,63514,970,90314,645,923
  Tuamotu Archipelago......150,240268,500268,500

Goods of United Kingdom origin in 1941 and 1942 exceeded in value the direct-imports from that country. This is a reversal of the normal position and may be attributed to the exigencies of war.

Australia acts as a transhipping centre for a certain proportion of goods received from India and Ceylon. British West Africa and the British West Indies both produce more of the imports than they ship direct. The figures for Canada show a small balance in favour of goods of Canadian origin. Goods of United States origin exceeded direct imports from that country.

The following table shows for the last ten years the percentage of total imports (excluding specie) from each of the principal countries concerned.

IMPORTS (COUNTRYOF ORIGIN)

Country.1933.1934.1935.1936.1937.1938.1939.1940.1941.1942.
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
United Kingdom51.3150.3850.3949.3749.6147.8746.8446.8343.0837.43
Ceylon2.161.871.751.701.471.481.671.942.874.23
India2.262.131.581.251.031.021.432.922.763.38
Malaya0.310.210.220.220.190.180.860.840.880.10
Union of South Africa0.200.180.150.270.230.160.160.240.270.39
Canada4.956.706.757.528.138.768.865.896.234.36
Australia10.0710.3310.9011.1611.7412.9213.0015.9616.3215.12
Fiji0.420.330.220.220.170.200.100.120.272.28
Other British countries1.811.711.351.030.950.971.282.211.790.78
Totals, British countries73.4973.8473.3172.7473.5273.5674.2076.9574.4768.07
Belgium0.670.440.600.920.970.940.850.830.04..
France0.960.770.610.490.410.420.470.330.03..
Germany1.841.541.471.691.732.021.770.100.020.01
Japan2.642.673.033.002.902.182.101.650.440.02
Netherlands East Indies3.904.413.964.013.993.904.934.484.210.85
United States of America11.5411.9612.5012.6612.4012.3711.3712.4418.5827.80
Other foreign countries4.964.374.524.494.084.614.313.222.213.25
Totals, foreign countries26.5126.1626.6927.2626.4826.4425.8023.0525.5331.93

It will be seen that the great bulk of New Zealand's imports of merchandise are of British origin, the proportion of total imports derived from British countries being approximately 75 per cent. during recent years, although for reasons already outlined this proportion fell to 68 per cent. in 1942. The strong bias towards Imperial preference in the Customs tariff (which, however, is low relative to that of most countries, even for imports of foreign origin), and the virility of Empire manufacturers, notably Australian and United Kingdom, in meeting foreign competition, have been important factors contributing to the improvement in the proportion of imports of British origin. The Ottawa Agreement, which resulted in increases in the margin of Imperial preference in the tariff on certain commodities, and the placing of several commodities previously dutiable on the free list if of Empire origin, must also be mentioned as a factor of considerable moment.

One of the outstanding facts brought into relief by the foregoing table is the recent marked relative expansion in imports from Australia. The increase has been achieved despite the fact that New Zealand's imports of certain natural products—e.g., timber and coal—from Australia are now on a considerably lower level than in earlier years. The decline in imports of these items has been more than compensated for by increased imports from Australia of certain manufactured and semi-manufactured goods, notably iron and steel. Australian industries have advanced under the stimuli of a depreciated currency and tariff protection to the stage when they can compete effectively in the New Zealand market with the manufactured products of the older countries. The comparative nearness of Australia to New Zealand is a very strong factor operating to the benefit of Australian firms in the New Zealand import market: the closeness of personal contact possible between importers and the Australian manufacturers, the short period in which goods can be delivered after ordering, and the intimate knowledge of New Zealand requirements, all act strongly to the mutual advantage of the Australian exporter and the New Zealand buyer. Moreover, the New Zealand market presents a very strong attraction to Australian firms, since the potential demand in this country is of sufficient size to represent a very profitable addition to the home market.

Origin of Principal Imports.

The table which follows shows by main countries of origin details of the principal imports into New Zealand during each of the last five years available.

ORIGINOF PRINCIPAL IMPORTS
Country of Origin.1938.1939.1940.1941.1942.
 £££££
 Confectionery   
United Kingdom49,16416,9587,8713,1892,810
Canada1,558443..3..
Australia72,99484,21030,0562,3591,865
France459258164..
United States of America3,8463,1981,3831,423401
Other countries1,2323401813575
Totals129,253105,40739,5077,0135,151
Fruits (Dried)   
Union of South Africa6,5854,4406,7161,441..
Australia321,242342,367472,193518,784406,468
Iraq39,04935,31756,39230,55193,493
Turkey13,60412,7341,329....
United States of America86,37477,52942,96336,06630,763
Other countries4,9752,7351,218377364
Totals471,829475,122580,810587,219531,088
Fruits (Fresh)   
British West Indies15,04230,77927,453....
Canada2,4791,327......
Australia241,063168,629155,607209,630196,628
Fiji86,94028,60341,85824,42443,791
Norfolk Island271331185....
Tonga5,69715,96314,88425,29035,140
Western Samoa101,05581,69286,66969,64741,507
United States of America57,32942,48614,37511,353..
Other countries42768129212044
Totals510,303370,491341,323340,464317,110
 Sugar    
United Kingdom3,1711,4231,8301,302..
Australia7,397186,5381,280,7671,038,957410,709
Fiji13,5283,260..89,9291,148,744
Netherlands8,2814,4176....
Netherlands East Indies464,898414,25211,14614,6861,916
Cuba56,8437......
Dominican Republic..112,861......
Peru1970,214......
United States of America44,98258,06482,47472,40326,219
Other countries2,1512,6022,094253265
Totals601,270853,6381,378,3171,217,5301,587,853
 Tea    
Ceylon797,000801,527918,1621,373,4292,220,863
India15,96937,19966,123105,96586,211
Kenya and Uganda..20,86611,144....
Union of South Africa..17,2824,46718,515..
China3,1243,0683,7091,118450
Japan5503441....
Other countries21717251741
Totals816,860880,4581,003,6571,499,1012,307,525
Tobacco and Preparations thereof   
United Kingdom534,301387,35495,9054,5538,935
Australia147,71578,7982,887662,056
United States of America351,104565,163572,120549,888225,812
Other countries9,0064,35527,2646,678715
Totals1,042,1261,035,670698,236561,185237,518
 Hosiery    
United Kingdom168,596122,27451,65847,929176,262
Canada111,76448,5744,626286533
Australia18,6026,86310,22917,522119,378
Czechoslovakia5,172644......
Germany13,8014,0723....
Japan45,75259,05312,501....
United States of America1,41315246517683
Other countries197251337161
Totals365,297241,88379,06666,291297,017
Hats, Caps, and Millinery   
United Kingdom155,210126,217167,306133,882198,157
Canada38,00533,96839,75222,98110,107
Australia18,33910,37726,86728,45621,783
Austria9,062........
Czechoslovakia23,9302,702......
France3,5658,0921,5241212
Germany10,65537,029119....
Italy10,28816,3817,16173430
Poland7,2583,178......
Switzerland7,46311,7029,8173,7001,299
China8,37813,45911,7556,496311
Japan18,99014,16026,1239,1541,322
United States of America8,15312,5374,4431,5071,671
Other countries2,8534,3942,5664,280989
Totals322,149294,196297,433210,650236,071
Miscellaneous Apparel and Ready-made Clothing  
United Kingdom1,030,725605,506136,258103,19989,674
Canada142,99657,08111,6905,5236,369
Australia61,31915,1448,0407,3543,093
Austria8,210........
Belgium11,39212,1502,801....
Czechoslovakia25,7516,39649....
France10,4926,6901,4044..
Germany42,00224,909456....
Hungary10,9006,269497....
Italy23,89812,4671,236....
China9,6956,7291,7161,215337
Japan75,28332,8731,23413134
United States of America40,48919,4842,5166,67212,974
Other countries10,9856,1212,594480564
Totals1,504,137811,819170,491124,578113,045
Boots and Shoes   
United Kingdom316,647203,94542,37435,41738,594
Hong Kong6,1925,9732,91171131
India14,72213,0994,11938585
Canada163,051141,04073,704100,38911,779
Australia19,0453,6791,153731852
Czechoslovakia5,400831......
Japan47,53022,8204,195991..
United States of America4,4722,6581003,95944
Other countries964713131019
Totals578,023394,758128,569142,59351,404
Miscellaneous Drapery   
United Kingdom514,466390,677242,716244,244350,928
Canada13,0949,7331,0711,523184
Australia14,4427,50119,89223,2513,542
Czechoslovakia9,5011,59244..43
France9,3688,6586,86129659
Germany20,51518,276326..30
Switzerland27,29516,7467,8731,136..
China13,69110,7063,2283466
Japan75,69748,6865,0342,3001,008
United States of America9,0067,3466,4736,8474,373
Other countries27,15116,1256,4702,20319,511
Totals734,226536,046299,988282,146379,684
Cotton, Linen, and Canvas Piece-goods  
United Kingdom1,217,8331,418,8562,328,8553,025,8842,317,862
Canada12,56716,09614,46234,31832,180
Australia2,6716,02917,74245,38621,822
India5,2605,34032,032177,255632,270
Belgium75,3924,4431,31559..
France2,0591,21574425..
Germany17,3424,895....17
Netherlands12,2978,0291,125....
Switzerland9,9894,7613,5966..
Japan229,338224,905172,60538,3043,961
United States of America16,54316,1906,89543,44924,535
Other countries7,1011,0644493,839211
Totals1,608,3721,711,8232,579,8203,368,5253,032,908
Silk, &c., Piece-goods   
United Kingdom329,500413,596767,658956,2571,454,403
Canada29,25334,60357,33122,67030,268
Australia12,9317,9954,22711,0708,323
Czechoslovakia13,3571,103......
France25,18225,6128,9761515
Germany66,34946,199272....
Hungary10,6075,141149....
Italy14,66926,51611,546....
Switzerland14,67911,1296,3183,5951,215
China1,3893,5821,775223
Japan308,307308,284300,64614,583472
United States of America13,74131,43132,7914,2562,130
Other countries2,5211,42659417249
Totals842,485916,6171,192,2831,042,6401,496,878
Woollen Piece-goods   
United Kingdom763,847740,4421,022,5721,118,952962,736
Canada51105804556
Australia1,5292,33133,75528,0179,696
Belgium2,9394,0131,247....
Germany2,5681,932......
Japan2,78571174....
Other countries2,4306,5085,9562,9853
Totals776,149755,9471,064,1841,149,958972,991
Motor-spirits   
British Borneo....331,807200,465..
Malaya..283,765171,209....
Curacao......141,00467,360
Bahrein Islands245,671261,858334,759....
Iran63,412........
Netherlands East Indies1,054,4371,262,6641,305,2591,135,291191,220
Peru........621,496
United States of America527,777221,5911,992135,648654,798
Other countries42812224..
Totals1,891,3392,029,9592,145,0481,612,4321,534,874
Petroleum, Crude   
British Borneo....40,84630,294..
Australia254581,6772,782464
Bahrein Islands..7,4655,934....
Iran62,50028,409..130,770..
Netherlands East Indies451,921494,315544,263618,545174,196
Curacao......39,766338,590
United States of America70,70685,21165,83141,619551,651
Venezuela....3,905....
Totals585,152615,858662,456863,7761,064,901
Mineral Oils (other than Motor-spirits and Crude Petroleum) 
United Kingdom82,50069,76842,4024,4691,740
British Borneo259..7,16018,029..
Australia8,2928,92410,77814,6086,085
Bahrein Islands2,1449,17026,016....
Germany14,5368,853......
Netherlands East Indies72,45688,123120,851104,96441,344
Peru..26....35,927
United States of America299,193329,661621,278505,348418,152
Other countries1,2101,09858610198
Totals480,590515,623829,071647,519503,346
Paints and Varnishes   
United Kingdom231,603220,091244,126232,169155,461
Canada13,21011,16516,94913,6092,425
Australia164,363114,813110,11388,223119,220
Germany9,8439,602598159
Netherlands7,3108,6803,690....
United States of America36,15525,48146,97832,38416,904
Other countries4,3104,0243,8392,184846
Totals466,794393,856426,293368,584294,865
Iron and Steel.—Bar, Bolt, and Rod  
United Kingdom209,791121,30533,20832,96257,247
Canada69,2149,10613,1328,6929,704
Australia483,704265,124290,444271,948251,451
United States of America1,5231,3682,63919,95366,733
Other countries929228383....
Totals765,161397,131339,806333,555385,135
Iron and Steel.—Plate and Sheet   
United Kingdom1,184,1811,000,9421,112,674918,800138,258
Australia91,060206,462201,446162,017289,566
United States of America18,61222,07136,585217,8841,231,176
Other countries2,2377,3324,4423,7426,533
Totals1,296,0901,236,8071,355,1471,302,4431,665,533
Iron and Steel.—Tubes, Pipes, and Fittings  
United Kingdom479,119439,324459,489169,46061,974
Canada70,82160,709190,270248,98923,659
Australia15,81441,43461,43582,382154,636
Germany7,4316,677   
United States of America1,54235,89044,73824,59522,407
Other countries778876478274 
Totals575,505584,910756,410525,700262,676
Artificers' Tools   
United Kingdom171,220136,788135,662131,066130,589
Canada60,51056,24349,97947,04451,020
Australia12,0289,2598,9655,8434,640
Germany24,17114,415334296..
Sweden7,2815,8213,240195419
United States of America82,84872,54554,97549,76365,155
Other countries3,2212,2151,8911,506131
Totals361,279297,286255,046235,713251,954
Fencing-wire.—Plain and Barbed  
United Kingdom172,745124,70212,01040,20923,318
Canada21,7757,83180,54524,714..
Australia75,66858,6716,4582517,310
Japan....8,763....
United States of America5,6263,3376,266123,191105,561
Other countries68........
Totals275,882194,541114,042188,139146,189
Iron Wire (other than Fencing)   
United Kingdom58,84442,10123,40024,24570,471
Canada57,21851,451271,404186,3967,800
Australia91,944134,57684,72837,55722,506
Belgium129453,221....
Germany1,0551,433......
United States of America31,0363,77013,497192,427290,979
Other countries9........
Totals240,235233,335446,250440,625391,756
Miscellaneous Hardware   
United Kingdom678,662583,974534,114456,494405,687
Canada47,76231,04211,87441,75210,517
Australia103,62053,05331,50673,48348,033
France4,0412,3651,1253..
Germany32,75616,1601,051..15
Sweden27,16416,7979,58436
Japan15,42210,3602,4014..
United States of America72,35453,24334,53617,70447,230
Other countries8,6053,056699150124
Totals990,386770,050626,890589,593511,612
Agricultural Machinery   
United Kingdom103,34870,38456,34073,61766,613
Canada54,27834,62639,03645,29518,864
Australia29,99424,47936,44326,97522,844
France6,9514,023288....
Germany4,4662,321100....
Sweden19,6806,3531,003....
United States of America128,33495,77177,592139,45646,240
Other countries1,0641,210762432465
Totals348,115239,167211,512285,775155,026
Dairying Machinery   
United Kingdom45,07238,17237,77968,60344,043
Canada..1,88459..921
Australia19,2445,3473,3991,777212
Germany7,6833,9193.. 
Sweden21,33234,93117,41216994
United States of America14,2469,48023,24435,4696,055
Other countries5,0764,8473,4462,52833
Totals114,53796,75585,283109,31451,337
Electrical Machinery and Equipment (including Telephones and Accessories) 
United Kingdom1,943,2301,736,9401,485,9731,443,1251,271,011
Canada245,872191,379105,881128,608101,792
Australia159,897122,690130,635127,62405,562
Belgium51,07165,177197,6332,793..
Germany46,20353,3302,06464731
Netherlands8,6477,6743,8742729
Sweden52,05151,82327,2731,4961,455
Japan12,0745,50992314..
United States of America251,751194,317263,105218,227190,543
Other countries35,09416,94720,09028,3854,329
Totals2,805,8902,445,7862,237,4511,951,1911,634,732
Wireless Apparatus   
United Kingdom211,553148,559107,45472,93472,501
Canada5,4982,8444,3902,21356,922
Australia57,99439,41135,65544,90526,017
Germany2,23888292....
Netherlands3,1567,09111,28829128
United States of America148,36284,69991,36595,725109,847
Other countries1,3543234242105
Totals430,155283,809250,668216,070265,450
Tractors (including Parts)   
United Kingdom53,54629,09421,7553,93437,131
Canada3,2766,4848,5547,3161,176
Australia16,34311,84214,91815,055461
Germany30,46428,8754,7963..
Sweden1,692372483....
Switzerland1,7482,432......
United States of America699,292499,015464,099487,795142,683
Other countries....13236
Totals806,361578,114514,618514,126181,457
Leather and Leather Goods (excluding Boots and Shoes)  
United Kingdom148,403125,558121,932130,148167,206
Canada13,3967,5581,9958,504224
Australia63,21964,73779,23090,915103,766
Germany4,2442,04325....
Netherlands5,9743,094......
United States of America74,12088,05494,07263,09111,988
Other countries10,2637,4907,1241,549489
Totals319,619298,534304,378294,207283,673
 Timber    
Canada63,24951,17430,14031,78497,764
Australia434,016458,703170,848268,451386,314
Finland14,014........
Sweden3,365........
Japan41,22452,00364,17721,246..
United States of America54,69974,71127,60847,51510,085
Other countries11,8295,0074,0912,9402,898
Totals622,396641,598296,864371,936497,061
Earthenware and Chinaware   
United Kingdom278,698239,453209,908267,750293,378
Australia4,5311,3462,5103,2261,973
Czechoslovakia2,475355....25
Germany3,5751,43210..10
Japan32,45217,2081,7791179
Other countries1,3595213264604,257
Totals323,090260,315214,533271,553299,652
Glass and Glassware   
United Kingdom176,114175,698186,822223,848239,281
Canada6,1795,13313,0378,9428,455
Australia60,40268,58970,95153,85155,536
Belgium47,07447,19027,880736449
Czechoslovakia30,3824,54916758
Germany24,15911,80129154
Japan23,0629,0426,0813905
United States of America28,75322,61226,84128,97219,082
Other countries4,6242,9003,0591,268352
Totals400,749347,514335,129318,017323,172
Printing-paper   
United Kingdom303,805255,000331,488191,96155,346
Canada425,759358,676433,667250,919102,571
Newfoundland..12,5234,695229116
Finland6,1824,6761,033....
Germany29,79716,159246..50
Norway5,1235,7826,488....
Sweden3,2253,0941,830....
United States of America31,45043,05071,4056,34317,169
Other countries15,13711,31211,0591,7082,159
Totals820,484710,272861,911451,160177,411
Paper, other than Printing   
United Kingdom303,992319,815557,217469,546347,321
Canada170,479163,106175,956213,72396,230
Australia107,36180,112111,14793,32249,067
Austria6,621........
Belgium3,8393,55512,152609..
Finland42,51629,7684,236....
Franco1,12014,47316,4933,311..
Germany30,37034,4542,51462
Netherlands14,30811,3163,830402..
Norway17,78323,58415,35673..
Sweden77,70883,67731,568....
Japan11,96311,6059,0512,63422
United States of America129,350107,321309,686154,664164,711
Other countries17,6445,8491,103318
Totals935,054838,6351,250,309938,293657,371
Books, Papers, and Music   
United Kingdom473,828426,914373,414347,444316,684
Australia138,745152,84597,05885,268106,647
United States of America89,87483,95757,78831,48723,84
Other countries8,3416,8764,6741,650418
Totals710,788670,592532,929465,849447,592
Miscellaneous Stationery and Taper Manufactures  
United Kingdom277,826237,107168,249101,581126,292
Canada21,88611,1513,3192,220879
Australia107,36481,08453,13055,95377,543
Germany9,4405,39322411339
Japan8,1144,46633,971206247
United States of America49,88819,42212,0306,869 
Other countries8,0502,8171,4611,274194
Totals482,558375,989246,011173,418211,816
Fancy Goods, Toys, and Smokers' Requisite* (other than Cigarette-papers) 
United Kingdom139,864103,73869,79223,97622,700
Canada11,2088,0501,18324471
Australia16,0228,8015,6784,3181,983
Czechoslovakia24,1723,30334722
France6,5233,3991,210414
Germany20,5878,543440....
Japan57,49514,6521,90211110
United States of America31,27410,9287,013484529
Other countries10,7224,1842,7131,379704
Totals317,867165,59889,96530,58826,021
Motor-cycles   
United Kingdom80,00148,05519,9861,7761,699
Germany59........
United States of America1,039857..20294,320
Totals81,09948,91219,9861,796296,019
Motor-cars
United Kingdom2,805,4182,065,440710,29939,8799,143
Canada1,220,8111,296,3566,41850110
Germany28,701481......
Italy9,9857,622......
United States of America447,903171,60928,5731,736799
Other countries401..263283325
Totals4,513,2193,541,508745,55341,94810,377
Motor Lorries, Trucks, Vans, and Buses  
United Kingdom348,442201,79187,45935,2613,794
Canada363,712346,545120,99674,155193,744
United States of America210,07198,79740,936369,914137,765
Other countries..........
Totals922,225647,133249,391479,330335,303
Tires, Tubes, and Covers, for Motor-vehicles  
United Kingdom408,290495,190511,525671,23499,377
Canada394,650311,158213,942225,02018,807
Australia2,5311,7909,684144,6726,634
France9495774....
United States of America38,55127,64221,35221,331126,074
Other countries6541,2302041,055..
Totals845,625836,967756,7811,063,312250,892

IMPORTS FROM COOK AND OTHER ANNEXED ISLANDS.

Trade with the Cook and other annexed islands is not included in the export and import totals for the Dominion, but is shown separately in official publications. The following table shows imports into New Zealand from the group. Further particulars of the trade of the islands will be found in the section dealing with Island Territories.

Year.Imports.
* Includes arrowroot, £2,913; hats and caps, £1,330; and cinematograph films (re-imported), £3,183.
 £
193289,136
193392,910
193477,018
193567,779
193686,873
193769,121
193890,479
193960,635
194090,292
194186,073
194267,562

The principal articles imported into New Zealand from the Cook and other annexed islands are as follows:—

Article.1938.1939.1940.1941.1942.
Fruits, fresh—£££££
  Bananas28,95523,91317,3758,8119,074
  Oranges44,49522,01349,41246,10119,165
  Tomatoes8,8685,5149,1248,4569,770
  Other4453901,4441,9111,176
Fruit juices1,8791,5912,7462,6232,994
Coconuts746758626770883
Copra....1,2701,2972,817
Potatoes3,1571,7872,8312,0589,092
Wickerware9..1,5624,0603,059
All other items1,9254,6693,9629,9869,532*

SUBSECTION 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,” obtainable from the Government Printer, Wellington.

A summarized historical account of the Customs tariff of New Zealand, setting forth the principal developments and changes from earliest times to 1930, will be found in the 1931 number of the Year-Book. The tariff has now developed into a complex schedule of duties, and considerations of space prevent a detailed account of the rates of duty now levied on goods imported into New Zealand.

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-Empire trade.

Under the Ottawa agreement of 1932, New Zealand, in common with the other Dominions, was committed to hold an inquiry into the tariff, and, if necessary, to revise it in accordance with certain explicitly stated principles. New Zealand undertook to afford protection against United Kingdom products only to industries which are reasonably assured of sound opportunities for success and to grant protection on such a level as to enable the United Kingdom producer to compete on the basis of the relative cost of economical and efficient production.

As a result of the Ottawa Conference, dutiable goods, the produce of the United Kingdom or of any British country except Canada, the Union of South Africa, Eire, Newfoundland, or India, 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 additional preference to British 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 therein with a view to implementing the agreement made at Ottawa, and having regard, inter alia, to the financial, economic, and industrial conditions in the Dominion.

On the basis of the report of this Commission, resolutions amending the tariff were introduced on 10th July, 21st August, and 13th September, 1934, and ratified by the Customs Acts Amendment Act, 1934.

Some of the principal alterations made to the British preferential tariff were:—

  1. Protective duties were abolished on: Certain stock foods; nails (as from. 1st November, 1936)*; certain iron and steel pipes; linseed oil; white-lead ground in oil (as from 1st November, 1936)*; wireless sets in cabinets; maizena and cornflour in small packages.

  2. The protective duties were reduced on: Preserved and dried milk; baking powder; coffee essence; confectionery; sauce; soap; hats, caps, and millinery; boots and shoes; leather manufactures; glass bottles; oil engines; manufactured stationery; galvanized iron manufactures; metal office furniture; tinware; furniture and upholstery; paints and varnishes; biscuits; plaster pulp sheets; polishes; apparel; whole maize; vinegar; cement; matches; furs and fur skins; floor-mats and floor-rugs of wool.

  3. The revenue duties were reduced on: Carpets; fancy goods; sporting requisites; jewellery; platedware; tobacco pipes; toilet preparations; pianos and other musical instruments; engines for tractors; cigarettes; table chinaware; oak timber; builders' and cabinetmakers' hardware.

  4. The protective duties were increased on: Maize, ground or crushed; porcelain enamelled cast-iron baths; and household gas meters.

  5. Revenue duties were increased on: Cigarette-papers.

  6. The protective duty previously payable on motor-car bodies was abolished, and the duties were amended to encourage the assembling of motor-vehicles in New Zealand by a reduction in the rate of duty on vehicles imported unassembled or completely knocked-down.

In addition to the ordinary rates of duty imposed on goods entering the Dominion, additional revenue has been obtained in recent years by a surtax on dutiable imports and a primage duty on certain goods otherwise free.

The surtax was imposed in 1930 in lieu of a primage duty of 1 per cent. or 2 per cent. ad valorem previously charged on practically all imports whether free or dutiable. This surtax was not, however, applied to dutiable goods of Australian origin, which continued to pay the primage duty of 1 per cent. or 2 per cent.

The rate of surtax was fixed at one-twentieth of the total duty otherwise payable on certain goods (e.g., spirits, tobacco, timber, sugar, motor-spirits), and nine-fortieths of such duty on all other dutiable goods, except wheat and flour, and some other lines which have since been exempted.

As stated above, surtax was not charged on goods the produce of the United Kingdom or any British country except Canada, the Union of South Africa, Eire, Newfoundland, or India, on and after the 14th October, 1932, and the primage duty payable on Australian goods in lieu of surtax was also removed as from that date.

* Extended from time to time, the latest extension being to 1st November, 1947.

A primage duty of 3 per cent. was charged, as from the 31st July, 1931, on imports from all countries which were otherwise free of duty. Certain specified items were, however, exempted from primage duty.

The following is a list of the principal items which are free of duty (and in. some cases are also exempt from primage duty) under the Customs Acts Amendment Act, 1934.

Free in any Case.

Live animals; barley (if to be used as stock-food); bran; pollard; seeds; vegetable butters or fats; currants; dates; figs; prunes; glucose and caramel; nuts, except walnuts; rice; acids, other than acetic; inorganic salts of metallic elements, and many other drugs and chemicals; bags and sacks of jute, &c.; woolpacks; raw cotton: hatmakers' materials; buttons; needles and pins; wadding;. cotton piece-goods for meat-wraps and cheese-bandages; umbrella-makers' materials; upholsterers' materials; coir, flax, and jute yarns; grindery; leather made from goat and kid skins; patent leathers; bricks, other than firebricks; marble in the rough; grindstones and whetstones; cinema films (subject however to film-hire tax); bookbinders' materials; cardboard and similar boards; parchment and greaseproof paper; printed books, papers, and music; beekeepers' apparatus; percussion caps, detonators, and explosives; hay-rakes, reapers and binders, mowers, and certain other agricultural implements; certain dairying machinery; sewing-machines; iron and other metal in ingots, pigs, or billets; fish and vegetable (other than linseed) oils; kerosene and other refined mineral oils not exceeding in specific gravity 0.860 at 60°F. (other than motor-spirits); waxes; cork; crude tanning materials; manures; skins and hides.

Free if British, but dutiable if Foreign.

Bananas; oranges, mandarins, and grapefruit; raisins; infants' and invalids' foods; mustard; salt; cocoa-beans; raw coffee; sago and tapioca; maizena and cornflour; macaroni; acetic acid; cream of tartar; disinfectants; chloroform and other anæsthetics; antiseptics; manufactured dyes; most surgical, dental, optical, and scientific instruments and materials; felt, cotton, linen, and canvas piece-goods; silk and artificial silk piece-goods; leather-cloth; oil baize; sewing, &c., cottons and threads; elastics; plain tape; tailors' lining materials; cotton, silk, and artificial silk yarns; plain tablecloths, towels, and similar plain articles; belting (other than leather); children's boots and shoes; gum boots; rubber hose; most rubber manufactures, except tires for motor-vehicles; sheet glass; lenses; watch-glasses; pianos and certain other musical instruments; gramophone records; artists materials; paperhangings; sensitized surfaces; waxed paper; paper (other than wrapping) in large sheets or rolls; ball bearings; bolts and nuts; rivets and washers; buckles; chains; fire-engines, fire-extinguishers, and other fire-extinguishing appliances; adding and computing machines; typewriters; most electrical apparatus; measuring, testing, &c., appliances; sheep-shearing machines; tractors; artificers', &c., tools; machinery peculiar to industrial processes; iron and other metal in bars or sheets; wire and wire netting; metal cordage; rails for railways and tramways; under-carriage springs and metal fittings for vehicles; asphalt and bitumen; table chinaware.

An indication of the incidence of Customs taxation on various classes of commodities imported will be found in the last two columns of the table on page 732, where the Customs duty collected in 1942 is distinguished as a proportion of the dutiable imports and total imports in each of the statistical classes.

As previously stated, it is impossible to give any account of the range of duties payable on all of the numerous tariff items, but the duties on some of the principal commodities in general use are mentioned hereunder. It should be noted that, in addition, surtax or primage may also be payable.

Tea.

Tea in bulk, when of British origin, was placed on the free list as early as 1907, when the duty on foreign tea was fixed at 2d. per lb. In 1917 a duty of 3d. per lb. was imposed on British tea, the foreign rate being increased to fid. per lb. British tea in bulk was again placed on the free list in 1923, and the duty on foreign tea reduced to 2d. Bates of 3d. and 6d. per lb. respectively were reinstated as from 31st July, 1931. Under a reciprocal arrangement the duty on South African tea is 1d. per lb.

Sugar.

Sugar also was placed on the free list in 1907, prior to which the duty was ½d. per lb. Refined sugar of foreign origin was charged ½d. per lb. under the 1921 tariff, the rate being altered in 1923 to 5/16d. and in 1924 to ¼d., irrespective of origin. The duty on refined sugar was increased to ¾d. per lb. in 1931; and raw sugar, which is imported for refinement at Auckland, was made dutiable at ½d. per lb., or, alternatively, ½d. per lb. excise duty on manufacture. An additional ½d. per lb. on both refined and raw sugar was imposed as from 9th February, 1933.

Tobacco.

Prior to the imposition of special war-taxation in 1939, the duties on tobacco were as follows: Cigarettes, exceeding in weight 2½ lb. per 1,000, 10s. 6d. per lb.; cigarettes, not exceeding 2½ lb. per 1,000, 25s. 6d. per 1,000; cigars, 12s. per lb. under the British preferential tariff and 14s. or 16s. under the general tariff; manufactured tobacco, cut, 6s. 10d. per lb., and plug, 6s. 8d. per lb.; unmanufactured tobacco for the manufacture of cigarettes, 3s. per lb.; and unmanufactured tobacco for the manufacture of tobacco, cigars, or snuff, 2s. per lb. In order to assist in financing the expenses of the war, further duties, in addition to those set out above, and equal to 25 per cent. of the duties, were levied as from 27th September, 1939. As from 1st May, 1942, this war impost was replaced by the following specific duties which are additional to the ordinary revenue duties quoted above: Cigarettes, exceeding 2½ lb. per 1,000, 8s. per lb.; cigarettes, not exceeding 2½ lb. per 1,000, 20s. per 1,000; cigars, 8s. per lb., tobacco, cut and plug, 7s. 2d. per lb.; tobacco, unmanufactured, for cigarettes, 9d. per lb.; tobacco, unmanufactured, for the manufacture of tobacco, 6d. per lb. A duty of ½d. British preferential tariff or ¾d. general tariff is levied on each sixty cigarette tubes or papers or the equivalent thereof. The excise duties on tobacco, &c., made in New Zealand are shown later under “Excise Duties.”

Alcoholic Beverages.

Prior to the imposition in 1939 of special taxation for war purposes, the rate of duty payable on most spirituous beverages was 40s. per proof gallon, except rum of foreign origin, which was dutiable at 44s. per proof gallon. Sparkling wine was liable to a duty of 10s. per gallon under the British preferential tariff, 9s. 6d. under the trade agreement with the Union of South Africa, and 13s. or 15s. under the general tariff, and still wines to 4s. and 6s. respectively. Australian and South African still wines were liable to a duty of 5s. 6d. per gallon. 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 27th September, 1939; these were increased to 50 per cent. as from the 1st May, 1942. The excise duty on beer produced in New Zealand is given under “Excise Duties.”

Apparel.

Most apparel pays duty at the rate of 20 per cent. or 25 per cent. under the British preferential tariff and 65 per cent. under the general tariff. The duties on apparel of Canadian and Australian origin vary from the British preferential rates to 40 per cent., 45 per cent., and 55 per cent.

Timber.

Certain types of special timbers and Australian hardwoods, if imported in logs, or rough sawn or rough hewn, are admitted free. Some species of oak timber are free of duty under the British preferential tariff, and dutiable at 6s. per 100 sup. ft. under the general tariff. Other kinds of timber, such as Douglas fir (Oregon pine), redwood, Baltic pine, are subject to the following rates: Logs, round, unworked, 25s. per 100 cubic ft; rough sawn or rough hewn, 7s. 6d. or 9s. 6d. per 100 sup. ft. under the British preferential tariff, and 9s. 6d. or 11s. 6d. under the general tariff; dressed, 19s. per 100 sup. ft. British preferential tariff, and 21s. general tariff.

Motor-vehicles.

Motor-vehicles imported in an unassembled or completely knocked-down condition are dutiable at 5 per cent. under the British preferential 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 and 60 per cent. if liable to the general tariff. Special rates apply to vehicles of Canadian origin.

Tires for Motor-vehicles.

Previously dutiable at 10 per cent. ad valorem under the British preferential tariff and 40 per cent. under the general tariff, these were in 1934 made subject to a duty based on the weight of the tires. Pneumatic rubber tires for motor-vehicles, inner tubes of rubber therefor, and moulded rubber strip for repair of such tires are now dutiable at 2½d. per lb. under the British preferential tariff and 8d. per lb. under the general tariff. Solid rubber tires are liable to a duty of 1d. per lb. and 4d. per lb. under the British preferential and general tariffs respectively. The duty on tires is earmarked for the maintenance of highways.

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 2nd August, 1939. The total duty on motor-spirits is now 1s. 2d. per gallon, plus a surtax of one-twentieth of the duty on foreign. The proceeds from 6d. per gallon of this tax are earmarked for roading purposes, and the balance (8d. per gallon and surtax) is levied for general purposes and is retained in the Consolidated Fund.

PROHIBITED AND RESTRICTED IMPORTS.

Full particulars of the goods which are prohibited or restricted from being imported into New Zealand are contained in the publication entitled “The Customs Tariff of New Zealand.”

The Import Control Regulations 1938 (made by Order in Council of 5th December, 1938) prohibit the importation of any goods except in pursuance of a license under the regulations or of an exemption granted by the Minister of Customs. (See pp. 706–708.)

EXCISE DUTIES.

An important excise duty is that on beer, which up to 1915 was charged at the rate of 3d. per gallon. In that year the beer duty was altered so as to increase according to the specific gravity of the worts used, the rate being 3¾d. per gallon when the specific gravity did not exceed 1,047, and increasing by 1/16d. per gallon for every unit of specific gravity up to 1,055, and by ⅛d. thereafter. On the 2nd August, 1917, the minimum rate of duty for beer was increased from 3¾d. to 4¾d. per gallon, and further (on the 15th September, 1917) to 5¾d., with a maximum of 6d. per gallon. In 1921 a rate of 11½d. per gallon (increased to 1s. in 1930, and to 1s. 6d. in 1931) was imposed where the specific gravity of the worts used did not exceed 1,047, the rate being increased by 1/16d. for every unit of specific gravity above 1,047. The basic rate of excise duty on beer was reduced from 1s. 6d. to 1s. 3d. per gallon by the Customs Acts Amendment Act, 1934, but was increased to 1s. 9d. per gallon as from 2nd August, 1939. In order to assist in financing the expenses of the war, a further increase to 2s. per gallon was made as from 27th September, 1939. The duty was again increased on the 11th May, 1942, when provision was also made for a lower alcoholic content. When the specific gravity of the worts is 1,036 the now duty is 3s. per gallon, rising by 1d. for every unit of specific gravity above, and falling by 1d. for every unit below, 1,036, but subject to a minimum of 2s. 3d. per gallon. In all cases 1s. 3d. per gallon of the duty is war tax. Ministerial approval is required for brewing above 1,036. The specific gravity of distilled water at 60° F. is taken as 1,000, and the specific gravity of the worts is determined in relation thereto.

Prior to the introduction of special taxation for war purposes, cut tobacco was charged an excise duty of 4s. 6d. per lb.; other tobacco, 4s. 4d. per lb. Cigars and snuff paid 4s. per lb., and the excise duty on cigarettes made in New Zealand was 13s. 6d. per 1,000 on cigarettes not exceeding in weight 2½ lb. per 1,000, and 5s. 6d. per lb. on cigarettes over 2½ lb. per 1,000. A war surcharge of 25 per cent. of the excise duty on tobacco, cigars, cigarettes, and snuff was levied as from 27th September, 1939, but this was replaced on the 1st May, 1942, by war taxation similar to that imposed on imported tobacco, &c. (see page 726). An excise duty of ½d. is levied on each sixty cigarette tubes or papers or the equivalent thereof.

The Customs Acts Amendment Act, 1931, imposed an excise duty of ½d. per lb. (increased to 1d. per lb. from 9th February, 1933) on sugar manufactured in New Zealand.

Excise duties were formerly levied direct on certain manufactures the preparation of which involved the use of a considerable proportion of spirits. In lieu of excise duty on the finished manufactured article, however, a special schedule of duties has since 1921 been provided 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 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 less than 50 per cent. the alcohol used is duty-free.

EXPORT DUTIES.

The Gold Duty Act of 1858, amended from time to time, first imposed an export duty on gold. Under the Gold Duty Abolition and Mining Property Rating Act of 1890, the export duty on South Island gold was replaced by a system of rating mining property. The consolidating Gold Duty Act of 1908 maintained an export duty of 2s. per ounce of 20 carats fineness on gold produced in or exported from the North Island. A further export duty of 6d. per ounce (on gold of New Zealand origin only, and exclusive of gold produced by alluvial or dredge mining) was levied by the Mining Act of 1926, and this additional duty applied also to South Island gold. The Customs Acts Amendment Act passed in February, 1933, imposed an additional export duty of 12s. 6d. per ounce troy weight of gold of the fineness of 20 carats and upwards, and covered all gold, with certain minor exceptions, wherever produced or exported. Provision was made for reduction, by Order in Council, of the rate of duty in the event of a reduction in the value of gold in New Zealand. In order to assist in financing the expenses of the war, a further duty was imposed as from 27th September, 1939, of an amount equal to 75 per cent. of the excess of the London market value of gold (expressed in Now Zealand currency), as on the date when the gold is laden upon the exporting ship or when it is posted to an overseas address, over the value of that gold if it is computed at the rate of £9 5s. 8d. (Now Zealand currency) for every ounce troy weight of gold of the fineness of 24 carats.

An export duty was also imposed on timber (white-pine and kauri) by Acts of 1901 and 1903, and still operates. The present rates of 5s. per 100 superficial feet on logs, and 3s. or 5s. per 100 superficial feet on flitches, were imposed by the Timber Export Duty Order of 23rd June, 1937. This duty is not payable in respect of sawn timbers.

The Customs Department collects the levies imposed on hides and honey exported. The proceeds (less expenses of collection) are, however, handed over to the respective Boards sot up to control the export, &c., of these commodities in the interests of the producers. A levy is also made on all wool exported or delivered to a wool-manufacturer for use in New Zealand and is paid, less cost of collection, &c., to the New Zealand Wool Board established under the Wool Industry Act, 1944, to enable it to carry out its functions. Prior to the passing of the Wool Industry Act a similar levy was payable under the authority of the Wool Industry Promotion Act, 1936, on wool exported only.

CUSTOMS REVENUE.

In the earlier years of New Zealand's history the revenue derived from Customs and excise duties produced a greater proportion of the total revenue from taxation than it does to-day. For a considerable period prior to 1914, there was a constant tendency for this proportion to decrease, and the taxation legislation of the 1914–18 war period temporarily accelerated the movement. From 1921–22 to 1925–26 the percentage rose continuously, but did not regain its former proportions. A gradual decline then commenced and, with one slight interruption (1935–36) has continued ever since. The sudden drop since 1938–39 has been brought about by the huge increase in taxation required for war purposes, only a small proportion of which is derived from Customs and excise duties. The amount so levied in 1943–44 was £4,208,731 out of a total war taxation of £45,444,092. The figures for the last twenty years are as follows:—

Year ended 31st March,Total Taxation.Customs and Excise Duties
Amount.Percentage of Total Taxation.
 ££Per Cent.
192516,554,6648,187,27349.46
192617,259,6548,974,23552.00
192717,442,6098,826,28750.60
192817,149,9898,601,24549.57
192917,835,1228,665,73648.03
193019,474,0919,517,35948.87
193118,880,8098,181,07643.33
193217,407,8296,545,42837.60
193319,705,6766,785,64134.43
193421,473,4067,140,47833.25
193524,739,4098,094,60532.72
193625,478,5988,876,20334.84
193731,181,60310,340,83833.16
193836,798,97111,737,17031.90
193937,797,90411,727,22431.03
194044,522,02811,734,78426.36
194161,360,84011,258,37018.35
194268,163,25510,622,09215.58
194387,940,84412,342,11514.03
1944100,839,48413,922,57413.81

The figures for Customs and excise duties are exclusive of tire-tax, and for 1927–28 and subsequent years the highways proportion (6d. per gallon) of the motor-spirits tax—two classes of duties collected through the Customs for road-maintenance purposes, and included in total taxation. Figures given under the heading of Customs and excise duties for the last five years include the amounts received on account of additional rates imposed on certain commodities for war purposes. In this respect they differ from all subsequent tables, from which war taxation has been specially excluded in order to maintain comparability.

In the foregoing table the financial year has been taken for purposes of comparison with total taxation, figures concerning which are not available for calendar years. In subsequent tables the Customs-taxation figures relate to the calendar year, which is the statistical year for most trade purposes.

In the two tables which follow, the figures do not include taxes for highway purposes, excise duties, or export duties, and are also exclusive of surtax, primage, and depreciated-currency duties for the years during which these have been in force. As already indicated, that portion of Customs revenue allocated to war purposes is also excluded. The 1943 and 1944 figures for this and subsequent tables were not available when this section was prepared.

Year.Foods and Non-alcoholic Drinks.Clothing and Textiles.Alcoholic Drinks and Tobacco.All other Articles.Total.
Amount of Duty collected
 £££££
1911147,456682,7101,286,6011,048,8903,166,657
1916170,009985,3351,390,3221,036,2273,581,893
1921237,8781,297,1211,930,8981,826,3575,292,254
1926389,6861,760,4082,679,0803,102,6237,931,797
1931366,709981,1391,780,3051,360,4244,488,577
1936346,167929,7271,866,2173,733,5056,875,616
1937397,6851,258,9822,061,8754,263,5987,982,040
1938419,7961,131,4832,247,7784,313,5078,112,564
1939321,892789,3922,267,1974,228,5887,607,069
1940279,739448,6591,529,8814,013,1046,271,383
1941208,521355,3701,115,8284,055,0245,734,743
1942206,729339,804868,3573,109,2604,524,150
Percentage of Total Duty collected
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
19114.6621.5740.6433.13100.00
19164.7527.5138.8128.93100.00
19214.4924.5136.4934.51100.00
19264.9122.1933.7939.11100.00
19318.1721.8639.6630.31100.00
19365.0413.5227.1454.30100.00
19374.9815.7725.8353.42100.00
19385.1713.9527.7153.17100.00
19394.2310.3829.8055.59100.00
19404.467.1524.4063.99100.00
19413.636.2019.4670.71100.00
19424.517.4118.0969.99100.00

The Customs and excise duties received during the last five years available are shown in more detail in the next table. Primage duties and surtax are included, but not tire-tax or the highways proportion of petrol-tax, which do not really represent Customs taxation, although levied on imports and for the sake of convenience collected through the Customs. That portion of Customs and excise duties levied for war purposes is also excluded.

1938.1939.1940.1941.1942.
    Customs Duties£££££
Spirits898,0191,021,685817,988527,353347,678
Wine54,99038,14135,92838,23036,990
Beer10,4113,26969211011
Cigars, cigarettes, and snuff667,155595,306189,8311,386333
Tobacco615,895611,402484,464547,927482,806
Tea133,824141,180140,650136,709165,328
Motor-spirits1,616,5532,322,6522,719,0602,894,4321,958,936
Other duties4,115,7172,873,4341,882,7701,588,5961,532,088
Primage287,379288,920394,362392,432323,716
Surtax664,414540,350413,651227,492173,080
Dumping duty2,113858......
Totals, Customs duties9,066,4708,437,1977,079,3966,354,6675,020,946
    Excise Duties     
Alcohol used in perfumed spirit, &c.—New Zealand20,21625,63630,27031,34142,976
Cigars, cigarettes, cigarette papers, and snuff — New Zealand manufactured274,083332,456538,318673,123690,555
Tobacco—New Zealand manufactured640,364768,140941,883955,488864,467
Beer—New Zealand1,066,6891,251,7481,606,7021,641,8621,716,369
Sugar632,172719,144696,347703,825620,826
Totals, excise duties2,633,5243,097,1243,813,5204,005,6393,935,183
Revenue per head:—£ s. d.£ s. d.£ s. d.£ s. d.£ s. d.
  From Customs duties5 12 105 3 74 6 63 17 113 1 3
  From excise duties1 12 91 18 02 6 72 9 12 8 0
Totals7 5 77 1 76 13 16 7 05 9 3

The following table furnishes a general view of the ratio of Customs revenue to merchandise imports at intervals since 1895, which is taken as the base year.

Year.Merchandise Imports.Revenue (excluding Excise Duties).Percentage of Revenue to Total Imports.Index Numbers of Customs Revenue compared with Imports.
Value.Value per Head.Amount.Actual Rate per Head.Rate per Head at 1895 Ratio
 ££s.d.££s.d.£s.d.Per Cent. 
18956,115,9538671,619,97024124126.491000
190010,207,326121462,170,354214137421.26803
190512,481,178131342,652,6662181312421.25802
191016,748,223161112,954,989216945217.64666
191520,658,720171963,190,8832156415215.45583
192061,553,8534910117,953,477697135612.92488
192552,425,757371748,287,2885199100715.81597
193044,339,654291407,776,103542717417.54662
193536,317,267234116,353,91141463217.50661
193756,160,69535658,983,033013097216.00604
193855,422,189349109,066,4705121092916.36618
193949,387,18330668,437,19753780817.08645
194048,997,669291867,079,396466718714.45545
194149,167,010302116,354,66731711719912.92488
194253,856,0123216115,020,946313813119.32352

The figures given in the column “Rate per head at 1895 ratio” indicate the amount of revenue per head of population which would have been obtained had the same ratio of Customs taxation to imports prevailed as in 1895.

Substantial reductions in the scale of duties were responsible for the sharp fall in the percentage of revenue to imports between 1895 and 1920. The percentage rose again after 1920, due partly to heavier taxation and partly to a rise in the proportion of imports from foreign countries. To some extent also the position is affected by a change from the 1st April, 1926, in the system of computation for British preference purposes in the case of articles only partly manufactured in British countries.

FREE AND DUTIABLE IMPORTS.

At the present time more than two-thirds of New Zealand's imports are admitted free of duty.

The figures given in the following table are exclusive of specie, which is admitted free. Imports free of duty include items otherwise dutiable but admitted free for Government use, &c.

Year.Value of Merchandise Imports.Percentage of Total.Customs Duty collected.
Free.Dutiable.Total.Free.Dutiable,Amount.Percentage of
Dutiable Imports.Total Imports.
 £££Per Cent.Per Cent.£Per Cent.Per Cent.
193211,634,88313,011,12324,646,00647.2152.795,035,91338.7120.43
193312,424,19813,157,16825,581,36648.5751.434,920,59337.4019.24
193415,019,01716,320,53531,339,55247.9252.085,724,50435.0818.27
193517,358,65218,958,61536,317,26747.8052.206,353,91133.5117.50
193620,615,65423,643,23244,258,88646.5853.427,795,01132.9717.61
193725,862,09130,298,60456,160,69546.0553.958,983,03329.6516.00
193826,981,93228,440,25755,422,18948.6851.329,066,47031.8816.36
193926,157,23323,229,95049,387,18352.9647.048,437,19736.3217.08
194031,913,71517,083,95448,997,66965.1334.877,079,39641.4414.45
194134,471,37914,695,63149,167,01070.1229.886,354,66743.2412.92
194240,457,39213,398,62053,856,012 75.1224.885,020,94637.479.32 

The next table gives for 1942 detailed figures arranged according to the statistical classification, for the key to which reference should he made to p. 710. The oils, fats, and waxes class, in which motor-spirits predominates, accounted for 46.1 per cent. of the total Customs duty (excluding primage) collected in 1942. Next followed tobacco, 10.7 per cent.; metal manufactures (other than machinery), 8.7 per cent.; alcoholic liquors, 8.5 per cent.; textiles, 5.1 per cent.; and machinery and machines, 4.6 per cent.

FREEAND DUTIABLE IMPORTS, 1942

Class No.Value of Merchandise Imports.Percentage of Total.Customs Duty collected.
Free.Dutiable.Total.Free.Dutiable,Amount.Percentage of
Dutiable Imports.Total Imports.

* Including commodities not included in individual groups.

† Not available.

 £££Per Cent.Per Cent.£Per Cent.Per Cent.
I59,75066,186125,93647.4452.563,5935.432.85
II1,971,4771,685,0533,656,53053.9246.0832,9781.960.90
III161,6582,343,4462,505,1046.4593.55170,1587.266.79
IV34,720352,049386,7698.9891.02385,219109.4299.60
V8,500229,018237,5183.5896.42483,138210.96203.41
VI14,821..14,821100.00........
VII24,4733,16627,63988.5511.4532910.391.19
VIII503,761416504,17799.920.0811627.880.02
IXA514,508433,273947,78154.2945.71109,17925.2011.52
IXB5,779,1271,505,0457,284,17279.3420.66230,62515.323.17
IXC904,209266,7891,170,99877.2222.7845,32916.993.87
X1,668,2641,944,9293,613,19346.1753.832,084,895107.2057.70
XI228,84666,019294,86577.6122.396,98910.592.37
XII240,4504240,454100.00........
XIVA805,23415,500820,73498.111.891,79511.580.22
XIVB3,084,9201,772,4504,857,37063.5136.49395,00422.288.13
XV3,214,050863,1534,077,20378.8321.17206,75823.955.07
XVIA232,17724,790256,96790.359.653,68014.841.43
XVIB163,881119,792283,67357.7742.2322,41418.717.90
XVIIA302,42619,537321,96393.936.0730,380155.509.43
XVIIB34,83652,43687,27239.9260.0811,33121.6112.98
XVIII534,066138,368672,43479.4220.5824,62617.803.66
XIXA724,160110,622834,78286.7513.2521,25119.212.54
XIXB531,103128,305659,40880.5419.4622,65317.653.44
XX5,71986,90292,6216.1793.8315,30317.6116.52
XXI691,65984,122775,78189.1610.8410,06811.971.30
XXIIA1,490,193446,1461,936,33976.9623.0495,05021.304.90
XXIIB431,762..431,762100.00........
XXIIIA923,407555,9251,479,33262.4237.58100,22018.036.77
XXIIIB468,39084,012552,40284.7915.21
Primage and surtax..........496,796....
Totals*40,457,39213,398,62053,856,01275.1224.885,020,94637.479.32

RATES OF DUTY.

The following table shows merchandise imports in 1942 according to the nature or rate of duty.

Nature of Duty.United Kingdom.Other British.Foreign.Totals.
 ££££
Free16,762,25411,537,29612,157,84240,457,392
Specific duties440,1544,113,3852,215,5816,769,120
Ad valorem duties—    
  5 per cent.4,2347,173811,415
  10 per cent.135,22033,062782,544950,826
  12½ per cent...154..154
  15 per cent.205,50329,73189,595324,829
  20 per cent.2,333,364441,0901,002,2573,776,717
  25 per cent.276,00930,435554,830861,274
  30 per cent.4108,68018,383127,067
  35 per cent...73,42827,463100,891
  40 per cent.109124,32711,344135,780
  45 per cent...24990,24390,492
  50 per cent...359212,867213,226
  55 per cent...28818,49218,780
  60 per cent...5,8938,27814,171
  65 per cent.....3,8783,878
  Totals ad valorem2,954,443854,8752,820,1826,629,500
  Total merchandise imports20,156,85116,505,55617,193,60553,856,012

NOTE.

The primage duty of 3 per cent. ad valorem payable on certain otherwise free imports, and the surtax of 9/40 or ½0 of the duty otherwise payable on certain dutiable goods, have been disregarded in the compilation of this table.

PREFERENCE AND RECIPROCITY.

Preference to British countries in respect of certain commodities was provided for in the earliest tariff in force in New Zealand—that introduced in 1841. The amended tariff of 1844 involved the dropping of this preference to British goods, but two years later preference was again introduced.

The first definite attempt at reciprocity was made in 1870, when the Colonial Reciprocity Act gave power to the Government to make reciprocal agreements with the Australian States, including Tasmania; but this Act failed to receive the Royal assent and consequently lapsed.

In 1895, however, the Customs Duties Reciprocity Act received the Royal assent, and ratified an agreement which had been tentatively proposed with South Australia, besides giving power to the Government to make further agreements with the other Australian States. In 1907 the New Zealand and South African Customs Treaty was negotiated. A tariff agreement with the Australian Commonwealth has been in operation since 1922, and with Canada since 1932.

Imperial preference proper was introduced in New Zealand by the Preferential and Reciprocal Trade Act, 1903, which followed the lead given by Canada. At first only a few items were covered by the extra duties levied upon goods of foreign origin, but the Tariff Act of 1907 extended this additional preferential duty to a great number of items. The effect of the 1921, 1927, 1930, and 1934 tariffs has been to widen the disparity in the duty as between goods of British and of foreign origin. Under the Ottawa agreement, New Zealand undertook to preserve the existing margins of preference on United Kingdom goods where the margin of preference did not exceed 20 per cent., and where the margin exceeded that figure not to reduce it below 20 per cent. without the consent of the Government of the United Kingdom. In the tariff of 1934, where reductions in duty were made under the British preferential tariff, the rates of duty under the general (foreign) tariff were, except in a few cases, retained.

The following are the classes of goods which are deemed to be the produce or manufacture of countries the produce or manufactures of 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 countries, the products of which are admissible under the British preferential tariff pursuant to agreements made by New Zealand with such countries, may be varied to suit the provisions of such agreements.

Prior to the 1st April, 1926, the minimum mentioned in paragraph (c), which is now one-half, was one-fourth.

In the calculation of the proportion of produce or labour none of the following items is to be included or considered:—

  1. Manufacturer's profit, or the profit or remuneration of any trader, agent, broker or other person dealing in the article in its finished condition:

  2. Royalties payable in respect of the finished goods:

  3. The cost of outside packages or any cost of packing the goods there into:

  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 entitled to be entered at British preferential rates must have been grown in some part of the British Empire, and the final process of manufacture must also have been performed in some British country.

Certain imports from Australia and Canada pay more than corresponding items from other British countries.

The availability of supply and the changes in the nature of imports occasioned by the demands of a wartime economy have drastically affected the proportion of imports subject to preference, particularly in 1942, when a large proportion of goods classified as foreign was imported under lend-lease arrangements. Of foreign goods imported in 1942, 71 per cent. were free of duty, as compared with 28 per cent. in 1938. A further 10 per cent. (21 per cent. in 1938), although dutiable, paid no higher rate than if they had been of British origin. This left only 19 per cent. in 1942 with the disadvantage of the higher rate of duty applicable to foreign goods as compared with 51 per cent. in 1938. Of the total imports of British origin in 1942, 77 per cent. were classified as free, as were 83 per cent. of goods of United Kingdom origin. The corresponding proportions in 1938 were 56 per cent. in each case.

The extent to which imports in 1942 were entitled to be entered for duty at British -preferential rates is indicated in the following table.

United Kingdom.Other British Countries.Foreign Countries.
 £££
Free in any case7,307,1827,449,40912,157,842
Free when of British origin, but dutiable when of foreign origin9,455,0724,087,8872,580,593
Dutiable, with same rates whether of British or foreign origin238,4541,639,3021,759,360
Dutiable, with a lower rate of duty when of British origin3,156,1433,328,958695,810
Totals20,156,85116,505,55617,193,605

Reciprocity with the Union of South Africa.

As already stated, there was inaugurated in 1907 a reciprocal arrangement with the Union of South Africa whereby products of that country, when imported direct, were admitted into New Zealand at reduced rates of duty, in return for similar concessions granted by South Africa in respect of New Zealand products. This agreement was revised in 1922, the duties on wines being increased and tobacco being deleted from the list. A farther alteration, whereby maize and dried apples were deleted from the list, was made in 1925. Dried fruits formerly came under the agreement, being admitted free when the general tariff was 4d. per pound and the British preferential rate 2d. On 1st January, 1934, however, the general tariff was reduced to 2d. and the British rate made free.

The items specially provided for in the agreement are 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 is made.

The following table shows the merchandise trade with the Union of South Africa during the last eleven years.

Year.Merchandise Imports.Merchandise Exports to Union of South Africa.
From Union of South Africa.Of Union of South Africa Origin.
 £££
193284,83284,66712,120
193348,79150,64614,427
193455,17456,09229,152
193554,93655,80127,504
1936117,329119,40521,855
1937128,073131,97029,554
193890,26690,68219,357
193976,57579,54060,095
1940112,478118,14221,699
1941135,571131,16124,205
1942207,426210,17319,521

The imports of merchandise of South African origin during the last five years are classified into four divisions in the following table.

1938.19391940.1941.1942.
 £££££
Special reduction or remission of duty8,26917,4424,66318,640..
Reduction of 3 per cent. in duty59,11250,95593,22386,614179,021
No reduction5,3505,4789,64022,35830,373
Free under general or British preferential tariff17,9515,66510,6163,549779
Totals90,68279,540118,142131,161210,173

Reciprocity with Australia.

A trade agreement between Australia and New Zealand was first entered into on the 11th April, 1922. Under this agreement each country granted to goods of the other the benefits of its British preferential tariff, except with regard to certain classes of goods on which special rates were fixed.

During 1933 a Minister of the Commonwealth Government visited New Zealand to discuss the commercial relations between the two countries. A provisional agreement was reached in April, 1933, and confirmed by the Trade Agreement (New Zealand and Australia) Ratification Act, 1933. The new agreement came into operation from 1st December, 1933.

Under the agreement lower duties than those under the British preferential tariff on New Zealand products entering Australia are provided for on many lines, the chief of which are: Stilton cheese; fresh and frozen fish and fish pastes; dried peas; hay; chaff; fresh, smoked, and preserved meats; onions; lucerne-seed; wine; furs; hats; caps; floor-rugs; various agricultural and dairying implements; whale-oil; casein; sugar of milk; and timber.

The agreement provides that goods which are partially manufactured in Australia or New Zealand shall not be regarded as the produce or manufacture of the Commonwealth or the Dominion, as the case may be, unless the expenditure in material produced in either country and/or labour performed within either country represents not less than one-half of the factory or works cost of the goods in their finished state.

Merchandise trade between New Zealand and Australia during the last eleven years has been as follows:—

Year.Imports from Australia.Imports of Australian Origin.Exports to Australia.
 £££
19322,571,0802,368,2931,444,860
19332,807,9212,576,0921,393,311
19343,532,0683,238,1241,882,516
19354,295,4573,957,3981,781,811
19365,220,3994,941,3761,843,475
19376,943,8386,595,6051,824,183
19387,468,9877,159,4282,189,454
19396,738,9886,419,4692,256,007
19408,219,3677,817,6012,159,339
19418,865,8128,023,6982,400,266
19428,789,8048,142,2732,717,619

Article IX of the agreement provides that, where with respect to any goods not specially enumerated in the agreement the rate of duty thereon under the New Zealand British preferential tariff is less than the duty under the Australian British preferential tariff, the New Zealand Government may request the Australian. Government to admit into the Commonwealth New-Zealand-produced goods of such class at the rate of duty chargeable on goods of that class under the New Zealand British preferential tariff. If within three calendar months after the receipt of the request the Australian Government does not comply therewith the New Zealand Government may, without further notice, impose on such goods of Australian origin a rate of duty not being greater than the rate of duty for the time being in force in Australia on the like goods under the Australian British preferential tariff. A similar provision is made with respect to the admission of Australian-produced goods into New Zealand.

The rates of duty payable on Australian goods imported into New Zealand and not specifically mentioned in the agreement are automatically affected by changes in the New Zealand British preferential tariff. A modification of the agreement was made in May, 1935, where under the duty on certain Australian goods which would otherwise have been reduced or removed from 1st June, 1936, following changes made in the British preferential tariff by the Customs Acts Amendment Act, 1934, remained unaltered.

The duties on many Australian goods have since been increased as from 1st March, 1938, by an Order in Council made on 26th February, 1938.

Reciprocity with Canada.

From October, 1925, reciprocal trade arrangements with respect to certain items of Canada - New Zealand trade were in force, but ceased in May, 1930.

Negotiations between the Canadian and New Zealand Governments bore fruit in a trade agreement which came into force in both countries for a period originally of one year, as from the 24th May, 1932. This agreement has been extended from time to time, and is now to continue in force indefinitely.

Under the present Canadian tariff on New Zealand produce are included, inter alia: Butter, 5 cents per lb.; cheese, 1 cent per lb.; and lamb and mutton, ½ cent per lb.; while sausage-casings hides and skins, wool, apples, seeds, kauri-gum, and phormium fibre are amongst commodities admitted free.

The rates of duty payable in New Zealand on certain imports from Canada are as under: Salmon, 1¾d. per lb.; silk or artificial silk stockings, 55 per cent.; electric cooking and heating appliances, 30 per cent.; certain agricultural implements, 35 per cent.; timber, 7s. (3d. or 9s. 6d. (rough sawn) and 19s. (sawn and dressed) per 100 sup. ft. The general tariff rate on such timber was increased by 2s. per 100 sup. ft. to afford preference to Canada and other British countries. Canadian goods not mentioned in the agreement enter New Zealand at the ordinary British preferential rates of duty. In some instances where the British preferential rates of duty were reduced by the 1934 tariff the rates on certain Canadian goods mentioned in the agreement were also reduced to the British preferential level. Special duties are payable on motor-vehicles of Canadian origin, these duties varying according to the Canadian content.

Other Trade Arrangements.

New Zealand is also a party to certain commercial treaties, conventions, or arrangements with countries other than those referred to above. Particulars of the trade agreements with certain European countries are contained in the 1940 and previous issues of the Year-Book, hut, owing to the war with Germany and its subsequent effects, these agreements became inoperative. In certain instances the agreements referred to became applicable to New Zealand automatically as a member of the British Empire, while in others New Zealand has become a party signifying her willingness to adhere to treaties negotiated by the United Kingdom. New Zealand has also in some cases entered into agreements with foreign countries by direct negotiation with those countries, and in others the United Kingdom has acted for New Zealand in making trade agreements on her behalf. In some instances the trade involved is insignificant.

By Order in Council of the 21st February, 1934, the duties and exemptions from duty provided for in the Trade Arrangement (Belgium and New Zealand) Ratification Act, 1933, were applied to similar goods the produce or manufacture of the following countries: Argentina, Brazil, China, Czechoslovakia, Egypt, Finland, Germany, Hungary, Italy, Japan, Norway, and Spain. Sweden was added to the list of countries by Order in Council of the 7th June, 1935, and Greece by Order in Council of 22nd October, 1936.

Direct trade arrangements were also entered into with the Netherlands and Switzerland.

The Customs (Tariff Preference and General) Regulations, 1936, set out the classes of goods from foreign countries which may be entered at concessional rates of duty applying to any such countries as a result of treaty obligations between New Zealand and such countries, viz:—

  1. Goods wholly the produce of such a country:

  2. Goods wholly manufactured in such a country from unmanufactured raw materials:

  3. Goods partially manufactured in such a country, provided (1) that the final process of manufacture has been performed in that country or in any British country the produce or manufactures of which are entitled to be entered under the British preferential tariff otherwise than pursuant to any agreement or arrangement made between Now Zealand and such country; (2) that the expenditure in material the produce of that country, and/or in labour performed in that country, on each and every article is not less than one-half of the factory or works cost of such article in its finished state.

Chapter 10. SECTION 10.—SHIPPING

REGISTERED VESSELS.

The number and tonnage of vessels on the New Zealand register at 31st December, 1943, were as follows:—

Port of Registry.Sailing-vessels.Steam-vessels.Motor-vessels.
Vessels.Gross Tonnage.Net Tonnage.Vessels.Gross Tonnage.Net Tonnage.Vessels.Gross Tonnage.Net Tonnage.
Auckland321,9721,589419,1924,36420314,9587,261
Napier......665729482,4861,249
Wellington93873104491,63546,9292810,6275,629
Nelson......65,3202,337101,309636
Lyttelton41,7281,65483,1861,158122,4011,195
Timaru......19424881113
Dunedin......1411,0275,866124,2392,329
Invercargill......101,502558613340
     Totals454,0873,553130123,46162,26428036,16418,342

Auckland is the port of registry of the majority of the vessels forming New Zealand's “mosquito” fleet, the average net tonnage of the 276 vessels on the Auckland register being only 49 tons. At Wellington and Dunedin a number of the vessels of the Union Steam Ship Company of New Zealand are registered, while several are registered in the United Kingdom and Australia. The figures for vessels registered in New Zealand as at the end of each of the last eleven years are as follows:—

Year.Sailing-vessels.Steam- and Motor-vessels.Totals.
Vessels.Gross Tonnage.Net Tonnage.Vessels.Gross Tonnage.Net Tonnage.Vessels.Gross Tonnage.Net Tonnage.
1933565,5884,809460200,141106,786516205,729111,595
1934555,5354,789441182,90396,570496188,438101,359
1935525,4214,726443174,32691,281495179,74796,007
1936535,4234,701430183,00596,405483188,428101,106
1937515,2324,587431181,29394,955482186,52599,542
1938474,8924,283445172,75489,309492177,64693,692
1939484,9074,288456187,37996,831504192,286101,119
1940474,1343,592449185,77695,197496189,91098,789
1941454,0873,553439179,98792,252484184,07495,805
1942454,0873,553429175,34389,623474179,43093,176
1943454,0873,553410159,62580,606455163,71284,159

In the next table vessels registered in the Dominion 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” have not been included.

The number of vessels coming within the following category has fallen from 226 to 143 during the last ten years (a decrease of 30 per cent.), while the total net tonnage has declined by 29 per cent. The principal decrease has taken place in the number of vessels on the register which were engaged in the foreign trade only. Of the 205 vessels in 1933, 9 were sailing-ships; but all of these are now out of commission.

Size of Vessel.Employed In the Coastal Trade only.Employed partly in the Coastal and partly in the Foreign Trade.Employed In the Foreign Trade only.
Number of Vessels.Net Tonnage.Number of Vessels.Net Tonnage.Number of Vessels.Net Tonnage.
Under 50 tons46923........
50 and under 100 tons211,4712134....
100 and under 200 tons172,2113447....
200 and under 300 tons51,2891286....
300 and under 400 tons82,7961368....
400 and under 600 tons1529....1586
600 and under 800 tons42,831....32,271
800 and under 1,000 tons32,557....1944
1,000 and under 1,200 tons11,01922,33011,098
1,200 and under 1,500 tons11,34422,66145,285
1,500 and under 2,000 tons46,83211,79847,316
2,000 tons and over....12,629519,084
Totals11323,8021310,6531936,584

OVERSEAS SHIPPING.

Throughout the remainder of this section all tonnage figures relate to net tonnage.

The tonnage of vessels entered and cleared during 1943 amounted to 4,110,772, as compared with 4,587,600 for 1942. The number of vessels decreased from 1,035 to 953.

For a number of years prior to the outbreak of war the tendency had been for vessels of a larger size to be employed in the New Zealand trade, in order to cope with the growing imports and exports of the Dominion and for the purposes of the passenger traffic. Any change over a period of years was thus more noticeable in a comparison of tonnage than by comparing the number of vessels.

Nationality of Vessels.

The exigencies of war have had a considerable effect on the nationality of vessels employed in the New Zealand trade. Considering only vessels entered inwards, those registered in British countries represented, in 1943, 55 per cent. of the number and 46 per cent. of the total tonnage, whereas in 1939 the corresponding proportions were 85 per cent. for number and 78 per cent. for total tonnage. The average tonnage of British vessels in 1943 was 3,628 and of foreign vessels 5,093. Separate figures for vessels registered in the United Kingdom are not available after 1939, but in that year they represented 43 per cent. of all overseas vessels entering New Zealand ports, and on a tonnage basis 51 per cent., while the average tonnage was 5,551.

Year.British Countries.Foreign Countries.Total.
Vessels.Tons.Vessels.Tons.Vessels.Tons.
Entered
19395372,324,35197640,5866342,964,937
19404582,036,926133764,7595912,801,685
19413431,404,124163913,0045062,317,128
19423431,434,133175864,0065182,298,139
1943263954,2602181,110,2344812,064,494
Cleared
19395442,342,396105677,2636493,019,659
19404692,061,034132763,1336012,824,167
19413491,409,314159900,0005082,309,314
19423411,431,900176857,5615172,289,461
1943266980,3232061,065,9554722,046,278

Direction of Overseas Shipping.

Particulars of the number and net tonnage of vessels entered and cleared between New Zealand and various countries are not available for 1940 and subsequent years, but details for the years 1938 and 1939 are given below.

Country.1938.1939.
Entered.Cleared.Entered.Cleared.
No.Tonnage.No.Tonnage.No.Tonnage.No.Tonnage.
United Kingdom89604,088121784,683100674,994110733,257
India316,380210,919316,380419,612
Malaya415,66539,174729,724....
Canada43234,51714125,03638197,90822144,731
Australia3081,358,6303331,112,5192821,205,2253361,370,750
Fiji1529,1701432,048510,229820,943
Nauru Island1959,3622062,0571752,1361545,717
Gilbert and Ellice Islands1339,6421133,2532267,2261852,339
Western Samoa1411,914129,0482235,1881824,797
Belgium823,287....514,80013,047
Bahrein Island422,493210,355630,417314,091
French Indo-China1027,431924,3731129,7491335,893
Japan1544,0581441,1621031,4881237,454
Netherlands East Indies42204,31329143,54742201,85730144,934
United States of America48317,41248340,85038283,09234289,214
New Caledonia47,429817,69934,43639,294
Other countries2168,9141645,3342380,0882273,586
Totals6603,084,7056563,102,0576342,964,9376493,019,659

Forty-six per cent. of the vessels and 42 per cent. of the total tonnage inwards during the two years covered by the foregoing table came from Australia, while a somewhat higher proportion of the shipping outwards was cleared for Australia. The United Kingdom ranked second with 21 per cent. of the total tonnage inwards, the United States third with 10 per cent., Canada fourth with 7.1 per cent., and the Netherlands East Indies next with 6.7 per cent.

Shipping between New Zealand and certain principal countries for each of the last five years available was as follows:—

Year.Australia.United Kingdom.United States.Canada.Netherlands East Indies.Pacific Islands.
 Tons.Tons.Tons.Tons.Tons.Tons.
   Entered   
1935992,258571,335397,737250,553106,478114,947
19361,155,082565,764414,554251,996140,908130,020
19371,222,157606,596373,132238,316168,565156,702
19381,358,630604,088317,412234,517204,313160,968
19391,205,225674,994283,092197,908201,857175,694
   Cleared   
19351,102,314694,438445,020144,21454,880106,313
19361,135,831745,618404,314199,27677,126164,034
19371,319,092738,309292,488144,584123,210166,021
19381,412,519784,683340,850125,036143,547178,228
19391,370,750733,257289,214144,731144,934175,951

SHIPPING TRADE OF PORTS.

New Zealand has twenty-one ports of entry for Customs purposes and there are numerous other ports around the coast. A vessel arriving from overseas may call at several ports in the Dominion to discharge and load cargo, and is recorded as an overseas arrival at the first port of call, and as an overseas departure from the port from which it finally sails. Its movements from one port to another in New Zealand are treated as coastwise shipping. The figures in the following table, which contains particulars for the last three years available, must simply be taken as showing the extent to which various ports are made the first port of arrival or the last port of departure, and not as indicating the relative overseas trade of the various ports.

OVERSEAS SHIPPING, BY PORTS OF FIRST ARRIVAL AND FINAL DEPARTURE

Port.Entered.Cleared.
1937.1938.1939.1937.1938.1939.
 Tons.Tons.Tons.Tons.Tons.Tons.
Auckland1,863,4421,875,7971,871,7651,309,8521,418,6181,440,092
Gisborne5,1405,233738..10,2486,021
Napier12,44311,47430,54655,30070,83359,631
New Plymouth70,58893,438107,63230,94636,17738,115
Wanganui18,3355,00011,29237,25834,48045,956
Wellington682,343708,937675,341816,427863,082784,309
Picton8,5889,35213,9611,8922,2513,687
Nelson1,15411,346..3,3396,79216,700
Westport4,36311,28390474,33760,17964,238
Greymouth1661,18764422,22725,95127,002
Lyttelton105,896130,419105,211178,700148,448170,138
Timaru10,67811,3912,028..5,6165,777
Oamaru9,99320,40611,3101,86414,2525,000
Dunedin59,78338,29519,291286,459290,675259,860
Bluff109,968151,147114,274107,197114,45593,133
Totals2,962,8803,084,7052,964,9372,925,7983,102,0573,019,659

The movement of overseas and coastal vessels on the New Zealand coast is well illustrated in the following table, which gives the aggregate number and tonnage of the total calls made during each of the last eleven years.

Year.Overseas Vessels.Coastal Vessels.Total.
Number.Net Tonnage.Number.Net Tonnage.Number.Net Tonnage.
19332,1968,531,20717,9815,247,37320,17713,778,580
19342,3088,679,62718,5465,223,90920,85413,903,536
19352,5689,105,55318,2814,947,11720,84914,052,670
19362,5199,952,12418,3144,859,60220,83314,811,626
19372,4169,994,64418,3865,155,39220,80215,150,036
19382,44910,069,10617,9254,910,76120,37414,979,867
19392,4909,766,22417,3654,756,02719,85514,522,251
19402,0827,826,04316,2614,583,52818,34312,409,571
19411,6175,018,64815,0174,342,04716,6349,360,695
19421,6665,491,68813,6103,786,53616,2769,278,224
19431,3794,526,54212,0504,007,17913,4298,533,721

MARINE OFFICERS' CERTIFICATES.

The examinations for masters, mates, engineers, &c., of vessels are controlled by the Marine Department, and the regulations relating to these examinations are based upon those of the Imperial Board of Trade, with such modifications as are necessitated by local conditions; but the British Board of Trade recognizes only the following New Zealand certificates as of Imperial validity: Master, extra; master, first mate, and second mate; first- and second-class steam engineers; and first- and second-class 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 British Board of Trade.

New regulations for the examination of marine engineers were issued by the Board of Trade in the year 1938, and corresponding regulations were made in this Dominion and came into force on the 1st October, 1939. These regulations provide for the issue of combined steam and motor engineers' certificates (Imperial validity). Provision is also made whereby candidates for first- and second-class examinations (Imperial validity) may take the examinations in two parts. Amendments to the rules for the examination of masters and mates were brought into force on 11th October, 1940.

During 1943–44 313 examinations were held. Of the 185 who passed, 54 obtained certificates (Imperial validity) as masters, mates, and engineers of foreign-going steam- or motor-ships; 8 obtained certificates as masters and mates of” home-trade vessels; 32 as third-class engineers of steamships; 20 as masters and engineers of steamships plying within restricted limits; 18 as engineers of coastal motor-vessels; and 50 as engineers of vessels propelled by mechanical power other than steam plying within restricted limits: 1 for master of a pleasure yacht in New Zealand waters; 1 for license as New Zealand pilot; and 1 for compass deviation.

SURVEY OF SHIPS.

The Shipping and Seamen Act of 1908, and its amendments, provide for an annual survey by Government surveyors of all vessels, with a view to ensuring their seaworthiness. Certificates of survey were issued in 1943–44 to 123 seagoing steam- or motor-ships, 249 restricted-limits steam- or motor-ships, and 2 seagoing sailing ships. Vessels to the number of 246 were also surveyed for seaworthiness and efficiency under section 226 of the 1908 Act.

LIGHTHOUSES.

Along the New Zealand coast there are fifty-one lighthouses of various types. In twenty-four cases the lights are watched lights and the apparatus is classed as of the dioptric order—i.e., a central lamp sending its ray through a combination of surrounding lenses—while the remainder of the coastal lighthouses 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 at Pencarrow Head, Godley Head, Taiaroa Head, and Tiritiri Island; while radio beacons have been established at Baring Head, Stephen's Island, Cape Campbell, Capo Reinga, Tiritiri Island, Portland Island, Cuvier Island, and Mokohinau.

The most powerful light is that of Stephen's Island, which, placed some 600 ft. above high water, is visible at a distance of 32½ nautical miles. Next in order come Cape Brett (altitude 510ft.) and East Cape (505ft.), both visible at 30½ miles; Godley Head (altitude 450 ft.), visibility 29 miles; Cuvier Island (altitude 390 ft.)' and Mokohinau (altitude 385 ft.), both of which have a visibility of 27 miles. Sixteen other lights have a range of 20 miles or over.

All manually-attended coastal lighthouses are equipped with signalling flags and lamps, the keepers being competent to transmit or receive messages. Coastal lights—i.e., those outside the bounds of the various harbour authorities—are maintained by the Marine Department.

The average cost of erection and equipment of the main coastal lighthouses was about £6,000 per light, the two most costly being Cape Brett Lighthouse (£11,237) on the Auckland Peninsula, and Dog Island Lighthouse (£10,481) in Foveaux Strait. The expenditure on all lighthouses under the control of the Marine Department during the year 1943–44 was as follows—Salaries and wages, £19,239; stores and general: maintenance, £25,113; radio-beacons, improvements, &c., £5,390; working-expenses of tender, £703; administration expenses, £10,444; interest and sinking-fund charges, £12,757; depreciation, £17,280: total, £90,926. Light dues for 1943–44 totalled £63,038.

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 whoso 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.

During the year 1943–44 forty-three inquiries, one of which was Magisterial, were held into shipping casualties, the number of vessels involved being forty-five. There was one total loss during the year, but no lives were lost. A summary of the casualties is given.

 No.Tonnage.
Strandings—  
  Total loss144
  Damaged6358
  Undamaged510,432
Collisions—  
  Total loss....
  Damaged145,922
  Undamaged2327
Fires—  
  Total loss....
  Damaged1754
  Undamaged....
Miscellaneous4512,478
      Total casualties4530,315

Chapter 11. SECTION 11.—RAILWAYS

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 the 1st December, 1863. A line from Invercargill to Bluff Harbour was opened on the 5th February, 1867. The Provincial Council of Auckland in 1863 began the construction of a line from Auckland to Drury.

Although nearly all the railways are now State-owned, some were built by private enterprise. Of these the more important were constructed by the Midland and the Wellington-Manawatu Railway Companies.

In the year 1876 the railways of New Zealand passed from the control of the Provincial Governments to the Public Works Department. A few years later the opened lines were handed over to the Working Railways Department, and in 1889 a Board of three Railways Commissioners was appointed. This form of management, however, lasted for only five years, at the end of which period a General Manager, responsible to the Minister of Railways, took over the administration, and this system continued for nearly thirty years. In 1925 the system of railway management was reorganized under the control of a Railways Board of three members, but in 1928 the system of control by a General Manager was again reverted to. Three years later legislation was passed constituting the Government Railways Board of five members. This form of management was in operation from 1st June, 1931, to 31st March, 1936, after which date the system of control by a General Manager, responsible to the Minister of Railways, was again introduced.

The development of automatic and electric-power signalling has been greatly extended since its introduction on the New Zealand Railways some years ago. At the present time automatic signalling is in use on 121 m. 77 ch. of double line and 423 m. 77 ch. of single line, with further extensions under construction. In addition to automatic signalling, power signalling for the operation of yards has largely superseded the older form of mechanical signalling.

The use of electric power on the New Zealand Railways is increasing to a great extent for many purposes, and there are now twenty-five railway substations, with a total capacity of 19,857 kVA. The Christchurch-Lyttelton section of railway, including the Lyttelton Tunnel, was electrified in 1928–29; the Otira-Arthur Pass section, including the Otira Tunnel, in 1923; the Wellington-Johnsonville section in 1938; and the Wellington-Paekakariki section in 1940.

The Railways Department owns and operates its own telephone and telegraph communication system, and over all the main lines the running of the trains is controlled from the District Traffic Managers' offices by means of selective telephone equipment. For general communication, the use of automatic “telephone exchanges, two- and three-channel carrier current telephony, and voice-frequency repeaters on the longest lines, give a high-grade service between all stations. Selective inter-calling equipment and teleprinters are in use, and communication equipment is being developed by the use of modern appliances.

MILEAGE OF STATE RAILWAYS.

At the 31st March, 1944, there were 3,504 miles of State railways open for traffic, divided into four distinct sections, as follows:—

Section.Length (Miles).
North Island main Hue and branches1,634
South Island main line and branches1,662
Nelson60
Picton98
Total, South Island1,820

Government railways are constructed by the Public Works Department, and are transferred to the Railways Department when completed.

The gauge is 3 ft. 6 in., and a steel rail 85 lb. weight per lineal yard has recently been adopted as the standard for the permanent-way. One hundred and forty-one miles of this weight have been laid. The previous standard was a 70 lb. rail, and this weight is in use on 1,962 miles of line. In both these instances the mileage given includes miles of double track. The remaining mileage is in 53 lb., 55 lb., 56 lb., and 100 lb. steel rails. Sleepers, which are laid down to the number of 2,500 to the mile, are principally of Australian hardwood and New Zealand silver-pine or totara.

COST OF CONSTRUCTION.

The capital cost of State railways as at the end of each of the last five financial years is given below.

31st March, 194031st March, 1941.31st March, 1942.31st March, 1943.31st March, 1944.
* Equal to £19,652 per mile of open line.
Open for traffic—£££££
   Railway60,697,81862,301,14762,407,90166,189,96268,476,775*
   Lake Wakatipu steamer service20,39620,39620,39620,39620,396
   Subsidiary services2,331,0782,451,3552,465,8272,464,8092,492,058
   General9,8969,8969,8969,8969,896
Total63,059,18864,762,79464,904,02068,685,06370,999,125
Lines under construction8,028,2678,286,1648,819,2035,266,4523,290,226
Grand total71,087,45573,048,95873,723,22373,951,51574,289,351

So varied are the geographical features of the Dominion that a great disparity exists in the cost of constructing the individual sections of lines. The numerous mountain-chains and the innumerable rivers make railway-construction in general both difficult and expensive.

ROLLING-STOCK.

Information as to the rolling-stock in use on the State railways in 1943–44 is given in the following table.

Locomotives— 
  Tender440
  Tank174
  Electric21
  Battery5
Total640
Passenger-vehicles— 
  Sleepers17
  Combination day-sleepers10
  First-class167
  Second-class1,111
  Composite186
  Bail cars22
  Multiple units12
  Postal8
  Ambulance15
Total1,548
Wagons— 
  Horse-boxes268
  Cattle874
  Sheep3,404
  Frozen and chilled meat1,119
  Cool-storage1,100
  Covered goods847
  High-side16,864
  High-side bogie371
Low-side1,624
  Brake-vans496
  Other4,713
Total31,680

All carriages and wagons required for use on the State railways have, since 1901, been constructed in the railway workshops of the Dominion, with the exception of 2,500 four-wheeled wagons imported from England in 1921–22. Locomotives also are built in the railway workshops of the Dominion.

The weights of the locally-built tender-engines in working trim vary from 66 to 143 tons, while those of the tank-engines range from 29 ½ to 72 tons.

The following engines of more recent construction deal with the bulk of the traffic.

Class.Type.Traffic.Weight.Tractive Force.
   Tons.lb.
AB4–6–2 superheated; simple, with tenderMixed8520,000
A4–6–2 superheated; compound, with tenderMixed7817,000
A4–6–2 superheated; simple, with tenderMixed7820,060
G4–6–2 superheated; simple, with tenderMixed9825,800
J4–8–2 superheated; simple, with tenderMixed10924,920
K4–8–4 superheated; simple, with tenderMixed13530,815
KA4–8–4 superheated; simple, with tenderMixed14230,815
KB4–8–4 superheated; simple, with tender (fitted with booster)Mixed14336,815
X4–8–2 superheated; compound, with tenderGoods9426,620
X4–8–2 superheated; simple, with tenderGoods9429,940
WAB4–6–4 superheated ; simple tank engineMixed7122,250
C2–6–2 superheated; simple, with tenderShunting6615,300

Standard carriages are 56 ft. in length, fitted with chair seats to accommodate twenty-nine to fifty-six passengers, steam-heated, and lighted by electricity. Some 766 carriages were equipped with electric light at 31st March, 1944.

REVENUE AND EXPENDITURE.

The total revenue from and expenditure on the railways (including subsidiary services) during each of the years 1933–34 to 1943–44 were as follows:—

Year ended 31st March,Gross Revenue.Expenditure.Net Revenue.Net Revenue per £100 of Capital Cost.
 ££££s.d.
19346,332,7115,247,1531,085,558210
19356,627,9285,540,4371,087,491203
19367,004,3165,952,8391,051,47711810
19377,790,6516,886,793903,8581130
19388,634,1868,001,389632,7971130
19399,345,3878,644,324701,063147
194010,199,0709,010,0391,189,0311193
194111,160,2189,465,5741,694,64421210
194211,938,33810,056,0341,882,3042180
194314,128,99311,302,4132,826,580461
194415,325,30612,757,3362,567,9703143

Interest on railway capital liability for 1943–44 amounted to £2,765,724, a deficit of £197,754 thus being recorded for the year, as compared with a surplus of £203,867 for the preceding year. A sum of £1,186,186 was set aside during 1943–44 for depreciation and renewals (track), while expenditure in this connection amounted to £1,079,546. The amounts standing to the credit of the renewals (track) and depreciation accounts at 31st March, 1944, were £962,398 and £2,055,942 respectively.

The revenue and expenditure for the last five years, distinguishing between railway operating and other items, are given in the following table.

Tear ended 31st March,Revenue.Expenditure.Net Operating Revenue.
Railway Operating.Subsidiary Services.Railway Operating.Subsidiary Services.
 £££££
19408,761,6371,437,4337,943,1201,066,919818,517
19419,694,1901,466,0288,406,7901,058,7841,287,400
194210,383,8801,554,4588,902,5921,153,4421,481,288
194312,415,0801,713,91310,019,6591,282,7542,395,421
194413,464,9791,860,32711,365,9171,391,4192,099,062

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.

Service.Revenue.Expenditure.
1942–43.1943–44.1942–43.1043–44.
 ££££
Lake Wakatipu steamers8,8929,16813,38415,216
Refreshment service363,509397,513318,462346,247
Bookstall service184,866188,292178,427182,226
Advertising service27,63729,88325,67926,991
Departmental dwellings153,810155,141212,822212,621
Leases of bookstalls, &c.43,27143,14227,05527,969
Road services—Passengers and goods554,979646,682506,925580,149
Miscellaneous receipts377,149390,506....
Totals1,713,9131,860,3271,282,7541,391,419

Revenue.

In the following table the railway operating revenue during 1943–44 and each of the preceding ten years is classified according to the class of traffic, &c., from which it was derived.

Year ended 31st March,Passenger-fares.Parcels, Luggage, and Mails.Goods and live-stock.Labour, Demurrage, &c.Totals.
 £££££
19341,336,334281,8893,911,24599,3675,628,835
19351,368,689292,0974,138,434108,8445,908,064
19361,466,617299,9644,359,750117,1886,243,519
19371,611,305305,5264,846,417140,3566,903,604
19381,698,021318,4575,411,297164,0507,591,825
19391,785,646334,1705,694,936190,3078,005,059
19402,119,335330,0246,109,293202,9858,761,637
1942,345,718317,8196,818,603212,0509,694,190
19422,658,778325,8977,174,060225,14510,383,880
19433,710,509397,1428,044,563262,86612,415,080
19444,275,482435,9288,479,387274,18213,464,979

Revenue from the carriage of goods and live-stock had been steadily increasing up to 1929–30, but from then until 1932–33 successive declines were recorded, due mainly to the economic depression and to motor competition. Since 1932–33, however, revenue from this source has improved to such an extent that the amount for 1943–44 was £3,575,063 (73 per cent.), above the 1929–30 figure. During the period 1926–33, there was a rapid falling-off in the amount of revenue from passenger traffic, mainly due in the earlier years to intensive motor competition and later to the depression. This period was followed by a definite upward trend, due to the improvement in economic conditions. The increases shown in both passenger and goods traffic since 1939–40 have been duo in a large measure to factors arising out of the war. During the year ended 31st March, 1944, movements of Armed Forces personnel provided 34.1 per cent. of the total passenger revenue, while military freights accounted for 9.5 per cent. of the total goods revenue. A considerable amount of traffic has also been diverted to rail by the curtailment of road services and the partial immobilization of private motor-cars owing to the restrictions placed on the use of motor-spirits and rubber tires. Benefit has also been received from the shortage of coastal shipping and in the longer haulages consequent upon the centralization of shipping. Compared with the year 1938–39, revenue from passenger-fares in 1943–44 showed an increase of 139.4 per cent. and revenue from goods and live-stock an increase of 48.9 per cent.

The revenue from passenger-fares during the year 1943–44 represented an expenditure on railway travel of £2 12s. 3d. per head of mean population, including Maoris. The total railway operating revenue was equal to £8 4s. 5d. per head.

Expenditure.

The total railway expenditure in 1943–44 represented 83.24 per cent. of the gross earnings, and the operating-expenses 84.41 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 commencing with 1926 relate to operating revenue and expenditure, while those for previous years show the proportion of total expenditure to gross earnings.

Year ended 31st March,Per Cent.
192477.37
192577.97
192681.23
192782.96
192886.81
192984.71
193091.62
193194.47
193291.56
193390.54
193486.65
193586.98
193688.46
193791.81
193896.05
193995.73
194090.66
194186.72
194285.73
194380.71
194484.41

The operating expenditure under various heads is now given for 1943–44 and each of the previous ten years.

Year ended 31st March,Maintenance of Ways and Works.Maintenance of Signals.Maintenance of Rolling stock.Locomotive Transportation.Traffic Transportation.Head Office and General Charges.*Totals.
* Including superannuation subsidy.
 £££££££
1934993,207110,2981,220,1021,064,8271,253,833234,8794,877,146
19351,047,825137,4771,236,3241,127,1601,360,928228,8745,138,588
19361,070,085147,4421,406,6851,201,6361,465,052232,2935,523,193
19371,171,963154,1081,565,0831,412,1771,797,058237,9966,338,385
19381,278,980178,8921,792,5621,703,1102,090,471247,7707,291,786
19391,375,829186,5461,832,6151,812,8572,208,310247,4757,663,632
19401,468,268197,9491,898,3661,891,2622,250,905238,3707,943,120
19411,544,202213,6232,043,9762,043,9962,322,492238,5018,406,790
19421,616,382238,1692,211,4762,113,9182,479,852243,7958,902,692
19431,829,311271,4992,380,2602,430,3472,862,653245,68910,019,669
19442,146,448326,1902,868,0062,555,9563,207,782261,53511,365,917

A factor in the increased expenditure for 1943–44 is the provision of £410,500 maintenance expenditure which has had to be postponed owing to shortages of material and man-power consequent upon war conditions.

PASSENGERS AND GOODS.

In addition to the traffic figures shown in the following table for 1943–44, 11,611,230 passengers were carried by the Railways Department's road services, and 13,611 passengers and 8,235 tons of goods on the Lake Wakatipu steamer service. Passenger train-miles run during the year totalled 6,455,013, and the passenger revenue received represents 158.96d. per train-mile and £1,220 per mile of line operated.

Year ended 31st March,Length open (Miles).Train-mileage.Passengers.Season Tickets issued.Goods and Live-stock.*
Including Season-ticket Holders.Excluding Season-ticket Holders.
* Live-stock converted to equivalent tonnage.
      Tons.
19343,32010,163,47419,047,1867,511,346442,7425,642,199
19353,32010,626,40019,654,4677,809,035457,5466,023,960
19363,32011,050,37620,358,5247,983,824482,1466,188,805
19373,32011,868,08321,235,4288,284,956513,0636,813,240
19383,32312,777,85222,441,2128,069,018750,4977,516,049
19393,31913,072,61523,265,7687,813,436888,8447,539,012
19403,39013,366,79824,454,0148,283,067972,7697,673,950
19413,39013,559,64626,276,9239,440,0871,055,7428,426,182
19423,39013,978,96128,610,94511,105,6271,167,1158,473,765
19433,46015,139,88236,133,26817,171,2141,377,8258,887,089
19443,50415,328,98738,611,26718,317,3231,518,0459,026,626

The number of ordinary passenger journeys in 1943–44 exceeded the previous year's record by 6.7 per cent., while the tonnage hauled also set a new record, the increase over 1942–43 amounting to 1.6 per cent.

Live-stock carried in 1943–44 was equivalent to a tonnage of 793,137 and included 714,891 cattle, 669,709 calves, 12,323,882 sheep, and 568,009 pigs.

Detailed figures showing the number of rail passengers carried during the last five years are given in the following table.

1939–40.1940–41.1041–42.1942–43.1943–44.
Ordinary and holiday excursion3,627,7633,962,3504,886,2847,146,6728,526,049
Suburban1,828,6971,868,1242,056,7433,195,6863,347,661
Other reduced fares2,826,6073,609,6134,162,6006,829,9566,443,613
Totals8,283,0679,440,08711,105,62717,171,21418,317,323
Season tickets issued—     
   Suburban twelve-trip319,715353,103371,421401,278424,117
   Workers' weekly74,75675,79773,71671,65879,016
   Weekly twelve-trip55,37766,67470,43675,66578,740
   Bearer twelve-trip47,75652,46660,09573,02876,817
   Bearer six-trip389,573422,050507,551675,535776,008
   School25,40324,19823,33823,60724,699
   Tourist174190154124102
   Travellers' annual264254285302309
   Other59,75161,02060,11956,72858,237
Totals972,7691,055,7421,167,1151,377,8251,518,045

The following table gives interesting information as to the constitution of the goods traffic for the year 1913–44. The figures are exclusive of steamer traffic on Lake Wakatipu.

Commodity.Tonnage carried.Per Cent. or Total.Tons One Mile (,000 omitted).Average Haul.Revenue.Revenue per Ton-mile.
    Miles.£d.
Grain280,4503.1115,09154157,8602.51
Grain products133,8071.48' 8,8566688,6122.40
Fruit and vegetables96,6341.0717,164178146,7622.05
Root-crops, fodder200,3702.2219,60798155,4131.90
Flax, hemp, and tow14,0780.161,53110915,1722.38
Seeds31,9220.352,5468030,1732.84
Cattle and horses271,7853.0123,61687317,1333.22
Sheep and pigs521,3525.7839,01675556,9483.43
Meat329,9183.6527,54783448,4233.91
Butter118,4971.3113,074110161,6152.97
Cheese101,6201.136,45964100,5883.74
Wool218,7812.4214,27365269,1674.53
Dairy by-products31,4090.353,23310345,1163.35
Fat, hides, skins60,5490.674,6777784,6354.34
Fish12,2770.142,08217020,7362.39
Agricultural lime651,8717.2240,55562249,2171.47
Coal, imported1,5750.022391522,0102.02
Coal, New Zealand hard953,57210.5655,68758408,1191.76
Coal, New Zealand brown1,128,89812.51137,878122791,6731.38
Road-metal43,1250.482,0274718,0392.14
Lime and coke42,6940.472,9036826,4262.18
Timber, imported7,6300.087841039,7802.99
Timber, New Zealand659,8217.3187,773133712,7811.95
Firewood, posts, &c.89,3050.997,7478746,4241.44
Benzine, gasoline, kerosene201,7222.2315,43076315,520491
Cement110,8421.2314,639132145,0892.38
Manures588,0376.5253,06590381,9721.73
Miscellaneous2,124,17923.53215,0951012,952,3793.29
Totals9,026,626100.00832,594928,657,7822.50

The total number of freight train-miles run during the year 1943–44 in carrying the above tonnage was 8,873,974. The revenue received represents averages of 19s. 6d. per train-mile, 19s. 2d. per ton, and 2.50d. per ton-mile.

RAILWAY EMPLOYEES.

The average number of persons employed by the State railways throughout the year ended 31st March, 1944, was 23,422. The staff is divided into two divisions—namely, the first or clerical division, and the second or out-of-door division—and is further classed in five branches, as shown in the following table.

Year ended 31st March,General.TrafficMaintenance.Locomotive Running.Workshops.Total.
19402,7116,9455,3763,3237,35625,710
19412,7006,8505,4393,2466,26724,502
19422,7456,8994,9323,1966,58023,352
19432,6516,9874,2343,1885,17722,237
19442,7917,6254,3403,4056,36123,422

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, provides 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, &c.; and terms and conditions in regard to leave of absence, railway travel concessions, &c. This tribunal, which is 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. Information concerning this is given in the section dealing with “Social Security, Pensions, Superannuation, &c.” A sick-benefit fund, providing for the payment of weekly allowances for periods up to seventy-eight weeks to employees other than salaried staff who are incapacitated by sickness, was instituted in 1929. The fund is subsidized by the Department, formerly at the rate of £8,000 per annum, but authority is now given by the Statutes Amendment Act, 1944, to increase this subsidy up to a maximum of £28,000 per annum. At 31st March, 1944, accumulated reserves amounted to £7,934.

RAILWAY ACCIDENTS.

The history of railways in New Zealand has been one of comparative freedom from accidents of a serious nature, only two that may be termed disasters having been recorded. The first of these occurred at Ongarue in 1923, when seventeen passengers were killed and twenty-nine injured as the result of a derailment caused by a falling boulder. The second, which occurred near Hyde on 4th June, 1943, caused the deaths of twenty-one passengers and more or less serious injuries to forty-six others. A serious accident occurred near Haywards on 8th November, 1943, when three passengers were killed and nineteen injured. A table is given dealing with railway accidents during each of the last five years.

Year ended 31st March,To Passengers.To Employees.To Others.Fatal.Other.Total.
1940462,80588392,9002,939
1941562,256118382,3922,430
1942482,291107362,4102,446
1943502,554178522,7302,782
19441392,968231733,2653,338

Of the 73 persons meeting with fatal accidents in 1943–44, 32 were passengers and 12 were employees. Of the remainder, who were neither passengers nor employees, 20 were killed at railway-crossings and 9 in accidents on the line.

Included in the total accidents (3,338) were 90 caused by accidents to trains, 85 accidents on line, 175 shunting accidents, 56 railway-crossing accidents, and 923 accidents in railway workshops, while miscellaneous accidents totalled 2,009—mainly minor injuries to employees.

PRIVATE RAILWAYS.

Private railways in New Zealand, which are mainly restricted to lines whose chief object is to serve collieries or sawmills, may be roughly divided into two classes: (a) those used solely for the transport of goods belonging to the owners of the line, and (b) those open for the transport of passengers or goods. No information is available concerning the mileage of the former class, but the aggregate length of the latter (main lines only) is approximately 180 miles.

Chapter 12. SECTION 12.—TRAMWAYS

SYSTEMS AND OWNERSHIP.

Subject to two exceptions, electric-tramway services in New Zealand have been controlled since their inception by local authorities, the exceptions being—(1) Auckland, where a public company operated from 1902 until 1st July, 1919, when the system was taken over by the Auckland City Council; and (2) Dunedin, where a section of the system was until 1921 operated by a private company. Five of the seven electric-tramway systems operating at the present time are controlled by the Council of the city or borough concerned. At Christchurch the Christchurch Tramway Board, and at Auckland the Auckland Transport Board, are the controlling authorities.

The local authorities derive their powers for controlling tramways from the Tramways Act, 1908. There are also special Acts empowering the construction, &c., of tramways in certain places.

System.Year of Inauguration.Length of Track as at 31st March, 1944.Approximate Population in Area served, April, 1941.
Thoroughfare.Single line (Including Loops).
  M.ch.M.ch. 
Auckland190244608740182,000
New Plymouth191662473018,000
Wanganui19081424166423,000
Wellington190430345446121,000
Christchurch190543575611115,000
Dunedin19031462263173,000
Invercargill191274294024,000

Passenger rolling-stock at 31st March, 1944, comprised 757 cars with a capacity of 31,914 passengers, including 15 trackless trams with a capacity of 662 passengers. The total route mileage was 162 miles, and track mileage (including loops) 258 miles. In addition to the passenger rolling-stock there were 2 freight cars and 1 water-sprinkler.

REVIEW OF OPERATIONS.

Summarized statistics of tramway operations during the last five years are given in the following table.

Year ended 31st March,Number of Undertakings.Number of Employees paid out of Revenue.Passenger Car-miles run.Passengers carried.Number of Passengers per Car-mile.
194073,07316,396,807149,736,1959.13
194172,98516,267,155160,077,2279.84
194272,92316,460,881172,937,68410.51
194372,96617,116,492200,767,09811.73
194473,04017,734,593220,215,97812.42

Successive annual increases in the numbers of passengers carried have been recorded since 1933–34, and the number of passengers carried during the year 1943–44 (220,215,978) is the highest yet recorded. This increased volume of passenger traffic is undoubtedly largely due, in the more recent years, to the restrictions imposed on the use of motor-spirits. The presence of members of the Armed Forces on leave from nearby military camps would also be a contributing factor in some centres.

All centres reported increases in passenger traffic for 1943–44 as compared with 1942–43, though in Invercargill (where tickets for cash fares are not issued) the advance has been obscured through the adoption of a revised method of computation. The absolute and percentage increases for the remaining centres are as follows: Auckland, 11,540,895 (13.1); New Plymouth, 333,563 (11.3); Wanganui, 227,452 (8.8); Wellington, 5,404,620 (9.4); Christchurch, 1,617,892 (5.8); Dunedin, 577,481 (3.1).

The financial operations of the tramways are summarized in the following table.

Year ended 31st March,Revenue.Expenditure.Percentage of Expenditure to Revenue.Capital Value.Accrued Funds.
Sinking Funds.Depreciation and Renewal Funds.Accident Funds.
 ££ ££££
19401,593,7371,596,682100.185,786,4871,611,5901,604,025145,548
19411,690,7421,696,300100.335,092,378580,4321,964,557167,336
19421,820,6301,789,76098.305,101,263686,8292,233,434176,764
19432,110,6171,973,47293.505,016,785633,1322,630,401190,750
19442,324,6362,215,71195.314,938,030871,0292,882,203206,045

Figures showing details of the total expenditure during each of the last five years are given in the next table.

Year ended 31st March,Operating Expenditure.Capital Charges.Other Expenses.Totals.
 £Per Cent.£Per Cent.£Per Cent.£Per Cent.
1940.1,142,49771.55403,44425.2750,7413.181,596,682100.00
19411,191,30470.23480,17428.3124,8221.461,696,300100.00
19421,225,92168.50541,66130.2622,1781.241,789,760100.00
19431,335,12567.66613,80531.1024,5421.241,973,472100.00
19441,438,72964.93754,80334.0722,1791.002,215,711100.00

An analysis of the capital value of tramway undertakings follows, figures for each of the last five years being given.

As at 31st March,Permanent-way.Electric Equipment of Lines.Cars and other Vehicles.Land.Buildings.Miscellaneous and Undefined.Totals.
 £££££££
19402,373,683543,2211,557,405149,490622,292540,3965,786,487
19412,052,476490,7011,339,582146,343618,664444,6125,092,378
19422,062,258490,7011,341,655146,096620,430440,1235,101,263
19432,020,353462,1091,334,358145,095614,517440,3535,016,785
19441,975,330473,4481,365,404144,544608,094371,2104,938,030

A more detailed analysis of tramway statistics for 1943–44 is given in the succeeding paragraphs.

Volume of Traffic.

The number of passengers carried per car-mile is a useful guide to the relative density of traffic handled by the various undertakings. The length of track may be taken into consideration as a relevant factor. No data are available as to the length of journey per passenger.

System.Total Passengers carried.Car-miles run (Passenger Cars and Trailers).Passengers per Car-mile.*Average Fare per Passenger.
* Passenger vehicles.
    d.
Auckland99,424,9447,233,54713.742.59
New Plymouth3,283,058338,8939.692.08
Wanganui2,813,181409,4766.872.79
Wellington62,854,7624,427,77814.202.44
Christchurch29,737,5473,379,5868.802.55
Dunedin19,000,1741,539,01712.352.27
Invercargill3,102,312406,2967.642.15
Totals220,215,97817,734,59312.422.50

Financial Transactions.

The Auckland and Wellington services provided 74.5 per cent. of the total traffic revenue for 1943–44, the former returning £1,071,507 or 46.6 per cent. of the total, and the latter £642,343, or 27.9 per cent.

Following is an analysis of revenue in each centre in 1943–44.

System.Traffic (Passengers and Freight).Traffic Revenue per Car-mile.*Other Revenue.Totals.
Cash.Concession.
* All vehicles.
 ££d.££
Auckland1,071,507..35.528,9761,080,483
New Plymouth14,31414,29320.2633728,944
Wanganui26,7606,11019.271,04533,915
Wellington336,379305,96434.826,718649,061
Christchurch199,361117,68922.525,292322,342
Dunedin90,26189,86428.091,384181,509
Invercargill7,06520,87716.5144028,382
Totals1,745,647554,79731.1224,1922,324,636

In 1943–44 the combined undertakings showed an excess of revenue over total expenditure (including operating-expenses, capital charges, and other expenditure) amounting to £108,925, Wanganui alone recording a loss. It should generally be noted, however, that the inclusion with capital charges of renewal and reserve fund charges, which are actually appropriations of profits, has the effect in some cases of understating a surplus or of overstating a loss. Of the total expenditure, operating-costs (£1,438,729) comprised 64.9 per cent., and capital charges (.754,803) 34.1 per cent.

An analysis of the expenditure incurred in respect of each service in 1943–44 is shown below.

System.Operating Expenditure.Capital Charges.Other Expenses.Totals.
 ££££
Auckland615,970436,0231,6271,053,620
New Plymouth21,7715,7581,09128,620
Wanganui25,27615,6691,21642,161
Wellington421,842170,5491,946594,337
Christchurch202,39378,25212,245292,890
Dunedin127,12044,8493,923175,892
Invercargill24,3573,70313128,191
Totals1,438,729754,80322,1792,216,711

The principal item comprised in the total operating expenditure is expenses on account of traffic, which in 1943–44 represented 63.8 per cent.; followed by car-maintenance, 13.8 per cent.; cost of power, 9.0 per cent.; track-maintenance, 7.5 percent.; and management and office expenses, 5.9 per cent. The distribution of operating expenditure in 1943–44 was as follows:—

System.Power.Traffic.Car-maintenance.Track-maintenance (Including Electrical Equipment).Management and Office Expenses.Totals.
 ££££££
Auckland62,251395,83790,84129,31437,727615,970
New Plymouth1,80014,7293,58176190021,771
Wanganui2,73612,4565,3443,1981,54225,276
Wellington32,565281,01950,13533,65824,465421,842
Christchurch18,876122,61529,46822,8358,599202,393
Dunedin9,25179,84912,78514,67210,563127,120
Invercargill2,42512,0495,9082,99897724,357
        Totals129,904918,554198,062107,43684,7731,438,729

Annual capital charges in the way of provision for interest and sinking fund and for depreciation, reserve, and renewal funds comprised 34 per cent. of the total expenditure during the year ended 31st March, 1944. The magnitude of these charges is not surprising, having regard to the relatively large capital outlay that is necessary in tramway undertakings. Of the total provision for capital charges for the year ended 31st March, 1944, 18 per cent. consisted of interest charges and 41 per cent. of sinking fund charges. As the Wanganui tramways are unable to meet capital charges out of revenue, the City Council levies a special rate for that purpose. In the case of Invercargill, the bulk of the capital charges is now paid out of withdrawals from the Depreciation Fund, as authorized by the Invercargill City Council Tramway Depreciation Fund Empowering Act, 1940, and is excluded from the figures here presented. The amounts expended on various capital charges by each system in 1943–44 were:—

System.Interest.Sinking Fund Charges.Depreciation Fond Charges.Renewal Fund Charges.Reserve Fund Charges.Accident Fund Charges.Totals.
 £££££££
Auckland72,814240,20985,00030,000..8,000436,023
New Plymouth2,5722,456225605....5,758
Wanganui5,6419,862......16615,669
Wellington20,30028,360..55,48255,48210,925170,549
Christchurch27,98720,480..27,799..1,98678,252
Dunedin8,34711,423..25,079....44,849
Invercargill839..2,667....1973,703
Totals138,500312,79087,892138,86555,48221,274754,803

The following table, showing the relationship between revenue and expenditure per car-mile run, gives a useful indication of the relative prosperity of the various undertakings.

System.Per Car-mile* run, 1943–44.
Total Revenue.Operating- costs.Capital Charges.Other Expenditure.Total Expenditure.
* All vehicles.
 d.d.d.d.d.
Auckland35.8220.4214.460.0534.93
New Plymouth20.5015.424.080.7720.27
Wanganui19.8814.829.180.7124.71
Wellington35.1822.879.240.1132.22
Christchurch22.8914.375.560.8720.80
Dunedin28.3119.827.000.6127.43
Invercargill16.7714.392.180.0816.65
All systems31.4519.4710.210.3029.98

Capital Value.

At the 31st March, 1944, existing electric tramways represented a capital value of £4,938,030, made up as follows:—

System.Permanent-way.Electric Equipment of Lines.Cars and other Vehicles.Land.Buildings.Miscellaneous and undefined.Totals.
 £££££££
Auckland700,373139,795327,53715,300168,98457,0331,409,022
New Plymouth63,4349,15823,8658968,0801,657107,090
Wanganui45,55012,32020,710..4,9508,62492,154
Wellington496,402135,751507,21459,495211,11899,3781,509,358
Christchurch419,577126,829343,13239,258152,066194,1191,274,981
Dunedin205,54041,807103,33729,44354,9908,723443,840
Invercargill44,4547,78839,6091527,9061,676101,585
Totals1,975,330473,4481,305,404144,544608,094371,2104,938,030

These figures should be read in conjunction with the next table, which sets out the reserves available for writing down the value of the various assets. The capital values of the Auckland, Wanganui, and Christchurch systems have already been reduced by amounts of £716,043, £187,884, and £80,780 respectively.

Accrued funds and reserves, at the 31st March, 1944, totalled £3,959,277. Eighty-one, thirty-six, and eighty per cent. of sinking fund reserves, depreciation and other reserves, and accident reserves, respectively, are funded in securities outside the tramway undertakings.

Figures of accrued funds and reserves as at 31st March, 1944, are as follows:—

System.Sinking Fund Reserves.Depreciation and Other Reserves.Accident Reserves.Totals.
 ££££
Auckland608,313549,74111,0681,169,122
New Plymouth..51,260..51,260
Wanganui23,461....23,461
Wellington102,1581,227,458121,6611,451,277
Christchurch109,243783,68340,279933,205
Dunedin9,229177,28033,037219,546
Invercargill9,62592,781..102,406
Totals862,0292,882,203206,0453,950,277

Power Consumption.

With the exception of Christchurch, which generated 21,530 units during 1943–44, the whole of the power used by tramway authorities is drawn from the Government hydro-electric grid systems, or, as in the cases of New Plymouth and Dunedin, from municipally-owned hydro-stations linked to these grids. As a consequence, the cost per unit of the energy used is comparatively low. In using the per-unit cost figures in the next table it should be borne in mind that in the cases of Christchurch and Wanganui the power purchased is A.C. and is converted by the tramway authority to D.C. power for tramway operation, while the other authorities purchase D.C. power. If the operating, maintenance, and capital charges of the Christchurch tramways conversion plant were added to the cost of power purchased, the per-unit cost of the energy used would probably approximate that of the other chief centres. It should be noted, however, that the figures given in the first column of the table represent in every case the units of D.C. energy used in tramway operation.

Figures for the financial year ended 31st March, 1944, are:—

System.Total Units of Electrical Energy used.Cost per Unit purchased.Units per Car-mile.*Passengers per Car-mile.

* All vehicles.

† Passenger vehicles.

  d.  
Auckland25,983,0750.573.5913.74
New Plymouth814,8300.532.409.69
Wanganui1,150,2050.522.816.87
Wellington11,959,9830.652.7014.20
Christchurch9,011,7600.462.678.80
Dunedin3,493,2510.642.2712.35
Invercargill644,7600.901.597.64
Totals53,057,8640.572.9912.42

OMNIBUS SERVICES OPERATED BY TRAMWAY AUTHORITIES.

Omnibus services were carried on by tramway authorities in the following centres in 1943–44:— New Plymouth, Wanganui, Wellington, Christchurch, and Dunedin. Statistics for the year 1943–44 show that expenditure exceeded revenue by £4,298. Christchurch and Dunedin reported an excess of revenue over expenditure, but the. operations of the other undertakings were unprofitable, Wellington recording a deficit of £7,929, New Plymouth of £2,276, and Wanganui of £107. Persons employed during 1943–44 totalled 117, made up as follows: Traffic, management, and office staff, 87; garage, 30. The number of vehicles in use was 89.

Passengers carried in 1943–44 increased by 513,348 as compared with the number carried in 1942–43, although bus-miles run were reduced by 47,974. Passengers carried by the various bus services were: Dunedin, 3,169,671; Christchurch, 2,809,521; Wellington, 1,667,768; New Plymouth, 899,905; and Wanganui, 185,860.

Year ended 31st March,
1940.1941.1942.1943.1944.
UndertakingsNo.55555
EmployeesNo.131120124111117
Salaries and wages£43,24743,90743,94744,60146,412
Capital cost of vehicles£180,817209,770207,786215,489220,956
Depreciation£59,13767,27375,45074,49885,222
Total expenditure£114,171124,071129,401125,003130,981
Revenue£101,441111,386125,891122,697126,683
Passengers carriedNo.6,559,6826,994,4178,227,8608,220,3778,733,725
Bus-milesNo.1,540,3581,636,8141,628,8701,388,5541,340,580
Average fare per passengerd.3.703.803.663.563.47
Passengers per bus-mileNo.4.264.555.055.926.51

CABLE TRAMWAYS.

There are four cable-tramway systems in the Dominion, one in Wellington and three in Dunedin. The systems, all of which operate on a 3 ft. 6 in. gauge, extend over routes totalling 4 miles 33 chains. The total revenue in 1943–44 amounted to £58,565, while expenditure totalled £54,433. The total revenue derived from traffic during the year was £58,368, showing an average of 1.90d. per passenger carried. The total capital value stood at £123,048 at 31st March, 1944.

Year ended 31st March,
1940.1941.1942.1943.1944.

* Including 130,677 passengers carried and 7,536 miles run by buses temporarily replacing trams.

† Including 79,452 passengers carried and 4,750 miles run by buses temporarily replacing trams.

UndertakingsNo.44444
EmployeesNo.7374737272
Salaries and wages£19,41622,61923,30224,94125,091
Capital value£123,048123,048123,048123,048123,048
Expenditure—      
  Operating-expenses£37,47239,44539,95944,00343,724
  Capital charges£9,7439,70710,12810,32410,709
  Total£47,21549,15250,08754,32754,433
Revenue£50,74353,14352,81256,30158,565
Passengers carriedNo.5,978,6696,264,4516,324,2086,822,299*7,388,264
Car-miles run (including trailer miles)No.330,415334,238332,008324,840*330,481
Passengers per car-mileNo.18.0918.7419.0521.0022.36

Chapter 13. SECTION 13.—ROADS AND ROAD TRANSPORT.

ROADS AND BRIDGES.

—The total mileage of formed roads in the Dominion at 31st March, 1943, was 53,331, in addition to which there were 5,765 miles of bridle-tracks and 17,211 miles of unformed legal roads. Details are given in the following table.

Counties.Boroughs.Town Districts.Road Districts.Totals.
*Includes 201 miles pumice and 7 miles clay and shell.
Roads and streets formed to not less than dray-width and paved or surfaced with—Miles.Miles.Miles.Miles.Miles.
   Bituminous or cement concrete151267614437
   Bitumen or tar3,5111,77499305,414
   Metal or gravel36,6401,4903208438,534*
Roads and streets formed to not less than dray-width, but not paved or surfaced8,66717557478,946
Totals, formed roads48,9693,70648117553,331
Bridle-tracks5,642404796,765
Unformed legal roads16,773362581817,211
Totals, all roads71,3844,10854327276,307

The formation of roads in many parts of the Dominion 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 of the Dominion as at 31st March, 1943, 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.

Material of which Bridge constructed.Counties.Boroughs.Town Districts.Road Districts.Totals.
No.Total Length.No.Total Length.No.Total Length.No.Total Length.No.Total Length.
  Ft. Ft. Ft. Ft. Ft.
All concrete or stone83879,436494,515974838789984,786
Steel and concrete63155,532557,7849905....69564,221
Steel, concrete, and timber51250,959295,444........54156,403
Steel and timber68050,189163,189281  69853,459
Australian hardwood1,928199,220909,30782,075....2,026210,602
Native timbers2,393161,889483,590166702932,459166,242
Totals6,982597,22528733,829444,47951807,318635,713

ROADS ADMINISTRATION.

The control of roads and bridges in New Zealand comes under the administration of the Minister of Works, the main statutes covering roads administration being the Public Works Act, 1928, and the Counties Act, 1920, and amendments. The Main Highways Act receives specific mention later.

Roads which have been declared to be Government roads are under the immediate jurisdiction of the Minister of Works. Urban roads and streets are controlled by city, borough, or town district authorities, and rural roading is controlled by County Councils and Road Boards.

Apart from Government roads, which are maintained by the State, roads and streets are maintained by the respective local authorities out of their own revenue resources. The Government does not assist in financing general road maintenance except in regard to roads which, as is explained under the next heading, have been gazetted as main highways under the Main Highways Act, 1922, or as State highways under an amendment of 1936. In the case of extraordinary maintenance arising from storms or floods, the Minister may give special assistance to rural local authorities by way of subsidy or grant from the Consolidated Fund according to the severity of the damage and the financial position of the authority concerned.

The Government assists towards the construction of roads and bridges in counties and road districts, particularly in areas where better roading facilities are required in the interests of settlement and primary production. The sums granted by the State for this purpose may be by way of free grant or, more generally, by way of subsidy on a £1 for £1 or £2 for £1 basis. In many instances construction is carried out by the Public Works Department, although frequently the respective local authorities arrange for work to be undertaken. In the latter case the standard of construction, &c., must first be approved, and departmental supervision exercised, before the grant or subsidy can be uplifted. Capital expenditure by the Government on the construction of roads and bridges is met from the Public Works Account.

Wherever possible, County Councils arrange to finance their roading operations from revenue, but as a general rule the construction of roads and bridges necessitates the raising of loans. The borrowing of moneys by local authorities is subject to review by a Board, constituted under the Local Government Loans Board Act, 1926, which investigates the economic and developmental aspects of all loan proposals formulated by local authorities.

During the war years the normal programmes of development work have been largely suspended, and activities have been mainly confined to roading projects of national importance under prevailing conditions and to bridge or minor access requirements of primary urgency. Sections in hand at the outbreak of hostilities have been proceeded with to the extent that man-power and materials have permitted.

MAIN HIGHWAYS.

—Prior to the advent of the motor-vehicle only a small proportion of the total road-mileage outside of boroughs was permanently surfaced. The development of motor-traffic, however, entirely changed the complexion of the roading problem in New Zealand, as elsewhere, and better roads were demanded as motor transport became popular. Later on, with the rapid increase in the use of motor-vehicles, particularly heavy ones, it became very evident that the type of road that was suitable for slow-moving horse-drawn traffic was inadequate. It was found that under the strain of motor traffic the roads, particularly those between the main centres running parallel with railways, were deteriorating, while the necessity for changes in both construction and administration became more and more obvious. To meet the situation the Main Highways Act was passed in 1922, under which provision was made for the declaration of roads as main highways, and thus the control of arterial roads became primarily a national concern.

For the administration of the Act the Main Highways Board was constituted. The Board consists of six members—viz., two members appointed by the Government, an officer of the Public Works Department, two representatives of County Councils, and one representative of owners of motor-vehicles. The Board administers the main highways system, but in most cases delegates its powers of maintenance, control, &c., to the local authority concerned, though at the same time exercising supervision over the standard of work. At 31st March, 1944) the length of main highways totalled 12,398 miles.

Under an amendment to the Act of 1922, passed in 1936, the Board may, with the approval of the Minister of Works, classify any main highway as a “State highway,” the whole cost of maintenance and construction of such a highway (with certain exceptions) being met from the Main Highways Account. Of the 12,398 miles of main highways, 3,990 miles, comprising the principal arterial traffic routes, have been classified as State highways.

Highway Districts.

In terms of the Act the Board has divided the Dominion into eighteen highway districts, composed of counties grouped according to geographic situation and community of interest. For each highway district there is an advisory body, known as the District Highways Council, which is constituted to include an Engineer of the Public Works Department and one representative of each constituent county. The principal functions of these councils are to make recommendations to the Board each year as to which roads within the several districts should be declared main highways and the works which should be undertaken.

Finance.

Under the original Act there were two separate funds within the Main-Highways Account—viz., the Revenue Fund and the Construction Fund, but since 1st April, 1936, these funds have been amalgamated into the Main Highways-Account. Revenue for main highways purposes is obtained from the following sources of motor taxation:—

  • Tire-tax (sections 13 and 14, Main Highways Act, 1922).

  • Motor-spirits tax (section 9 of the Motor-spirits Taxation Act, 1927).

  • Motor-registration licenses, fees, &c. (section 24, Motor-vehicles Act, 1924).

  • Mileage-tax (section 19, Finance Act (No. 2), 1931–32).

As from August, 1939, the petrol-tax was increased from 10d. to 1s. 2d. per gallon for British imports, of which 8d. is ordinary Customs revenue, and from 10 1/2d. to 1s. 2 7/10d. for foreign imports, of which 8 7/10d. is ordinary Customs revenue. Ninety-two per cent. of the revenue from the remaining 6d. per gallon is credited to the Main Highways Account, and the other 8 per cent. is distributed on a population basis between cities and boroughs having a population of 6,000 or more, for expenditure on streets forming continuations of main highways. For the year ended 31st March, 1944, the amount distributed between these cities and boroughs was £94,612. For those vehicles whose motive-power is not wholly derived from motor-spirits, and for trackless trolley-buses, a mileage-tax is levied, the revenue from this source being divided on a basis similar to the motor-spirits revenue. Owing to the restrictions placed on the use of motor-spirits consequent upon war conditions, many petrol-driven vehicles are now using, wholly or in part, substitute fuels (producer gas, &c.). Normally all such vehicles would be liable for mileage-tax; but, in order to encourage the use of these substitute fuels, certain classes have been exempted by the Substitute Fuels Emergency Regulations, dated 18th September, 1940. “Substitute fuel” means producer gas, or coal-gas, or such other fuel used for the propulsion of motor-vehicles as may be described by the Minister of Transport, by notice in the Gazette, as substitute fuel for the purposes of the regulations.

The original Revenue Fund received an annual transfer of £35,000 from the Consolidated Fund, and the Construction Fund an annual transfer of £200,000 from the Public Works Fund, but in both cases the transfers have been discontinued since 1930. The amount so transferred from the Public Works Fund totalled £1,226,000, and interest on that sum is now debited against the Main Highways Account. A section of the Finance Act (No. 2), 1943, stipulates that the amount in question shall, until it is repaid, constitute a capital liability of the Main Highways Account to the Consolidated Fund.

The following table shows the income of the Main Highways Account from revenue sources and from loan-moneys during the last five years. The effect of the restrictions placed on the consumption of motor-spirits and rubber tires is reflected in the figures.

Year ended 31st March,Taxation Revenue.Other Revenue (Interest, &c).Loan-money.
 £££
19402,758,80810,4252,685,727
19412,202,63817,5352,810,580
19422,162,1398,673262,789
19431,592,94727,443270,000
19441,571,1674,720200,000

Revenue from the licensing of motor-vehicles and from the tax on tires and tubes is apportioned between the North and South Islands at the discretion of the Board, but generally so that the amount apportioned to each Island has reference to the number of motor-vehicles in that Island. No statutory provision exists in the case of revenue from motor-spirits taxation, but the apportionment is approximately on the basis of the relative consumption of petrol in the two Islands.

All receipts from special taxation of motor-vehicles are not credited to the Main Highways Account. As already stated, 8 per cent. of the highway-purposes share of the motor-spirits tax and a similar percentage of the tire-tax is distributed among certain cities and boroughs, and, in addition, receipts from drivers' licenses and heavy-traffic fees are collected by local authorities. The following table gives a summary of the returns from special taxation of motor-vehicles for 1942–43 and the four preceding years.

Yield of1938-39.1939-40.1940-41.1941-42.1942-43.
* Share for highway purposes only (first 6d.).
 £££££
Tire-tax150,350103,84863,8812,340,7591,706,304
Motor-spirits tax*2,289,1202,262,2701,744,2251,706,304
Fees, &c, under Motor-vehicles Act, 1924612,395619,676573,4791,706,304
Mileage-tax8,12411,64712,1711,706,304
Heavy-traffic fees346,868363,969351,770348,257321,168
Drivers' licenses91,05494,40692,12994,62675,049
Totals3,497,9113,455,8162,837,6552,783,6422,102,521

An analysis of the actual expenditure on maintenance in each Island, as compared with the number of motor-vehicles in each Island at 31st March of each of the last five years, appears in the following table, the percentages relating to Dominion totals.

1939-40.1940-41.1941-42.1942-43.1943-44.
North Island—     
    Maintenance expenditure68.2867.1468.7865.2866.01
    Motor-vehicles65.9366.0267.2766.8566.16
South Island—     
    Maintenance expenditure31.7232.8631.2234.7233.99
    Motor-vehicles34.0733.9833.7333.1533.84

In the next table are shown the amounts which have been provided by the Board and by local authorities for expenditure on both maintenance and construction of main highways daring the last five years. Maintenance figures exclude indirect charges, such as supervision, interest, &c., but include the cost of flood-damage restoration; construction expenditure shown is inclusive of renewals.

1939-40.1940-41.1941-42.1942-43.1943-44.
 £££££
Maintenance by Board1,301,9121,066,824964,4471,014,3841,178,186
Maintenance by local authorities151,368135,301126,409106,970121,166
Construction by Board3,297,1101,592,178512,907121,614195,231
Construction by local authorities172,839123,91232,93612,77913,804
Totals4,923,2292,918,2151,636,6991,255,7471,508,387
PercentagesPer Cent.Per Cent.Per Cent.Per Cent.Per Cent.
Maintenance by Board89.688.788.490.590.7
Maintenance by local authorities10.411.311.69.59.3
Construction by Board95.192.894.090.593.4
Construction by local authorities4.97.26.09.66.6

The average expenditure per mile by the Board and local authorities on maintenance of the main highways system during the last eleven years is now shown. The figures from 1936–37 onwards represent true maintenance. Figures for previous years relate to expenditure from the Revenue Fund, and include work other than. actual maintenance.

 £
1933-3478.5
1934-35100.3
1935-36122.4
1936-3790.5
1937-38101.2
1938-39119.9
1939-40117.6
1940-4197.1
1941-4288.1
1942-4390.6
1943-44104.8

For the year 1943–44 the maintenance costs in the North Island and in the South Island, together with the lengths of the main highways, were as follows:—

length of Main Highways.Maintenance Expenditure.
Dustless Surface.Gravel or Macadam SurfaceClay or Pumice SurfaceTotal.Board.Local Authorities.Total.
 Miles.Miles.Miles.Miles.£££
North Island2,4094,2022486,859777,75579,298857,053
South Island1,1894,34375,539400,43141,868442,299
Totals, Dominion3,5988,54525512,3981,178,186121,1661,299,352-

Assistance to Local Authorities.

Assistance to Local Authorities.—In terms of the Act of 1922, the Main Highways-Board was required to provide one-half of the cost of construction or reconstruction of main highways and one-third of the cost of maintenance and repairs. By subsequent legislation, the rate of assistance from the Main Highways Account was increased, and eventually the Board was empowered to determine the basis of subsidy. Since 1st April, 1931, the standard maintenance subsidy rate has been £3 for £1, and only in exceptional circumstances is this increased. The construction or renewals of bridges was subsidized at £2 for £1 until 1st April, 1938, but from that date it was increased to £3 for £1.

In special circumstances the Board may advance money, by way of loan, to local authorities to provide for the proportion of cost payable by a local authority in respect of the construction or reconstruction of a main highway. Such loans must be repaid by instalments extending over a period (not exceeding ten years). to be agreed upon between the Board and the local authority, and interest is payable: at a rate approved by the Minister of Finance.

The Board is also empowered to sell roadmaking machinery, plant, and equipment to local authorities on such terms as it thinks fit, including terms for the payment 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, plant, &c., has been purchased to the value of £354,232, of which sum £5,622 was outstanding at 31st March, 1944.

Main Highway Standards.

In order to qualify for financial assistance from the Main Highways Account, local authorities are required to carry out works to a standard approved by the 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.

The table below shows the extent and types of work carried out on the main. highways system by the Board and by local authorities during each of the last five years, and the totals since the Highways Board commenced active operation in 1924.

Year.Formation and Widening.Gravelling and MetallingTar and Bituminous Sealing.Road- and Plant-mix Bituminous Surfacing.Bituminous Macadam (Penetration).Bituminous Concrete,Portland-cement Concrete.Bridges.
 Miles.Miles.Miles.Miles.Mile*.Miles.Miles.Ft.
1939–40401285442602....ll,676
1940–41186128259114....9,405
1941–42725511435......3,513
1942–43142229........972
1943–444840........1,562
Totals from inception to 31st March, 19443,2112,2942,8924073158466150,931

It will be evident from the above table that activities have been greatly curtailed during the war period owing to shortages of man-power and materials. In addition. to the works specified, 119 miles of sealed surfaces were renewed during 1943–44 and 83 miles during 1942–43, but this is regarded as inadequate in relation to the total' mileage of dustless highways, which under normal conditions would now require approximately 400 miles of resealing annually to maintain them in proper order.

REGISTRATION AND LICENSING OF MOTOR-VEHICLES.

Before the Main Highways Act was passed, the Government, by the provisions of the Customs Amendment Act, 1921, and the Finance Act, 1921–22, recognized and applied the principle that motor-vehicle owners should contribute toward the cost of the construction and upkeep of the road-surfaces which were required principally for them. By these Acts an import duty was levied on tires and tubes, the funds so obtained being used for highway construction and maintenance.

Amongst the funds specified by the Main Highways Act as being available for the Revenue Fund was a sum to be derived from the licensing of motor-vehicles. When the Main Highways Act was passed it was expected that a Motor-vehicles Act dealing with the registration and licensing of motor-vehicles would be simultaneously passed, but owing to the difficulty of co-ordinating all interests it was not until November, 1924, that the Motor-vehicles Act became law. This Act provided for the registration and annual licensing of all motor-vehicles.

Registration fees are 10s. for a motor-cycle and 20s. for any other motor-vehicle. License fees include 10s. for a motor-cycle; £1 15s. for a motor-car; £3 for a motor-omnibus; £5 for a traction-engine; and from £2 to £3 for a motor-lorry, according; to weight and tires. Other fees include drivers' licenses, 5s.; changes of ownership, 5s.; and manufacturers' and dealers' fees. Heavy-traffic fees are not levied under the Motor-vehicles Act: they are referred to under the next heading. All such fees, except that for a driver's license, which is payable to the local authorities, have, in terms of the Motor-vehicles Act, to be credited to the Main Highways Account. Heavy-traffic fees are distributed among local authorities.

Prior to 1942 number-plates of distinctive colours were issued at the time of licensing or relicensing; but, as a war measure, the Motor-vehicle Registration Emergency Regulations 1942 provide that, instead of registration-plates being changed annually to indicate that; license fees have been paid, stickers are to be issued for attaching to the windscreen. The charge for an issue or replacement of number-plates is 2s., and that for license stickers 6d.

The Motor-vehicles Amendment Act, 1936, amended the pre-existing law in several important respects. A uniform speed limit of thirty miles per hour was fixed in boroughs and town districts, while authority was taken to extend the operation of this limit to other localities by notice published in the New Zealand Gazette. This speed limit may also be abrogated in specified localities by similar notification. Penalties were provided for careless and inconsiderate driving. The general penalty for offences was increased from £10 to £50; while the pre-existing authority for the issue of regulations was extended to provide for periodical examination of motor-vehicles (fee, 5s.), and for limiting the hours during which, or regulating conditions under which, a person may drive, a trade motor-vehicle in use for commercial purposes. Power was taken also to issue regulations governing pedestrian and other traffic With a view to minimizing wear-and-tear on motor-vehicle tires, regulations issued in July, 1942, imposed a maximum speed limit of 40 miles per hour with certain specified exceptions.

The following table shows the numbers of the various types of motor-vehicles licensed as at 31st March in each of the last five years. In addition, the number of dormant registrations for each type as at 31st March, 1941, and the total dormant registrations for the years 1940 and 1941 are shown. Figures of dormant registrations for the last three years are not available. Dormant registrations are those of vehicles the registration of which has not been cancelled, but which have not been relicensed for the current year. These registrations stand for two years, and are then cancelled if not previously relicensed.

Type of Vehicle.Licensed as at 31st March,Dormant Registrations, 31st March, 1941.
1940.1941.1942.1943.1944.
Cars219,938215,516207,353194,715199,37917,700
Light trucks (i.e., 2 tons and under, laden)27,63927,19726,45626,45627,0546,487
Heavy trucks (i.e., over 2 tons, laden)21,55921,28020,52719,43319,9282,911
Passenger trucks1,7851,5601,3601,2851,454104
Omnibuses7547477858178(5255
Taxis1,5881,4971,5081,6581,73736
Rental cars56457752348750047
Private-hire cars18917820123125021
Service-cars62257956156055058
Trailers11,51813,12013,43812,10515,0593,288
Dealers' cars1,8611,3431,021741721..
Local authority, &c., vehicles5,8736,4016,9337,0737,4302,092
Government vehicles4,2904,7138,95816,5724,687174
Motor-cycles19,20118,27616,09816,45912,4797,401:
Dealers' motor-cycles145103714347..
Totals317,526313,087305,793298,635292,13740,374
Dormant registrations37,75040,374...... 

As may be expected under war conditions, with a drastic reduction in motor-vehicle imports and the restrictions imposed on the use of motor-spirits and tires, there has been a decrease in the number of motor-vehicles licensed since 1940. With the release to the public of vehicles no longer required by the Armed Services, however, the 1944 figures for most types of vehicles show increases over those of the previous year. The number of Government vehicles rose very substantially in 1942 and 1943, owing to the increased mechanization of the Armed Services, but the position in this respect has become obscured owing to the operation of the Motor-vehicles Registration Order 1943, which releases the Crown from the necessity of registering any motor-vehicle while it is being used exclusively for the purposes of any of His Majesty‗s naval, military, or air forces. The increase in the number of local authority and other vehicles exempted from the annual license fee should not necessarily be taken as an indication of the increase in the number of local authority vehicles, as this includes a miscellaneous collection of machines such as farmers‗ cars and trucks used solely on the farm, excavators, scoops, trench-diggers, logging machinery, cranes, &c.

As stated previously, dormant registrations are cancelled after two years. If, however, a vehicle is again brought into use after its registration has been cancelled, it is treated as a new registration. For this and other reasons registration figures set out hereunder are not a record of the number of new vehicles introduced into the country‗s traffic system each year; they include an unknown number of vehicles which have been brought back into commission after having been removed from the register.

Year ended 31st March,Cars.Motor-cycles.Other Motor-vehicles.Total Registrations.
194018,1071,8149,84929,770
19416,7551,7277,06915,551
19422,7771,1868,01011,973
19431,4323,8889,88015,200
19443,0481,5119,69514,254

The most outstanding feature in the above table is the heavy decline in the number of motor-car registrations. This movement was, of course, to be expected in view of import restrictions, and restrictions imposed on the civil consumption of motor-spirits and tires.

ROAD TRANSPORT.

The period following the war of 1914–18 ushered in a rapid development of an already considerable road motor transport which has necessitated extensive legislation, not alone for its control but also for the provision of adequate road-surfaces. Certain principal enactments are referred to briefly in chronological order.

The Customs Amendment Act, 1921, among numerous tariff changes, imposed a tire-tax on rubber tires and tubes, previously duty free. The proceeds are credited to the Main Highways Account. For an account of the moneys derived from this and other highways taxation, vide Section 23B (Taxation).

The Main Highways Act of 1922, referred to earlier in this section, constituted the next landmark. Two years later came the Motor-vehicles Act, 1924 (amended in 1927, in 1934–35, in 1936, and in 1939), which has received specific mention under the immediately preceding title. At the same time the Public Works Amendment Act, 1924, was passed (later included in the 1928 consolidation of that Act). Under it regulations could be made fixing, in respect of commercial vehicles of over 2 tons gross weight, heavy-traffic fees payable to local authorities for road-maintenance purposes, and also classifying roads and providing other measures. Regulations to this effect were made in 1925, and are now embodied in the Heavy Motor-vehicle Regulations 1940. In the financial year 1942–43 local bodies received £321,168 by way of heavy-traffic fees, the amount in the previous year being £348,257. Present annual license fees under the Heavy Motor-vehicle Regulations range from £2 11s. to £63 15s. for a pneumatic-tired vehicle, and from £3 to £75 for a vehicle solid-tired on any wheel.

With the object of controlling motor-omnibus competition with tramways, regulations under the Board of Trade Act were issued in 1926. In the same year they vote superseded by the Motor-omnibus Traffic Act, itself later repealed by the comprehensive Transport Licensing Act, 1931 (amended in 1933, 1935, 1936, and 1939).

The Motor-spirits Taxation Act, 1927, imposed a duty of 4d. per gallon (raised in 1930 to 6d. per gallon; further subsequent increases are not connected with road taxation). As previously mentioned, from the net proceeds 92 per cent. is paid into the Main Highways Account, and the balance distributed on a population basis among cities or boroughs of a population of 6,000 upwards.

In 1927 the administration of the Motor-vehicles Act. 1924. was transferred to the Public Works Department, which subsequently issued in draft form regulations containing a uniform code of rules for motor-traffic in the Dominion. After full opportunity for criticism by interested parties the regulations were brought into force in 1928; they were later reissued through the Transport Department as the Traffic Regulations 1936.

The Public Works Act, 1928, contained extensive provisions relating to the construction, maintenance, and use of roads. Almost simultaneously came the Motor-vehicles Insurance (Third-party Risks) Act, 1928—vide Section 28B (Accident Insurance).

In 1929 the Transport Department Act constituted the portfolio of Minister of Transport, and also constituted the Transport Department under a Commissioner of Transport. The Act placed the administration of the following Acts under the Transport Department: Motor-vehicles Act, 1924; Motor-omnibus Traffic Act, 1926; Motor-spirits Taxation Act, 1927; Motor-vehicles Insurance (Third-party Risks) Act, 1928; and Public Works Act, 1928, in so far as it relates to heavy traffic or to motor-vehicles. The Transport Licensing Act, 1931, is also under the administration of the Department.

TRANSPORT LICENSING.

The Transport Licensing Act, passed on 11th November, 1931, is designed to regulate road motor transport with a view to securing co-ordination between it and other forms of transport, and to secure its organization from the standpoint of maximum utility. The Act was substantially amended in 1933, 1935, 1936, and 1939, the principal amendment being the abolition from 1st April, 1936, of the Transport Co-ordination Board (set up under the amending Act of 1933), the powers previously exercised by the Board being vested in the Minister of Transport. By sections 82–86 of the Statutes Amendment Act, 1941, these powers, so far as they relate to appeals against Licensing Authority decisions, are vested in a Transport Appeal Authority.

The more important provisions of the law as amended were described on pages 344–346 of the 1940 issue of the Year-Book, but considerations of space have prevented their repetition in subsequent issues. There have been, however, two important amendments in connection with the licensing of goods services. Formerly, certain areas in some of the larger centres were exempt from the operation of the licensing system, but these exempted areas have since been abolished. All goods services conducted for hire or reward now require to be licensed except those carried on solely: (1) In connection with funerals; or (2) in connection with the repair or wreckage of vehicles which have met with mishap; or (3) in the carriage of newspapers; or (4) by farmers for the cartage of milk or whey to or from dairy factories for their neighbours.

The second amendment provides that goods-services operating on a route parallel to 30 miles or more of Government railway shall be licensed even if they are not conducted for hire or reward, Exceptions may be made in the case of certain services.

Various measures designed to conserve motor-spirits and rubber tires and to promote the economic management of transport services generally have been issued from time to time. The principal regulations at present in force axe as follows:—

Delivery Emergency Regulations 1942.—These regulations, which replace earlier regulations on the subject, provide for the zoning of household deliveries.

Transport Control Emergency Regulations 1942.—These provide for the control of goods-services and taxi-services by local committees, which are able to provide more intensive control over such services than is possible through the transport licensing system.

Transport (Goods) Emergency Regulations 1943.—By these regulations all goods-vehicles (with certain specified exceptions) of over 2 tons gross weight are brought under the transport licensing system, even when used solely for the carriage of the owner‗s goods.

Goods-service Charges Tribunal Emergency Regulations 1943.—These regulations provide for the appointment of a Tribunal of not less than three and not more than five members, the functions of which are to prescribe and review the charges to be made for the carriage of goods (including mails) in goods-services. These duties were formerly the functions of the various Licensing Authorities. In exercising its powers and functions the Tribunal is deemed to be exercising them under and for the purposes of the Economic Stabilization Emergency Regulations 1942, the general object of which is the economic stability of New Zealand.

Passenger Services.

For the year ended 31st March, 1941, the number of passenger services licensed was 1,378, the principal statistics for the three years ended 1940–41 being as follows. Figures for later years are not available.

 1938–39.1939–40.1940–41.
Vehicle-journeys run2,181,487294,7772,182,347
Vehicle-miles covered25,455,24825,981,19626,918,792
Passengers carried26,655,48530,589,67332,568,504
 Total.Per Vehicle-mile.Total.Per Vehicle-mile.Total.Per Vehicle mile.
* Not available.
Operating-costs—£d.£d.£d.
   Vehicle-running457,1864.31532,1244.91645,9885.76
   Vehicle standing charges594,3745.60607,9225.62645,2805.75
   General overhead charges133,0331.26147,5241.36177,8791.68
Totals1,184,59311.171,287,57011.891,469,14713.09
Revenue—d.£d.£d. 
   Passengers1,195,88711.281,293,89911.95**
   Mail contracts32,0460.3032,5440.30**
   Newspapers23,2490.2217,6010.16**
   Goods and parcels52,1510.4947,2070.44**
   Other14,0500.1315,8270.15**
Total revenue1,317,38312.421,407,07813.001,661,10714.80
£d.d.d.d.£d.
Net profits132,7901.25119,5081.11191,9601.71
Total assets1,123,693..1,105,892..1,178,031..
   Vehicles (included in “Total assets”)576,494..609,721..*..
Capital and reserves918,197..976,835..858,121..
Other liabilities205,496..129,057..319,910..
Total liabilities1,123,693..1,105,892..1,178,031..

Goods Services.

Statistics of goods-services operating under license during the years 1937–38, 1938–39, 1939–40, and 1940–41, are shown in the next table. Figures for subsequent years are not available.

 1937–38.1938–39.1939–40.1940–41.
Vehicle-miles covered70,295,00080,062,000120,000,000113,000,000
 ££££
Operating-costs3,158,0003,921,0006,640,0006,809,000
Revenue3,583,0004,425,0007,380,0007,435,000
Net profit425,000504,000740,000626,000
Capital and reserves2,445,0003,147,0004,600,0004,666,000
Other liabilities1,207,0001,440,0001,800,0001,479,000

Total operating-expenses in 1940–41 averaged 14.45d. per vehicle-mile, while-revenue averaged 15.78d.

TRAFFIC ACCIDENTS ON ROADS:

Motor-vehicle accidents involving death or personal injury are required by law to be reported to the police, and since 15th March, 1937, very full particulars of all such accidents have been furnished to the Transport Department. Analyses made from these reports are published each month in the Monthly Abstract of Statistics. For the year ended 31st December, 1943, 2,112 such accidents were reported, resulting in 145 fatalities, and in injuries to 2,746 other people. Comparative figures for the previous year were: Number of accidents, 1,945; fatalities, 167; persons injured, 2,387. The substantial decline in road accidents since 1939 may be attributed to a reduction in the volume of traffic resulting from the restrictions imposed in the use of motor-spirits. Details of the number and nature of these accidents for the five calendar years ended in 1943, which have been compiled by the Transport Department are as follows:—

Nature of Accidents.Nature of Accident.
1939.1940.1941.1942.1943.
Collisions—     
   Between two or more motor-vehicles1,454941817492589
   Between motor-vehicle and bicycle920894743495484
   Between motor-vehicle and pedestrian911727631480575
   Between motor-vehicle and fixed object1711291407383
   Between motor-vehicle and animal or horse-vehicle4729172731
   Between motor-vehicle and railway-train3935313127
   Between motor-vehicle and tram3323152434
   Multiple and other collisions11697906669
 3,6912,8752,4841,6881,892
Non-collisions—     
   Drove off road120102754938
   Went over bank1911201086953
   Overturned on roadway1941341065874
   Person fell from vehicle5447677551
   Other30221164
 589425367257220
Total accidents4,2803,3002,8511,9452,112

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 the number of deaths, which, as stated above, numbered 145 in 1943.

Nature of Accident.Number of Fatal Accidents.
1939.1940.1941.1042.1943.
Collisions, motor-vehicle with—     
   Pedestrian4658524440
   Motor-vehicle5332202426
   Train91181211
   Tram..3131
   Bicycle3829292220
   Horse-vehicle or horse under control1........
   Fixed object77131110
Went over bank2717162110
Otherwise4331192220
Totals224188158159138

Statistics of deaths resulting from motor-vehicle accidents are available for many years from the vital statistics compiled by the Census and Statistics Department, and these figures are discussed briefly on pages 68–69.

Chapter 14. SECTION 14.—AVIATION AND AIR TRANSPORT

DEVELOPMENT OF AVIATION.

An outline of the development of aviation in New Zealand was given in the 1942 issue of the Year-Book. Certain historical information relating to aviation is also given in the “Defence” section of this volume.

AERODROMES AND LANDING-GROUNDS.

Particulars of aerodromes and landing-grounds in New Zealand as at 31st March, 1944, are as follows:—

Aerodromes and landing-grounds—

        (i) Constructed and usable72 
        (ii) Usable, extensions proceeding3 
  75
Emergency landing-grounds: Constructed and in use 15

AERONAUTICAL PRODUCTION.

Since the outbreak of war, the Dominion's engineering industry has been called upon to produce a wide variety of replacement and spare parts comprising thousands of items to the exact requirements associated with aircraft, and such items of equipment have been satisfactorily dealt with by local engineering firms.

The Directorate of Aeronautical Production has continued to place orders during the past year for an increasing variety of items, to exacting specifications, which have in all cases been met.

The manufacture of new elementary training aircraft has been carried out extensively, and repairs and overhauls continued. Repairing, recapping, and reconditioning of aero tires and tubes is being undertaken very successfully by contractors in New Zealand.

The Aeronautical Inspection Section of the Directorate has functioned continuously, inspecting all locally manufactured items and repaired aircraft and engines before acceptance by the Royal New Zealand Air Force. Numerous tests have been made on materials and equipment in conjunction with the Dominion Laboratory, Department of Scientific and Industrial Research.

The periodical inspection of all fuel and oils, and tires used by the Royal New Zealand Air Force, has also been carried out in conjunction with the Dominion Laboratory to ensure that the extremely high standard required is maintained.

CIVIL AVIATION.

The general statutory law relating to aviation in New Zealand is contained in the Air Navigation Act, 1931. The main purpose of this Act was to enable the Governor-General in Council to make regulations for carrying out the Convention relating to aerial navigation signed at Paris on behalf of the New Zealand Government in 1919. Civil aviation is subject to the Air Navigation Regulations 1933, administered by the Air Department. Statutory provisions of localized application are contained in the New Plymouth Airport Act, 1937, the Napier Airport Act, 1935, and the Whangarei Airport Act, 1937, which make provision for the control of these airports. This control is exercised by Boards consisting of representatives of the aero clubs and local authorities concerned, together with members appointed by the Minister of Defence.

Commercial Air Transport.

Since December, 1935, commercial aviation has been firmly established in New Zealand. Previously commercial activities had been limited mainly to air-taxi work (undertaken by aero clubs) and to two scheduled services of a minor nature. The first major air services were operated across Cook Strait between Wellington and Blenheim and Nelson, and the subsequent extension of services up to the outbreak of war in September, 1939, covered nearly the whole of the Dominion. The year 1940 saw the commencement of two overseas services, one to and from Australia, and the other to and from the United States of America.

Internal Services.

During the year 1943–44 services were maintained on the following routes by the companies indicated:—

    (1) Auckland-Wellington (via Palmerston North) 
    (2) Wellington-Dunedin (via Christchurch)Union Airways of N.Z., Ltd.
    (3) Wellington-Blenheim-Nelson
    (4) Nelson-Hokitika 
    (5) Hokitika-Jackson's BayAir Travel (N.Z.), Ltd.
    (6) Inchbonnie—Weheka. 

Before the war, services (3) and (4) were operated by Cook Strait Airways, Ltd., but, as a result of the requisitioning of its plant and equipment for Air Force requirements, the company ceased operation and the services are being maintained by the companies indicated for the period of the war. A total of 10 aircraft was taken over from the three companies towards the end of 1939 and, although this has necessarily reduced their activities considerably, air services are still so well patronized that all services are generally carrying capacity loads.

The summarized results of the operations of the commercial air services on scheduled trips during the last nine years are given in the following table.

Year ended 31st March,Mileage.Passengers.Freight.Mail.
   lb.lb.
1936346,1719,10626,12319,431
1937776,93824,25144,074111,377
19381,331,10043,78281,853216,238
19391,574,39553,039166,278316,380
19401,344,55851,802232,018234,989
1941645,70237,023206,936130,806
1942688,72339,058194,858165,670
1943685,95330,634174,757220,527
1944855,11038,145191,114244,614

Figures relating to scheduled aircraft services of the respective companies for the year ended 31st March, 1944, are given in the following table.

Company.Miles flown.Passengers.Freight.Mails.
* Services operated by Union Airways of New Zealand, Ltd., and Air Travel (N.Z.), Ltd.
   lb.lb.
Union Airways of New Zealand, Ltd.461,50915,21350,853172,002
Cook Strait Airways, Ltd.*267,95521,184115,29944,661
Air Travel (N.Z.), Ltd.125,6461,74824,96227,951
Totals855,11038,145191,114244,614

Under the provisions of a Proclamation issued in December, 1941, civil flying was considerably restricted, with the result that all club, private, or taxi flying has now ceased, leaving only the scheduled commercial services in operation.

Overseas Services: Tasman Empire Airways, Ltd.

The first survey of a route from the United Kingdom to New Zealand was undertaken by Imperial Airways, Ltd., of London, in 1937. Following this, negotiations were entered into between the United Kingdom, Australian, and New Zealand Governments with the object of providing an organization to control a proposed trans-Tasman Air Service. As a result of this a company representing the three Governments, and known as Tasman Empire Airways, Ltd., was formed to operate this service.

The cost of the initial ground equipment was borne by each of the Governments concerned, and the initial share capital of the company is held in the proportion: United Kingdom, 38 per cent.; Australia, 23 per cent.; and New Zealand, 39 per cent. (Government 20 per cent., Union Airways of New Zealand, Ltd., 19 per cent.) The service is subsidized by each of the three Governments.

During the period that Pan-American Airways (referred to later) was operating, the company maintained a thrice fortnightly service in order to connect with the services from the United States of America, and cope with the additional traffic. On the temporary cessation of Pan-American Airways services, however, the number of trips was reduced to one weekly in each direction. This was later restored to three return trips a fortnight, and from 1st January, 1944, it was increased to two trips weekly in each direction.

Date commenced operations30th April, 1940.
Number of aircraft2.
Description of aircraftShort “Empire” S.30 flying boats.
Total seating-capacity26.
Route and frequencyAuckland–Sydney. Two trips weekly in each direction as from 1st January, 1944.

Traffic for the year ended 31st March, 1944, was as follows: Passengers carried, 2,924; freight, 40,024 lb.; mail, 94,106 lb.

Overseas Services: Pan-American Airways.

In March, 1937, a Pan-American Airways clipper aircraft made a survey for a trans-Pacific service between San Francisco and Auckland via Honolulu, Kingman Reef, and Pago Pago. The results of this were considered entirely satisfactory, and the company immediately prepared the necessary bases at Pago Pago and Auckland (Mechanics Bay). The Pan-American clipper arrived at Auckland on 26th December, 1937, and the service was inaugurated on its return flight to Honolulu a week later. The first southern trip of the clipper, which left Honolulu on 10th January, unfortunately ended in disaster off Samoa on the 11th January, 1938; and services were discontinued until the company obtained delivery of a larger type of flying-boat. The service was resumed in 1940 on a fortnightly schedule, the first flight terminating at Auckland on 18th July, 1940. The company operated to schedule until December, 1941, when the spread of hostilities to the Pacific area following Japan's entry into the war caused the temporary cessation of services.

Aero Clubs.

Aero clubs throughout New Zealand have played a very important part in the training of air pilots and the development of aviation generally. The requisitioning by the Royal New Zealand Air Force of most of the aircraft operated by the aero clubs soon after the outbreak of war, and the suspension of civil flying in December, 1941, have brought aero-club activity almost to a standstill.

A summary of aero-club operations in New Zealand was included in the 1942 and previous issues of the Year-Book.

Civil Aviation Statistics.

Statistics relating to civil aviation in New Zealand during each of the last five years ended 31st March are as follows:—

1939–40.1940–41.1941–42.1942–48.1943–44.

* I.e., commercial services (including air-taxi and non-scheduled services), also aero clubs in the case of hours flown, miles flown, and passengers carried.

† Regular services only.

Internal services*      
 Hours flown 25,4929,5879,1395,7636,643
 Miles flown 2,788,4081,029,5881,045,305705,972855,110
 Passengers carried 62,41442,17742,47230,88738,145
 Maillb.234,989130,806165,670220,527244,614
 Freightlb.246,899206,936194,858174,757191,114
 Passenger-miles 6,478,5404,373,8225,061,9384,655,7746,371,009
 Mail ton-miles 21,72912,55517,61623,88729,678
 Freight ton-miles 12,2379,5859,4329,42311,426
Overseas services—      
Hours flown  3,1613,4271,2651,502
 Miles flown  459,608505,946192,960229,140
 Passengers carried—      
  Inwards  9621,2951,1101,452
  Outwards  9571,3021,1461,472
 Freight—      
  Inwardslb. 19,65231,08423,66227,120
  Outwardslb.9,55220,08611,53312,904 
 Mail—      
  Inwardslb. 47,28892,81655,33555,719
  Outwardslb. 49,347103,82546,40638,387

Civil Aircraft.—

Seventy-two aircraft operated by the aero clubs and companies were requisitioned by the Royal New Zealand Air Force shortly after the declaration of war in 1939, and at the 31st March, 1944, only 33 aircraft remained on the civil register.

METEOROLOGICAL SERVICE.

The organization of the Dominion Meteorological Office has been developed to meet the special needs of commercial and military aviation activities. All commercial aircraft, whether operating on internal airlines or on trans-ocean routes, receive for each flight an individual weather forecast from the appropriate Meteorological Office.

LICENSES.

The licenses and certificates current at 31st March, 1944, were as follows:—

Pilots' “A” licenses8
Pilots' “B” licenses12
Aircraft Navigators' licenses11
Ground Engineers' licenses66
Aerodrome licenses15
Certificates of Registration (aircraft)33
Certificates of Airworthiness (aircraft)11

AIR MAILS.

Inland.

From 1920 onwards various attempts were made to operate air-mail services, but it was not until the inauguration of a service between Hokitika and South Westland in January, 1934, that a service of any permanency was established. The district served in this instance is one which possesses very poor transport facilities; and, though the population is sparse and the area small, the carriage of mails by air has great advantages over a land service. It is for this reason that no surcharge is made on the mail-matter carried by this service.

On the 16th March, 1936, the first regular air-mail services linking up the larger centres of population were established between Palmerston North and Dunedin and between Nelson, Blenheim, and Wellington. As air services increased in frequency and extent the air-mail facilities were correspondingly expanded. The outbreak of war in September, 1939, resulted in the curtailment of air-passenger services, and of necessity the air-mail services were also reduced. It will be noted, however, that there have been sharp increases in the quantity of mail-matter carried by air during the last three years, despite the fact that the services were still operating on a very much reduced scale.

The rate of postage for inland air-mail correspondence was originally 2d. per ounce, but since October, 1939, has been 3d. per half-ounce. For parcels, up to 28lb., the rates range from 2s. 2d. to 11s.

The numbers of letters and parcels carried by air in New Zealand since the regular air services were inaugurated are shown hereunder. It is of interest to note that, although the number of letters carried in 1943–44 was 86.2 per cent. greater than in 1938–39, and the number of parcels was 37.9 per cent. greater, the actual weight of mail matter carried was 32.7 per cent. less.

Year ended 31st March—Letters.Parcels.
1937934,6414,226
19381,688,6418,340
19392,382,42713,606
19401,884,19111,662
19411,785,8005,688
19422,214,0607,356
19433,705,00013,825
19444,436,92018,760

Overseas.

Although mails had been carried by air across the Tasman on the occasions of special flights in 1934, and one mail was despatched by air across the Pacific, via Pago Pago and Honolulu, to the United States of America in January, 1938, permanent facilities were not established for the despatch of mails by air from New Zealand until 1940. Prior to that, air mails had been conveyed by surface route to Australia to connect with the Empire air service to the United Kingdom. The first flight of the trans-Tasman service took place on 30th April, 1940, and on 20th July, 1940, a trans-Pacific service commenced to the United States of America, via Suva, Noumea, Canton Island, and Honolulu.

From July, 1938, to September, 1939, an “all-up” Empire service operated at the rate of 1 1/2d. per ounce for letters, but on the outbreak of war there was a reversion to the former surcharge of 1s. 6d. per half-ounce. Following the entry of Japan into the war, the services to the United Kingdom and to the United States of America were suspended.

On the 30th June, 1944, the through air service from New Zealand to the United Kingdom via Australia and Ceylon was restored, the service being restricted in the first place to the conveyance of light-weight letter-cards addressed to members of the Empire and Allied Forces in the Middle East, Africa, and Europe. The postage-rate was fixed at 6d. per card, and the transit time New Zealand – United Kingdom averaged thirteen days. On the 24th August, 1944, the service was extended to the exchange of civilian light-weight letter-cards, the postage rate being 8d. per card.

Chapter 15. SECTION 15.—POSTAL AND TELEGRAPHIC

POSTAL BUSINESS.

At the 31st March, 1944, there were 1,636 post-offices in New Zealand.

Particulars of articles posted and delivered during the year 1941 (the latest year for which the information is available) are as follows:—

 Posted.Delivered.
Letters, letter-cards, and post-cards139,760,347146,056,884
Registered articles3,236,3192,740,855
Accounts, circulars, newspapers, packets, &c.113,090,120124,231,137
Parcels5,874,1055,078,133

The average numbers of letters, &c., posted in the Dominion per head of mean population (including Maoris) during 1941 were: Letters, letter-cards, and post-cards, 85.7; registered articles, 2.0; accounts, circulars, newspapers, packets, &c., 69.3; parcels, 3.6.

RURAL MAIL DELIVERY.

The rural-mail-delivery system was instituted in the Dominion about 1900, but due to the high comparative cost little progress was made with it until 1922. As from the 1st January of that year a scheme was introduced whereby a nominal fee is charged for this service; the rates are 10s. per annum for a delivery thrice weekly or less frequently, or £1 for a delivery having a greater frequency. These charges do not bear heavily on the farmer, and they enable the Post Office to extend rural-mail-delivery benefits to districts which were previously without such amenities. Every comparatively well-settled district now has its network of deliveries. The rural-mail carrier delivers and collects correspondence and parcels at or near the gates of farmers, sells postage-stamps, and obtains, as required, money-orders and postal notes.

At the end of December, 1943, there were throughout the Dominion 35,750 rural boxholders, an increase of 773 on the figures for the previous year. The number in 1920 was 8,700.

AIR-MAIL SERVICE.

Details of the New Zealand air-mail service are given at the end of the preceding section.

OVERSEAS PARCEL-POST.

The facilities afforded for the transmission of parcels through the Post Office to places within and beyond the Dominion have proved of much convenience to the public. The regulations admit of parcels up to 22 lb. in weight being sent to Great Britain and Northern Ireland, Fiji, Tonga, French Settlements of Oceania, Egypt, Jamaica, and most Empire countries, and of parcels up to 11 lb. in weight being sent to all other countries of the world. Inland parcels may weigh up to 28 lb.

Year.Overseas Parcels received.Overseas Parcels despatched.
Number.Weight.Declared Value.Customs Duty.Number.Weight.
  lb.££ lb.
1939133,349845,166736,262130,67944,771173,077
194098,573579,070557,57058,881270,8641,057,266
1941142,343696,505582,87656,227992,0914,615,921
1942142,829712,924605,43060,113969,1874,794,909
1943187,544809,385667,18275,6231,556,7607,652,800

Since the outbreak of war there has been a phenomenal increase in outward parcels, due to the heavy postings to the Armed Forces overseas, and the sending of gift parcels to civilians in the United Kingdom. The increase of 587,573 (61 per cent.) in 1943 as compared with the previous year was mainly due to the presence of considerable numbers of New Zealand servicemen in the South Pacific area. To Egypt alone, 523,630 parcels for the Armed Forces were despatched in 1943.

Of the parcels received from overseas in 1943, 22,541 came from Great Britain (including those from foreign countries via Great Britain), while 16,876 came from the United States, and 21,315 from Australia and foreign countries via Australia. These countries, to which 322,866, 6,455, and 27,093 parcels respectively were despatched, also ranked highest (with the exception of the theatres of war), among countries to which. parcels were sent from New Zealand.

NEWSPAPERS.

In November, 1944, there were 262 publications on the Post Office Register of Newspapers. Of these, 43 are published daily, 11 being morning papers and 32 evening papers. Sixteen appear three times per week, 15 twice per week, 58 weekly, 11 fortnightly, 113 monthly, and 6 at irregular intervals.

MONEY-ORDERS.

Of the total money-orders issued in New Zealand during 1943, 35,625, representing an aggregate value of £90,633, were for payment overseas. Of that amount, £34,617 was payable in the United Kingdom, £50,169 in other British countries, and £5,847 in foreign countries. Money-orders issued overseas for payment in New Zealand in 1943 numbered 24,449, the total value represented being £97,237. Of this amount £28,646 was issued in the United Kingdom, £50,714 in other British countries, and £17,877 in foreign countries.

The following table gives particulars of all money-orders issued and paid during. each of the last five years.

Calendar Year.Number of Offices at end of Year.Money-orders issued.Money-orders paid.
Number.Value.Commission.Number.Value.
   ££ £
1939940911,4845,094,36471,879784,0874,689,789
1940946812,6674,435,00744,885780,7984,355,432
1941927751,7224,302,12637,519724,9624,253,748
1942922817,3984,960,56134,467802,7584,968,335
1943931786,5115,500,68735,684776,8556,520,090

Although the number of money-orders issued in 1943 recorded a decrease of 30,887 as compared with the previous year, the total value increased by £540,126, or 10.9 percent. The average value of money-orders issued in 1943 was £6 19s. 11d., as against £6 1s. 5d. in 1942.

POSTAL NOTES.

Information as to postal notes issued and paid is now given. A progressive decline has been recorded since 1939–40, although the value of notes issued in 1943–44 was slightly above the 1942–43 figure.

Year ended 31st March,Number of Offices at end of Year.Postal Notes issued.Postal Notes paid.
Number.Value.Commission.Number.Value.
   ££ £
19401,1613,374,8521,323,39837,9153,389,4681,290,509
19411,1422,558,9161,020,63035,0472,566,828989,186
19421,1262,408,020980,95233,2932,395,958942,504
19431,1342,242,034933,63431,2932,221,115894,344
19441,1312,215,572945,29331,2082,200,233908,452

British postal orders issued in the Dominion during the year ended 31st March, 1944, numbered 23,524, for a total value of £8,159. Those paid numbered 10,913 and represented £6,415 in value.

TELEGRAPH AND TOLL SERVICES.

Up to the 31st March, 1944, a total sum of £12,252,877 had been expended on telegraph construction, including the construction of telephone exchanges. The amount expended during the financial year 1943–44 was £226,121.

During the year ended 31st March, 1944, the revenue from telegrams and toll communications was £1,721,997, of which £465,028 represented ordinary telegrams, £61,773 press telegrams, and £1,195,196 toll communications. To these figures should be added £1,820,289 revenue of telephone exchanges and £244,652 miscellaneous receipts, making a total telegraph and telephone revenue of £3,786,938.

Year ended 31st March,Number of Telegrams and Toll Messages forwarded during the Year.Revenue (Including Miscellaneous Receipts).Value of Government Messages.Total Value of Business done during the Year.
Paid.Free* Government.Total.Telegraph and Toll.Telephone Exchange.
* Urgent marine telegrams: no payment received; discontinued 5th March, 1941.
    ££££
194020,961,24323,30020,984,5431,221,8931,633,1911,4902,856,574
194121,056,12417,11621,073,2401,311,4561,710,3871,2703,023,113
194222,211,42822,211,4281,432,0531,761,9183,193,971
194324,277,72824,277,7281,803,0501,776,7243,579,774
194425,455,48625,455,4861,966,6491,820,2893,786,938

The number of paid telegrams forwarded in 1943–44 was 7,368,443, an increase of 709,547 (10£7 per cent.) as compared with 1942–43, while the number of toll communications (18,087,043) showed an increase of 468,211.

As from 1st October, 1939, the charge for ordinary telegrams on week-days has been 8d. 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. 2d. for twenty-four words, and 1d. for each additional two words. On Sundays and departmental holidays the rate for ordinary telegrams is 1s. for six words or less, and 1 ½d. for each additional word, the total charge being taken to the next penny where necessary. An additional charge of 8d. is made for an urgent telegram, irrespective of the number of words contained in the message.

TELEPHONE-EXCHANGE SERVICE.

Telephone facilities are extensively used in New Zealand. According to the latest data compiled by the Chief Statistician of the American Telephone and Telegraph Co., New Zealand ranks third in the number of telephones per 100 of population, the leading countries being the United States of America, Sweden, New Zealand, and Canada. At the 31st March, 1944, there) were 15 telephones in use in New Zealand for every 100 of population. It is anticipated that this figure will be, considerably increased when adequate supplies of equipment become available after the war.

At the 31st March, 1944, there were 347 telephone exchanges in the Dominion. Of this number, 325 were of the magneto type, 2 common battery, and 20 automatic. The automatic exchanges are: Whangarei, Auckland, Hamilton, Gisborne, Napier, Hastings, Dannevirke, Stratford, Hawera, Wanganui, Marion, Palmerston North, Masterton, Porirua, Lower Hutt, Wellington, Blenheim, Christchurch, Oamaru, and Dunedin.

The following statement shows the automatic-exchange equipment installed and in use in the Dominion on the 31st March, 1944.

 Capacity of Equipment install No. Equipment in use. No.
Individual lines90,000 79,409
Party-lines—   
   Two-party6,200 5,346
   Four-party2,900 2,430
   Multi-party700 455
Individual-line stations 79,326 
Party-line stations 20,100 
Total of main stations..99,426 
Extension stations..44,801 
Total number of automatic-telephone stations connected 144,227 

The following table indicates the growth of the New Zealand telephone-exchange service (the figures are as at 31st March of each year shown).

1936.1937.1938.1939.1940.1941.1942.1943.1944.

* Represents separate Instruments (excluding private stations) connected to main telephone system.

Exchanges348348349348347348346349347
Subscribers, main stations127,056135,853145,370155,038162,508169,224173,302174,088178,707
Toll and service stations4,1464,3134,5074,5704,6474,7364,8584,9344,992
Public call offices8709171,0211,1031,2311,2401,2931,3681,420
Extension stations30,59833,83837,68942,00146,88349,44652,18754,15155,634
  Telephone-station totals*162,670174,921188,587202,712214,269224,646231,640234,541240,753

The total number of telephone-stations shows an increase of 78,083, or 48 per cent., during the period covered by the table, the net gain for each of the last five years being 11,557, 10,377, 6,994, 2,901, and 6,212 respectively. The increase in subscribers' main stations during the same period amounted to 51,651, or approximately 46 per cent., while extension stations show an increase of 25,036, or over 86 per cent.

In addition to the above, there are 4,000 stations connected by private telephone-lines with departmental toll-stations, making a grand total of 244,753 telephone-stations in New Zealand on the 31st March, 1944.

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, 1944, the number of party-line connections was 17,433, with a total of 67,729 stations.

The first public call offices (coin-in-the-slot telephones) erected in the Dominion were installed at Wellington in August, 1910. Of the total of 1,420 such instruments in use in the Dominion at the 31st March, 1944, the charge in 1,334 cases was 1d.; in eleven, 2d.; and in seventy-five, 3d. The revenue of these slot telephones during the year ended 31st March, 1944, was £97,355.

The capital expenditure on the equipment, &c., of the telephone exchanges up to the 31st March, 1944, was £10,437,201, equal to an average cost of £43 7s. for each connection.

OCEAN CABLES.

Telegraphic communication between New Zealand and Australia was first established by means of the Eastern Extension Telegraph Company's cable from Wakapuaka in 1876, this cable being duplicated in 1890. Subsequent developments were the opening of the Pacific cable to Vancouver in December, 1902, with a connection to Australia; the operation of a further cable to Australia in 1912; and the duplication of the Pacific cable in 1926. In 1929 a merger of British cable and wireless companies resulted in the overseas cable services being brought under the control of one authority, and as a consequence one cable to Australia was lifted and the route of another was altered. All overseas cables now terminate at the one centre.

RADIO COMMUNICATION: Government Stations.

The first wireless-telegraph station in New Zealand for communicating with ships at sea was opened at Wellington on the 26th July, 1911.

There are now thirty-three stations under the control of the New Zealand Government, the principal being those at Awarua, Wellington, and Auckland on the New Zealand mainland, at Apia in Western Samoa, at Rarotonga in the Cook Islands, and at the Chatham Islands. Smaller stations on the mainland or on adjacent islands are those at The Brothers, Centre Island, Cuvier Island, Dog Island, Great Mercury Island, Jackson's Bay, Kermadec Islands, Milford Sound, Stephen's Island, Puysegur Point, and Portland Island, while there are radio-beacon stations at the lighthouses at Cape Reinga, Cuvier Island, Puysegur Point, Portland Island, Stephen's Island, Baring Head, Cape Campbell, and Tiritiri Island.

Communication is effected with outer islands in the Cook Group by Rarotonga-Radio through small feeder-stations at Aitutaki, Atiu, Mangaia, Manihiki, Mauke, Palmerston, Penrhyn, and Pukapuka. Small stations at Aleipata, Atafu, Fagamalo, Fakaofo, Nukunono, Salailua, and Tuasivi communicate with Apia-Radio, while Niue communicates with both Apia-Radio and Wellington-Radio.

By means of the radio-stations at Wellington, Apia, Rarotonga, and Niue, communication is maintained between New Zealand and the Pacific islands, the last three stations mentioned having direct communication with New Zealand. Wellington - Radio has also direct communication with Papeete - Radio (Tahiti), Nukualofa (Tonga), Noumea (Now Caledonia), and San Francisco (U.S.A.).

The radio business transacted by the New Zealand coast stations during the last five years was as follows:—

Year ended 31st March,Forwarded.Received.
Messages.Words.Value.*Messages.Words.Value.*

* Amount earned by New Zealand.

† Includes traffic due to presence of United States Forces in New Zealand.

   £  £
19408,843160,7433,11315,694218,2962,717
19415,211131,0802,2526,903149,9002,008
19425,681172,2023,4587,142186,1962,817
194367,083603,3667,71541,304668,39910,560
1944166,5551,304,69015,40148,304859,72213,960

The foregoing table does not include free (service) messages.

Prior to the outbreak of war in September, 1939, facilities existed for the despatch of radio-telegrams to vessels at sea, and special rates operated for vessels registered in New Zealand, with further reductions for those engaged in regular passenger services. Owing to the exigencies of war, this service has been suspended, as has also a public radio-telephone service which commenced operation to Australia in November, 1930, and to the United Kingdom and Europe in July, 1931.

Aeronautical Radio Service: “Aeradio” Stations.

In January, 1936, coincident with the inauguration of commercial air lines in New Zealand, the Government found it necessary to provide aeradio facilities at the principal airports then in use. The rapid development of these services has called for additional aeradio stations, and such stations are now in regular use at Mangere, Musick Point, New Plymouth, Palmerston North, Napier, Wellington, Blenheim, Nelson, Westport, Hokitika, Hare-wood, Taieri, and Jackson's Bay.

By means of these aeradio stations commercial aircraft are in continuous radio communication with one or more ground stations during flight, and are able to obtain the latest weather information and necessary landing instructions. In addition, meteorological and service-operational messages are handled between the various ground stations.

The aeradio station at Musick Point is used for communication with aircraft engaged in the Trans-Tasman and Trans-Pacific services.

On 1st January, 1943, the Air Department (Royal New Zealand Air Force) assumed control of the aeradio stations at New Plymouth, Palmerston North, Blenheim, Nelson, Harewood, and Taieri. The Department in question also assumed control of the Mangere Aeradio Station on 1st June, 1943. The technical maintenance of these stations is still the responsibility of the Post and Telegraph Department.

Private Stations.

Private radio-stations are governed by the Radio Regulations, which were gazetted on the 21st July, 1932.

The licenses for radio receiving-stations (i.e., ordinary radio licenses) are designed to provide for experimental reception as well as for reception from radio-telephone broadcasting stations, and may be obtained at any postal money-order office on payment of the prescribed fee. Further reference to these licenses will be found in Section 43, dealing with radio broadcasting.

The licenses for private experimental (amateur) stations are intended to provide facilities for experimental transmission to those interested in radio science, and are issued subject to the qualifications of the applicants being satisfactory. All such stations have been temporarily closed since the outbreak of the war.

RECEIPTS AND PAYMENTS.

The receipts and payments of the Post and Telegraph Department for the last two financial years are now shown.

Receipts1942–43.1943–44.
 ££
Postages1,402,2141,555,150
Money-order and postal-note commission57,21057,323
Private-box and bag rents and rural delivery fees63,18964,699
Miscellaneous receipts944,0721,031,784
Paid telegrams469,486526,801
Paid tolls1,150,7261,195,196
Telephone exchanges1,776,7241,820,289
Totals£5,863,621£6,251,242
Payments££
Salaries1,754,1201,699,221
Conveyance of mails by sea and air183,20065,201
Conveyance of inland mails174,328178,483
Conveyance of mails by railway126,535137,892
Maintenance of telegraph and telephone lines388,520448,434
Depreciation Fund50,00063,000
Motor services and workshops167,185177,677
Miscellaneous1,471,9561,550,472
Interest on capital liability692,637693,480
Sick-benefit Fund5,8904,911
Maintenance of Post and Telegraph buildings74,51887,211
Totals£5,089,889£5,105,982

The year 1943–14 commenced with a credit balance of £39,404. Of the gross balance of £1,184,664 at the end of the year, £1,145,000 was invested, and £39,664 carried forward.

Receipts and payments for the last eleven years are shown by the following figures.

Year ended 31st March,Receipts.Payments.
 ££
19343,200,4142,648,600
19353,342,9782,844,554
19363,550,3363,141,884
19373,886,0983,622,425
19384,302,2444,045,762
19394,687,5644,529,358
19404,793,6914,445,906
19415,106,1944,338,903
19425,388,0134,574,136
19435,863,6215,089,889
19446,251,2425,105,982

VOLUME OF BUSINESS.

An indication of the volume of business handled during recent years may be obtained from a comparison of the value of transactions, as follows:—

 £
1936–37236,000,000
1937–38295,000,000
1938–39286,000,000
1939–40285,000,000
1940–41362,000,000
1941–42392,000,000
1942–43470,000,000
1943–44568,000,000

WORK PERFORMED FOR OTHER DEPARTMENTS.

In addition to its natural functions, the Post and Telegraph Department performs an immense 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. During 1943–44 the sum handled by the Post Office on behalf of other Departments was £158,000,000.

  • Receipts.—Land and Income Tax Department (land-tax, income-tax, social security charge, and national security tax), National Provident Fund, State Advances Corporation, Department of Agriculture (inspection fees, orchard-tax, &c.), Education Department, Marine Department (inspection of machinery fees), Public Trust Office, National Broadcasting Service (radio-license fees, subscriptions to New Zealand Listener).

  • Payments.—Treasury Department, National Provident Fund, Social Security Department (social security benefits and war, &c., pensions), Public Service Superannuation Fund, Teachers' Superannuation Fund, Public Trust Office.

Other services performed by the Post and Telegraph Department are the control of licensing of, and issue of licenses in respect of, motor-vehicles and radio apparatus, provision of advice and service on radio matters to the Marine Department and the Civil Aviation Branch of the Air Department, and provision of a fleet of motor-vehicles in the larger centres for hire by other Departments. In the smaller centres Postmasters act as Registrars of Births, Deaths, and Marriages, Registrars of Electors, and agents for the Government Life Insurance Department, State Fire and Accident Insurance Office, and Customs Department. For the periodic population census, the enumeration in the various districts is entrusted to Postmasters, and the postal organization is largely availed of.

These extra duties have been considerably expanded by the demands of a wartime economy, and the additional burden placed on the Post and Telegraph Department includes the operation of the National Savings Scheme, receipt of moneys in connection with war loans, payment of military allotment warrants, and the issue of food and clothing ration coupons and oil fuel and rubber tire licenses. In 1943–44 alone no less than 2,659,896 military allotments and dependants' allowance warrants were paid by the Department.

Other activities, not strictly departmental, include the receipt of premiums under the Motor-vehicles Insurance (Third-party Risks) Act, 1928, and the issue of fishing and game licenses on behalf of acclimatization societies.

STAFF.

The large volume and multifarious nature of the business of the Post and Telegraph Department entail the employment of a large staff. The Department is administered by the Postmaster-General and Minister of Telegraphs, with the Director-General as executive head. The staff at 31st March, 1944, was as follows: Permanent, 11,912; temporary, 5,309; total, 17,221. These figures include 5,159 employees serving with the armed forces. In addition there were 1,523 country postmasters and telephonists who acted as such in conjunction with other pursuits and did not rank as officers of the Department. There were also 88 officers of the Railways Department who acted as postmasters.

Chapter 16. SECTION 16.—LAND TENURE, SETTLEMENT, ETC.

SUBSECTION A.—GENERAL

OCCUPATION OF LAND

The total area of the Dominion, excluding the Cook and other Pacific islands annexed in 1901, but inclusive of the Kermadec Islands and the “outlying islands,” since these form parts of land districts, is 66,390,657 acres. Of this total, 42,978,309 acres were returned in 1944 as being in occupation, including reserves and Native lands leased, but excluding areas within borough boundaries, holdings of less than 1 acre in extent, and Native land held on the communal system.

According to information published by the Lands and Survey Department, the following is the condition of the land in the Dominion as at the 31st March of the years 1943 and 1944.

 1943.1944.

* The greater part of this land is unsuitable for settlement.

† Includes certain areas alienated by sale to Europeans.

‡ Decrease of 40 acres revealed by resurvey.

 Acres.Acres.
Total area sold or granted and held on freehold22,130,44922,174,813
Total area reserved for public purposes16,404,79316,473,398
Total area of Crown lands leased under all tenures (exclusive of reserves leased by the Crown)16,232,61116,136,777
Total area of Crown land available for future disposal*1,980,5311,975,136
Total area of Native land4,497,2634,492,161
Land unfit for settlement, including rivers, lakes, roads, &c.5,145,0505,138,372
        Totals66,390,69766,390,657

The number of holdings and percentages of total holdings in occupation, grouped according to size, as returned in the last five years available, are given below.

Area, in Acres.Number of Holdings.Percentages of Total.
1937.1938.1939.1940.1941.1937.1938.1939.1940.1941.
1 and under 1011,02411,06711,20411,20611,26512.8912.9213.0312.9813.04
10 and under 5014,75514,79014,74514,68814,58517.2617.2617.1517.0216.89
50 and under 10012,51612,51112,57412,68512,73914.6414.6114.6314.7014.75
100 and under 20016,23216,32316,43616,58516,64618.9919.0519.1219.2219.27
200 and under 3209,6209,0259,7539,8779,86111.2611.2411.3411.4411.42
320 and under 64010,20410,27510,21710,20810,20211.9311.9911.8811.8311.81
640 and under 1,0004,1754,1754,1384,1124,1544.884.874.814.764.81
1,000 and under 5,0005,9095,8635,8705,8995,8836,916.846.836.846.81
5,000 and under 10,0005535505495485440.650.640.640.630.63
10,000 and under 20,0002882942892982940.360.340.340.850.34
20,000 and under 50,0001481431431461450.170.170.170.170.17
50,000 and over58585565550.070.070.060.060.06
Totals85,48285,67485,97386,30486,373100.00100.00100.00100.00100.00

Although approximately 45 per cent. of holdings in 194) were less than 100 acres in extent, the total area of such holdings represented only a little over 3 per cent. of the occupied land of the Dominion. A further 19 per cent. of the holdings ranged between 100 and 200 acres, but the aggregate area of these amounted to slightly less than 5 ½ per cent. of the total. At the other end of the scale it is found that 67 per cent. of the occupied land was held in areas of 1,000 acres and upwards, although the number of such holdings was only 8 per cent. of the total. Holdings of 5,000 acres and upwards, of which there were 1,038 in 1941, accounted for over 40 per cent. of the total area of occupied land.

Area of Holdings, in Acres.1937.1938.1939.1940.1941.
 Acres.Acres.Acres.Acres.Acres.
1 and under 1051,23851,47352,18951,97252,525
10 and under 50374,767375,499375,496373,144374,038
50 and under 100905,258906,369911,776920,201925,878
100 and under 2002,269,6632,282,4462,299,1712,319,6622,330,867
200 and under 3202,410,0762,409,3682,440,3442,473,1242,476,209
320 and under 6404,619,1484,648,4424,618,5044,612,7784,614,325
640 and under 1,0003,315,0203,322,3433,300,1443,272,2363,307,731
1,000 and under 5,00011,509,79611,463,37911,536,86111,506,93411,517,582
5,000 and under 10,0003,786,1803,768,0033,778,5593,759,2803,707,175
10,000 and under 20,0004,039,8474,253,1304,050,8234,159,9164,133,400
20,000 and under 50,0004,543,6964,424,1454,443,9054,547,2484,406,409
     50,000 and over5,375,2045,256,0925,093,5004,931,3335,042,198
Totals43,199,89343,160,68942,901,27242,927,82842,888,337

Tenure of Occupied Lands

The area of land in occupation as at 31st January in each of the years specified, classified according to tenure, is given in the following table. Freehold land includes land held on deferred payment, if occupied by the owner.

Tenure.1938.1939.1940.1941.1942.
 Acres.Acres.Acres.Acres.Acres.
Freehold21,222,60521,275,38721,294,54621,504,84721,689,218
Leasehold21,938,08421,625,88521,633,28221,383,49021,308,182
    Total area occupied43,160,68942,901,27242,927,82842,888,33742,997,400

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 in the Dominion is in occupation, while (as stated previously) holdings within borough boundaries or under one acre in extent are excluded from the annual statistics.

Condition of Occupied Land.

The land in occupation in the Dominion at the 31st January, 1944, was classified according to condition and use as follows:—

 Acres.Per Cent. of Total.

* Includes areas also sown with grasses and clovers.

† Approximate.

In grain and seed crops*571,2891.33
In green, root, and other crops*679,1371.58
In fallow110,0000.26
In sown grasses and clovers—  
  Cat for hay, seed, or ensilage715,2441.66
   Not cut for hay, seed, or ensilage16,774,30439.03
In vineyards and orchards19,7090.05
In passion-fruit vines79..
In hop-vines546..
In market gardens and nurseries16,9540.04
In private gardens and pleasure-grounds83,0000.19
In plantations859,7372.00
Total area in cultivation19,830,00046.14
Unimproved land23,148,31053.86
Total area in occupation42,978,309100.00

Land in cultivation (under crop and in pasture) forms the subject matter of the section on agricultural and pastoral production immediately following. An indication of the condition and geographical distribution of unimproved land is afforded by the following table, which relates to the position in January, 1942.

Land District.Phormium (New Zealand Flax.)Tussock and other Native Grasses.Fern, Scrub, and Second Growth.Standing Native Bush.Barren and Unproductive Land.Total Unimproved Occupied Land.
 Acres.Acres.Acres.Acres.Acres.Acres.
North Auckland4,064142,212772,951278,32257,1401,254,689
Auckland8,714112,907950,701446,50869,6131,588,443
Gisborne47149,593151,757171,21614,442387,470
Hawke's Bay153399,451256,90997,21838,294792,025
Taranaki2268,211144,276216,22012,691381,624
Wellington7,993518,681435,561309,305102,9851,374,525
Marlborough2,3371,125,214243,410128,808355,3641,855,133
Nelson3,499239,498298,749280,82017,229839,795
Westland6,372118,895171,041381,699166,256844,263
Canterbury2,8794,477,924138,485114,849655,8705,390,007
Otago2,3915,359,257479,705339,036416,4486,596,837
Southland8,1651,317,487306,030121,883104,2411,857,806
Totals47,26413,869,3304,349,5752,885,8842,010,57323,162,626

SCENIC RESERVES, PUBLIC DOMAINS, AND NATIONAL PARKS

The consolidating Scenery Preservation Act, 1908, with its amendments of 1910, 1915, 1926, and 1933, contains the major legislation dealing with the reservation of land, Crown or private, for scenic, thermal, or historic reserves. The Act is administered by a Scenery Preservation Board through the Department of Lands and Survey.

The Public Reserves, Domains, and National Parks Act, 1928, is also a consolidation of earlier measures. For the purposes of this Act public reserves do not include education reserves (vide next subsection), scenic reserves (supra), State forests (vide Section 18.—Forestry), land reserved under the Kauri-gum Industry Act, 1908, or reserves under the Tourist and Health Resorts Control Act, 1908. The Act declares the general right of the public to free access to recreational reserves, but gives limited powers—extended by the Local Authorities Empowering (Aviation Encouragement) Act, 1929—to charge for admission.

Any public reserve for health or recreational purposes vested in or acquired by the Crown may be declared a public domain. Public domains are generally administered by Domain Boards, many of which are already existing local authorities. Domain Boards may purchase land, and land nifty also be taken for recreation-grounds under the Public Works Act, 1928. In certain limited instances power is given to charge for admission to public domains.

National parks are administered by National Park Boards, which have power, subject to ministerial approval, to fix fees for camping or picnicking within the parks.

The following areas are as at 31st March, 1944:—

 Number.Acres.
Reserves under Scenery Preservation Act1,197850,160
Public domains81279,354
National parks103,060,556

LAND TRANSFER AND DEEDS REGISTRATION

Under the land transfer system introduced in 1870 the title to land is not affected by the execution of documents. Registration is the fundamental principle, and it is only on registration that any interest passes. The Land Transfer Department assumes all responsibility for the registration, and any person named in the register as taking an interest under a registered instrument acquires a practically indefeasible title.

The land transfer system of title by registration has great advantages over the older system of title by deeds, even when the deeds are duly registered. The state of a land transfer title can be ascertained by a search of the register with very much greater facility than can the state of a title under the deeds system, and the powers vested in Registrars under the Land Transfer Act enable them to keep the register simple, clear, and free from doubts; the simplicity of searching and of the preparation of instruments under the land transfer system enables transactions with land under that system to be carried out at less cost than under the deeds system; and under the land transfer system there is the State guarantee of a practically indefeasible title, as mentioned previously.

These considerations led to the passing in 1924 of the Land Transfer (Compulsory Registration of Titles) Act, which has for its object the bringing under the provisions of the Land Transfer Act, 1915, of all land alienated by the Crown and not already under the provisions of that Act, except lands held by aboriginal Natives of New Zealand under their customs and usages.

The work of bringing all land titles under the provisions of the Land Transfer Act as required by the Land Transfer (Compulsory Registration of Titles) Act, 1924, is still being proceeded with, and has been completed except in the Auckland District. There are also a few titles in other districts that it has been considered unwise to deal with at present owing to grave doubts as to ownership, or for some other reason. Steady progress is shown in the Auckland District, but it will be some time yet before the work in this district is completed. Progress during the last few years has been considerably hampered by reason of shortage of staff caused by the war.

Deeds Registration.

Provision has existed since 1841 and is now contained in the Deeds Registration Act, 1908, for the registration of deeds and instruments affecting land which is not subject to the provisions of the Land Transfer Act. Registration is not essential to the validity of the instrument, but it is highly important as a record and to secure priority. The Act provides that every deed shall be void as against any person claiming for valuable consideration under any subsequent deed duly registered unless the earlier deed was registered before the subsequent one. The Department is not responsible for the form or matter of the instruments registered beyond seeing that they are duly stamped and contain a sufficient description of the land to identify it. Provision is made for the deposit of instruments in the Deeds Registry Office for safe custody and reference, and such deposit operates as a release from any covenant for production. The Deeds Index and all recorded and deposited instruments are open to public inspection, and certified copies may be obtained on payment of the prescribed fees.

Information as to transactions under the Deeds Registration Act for each of the years 1933–34 to 1943–44 is given in the following statement.

Year ended 31st March,Deeds recorded.Fees. £
19342,7972,610
19352,3192,217
19362,3542,290
19372,2632,180
19382,0081,658
19391,3231,104
1940731615
1941488435
19422572561
1943263205
1944261236

Land Transfer

Information as to applications to bring land under the Land Transfer Act during each of the last five years is given in the next table.

Year ended 31st March,Number.Area.Value.
Town and Suburban.Country.
Acres.Acres.£
19402071169,765
1941217375,875
1942102961,140
1943761424,790
1944115924,600

The table next following shows transfers registered under the Land Transfer Act daring each of the last eleven years.

Year ended 31st March,Town and Suburban Properties.Country Properties.All Properties: Total Consideration.
Number.Area.Consideration.Number.Area.Consideration.
Acres.£ Acres.££
193411,1834,1934,317,9814,5771,017,6125,233,2249,551,205
193513,4874,6845,406,8255,1411,186,6176,790,55112,197,376
193617,1616,1747,604,1465,8831,393,5327,987,24515,591,391
193718,7127,1729,988,3716,4661,468,4518,865,45218,853,823
193820,6348,06213,790,4465,6351,020,6389,538,26823,328,714
193923,4028,20914,468,2735,563957,8209,190,96323,659,236
194022,1967,47713,922,1145,8611,038,9018,197,26922,119,383
194122,7238,08415,460,3586,1051,102,75210,277,86325,738,221
194223,22511,40516,261,0004,982915,2047,000,19123,261,191
194322,8938,50517,251,8844,764733,1986,883,48624,135,370
194426,7799,82524,563,7406,9221,404,83413,581,41838,145,168

The numbers of transfers registered during the years 1932–33; to 1936–37 include all transfers registered—i.e., transfers of land from trustees to beneficiaries or to new trustees, transfers of mortgages, easements, &c. The numbers shown for the years 1937–38 to 1943–44 relate only to transfers of land on sale. The numbers of miscellaneous transfers for each of the years 1937–38 to 1943–44 are 5,082, 5,348, 5,625, 5,123, 4,415, 3,409, and 3,936 respectively.

Land-transfer transactions were on a particularly heavy scale during the second half of 1943, but following the introduction of the Servicemen's Settlement and Land Sales Act, 1943, referred to later in this Section, they fell away considerably in the first two months of 1944. The number of transactions in the year ended 31st March, 1944, showed an increase of 6,044, or 21.9 per cent., while the total consideration increased by ‡14,009,788, or 58.0 per cent. The increase in the number of town and suburban properties transferred was 3,886 (17.0 per cent.), and in the amount of consideration £7,311,856 (42£4 per cent.), while transfers of country properties increased by 2,158 (45£3 per cent.) in number and ‡6,697,932 (97§3 per cent.) in consideration.

The average amount of consideration in respect of each town and suburban property transferred in 1943–444 was ‡917, as compared with ‡754 in 1942–43 and ‡386 in 1933–34. Similar information in respect of country properties was ‡1,962 in 1943–44, ‡1,449 in 1942–43, and ‡1,143 in 1933–34.

Monthly statistics of transfers on sale of land registered under the Land Transfer Act are available and are published regularly in the Monthly Abstract of Statistics.

Certificates of Title issued

The following table shows the number of certificates issued for the last five years.

Year ended 31st March,In lieu of Crown Grants.Under Transfer Act of 1924.Ordinary.Total.
19401,0471,96710,69513,709
19416921,2519,81911,762
19429808468,91810,744
1943576386,9567,570
1944602968,7829,480

SERVICEMEN'S SETTLEMENT AND LAND SALES ACT, 1943

This Act has the dual purpose of providing machinery for the compulsory acquisition of land for the settlement of discharged servicemen and the control of sales and leases of land. Its application in regard to the former aspect is dealt with in the next subsection, and a brief outline of the main provisions in respect of the control of sales and leases is given hereunder.

The Act establishes a Court of record called the Land Sales Court, and a number of district Land Sales Committees. All transactions for the disposal of any land, whether by way of sale, transfer, or lease, must have the consent of the Court before they can be completed. Each application to the Court for consent is referred to a Land Sales Committee, which, in considering it, is enjoined to have regard to the desirability of facilitating the settlement of discharged servicemen and of preventing undue increases in the price of land, the undue aggregation of land, and its use for speculative or uneconomic purposes.

Except in cases where the Committee decides that it is not necessary to determine the basic value or basic rent, no application for the consent of the Court shall be granted if the purchase-money, rent, or other consideration exceeds the basic value or basic rent of the land, as the case may be.

In the case of farm land the basic value is deemed to be the productive value, increased or reduced by such an amount as the Committee deems necessary in order to make it a fair value for the purposes of the Act. The productive value is deemed to be an amount equal to the net annual income that can be derived from the land by the average efficient farmer, capitalized at the rate of 4½ per cent. In arriving at the net income there shall be deducted from the gross income all expenses required to be incurred in producing such income, including rates and land-tax, provision for reasonable maintenance, reasonable remuneration for the work performed by the farmer in the production of the income, and interest on the average annual value of the stock and chattels used in the farming operations, computed at the rate of 5 per cent. per annum. The gross income is determined on the basis of the prices for farm products ruling on 15th December, 1942. In deciding whether it is necessary to make any increase or reduction in the productive value of the land the Committee is required to take into consideration such matters as the nature and extent of the estate or interest of the claimant or, as the case may be, of the vendor or lessor of the land, the extent to which the value of the improvements on the land exceeds or is less than the value of the improvements normally required, and any special value that the land may have by reason of its locality.

The basic value of land other than farm land is deemed to be the value thereof as at 15th December, 1942, increased or reduced by such an amount as the Committee deems necessary, taking into consideration such matters as the nature and extent of the estate or interest of the vendor or lessor in the land, and any increase or decrease since 15th December, 1942, in the value of the improvements on the land.

In determining the basic rent of any land the Committee shall have regard to the basic value of the land, the value of the lessee's interest (if any) in the improvements on the land, and all other relevant considerations, including the basic rent or the fair rent (if any) under the Pair Rents Act or the Economic Stabilization Emergency Regulations 1942. In general the rents fixed by the Fair Rents Act and the Economic Stabilization Emergency Regulations were those ruling on 1st September, 1942.

SURVEYS

A subsection dealing with surveys was included in the 1942 and recent previous issues of the Year-Book, but considerations of space have prevented its inclusion in subsequent issues.

SUBSECTION B.—CROWN LANDS

THE Crown lands are administered under the authority of the Land Act, 1924, the Land for Settlements Act, 1925, the Small Farms Act, 1932–33, and the Discharged Soldiers Settlement Act, 1915, by the Minister of Lands, his executive officer being the Under-Secretary of Lands, who is the permanent head of the Department of Lands and Survey. New Zealand is divided into twelve land districts, each being under the local direction of a Commissioner of Crown Lands and a Land Board.

Commissioners of Crown Lands are executive officers of the land districts, having wide discretionary powers under the Act. Each is the Chairman of the Land Board of his district and transacts all its routine business in the sale, letting, and occupation of Crown lands. A Land Board consists of five members—viz., the Commissioner of Crown Lands for the district, three members appointed by the Governor-General, and one member elected by the Crown tenants of the district.

The Boards transact all business connected with the sale, letting, disposal, and: occupation of Crown lands, and all matters connected with the management and control of the public lands in their hands. They are the sole judges of the fulfilment of conditions in leases and licenses.

METHODS OF ACQUIRING CROWN LAND

A selector may purchase for cash, or on deferred payment, or may select on renewable lease. Every applicant must be of the age of seventeen years or upwards, and may apply for Crown land solely for his own use and benefit, and not directly or indirectly for the use or benefit of any other person. Including the land he applies for, he is not to be the owner, holder, or occupier under any tenure of more than one year's duration, either severally or jointly or in common with any other person or persons, of any land anywhere in New Zealand exceeding in the whole 5,000 acres of land, computed as follows: (a) Every acre of first-class land is reckoned as 7½ acres; (b) Every acre of second-class land is reckoned as 2½ acres; (c) Every acre of third-class land is reckoned as one acre.

Crown land may be selected and occupied under the following tenures and systems:—

  1. Town, suburban, and village lands—(a) For cash and deferred payment, by public auction; (b) By lease for terms up to ten years; (c) By renewable lease for thirty-three years.

  2. Rural land (unimproved), (under optional system)—(a) For cash, by application; (b) Purchase by deferred payment; (c) Renewable lease for sixty-six years.

  3. Land-for-settlement estates (improved rural and pastoral land)—(a) Under renewable lease for thirty-three years, with right to acquire freehold, of 400 acres of first-class land, 1,200 acres of second-class land, or 3,000 acres of third-class land;. (b) For cash or on deferred payment, by auction.

  4. Pastoral land—(a) By small-grazing-run lease for twenty-one years, with right of renewal (maximum area, 20,000 acres); (b) By pastoral license on terms up to thirty-five years.

  5. Land within mining districts—(a) On pastoral licenses under special regulations, with right to acquire the freehold or exchange to a renewable lease; (b) On occupation leases under special regulations, with similar rights as to purchase of freehold and exchange.

  6. Miscellaneous—(a) Temporary occupation on terms up to five years; (b) Sale or occupation for special purposes; (c) Outlying land.

Improvements to a certain value are required to be effected on rural land purchased for cash or on deferred payment or held on renewable lease, and residence is compulsory for certain periods on most Crown leaseholds.

DISPOSAL OF ENDOWMENTS AND RESERVES

Education endowments are available for leasing under the Education Reserves Act, 1928, which permits of a lease being granted under the Public Bodies' Leases Act, 1908, as well as under the Land Act, 1924. The freehold of the land cannot be acquired.

Public reserves not vested in trustees or in a local authority may be leased under the Public Reserves, Domains, and National Parks Act, 1928, for any term not exceeding twenty-one years, with right of renewal for a further term. The freehold of the land cannot be acquired.

LAND DEVELOPMENT

The Land Laws Amendment Act, 1929, deals chiefly with the promotion of settlement on undeveloped Crown lands. Power is given for the Crown to develop idle Crown lands, and also for the making of advances to Crown tenants holding undeveloped country for the erection of buildings, purchase of stock (the latter since the Land Laws Amendment Act, 1932), and for clearing, grassing, fencing, &c. Settlers taking up unimproved sections may apply for financial assistance, the advances to be made as improvements are effected, and Crown tenants already in occupation of land coming under the designation of undeveloped are also eligible to apply for development advances.

The Small Farms Act, 1932–33, and its amendments make provision for the purchase of freehold land and the setting apart of Crown and settlement land for settlement by (a) discharged servicemen of the present war; and (b) persons who in the opinion of the Land Settlement Board are suitable for engagement in rural occupations and in respect of whom the Board is satisfied that they are not in regular employment or that they have not sufficient capital to acquire land under the Land Act, 1924, or the Land for Settlements Act, 1925. Discharged servicemen have priority over all other applicants.

The Act also provides for the development of any land so purchased or set apart, and for the granting of advances for improvements, stock, and chattels to the successful applicants for land opened for selection under the Act.

LANDS OPENED FOR SELECTION

During the year ended 31st March, 1944, an area of 19,810 acres of land was offered for selection under the various tenures provided by the Land Act and the Land for Settlements Act.

Under renewable lease an area of 3,947 acres was offered, 2,540 acres being land for settlements, 1,406 acres ordinary Crown land, and 1 acre education endowment. An area of 1,831 acres was offered under the optional system.

The year's transactions included 70 purchases of small town, suburban, and rural lands, aggregating 2,352 acres, offered for sale by auction; ordinary Crown land holdings representing 2,349 acres; and land for settlements, 3 acres.

The total selections during the year covered an area of 120,519 acres, the number of sections being 664 under all headings. These figures include some 379 sections comprising an area of 45,320 acres taken up under miscellaneous leases and licenses, so that the selections on permanent tenures numbered 285 sections, covering a total area of 75,199 acres. The lands dealt with comprise both areas offered for the first time and areas which have become available for re offering through various reasons.

SELECTIONS UNDER SETTLEMENT CONDITIONS

Areas under this heading include all lands sold for cash or selected on the deferred-payment system, small grazing runs, and leases under the following tenures: renewable lease (including small farms), mining districts land occupation lease, education endowment leases, and pastoral licenses in mining districts under special regulations.

Year ended 31st March,Sold for Cash.Deferred-payment Licenses.Leases and Licenses (Ordinary Settlement).Small Grazing-runs.Totals.
NUMBER
194083713071462
194178362942410
1942100183751494
194378132481340
19447015192..277
AREA (ACRES)
19401,32314,28650,22236766,198
19413,1625,26269,20816,36994,001
19423,3022,45474,9135,25585,924
19431,9921,95026,7853,54034,267
19442,3522,29423,191..27,837

CROWN LAND HELD OR MADE FREEHOLD

The table following shows the position of Crown lands at 31st March, 1944. Settlement lands under the Land for Settlements Act are included in the figures for the various tenures under which they are held.

Tenure.Total Number of Selectors.Total Area held from the Crown.Total Yearly Rental or Instalment payable.Total Area made Freehold.
Number of Purchasers.Area.
Acres.£ Acres.
Cash lands........13,321,376
Deferred payment3,124607,341102,04513,9691,548,936
Perpetual leases1375,8247173,115865,159
Occupation with right of purchase665179,13615,7415,8561,448,650
Lease in perpetuity6,8981,420,849159,2513,714612,916
Renewable lease9,2992,608,659348,1601,077166,151
Agricultural lease9282211,408140,896
Mining districts land occupation leases64214,9581,6942285,932
Homestead......6180,453
Pastoral licenses in mining districts under special regulations37876,1411,64913825,233
Small grazing runs7432,410,98984,94483108,976
Pastoral runs5968,096,77777,212924,039
Hanmer Crown leases110335589....
Small farms42230,0754,875312,430
Miscellaneous leases and licenses6,9121,012,09639,45716619,061
Totals29,93516,463,462836,35529,85518,370,208
Thermal-springs leases (Rotorua)194644995187463
Education endowments—
   Primary3,715745,465101,54886,870
   Secondary51741,43713,673114
Totals4,426787,546116,2161967,347
Grand totals34,36117,251,008952,57130,05118,377,555
Other endowment lands750325,56912,286157,311

CROWN LANDS MADE FREEHOLD, YEAR ENDED 31ST MARCH, 1944

Tenure (Immediately prior to acquisition of Freehold).Area.Amount realized.
 Acres.£
Cash lands sold2,3525,246
Freehold acquired under the following tenures:—  
   Deferred payment25,787127,777
   Occupation with right of purchase6,26712,463
   Lease in perpetuity6751,400
   Mining districts land occupation leases4285
   Renewable lease18,24891,696
   Small grazing-runs9,56018,541
   Pastoral licenses in mining districts under special regulations387751
   Small farms2061,291
   Thermal-springs leases (Rotorua)436,907
   Perpetual lease490
Totals63,571266,247

PURCHASE OF LAND FOR SUBDIVISION AND SETTLEMENT

The Land for Settlements Act, 1925, the Small Farms Act, 1932–33, and the Servicemen's Settlement and Land Sales Act, 1943, authorize the purchase of privately-owned land for subdivision and settlement.

Land acquired under the Land for Settlements Act, 1925, is usually disposed of by way of lease (term, 33 years with a perpetual right of renewal and with an option to purchase), but authority also exists for disposal by way of sale in fee-simple.

Under the Small Farms Act, 1932–33, one form of tenure only is provided for civilian settlers—a thirty-three-year lease with perpetual right of renewal but without right of purchase. Discharged servicemen settlers may also select land under that tenure, or if they so prefer, may instead take an agreement for sale and purchase.

The power to take land compulsorily for closer settlement is conferred on the Crown by the Land for Settlements Act, 1925, and the Servicemen's Settlement and Land Sales Act, 1943.

PURCHASE OF LANDS FOR GROUPS OF APPLICANTS

Part II of the Land Laws Amendment Act, 1928, gives power whereby two or more persons may purchase land acquired on their behalf by the Crown. No property was so purchased during the year ended 31st March, 1944.

ASSISTING PURCHASE OF PRIVATE LAND

Section 3 of the Land Laws Amendment Act, 1932, provides authority for the making of advances to purchasers of private freehold properties up to 90 per cent. of the purchase-money, all such advances to be secured by way of first mortgage.

LAND FOR DISCHARGED SERVICEMEN

The Small Farms Amendment Act, 1940, provides that the applications of discharged servicemen shall have preference over the applications of all other classes of persons for any land made available for selection under the Small Farms Act, 1932–33. The Land Laws Amendment Act, 1944, contains a similar provision in respect of ballots for land under the Land Act, 1924, and also provides that a lease or license of any land administered by a Land Board may be granted without competition to a returned serviceman.

Land is acquired by the Crown for the purposes of the Small Farms Act under the following methods:—

  1. By the purchase of privately-owned properties:

  2. By the setting apart for the purposes of the Act of Crown lands subject to the Land Act, 1924, or the Land for Settlements Act, 1925:

  3. By the resumption by the Crown of land already held under Crown lease or license:

  4. By the compulsory acquisition of single-unit farms in terms of section 51 of the Servicemen's Settlement and Land Sales Act, 1943, or the compulsory acquisition of land capable of subdivision in terms of Part II of the same Act. In the latter case, no land shall be so acquired unless it is suitable for subdivision into two or more economic holdings, and the land of any serviceman who is for the time serving outside New Zealand in any of His Majesty's Forces or in any British ship shall not be so taken. The owner has the right to retain any part of the land constituting an economic unit and containing the homestead (if any). All land acquired compulsorily under this particular legislation becomes subject to the Small Farms Act, 1932–33.

Rent under the small farms 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 4 per cent. of such unimproved value, except in the first year of the term of the lease, when it is 2 per cent., and the second and third years when it is 3 per cent.

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 the same 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.

In the case of rent the Land Settlement Board has authority to extend the period of the concession rates.

The Small Farms Act, 1932–33, is administered by the Lands and Survey Department.

SUBSECTION C—NATIVE LANDS

DEFINITION AND KINDS OF NATIVE LAND

Native land is of two kinds—namely, customary land and Native freehold land. Customary land is land which has never been the subject of a Crown grant and is held by Natives under the customs and usages of the Maori people. It is land in respect of which the ancient customary Native title as recognized and guaranteed by the Treaty of Waitangi 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 Natives, and to their right to have the customary title transformed into a freehold title by the Native Land Court. There is little of this class of land now left in the Dominion.

Customary land has always been restricted from alienation except in favour of the Crown. By the Treaty of Waitangi the exclusive right to purchase such land was reserved to the Crown, and in all statutes since passed the alienation of customary land to private individuals has been prohibited, and this prohibition is now extended to the Crown. Native freehold land is the land held by Natives under an English freehold title, though subject to certain restrictions on alienation and other special incidents which are unknown to the ordinary law.

Whether land is Native 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 Native, it is Native land; if it is held in trust by a Native for a European, it is European land. There are, however, four exceptions to this:—

  1. When land has once become European land, it never again becomes Native land unless by special enactment.

  2. Land purchased by a Native from the Crown for a pecuniary consideration is not Native 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 Native in severalty may be declared to be European land by the Native Appellate Court.

  4. Under certain circumstances (see p. 309 of 19–42 Year-Book) the Native owner may have been declared a European.

Even though one of many Native owners may sell, the land remains Native land until all have disposed of their interests, or until the purchaser has had his interests partitioned off. A “Native” means a Maori or half-caste, or a person intermediate in blood between a Maori and a half-caste.

The Native Land Act, 1931, and the Native Purposes Act, 1931, are consolidations, with amendments, of previously existing legislation.

BOARD OF NATIVE AFFAIRS

The Board of Native Affairs constituted under the Board of Native Affairs Act, 1934–35, consists of the Native Minister, the Under-Secretary of the Native Department, the Under-Secretary for Lands, the Valuer-General, the Financial Advisor to the Government, the Director-General of Agriculture, and such other members (not exceeding three) as the Governor-General may appoint.

The functions of the Board include, inter alia, the following:—

  1. The control of the development and settlement of Native land or land owned or occupied by Natives, undertaken pursuant to Part I of the Native Land Amendment Act, 1936.

  2. The control of expenditure on farming operations undertaken by Maori Land Boards and the Native Trustee.

  3. The control of investments by—(a) Maori Land Boards; (b) the Native Trustee; and (c) the East Coast Commissioner.

  4. The control of negotiations for the acquisition of Native lands by the Crown.

  5. The control of expenditure on housing operations under the Native Housing Act, 1935, and its amendment of 1938.

NATIVE LAND COURT

The Native 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 Native freehold land.

  2. The exclusive power of partitioning land among the owners.

  3. The sanctioning of exchanges for other Native land and European land,

  4. Granting probates of wills and succession orders to Natives.

  5. Making orders for the adoption of children.

  6. Appointing trustees for Natives who are minors or under other disability.

  7. The incorporation of the owners of Native land.

  8. The determination of various claims as between Natives.

  9. To grant confirmation of alienation of Native land.

Business dealt with in 1943–44 was as follows:—

Number of sittings110
Number of cases notified14,143
Number of orders made5,268
Number of cases dismissed880
Number of cases adjourned sine die8,041
Number of partitions made431
     Area affected (acres)21,779
Number of succession orders made5,154
Number of other orders made4,231

The Native Appellate Court consists of any two or more Judges of the Native 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 Native Land Court.

MAORI LAND BOARDS

There are seven Maori Land Boards, each consisting of two members, viz.—the Judge (or, if there be no Judge of the district, a Commissioner of the Court appointed by the Native Minister), and the Registrar of the Native Land Court district, the Judge acting as President. The chief functions of a Maori Land Board are:—

  1. To administer certain large areas of Native land vested in those Boards in trust for the Native owners, the Boards having extensive powers of sale, lease, and management.

  2. To act as statutory agent of the Native owners in respect of certain areas of Native land set apart for Native settlement.

  3. To control the administration and disposition of Native land, by resolution of the assembled owners.

  4. To assist Natives in farming their lands.

In the administration of some 660,000 acres of vested lands, the collection and distribution of rents, royalties, and purchase-moneys from these lands, and from freehold areas which have been alienated, the operations of the seven Maori Land Boards are being fully sustained. Besides assisting Natives to farm their own lands and in certain circumstances acting as agent for Maoris, the Boards are empowered to engage in any industry in the interests of Natives, to act as receivers for the purpose of enforcing charges imposed by the Native Land Courts, and to deal with various matters affecting land by meetings of assembled owners.

The collective receipts and payments of the Boards for the year ended 31st March, 1944, were respectively ‡533,610 and ‡521,100, as compared with ‡479,546 and ‡503,280 for the previous financial year. At this date the total liability to Native beneficiaries was ‡603,367, whilst funds held or invested by the Boards aggregated ‡786,105, under the following headings:—

 £
Government securities (including £160,925 war loan stock)213,398
Mortgages and charges296,168
Deposit with Native Trustee249,496
Cash balances27,043
 £786,105

The Boards' total reserves for general and specific purposes as at 31st March, 1944, amounted to ‡228,672.

With regard to Native freehold land, the Courts during the year 1943–44 approved of leases comprising 20,227 acres, and confirmed transfers (apart from sales to the Crown) affecting 5,708 acres of freehold land.

POWERS OF ALIENATION

The ordinary provisions as to alienation of Native land do not affect the power to dispose of land by will, but a Native cannot will to a European except it be a husband or wife or other relative of the person making the will. A Native cannot dispose of customary land, whether by will or otherwise. No alienation of Native land by a Native has any effect until it is confirmed by the Native-Land Court.

The Court, before confirming an alienation, must satisfy itself, inter alia, that it is not contrary to the interests of the Native alienating; that no Native is rendered landless; that the consideration is adequate; that the purchase-money is paid or secured; and that the alienation is not otherwise prohibited by law.

A lease cannot be for a longer term than fifty years, and a mortgage must have the approval of the Native Minister and confirmation by the Native Land Court.

PURCHASE OF NATIVE LAND FOR CROWN

Since 5th April, 1935, the duty of undertaking, controlling, and carrying out all negotiations for the acquisition of Native lands by the Crown, and the performance and completion of all contracts entered into, is imposed upon the Board of Native Affairs.

Pending any purchase by the Crown the Governor-General may, by Order in. Council, prohibit alienation other than to the Crown. Upon the purchase being completed the land is proclaimed Crown land, and is subject to administration under the Land Act, 1924. Where the land is subject to lease when purchased, there may be extended to the tenant the option of purchasing the land from the Crown or having a renewable lease granted to him.

The area of Native land still held by Natives in the North Island is estimated at 3,763,000 acres, and in the whole Dominion at 4,002,000 acres. In many cases the Natives are utilizing their land for pastoral and dairying purposes. Other lands are being farmed for them by Maori Land Boards, by the Native? Trustee, and by the East Coast Commissioner.

NATIVE LAND DEVELOPMENT

In the year 1929 legislation was enacted giving sanction to a scheme for the development and settlement of lands owned or occupied by Maoris. Part I of the Native Land Amendment Act, 1936, which replaces section 522 of the Native Land Act, 1931, imposes on the Board of Native Affairs the duty of undertaking and carrying out this work.

To overcome any delays or difficulties arising from the nature of the titles to the lands proposed to be developed, the Board of Native Affairs is authorized to bring such land under the scope of a development scheme. Upon notification of the fact the owners are prevented from interfering with the work of development, and private alienation of any land within the scheme is prohibited. The funds for development are provided by the Minister of Finance through the Public Works Account. The Board of Native Affairs is armed with, the most comprehensive powers, which it can exercise directly through the Native Department or delegate to any Maori Land Board or to the Native Trustee. The Board is also empowered to direct a Maori Land Board or the Native Trustee to use their funds for development. Power is also taken by arrangement between the Minister of Lands and the Board of Native Affairs to develop Crown lands that adjoin or are surrounded by a Native land-development scheme, thus removing a further obstacle in the way of development. Special legislative provision has also been made enabling one or other of the Maori Land Boards or the Native Trustee to undertake farming of specified blocks on behalf of the beneficial owners.

The total area gazetted under Part I of the Native Land Amendment Act, 1936, to 31st March, 1944, was 935,670 acres, of which 209,645 acres are occupied by 1,899 settlers and 257,875 acres are being developed. The live-stock being carried comprises 41,562 cows, 20,491 other dairy stock, 27,950 run cattle, 160,206 breeding-ewes, and 128,150 dry sheep. In addition, sixteen Native Trust stations and three Maori Land Board stations, comprising 50,818 acres and 31,516 acres respectively, are running the following live-stock: 50,180 breeding-ewes, 46,480 dry sheep, and 10,605 run cattle. The Board of Native Affairs also exercises a measure of control over twenty-three stations of the East Coast Trust, aggregating 145,202 acres and carrying 145,480 sheep and 17,985 cattle.

NATIVE TRUSTEE

The administration of Native funds and Native reserves, formerly conducted by the Public Trustee, was by statute transferred to the Native Trustee as from 1st April, 1921. This was part of a comprehensive scheme which seeks to rehabilitate the Maori by inducing him to farm and manage his own lands. As a further means to this end the Native Trustee, with the approval of the Board of Native Affairs, advances money to Natives on the security of their lands, the expenditure of this money, and the management of Native farming operations generally, being supervised in a helpful and sympathetic manner. The Native Trustee Act, 1930, consolidated existing legislation.

The Native Trustee acts as trustee or agent for some 10,000 Native beneficiaries; administers a large number of Native reserves containing an aggregate area of 94,000 acres, located in cities, towns, and rural districts; advances money to Natives on the security of their lands; and is actively engaged on pastoral operations on a number of sheep-stations comprising a total area of 50,818 acres. The Native Trustee accepts money on deposit from the Maori Land Boards and acts as banker for the special Native Housing Fund and the Maori Purposes Fund.

The volume of cash business for the year 1943–44 shows a marked increase in comparison with the previous year, receipts (‡395,959) being up by 93 per cent., and payments (‡376,093) by 76 per cent. At the 31st March, 1944, funds in hand and on deposit at short call amounted to ‡155,744; mortgage investments, ‡386,905; advances on overdraft to estates, &c., ‡141,901; properties acquired under mortgage, ‡16,581; war-loan stock, ‡6,830; and local-authority securities, ‡5,100.

At 31st March, 1944, the Native Trustee's total liability to beneficiaries and others amounted to ‡701,545; ‡249,496 was held on account of the Maori Land Boards; housing, Maori purposes, and miscellaneous funds totalled ‡148,664; and accumulated reserves for general and specific purposes amounted to ‡136,500.

NATIVE HOUSING

The Native Housing Act, 1935, with its amendment of 1938, which extended the provisions of the principal Act, makes provision for the better housing of the Maori people, and for that purpose provides for the erection of dwellings and for improved housing conditions for Natives. The Board of Native Affairs is empowered under this Act to make advances out of moneys, appropriated by Parliament, for the erection, repair, alteration, or improvement of any dwelling upon the security of an interest in Native land and an assignment of rents from Native land, or of any other moneys payable to a Native. Section 18 of the Native Housing Amendment Act, 1938, established a fund, called “The Special Native Housing Fund,” to provide houses for those Natives unable to furnish the security or to make the payments which the Board of Native Affairs would ordinarily require.

The number of advances authorized under the Native Housing Act, 1935, from the inception of the scheme to 31st March, 1944, was 956, of which 737 were for the erection of new dwellings, 76 for the purchase of existing dwellings, and 143 for additions, renovations, &c. The total amount authorized to 31st March, 1944, was ‡374,873, of which ‡293,106 had been expended.

In addition to the provision of housing for Maoris under the Native Housing Act, dwellings are provided in the ordinary course of the Native-land-development schemes referred to on the. preceding page. The number of houses erected and repaired under these land-development schemes during the year ended 31st March, 1944, was 49, and the total from the inception of the schemes to that date was 1,782, plus some 500 huts.

Chapter 17. SECTION 17.—AGRICULTURAL AND PASTORAL PRODUCTION

SUBSECTION A.—GENERAL

NEW ZEALAND is a country specially favoured for primary production. The soil covering: is varied in character, a considerable portion of it being of high fertility; but even the poorer soils are largely capable of profitable utilization by reason of the comparatively mild and equable weather conditions. The best grasses and fodder plants flourish in the congenial environment, and the country has gained a world-wide reputation for the quality of its pastures. Numerous streams intersect the country-side; while cheap-hydro-electric power is available, most farming districts having been reticulated in recent years. Electricity is now put to a variety of uses on the farm, but by far the most important is that of providing power for milking-machinery.

A conspicuous feature of New Zealand farming is that the stock do not require to be stalled in the winter, though the pastures are more or less supplemented by fodder crops in the colder months of the year.

New Zealand is primarily a grazing country, and, while more of the land is every year being given up to the cultivation of fodder crops, its future will, no doubt, be inseparably associated with stock-raising, principally of dairy cattle and of sheep. Though only a little over a century has elapsed since the settlement of New Zealand first began, over seventeen million acres of land in the Dominion have been sown down in English grasses.

Grain crops, principally oats and wheat, are grown chiefly in the eastern and southern districts of the South Island. Barley also is grown, but only to a limited extent. Much of the crop of oats produced is chaffed for stock-feeding: purposes within the country. Root crops, principally turnips, are grown on a large scale for winter feed and for stock-fattening purposes, more particularly in the South Island. Mangolds are cultivated to an appreciable extent, and farmers realize the great value of lucerne. Ensilage-making, particularly in the stack and trench forms, is increasing in the dairying districts. Quite a feature of milk-producing operations is the growing of green fodder crops to maintain the milk-supply during the drier months of the year. Thus live-stock in New Zealand' are for the most part maintained on food produced on the farm itself.

The North Island

The North Island of the Dominion is remarkable for the congenial environment it furnishes for many phases of primary production. In very few parts is the winter really severe, and the question of stalling stock during the colder months of the year has not to be considered. It is more a grazing than an agricultural country, and nearly all the crops raised are used for feeding farm stock. The dominant industries are dairying and sheep-farming. The standard of dairy farming is steadily improving, not only by reason of special fodder being provided: for the drier parts of the summer and the colder months of the year, but on account of the fact that the farmer has learned the value of herd testing and culling, and the advantages to be derived from the judicious application of top-dressing fertilizers to pastures, and from rotational grazing.

In various parts of the Island fruitgrowing, principally of apples, pears, and. peaches, has been placed on a sound commercial basis. In the northern portion citrus fruits can be successfully produced, and, with the adoption of better storage and marketing methods, lemons in particular are being cultivated on a considerable scale. Both the North and the South Islands have established and normally have carried on an export trade in apples, and to a lesser extent in pears.

The South Island

The South Island is the portion of the Dominion where agriculture proper was first established, the settlement of the land being greatly facilitated by the fact that on the eastern, southern, and northern portions large fertile plains, rolling downs, and hills were available, devoid of the forests which in a very large portion of the North Island had to be cleared before the land could be utilized by the farmer.

In some sections, particularly in Canterbury, Otago, Southland, and Marlborough, grain-growing is prosecuted on a considerable scale. The Canterbury Plains, extending one hundred and fifty miles north and south and running inland for forty miles from the sea, represent an area of over 3,000,000 acres. This region contains the principal grain-growing areas, wheat and oats being the principal crops. In Otago and Southland oats is the grain principally produced. On some of the richer lands the yield of wheat has reached very high figures, even up to 80 or 90 bushels per acre, while over 100 bushels to the acre have been recorded for crops of oats. In root crops up to 70 tons per acre of turnips have been secured, while the yield of mangolds has frequently reached 90 tons. The growing of the finer wools, and the raising of fat lambs for the frozen-meat industry, are features of primary production in the South Island, while the dairy industry is also well represented, especially in Otago and Southland. The breeding of draught horses of a very fine type is carried on to some extent in certain districts.

While the climate in the southern districts of the South Island is not so genial as that of the northern, there are only a few portions where the winter is at all rigorous. The Nelson district, in the north-west corner of the Island, is noted. for its fine climate. Nelson has a sunshine record which is equalled in but few parts of the Temperate Zones. The district is specially suitable for fruitgrowing, which has been developed extensively on commercial lines, and the culture of tobacco-leaf and the hop-vine is well established. At the southern end of the Island, in Central Otago, a peculiar configuration of the country enables fruitgrowing to be prosecuted with great success. The winter is comparatively severe, but the warm summer sun and the absence of wind make it an ideal environment for fruitgrowing.

The culture of linen flax, mainly as the result of wartime demands, has recently been established in the Dominion, and certain areas in the South Island have proved. to be suited for the production of this valuable crop.

DEPARTMENT OF AGRICULTURE

Under the control of the Minister of Agriculture the Department of Agriculture provides a service the main object of which is the advancement of the interests of primary production. Under a Director-General of Agriculture there are Directors of Divisions of Live-stock, Animal Research, Dairy, Fields, and Horticulture.

While the service is primarily educative, it also carries out important inspection work. Under the Live-stock Division, all meat killed at meat-export slaughterhouses and abattoirs is inspected by qualified officers, and periodical inspections are carried out at registered slaughterhouses. A comprehensive service, diagnostic and remedial, is provided in regard to the health of all classes of live-stock. Cattle are examined for tuberculosis and other bovine troubles, and, where necessary, the Department's officers have power to condemn diseased stock. All stock exported and imported is examined by the veterinarians of the Department. Special instruction and advice are given in poultry-keeping, swine husbandry, and wool growing and handling.

The Animal Research Division, which was formed in 1939, works in co-operation with the Live-stock, Dairy, and Fields Divisions, and is also in active collaboration with other institutions engaged in animal research, notably the Department of Scientific and Industrial Research, the Cawthron Institute, and Massey and Canterbury Agricultural Colleges. The Division has well-equipped laboratories at Wallaceville and Ruakura, an important function of the former being the provision of a diagnostic service to the officers of the Live-stock Division. A bull-sterility-testing service was initiated at Ruakura in 1940–41 and is being availed of to a considerable extent. Investigational work has also been carried out in connection with artificial insemination, and a satisfactory technique has been evolved whereby the use of proven sires can be widely extended by this means as soon as the dairy industry provides the necessary organization.

Instruction in the manufacture of butter, cheese, &c., is given by the Dairy Division. Dairy-produce is inspected and graded prior to shipment, a close supervision being also exercised over: the moisture content of butter and cheese, as well as over the weights of such produce; dairy-farm premises are inspected; herd-testing is promoted, and a system of semi-official testing of purebred dairy cows is in operation. Milk-samples are tested for dairy companies and farmers.

The duties of the Fields Division comprise agricultural instruction, the control of experimental areas, advice regarding crops, pastures, and farm-management, co-operative experimental work, grain-grading, and hemp-grading. The Division also has charge of the system of seed testing and certification introduced by the Department. The Services Vegetable Production Scheme was inaugurated by the Division in 1942 to meet the demands of the Armed Forces for fresh vegetables. Projects were established in various parts of the Dominion, and arrangements were also made with private contractors to provide supplies. Deliveries commenced in December, 1943, and considerable quantities have been shipped to the United Nations Forces in the South Pacific.

The Horticulture Division is charged with orchard instructional work, instruction to beekeepers and tobacco-growers, and the inspection of fruit and trees imported and offered for sale. It also inspects orchards and apiaries, inspects fruit for export, and grades export honey.

The Department's principal farm establishment is the Ruakura Farm of Instruction at Hamilton, in connection with which a farm training-college for youths is also conducted. The Te Kauwhata Horticultural Station, in the lower Waikato district, is mainly devoted to vine-growing and winemaking. There are also several other smaller experimental and demonstration areas.

The agricultural instructional work covers a comprehensive field, farmers being assisted by visits or by letters of advice. Numbers of farmers also co-operate with the Department in conducting experiments on their farms. A monthly journal, the New Zealand Journal of Agriculture, is published at a low rate of subscription, and bulletins are frequently issued. Any farmer may obtain advice regarding his soil, have seed examined for germination-capacity and purity, milk tested for butterfat content or for the presence of disease, plants identified, and diseases of either animals or plants described and remedies suggested—all these services being rendered free of charge. Among other responsibilities of the Department is the registration of live-stock brands, slaughterhouses, dairies, dairy-factories, fertilizers, orchards, nurseries, market gardens, apiaries, &c.

Practically the whole of the expenditure of the Department of Agriculture may be regarded as devoted directly or indirectly to the furtherance of farming and associated interests. The net expenditure of the Department in 1943–44 was £1,017,400, as compared with £896,364 in 1942–43, £1,880,342 in 1941–42, and £1,611,984 in 1940–41. The estimated expenditure for 1914–45 was £1,114,070. The decrease in expenditure between 1941–42 and 1942–43 was due almost entirely to expenditure on certain subsidies introduced since the outbreak of war being transferred from the Consolidated Fund to the War Expenses Account. These matters are referred to under the next heading.

SUBSIDIES, GRANTS, ETC

Over a long period of years a considerable portion of the vote of the Department of Agriculture was expended by way of advances, grants, and subsidies to the farming industry. In addition, there has been assistance of a like nature from other sources, a case in point being the subsidy to the wheat industry, which is paid from the vote of the Department of Industries and Commerce. Since the outbreak of war further subsidies have been instituted with a view to encouraging production, to shield the farmer from the full impact of rising costs, and to maintain prices to the consumer in conformity with the Government's policy of stabilization. Many of these subsidies, particularly the later ones, are of an indirect nature as far as the farming community is concerned. They are paid to manufacturers, importers, &c., with a view to keeping down the cost of farming requisites, and to merchants, &c., to enable them to pay higher prices for produce without passing on the increases to the consumer.

It should also be mentioned that there are other payments from Government funds, which are not classed as subsidies. These include payments from the various stabilization, &c., accounts of the Marketing Department, the funds of which are derived from. the sale of the produce itself. There is also the question of any loss that may be incurred in cases where the State has assumed responsibility for the marketing of a particular class of produce. An example of this is found in the disposal of apples and pears, for which growers have been paid a fixed price owing to the loss of overseas markets as a result of the war. The responsibility for the purchase and disposal of these fruits rests with, the Internal Marketing Division, which in its Apple and Pear Account for the year ended 31st December, 1943, showed a net loss of £78,891, while the accumulated debit of the account was £667,113.

In the following table, which does not purport to be complete, actual payments are shown for the years 1941–42 to 1943–44, and the estimated amounts for 1944—45.

Item.1941–42.1942–43.1943–44.1944–45.

* Partly recoverable.

† Paid from War Expenses Account.

 ££££
Expenditure, including compensation for stock condemned, under Stock Act*10,92311,56614,93614,000
Expenditure, including compensation, under Meat Act20,36922,84121,63621,000
Grant to New Zealand School of Agriculture33,00033,00033,00033,000
Subsidies to Rabbit Boards35,69537,02039,27341,000
Grants to Rabbit Boards....5,60515,000
Subsidies to owners of stallions3,144856....
Carriage of lime (rebate on railage)201,916194,949222,704225,000
Carriage of fertilizer (rebate on railage)183,915141,609150,460150,000
Portion of freight rates on farm produce67,08577,10079,55380,000
Eradication of noxious weeds*24,76420,90320,25830,000
Cow-testing organizations14,94110,00010,00015,000
Destruction of wild pigs6611,1651,7271,250
Destruction of kea136183258250
Assistance to pig industry8,1598,1058,6568,600
Wheat industry254,018615,500458,000472,476
Wheatgrowers (rebate on superphosphate purchases)....8541,500
Manufacture, &c., of superphosphates903,123813,1311,297,8651,500,000
Manufacture of butter-boxes22,40125,75047,47750,000
Hides....35,00050,000
Corn-sacks....82,761170,000
Woolpacks....29,94630,000
Potatoes..6,07033,117..
Eggs (transport costs)....11,01110,000
Eggs (producers)......162,000
Barley and barley-meal......55,000
Maize......8,000
Wheatmeal......60,000
Fruitgrowers (apples and pears)......169,000
Apple and pear cases......5,000
Cow-covers......13,750
Sheep-dip......27,000
Miscellaneous fertilizer......35,000
Assistance to liquid-milk producers......80,000

Prior to the 1st April, 1942, the subsidies paid in connection with the manufacture of superphosphates and butter-boxes were a charge on the vote of the Department of Agriculture, but were then transferred to the War Expenses Account. The superphosphate subsidy prior to 1943–44 was mainly on account of raw materials used in manufacture, but in that year was extended to cover increased operating costs and bags.

The amounts shown in the table in respect of carriage of lime, fertilizers, and farm products, represent amounts paid out of the vote of the Department of Agriculture to the Railways Department for the free carriage of lime by rail (which is a long-standing concession granted to farmers) and the cost of special concessions in freight rates on fertilizers and certain farm products (initiated during the depression period).

GROSS FARMING INCOME

Farming occupies such an important position in the economic structure of the Dominion that statistical information relating to farm-production is vested with special interest. The agricultural and pastoral statistics, which form the subject-matter of the next two subsections, deal mainly with the quantitative aspects of farm production; while, from these statistics and from cognate statistics for other industries, estimates are made of the value of commodity production as a whole—including farm production (vide Section 45). Various other classes of official statistics—for example, prices index numbers—throw some light on the economic position of the farming industry.

Statistics of quantitative farm production and prices of farm-produce at country railway-stations constitute the basic data used in the computation of estimates of aggregate receipts from sales of farm-produce. The figures do not purport to show the aggregate net income from farming after all expenses of farm operations have been met. They are intended to afford an indication of the income available to farmers as a whole to meet current expenses of farm-operation, living-costs, interest payments, and all other costs.

Except in the cases indicated in the next paragraph, no attempt has been made to exclude from the scope of the compilations that portion of marketable farm-produce which may be consumed on the farm. Similarly, that portion of farm-produce which is sold to other farmers as material for further farm-production is in general included. For example, the value of production of grass-seeds is included under the heading “Agricultural Produce,” although—except for exports—almost the whole of this crop is used for the sowing or renewal of pasture lands. An exception, however, occurs in the case of stud stock sold for breeding purposes, no data being available on which to base an estimate of the aggregate annual value of such sales. With this exception, the totals shown for all farm-produce thus represent the total receipts from sales (including 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. In the case of production of grasses and clovers, it is arbitrarily assumed that 20 per cent. where cut for hay, and 5 per cent. where cut for ensilage, and in the case of chaff 25 per cent., of the total crop comes within the scope of this inquiry, the remainder being omitted for reasons similar to those advanced in the case of green fodder, &c.

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 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, &c. The prices at which the various commodities are valued are, in general, the prices f.o.r. country stations in the early months of the year, when the crops are harvested.

The estimated cost of sacks, cases, and other containers is excluded, as also are transport charges from farm to market and commission on sales. The fact that the cost of containers is excluded might be regarded as a departure from the general practice adopted in this computation of omitting to take account of costs incurred on the farm. It should be noted, however, that price quotations for some important classes of agricultural produce—e.g., wheat—are in ordinary commercial practice on a “sacks extra” basis, so that the exclusion of the value of containers in the case of other crops has the merit of consistency.

The principal items included in the pastoral group are live-stock and wool-production. Slaughterings of live-stock have been assessed on the basis of values (alive) at freezing-works, deductions being made to cover the cost of transport from farm to works, saleyards, &c., and of commission on sales of live-stock. 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.

It should be mentioned that the value of all live-stock production, including pigs, is included in the pastoral group, although pig-production is largely an adjunct of dairying.

Since these estimates are designed with a view to measuring farm receipts in each year, no allowance is made for the value of the annual increase or decrease in the Dominion's herds, although this item is included in assessing the estimates of value of production included in Section 45 of this Year-Book.

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 due to higher or lower prices realized for wool carried over and sold in a subsequent season. Deductions have been made to cover the cost of transport of wool to selling centres, and of woolpacks.

The largest individual item included in the dairying, &c., group is the pay-out to suppliers by butter, cheese, and dried milk, &c., factories during each of the dairy seasons shown. 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 figures of gross farming income (in millions of £N.Z.) arrived at for each of fifteen production years.

Production Year.Agricultural Produce.Pastoral Produce.Produce of Dairying, Poultry, and Bees.All Farm Produce.
 £(m.)£(m.)£(m.)£(m.)
1928–297.331.4425.564.2
1929–307.424.4524.456.3
1930–316.718.317.942.9
1931–326.514.617.438.5
1932–336.914.716.538.1
1933–347.023.417.848.2
1934–356.021.818.346.1
1935–367.426.523.957.8
1936–377.236.727.971.8
1937–387.331.929.869.0
1938–398.230.030.869.0
1939–409.432.333.875.5
1940–419.638.836.685.0
1941–4210.637.635.183.3
1942–4312.039.733.985.6

Index numbers have also been compiled showing the movements in volume of farm production. For the compilation of these index numbers, a computation has been made for each of the seasons 1928–29 to 1942–43 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 volume indexes of farm production entering into gross farming income, appearing in this section, differ in some respects from those quoted in Section 45 of this Year-Book, but, as indicated in an earlier paragraph, the estimates and index numbers here quoted are a measure of gross farm receipts and not necessarily of all farm production (e.g., they make no allowance for such items as the annual increase or decrease in the Dominion's herds).

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 Year.Agricultural.Pastoral.Dairying, &c.All Farm Produce
Value.Volume.Value.Volume.Value.Volume.Value.Volume
1928–29891071057083729375
1929–3090105827279788278
1930–3182113617658806282
1931–3279105498156835685
1932–3384136498554965595
1933–34851197885581027096
1934–3573104738859996794
1936–36901238889781048499
1936–37881111229191109104101
1937–38891061069697105100101
1938–39100100100100100100100100
1939–4011511910895110107109103
1940–41117126129110119115123114
1941–42129128125107114109121110
1942–43146139132107110102124108
1943–44104

A new high point for both value and volume of farm production was reached in 1940–41, and, although each of the two succeeding years recorded a fall in volume, higher prices enabled 1942–43 to show a higher value than 1940–41.

The agricultural produce group in 1942–43 showed a substantial increase over 1941–42 for both value and volume. Increased production of wheat, potatoes, onions, tobacco, and linen flax, and the increased area devoted to vegetable-production, were responsible for the volume increase, while these factors, together with higher wheat-prices, were mainly responsible for the increase in value.

Higher wool-prices accounted for the greater part of the increase in value for the pastoral group. The volume index for this group as a whole showed no movement, an increase in wool-production and in cattle slaughterings being offset by decreased killings of sheep, lambs, and pigs.

A fall in butterfat-production in 1942–43 is reflected in both value and volume of production for the dairying, poultry, and bees group. A slight increase in butterfat-prices, and in the price of eggs, prevented the value index from reflecting to the full extent the decrease in volume.

Farm production as a whole, measured by these statistics, recorded an increase in gross farming income of 2.5 per cent. as compared with the previous year, but a decrease of 1.8 per cent. in the volume of output.

From the aggregate values compiled for the purpose of measuring movements in the value and volume of farm production, the following estimates (shown in the form of percentages of total farm production) of the relative contribution of agricultural, pastoral, and dairying, &c., production to total farm production have been computed.

Production Year.Agricultural.Pastoral.Dairying, Poultry, and Bees.All Farm Produce.
Value.Volume.Value.Volume.Value.Volume.Value.Volume.
1928–29111649434041100100
1929–30131544424343100100
1930–31151643424242100100
1931–32171438444542100100
1932–33181639414343100100
1933–34141449403746100100
1934–35131347424045100100
1935–36131446414145100100
1936–37101251413947100100
1937–38111246434345100100
1938–39121243454543100100
1939–40121343424545100100
1940–41111346444343100100
1941–42131345444243100100
1942–43141446454041100100

THE SPREAD IN PRICE LEVELS

The statistics quoted under the previous headings illustrate the growth in farm production since the 1928–29 season, and the changes in gross fanning income. While the fall in gross farming income between 1928–29 and 1932–33, despite a considerably enhanced volume of farm production, suggests in itself a period of difficulty for the farming community, the divergence between price-levels of farm-products, most of which are sold in overseas markets, and internal price-levels generally is the real crux of the agrarian problem in time of depression. Prices of farm-products are particularly sensitive, since the demand for and the supply of most products of the soil are not easily equated. Changing demand conditions for farm-products do not readily result in compensatory supply changes, nor do changing supply conditions readily bring about compensatory demand changes. The slack is normally taken up through fluctuating prices. On the other hand, the cost of debt charges does not fluctuate so readily, while prices of services and of manufactured goods in normal times are also less sensitive than prices of farm-products. An indication of the spread between indexes reflecting farming returns and internal price-levels is shown by the figures in the following table. The index numbers in each case have, for purposes of comparison, been equated to base 1938–39 (= 100).

Production Year.Index Numbers indicative of—
Gross Farming Income.Export Prices, Pastoral and Dairy Produce (June Year).Internal Price-levels.
Farm Expenditure Index (Average of Two Calendar Years).Retail Prices, All Groups Index (Four Quarters ending May).
* Not available.
1928–2993130110105
1929–3082108110104
1930–31628010598
1931–3256719091
1932–3355648084
1933–3470838083
1934–3567798085
1935–3684918088
1936–371041079093
1937–3810010610098
1938–39100100100100
1939–40109113105105
1940–41123116105109
1941–42121120110113
1942–43124123115*

A series of farm-producers' price-index numbers derived from value and volume figures of gross farming income was published in the 1941 and earlier issues of the Year-Book, but this series has now been discontinued. The export-prices index number for pastoral and dairy produce, although relating only to the export portion of farm production, is included in the preceding table as giving an indication of prices received for farm production.

While the farm expenditure index (briefly described in Section 35) only partly reflects any increases in costs at the farm caused by a higher volume of farm production, the considerable proportion of total farm costs made up of fixed charges, which do not increase in direct ratio with increases in the volume of farm production, is included in this index. Comparison between the farm-expenditure index and the gross farming income index will thus afford a rough comparison of movements in farm costs and returns. It should be noted that these index numbers indicate the position generally, and do not necessarily apply to individual branches of farm production.

The retail prices all-groups index (now temporarily discontinued) is the best available indicator of movements in internal prices generally, and this index, when compared with the export prices index, affords a useful comparison between movements in prices received by the farmer and in internal prices. As will be apparent from the figures shown under the next subheading, returns in respect of sales of farm-produce have been governed largely by price-movements overseas, whereas farming-costs are affected more intimately by internal price-movements.

FARM PRODUCTION: EXPORTS AND DOMINION 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 discussion 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 statistics of value given in this statement indicate the gross returns to the farmer from farm-products exported and from consumption of such products within the Dominion.

The statistics of the return to the farmer 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 return to the farmer 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 the farmer's receipts from exports of meat. In instances where statistics of stocks are available adjustment has been made for the carry-over from one season to another. It has been assumed that stocks of wool, frozen meat, and butter and cheese carried over are held for export, and that stocks of wheat and oats are subsequently consumed within New Zealand.

Since the estimates of Dominion consumption are the residual element in the process of compilation, any lack of correspondence between the statistics of production and of trade will affect the accuracy of these estimates. Statistics of production relate to the production-year for each commodity, or group of commodities, coming within the scope of this investigation. In many instances the production-years do not cover identical twelve-monthly periods, so that the aggregate of production of farm-produce includes statistics for a number of yearly periods ending in different months. Exports during any one year do not consist entirely of commodities produced within the same twelve-monthly period to which the export statistics relate. The effect of these various factors is, however, minimized by taking averages for three seasons.

The following table, based on the averages of statistics for three production and three export seasons, shows the division of gross farming income into returns from exports of farm-produce and from consumption of such produce within the Dominion.

Three Production Years.Annual Average Gross Farming Income fromPercentages of Gross Farming Income from
Total Production.Exports.New Zealand Consumption.Exports.New Zealand Consumption.
 £(m.)£(m.)£(m.)Per Cent.Per Cent.
Agricultural Produce
1928–29 to 1930–317.10.76.41090
1929–30 to 1931–326.90.76.21090
1930–31 to 1932–336.70.85.91288
1931–32 to 1933–346.80.86.01288
1932–33 to 1934–356.60.85.81288
1933–34 to 1935–366.80.86.01288
1934–35 to 1936–376.90.76.21090
1935–36 to 1937–387.30.86.51189
1936–37 to 1938–397.60.86.81189
1937–38 to 1939–408.30.87.51090
1938–39 to 1940–419.10.78.4892
1939–40 to 1941–429.90.89.1892
1940–41 to 1942–4310.71.09.7991
Pastoral Produce
1928–29 to 1930–3124.718.66.17525
1929–30 to 1931–3219.114.24.97426
1930–31 to 1932–3315.911.84.17426
1931–32 to 1933–3417.614.03.68020
1932–33 to 1934–3520.015.84.27921
1933–34 to 1935–3623.919.34.68119
1934–35 to 1936–3728.323.15.28218
1935–36 to 1937–3831.725.76.08119
1936–37 to 1938–3932.926.86.18119
1937–38 to 1939–4031.425.85.68218
1938–39 to 1940–4133.728.75.08515
1939–40 to 1941–4236.230.85.48515
1940–41 to 1942–4338.733.15.68515
Dairying, Poultry, and Bees
1928–29 to 1930–3122.615.27.46733
1929–30 to 1931–3219.913.66.36832
1930–31 to 1932–3317.311.85.56832
1931–32 to 1933–3417.212.34.97228
1932–33 to 1934–3517.512.64.97228
933–34 to 1935–3620.014.75.37327
1934–35 to 1936–3723.416.96.57228
1935–36 to 1937–3827.219.67.67228
1936–37 to 1938–3929.520.49.16931
1937–38 to 1939–4031.521.210.36733
1938–39 to 1940–4133.722.411.46634
1939–40 to 1941–4235.223.311.86634
1940–41 to 1942–4335.222.912.36535
All Farm Produce
1928–29 to 1930–3154.434.519.96337
1929–30 to 1931–3245.928.517.46238
1930–31 to 1932–3339.924.415.56139
1931–32 to 1933–3441.627.114.56535
1932–33 to 1934–3544.129.214.96634
1933–34 to 1935–3650.734.815.96931
1934–35 to 1936–3758.640.717.97030
1935–36 to 1937–3866.4246.120.17030
1936–37 to 1938–3970.048.022.06931
1937–38 to 1939–4071.247.823.46733
1938–39 to 1940–4176.551.824.86832
1939–40 to 1941–4281.354.926.36832
1940–41 to 1942–4384.657.027.66733

Of the total gross farming income during the fifteen production-years 1928–29 to 1942–43, 67 per cent. came from exports of farm-produce, while 33 per cent. was accounted for by consumption of such produce within the Dominion.

BULK PURCHASE OF PRIMARY PRODUCE BY UNITED KINGDOM GOVERNMENT

The deterioration in the European situation during 1938 and 1939 had led to the formulation of plans in the United Kingdom and New Zealand for the supply of foodstuffs and other produce in the event of war. These plans envisaged the United Kingdom Government becoming the sole purchaser of imported foodstuffs, and the Marketing Department becoming the authority in New Zealand responsible for the bulk purchase and shipment of the various food and other products. Immediately on the outbreak of war negotiations with the United Kingdom were put in train, and, within three months, all the necessary arrangements for the internal organization had been made, and, in the main, the negotiations with the United Kingdom had been completed.

In general, the arrangements for the purchase of produce were to continue for the duration of the war and a subsequent period to be agreed upon, except in the case of wool, where the period was fixed for the duration of the war and one season's clip thereafter. Early in 1944 long-term contracts were entered into in regard to butter, cheese, and meat, the period covered being the four production seasons 1944–45 to 1947–48. These agreements are referred to later under their respective headings.

The agreements for the purchase of New Zealand's export products were concluded at prices based in general on those ruling before the war. These were accepted as reasonable at the time, with the proviso that the two Governments would be free to enter into discussions as to the steps to be taken in the case of serious increases in the prices of materials imported from the United Kingdom. In subsequent renewals of the agreements any price increases accepted were generally due to representations made by other countries and automatically passed on to New Zealand, and the question of reimbursements for the disparity in prices between New Zealand's exports and imports was reserved. This matter was discussed when arrangements were being concluded for the long-term contracts referred to above. As compensation to meet an abnormal increase in prices of New Zealand's imports, the United Kingdom Government agreed to pay a lump sum of £12,000,000 sterling to cover back years, with a further lump-sum. payment of £4,000,000 per annum for a period of four years.

The principal products which came within this bulk-purchase plan were wool, dairy-produce, meat, tallow, and woolly sheep-skins. A brief history of the contracts entered into in regard to the three main items—wool, dairy-produce, and meat—and of the principal changes that have taken place since the inception of the scheme is contained in the following paragraphs.

Wool

In the case of wool, the contract commenced with the 1939–40 season's clip and is for the duration of the war and one season's clip thereafter. It has since been agreed that the “duration of the war” relates to the “global” war. All wool not required for manufacture in New Zealand is covered by the terms of the contract.

The original purchase-price for greasy wool was fixed at 10.55d. sterling per pound f.o.b. This price permitted of an over-all average payment of 12.25d. per pound, in New Zealand currency, to be made to woolgrowers for wool delivered at appraisal warehouses, after allowing for the payments to wool-brokers and wool-appraisers for their services, for costs to f.o.b., and for Marketing Department expenses. The purchase-price for slipe wool was 13.75d. sterling per pound f.o.b., which gave an over-all average payment of 16.9766d. (N.Z.) per pound f.o.b., after allowing for the services of appraisers, Marketing Department's expenses, &c.

Provision was also made for the scouring of certain quantities of wool in New Zealand, payment to be made on a greasy basis, with an allowance of 1½ d. per pound to cover scouring costs and additional handling charges.

In addition to the foregoing, half-profits on subsequent sales of wool outside the United Kingdom will accrue to the producers. Distribution of profits (if any) is to be made when the accounts for the final season are closed.

The contract made provision for the purchase-prices to be reviewed in May of each year at the instigation of either Government. The prices quoted above remained in force until May, 1942, when the United Kingdom Government announced an increase of 15 per cent. in the ex-store price of wool for the 1942–43 season, not including the additions for storage and handling charges which enter into the total' price paid. This raised the appraisal prices to an ex-store over-all average (New Zealand currency) to 14.0875d. per pound for greasy wool and to 19.523d. per pound for slipe wool. These rates continued for the 1943–44 season.

In addition to the prices just quoted, the United Kingdom Government pays on greasy wool 0.872d. per pound, being brokers' charges 0.625d. transport and other charges to f.o.b. 0.125d., and Marketing Department costs, including appraisal, 0.22d. On slipe wool the additional amount payable is 0.125d. per pound, being marketing costs, including appraisal.

Dairy-produce

The contract for dairy-produce commenced with the produce of the 1939–40 season, and the quantities agreed upon were 115,000 tons of butter and 84,000 tons of cheese. The United Kingdom Government also agreed that, subject to shipping space being available, it would endeavour to ship any additional quantities available within the limits of its requirements. The basic price agreed upon for creamery butter was 112s. 6d. sterling per hundredweight finest grade, with specified deductions for lower grades, and 64s. 3d. sterling per hundredweight for finest and first-grade cheese and 62s. 3d. sterling per hundredweight for second-grade cheese. This permitted of an f.o.b. over-all average of 139s. 7¼ d. per hundredweight for butter and 79s. 9d. per hundredweight for cheese (New Zealand currency).

No formal contract was completed for the 1940–41 season, but arrangements were made for 120,000 tons of butter and 107,000 tons of cheese, with prices the same as for the previous season. In addition, although it was not embodied in the contract, an undertaking was reached that the general arrangements for the purchase of dairy-produce were to continue for the duration of the war and for a subsequent period to be agreed upon.

In the publication of the details of the agreement for the 1941–42 season it was stated that for the period of the war and one year thereafter New Zealand would aim to limit production of creamery butter for export to approximately 115,000 tons per annum, this figure to be reviewed annually in the light of storage and shipping situations. The price for 1941–42 was fixed on the same basis as in the previous two years. In regard to cheese, New Zealand was to aim at a production of 160,000 tons annually for the same period as in the case of butter, with a similar proviso in regard to revision of the terms of the agreement. The prices were increased to 70s. sterling per hundredweight and 68s. sterling per hundredweight for first and second grade respectively, the increase being granted to meet costs in New Zealand of the change-over of supply from butter to cheese manufacture to attain the objective of 160,000 tons of cheese for export.

A reversal of policy was announced at the commencement of the 1942–43 season. Owing to the increase in supplies of cheese from North America, the United Kingdom Government requested that the season's production be reduced to 90,000 tons with a consequential increase in butter-production. In order to meet the costs arising from the change-back from cheese to butter, the United Kingdom Government agreed to an increase of 4s. 6d. sterling per hundredweight for butter and 3s. sterling per hundredweight for cheese. These increases brought the purchase-prices to 117s. and 73s. sterling per hundredweight for finest-grade butter and first-grade cheese respectively.

For the 1943–44 season the United Kingdom Government advised that it desired not less than 85,000 tons of cheese and the maximum quantity of butter that could be supplied, and, after making provision for the increased requirements of the United “States Armed Forces in New Zealand and the South Pacific Area, it was estimated that from 85,000 to 90,000 tons of cheese and 96,000 to 101,000 tons of butter would be available. The quantities actually shipped to the United Kingdom were: Cheese, 81,544 tons; butter, 101,068 tons. Rationing of butter and cheese was introduced in New Zealand on 28th October, 1943, with a view to increasing the quantities available to the United Kingdom. During the 1943–44 season, a review of prices took place, and an increase of 26s. 1½ d. sterling per hundredweight of butter and 12s. 6¼ d. sterling per hundredweight of cheese was granted by the United Kingdom Government, the period covered by the increased prices being 1st April, 1943, to 31st July, 1944.

As stated earlier, a long-term contract for the purchase of exportable surpluses of butter and cheese for the four years 1944–45 to 1947–48 has now been concluded. The prices (which are set out hereunder), terms, and conditions of sale and purchase for all shipments of the first two production seasons have been agreed upon. For the final two production seasons these are subject to review at the instance of either Government on substantial grounds.

ButterSterling per Cwt., f.o.b. Ocean Steamer.
   Creamery—s.d.
     Finest Grade, 93 points and over1506
     First Grade, 90 to 92½ points1493
     Second Grade1456
   Whey—  
     First Grade1426
     Second Grade1386
Cheese  
   Finest and First Grade, 91 points and over   890
   Second Grade   870

In general, the conditions of the agreement are on similar lines to those of the wartime contracts. The salient features are as follows:—

  1. All purchases are to be f.o.b. New Zealand ports, and the responsibility for providing freight rests with the United Kingdom Government. Payment is to be made in sterling in London as to 97 1/2 per cent. on shipment, and as to the remaining 2 1/2 per cent. within twenty-eight days after arrival. If the lifting of available supplies is unduly delayed, the United Kingdom Government is to make interim payments.

  2. The proportions of butter and cheese to be shipped from the production of each season is to be as nearly as possible in accordance with the requirements of the United Kingdom Government, subject to consultation and agreement, and the manufacture of milk products other than butter or cheese is to be maintained at levels not exceeding requirements mutually agreed upon between the two Governments.

As a result of successful experiments conducted in the conversion of butter into dehydrated butterfat for shipment as non-refrigerated cargo, the United Kingdom Government contracted to purchase 10,000 tons of dehydrated butterfat or such larger quantity as might be produced during the 1942–43 season. The prices agreed upon were 150s. sterling per hundredweight for Grade 1 and 145s. per hundredweight for Grade 2, these prices being on an f.o.b. basis. During the 1943–44 season, however, all butter was shipped frozen, dehydration being discontinued at the request of the United Kingdom.

Guaranteed Prices under the Marketing Act.—The fixed prices per pound payable to dairy-factories under the Marketing Act for butter and cheese for export during the periods covered by the foregoing are as follows:—

Grading.Season.
1939–40.1940–41.1941–42.1942–43.1943–44.1944–45.
Creamery Butter
Finest—d.d.d.d.d.d.
   94 points and over15.01515.01515.01515.51515.51515.515
   93 to 93½ points (basic grade)14.8914.8914.8915.3915.3915.39
First—
   92 to 92½ points14.827514.827514.827515.327515.327515.3275
   90 to 91½ points14.6414.6414.6415.1415.1415.14
Second14.1414.1414.1414.6414.6414.64
Cheese
Finest—
   94 points and over8.576258.576258.576258.886258.886258.88625
   93 to 93 192 points8.5458.5458.5458.8558.8558.855
First—
   92 to 92½ points (basic grade)8.428.428.428.738.738.73
   91 to 91½ points8.35758.35758.35758.66758.66758.6675
Second8.178.178.178.488.488.48

In the 1943–44 season a farm-costs allowance and a factory-costs allowance were made to butter and cheese manufacturing companies to cover increases that had taken place in the prices of dairy-farm and dairy-factory requisites, &c. In addition, a factory-labour allowance was granted to cover an increase in the wages of dairy-factory workers. In 1944–45 a farm-labour allowance was introduced, while a further farm-costs allowance was also made. Particulars of these allowances for the two seasons for which they have been in operation are as follows, the figures quoted being in pence per pound of butterfat supplied.

1943–44.1944–45.
Butter-making.Cheese-making.Butter-making.Cheese-making.
* In addition a further factory-wages allowance of 0.073d. for buttermaking and 0.350d. for cheesemaking was granted as from 1st November, 1944.
 d.d.d.d.
Farm-costs allowance, 1943–440.7670.7670.7670.767
Additional farm-costs allowance, 1944–45....0.6500.650
Farm-labour allowance....1.4701.470
Factory-costs allowance0.2690.2990.2690.299
Factory-wages allowance0.0220.0760.0220.076
Total1.0581.1423.178*3.262*

The average pay-out to dairy-farmers for butterfat supplied for buttermaking in 1943–44, inclusive of the farm-costs allowance, was 17.597d. per pound, and for cheese-making 19.655d. per pound. Corresponding estimates for 1944–45 are 19.6d. per pound in the case of butter and 21.6d. per pound in the case of cheese.

Meat

The quantity of meat agreed upon to be purchased from the production season ended 30th September, 1940, and from the carry-over of the previous season (45,000 tons) was 300,000 tons. This quantity included all classes of meat, also edible offals. In addition, the United Kingdom Government undertook to make every endeavour to provide shipping space for such additional quantities as might be available. The range of prices per pound payable to freezing companies and meat-exporters by the Marketing Department under the agreement was as follows. These prices are on an f.o.b. basis and are expressed in terms of New Zealand currency.

  • Lamb: Prime down cross, 6 15/16d. to 7⅞d,; prime Canterbury, 6 13/16d. to 7 13/16d.; prime crossbred, 6½d. to 7 13/16d.; second quality, 6 13/16d. to 7¼d.

  • Mutton: Prime wethers and maiden ewes, 3 11/16d. to 5 7/16d.; second quality wethers, 4 9/16d. to 4 3/16d.; ewes, 2 15/16d. to 3⅜d.

  • Beef: Ox and heifer—Hinds, 4¼d. to 5 7/16d.; fores, 3d. to 3 3/16. Cow—Hinds, 4d.; fores, 3d. Boneless beef, 4d. to 4⅝d. Bobby veal, 5⅛ d. Boneless veal, 4 3/16d.

  • Pigs: Carcases—Baconers, 7⅜ d. to 7½d.; porkers, 7⅛ d. to 7 7/16d.

The actual liftings of meat for the first contract year wore 351,000 tons, leaving a carry-over at 30th September, 1940, of 39,938 tons.

For the 1940–41 season, the contract provided for the purchase of 248,000 tons of meat, shipped or unshipped, from the production season ended 30th September, 1941, and from the carry-over from the previous season. The actual liftings of meat under the second year's contract were 268,650 tons, which left a carry-over of 77,902 tons of export meat. “With a few minor exceptions, the prices were the same as those paid for the 1939–40 season.

The contract for the third year (1941–42 season) provided for the purchase of 190,000 tons of frozen meat shipped or unshipped, and 37,150 tons of canned meats. The equivalent in carcase-meat of 37,150 tons of canned meats is 111,500 tons, so that the contract for frozen and canned meats represented a total of 301,500 tons of carcase-meat. The purchase-prices for this season were increased ⅜ d. sterling per pound for beef and beef offals, lamb and lamb offals, and baconer carcases and cuts, and by ¼ d. sterling per pound for mutton and mutton offals and pork and pork offals.

From 1st October, 1942, the purchase prices for beef and veal were increased by 1/2d. sterling per pound and for pig meats by 5 per cent. on the previous year's prices, and from 1st October, 1943, wether and ewe mutton prices were raised by ½d. sterling per pound.

For the calendar year 1943 the United Kingdom Government undertook to purchase up to the total quantity shipped in the calendar year 1942. In arriving at the total tonnages, the calculation included the carcase equivalent of canned meats, dried meat, and also shipments to the Middle East; and, on this basis, the figure of 328,000 tons was arrived at. New Zealand was to provide the maximum quantity possible in the forms of canned and dehydrated meats in order to reduce the balance of the 328,000 tons, for which refrigerated space was required, to the lowest possible figure.

For the calendar year 1944 the United Kingdom Ministry of Food undertook to purchase and lift the maximum quantity of meat that New Zealand could make available. New Zealand was asked to take all possible steps to increase production, and it was requested that certain classes of meat which had previously been canned or otherwise disposed of (notably ewe mutton) should be shipped in frozen form. It was estimated that the total quantity of frozen meat which would be shipped to the United Kingdom during the twelve months ended 30th September, 1944, would be approximately 212,617 tons. In addition, deliveries of frozen meat to the United States Joint Purchasing Board were estimated to amount to 43,390 tons, leaving a carry-over of meat for export at 30th September, 1944, of 62,504 tons. The actual disposal of meat killed at export works during the year is given in Subsection C of this Section.

The general scope of the long-term contract for the purchase of the exportable surplus of meat referred to earlier is as follows:—

  1. The arrangement covers the total available supplies of beef, veal, mutton, and lamb, and the frozen sundries and edible offals thereof. All products named are to be as normally graded for export and available for shipment in the period 1st October, 1944, to 30th September, 1948:

  2. During the first two years of the agreement the quantity of pig-meat covered by the contract is to be the total available supplies, the United Kingdom to notify the quantities required in the final two years:

  3. The prices and conditions of the agreement as laid down are to apply to the first two years of the contract, and for the final two years are subject to review at the instance of either Government on substantial grounds:

  4. Purchases are to be on an f.o.b. basis, and the responsibility of providing freight rests with the United Kingdom Government. Payment is to be made in sterling in London on the same terms as for dairy-produce (see p. 224):

  5. The United Kingdom Government will progressively resume the importation of chilled beef from New Zealand as and when the shipping position permits.

The range of prices per pound payable to freezing companies and meat exporters by the Marketing Department for the 1944–45 season is given below. These prices are on an f.o.b. basis and are expressed in New Zealand currency. In the case of mutton and lamb, a telescoping allowance of 0.0777d. per pound is paid in addition to the prices shown.

  • Lamb: Prime down cross, 7.425d. to 8.425d.; prime Canterbury, 7.3625d. to 8.36525d.; prime crossbred, 7.175d. to 8.175d.; second quality, 5.25d. to 7.675d.

  • Mutton: Prime wethers and maiden ewes, 5.76d.; second quality, 5.25d.; ewes, 3.75d.; ewes, boned for export, 4.675d.

  • Beef

    • American pack—Ox and heifer, 5.95d. to 6.5125d.; cow, 4.94125d. to 5.73125d.

    • Bone in—Ox and heifer: Hinds, 4.9075d. to 6.095d.; fores, 3.7825d. to 3.845d.; Cow: Hinds, 4.0575d. to 4.6576d.; fores, 3.0575d. to 3.6575d.

    • Boneless beef, 4.05d. to 4.5d.

  • Veal: 3.5d. to 4.5d.; boneless bobby veal, 4.5d.

FARM MACHINERY

The following table contains a summary of farm machinery employed on holdings outside borough boundaries in 1932, and during each of the five years ended in 1942.

Class of Machinery, &c.1982.1938.1939.1940.1941.1942.
* Not available.
Milking-plants23,22228,19228,97029,56430,87831,487
Cream-separators51,33456,54355,66555,77354,89654,107
Shearing-machines—
   Plants7,8539,68010,06410,63410,91611,555
   Stands22,32625,68526,06327,21627,55028,611
Agricultural tractors4,8568,0319,63911,27812,51613,967
Rotary hoes and garden tractors****757813
Electric motors24,16446,10051,34456,51161,82665,699
Internal-combustion engines20,97422,57322,60123,27623,64423,882

The 31,487 milking-plants in use in 1942 had a capacity for milking 107,096 cows simultaneously. The total number of cows milked on holdings employing milking-plants was 1,532,637. The aggregate horse-powers of the agricultural tractors, electric motors, and internal-combustion engines shown above for 1942 were 271,983, 66,435, and 72,252 respectively.

DEVELOPMENTS IN AGRICULTURAL POLICY

In the 1941 issue of the Year-Book (pp. 349–371) a fairly full set-out of developments in agricultural policy will be found. It is regretted that shortage of staff has precluded this material being revised to cover the numerous changes—mostly of a temporary nature—brought about mainly through the general exigencies of war, the requirements of the United Nations, and the availability of shipping.

SUBSECTION B.—AGRICULTURAL PRODUCTION

As indicated in the general remarks included in the introductory portion of the preceding subsection, grassland products account for a very high proportion of the farm output of New Zealand. It must not be assumed, however, on this account that cropping is of minor importance in the economy of the Dominion. Practically the whole of the internal requirements in respect of agricultural products are grown within the country, the only exceptions of note being tropical or subtropical products such as tea, sugar, cotton, bananas, &c. In most years it has been found necessary to import certain quantities of wheat, local production being insufficient for the country', needs.

Fruit is grown on a considerable scale, home requirements of all the important fruits and berries grown in temperate zones being satisfied by New Zealand orchard production. Citrus fruits are grown in the sub-tropical northern portion of the Dominion, and grapes are also cultivated in certain localities with a favourable climate. In addition to the supply of local requirements, a substantial export. trade in apples—and to a lesser extent in pears—is carried on in normal times.

In rural New Zealand and in many urban localities the kitchen-garden supplies a very considerable proportion of family requirements of vegetables, while there is a substantial area planted in market gardens, both inside and outside borough boundaries. The major commercial cash vegetable crops are potatoes sad onions, local supplies of the former being usually quite adequate, with, in some seasons, a material surplus. Although the importance of vegetable-growing in agricultural production cannot be measured (a material, though unknown, proportion being non-commercial), it will be realized that this branch of crop-production is of some consequence in that the requirements of the people are supplied from New Zealand production.

Coincident with the growth of the stock-raising industries, there has been a considerable increase in areas sown for supplementary fodders. While practically throughout the whole Dominion animals can be grazed in open pasture for the full twelve months of the year, the winter growth of grass, except in certain favoured localities, requires to be supplemented in order to keep stock in good condition during the colder months, and in some districts supplementary fodders are necessary in the hottest summer months. The supply of supplementary fodders is adequate both in quantity and in quality, so that the Dominion imports animal-feeding stuffs to a very minor extent only.

Hay and ensilage crops are grown almost exclusively on the farms where they are consumed, though there is some degree of localization in the growing of certain other supplementary fodder crops. The Bulk of the turnip crop is grown in the South Island, and that Island also predominates in the production of both rape and kale, 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 grown almost entirely in the Dominion. There is a small import of certain classes of seeds, but this is almost negligible in relation to requirements: on the other hand, a considerable export trade in some species of grass-seeds has been developed. This trade has been greatly expanded since the outbreak of war, the quantity of grass and clover seeds exported in 1944 being over three times the amount exported in 1939.

GEOGRAPHIC DISTRIBUTION

Grain-growing is localized to a considerable extent, the Canterbury Land District, with its fertile plains, supplying in 1943–44, 73 per cent. of New Zealand's wheat crop, 36 per cent. of the oats threshed, and 62 per cent. of the barley yield. Maize-growing is largely confined to certain portions of the Auckland and Gisborne districts. The commercial growing of pulse crops is carried out extensively in Canterbury, and to a lesser extent in Marlborough and Otago, Canterbury alone producing 65 per cent. of the total yield. The districts of Canterbury, Otago, and Southland supplied in 1943–44, 84 per cent. of the total production of grass-seeds. While the Canterbury district produces the bulk of the commercial potato crop, the growing of potatoes for the early market is of considerable importance in the North Auckland and Auckland districts.

Commercial orchards in New Zealand are largely confined to certain areas suited by climatic and soil conditions, while access to markets is also an important factor, particularly in respect of small fruits. The Nelson district is famed for its apple-orchards, a high percentage of the crop from this district normally being exported. Central Otago is well suited to the growing of stone fruits—notably apricots. In several other districts commercial orchard production is successfully carried on: special mention may be made of citrus culture in certain northern districts.

Grape-growing is of importance in North Auckland, Auckland, and Hawke's Bay. Tobacco-growing is mainly confined to the Waimea County, in the Nelson district, hop-growing, also, being almost exclusively confined to the latter area.

Under the stimulus of a wartime demand, considerable areas in the South Island have since 1940–41 been devoted to the growing of linen flax.

The total area devoted to each crop in the 1943–44 season and the proportions per cent. in each land district are given in the following table.

Name of Crop.Area.Land District Percentages.
North Auckland.Auckland.Gisborne.Hawke's Bay.Taranaki.Wellington.Marlborough.Nelson.Westland.Canterbury.Otago.Southland.
For threshing—  Acres.
   Wheat233,786......1..33....78123
   Oats39,652..........12....501829
   Barley28,241..1..1..2115..64151
   Maize5,691536545................
   Peas44,690....11..2173..6664
   Other crops10,759....11....4....561424
For chaff, hay, or ensilage—
   Oats118,21011..21432..472118
   Grasses and clovers527,949143624151012..745
   Lucerne45,683..92111572..3627..
   Other crops2,0608141791632..2748
Green fodder—
   Oats71,02512..31433..7193
   Rape156,41511..7..531..55198
   Kale (including chou moellier)69,532..4..224191....26915
   Other crops28,295511261942..44124
Root crops—
   Swedes144,247221..341011..102028
   Turnips206,47716..21412..391727
   Turnips and rape42,519..1..1131....182154
   Potatoes27,178541611212..5864
   Other crops6,7908725421......34163
Grasses and clovers for seed141,612....15..22....561420
Linen flax9,755............7....651414
Tobacco2,586..............100........
Vegetable crops for canning1,01412....52......31..41..
Other field crops1,4989233823..1......6....
Orchards19,19621721514320..10161
Grape-vines5135224319..1..1........
Passion-fruit vines796831..1................
Hop-vines546............199........

BUSHEL WEIGHTS

For statistical and other purposes, it is at times desirable to convert bushel units to a weight basis. For New Zealand produce, conversion is effected by using the following weights per bushel for the commodities mentioned.

Produce.Weight of Bushel.
 Lb.
Wheat60
Oats40
Barley50
Maize56
Peas60
Ryecorn54
Beans65
Grasses and clovers20

AREA UNDER CULTIVATION

A general summary of the areas under cultivation during each of the last eleven years is given below. The statistics quoted in this and other tables in this subsection relate to holdings of 1 acre or upwards outside borough boundaries.

In addition to the areas shown as under cultivation, there is a considerable area of occupied land still unimproved. In 1943–44 the total area of unimproved occupied land was approximately 23,148,310 acres. Cultivated land accounted in 1943–44 for 46 per cent. of the total area in occupation, unimproved land accounting for the remaining 54 per cent. The area in phormium—a productive asset—is included in the total of unimproved land, while an appreciable proportion of tussock and other naturally established native grasses is also of some economic utility—e.g., for low-grade sheep-grazing, &c.

Year.Pasture Land.*Field Crops.Plantations.OrchardsLying Fallow.Other Cultivated Land.Total Cultivated Land.

* Excluding areas of grasses and clovers cut for seed, hay, or ensilage, which have been included in field crops.

† Prior to 1034–35 large areas of State Forest plantations were excluded from the collections.

‡ Approximate.

 Acres.Acres.Acres.Acres.Acres.Acres.Acres.
1933–3416,472,6042,064,037427,47125,069105,76691,80119,186,748
1934–3516,501,8111,981,804753,68425,087115,83296,30119,474,519
1935–3616,543,7502,090,745779,87725,072107,10997,00519,643,558
1936–3716,610,9031,918,855787,96524,856118,84398,58419,560,006
1937–3816,731,6071,785,329846,97422,397181,41495,28019,663,001
1938–3916,783,6121,807,445844,42321,753140,92595,79119,693,949
1939–4016,632,6081,956,096839,90620,899112,19597,64519,659,349
1940–4116,788,1212,048,198852,19620,064104,18993,88819,906,656
1941–4216,742,1532,010,560857,93319,544110,49694,08819,834,774
1942–4316,992,3431,911,833851,25819,190110,00096,42619,981,050
1943–4416,774,3041,965,670859,73719,196110,000101,09219,829,999

In the following pages statistics of the principal crops are quoted with explanatory comment. In addition to summary tables, covering in each instance a range of related items, important individual crops are discussed under separate headings.

PRINCIPAL FIELD CROPS

The areas under each of the principal field crops for the last five years have been as follows:—

Crop.1939–40.1940–41.1941–42.1942–43.1943–44.

* Including turnips and rape mixed.

† Excluding wheat, oats, barley, maize, and peas fed off.

 Acres.Acres.Acres.Acres.Acres.
Wheat260,779245,733260,603290,158239,183
Oats268,541306,944282,408242,365228,887
Barley31,72841,08844,43135,26136,310
Maize14,35216,89614,13212,53511,460
Peas22,07835,94031,41133,48644,690
Linseed1,2161,2848593541,263
Linen flax40313,11820,20021,0679,755
Potatoes20,03316,99815,20123,86027,178
Turnips and swedes*404,841403,746376,715365,184393,243
Mangolds9,6109,2197,8476,1264,650
Onions8399038259621,023
Tobacco1,8282,1502,4352,4432,686
Green fodder209,233222,189231,610234,489237,067
Grasses and clovers for seed112,142150,731155,024141,063141,612
Grasses and clovers for hay or ensilage554,607533,462513,075446,068527,949
Lucerne for hay or ensilage39,61441,66542,21142,84245,683
Other crops4,2526,13211,57313,57013,131
Totals1,956,0962,048,1982,010,5601,911,8331,965,670

The figures quoted in the foregoing table in respect of wheat, oats, barley, maize, and peas relate to the total areas under these crops. It should be noted that a considerable portion of the area under certain crops, particularly oats, is cut for chaff or is fed off.

GRAIN AND SEED CROPS

Details of areas for threshing, total yields, and yields per acre of the principal grain and seed crops during the last five years are act out in the following table.

Year.Wheat.Oats.Barley.Maize.Peas.Linseed.
* Not available.
AREAS FOR THRESHING
 Acres.Acres.Acres.Acres.Acres.Acres.
1939–40257,53249,75125,2627,96221,3231,216
1940–41243,19771,75832,02510,76334,8931,284
1941–42258,00270,79636,0268,77930,976859
1942–43286,99856,29128,6577,29133,006354
1943–44233,78639,65228,2415,69144,6901,263
TOTAL YIELDS
 Bushels.Bushels.Bushels.Bushels.Bushels.Cwt.
1939–408,010,0892,081,106915,805404,179563,1598,788
1940–418,305,8653,114,9461,066,408513,554741,535*
1941–428,671,2443,444,8121,296,630444,249852,077*
1942–439,819,3422,808,7741,057,608370,875889,224*
1943–447,208,4851,834,310832,783296,081888,709*
YIELDS PER ACRE
 Bushels.Bushels.Bushels.Bushels.Bushels.Cwt.
1939–4031.1041.8336.2550.7626.417.23
1940–4134.1543.4133.3047.7121.25*
1941–4233.6148.6635.9950.6027.51*
1942–4334.2149.9036.9150.8726.94*
1943–4430.8346.2629.4952.0319.89*

Other crops for threshing in 1943–44 included the following, the resultant yield in each case being given in parentheses: Lupins, 3,852 acres (53,933 bushels); rape, 813 acres (387,606 lb.); kale (including Chou moellier), 627 acres (138,178 lb.); white-fleshed (soft) turnips, 818 acres (244,1341b.); yellow-fleshed (hard) turnips, 312 acres (48,474 lb.); swedes, 1,273 acres (272,377 lb.); mustard, 710 acres (−180,086 lb.); beans, 332 acres (7,337 bushels); and ryecorn, 558 acres (9,559 bushels).

WHEAT

Wheat is the most important grain crop grown in New Zealand. The industry enjoys a sliding scale of Customs duties levied on imports of wheat and flour and also regulation of prices on a basis that is calculated to give the grower a satisfactory return for his produce.

Further efforts in encouraging wheat-growing with a view to making New Zealand entirely self-sufficient in respect of requirements of wheat and wheaten products were initiated by the Government in 1936. An Order in Council which came into force in March of that year prohibits the importation of wheat or wheaten flour, except under permit granted by the Minister of Industries and Commerce. With a view to reducing imports of Grade A wheat necessary for mixing purposes, the Wheat Research Institute has been endeavouring to encourage the growing in New Zealand of better-quality varieties which do not require blending with imported wheat. The Institute has already achieved excellent results, its most outstanding success being the development of a Tuscan variety known as Cross 7. Cross 7 wheat has been grown in increasing quantities, and in the last two seasons produced over CO per cent. of the total grain harvested. It possesses the advantages of desirable baking qualities, good yield, and resistance to wind damage. Another variety, similarly developed, known as Fife Tuscan, also shows signs of increasing popularity.

Despite the protection and encouragement given to wheat-growers, the results have, in the main, been disappointing. Appreciable increases occurred in the four seasons 1939–40 to 1942–43, but decreased sowings and a low average yield resulted in production for 1943–44 being 2,610,857 bushels below that for 1942–43. A further decline in the acreage sown for the 1944–45 season has taken place, and as an incentive to increased sowings for the 1945–46 season it was decided to pay a production bonus, linked to the attainment of an increased acreage. To the present price of 6s. 6d. per bushel was to be added a supplementary payment of 1d. per bushel on the total bushelage sold for every increase of 5,000 acres in excess of 200,000 acres sown in wheat up to 220,000 acres. Thereafter the supplementary payment would be at the rate of 1/2 d. per bushel for every increase of 5,000 acres, with a maximum price of 7s. Id. per bushel, reached at 250,000 acres. Subsequently, the full bonus of 7d. per bushel was announced as payable irrespective of the total acreage.

Varieties of Wheat

The choice of wheat varieties for sowing is influenced by their suitability to local conditions of climate, soil-type, &c. Wheat-growers receive valuable guidance regarding suitable varieties as the result of research work and field trials undertaken by the Wheat Research Institute and the Department of Agriculture. Particulars regarding varieties of wheat were obtained covering 84 per cent. of the total area of wheat threshed for the harvest of 1944. Of the three groups of varieties, Tuscan accounted for 940 per cent. of the area and 92.8 per cent. of the yield; Hunter's, 4.9 per cent. of the area and 6.2 per cent. of the yield; and Pearl, 1.1 per cent. of the area and 1.0 per cent. of the yield. Of the individual varieties, Cross 7, previously referred to, produced 60.6 per cent. of the total yield, while Tuscan and Solid-straw Tuscan between them produced 14.8 per cent. The area sown with Cross 7 accounted for 59.5 per cent. of the total area, while the other two varieties together accounted for a further 19.8 per cent.

OATS

Although, as stated above, wheat is the most important grain crop of New Zealand, the area under oats (for all purposes) normally exceeds that under wheat. Of the total area under oats in 1943–44, 87 per cent. was grown in Canterbury, Otago, and Southland, 5 per cent. in the remainder of the South Island, and 8 per cent. in the North Island. The greater portion of the oat crop is usually converted into chaff without threshing, but the proportion so dealt with depends partly on the condition of the crop and partly on market conditions. During the last five years an average of approximately 21 per cent. of the area sown was threshed. Southland produced 42 per cent. of the total oaten-grain in 1943–44, followed by Canterbury with 36 per cent. and Otago with 19 per cent., these three districts together accounting for 97 per cent. of the total oaten-grain yield.

The total and average yields of oaten-grain and of chaff, hay, or ensilage for the five seasons ending with 1943–44 were as follows:—

Season.Grain.Chaff, Hay, or Ensilage.
Total Yield.Average per Acre.Total Yield.Average per Acre.
 Bushels.Bushels.Tons.Tons.
1939–402,081,10641.83247,2021.52
1940–413,114,94643.41279,5791.63
1941–423,444,81248.66242,6871.69
1942–432,808,77449.90214,8841.77
1943–441,834,31046.26184,9851.56

Varieties of Oats threshed

An analysis of the threshing returns relating to the season 1943–44 gave the following percentage distribution of varieties of oats threshed.

Variety of Oats threshed.Percentage of Total Area.Percentage of Total Yield.
 Per Cent.Per Cent.
White68.5375.71
Dun8.336.35
Black2.031.61
Algerian18.3013.67
Unspecified2.812.66
All varieties100.00100.00

White oats (principally Gartons) are predominantly represented in the above figures with over two-thirds of the total area threshed and over three-quarters of the total yield. Gartons, in addition to possessing value as feed oats, are used extensively for milling.

BARLEY

The area sown in barley does not usually fluctuate to any marked degree from year to year, nor does the yield of grain obtained at threshing, but the areas sown in 1940–41 and 1941–42 were substantially above those of previous years, with a consequent increase in grain-production. The areas in 1942–43 and 1943–44, although still above the average, were well below that of 1941–42.

Of the total area grown, approximately 80 per cent. is usually threshed for grain, the remaining 20 per cent. being used for stock fodder (mostly feeding off).

Information supplied in the spring by growers regarding varieties sown, or intended to be sown, shows the following percentage distribution for 1942–43 and 1943–44.

Variety.Proportion of Estimated Total Area.
1942–43.1943–44.
 Per Cent.Per Cent.
Chevallier34.4937.12
Plumage-Archer21.5121.51
Spratt-Archer21.5720.80
Skinless6.646.87
Goldthorpe-Spratt7.186.81
Cape7.546.30
Other varieties1.070.59
Totals100.00100.00

Chevallier, Plumage-Archer, Spratt-Archer, and Goldthorpe-Spratt are malting varieties. In the aggregate, they accounted for So per cent. of the area in 1942–43 and 86 per cent. in 1943–44.

Dominion production of barley invariably falls short of domestic requirements. During the five seasons ending with 1943–44, annual production averaged 1,033,847 bushels. During the five calendar years ending with 1941, annual importations averaged 533,000 bushels. In 1942 imports dropped to 202,066 bushels, but in 1943 rose again to 542,654 bushels. Dominion barley requirements are approximately 1,500,000 bushels annually, of which total local production supplies approximately two-thirds.

Efforts are being made to increase production of malting barley to the stage where New Zealand will be self-sufficient in this respect. A Barley Advisory Committee, comprising representatives of growers, maltsters, and the Fields Division of the Department of Agriculture, is working to this end.

POTATOES

The production of potatoes is usually adequate to meet the home market, and in the past a surplus was frequently available for export. The problem of the disposal of such surplus quantities in normal times is rendered difficult by import restrictions on Now Zealand potatoes entering Australia, although several thousand tons were admitted during 1940, following an exceptionally high average and aggregate yield from a comparatively small area. The acreage sown in 1940–41 (16,998 acres) was the lowest area to be recorded since 1892, the earliest date for which comparative statistics are available. Consequently, though the average yield per acre compared favourably with that of the previous ten seasons, the aggregate yield was insufficient to meet home requirements, necessitating the importation of a considerable quantity of Australian potatoes to help meet the deficiency. An even more unfavourable position obtained in 1941–42 when, owing to a further decrease in the area planted, it became necessary for the Government to adopt a method of systematic marketing of available supplies. However, in 1942–43 and 1943–44, farmers responded generously to appeals to grow more potatoes, the resultant yields being ample for all requirements.

The Dominion figures for the last five years are as follows:—

Year.Area.Total Yield.Yield per Acre.
 Acres.Tons.Tons.
1939–4020,033141,1057.04
1940–4116,99894,1235.54
1941–4215,20189,6045.89
1942–4323,860139,0445.83
1943–4427,178161,5125.94

The 194344 yield was made up of 111,907 tons of table potatoes, 36,492 tons of seed potatoes, and 13,113 tons of pig, &c., potatoes. The corresponding quantities in 1942–43 were 96,679 tons, 30,739 tons, and 11,626 tons.

Since 1936, special statistics of areas and yields of potatoes, classified according to varieties as well as by origin of seed planted (Government certified or otherwise) have been compiled annually. The following figures relating to the 1943–44 season cover 55 per cent. of the total potato acreage.

Name of Variety.Certified.Uncertified.Not stated.Totals.
Area.Total Yield.Yield per Acre.AreaTotal Yield.Yield per Acre.Area.Total Yield.Yield per Acre.Area.Total Yield.Yield per Acre.
 AcresTons.Tons.AcresTons.Tons.AcresTons.Tons.AcresTons.Tons.
Aucklander Short Top1,94611,4445.882,98314,8484.985302,7065.115,45928,9985.31
Dakota1751,3017.432,15612,4395.771114554.102,44214,1955.81
Arran Chief5075,52210.891,37411,7628.56452074.601,92617,4919.08
Inverness Favourite1241,0158.191,0437,1386.84985235.341,2658,6766.86
King Edward VII2111,7528.304142,6166.32543606.676794,7286.96
Arran Banner2541,6176.372051,1265.4918854.724772,8285.93
Gamekeeper and Northern Star......2901,6335.63......2901,6335.63
Aucklander Tall Top1127576.761076275.868445.502271,4286.29
Majestic Epicure171337.821015034.985234.601236595.36
Epicure13403.08713044.288324.00923764.09
Jersey Bennes11363.27602944.907375.29783674.71
Cliff's Kidney20884.40451924.27......652804.31
Up-to-Date5265.20361624.507314.43482194.56
Iron Duke1721912.88251626.484102.50403918.50
Dunbar Standard282518.962115.50......302628.73
Mixed and minor varieties1406914.946673,0094.511627964.919694,4964.64
Unspecified171076.292961,2394.194562,6475.807693,9935.19
Totals3,59724,9996.959,87558,0655.881,5137,9565.2614,98591,0206.07

“Government certified” seed is that for which a Government certificate has been issued in respect of purity, &c. Seed obtained from the ensuing crop cannot be so designated unless the requisite certificate is issued by the authorities.

The table plainly indicates the superior yielding-capacity of certified seed. Between. them, the three principal varieties—viz., Aucklander Short Top, Dakota, and Arran. Chief—for which separate figures were available averaged 7.0 tons per acre from certified seed and 6.0 tons per acre from uncertified seed. The advantage of 1 ton per acre in favour of crops from certified seed represents a yield-superiority of 17 percent. Over all varieties the corresponding advantage amounts to 1.1 tons and 19 percent. respectively.

ONIONS

Areas in and yields of onions for the last five years are as follows:—

Year.Area.Total Yield.Yield per Acre.
 Acres.Tons.Tons.
1939–408398,0259.56
1940–419038,2239.11
1941–428258,41810.20
1942–4396210,40110.81
1943–441,0238,4668.28

For many 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 in recent years exports have exceeded imports.

SUPPLEMENTARY FODDER CROPS

Although grass is the main crop of the farmer in New Zealand, at certain periods during the year the pastures need supplementing in order that the grassland may not become unduly exhausted, and also in order to maintain stock in a satisfactory condition. In mid-winter the grass is at a low stage of productivity generally, while under dry summer conditions it loses part of its nutritive value. During these periods, it is necessary that some extra feed should be provided, and this is usually done either by cutting the grass for hay or ensilage when there is an ample surplus on the pastures during the flush of the growing season, or by the provision of green fodder or root crops.

The following table gives detailed figures of the areas of the supplementary fodder crops available during each of the last five years.

Year.Chaff, Hay, or Ensilage.Green Fodder.Root and other Crops for feeding to Stock.Total Area of Fodder Crops.
Cereal Crops.Grasses and Clovers, including Lucerne.Cereal Crops.Other Crops.
 Acres.Acres.Acres.Acres.Acres.Acres.
1939–40164,657594,22170,236209,233417,3201,455,667
1940–41173,473575,12779,445222,189416,3561,466,590
1941–42144,874555,28683,097232,045387,1501,402,452
1942–43123,287488,91077,795234,969373,9851,298,946
1943–44120,270573,63288,200237,067400,2891,419,458

In 1943–44 grasses and clovers cut for hay or ensilage totalled 527,949 acres and lucerne 45,683 acres. Oats was the only cereal crop utilized in any quantity for this purpose, the area of oats cut for chaff, hay, or ensilage being 118,210 acres. The principal green-fodder crops, apart from oats, are rape (156,415 acres) and kale (including chou moellier) (69,532 acres). The last-mentioned crop is becoming increasingly popular for fodder purposes. Of the cereal crops fed-off to stock during the 1943–44 season, oats accounted for 71,025 acres of the total area (88,200 acres). Swedes and turnips are the principal root crops grown in the Dominion, the total area sown in this crop in 1943–44 being 393,243 acres (including 42,519 acres of turnips and rape mixed). Other root crops included 4,650 acres of mangolds and 440 acres of carrots and parsnips. Pumpkins and marrows were grown for fodder to the extent of 1,385 acres.

The total and per-acre yields obtained from the various crops cut for chaff, hay, or ensilage during the 1942–43 and 1943–44 seasons are shown in the next table. In the cases of grasses and clovers cut for hay or ensilage, second or catch crops are taken into account in the yield figures, the total yield including crops from areas which had previously yielded some other crop in the season concerned. These areas are not counted twice in the statistics of acreage, and average yields cannot be obtained by the .mere division of the total yield by the area figures.

Crop.1942–43.1943–44.
Total Yield.Yield per Acre.Total Yield.Yield per Acre.
 Tons.Tons.Tons.Tons.
Wheat2,3762.042,6171.79
Oats214,8841.77184,9851.56
Barley1,3502.279801.95
Maize4625.083153.42
Grasses and clovers for hay738,8801.89887,1801.87
Grasses and clovers for ensilage214,0283.79202,4203.82
Lucerne109,9382.57118,4062.59

GRASS-SEED

The total area of grasses and clovers cut for seed during the 1943–44 season was 141,612 acres, yielding 1,484,701 bushels of 20 lb., as against 1,343,096 bushels from 141,063 acres in 1942–43. Canterbury, Otago, and Southland land districts between them provided 90 per cent. of the area cut.

The areas and yields of the principal grass and clover crops harvested for seed during each of the five years 1939–40 to 1943–44 are given in the table following.

Year.Rye-grass.Cocksfoot.Chewings Fescue.Brown-top.Crested Dogs tail.Red Clover and Cow-grass.White Clover.
AREAS
 Acres.Acres.Acres.Acres.Acres.Acres.Acres.
1939–4050,73810,25513,90515,3493,7777,9778,841
1940–4177,8249,97715,0518,7504,11413,25220,141
1941–4265,69210,62413,9009,8404,50123,45825,513
1942–4348,38310,16914,97310,4873,00526,53026,360
1943–4467,37210,79712,0369,2634,94720,61514,985
YIELD
 lb.lb.lb.lb.lb.lb.lb.
1939–4015,997,2871,063,3942,051,828379,611614,7671,180,8871,038,162
1940–4126,792,9771,425,2272,552,255271,418639,2511,822,9182,341,443
1941–4220,949,0421,528,9102,407,346290,415717,2013,557,1452,819,422
1942–4315,439,4171,267,5432,681,369272,925445,5553,578,7363,019,745
1943–4421,520,4811,409,1391,676,557178,815720,2722,383,3891,624,396

A considerable export of grass-seed has been built up during recent years, especially with the United Kingdom, Australia, and the United States of America. The total quantity of locally-produced grass and clover seed exported to all countries in 1943 amounted to 90,720 cwt., with a recorded value of £665,113.

PASTURE GRASSES

At the beginning of the year 1944 there were 17,744,469 acres under artificially sown grasses (including 715,244 acres cut for seed, hay, or ensilage during the preceding season), and in addition approximately 13,850,000 acres of occupied land still remained in tussock or other naturally established native grasses, making a total of approximately 31,600,000 acres of grassland in occupation. 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.

Year.Artificially Sown Pasture Grasses.*Tussock and other Naturally Established Native Grasses.Total Area under Grass.*
Cut for Seed, Hay, or Ensilage.Not Cut for Seed, Hay, or Ensilage.

* Includes lucerne.

† Includes approximately 200,000 acres also sown with crops.

‡ Approximate.

 Acres.Acres.Acres.Acres.
1939–40706,36316,860,30013,937,73331,504,396
1940–41725,85817,011,72513,861,48931,599,072
1941–42710,31017,003,06813,869,33031,582,708
1942–43629,97317,246,32913,850,00031,700,000
1943–44715,24417,029,22513,850,00031,606,000

TOP-DRESSING (PASTURE LANDS)

The following figures, covering the year-1943–44, relate only to grassland top-dressed, fertilizers used in connection with field crops not being included.

Nature of Top-dressing.North Island.South Island.Dominion.
 Acres.Acres.Acres.
Artificial fertilizers only1,330,359140,7081,471,067
Lime only383,764345,919729,683
Both artificial fertilizers and lime917,300251,9151,169,215
Totals2,631,423738,5423,369,965

Top-dressing in New Zealand is carried out mainly on cattle-grazing areas, including, of course, dairy-farms; the North Island, which contains 87 per cent. of the Dominion's cattle, accounted in 1943–44 for 78 per cent. of the area top-dressed.

The following table shows particulars of areas of grassland top-dressed during the last five years.

Year.Area Top-dressed.
With Artificial Fertilizer only.With Lime only.With both Artificial Fertilizer and Lime.Total Area Top-dressed.
 Acres.Acres.Acres.Acres.
1939–402,764,295204,4781,218,5114,187,284
1940–412,923,378250,9721,474,9674,649,317
1941–422,324,136380,1451,508,0964,212,377
1942–431,574,786570,8471,324,4223,470,055
1943–441,471,067729,6831,169,2153,369,965

The decrease of 1,279,352 acres (28 per cent.) in the area top-dressed in 1943–44 as compared with 1940–41 is mainly the result of the cessation of supplies of rock phosphate from Nauru and Ocean Islands consequent upon the entry of Japan into the war. In the three years ended 30th June, 1940, the quantity of phosphate shipped to New Zealand from this source totalled approximately 987,000 tons, and the severance of the supply has created a serious problem leading to a system of rationing.

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.

GARDENS AND PLANTATIONS

The figures for market gardens, plantations, &c., for the last five years are shown below. State gardens and plantations are covered by these figures. It should be noted that the statistics relate only to holdings of 1 acre or upwards outside boroughs.

Year.Market Gardens.Nurseries.Private Gardens, &c.Plantations.
* Approximate.
 Acres.Acres.Acres.Acres.
1939–409,01883682,670839,906
1940–419,43293782,045852,196
1941–429,05082783,028857,933
1942–4311,29998283,000*851,258
1943–4416,08387183,000*859,737

The mobilization of large numbers of troops for home-defence purposes early in 1942, the presence of considerable numbers of Allied servicemen in New Zealand, and the demand for vegetables for members of the Allied Forces in the South Pacific, resulted in a considerable expansion in vegetable-production during the 1942–43 season. The full extent of this expansion cannot be accurately measured, as information concerning holdings of less than 1 acre or of areas inside borough boundaries is not available. The 1943–44 season saw a further large increase in the area under market gardens, due principally to extended areas being planted in vegetables for the Armed Forces.

The Commercial Gardens Registration Act, which came into force on the 1st May, 1943, provides for the compulsory registration of all areas of 1/2 acre or over of certain specified vegetables for sale for human consumption. The following vegetables are covered by the Act: Asparagus, bean, beetroot, brussels sprouts, cabbage, carrot, cauliflower (including broccoli), celery, cucumber, leek, lettuce, marrow, melon, parsnip, pea, pumpkin, radish, rhubarb, silver beet, spinach, squash, sweet corn, tomato.

ORCHARDS AND THE FRUIT INDUSTRY

A great impetus to the planting of fruit-trees was given by the discovery that tracts of land, principally in the Nelson land district, which formerly were regarded as being practically useless, were eminently suited for growing fruit, particularly apples. For a time, considerable areas of this and other land were annually added to the Dominion's orchards, but the acreage then declined until it became stabilized in the neighbourhood of 25,000 acres. However, a further decline set in after 1935–36, the 1942–43 figure of 19,190 acres showing a decrease of 5,882 acres as compared with the 1935–36 total. The 1943–44 figure, 19,196 acres, shows practically no change from the 1942–43 total. These figures refer to orchards of ¼ acre or over on holdings of 1 acre or more situated outside borough boundaries.

The following table shows the area outside borough boundaries which has been returned as under fruit-trees at each of the last ten annual enumerations.

     Acres.
1934–35    25,087
1935–36    25,072
1936–37    24,856
1937–38    22,397
1938–39    21,753
1939–40    20,899
1940–41    20,064
1941–42    19,544
1942–43    19,190
1943–44    19,196

A classification of orchard areas by size appeared in the 1942 issue of the Year-Book.

The Orchard-tax Act, 1927 (amended in 1933 and 1934), continuing legislation dating from 1916, provides for the levying in each year of a tax of 2s. per acre on commercial orchards, with a minimum tax of 5s. Of the proceeds, £850 is paid over to the New Zealand Fruitgrowers' Federation, and the balance credited to the vote of the Department of Scientific and Industrial Research for use as required in assisting the industry. Authority also exists for the imposition of a special orchard-tax in the case of apple, pear, and quince orchards in commercial fruitgrowing districts for the purpose of combating fireblight. Imposition is discretionary, however, on the part of fireblight committees elected by the fruit-growers in the various districts. The amount of the tax is at the discretion of the committees, and is collected at their request by the Department of Agriculture. Neither tax is payable in respect of any orchard with fewer than 120 fruit-trees.

Commercial orchards registered as at March, 1944, numbered 4,836, of which 2,156 were taxable and 2,680 non-taxable. The total orchard-tax payable in respect of the year 1943–44 was £1,853.

The New-Zealand-grown Fruit Regulations 1940 dealt with the grading, packing, and sale of fruit generally, and provided for the collection from growers by means of inspection-fee stamps of a levy of ½d. or ld. per case (according to the size of the case) of apples, pears, and lemons sold on the local markets. This levy remained in force until February, 1944, when it was abolished.

The growing of outdoor grapes is chiefly confined to the districts situated between the North Cape and. Hawke's Bay, the total area returned in vineyards in 1944 being 513 acres. The greater portion of the crop is used for winemaking, several wines of excellent quality being manufactured.

HOPS

According to returns covering holdings of 1 acre or over outside boroughs there were 546 acres under hop-vines in the season 1943–44.

Practically the whole of the hop gardens are located in Waimea County. Production per acre usually ranges between 1,200 lb. and 1,500 lb., and the aggregate crop is sufficient to satisfy local requirements as well as to provide a surplus for export. Exports during the five calendar years ending in 1943 were as follows:—

Year.lb.Value
  £
1939114,5416,818
1940156,3228,394
1941213,66622,853
194226,6493,301
1943181,72720,189

TOBACCO

Although the cultivation of tobacco-leaf on a commercial basis was initiated comparatively recently, the industry has made marked progress and growers are becoming increasingly familiar with the methods and plant required for the production of cured leaf acceptable to manufacturers. Commercial tobacco-growing is confined to those to whom licenses 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. For the production season 1943–44, 92 per cent. was flue-cured, and 8 per cent. air-cured.

Figures collected from occupiers throughout the Dominion of holdings of 1 acre or over situated outside boroughs show a total of 2,586 acres planted in tobacco in the season 1943–44. Contracts were signed in respect of 3,093 acres, the discrepancy between the two figures being accounted for in part by the difference between the area actually planted and the area contracted for, and in part by areas grown within boroughs.

The total leaf purchased from growers in 1943–44 amounted to 3,066,887 lb.

PHORMIUM

Large areas in various parts of New Zealand are covered with phormium, or New Zealand flax, the fibre of which is largely used for rope-making, &c. An area of 29,762 acres was returned as under phormium on occupied holdings in 1943–44.

During the year 1942–43, 32,621 tons of leaf were treated in flax-mills, as compared with 26,929 in the previous year. The value of products (fibre, tow, &c.) in 1942–43 was £119,407, as against £90,195 in 1941–42. Since 1934 a large wool-pack and sacking factory has operated at Foxton, thus providing a fresh avenue for fibre consumption.

LINEN FLAX

As a result of the exigencies of war, an entirely new industry was inaugurated in New Zealand—the growing of linen flax. Linen fibre is extensively used commercially, but assumed special importance as an essential war commodity. As the United Kingdom normally imported 90 per cent. of her requirements, mainly from Russia, attention was of necessity paid to the possibility of increasing Empire production.

Investigations in the growing of linen flax in New Zealand were first instituted in 1936, and much valuable research work was carried out by the Department of Scientific and Industrial Research in collaboration with the Department of Agriculture. These investigations demonstrated the possibility of the establishment of the industry in New Zealand, and led to an officer being sent abroad to study the industry at first hand and to purchase the necessary processing machinery for an experimental factory.

Though 403 acres of linen flax were grown in 1939–40, the industry was not established on a commercial basis till the 1940–41 season, when 13,118 acres were grown in response to a request received from the British Ministry of Supply that New Zealand should grow 15,000 acres. A request that sowings be further extended resulted in 20,200 acres being grown in 1941–42, followed by 21,067 acres in 1942–43. Owing to easement of the position and as a result of conversations with the British Ministry of Supply, it was decided to curtail the acreage in 1943–44, with the result that the area dropped to 9,755 acres. However, it is estimated that approximately 14,000 acres will be sown in 1944–45.

Factories, together with the required housing for workmen, have been erected at the main growing centres, and, where necessary, retting-tanks have been erected. All necessary machinery was manufactured and installed by the Railways Department; it included such items as turbine-scutchers, breakers, tow-shakers, deseeders, flax-carts, boilers, and tank-reticulation. In addition, the Department, in co-operation with a private firm, constructed one hundred flax-pullers.

Three methods of fibre-production were tried—(1) tank-retting, (2) dew-retting, and (3) natural flax, in which the straw undergoes no processing beyond scutching. The first method, tank-retting, proved to have many superior features over the other methods, and it was decided to extend facilities and to adopt this method wherever possible. Only when the quantity of straw is greater than can be handled through the tanks is dew-retting resorted to, this method in turn proving greatly superior to the other alternative, natural flax.

During the year 1943, 51,895 cwt. of linen flax (fibre and tow), valued at £446,337, was exported, while in 1944 the quantity was 54,288 cwt., and the value £511,758.

SUBSECTION C—PASTORAL PRODUCTION

SUMMARY OF LIVE-STOCK

The numbers of live-stock of various kinds at each of the last five annual enumerations were as shown in the following table. Detailed statistics of live-stock, by counties and land districts, are contained in the Statistical Report on Agricultural and Pastoral Production issued annually by the Census and Statistics Department. This' publication also contains the summary tables appearing in parliamentary paper H.–23, which is devoted exclusively to a statistical analysis of the annual sheep returns. The collection of these returns was suspended in 1942 and 1943, but has now been resumed. It should be noted that, unless otherwise stated, the statistics quoted in the tables in this subsection relate to holdings of 1 acre or upwards situated outside borough boundaries.

1910.1941.1942.1943.1944.

* Includes boroughs and holdings under 1 acre.

† Not available.

Horses258,567253,052248,597236,455225,823
Dairy-cows in milk1,719,2891,759,0181,756,6541,714,9591,647,920
Cattle (including dairy cows)4,496,0674,538,9084,604,7494,447,5484,439,258
Sheep shorn during season29,041,53828,764,76229,225,59929,636,33129,799,229
Lambs shorn during season4,119,2704,534,8544,589,0644,869,8845,039,760
Lambs tailed during season17,229,569.18,385,77218,523,29018,864,89218,421,936
Sheep (including lambs) as at 30th April*31,062,87531,751,66033,200,298
Breeding-ewes as at 30th April*19,727,65720,030,93320,549,716
Pigs (total)706,340761,519681,016604,574573,362
Breeding-sows92,02999,64890,60882,02377,281

In the following tables the figures of live-stock are given for each land district. Horses, dairy cows in milk, total cattle, sows, and total pigs are as at 31st January, 1944. Sheep shorn, lambs shorn, and lambs tailed are for the season 1943–44, while breeding-ewes and total sheep are as at 30th April.

Land District.Horses.Dairy Cows in Milk.Total Cattle.Breeding-sows.Total Pigs.
North Auckland27,561353,988746,17616,263124,528
Auckland43,698571,2601,184,07129,213211,463
Gisborne12,88944,614353,9662,87619,804
Hawke's Bay14,70050,151348,2642,34316,786
Taranaki13,898215,223394,1587,25355,367
Wellington30,408211,757820,3189,99269,105
Marlborough4,68312,62345,5197545,583
Nelson4,06929,92769,8091,92515,206
Westland1,51211,56445,2546545,752
Canterbury32,43059,657164,9184,09532,385
Otago21,45034,255111,1431,26711,246
Southland18,52552,901155,6626466,137
Totals225,8231,647,9204,439,25877,281573,362
Land District.Sheep shorn.Lambs shorn.Lambs tailed.Breeding-sows.*Total Sheep.*
* Includes boroughs and holdings under 1 acre
North Auckland1,189,576293,511668,113777,0861,252,100
Auckland2,967,637854,9872,022,0722,039,5773,101,217
Gisborne2,156,953811,9391.049,1751,298,3812,317,525
Hawke's Bay3,977,767792,1692,375,4082,858,1104,541,337
Taranaki923,701292,844591,096590,014931,193
Wellington6,574,1291,858,1453,982,0124,217,2286,867,186
Marlborough970,88640,114419,732589,4781,065,587
Nelson393,57414,746175,753253,944450,651
Westland71,1684,22857,63959,11379,869
Canterbury4,378,67961,1232,880,2793,347,7365,312,735
Otago3,390,4329,5561,971,8422,318,8683,962,244
Southland2,804,7276,3982,228,8152,200,1813,318,594
Totals29,799,2295,039,76018,421,93620,549,71633,200,298

The next table shows the proportion per cent. of the various kinds of livestock in each land district. The figures show that the dairying and beef-production industries are both largely monopolized by the North Island, which has 87 per cent. of the total cattle and 88 per cent. of the dairy cows. Localizing the dairying industry still further, it is found that over half of the milking-cows in the Dominion are in the area comprised of the land districts of North Auckland and Auckland. Taranaki and Wellington are relatively and practically equally important as regards the number of cows in milk; between them they account for over one-quarter of the Dominion total.

Taking the number of cows other than dairy cows as a guide to beef-production, Wellington Land District easily leads with nearly one-quarter of the Dominion total. Gisborne is second, followed by Auckland, Hawke's Bay, and North Auckland, in that order. These five districts together depasture 83 per cent. of all cows reserved for beef-production.

Pig-farming is largely an adjunct of dairy-farming, and consequently the distribution of swine closely follows that of dairy cattle. Taranaki, however, which is mainly a cheese-producing district, has 13.1 per cent. of the Dominion's dairy cows, but only 9.7 per cent. of the pigs, while Canterbury, with only 3.6 per cent. of the dairy cows, has 57 per cent. of the pigs.

Sheep-farming is more evenly distributed between the North and South Islands. The land districts of major importance are Wellington, Canterbury, Hawke's Bay, Otago, and Southland, in that order, these five districts accounting for 72 per cent. of the total sheep population.

The location of each class of live-stock according to land districts is now given in percentage form.

Land District.Dairy Cows, Two Years Old and over (in Milk).Cows and Heifers, Two Years Old and over (other than for Dairying).Total Cattle.Breeding-sows.Total Pigs.Total Horses.Sheep shorn.*.Lambs tailed.*Breeding-ewes.*Total Sheep.*
* Sheep shorn and lambs tailed during season, breeding-ewes and total sheep as at 30th April, remaining particulars for stock as at 31st January.
North Auckland21.489.8710.8121.0421.7212.213.993.633.783.77
Auckland34.6010.7020.0737.8030.8819.359.9610.989.939.34
Gisborne2.7117.027.973.723.405.717.245.706.326.98
Hawke's Bay3.0415.047.853.032.936.5113.3512.8913.9113.68
Taranaki13.004.198.889.389.600.153.103.212.872.81
Wellington12.8524.0318.4812.9312.0513.4722.0621.6220.5220.68
Marlborough0.771.331.030.980.972.073.202.282.873.21
Nelson1.821.021.572.492.051.801.320.951.241.36
Westland0.701.171.020.851.000.070.240.310.290.24
Canterbury3.623.313.715.305.0514.3014.6915.6316.2916.00
Otago2.082.352.501.641.969.5011.3810.7011.2811.93
Southland3.213.313.510.841.078.209.4112.1010.7010.00

SHEEP

The number of sheep at the 30th April, 1938, totalled 32,378,774, this being; the highest figure recorded up to that time. The two succeeding years were characterized by heavy slaughterings, which, together with a particularly severe winter in 1939, resulted in a decrease of 1,315,899 over the two years. A substantial improvement in 1941 resulted in an increase of 688,785, the number as at 30th April, 1941, being: 31,751,660. The collection of returns of sheep was not carried out in 1942 or 1943: owing to staffing difficulties, &c., arising out of the war, and consequently comparable-figures for those years are not available. However, the numbers of sheep shorn, lambs-shorn, and lambs tailed in the 1941–42 and 1942–43 seasons each constituted record' figures, and it was inferred that the total number of sheep also increased during that period. This inference would appear to be justified by the results of the collection at 30th April, 1944, the total number of sheep at that date being 1,448,638 above the 1941 figure, and constituting a new record. This increase, however, may be offset to some extent by the fact that killings subsequent to 30th April, 1944, were somewhat. heavier than usual.

In the following table showing sheep distribution by Islands, the Chatham Islands are included in the South Island, as they form portion of the Canterbury-Kaikoura Sheep District. The figures include sheep in boroughs and on holdings under 1 acre.

Year.North Island.South Island.Total Sheep at 30th April.
193214,946,98713,744,80128,691,788
193314,954,02912,801,93727,755,966
193415,264,58813,384,45028,649,038
193515,749,01613,327,73829,076,754
193616,371,84413,741,86030,113,704
193717,065,13514,240,68331,305,818
193817,705,99914,672,77532,378,774
193917,509,22214,387,86931,897,091
194017,075,05613,987,81931,062,875
194117,862,33013,889,33031,751,660
194418,899,65614,300,64233,200,298

The following table shows the number of rams, wethers, breeding-ewes, dry ewes, and lambs in the Dominion for the last five years for which figures are available.

Year.Rams.Wethers.Breeding-ewes.Dry Ewes.Lambs.Totals.
Stud Sheep (entered in Flock-book)
193812,261..266,7247,588195,045481,618
193913,278..268,2577,729190,189479,453
194012,273..262,4675,939188,556469,235
194113,256..259,6817,262180,251460,450
194413,524..301,2836,667217,340538,814
Sheep of a Distinctive Breed but not entered in Flock-book
1938506,5701,171,3225,105,228298,3572,254,8479,336,324
1939526,3141,183,0365,333,119301,5502,231,1339,575,152
1940524,3101,045,8465,026,022281,0531,907,5038,784,734
1941541,995921,1904,115,141251,7291,661,2947,491,349
1944526,3971,121,5875,966,993328,4742,306,62910,250,080
Crossbred Sheep
19383,5291,723,39514,291,914728,6325,813,36222,560,832
19394,0341,632,02214,358,923565,9065,281,60121,842,486
19404,5371,388,74014,439,168678,5585,297,90321,808,906
19415,2741,468,94015,656,111663,6426,005,89423,799,861
19444,0621,484,51814,281,440758,1515,883,23322,411,404
Totals
1938522,3602,894,71719,663,8661,034,5778,263,25432,378,774
1939543,6262,815,05819,960,299875,1857,702,92331,897,091
1940541,1202,434,58619,727,657965,5507,393,96231,062,875
1941560,5252,390,13020,030,933922,6337,847,43931,751,660
1944543,9832,606,10520,549,7161,093,2928,407,20233,200,298

The average size of the flocks was 1,015 in 1938, 992 in 1939, 962 in 1940, 979 in 1941, and 1,007 in 1944. A classification according to size shows the following position.

Size of Flocks.1938.1939.1940.1941.1944.
1 to 2007,1437,4757,9497,8007,350
201 to 5007,6827,7897,6567,7357,472
501 to 1,0007,4767,4617,4117,4177,772
1,001 to 2,5006,9036,7886,7346,8957,670
2,501 to 5,0001,9441,8811,8291,8532,002
5,001 to 10,000596588563580571
10,001 to 20,000141140127132121
50,001 and over2421182115
Total flocks31,90932,14332,28732,43332,973

The numbers of different classes comprising the flocks in April, 1944, were as follows:—

Breed of SheepStud Sheep entered in Flock-bookSheep of a Distinctive Breed not entered in Flock-bookTotals
Merino19,926787,546807,472
Lincoln3,27437,02040,300
Romney271,8275,695,3265,907,153
Border Leicester12,65129,39942,050
English Leicester13,84815,14728,995
Shropshire7693,1903,959
Southdown155,681230,166391,847
Corriedale43,8771,181,0131,225,490
Ryeland7,8664,54312,409
Half-bred5,9042,250,3062,262,210
Dorset Horn2,2471,2353,482
Cheviot4912,3062,797
Sussex..44
Suffolk445193638
Kerry Hill87886
Devon..11
Polwarth..11
Crossbred rams..4,0624,062
Totals538,81410,254,14210,792,956
Flock sheep: Crossbreds and others not otherwise enumerated....22,407,342
Grand total538,81410,254,14233,200,298

WOOL-PRODUCTION

Although seventh in order in size of actual flocks, in point of production of wool New Zealand is the fourth largest in the world and ranks third in the list of principal exporting countries. With the exception of a small annual' consumption by local woollen-mills (from 7,000,000 lb. to 8,000,000 lb. prior to the outbreak of war, but at present double that quantity) the whole of the wool produced in New Zealand is exported.

The following are the figures of estimated production in each of the last ten seasons.

Year ended 30th June,Estimated Production
 lb
1935265,000,000
1936304,300,000
1937302,900,000
1938296,800,000
1939327,700,000
1940310,000,000
1941331,500,000
1942345,000,000
1943340,000,000
1944330,000,000

The above estimates have been obtained by a consideration of all available statistical information, and have been computed on a greasy basis.

The Wool Industry Act, 1944, which came into operation on 11th January 1945, provides for the establishment of the New Zealand Wool Board of ten members, this Board replacing the New Zealand Wool Council established under the Wool Industry Act, 1936, which the present Act repeals. The Board's principal concern is the promotion of the wool industry, particularly in regard to markets, scientific and industrial researches 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 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 the Dominion functioning on similar lines. For the purpose of providing funds to enable the Board to carry out its functions, the Act provides for a levy on all wool produced in New Zealand, the rate of the levy to be fixed each season by the Board.

CATTLE

The total number of cattle recorded at the enumeration of 1944 was 4,439,258, as against 4,447,548 in 1943. The figures for 1944, grouped according to the classification in use, are as follows:—

Dairy cows and heifers, two years old and over— 
Cows in milk during season1,647,920
Heifers not yet in milk120,413
Cows dry during season50,922
Other cows and heifers, two years old and over749,085
Heifers one and under two years old— 
Intended for dairying305,250
Other181,053
Heifers under one year old— 
Intended for dairying324,658
Other199,279
Steers and bulls of all ages860,678
Total4,439,25

Most of the leading breeds of the cattle of Great Britain are represented in the Dominion by herds bred on sound lines. For some time prior to 1933 the development of the beef breeds was somewhat checked, partly owing to the advance taking place in dairying operations and partly through the difficulties of competing with other-countries in the British market; but the successful inauguration of chilled beef shipments to the London market led to a marked increase in beef animals. Although the war-time arrangement for the purchase by the United Kingdom Government of New Zealand meat available for export does not include chilled beef, the schedule of prices is so framed that the producers of animals of the type required for the chilled-beef trade will not suffer on account of the temporary cessation of the industry. A condition of the long-term contract for the purchase of meat by the United Kingdom Government, referred to on page 226, is that the chilled-beef trade is to be progressively resumed as and when the shipping position permits.

Up to 1935 the breeding of dairy cattle made great progress in New Zealand. Since that date, however, with the exception of 1941, when a slight increase was recorded, a series of successive decreases has been experienced. The 1944 total of dairy cows in milk during the season (1,647,920) represents a decrease of 67,039 as compared with 1943, and a decrease of 159,457 below the 1935 total. Based on the figures of young dairy replacement stock, which in 1944 showed an increase of 22,297 as compared with 1943, it would appear that the present trend may be arrested somewhat in 1945.

The Government has inaugurated a number of measures with a view to stimulating dairy production. These include the payment of a wage-cost allowance to increase the labour reward to both workers and owners, a farm-costs allowance, a subsidy for the rearing of heifer calves, a rural housing scheme, priority to dairy-farmers in the allocation of additional supplies of fertilizers, and the setting-aside of a certain amount of a farmer's income to be used for maintenance purposes when labour and materials become available.

DAIRY-PRODUCE

The Dairy Industry Act, 1908 (a consolidation of previous legislation), with its amendments, may in general terms be described as an Act to regulate the production, collection, treatment, preparation, and manufacture, under-proper sanitary conditions, of dairy-produce—i.e., milk, cream, butter, cheese, and any other product of milk or cream—intended for sale for human consumption within New Zealand or for export.

Inspectors are empowered to inspect premises used for the production or manufacture of dairy-produce. Any defects affecting the cleanliness and sanitation of the premises, or of the plant, machinery, and apparatus used in connection therewith, may be ordered to be remedied to the satisfaction of the inspector, and until so remedied their use in the production of dairy-produce may be forbidden. Inspectors are authorized to condemn any dairy-produce considered unfit for human consumption, and the sale of unwholesome milk or other dairy-produce is prohibited.

Milk or cream purchased for the manufacture of dairy-produce and paid for according to the percentage of butterfat contained therein must hare this percentage determined by the Babcock or the Gerber test. Dairy factories are required by regulations under the Act to pay different prices for different grades of milk or cream supplied for the manufacture of dairy-produce. Factories are also required to furnish to suppliers a certified annual statement of overrun, and provision is made for an independent investigation by the Audit Department where a supplier is dissatisfied with the statement received.

Dairy-produce intended for export must be sound and wholesome in all respects, and must comply with the requirements of the Act, as to inspection, grading, and marking. The export of butter containing more than 16 per cent. of water or less than 80 per cent. of butterfat is prohibited. The export of cheese of which the water-free substance consists of less than 50 per cent. of fats wholly derived from milk is also illegal.

Wide powers are conferred to make regulations prescribing matters of detail with regard to the production, manufacture, sale, and export of dairy-produce. In particular, regulations may be made for the registration of dairies, the licensing of persons carrying on the manufacture of dairy-produce, the registration of brands to be used on dairy-produce, and for the inspection, grading, packing, marking, stamping, and labelling of dairy-produce.

Comprehensive regulations covering all phases of the industry, as regards both “supplying” dairies and manufacturing dairies, are contained in the Dairy-produce Regulations 1938, gazetted on the 28th July, 1938, and consolidating all previous regulations on the subject.

The Dairy Supply Control Order 1940 made it illegal for a supplier of milk to a cheese-factory to transfer his supply to any other concern, but permitted a supplier who had been supplying milk or cream to a creamery to transfer his supply to a cheese-factory. Under the previous regulations no transfer of supply was permitted during any particular season without the antecedent consent in writing of the owner or manager of the factory formerly supplied. The object of the change in regulations was to assist towards an increased cheese-production, which had been the subject of a special request by the United Kingdom Government.

Owing to the increase in supplies of cheese from other sources, the United Kingdom Government requested that the 1942–43 season's production be reduced to 90,000 tons with a consequential increase in butter-production. Accordingly now and amending regulations were embodied in the Dairy Supply Control Order 1942, which provided, inter alia, for the transfer of a number of suppliers from cheese-factories to creameries, the Order becoming effective as from 1st August, 1942. To compensate for inevitable losses incurred and sacrifices made both in the change-over to cheese and in the reversion to butter-production, a special payment of 1 ½ d. per pound of butterfat for the 1942–43 season's export was made to those suppliers so affected. The United Kingdom Ministry of Food agreed to assist to meet the costs from the change-over by increasing the purchase-prices per hundredweight by 4s. 6d. sterling for creamery butter and 3s. sterling for cheese.

An impetus to the production of dry butterfat was given by the erection of a large plant at Auckland, capable of handling approximately 10,000 tons yearly. Dry butterfat, which can be simply converted into butter, has the advantage that it does not require refrigerated space for shipment, an important factor during the acute-period of shipping shortage.

The Dairy Industry Act provides for the registration of co-operative dairy companies. Companies so registered are authorized to accept or to compel the surrender of shares issued in certain cases, subject to the rights of shareholders being safeguarded. A dairy company must not include in its registered name the word “co-operative” unless it is entitled to be registered as a co-operative dairy company under the Act.

Production of Dairy-produce.

The quantity of butterfat supplied to dairy factories during 1943–44 was 334,025,357 lb., as compared with 353,895,552 lb. in the previous-year, a decrease of 6 per cent. The following table shows factory-production of butter and cheese during each of the last five years.

Factory YearCreamery Butter.*Whey ButterCheese
* Including whey butter where not separately enumerated.
 CwtCwtCwt
1939–403,103,79751,3091,952,748
1940–413,236,17367,0902,447,411
1941–422,597,07278,1973,153,181
1942–432,781,65258,1542,056,930
1943–442,673,00354,9321,842,957

Some indication of the extent of the change-over from butter to cheese and of the reversion later to butter, which was referred to earlier in this subsection, is afforded by the following table.

Percentage of Total Butterfat supplied
1939–401940–411941–421942–431943–44
Butterfat for—Per CentPer CentPer CentPer CentPer Cent
   Buttermaking76.272.862.772.874.1
   Cheesemaking22.926.436.125.724.3
   Condensed and dried milk, &c0.90.81.21.51.6
Totals100.0100.0100.0100.0100.0

Estimates of the production of butterfat per cow are made each year by the Department of Agriculture. The figures represent the butterfat content of milk-production “at the pail,” including the butterfat content of milk fed to stock, spilt, wasted, &c. The following table shows the estimated yield per cow and the estimated total production of butterfat for each of the last twelve seasons.

SeasonEstimated Yield per Cow In MilkTotal Butterfat-production
 lbMillion lb
1932–33230397.1
1933–34235426.7
1934–35224409.9
1935–36236430.9
1936–37252455.8
1937–38243428.4
1938–39231402.4
1939–40251436.6
1940–41265471.5
1941–42248439.9
1942–43236409.6
1943–44232387.8

The following diagram shows the progress of the dairy industry during the last forty years, and also illustrates the disparity between the growth in the number of dairy cows and that of pigs.

Marketing of Dairy-produce

Prior to legislation enacted in 1936, the dairy industry was controlled by the New Zealand Dairy Board, which consisted of three Government nominees, three representatives of owners of dairy factories, and one appointee of the New Zealand Co-operative Dairy Co., Ltd. Under the Primary Products Marketing Act, 1936, control was vested in the Minister of Marketing. The Primary Products Marketing Department was established, and, under the control of the Minister, was charged with the administration of the Act. By an amendment passed in 1939, the title of the Department was changed to the Marketing Department. The Department took over the main functions of the New Zealand Dairy Board, and also the greater part of the Board's staff in New Zealand and London.

The present functions of the New Zealand Dairy Board, which now consists of five members, are confined to the internal side of the dairy industry and to herd-testing. Its levy was increased in 1939 from Ė d. per pound on butter and from 1/200d. to 1/100 d. per pound on cheese manufactured. The proceeds are used to subsidize dairy-research work.

Reference is made earlier in this section to special arrangements made by the United Kingdom Government for the purchase of New Zealand butter and cheese.

PIGS

For some years prior to 1937 a quickening of interest in pig production as an adjunct to dairy-farming raised pig numbers considerably above those noted previously, culminating in the record figure of 808,463 in 1936. However, a decline set in over the next three years, a small decrease in 1937 being followed by successive decreases of 46,000 and 73,000 in 1938 and 1939. Though the 1940 and 1941 figures showed increases of 30,538 and 55,179 respectively, these were practically offset by a decrease of 80,503 in 1942. Further decreases of 76,442 and 31,212 in 1943 and 1944 bring the total pig population to its lowest ebb since 1932.

As at 31st January,Pigs under Six Months OldPigs Six Months and under One Year OldBoars One Year Old and overSows One Year Old and overTotal Pigs
1940441,481154,75118,07992,029706,340
1941475,406168,77817,68799,648761,519
1942439,228135,00316,17790,608681,016
1943507,50215,04982,023604,574
1944481,92714,15477,281573,362

Although developments in pig production up to 1936 were distinctly promising, there was still a tremendous leeway to be made up before New Zealand reached the stage of development achieved by many other prominent dairying countries in this respect. The declines from 1936 to 1939 and from 1942 to 1944, following the movement of the dairy-cow population, added to the discrepancy. A table showing the relationship existing between the numbers of pigs and of dairy cows in the more important countries appeared in the 1942 issue of the Year-Book.

LIVE-STOCK SLAUGHTERING: Sheep and Lambs

Figures showing sheep and lambs slaughtered for food purposes during the last five March years are given in the table following.

Year ended 31st March,Slaughterings—
At Abattoirs and SlaughterhousesOn Farms.*Total

* Year ended 31st January.

† Approximate.

Sheep
 Number.Number.Number.
19403,879,694565,4824,445,170
19414,610,303537,8675,148,170
19424,090,621542,4164,633,037
19433,769,896540,0004,309,896
19444,001,870540,0004,541,870
Totals for five years20,352,3842,725,765f23,078,149
Lambs
194010,094,53165,53210,160,063
194111,972,41063,67312,036,083
194211,631,95568,94211,700,897
194311,186,08065,00011,251,080
194410,540,88065,00010,605,880
Totals for five years55,425,856328,147f55,754,003

As the United Kingdom in normal times provided practically the only market for the mutton and lamb exported from New Zealand, it is interesting to note the extent to which the Dominion contributes to this market in comparison with importations from other countries.

During the five calendar years up to 1939, New Zealand supplied an average of 62 per cent. of the total frozen mutton imported into the United Kingdom and 52 per cent. of the total imports of frozen Jamb. Thus it can be seen that New Zealand holds a dominant position in the supply of these commodities. United Kingdom imports from Australia, the next largest supplier, averaged 23 per cent. and 27 per cent. respectively for the same period.

Cattle

New Zealand mutton and lamb form a substantial proportion of the meats imported into the United Kingdom, but the Dominion's frozen beef competes under difficulties with chilled and fresh beef from countries nearer the United Kingdom, with the consequence that New Zealand's share of the United Kingdom's beef imports is relatively small. However, prospects for expansion brightened considerably when several trial shipments of New Zealand chilled beef were despatched to England in 1933. The experiments proved very successful, and were followed by larger shipments. In 1934 approximately 40,000 cwt. were forwarded to the United Kingdom, and each succeeding year witnessed a steady expansion of the trade, the quantity shipped in 1938 being 350,606 cwt. During the first nine months of 1939, 311,112 cwt. were exported; but, with the outbreak of war, the necessity for conserving shipping-space resulted in the temporary cessation of the industry.

The development of the expect trade in chilled beef was Dot at the expense of frozen beef. Quantities of frozen beef shipped to the United Kingdom in 1937, 1938, 1939, and 1940 were 531,160, 544,764, 672,310, and 1,290,579 cwt. respectively, as compared with 484,628 cwt. in 1936.

The following table, which is exclusive of vealers, shows the number of cattle slaughtered for food purposes in each of the last five years.

Year ended 31st March,Slaughterings of Cattle—
At Abattoirs and SlaughterhousesOn Farms.*Total

* Year ended 31st January.

† Approximate.

 NumberNumberNumber
1940595,0464,813599,859
1941723,9234,322728,245
1942627,0683,967831,035
1943765,0213,650768,671
1944693,6493,650697,299
Totals for five years3,404,70720,4023,425,109

Pigs

During the five years ended the 31st March, 1944, 4,244,970 pigs were slaughtered at abattoirs, bacon-factories, and registered slaughterhouses, and during the quinquennium to the 31st January, 1944, 115,618 were slaughtered by farmers on holdings of 1 acre or over, the total slaughterings during the five years representing 4,360,588 carcases. The figures for each year are:—

Year ended 31st March,Slaughterings of Pigs
At Abattoirs, &cOn Farms.*Total

* Year ended 31st January.

† Approximate.

 Number.Number.Number.
1940799,54927,845827,394
1941969,36421,662980,926
1942981,13822,2111,003,349
1943819,37122,000841,671
1944685,24822,000707,248
Totals for five years4,244,970115,6184,360,588

As in the case of other frozen meats, New Zealand pork in normal times is shipped almost exclusively to the United Kingdom. During the five years 1936 to 1939 imports of New Zealand frozen and chilled pork into the United Kingdom Averaged 536,075 cwt., or 52 per cent. of the total imports of this class of pork. These figures illustrate the important position held by New Zealand as a supplier.

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 normally supplies a substantial proportion of the imports of frozen and chilled pork into the United Kingdom, her contributions of bacon are negligible. It should be mentioned, however, that the major portion of the carcases imported from New Zealand are “baconers,” the curing process being carried out in the United Kingdom.

Calves

Prior to the outbreak of the present war veal production was displaying evidence of rapid development, and exports of veal had increased appreciably, mainly as a result of the organization of the “bobby” calf trade.

The following table gives particulars of slaughterings for the last five years.

Year ended 31st March,Slaughterings of Calves—
At Abattoirs and SlaughterhousesOn Farms.*Total

* Year ended 31st January.

† Approximate.

 Number.Number.Number.
19401,055,3295,0081,060,337
19411,064,9603,4141,068,374
19421,027,9974,0341,032,031
19431,040,3944,0001,044,394
19441,042,2014,0001,046,201
Totals for five years5,230,88120,4565,251,337

Production and Disposal of Meat, 1943–44 Season

The following statement, which has been taken from the 1943–44 Annual Report of the Marketing Department (Export Division), shows the production and disposal of each class of meat killed at export slaughterhouses during the 1943–44 season. As stated earlier, the United Kingdom in normal times provided practically the only market for New Zealand frozen meat, but factors arising out of the war have resulted in considerable quantities being diverted elsewhere.

DisposalTotal Production (Net Weight)
CanningDehydrationUnited States Joint Purchasing BoardNew Zealand ArmyLocal MarketShipments to United Kingdom and Middle East
 Tons.Tons.Tons.Tons.Tons.Tons.Tons.
Lambs....7,8963512150,003157,946
Wethers....1,804522113,97315,850
Ewes........9946,10346,202
Quarter beef....25,912700..1,76228,374
Boneless—
   Cow and ox17,048..2,182......19,230
   Bull..1,548......1,9923,540
   Veal..650....2025,9536,805
Veal sides....975......975
Baconers....3,4785353,6302,50010,143
Porkers....6,9695050157,084
Choppers....238..446..684
Offal....2,581..2486,6619,490
Totals17,0482,19852,0351,3724,708228,962306,323

Meat-export Control

The New Zealand Meat-producers' Board was constituted under the provisions of the Meat-export Control Act, 1921–22. It consists of eight members—five representing the producers of meat for export, two representing the Government, and one representing the stock and station agents. Briefly, its objects are to control the export of meat in the interests of the producers.

Important functions of the Board include supervision of grading, inspection of loading and unloading of vessels, advertising abroad, trial shipments to new markets, scientific survey work, and grants to the Royal Agricultural Society and other bodies to encourage production of suitable export types of lambs, pigs, &c.

The Board has taken an active part in the development of the chilled-beef industry and has also encouraged the expansion of the pig industry by grants to recording clubs, and in other directions.

Immediately on the outbreak of war the Board placed its whole organization, both in New Zealand and in London, at the disposal of the Government, and was closely associated with the negotiations for the purchase and sale of New Zealand meat.

HORSES

Since 1911, when the peak number of 404,284 was recorded, horses have tended to decline numerically. The foregoing figure included horses in boroughs; and totals on a similar basis in 1916, 1921, and 1926 were 371,331, 337,259, and 314,867 respectively. The census of 1926 showed that 13,014 horses were in boroughs, but no similar count has since been made.

The following table gives numbers of horses by classes recorded during the last five years, excluding horses in boroughs, figures for which, are not available.

19401941194219431944
* Not available
Draught and three-quarter draught122,245121,411118,054**
Spring-cart (including half-draught)48,56146,20844,586**
Hacks and light working horses73,22771,28971,509**
Thoroughbred and other horses14,53414,14414,448**
Total horses258,567253,052248,597236,455225,823

A slight decline recorded between 1933 and 1934 in the classes of draught, three-quarter-draught, and half-draught horses was more than made up in the ensuing four years, during which period draught and three-quarter-draught animals increased by 5,383. The 1939 figure, however, showed a decrease of 1,243, followed in 1940, 1941, and 1942 by further successive decreases of 1,349, 834, and 3,357. This decline in the number 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 1942 being 13,967, as compared with 6,585 five years earlier.

POULTRY

Poultry statistics have been 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. No comparative data are therefore available, but there is no reason to suspect that the degree of accuracy in recording the poultry of Maoris differs sensibly from that experienced in the case of Europeans. The total poultry flocks of the Maoris are small (107,361 birds in all), and their omission from the field of earlier censuses does not appear to have been of significance.

The following table shows the numbers recorded at the last six censuses.

CensusFowlsDucksGeeseTurkeysTotal
19062,784,269281,99944,30077,1013,187,669
19113,215,031329,23045,38997,9333,687,583
19163,141,354220,80846,95556,5213,465,638
19213,491,567379,98846,23473,2203,991,009
19263,308,384352,03043,87976,8523,781,145
1936 (excluding Maori flocks)3,415,793351,60861,41882,8963,911,716
1936 (including Maori flocks)3,488,516377,79166,66786,1024,019,076

Although the total number of birds as disclosed by the 1936 census was the highest yet recorded, the number per head of population has declined steadily since 1911, and the 1936 figure (2.6) is the lowest since the census of 1864.

Although poultry-farming may be regarded as a definite branch of the farming industry, a classification as to the sizes of flocks indicates that poultry-keeping is generally carried on merely as a side-line. At the census of 1936 there were 165,949 households keeping fowls or ducks, and of these 134,148, or 30.8 per cent. had less than twenty-five birds, while 65,669 households (39.6 per cent.) kept less than a dozen birds. At the other end of the scale it was found that the number of flocks containing more than 100 birds amounted to 3,219 only, or a little under 2 per cent. of the total. There were 194 flocks of 1,000 or over, and of these 62 were situated in Canterbury, 45 each in Auckland and Wellington, and 23 in Otago. Canterbury is the centre of the wheatgrowing industry, and this fact doubtless accounts in part for the number of large flocks and the high average number of birds in the flocks of that district.

The number of poultry kept in cities, boroughs, and town districts shows a considerable decline on the number returned at the census of 1926. The increasing tendency towards the use of flats, and the closer settlement of towns, &c., have contributed largely towards the decrease in urban districts.

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 December, 1933. The Act makes compulsory the annual registration of every poultry-run, which is defined as land used for the keeping of not less than twenty-five head of poultry (hens and ducks not less than six months old) and the production of eggs for sale. The fee payable annually for registration is 2s. 6d. if the flock is in excess of twenty-four but does not exceed one hundred head. For each additional hundred (or part thereof) an additional 2s. 6d. is payable. A Board is constituted for the administration of the Act. Figures supplied by the Board show that the number of poultry-runs registered at 31st May, 1945, was 18,233, covering an aggregate of 2,312,834 birds.

The Egg Marketing Emergency Regulations 1942 empowered the Minister of Marketing to declare any specified area to be a special egg-marketing area and to control the sale or purchase of eggs within such an area. These powers were extended by amending regulations to cover all parts of New Zealand.

BEES

The rich dairy pastures of the Dominion and localities where cattle raising is carried on extensively are particularly favourable for apiculture and the production of high-grade honey for the local and export markets. The export trade is, of course, small when compared with the main primary industries, but is capable of considerable development.

The Apiaries Act, 1927, which came into operation on the 1st January, 1928, was passed to consolidate and amend the law relating to the bee industry. 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 appliances used in connection with the keeping of bees and the harvesting of their products, is prohibited, save with the prior consent of the Minister of Agriculture.

Registrations under the Apiaries Act show that as at the 30th June, 1944, 8,904 apiaries and 132,497 colonies were registered.

YearQuantity.Value.
 lb.£
1939440,19912,376
1940957,41531,387
1941913,76032,376
19429,012415
194316,456801

A system of control on much the same lines as in the case of meat and dairy-produce was introduced by the Honey Control Act, 1924. The Board set up (after a poll of producers, who decided by a large majority in favour of the scheme) acts in conjunction with the Internal Marketing Division of the Marketing Department.

Prior to the issue of the Honey (1942–43 season) Emergency Regulations, apiarists had the option of disposing of their honey through the Marketing Department or through the ordinary trade channels. The regulations referred to, however, made it mandatory for a certain specified proportion of the honey produced during the 1942–43 season to be sold to the Marketing Department. Under the Honey Emergency Regulations 1944, apiarists are required to supply 30 lb. of extracted honey for each hive owned in excess of nineteen, provided that a minimum harvest of at least 40 lb. per hive has been achieved. Where the average production falls below 40 lb. the apiarist is entitled to retain the full production from nineteen hives and 10 lb. of extracted honey for every other hive owned by him.

Chapter 18. SECTION 18.—FORESTRY

THE administration of State forests and related afforestation activities in New Zealand was for many years under the control of the Lands and Survey Department, but in 1919 a separate Forestry Department was formed. This was reorganized in 1920 as a Department of State, called the State Forest Service, and was given statutory recognition find administrative authority by the Forests Act, 1921–22, which provides for a Minister of the Crown to hold office as Commissioner of State Forests.

Central management and control of the State Forest Service is exercised by the Director of Forestry, with the head office at Wellington. For the purposes of local administration the Dominion is divided into seven conservancies, each under the control of a Conservator of Forests, who is responsible to the Director of Forestry. Public convenience and economy are further achieved by the subdivision of conservancies into districts under the charge of Forest Rangers, who are under the direction of Conservators of Forests.

State forests are administered by authority of the Forests Act, 1921–22, its amendments of 1925 and 1926, section 17 of the Finance Act, 1924, sections 24–29 (inclusive) of the Statutes Amendment Act, 1939, section 7 of the Land Laws-Amendment Act, 1939, and sections 26 to 29 of the Statutes Amendment Act, 1941. The powers conferred by the Forests Act, 1921–22, to deal with forest produce are subject to the provisions of the Coal-mines Act, 1925, the Mining Act, 1926, the Petroleum Act, 1937, and the Iron and Steel Industry Act, 1937. Section 23 of the Mining Amendment Act, 1934, provides for the payment to the Crown of compensation. for damage to any land vested in the Crown resulting from mining operations. Such compensation in respect of State forests may be claimed by the Commissioner of State Forests from time to time as damage is caused.

The Timber Emergency Regulations 1939 came into force in September, 1939, after the outbreak of war, and provided for the appointment of a Timber-Controller, authority for the control of forests (sale and purchase thereof), the regulation and control of timber-works, and the control of timber materials. The Director of Forestry was appointed Timber Controller.

The Forest (Fire Prevention) Regulations 1940, made pursuant to the provisions of the Forests Act, 1921–22, came into force on 27th September, 1940. These regulations consolidate existing regulations and provide further administrative machinery which experience has shown to be necessary in safeguarding State forests. An amendment to these regulations which came into force on 26th February, 1943, rectified certain defects in the principal regulations revealed by administration and legal proceedings, and introduced several new provisions to strengthen fire control and prevention.

STATE FORESTS.

At the 31st March, 1944, the area of permanent State forest was 6,089,488 acres, and of provisional State forest 2,937,503 acres, these totals including 1,050,839 acres and 847,998 acres respectively of national-endowment lands. The aggregate area (9,027,051 acres) represents 13.6 per cent. of the total area of the Dominion proper.

FOREST RESOURCES.

The areas of indigenous forests estimated at intervals since the colonization of New Zealand have been:—

 Acres.
1847    27,600,000
1869    23,600,000
1886    21,200,000
1893    20,500,000
1909    17,000,000
1923    12,600,000

In addition to the above, there were at 31st January, 1944, 869,737 acres of timber trees on holdings of 1 acre or more outside borough boundaries. This area includes land afforested by the State, local authorities, farmers, and commercial concerns. Details of the operations of the last mentioned are given towards the end of this section, under the heading “Commercial Afforestation.”

FOREST POLICY.

The forest policy is essentially one of conservation and expansion—conservation of the indigenous forests for the twofold purpose of counter-erosion and sustained timber-production, and expansion of the exotic forests for the creation of a supplementary timber-supply. Only by the integrated use of both upland and lowland forests for the preservation of their timber productivity and of their counter-erosion, their watershed, and their æsthetic and recreational activities, can the objective of the national forest policy—the enjoyment by the public of the maximum economic and social values, both direct and indirect—be achieved. Important features of the timber-supply situation are:—

  1. Eighty per cent. of the remaining virgin forests are overmature, and there is no net growth, new growth being offset by decay, &c.:

  2. The conversion of overmature forests into healthy growing stands of indigenous species producing timber to the maximum capacity of the forest soil will necessitate silvicultural management extending over a long period, probably several hundred years:

  3. Current timber demands are depleting the virgin indigenous forests at such a rate—over 30,000 acres annually—that, without other provision being made, an adequate supply of timber would not be available during the whole of the intervening period:

  4. The establishment of exotic forests to supplement the indigenous-forest resources is therefore of great importance, and large forests of exotic trees have accordingly been established during recent years:

  5. The part which exotic forests will ultimately play in the forest economy of the Dominion is difficult to predict. Experience in foreign countries where forestry has been practised over a period of several centuries indicates, however, that exotic species have definite limitations, and for this reason the national policy must envisage the management of the indigenous forests to secure their maximum possible production of timber.

Prominent amongst the recent departmental activities directed towards the solution of the timber-supply problem are:—

  1. The establishment of a Working Plans and Silvicultural Branch, and the expansion of technical trained personnel:

  2. The improvement of housing conditions for forest workers, and the wider use of permanent married employees:

  3. The institution of technical forest management to economize in establishment, maintenance, and utilization activities in both indigenous and exotic forests:

  4. The creation of new exotic forest units in timberless districts remote from timber-supplies:

  5. The establishment of State-owned forest industries, including sawmills, box-factories, planing-mills, wood-preservation plants, &c., to act as demonstration control and salvage units in the indigenous and exotic forests.

SOIL EROSION.

As one of the chief features of the Dominion forest policy, prevention of avoidable denudation and soil erosion is an important function of the Forest Service. While nothing can be done about the geological erosion which is constantly going on above, and even to some extent below, the vegetation limit of the mountain-ranges, the staying of further avoidable erosion at lower levels is definitely possible. It is well known that erosion results from misuse of the land covering, and in New Zealand at least the fundamental causes have been fire and grazing. It follows that control of these two factors is fundamental to the solution of the erosion problem. Every possible attention to these two matters has been devoted in upland; State forests, but the problem is far from being an easy one.

The question of combating erosion is being investigated with a view to establishing demonstration projects, in order that the most practicable and economic methods of checking the destruction and restoring a protective vegetative cover on denuded areas may be ascertained.

A forward step in connection with the erosion problem was taken during the 1941 session of Parliament, when the Soil Conservation and Rivers Control Act was passed. This Act sets up a Soil Conservation and Rivers Control Council, which has the general direction of the administration of the Act; and also makes provision for the setting-up of Catchment Boards, each with jurisdiction over the catchment area of one or more rivers. At 31st December, 1944, nine Catchment Boards had been constituted under the Act.

FOREST MANAGEMENT.

To preserve the existing indigenous forests to posterity it is not sufficient to fence them against stock, and to protect them from fire. The composition of the forest gradually changes one type of forest growth succeeding another. Generally the valuable timber-producing species are replaced by weed species such as kamahi, taraire, rewarewa, &c.

Of all the indigenous softwoods amenable to silvicultural treatment kauri is outstanding, and the results of investigations have been most promising. Plans for perpetuating the kauri forests and for rationing the supply of kauri timber are now in operation. Both the remaining virgin stands and the cut-over areas carrying regeneration are being brought under forest working-plans, which govern both the extraction of logs and the silvicultural treatment required to maintain forests in a state of maximum productivity. Permanent extraction routes are now being constructed, over which dead and overmature trees will be extracted along with such large healthy trees as can be removed without endangering subsequent regeneration, and logs will be disposed of on the extraction routes. A minimum diameter cutting-limit of 33 in. breast high has been imposed for virgin stands; and provision has been made for the preservation of exceptional trees and clumps as national: monuments and of trees for seeding purposes to assist regeneration.

Preliminary work on the control of cutting in certain podocarp forests is being carried out with the objective of so controlling the cut that regeneration will be encouraged, that timber-production will be regularized over a definite period, and! that more efficient utilization will be secured.

Forest working-plans are also being prepared for exotic forests as rapidly as present staff difficulties will allow. The history and description of individual compartments are essential preliminary data for working-plans, and the completion of these records for several of the older exotic State forests is now in view.

A significant feature of managed State forests is their logging by the State and the sale of logs in place of trees. By no other means is it practicable to secure the close control of logging operations, so essential to the preservation of young growth and the encouragement of natural regeneration. Just as the inauguration of block sales in place of “royalty payments off the saw has effected a marked reduction in forest wastage, so will the adoption of log sales further reduce avoidable waste.

In addition to the supply of logs for the production of sawn timber, the exotic forests are being managed to yield a wide range of raw material for other uses and industries. Firewood, round constructional timbers, posts and poles for creosoting, wood-wool, bolts, peeler logs for plywood, and pulp-wood for the manufacture of pulp and paper products, can all be supplied incidental to the production of saw logs, and plans are well advanced for the establishment of the major industries involved.

It is not impossible that the exotic forest capital resource now being established will yield a surplus over the country's demands, even allowing that the supplies of virgin indigenous timber will be rigidly economized. Such a possibility calls for a twofold study of national significance—one, economic, covering basic industrial and transport factors, and the other, research, covering the scientific utilization of the entire range of wood products ranging from fuel to cellulose derivatives. Their economical production in order to compete in the world's market is the objective which is now being pursued.

In 1918–19 exotic-pine timbers, as judged by the quantities sawn, ranked only sixth amongst the timbers of the Dominion. By 1938–39 they had reached second place, a position which has since been maintained, the disparity as compared with rimu, which occupies first place, becoming less each year. The annual cut of rough sawn exotic-pine timber in 3918 was 4,000,000 board feet. By 1938–39 the output had risen to 41,868,000 board feet, and reference to the table on p. 260 will show a continued increase in subsequent years, the quantity for 1942–43 (67,067,000 board feet) being 60.2 per cent. above the 1938–39 total. The low density and easy-working properties of these woods will tend to enable them to replace rimu to a very large extent, and to dominate the markets for practically all classes of framing and light construction timber, just as already the same properties have given them dominance in the boxing and crating markets. Even for finishing-work the exotic softwoods, with their low density and satisfactory glueing properties, will find extensive use as core timber for laminated and other built-up construction. This will assist in effecting economies in the use of the more valuable indigenous timbers, which will be utilized as veneers, &c., rather than in the solid form.

STATE FOREST UTILIZATION.

The installation of a modern type of log-gang sawmill at Whakarewarewa, to operate in the extensive exotic forests in that locality, was completed early in 1940, and has already fully demonstrated the accuracy of sawing which is inherent to this type of equipment. Associated with the mill are four kilns for the artificial drying of timber, a boxmaking plant for the production of boxes, crates, and other wood products, and a creosoting plant for the protection of fencing-posts, telegraph-poles, &c.

Current wood-utilization research by the State Forest Service includes studies on decay-causing organisms and wood-destroying insects; also the routine testing of different types of creosote and other wood-preservatives which have promise of general commercial application. The State Forest Service continues to emphasize that measures for the protection of building-timber against both decay and insect attack should be based primarily on good design and maintenance. In conjunction with these measures, the intelligent use of standard preservatives, such as pentachlorphenol in a light oil solvent, is being encouraged, particularly for the protection of those timbers peculiarly subject to attack by virtue of their exposure conditions.

Particular attention has been directed to the use of anti-sapstain chemicals to ensure the production of bright clean stock from the exotic pines, and the excellent results obtained under even the worst conditions of block stacking indicate that the small expenditure involved will result sooner or later in the almost universal use of such treatments for all exotic pine timbers other than those which are to be kiln dried.

The experience of the Service in the use of exotic timbers in its house building and constructional programme has demonstrated forcibly the necessity for further investigating the painting of exotic timbers. The resinous and relatively knotty nature of much of the exotic timber necessitates the development of special paints and painting methods, and to solve these problems a special set of exposure panels has been established and is being kept under close observation.

The adaptation of creosoted timber to a wide range of structures has been investigated. Specimen culverts, bridges, and fire-towers have been made, and prefabricated timbers for both bridges and pontoons supplied. Large quantities of fencing-posts and telegraph and power poles are being produced, and the production of creosoted farm gates is also receiving attention.

FOREST-FIRE PREVENTION.

One of the greatest problems of forest-conservation is that of fire control. Fire lookout stations are now provided in most of the major exotic forest areas, with patrols covering areas of particular danger in both exotic and indigenous forests. Access roads and tracks, tool caches, and telephone communications are being continually improved, and radio-telephone and mobile fire-lighting equipment brought into use. The development of radio for rapid assembly of fire-fighting crews is an acknowledgment of the fact that the fire is most easily fought in its early stages, whilst aircraft, which have already proved invaluable in directing actual fire-fighting work, are now being used for patrol purposes.

A further technical advance has been the setting-up of fire hazard prediction instruments measuring relative humidity and the relative dryness of forest fuels. These factors are co-ordinated with the wind velocity, rainfall deficiency, and air temperature to rate the relative fire hazard. Meteorological reports permit interpretation of the various factors to predict dangerous conditions.

The fire district, with its season of controlled burning, has proved to be a valuable means of reducing the danger to forests from fire. The general public now realize the value of fire districts as a means of preventing indiscriminate fire-lighting and “burning-off” except under expert supervision. Fire districts constituted in the interests of local authorities and private companies now number eighteen, and there are forty-six fire districts constituted to protect State indigenous and exotic forests. The total area covered by all fire districts is 3,578,808 acres.

The 1943–44 fire season was characterized by conditions of moderate hazard over fairly long periods in many localities. Short periods of very high hazard were much fewer than usual. The total number of fires reported from lookouts in State forests was 2,541, but only 40 of these fires were in State forest areas, involving an area of 1,447 acres, most of which was scrub or fern country.

CLASSIFICATION OF THE INDIGENOUS FORESTS.

The forests of New Zealand, as a whole, belong to that great division of the earth's vegetation called rain-forest—a community with its most extreme development in the tropics. New Zealand rainforest may be naturally divided into two classes, subtropical rain-forest and subantarctic rain-forest, the former, in regard to its trees, being a mixed community of broad-leaved trees and conifers, and the latter a pure community of one or more of the species of beech (Nothofagus). For practical purposes the names rain-forest proper and beech-forest suffice. Between these two classes there are many intermediates, the one graduating into the other.

Rain-forest proper consists of many kinds of tall, medium-sized, and small trees, together with a dense undergrowth of numerous species of shrubs and ferns. Woody lianes and huge epiphytes are characteristic, and bryophytes abound. This class of forest is generally confined to the coastal, lowland, and montane belts—the upper altitudinal line of the last-named becoming gradually lower in proceeding from north to south.

In regard to appraisal of timber, rain-forest proper is divided into the following groups, to each of which is appended its distribution: The kauri (extending northwards from a line joining Port Waikato to Tauranga); the rimu (throughout all three principal Islands, its heaviest stands being in the central part of the North Island and on the west coast of the South Island); the kahikatea (throughout the North and South Islands, occupying low-lying swampy ground); and the totara (throughout, but mainly in the central part of the North Island).

Beech-forest must be divided into milling-forest and protection-forest. The former consists of (1) forest where the hard beech (Nothofagus truncata) and the black beech (Nothofagus solanderi) are present in quantity, or where there is only the latter (this extends from the south of lat. 38° southwards to northern Nelson, Marlborough, and eastern Canterbury); (2) forest where the silver beech (Nothofagus menziesii) and the red beech (Nothofagus fusca) are either the sole or the principal species (they extend from the Thames mountains through the montane and lower subalpine bolts southwards to north-western Nelson, Westland—but absent from the Taramakau River southwards for one hundred miles—and the fiord country of Otago); and (3) forest where the silver beech is pure or nearly so, such occurring principally in southern and western Southland, and extending over the western slopes of the Dividing Range. Protection-forest, where beeches predominate, particularly the mountain-beech (Nothofagus cliffortioides), is essentially high-mountain forest, but on Mount Egmont and on the western side of the Southern Alps, from somewhat north of the Taramakau River for rather more than one hundred miles southwards, the forest is modified rain-forest proper with thin-bark totara (Podocarpus hallii) and kaikawaka (Libocedrus bidwillii) as important trees. In Stewart Island Nothofagus is absent, and the trees of the upper forest are mainly kamahi (Weinmannia racemosa) and southern-rata (Metrosideros lucida).

In addition to the high forests there are scrub forests, of which those made up of manuka (in a wide sense)—Leptospermum scoparium and L. ericoides—are commercially important on account of the value of their wood for fuel, and because, in many instances, they are an early stage of rain-forest.

The foregoing gives merely a general classification of the forests, but, from the aspect of forestry, a division into smaller groups is essential, such to be based on the composition, structure, and life-history of each group. In this regard, altitude, climate, latitudinal change, and the nature of the soil have to be taken into consideration, as well as the combination and forms of the species composing the forest and their arrangement within the forest. In all forests, changes, progressive or retrogressive, are taking place, and, so far as rain-forest proper is concerned (apart from swamp-forest), in the North Island and the northern part of the South Island the tawa (Beilschmiedia tawa) is tending to predominate, and, in the remainder of the South Island and Stewart Island, the kamahi. On the other hand, beech-forest regenerates into similar forest.

Though the forest-tree species of New Zealand number about 112, only a few are of value as timber-trees; in fact, at present only six are being used to any extent by sawmillers, and, of these, five are coniferous (softwood) timbers. There are several—e.g., puriri, kohekohe, pukatea—which possess very high qualities, but which are now to be obtained only in such small quantities that they are of little commercial importance.

In the 1940 and the two preceding editions of the Year-Book will be found a table showing the principal strength properties of New Zealand timbers. There also appeared in the 1940 and earlier numbers a brief description of the principal indigenous forest trees, with their distribution, and the uses of their timbers.

OUTPUT AND CONSUMPTION OF TIMBER.

Although production' of sawn timber in 1942–43 exceeded that of the previous year by 17,042,000 board feet, it failed to reach the estimate for the year of 350,000,000 board feet owing to a smaller accession of general and skilled personnel by release from the Armed Services than was anticipated.

With the exception of kahikatea (white-pine), in which the cut decreased by 5,376,000 board feet, production of all other important species in 1942–43 exceeded that of the previous year. A new peak was recorded for insignis pine, the output of which increased by 10,820,000 board feet (19.3 per cent.). While the production of building timbers—rimu, matai, and totara—as a group increased by over 8,000,000 board feet to 230,000,000 board feet, it should be noted that the actual quantity available for building was lower owing to the necessity of using rimu and matai for butter-boxes and cheese-crates in order to meet the deficiency in kahikatea supplies.

The subjoined table gives particulars regarding the output of timber by species for the last five years. Quantities in the table are quoted in board feet (bd. ft.)—i.e., units of 12 in. by 12 in. by 1 in.

Species of Timber.1938–39.1939–40.1940–41.1941–42.1942–43.
 Bd. Ft.Bd. Ft.Bd. Ft.Bd. Ft.Bd. Ft.
Kauri6,203,0005,065,0003,048,0002,561,0002,646,000
Rimu188,537,000207,097,000204,273,000192,609,000198,986,000
Kahikatea, white-pine33,433,00033,043,00031,850,00029,733,00024,357,000
Matai22,776,00021,212,00022,392,00018,672,00019,338,000
Totara11,237,00010,882,00012,980,00010,456,00011,984,000
Beech9,036,0009,008,0009,326,0009,327,00010,928,000
Pinus radiata (insignis)41,868,00046,762,00053,445,00056,247,00067,067,000
Other and unspecified3,626,0002,922,0004,894,0004,868,0006,209,000
Totals316,716,000335,991,000342,208,000324,473,000341,515,000

The total of 6,209,000 board feet shown for “Other and unspecified” species for 1942–43 is made up as follows:—

Species.Bd. Ft.
Miro1,375,000
Tawa1,304,000
Poplar1,105,000
Stringy bark653,000
Blue-gum488,000
Taraire270,000
Rata160,000
Pukatea157,000
Tanekaha76,000
Hinau74,000
Rewarewa65,000
Yellow pine46,000
Puriri40,000
Macrocarpa35,000
Other and unspecified361,000
Total6,209,000

Exports of New Zealand timber during the calendar year 1943 amounted to 4,390,600 board feet, valued at £60,960, the principal species being rimu (2,261,000 board feet), Pinus radiata (1,159,000 board feet), beech (719,000 board feet), kahikatea (136,900 board feet), matai (77,700 board feet), and kauri (6,100 board feet).

Imports during the year comprised 10,606,300 board feet of sawn timber, including 5,296,000 board feet of Australian hardwoods, 3,539,000 board feet of Oregon pine (Douglas fir), and 1,771,300 board feet of other species. The total value of sawn timber imported was £231,610. The figures of exports and imports of timber during the last five years are:—

yearExports of New Zealand Timber.Imports of Timber.
Sawn Timber.Sleepers.Logs unworked.Total Value.*
Quantity.Value.Quantity.Value.
* Includes other Items such as laths, palings, &c., amounting to: 1939, £2,752; 1940, £3,183; 1941, £91; 1942, £15,966; and 1943, £20.
 Bd. Ft.£(N.Z.)Bd. Ft.£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
193913,172,312155,65227,153,978413,265213,01812,563641,598
194017,322,813194,37013,529,851255,89024,66413,127296,864
194119,036,408220,04212,569,186238,53599,22316,651354,500
19427,439,96294,4607,276,608175,098107,04623,853321,963
19434,390,58560,94210,606,300231,61057,78214,500303,912

SALES OF STATE TIMBER.

Under the timber-sales policy in operation in recent years for the disposal of the mature timber in State forests, the standing timber is appraised and disposed of by public tender as a block sale. As stated earlier in this section, a system of State logging and log sales is now in operation in certain areas.

Year.Timber sold.Sale Price.Percentage of Total Timber produced.
 Bd. Ft.£ 
1939–4077,372,70097,73923
1940–4194,124,000120,54027
1941–4290,637,000111,04026
1942–4374,710,000103,41323
1943–4486,200,900116,17725

FOREST FINANCE.

Up to and including the financial year 1915–16 the expenditure on afforestation was provided out of rents and royalties received from State forests and by an annual contribution from the Consolidated Fund. In 1916–17 provision was made for the borrowing of money for forestry purposes, and since that date all receipts and payments are shown in a State Forests Account. Commencing with the year 1933–34, interest on loans is carried forward as a liability to the Consolidated Fund until realization of the plantations.

Item.1940–41.1941–42.1942–43.1943–44.
Receipts
Indigenous forests receipts—££££
  Timber sales120,753127,926134,396114,553
  Timber royalties and trespass8,5399,5329,4678,588
  Leases, grazing1,5581,5231,4921,402
  Sawmill-sites, industrial, &c.402329239247
  Miscellaneous6,9378,2748,0176,895
  Log-sales from managed forests26,15331,29630,59673,317
Exotic forests: Poles, posts, fire-wood, &c.13,20715,34154,23451,952
Utilization projects—
  Sawn timber28,94845,81540,60716,180
  Creosoted products7,99619,26223,63715,964
  Box shooks..32,88379,109136,600
  Miscellaneous2,4703,6424,7672,663
Totals216,963295,823386,561428,361
Receipts from national endowment indigenous forests (included in above)27,40845,37448,28946,654
Payments
Allocation of revenue—££££
  Consolidated Fund (portion of revenue from national endowment forests)16,15120,44210,72117,455
  Local authorities16,59317,08014,76712,928
General management charges—
  Salaries77,83481,66279,79389,332
  General expenses31,07028,40334,37041,254
Land purchase6,7881,99625,30711,687
Forestry projects under direct management—
  Exotic234,704183,561220,598248,705
  Indigenous32,72435,37622,94530,521
Utilization: Sawmill, creosote plant, &c.148,545136,090100,720104,826
Miscellaneous: Expenses of raising loans, and interest on temporary advances911978....
Totals565,320505,648515,221556,708

The revenue from indigenous forests is heavily reduced by statutory payments in favour of local authorities and the National Endowment Account, and during recent years the residue has been little more than sufficient to meet the expenses of supervision and management; consequently the establishment of State exotic forests has been financed almost exclusively from loan-moneys.

STATE EXOTIC FORESTS.

State afforestation on an organized basis 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, when a total of 54 acres was established.

Figures of the areas planted by the State Forest Service for five-year periods are shown below.

Period.Acres.
1921–2540,141
1926–30230,114
1931–35112,963
1936–4022,019

The gross area of State exotic forests at the 31st March, 1944, was 673,157 acres, of which the area actually established was 445,680 acres, exclusive of firebreaks, waste lands, reserves, &c. Of the area of 1,183 acres newly planted in 1943–44, 1,088 acres were open country and 95 acres unburnt cut-over indigenous forest. The inter-planting of cut-over indigenous forests with suitable exotics while the uncut forest is regenerating and coming to maturity is a practice that is being followed increasingly.

While many species were experimented with in the initial stages of the work, the chief species planted in the North Island wore European larch (Larix decidua), Austrian pine (Pinus austriaca), Corsican pine (P. laricio), Western yellow pine (P. ponderosa), and a number of eucalypts. In recent years the main species planted have been Douglas fir (Pseudotsuga taxifolia), Western yellow pine, Insignis pine (P. radiata), and Corsican pine; whilst in the Auckland Conservancy the Southern pines (Pinus palustris, P. taeda, and P. caribaea) have shown promise.

In the South Island practically all the best-known commercial trees of the Northern Hemisphere have been tried, but many have been discarded as unsuitable for various reasons, until at the present time operations are being conducted with a comparatively small range of conifers which experience has shown will most readily adapt themselves to local conditions. The principal species now being used are Western yellow pine, Corsican pine., Douglas fir, and Insignis pine.

Waitangi Endowment.

The Waitangi Endowment, containing 1,354 acres, is portion of an estate containing the historic site of the signing of the Treaty of Waitangi, presented to the Crown as a national monument by Viscount and Lady Bledisloe in 1932.

By authority of the Waitangi Endowment Act, 1932–33, the Commissioner of State Forests is empowered to administer the land as if it were a State forest, and to develop and use the land for afforestation purposes. To date 450 acres have been planted.

The primary object of these afforestation operations, however, is to reclothe a treeless area to form a scenic background for the portion of the estate known as the Waitangi National Trust, which contains the historic site mentioned.

MISCELLANEOUS FORESTRY PROVISIONS.

The method first adopted in New Zealand for encouraging the planting of trees for the production of timber was by means of “land grants”—a settler being given a free grant of land if he planted a certain portion of his land with suitable trees. Several large plantations were established in Canterbury by this method, which, however, was abandoned in the “eighties.” The Selwyn and Ashburton County Councils are the outstanding examples of local authorities which took advantage of this scheme, and are now receiving substantial revenues from their tree plantations.

Under the system of taxation in operation in New Zealand, encouragement is given to the conservation of indigenous forests and plantations and to the establishment of new plantations, by exempting the trees from land-tax and local rates.

The actual land supporting indigenous forests and plantations is subject to land-tax. The tax, however, is assessed on the unimproved value, which for taxation purposes does not include the value of any trees or the value of the labour or capital expended in planting them.

Local rates on land supporting indigenous forests and plantations are levied on the value of the land only. A County Council is empowered to make an annual levy of 1/2 d. per hundred feet board measure on timber in the county converted from the log into sawn timber; but this levy is not applicable to timber cut from plantations.

Appraisements of timber are not liable to stamp duty if made for the Crown, for a local authority, or for the information of one party only.

Licenses granted by the Crown to cut timber are exempt from stamp duty; other licenses are not exempt.

Land on which trees of any kind are growing is subject to death duties (estate duty, succession duty, and gift duty), which are assessed on the capital value of the land, which includes the value of the trees.

COMMERCIAL AFFORESTATION.

The planting of exotic forests by commercial concerns was first undertaken in New Zealand in 1923. Two classes of companies have been formed to carry out the various ventures. The first is the ordinary joint-stock company, where the property is vested in the company and the shareholders receive a pro rata share of the profits according to the amount of capital contributed; the second is a company which is registered with a comparatively small capital, but of which the investing public do not become shareholders. The company contracts with each investor that, in consideration of his paying the prescribed amount of cash, it will convey to him at the end of a given term a certain area of land duly planted according to a prescribed agreement. The interests of bondholders are protected by trustees until the time arrives for conveyance to the bondholders. Provision is contained in the Companies (Bondholders Incorporation) Act, 1934–35, whereby bondholders may receive shares in exchange for their bonds and become entitled to the same proportionate interest in the same property and rights as they would be entitled to under their bonds.

Owing to staff and other difficulties arising out of the war the collection of statistical data pertaining to the operations of afforestation companies has been suspended, the latest year for which information was obtained being 1940–41.

Of the thirty-one companies engaged in afforestation operations from which returns were received for the year 1940–41, seven were organized on the bond-holding basis, the balance being limited-liability companies. Twenty of the companies carried on operations in the Auckland Provincial District, five in Nelson, two each in Hawke's Bay and Southland, and one each in Taranaki and Otago.

Liabilities and Assets.

The statement which follows gives particulars of liabilities and assets of all afforestation companies for 1940–41 and the four previous years.

1936–37.1937–38.1938–39.1939–40.1940–41.
 £££££
Liabilities
Paid-up share capital2,896,2073,111,5037,248,9117,231,3338,399,320
Loan-money95,757107,19197,28486,95695,369
Forfeited Shares Account20,66221,25628,28235,17934,147
Mortgages83,844144,889207,75229,80630,350
Sundry creditors174,249163,034132,098161,34483,157
Bondholders1,672,2721,631,140765,570801,549832,947
Other132,224212,730627,355259,881436,943
Totals5,075,2155,391,7439,107,2528,606,0489,912,233
Assets
Land for afforestation purposes1,100,4041,107,3815,218,8905,226,2266,545,949
Land for other purposes3,2703,45933,42828,14428,334
Development Account1,113,4151,247,8681,282,7261,356,1621,406,150
Investments2,036,5601,917,3611,524,1571,482,2571,334,433
Goodwill and preliminary expenses25,96127,35628,50731,00831,279
Other795,6051,088,3181,019,544482,251566,088
Totals5,075,2155,391,7439,107,2528,606,0489,912,233

It will be observed that total assets and liabilities recorded substantial rises between the years 1937–38 and 1938–39. This increase was due chiefly to one company, formerly bond-issuing, being reconstructed as provided by the Companies (Bondholders Incorporation) Act. Reconstructions under this Act are characterized by increases in share capital and in land held for afforestation, with decreases in liabilities to bondholders and in other transactions relating to bond-issues.

Receipts and Payments.

The following statement shows a classification of the receipts and payments recorded by afforestation companies during each of the last five years available. Attention is drawn to the fact that the figures for receipts represent receipts from the cash point of view and should not be confused with revenue.

1936–37.1937–38.1938–39.1939–40.1940–41.
 £££££
Receipts
Share capital165,949140,400152,04040,2869,649
Instalments on bonds274,746130,01327,65326,26317,017
Loan-money6,40723,942101,1333,1003,480
Investments realized319,247535,910292,20977,735173,434
Other receipts129,482148,02376,598100,64649,342
Totals895,831978,288649,633248,030252,922
Payments
Tree-raising3,6122,393978745324
Establishment charges20,17720,7624,5594,0471,115
Maintenance24,93723,79425,96823,82017,035
Management, &c.86,29974,27475,57938,12932,953
Commission, brokerage81,63260,6213,55689112
Land-purchase28,46017,7467,4006,914137
Investments560,997423,312302,32069,53145,292
Other252,690328,496215,45663,010222,343
Totals1,058,804951,398635,816206,285319,311

Employees and Wages.

The average number of employees engaged during 1940–41 was 108, of whom 3 were engaged in tree-raising, 4 in planting, 32. in maintenance, 40 in fire-prevention, and 29 in management. This number represents a decline of 783 from the peak year (1929–30). Wages and salaries paid during 1940–41 totalled £26,933.

Planting Operations.

The following table shows particulars regarding the species and number of trees planted during the year 1940–41, together with particulars as to the areas planted.

Species.Number of Trees.New Area planted during the Year.Total Area planted to 31st March, 1941.
To replace Blanks.On New Areas.
Acres.Acres.
Pinus radiata (insignis pine)166,050137,950523279,902
Pinus ponderosa......18,984
Pinus pinaster......3,605
Pinus laricio......2
Redwood......2,853
Douglas fir......945
Poplar......675
Cupressus macrocarpa......97
Eucalypts......848
Unspecified1,0007,50092,631
Totals. 1940–41167,050145,450532310,542

Land held for Afforestation Purposes.

At 31st March, 1941, the total area of land held by companies for afforestation purposes was 367,847 acres, the book-value of which was £6,545,949 (see statement of assets), equal to £17 15s. 1 ld. per acre.

Chapter 19. SECTION 19.—FISHERIES

THE following article is by Mr. A. E. Hefford, M.Sc., Chief Inspector of Fisheries, and Director of Fishery Research, Marine Department.

With its great length of coast-line, extensive natural harbours, and numerous sheltered bays, New Zealand has from the earliest times been famed for the productivity of its coastal fisheries. Off its more northerly coasts, which come within the influence of the south equatorial current, a rich variety of subtropical fish-life 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 particularly abundant in the North; the tarakihi Dactylopagrus macropterus), taken mainly by trawlers in the more off-shore waters of Hauraki Gulf, Bay of Plenty, Hawke's Bay, in the vicinity of Cook Strait, and off the coasts of Canterbury and Otago; the flounders of different species (Rhombosolea), which occur in the more shallow and sheltered waters; the blue cod (Parapercis colias), which provides the staple product of the southern line fisheries; and the groper or hapuku (Polyprion oxygeneios), which is caught on lines in the deeper water from the North Cape to Stewart Island.

The most productive grounds are in relatively shallow water, and, except for groper and ling fishing by means of 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. Though sardines or pilchards (Sardinia neopilchardus) and other species of the herring family were known to occur in large shoals off some parts of the coast, there has hitherto been no regular fishery for these kinds except in Queen Charlotte Sound, where they have been periodically netted for use as bait by the Cook Strait line fishermen. A sardine-canning industry has now been established, supplies from the Marlborough Sounds and Hauraki Gulf being utilized.

In order to ascertain the economic position of the fisheries industry an investigation committee was set up, under the Board of Trade Act, in 1937. This committee conducted exhaustive inquiries into all aspects of the industry, and reference to the committee's report (Parliamentary Paper H.–44A, 1937–38) will give detailed information as to the conditions under which the industry then operated. Under the Industrial Efficiency (Fish) Regulations, 1939, every person employed commercially in fishing or engaged as a principal in fish-dealing was required to take out an appropriate license, issued, conditionally, by the Bureau of Industry. The regulations, in so far as they related to fish-dealing, were revoked in July, 1945, and a change in the method of control is contemplated in regard to fish-catching.

STATISTICS OF FISHERIES.

The most important fishing ports in the Dominion are Auckland, Wellington, Thames, Timaru, Napier, Port Chalmers, Lyttelton, and Bluff. In 1943–44 the total quantity of fish landed at Auckland was 103,882 cwt., of which 75,153 cwt. consisted of snapper, with tarakihi (12,128 cwt.) second in order of quantity. In Wellington groper (6,924 cwt.) was the most abundant kind in the total quantity of 14,775 cwt. landed during the year. Of the total landings of sea-fish in the Dominion for the year, snapper represented 34.2 per cent., tarakihi 10.0 per cent., groper (hapuku) 7.5 per cent., blue cod 6.5 per cent., and flat fish, principally flounders, about 13.1 per cent.

The fishing industry has suffered considerably since the outbreak of war, the withdrawal of certain units of the fishing fleet for minesweeping and other naval operations, and the transfer of men to the Armed Forces, having seriously affected production. In the year ended 31st March, 1939, there were 926 whole-time and 1,292 part-time fishermen engaged in the industry, but by 1943–44 these numbers had been reduced to 856 and 638 respectively. The estimated quantity of wet fish marketed in 1943–44 was 294,445 cwt., which, compared with 1938–39, shows a reduction of 61,669 cwt., or 17.3 per cent.

The estimated total quantity and value of the principal classes of fishery products marketed during each of the last two years are as follows:—

Quantity.Value.
Unit.1942–43.1943–44.1942–43.1943–44.
££
Wet fishCwt311,971294,445442,976489,268
WhitebaitCwt1,3705,00228,98442,011
Oysters (dredged)Sack73,47573,11955,10654,839
Oysters (rock)Sack5,8505,8288,7758,742
MusselsSack19,72616,7416,9595,771
CrayfishCwt12,91010,84919,30517,344
Toheroa (canned products)Lb87,480103,8196,1984,468
Whale oil, &c.Ton53063012,00013,000
Quinnat salmonLb2,7841,821250140
Total value......580,553635,583

The figures for whale oil refer to the mainland whale fisheries only.

The following table shows the quantities and values of New Zealand fish and shell-fish exported for each of the last five years (1st April to 31st March).

1939–40.1940–41.1941–42.1942–43.1943–44.
Fish (frozen)Cwt.35,55235,37829,11622,43916,438
£119,999120,734106,04788,02170,019
Fish (smoked, dried, pickled, or salted)Cwt.3595024761,4432,754
£1,2491,1671,7207,92516,574
Oysters (fresh)Doz.64,21035,66715,04618,878424
£99671825927020
Oysters (canned)Lb.291,760291,211194,652174,59868,086
£15,75015,85410,8989,8404,265
Toheroa (canned)Lb.63,20287,60274,54015,0989,497
£3,8876,0445,2771,183728
Whitebait (canned)Lb.49,983122,66362,94826,32675,549
£7,59318,4819,5924,19813,702
Other kinds (canned)Lb.4,59933,47338,32164,996132,089
£4083,3554,2365,0865,377
Value of total exports of New Zealand fish and shell-fish£149,882£166,353£138,029£116,523£110,685

OYSTER-BEDS.

The principal oyster-beds round 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. The Foveaux Strait beds are very extensive.

During the 1943 season 73,119 sacks of oysters, valued at £54,839, were dredged from the Foveaux Strait beds, as compared with 73,475 sacks, valued at £55,106, in 1942.

The rook-oyster beds of Auckland were worked for many years under a variety of systems, but owing to stripping of the beds close seasons had frequently to be proclaimed. From 1908 the picking and wholesale marketing of rock-oysters from the North Island beds has been undertaken by the State, private picking being prohibited. Oysters picked and sold by the State in 1943–44 realized £8,742 (1942–43, £8,775).

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.

CRAYFISH.

Marine crayfish occur in abundance off many parts of the New-Zealand coast, and are caught in baited traps and nets for the local markets. A small but increasing canning industry is also carried on. Canned crayfish to the value of £4,811 was shipped overseas during the year 1943–44.

WHALING.

With the enormous development of pelagic whaling that has taken place in recent years, the whaling industry in New Zealand has greatly declined from the important position which it occupied in the early days of the colony. Only one shore station was in commercial operation during the 1943 whaling season. This station is situated in Tory Channel, Queen Charlotte Sound, and the season's catch in that area was 90 hump-back whales, the total oil-production being 630 tons.

The Whaling Industry Act, 1935, was passed in order to give effect to an International Convention for the regulation of whaling and matters incidental thereto.

SEALS.

For many years past the taking of seals has been prohibited, the close season originally declared having been extended from time to time for periods of three years. The latest extension carries the close season to 31st March, 1948.

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), and Whitianga (Mercury Bay), 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.

WHITEBAIT.

A fishery that is peculiar to New Zealand with regard both to the product and to the methods of operation, carried on from July to November in the tidal reaches of many rivers, is the whitebait fishery. New Zealand “whitebait” are the young of Galaxias attenuatus, a species that lives for the greater part of its adult life in fresh water, descending to tidal water to spawn in late summer and autumn. The spawn is deposited among grass and similar herbage on the margins of the rivers above the ordinary high-water mark in a zone that is submerged only at the highest spring tides. Here it remains under cover of the herbage and secure from aquatic enemies until it is once more reached by a spring tide about a fortnight or, it may be, a month later. The young then hatch out, and are carried by the ebb tide to the sea. Here they remain until at the age of about five months the young fish, then about 2 in. long and still possessing the almost glassy transparency of the larval stage, migrate up the rivers in dense shoals. This is the time of the whitebait fishery, when they are caught in nets made of wire gauze or mosquito-netting. The cultivation and drainage of riparian lands have considerably diminished the extent of spawning and feeding areas that were available in earlier times. From these causes, as well as from the intensity of the fishing operations, there are now few rivers where the runs of whitebait show anything like the abundance of former years. The most productive whitebait fisheries are near the mouths of the rivers of the West Coast of the South Island and in the lower reaches of the Waikato River. Normally the whitebait fishery gives employment to over three hundred regular fishermen, mostly Maoris, and a greater number of part-time fishers, and produces each season an average of about 3,000 cwt. of whitebait. The 1943 season was better than the average of recent years, the total quantity of whitebait marketed being estimated at about 5,000 cwt. The canned whitebait packed in the West Coast and Waikato factories is a much-esteemed delicacy.

FRESH-WATER FISHERIES.

Native Fishes:

Of fresh-water fishes indigenous to New Zealand the species of most commercial importance at the present time is Galaxias attenuatus, which provides the whitebait fishery already mentioned. Other species of Galaxias are known in the streams and lakes of the Dominion. With the exception of the eels, which frequently attain an extraordinarily large size compared with those of the Northern Hemisphere, all the native fresh-water fishes are small, and are therefore not considered to possess any sporting value except to the most juvenile of anglers. There are two species of eels—Anguilla australis, the short-finned eel; and Anguilla dieffenbachii, formerly known as Anguilla aucklandii, the long-finned eel. Recent investigations by Marine Department biologists have thrown new light on their distribution. It is now known that all male cols remain in tidal and brackish waters; female long-finned eels are found throughout all accessible fresh waters, while female short-finned eels are restricted to the warmer, deeper, and slowly-flowing waters, and in the South Island are found only in the lower reaches of rivers and in coastal lakes. Eels constituted an important food-supply to the Maoris, who devised very efficient traps for their capture as the adult eels migrated to the sea. This fishery is still carried on by the Maoris of some districts.

The following list shows the definitely known genera of indigenous fresh-water fish and includes all the principal species.

Scientific Name.European Name.Maori Name.Usual Maximum Size.
Inches.
Galaxias attenuatus“Minnow”Inanga7
Galaxias fasciatusNative trout or mountain troutKokopu10
Galaxias brevipinnis“Gudgeon”Taiwharu or kokopu6
Galaxias huttoni..Koaro6
Galaxias burrowsiiCanterbury mudfish..5 to 6
Neochanna apodaMudfishHauhau or waikaka8
Retropinna retropinnaSmeltParaki6
Prototroctes oxyrhynchusGraylingUpokororo12
Cheimarrichthys fosteriTorrent-fish or shark-bullyPapanoko7
Gobiomorphus gobioidesBullyToitoi6 Feet.
Anguilla australisShort-finned eelTuna3 to 4
Anguilla dieffenbachii (aucklandii)Long-finned eelTuna4 to 5
Geotria australisLampreyKoro-koro or kuna-kuna2

The “minnow,” smelt, grayling, and, of course, the eels and lamprey, are migratory fish which spend parts of their lives in the sea or in estuarine tidal waters, although at least one species of purely fresh-water smelt is known.

Acclimatized Fishes:

Although most of the above-mentioned indigenous fishes—especially the eels, kokopu, and upokororo—provided an appreciable portion of the food-supplies of the Maoris, and have been a welcome addition to the camp provision of surveyors, bushmen, and prospectors since the pioneering days, there were many among the early settlers to whom the New Zealand rivers and lakes appeared uninteresting and unproductive in comparison with their native salmon and trout streams. By means of private agency in some cases, and by more organized efforts on the part of Government and local acclimatization societies, attempts to introduce British salmon and trout were commenced in the early “sixties.” The brown trout was first established in 1867 by means of ova imported from Tasmania, where the species had been acclimatized a few years earlier from English stock. Importations of brown trout besides the Loch Leven and sea-trout varieties have been subsequently made, so that the species is now found in most of the fresh and tidal waters of New Zealand. Rainbow or steelhead trout, first introduced in 1883 from California, are also now widely distributed. In some lakes, notably Taupo and others in the Thermal Region, they have largely displaced the earlier brown-trout population. The American brook trout (Salvelinus fontinalis) was widely planted in the “seventies” and “eighties,” but is now found only in a few back-country streams in the South. The Mackinaw trout, or Great American Lake trout, has been naturalized in Lake Pearson, Canterbury, since 1906. Quinnat salmon, introduced from California in the first five years of the present century, after earlier attempts had failed, are now firmly established, and “runs” of these salmon take place annually between January and June in the larger East Coast rivers of the South Island. They have been taken in smaller and more variable numbers in a few rivers on the West Coast and in the Wellington District. Sockeye salmon, imported at the same time, have given rise to a “land-locked” stock in Lake Ohau, no sea-run examples of this species having yet been identified. The introduction of European Atlantic salmon was attempted at various times in the earlier years, and was finally achieved after 2,000,000 ova had been imported in 1910–12 from British and Continental rivers. The species is now established in the Waiau river system and associated lakes (especially Lake Te Anau) in Southland. It is remarkable that, although there is unimpeded access to the sea, the species has largely adopted “land-locked” habits, most of the fish remaining to feed in fresh water until and after they have reached maturity. Relatively small numbers, however, enter the Waiau from the sea.

Besides the above-mentioned members of the salmon and trout family, other species of fish from the Northern Hemisphere which have been acclimatized in New Zealand are the European perch, tench, and carp, the North American catfish (Ameiurus catus), and the small viviparous Gambusia palruelis introduced about 1930 for its utility as a devourer of mosquito-larvæ.

With the exception of the Taupo and Rotorua Acclimatization Districts in the thermal-lakes region, 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.

Chapter 20. SECTION 20.—MINING

THE law relating to mining and quarrying is contained for the most part in the Mining Act, 1926, with its amendments of 1927, 1931, 1934, 1935, 1937, 1939 (sections 44 to 48 of the Statutes Amendment Act), 1940 (sections 32 to 38 of the Statutes Amendment Act), and 1941; the Coal-mines Act, 1925, as amended in 1927, 1933, 1935, 1936, 1937, 1939 (section 8 of the Statutes Amendment Act), 1940 (section 6 of the Statutes Amendment Act), 1941 and 1944 (sections 7 to 9, Statutes Amendment Act); the Stone-quarries Act, 1944; and the Petroleum Act, 1937, as amended in 1939 (section 55 of the Statutes Amendment Act), and 1941 (sections 59 to 63 inclusive of the Statutes Amendment Act).

MINERAL PRODUCTION.

The following statement shows the production of metals and minerals, including particulars of gold and silver, which until recently were withheld from publication.

Mineral.1942.1943.
Quantity.Value.Quantity.Value.

* The production of gold and silver is of necessity taken together, as separate figures are not available.

† Other than for brickmaking.

£ £
Gold and silver*477,346 oz.1,727,150429,936 oz.1,567,614
Platinum21 oz.1895 oz.47
Arsenic8 tons1268 tons119
Asbestos43 tons1,035187 tons3,985
Bentonite500 tons2,134232 tons1,015
Clays2,337 tons2,3762,523 tons3,631
Coal2,680,041 tons2,680,0412,787,868 tons2,787,868
Diatomaceous earth418 tons585128 tons250
Dolomite3,361 tons1,2603,571 tons1,098
Fuller's earth138 tons434124 tons437
Iron-ore2,433 tons6,5764,988 tons9,026
Magnesite....171 tons154
Manganese-ore321 tons1,694510 tons2,166
Phosphate....9,241 tons14,340
Pumice3,085 tons11,6733,422 tons12,485
Quartzite95 tons370....
Serpentine31,248 tons26,03861,645 tons50,037
Silica sand1,875 tons2,36719,747 tons41,126
Stone..538,599..563,403
Tale15 tons4562 tons202
Tungsten-ore67 tons32,309110 tons52,215
Quicksilver11,402 lb.11,1107,068 lb.7,192
Totals..5,046,111..5,119,010

Kauri-gum, the (chiefly) fossilized resin of former kauri forests, is counted as a mineral, but is not included in the above table.

The next statement shows the value of New Zealand minerals and allied substances exported.

Mineral.1941.1942.1943.Total from 1st January, 1853, to 31st December, 1943.
 ££££
Gold1,830,3651,726,5401,542,947112,709,150
Silver32,41233,89920,9233,724,524
Tungsten-ore12,91620,05146,557450,414
Antimony-ore295....55,440
Mercury..11,8993,04034,323
Other minerals11,47811,99812,485637,417
Kauri-gum88,64374,73744,52824,025,521
Coal (including bunker)109,500120,70490,7168,094,186

GOLD-MINING.

The gold-mining industry, which in its early stages contributed greatly to the progress and settlement of New Zealand, has again come into some prominence during recent years, mainly on account of the enhanced price of gold.

For many years succeeding the passing of the boom period of dredging, the most important gold-mining operations in New Zealand consisted in the working of quartz-lodes and the extraction of the precious metals therefrom. Mainly on account of improved methods, however, a revival of dredging operations has been experienced, and production from this form of gold-mining now exceeds that from quartz-mining.

Quartz-mining is carried on mainly in Waihi and surrounding districts, on the west coast of the South Island, and to a lesser extent in Otago.

Gold-dredging possibilities present an entirely new aspect not only on account of the present price of gold, but also on account of the great depths to which modern machines can work and their low cost of operation per cubic yard. The peak of gold-production from dredging occurred in 1902, when approximately two hundred plants were in operation. The number of productive dredges operating in 1943 was eighteen, sixteen of which were situated on the west coast of the South Island and two in Otago. The link-up of the West Coast in recent years with the main hydro-electric scheme of the South Island has been of special importance to dredging concerns by ensuring for the industry an adequate supply of cheap power.

Alluvial gold, which now occupies a relatively minor place in New Zealand production, is found chiefly on the west coast of the South Island and in Otago and Southland.

Since 1940 there has been a steady decline in the production of gold. Naturally, the decreased importance of gold-mining to the community during the war period has been responsible for man-power problems and difficulties in securing equipment, and the result has been lessened production and discouragement of fresh enterprise. The following table gives particulars of the estimated gold content of gold-silver bullion production for the last three years. Shortly after the outbreak of war figures of the production and export of gold were withhold for security reasons, but publication has now been resumed.

Quantity.Value.
1941.1942.1943.1941.1942.1943.
 Oz.Oz.Oz.£££
Quartz-mining68,21465,48657,870713,999678,169595,592
Alluvial mining12,3839,6746,759109,46377,13464,932
Dredge mining94,05990,82684,521978,815928,819868,327
Totals174,656165,986149,1501,802,2771,684,1221,528,851

SILVER.

Nearly the whole of the locally produced silver exported from New-Zealand has been obtained from the refinement of bullion from the quartz-mines, principally those of the Hauraki goldfield, where gold and silver are found alloyed, the ratio of the two metals in the alloy varying greatly. No other silver-mining operations have been carried out profitably in this country. Silver-production in 1943 amounted to 280,786 oz., as compared with 311,360 oz. in 1942 and 378,331 oz. in 1941.

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.

Many attempts have been made to smelt Taranaki ironsand, but commercial success has not attended any of these efforts. Difficulty has been experienced due to the fineness of the sand and also to the presence of titanic acid. Recent developments indicate that the difficulties can be overcome if the sands are used not entirely by themselves, but mixed with a proportion of the Golden Bay or other ores.

Although the whole of New Zealand's iron-bearing sands have not been surveyed, there is no doubt that the total quantity is enormous. A close investigation of the area in the vicinity of Patea has disclosed upwards of 50,000,000 tons. The iron can readily be magnetically separated. The magnetic fraction averages 50–60 per cent. Fe.

Up to the beginning of 1938 the ore bodies at Onekaka had been subject to a surface, survey only. Since that time underground investigation by tunnelling and boring has been conducted, and, although this survey is not complete, it has established that, while the ore body is not nearly so extensive as the surface deposits indicated, there is a useful tonnage for exploitation.

Plans were completed by the middle of 1940 for the establishment of a steel-works using local ores, but owing to war conditions the work has had to be deferred.

TUNGSTEN.

The principal ore of tungsten in New Zealand is scheelite, though a little wolfram is found in Otago and Stewart Island, but not in economic quantities.

Scheelite occurs at numerous points in quartz-veins traversing the schists of Otago and Marlborough. Gold also is present in many of these lodes. The chief mines have been those of Glenorchy and Macraes in Otago and Wakamarina Valley in Marlborough, while other producing centres in Otago have been Stoneburn, Hyde, Barewood, and Waipori. A systematic survey and development programme undertaken by the State has proved that the ore of the Wakamarina field is exhausted, while the Macraes field shows signs of approaching exhaustion, so that Glenorchy remains the only important producing field.

The scheelite-bearing quartz-veins are generally small and broken, while the scheelite is most erratically distributed in the veins with the greatest concentrations of scheelite close to the surface or at shallow depths. Further, many of the lodes occur at high altitudes, which allows of only a short working season, and access and transport present difficulties.

For these reasons it is only under the stimulus of increased wartime prices that production has become economic. In view of the importance of scheelite as a strategic war mineral the State has been assisting private producers to develop claims, while, in addition, it has inaugurated a major development programme at two of the main mines in the Glenorchy district.

All concentrates produced in New Zealand since the outbreak of the war have been purchased by the Imperial Government at a price which has been satisfactory to the producers, but with marked improvement in the tungsten-ore-supply position and the termination of the contract on 31st December, 1944, the market position for 1945 is uncertain.

In 1943, 110 tons of concentrates, valued at £52,215, were produced, as compared with 67 tons, valued at £32,369, in 1942. Production in 1944 was estimated to be approximately the same as that of 1943. The total quantity of locally produced ore exported to 31st December, 1943, was 3,053 tons, valued at £450,414.

COPPER.

Ores of copper are found in New Zealand in no fewer than thirty-two localities, but during the last seventy years attempts at their successful exploitation have been unprofitable. A recent survey of the copper deposits of New Zealand indicated that only one occurrence—that at Kawau Island—held out any promise, and plans were made to prospect this deposit by means of diamond drilling. War conditions have so far caused this programme to be postponed. The total recorded copper export to the end of 1943 amounted in value to only £19,417, but it is estimated that the total production has amounted to 5,033 tons, valued at £109,878.

MANGANESE.

Manganese-ores are found in many localities, chiefly in the older sedimentary rocks. At Tikiora Hill (near Russell), at Parua Bay (near Whangarei), and especially at Waiheke Island, manganese deposits were mined many years ago, while of recent years there has been some production from deposits at Bombay, Moumoukai, and Otau, all in the Auckland Province. Deposits are, however, generally small and shallow and capable of producing only limited tonnages of ore. Production during 1943 amounted to 510 tons of ore, 10 tons from the deposit at Moumoukai and 500 tons from Otau.

The total quantity of locally-produced manganese-ore exported to the end of 1943 amounted to 20,101 tons, of a value of £64,048.

MERCURY.

Cinnabar, the principal ore of mercury, is widely distributed in New-Zealand, but only in few localities is it found in quantities of economic importance.

The most promising deposits of mercury-ore in New Zealand are those of the Puhipuhi district, where for many years efforts have been made to place the production of the metal on a commercial basis. These efforts have been revived recently, and production has again commenced, the ore being obtained by open-cast mining and the mercury recovered in a modern treatment plant with a capacity of 50 tons of ore per day. In 1942 11,402 lb. of mercury, valued at £11,110 were produced, and 7,068 lb., valued at £7,192, in 1943. The total quantity of mercury of New Zealand origin exported up to the 31st December, 1943, was 104,848 lb., valued at £34,323.

TIN.

Cassiterite in the form of “stream-tin” occurs near Port Pegasus, Stewart Island, where it has been worked to some extent. “Lode-tin” has been found in the same locality. Small quantities of cassiterite have also been detected in the stream-gravels of the Reefton, Greymouth, and Westport districts. Among other localities in which traces of tin occur are Wet Jacket Arm (Otago) and Campbell Island.

PLATINUM.

In the published lists of minerals of New Zealand platinum is stated to occur in several places, associated generally with gold in gravel. It is only from Southland, however, that platinum has been exported.

The Customs Department has not kept any separate record of the quantity and value of platinum entered for exportation, the value of this metal exported being included in a general total of exports by parcel-post, by which means platinum has generally been despatched from the Dominion.

SULPHUR.

Native sulphur occurs in the thermal districts of the North Island, near Rotorua and Lake Taupo, and at White Island, but it is doubtful if there is sufficient quantity to enable the deposits to be economically exploited.

Sulphur is mostly disposed of locally as fertilizer, but exports of New Zealand origin to the end of 1943 have aggregated £13,241. No work of any importance has been done at any of the sulphur deposits during recent years.

ASBESTOS.

Considerable development and construction work has taken place at the asbestos deposits in the Upper Takaka Valley, and improved access has permitted the transport and erection of treatment and power plant.

Operations to date have mainly been of an experimental nature, as a result of which an extensive prospecting programme is now in progress to ascertain whether sufficient reserves are available to justify the erection of a large and modern treatment plant.

During 1943 some 187 tons of fibre of an estimated value of £3,985 were produced.

COAL.

Coal, varying in class from anthracite to lignite, occurs in many parts of New Zealand.

The following is an estimate of the coal resources of New Zealand.

Class of Coal.Proved Coal.Probable Coal.Possible Coal.Mineable under Present Conditions.
 Tons.Tons.Tons.Tons.
AnthraciteVery littleVery littleVery little..
Bituminous254,000,000490,000,000Small84,500,000
Brown247,000,000738,006,000Large..
Lignite150,000,000377,000,000Large..
Totals651,000,0001,605,000,000....

In the above table the figures for brown coal and lignite are estimates prepared in 1927 by P. G. Morgan, late Director of the Geological Survey. The figures for bituminous coal are from & paper on “Bituminous Coal of New Zealand” by the same authority, published in the New Zealand Journal of Science and Technology, Vol. IX, No. 5, pp. 257–260, 1928. For the Grey coalfield the figures for “Proved” and “Probable” bituminous coal include all seams over 1 ft. thick down to a depth of 4,000 ft., and for the Buller coalfield the coal of the estimate is all above sea-level and nearly all is in seams over 4 ft. thick. In arriving at the comparatively small figure for bituminous coal “Mineable under Present Conditions,” Morgan (1928) apparently had regard to several adverse factors concerning coal-mining in New Zealand, chief of which are (1) that structural conditions, such as faulting and folding, seriously handicap the economic winning of coal, especially in the Grey coalfield; (2) that coal has not yet been mined to a depth of 2,500 ft. below sea-level, and the possibility of economically working coal below that depth in New Zealand has not been proven; (3) that a considerable amount of coal has been lost through fires; and (4) that thin seams much under 4ft. in thickness have not, so far, been economically mined.

Additional information accruing from the survey now in progress in the Grey coalfield shows that the above figures for “Probable” bituminous coal will be subject to considerable reduction, but until the field-work is complete no definite statement can be made.

The following table summarizes coal-mining operations.

Year.Output. (Tons.)Persons employed above and below Ground.Tons raised per Person employed Underground.Lives lost.
Number.Per Million Tons raised.Per Thousand Persons employed.
Prior to 193275,998,547....4515.93..
19321,842,0224,636545126.4512.59
19331,821,2584,38657073.841.59
19342,060,3154,47863483.881.78
19352,115,1844,23168120.940.47
19362,140,2174,25767841.870.94
19372,277,7994,41769362.641.36
19382,222,0884,563659114.862.41
19392,342,6394,762681177.263.57
19402,516,0995,04666883.181.58
19412,639,5074,90172641.510.80
19422,680,0414,99773262.241.20
19432,787,8685,37469782.871.50
Totals to date103,443,584....5445.26..

The output of the several classes of coal mined in each inspection district during 1943 is summarized as follows:—

Class of Coal.Northern District (North Island).West Coast District (South Island).Southern District (South Island).Totals.Total Output to the End of 1943.
 Tons.Tons.Tons.Tons.Tons.
Bituminous and sub-bituminous81,8281,057,094..1,138,92257,466,814
Brown939,975107,478456,7881,504,24139,873,530
Lignite..630144,075144,7056,103,240
Totals for 19431,021,8031,165,202600,8632,787,868103,443,584
Totals for 1942930,6341,191,329558,0782,680,041100,655,716

There were 134 coal-mines operating in New Zealand in 1943. Fifty-four of these mines were situated on freehold property and produced 1,132,735 tons, or 41 per cent., of the total output. The remaining 80 mines were situated on Crown lands and produced 1,655,133 tons, or 59 per cent., of the total production. Data in respect of State-coal-mines are given for a March year, and in 1943–44 the gross output from these mines was 524,665 tons, which is equivalent to approximately 19 per cent. of the total Dominion production. Further reference to State collieries will be found later in this Section. Co-operative mining continues to be successfully carried out in the Northern and West Coast Districts.

The output of 2,787,868 tons in 1943 is the highest yet recorded, and is an increase of 107,827 tons, or 4 per cent., above the 1942 figure, while compared with 1939 there has been an increase of 445,229 tons, or 19 per cent. The average output per miner employed underground in 1943 was 697 tons, a reduction of 35 tons as compared with 1942, while the average production per person engaged—i.e., both underground and surface workers—was 519 tons, a decrease of 17 tons below the 1942 figure. The number of persons ordinarily employed in coal-mines during 1943 was 5,374, an increase of 377 as compared with 1942.

Despite the increased production during the war years, the increase in coal-consumption brought about by wartime activities has placed a severe strain on the coal-mining industry. This strain has been accentuated by the heavy fall in imports of high-grade coal from Australia, the quantity received in 1943 being only 37,454 tons, as compared with normal imports of approximately 100,000 tons. To compensate for this loss, recourse has had to be made to the supply of bituminous coals of the West Coast, and the difficulties of increasing production at short notice will be readily appreciated. The supply position was further complicated by shipping difficulties owing to the West Coast harbours being bar-bound for long periods.

As a result of the increase in consumption of coal generally, together with the shortage of high-grade coal, it was found necessary to restrict railway services for a portion of the year, while the gas industry in some districts had occasionally to curtail supplies.

In recent years the better use of lower-grade coal in many plants has resulted in the displacement, to a certain extent, of the high-calorific-value coals.

In order to increase coal-production as quickly as possible, New Zealand, along with other countries, has devoted attention to the mining of coal by stripping such portions of the seams as are covered by shallow overburden. Such opencast methods depend upon the use of mechanical strippers and excavators, and their adoption in New Zealand had to be postponed until such time as this equipment could either be released from construction of defence works or obtained from abroad. Progress is now being made in the winning of coal by these methods, and it is anticipated that before the end of 1944 a production of some 2,000 tons of coal per day will be obtained from this system of mining from areas in both the North and South Islands.

The Government is keeping abreast of the latest developments in regard to the production of oil from coal by the hydrogenation process, or by a synthetic process. Field and systematic laboratory work on the physical and chemical survey of the coal resources of the Dominion was continued during 1943. A large amount of investigational work in connection with fuel problems was also carried out, and many analyses of coal and other fuel samples were made.

Carbonization works have been established at Rotowaro, and a briquetting plant at Sockburn. At Rotowaro 33,187 tons were carbonized in 1943. From the raw coal, 11,424 tons of carbonettes, 142,265 gallons of creosote, 638 tons of pitch, and 6,318 tons of “char” were produced. At Sockburn 1,300 tons of briquettes were produced during 1943, as compared with 1,956 tons in 1942. Results of briquetting experiments have been published in Bulletin No. 39, New Zealand Department of Scientific and Industrial Research.

In order to reduce the economic waste caused by unmarketable alack coal produced at mines, a Coal-mines Amendment Act was passed in October, 1935. The Minister of Mines has authority to purchase and store slick, to acquire the necessary plant, &c., for its treatment, and to manufacture and sell any fuel or other products. In 1936, at the instigation of the Minister of Mines, the coal-owners in the Waikato district installed screens of a smaller mesh than formerly in use, and practically all slack made at their mines since then has been disposed of. Similarly the Southland and Otago mine-owners have also adopted a smaller screen mesh.

Subsidy on Coal-production.

In May, 1940, coal-miners were granted increases of 5 per cent. in the rates for contract workers and 7 1/2 per cent. in day-wages rates. This, with similar increases to colliery officials, was estimated to cost Is. ld. per ton on coal-production. Just prior to that date the Price Tribunal had examined applications to increase selling-prices of coal on account of the higher prices of colliery stores and had advised the Government that costs had risen 5d. per ton on this account.

In accordance with its policy of stabilizing prices during the war period, the Government decided to subsidize mine-owners to the extent of 1s. 6d. per ton to cover the increased cost of wages and stores, and thus avoid an increase in the selling-prices of coal. As the result of further increases of 5 per cent. in piece-work rates and 13.8 per cent. in wage-rates as from 1st May, 1942, the Government introduced an additional subsidy on coal-production ranging from fid. per ton to 2s. 7d. per ton, according to the localities in which mines are located and costs of production. Shipping companies are also granted a subsidy of 2 1/2 per cent. on freight rates. The amount of subsidy for the financial year 1943–44 was £510,642, which includes £12,590 paid to shipping companies. Since its introduction in May, 1940, to 31st March, 1944, the total amount paid by way of subsidy to the coal industry is £1,224,030.

State Collieries.

The Coal-mines Act of 1901 provided for the acquisition and working of State coal-mines in New Zealand under the direct control of the Minister of Mines. At 31st March, 1944, there were eight State collieries in operation—the Liverpool, Strongman, Blackball, Wallsend, and Dobson in the South Island, and the Mangapehi, Tatu, and Glen Afton opencast in the North Island. The Dobson and Wallsend Collieries were acquired as State coal-mines during 1942, and the James Colliery ceased production in July, 1943.

The outputs of marketable coal for the last two financial years are shown hereunder. (Note.—The outputs of Wallsend and Dobson Collieries in 1942–43 are for six weeks only.)

 Output, in Tons.Increase.Decrease.
Mine.1942–43.1943–44.Tons.Tons.
Liverpool160,260131,010..29,250
Strongman92,180104,27012,090..
James28,77011,813..16,957
Blackball34,29444,31510,021..
Mangapehi50,91569,44218,527..
Tatu24,44022,852..1,588
Wallsend6,44155,28448,843..
Dobson6,91360,65653,743..
Glen Afton Opencast..6,175....

The disposal, inclusive of stocks on hand at the beginning of the year, was as follows:—

Supplied toTons.
Depots136,121
Railways132,431
Other Government Departments22,028
Shipping15,118
Gasworks169,396
Other consumers31,351
Total506,445

The sales of coal, &c., through the medium of the depots totalled 370,740 tons (value, £648,651) in 1943–44, as against 290,036 tons (value, £499,010) in 1942–43.

The average number of miners, &c., employed in and about the State collieries during the year ended 31st March, 1944, was 1,216.

PETROLEUM.

Drilling for petroleum in earlier years had been carried out in Taranaki, Hawke's Bay, Canterbury, Southland, and Westland. Several bore-holes in search of petroleum were drilled, the deepest being at Moturoa, near New Plymouth, which attained a depth of approximately 6,000 ft. Petroleum of good quality but in limited quantity has been proved, but up to the present time boring for petroleum in the Dominion has not produced any considerable flow.

During 1943 a production of 73,487 gallons of oil was obtained from the New Zealand Petroleum Co.'s wells at New Plymouth. The Dominion's total production of crude petroleum to the 31st December, 1943, is estimated at 3,337,577 gallons.

Since the passing of the Petroleum Act, 1937, as amended by section 55 of the Statutes Amendment Act, 1939, and sections 59 to 63 inclusive of the Statutes Amendment Act, 1941, considerable interest has been displayed by some of the major oil organizations, and practically all the potential oil-bearing lands in the Dominion have been or are still held under petroleum-prospecting licenses. Forty-three licenses are at present held throughout the country, covering an area of 6,908 square miles.

A great amount of geological and geophysical work has been carried out on licensed areas by expert staffs using the most modern equipment. In addition to many thousands of feet of core drilling for geological and geophysical purposes, the following deep wells have been sunk: Totangi (Gisborne), 5,700 ft.; Morere (Gisborne), 6,643 ft.; Midhirst (Taranaki), 10,925 ft.; Devon No. 1 (Taranaki), 9,412 ft.; Devon No. 2 (Taranaki), 6,177 ft,; Uruti No. 1 (Taranaki), 1,173 ft.; Uruti No. 2 (Taranaki), 5,096 ft,; Marton, 6,877 ft,; Mount Stewart (Manawatu), 3,395 ft,; Kumara No. 1 (Westland), 5,450 ft.; Kumara No. 2 (Westland), 2,980 ft.; Kawaka (Westland), 2,795 ft.; and Notown No. 1 (Westland), 6,942 ft. So far results have been disappointing, as all of these wells proved dry. However, operations are still proceeding near Greymouth, in the Westland District.

BENTONITE.

Deposits of this mineral occur at Porangahau in the Hawke's Bay district, and production, despite difficult access and working-conditions, has commenced. The main use at present is in the preparation of foundry-moulding sands, but the mineral has many other uses. Investigation has shown the deposit at Porangahau to be of good grade and of some magnitude, so that an expanding production may be expected. The total quantity of bentonite produced to date is 1,073 tons, of a value of £4,547.

KAURI-GUM.

Production of kauri-gum has decreased in recent years. The industry suffered a severe setback through the restriction of European markets during the period of the 1914–18 war; and, while some recovery was made in the five years immediately following the war, trade in this commodity has since been at a comparatively low level.

A system of control of the trade in and export of kauri-gum was provided by the Kauri-gum Control Act, 1925. The Finance Act (No. 2), 1933, provided for the repeal of the Control Act. The property of the Kauri-gum Control Board was vested in the Crown, the Minister of Lands taking over the powers and obligations of the Board. The Internal Marketing Division of the Marketing Department has, since 1937, materially assisted kauri-gum diggers by arranging minimum prices for various types and qualities of gum, and by assisting in the marketing of their product.

During 1943, 590 tons of kauri-gum, valued at £44,528, were exported, the total quantity of gum exported to the end of 1943 being 447,256 tons, valued at £24,025,521.

PHOSPHATE.

At Clarendon and Milburn, Otago, considerable deposits of phosphatic rock were discovered in 1902 and were actively worked up to 1924. A thin bed of phosphatic rock has been identified from outcroppings at Kaikoura, and at Amuri Bluff, in Marlborough. A similar bed occurs near Port Robinson. Phosphatic nodules are found in the Kaikorai Valley (near Dunedin), at Weka Pass (North Canterbury), and elsewhere. A limestone containing 10.6 per cent. of tricalcic phosphate occurs in the neighbourhood of Onewhero, Waikato district. Other districts where phosphatic material of good quality is found, though, so far as is known, not in commercial quantity, are Amberley, Dipton, Oamaru, Waimate, Wangapeka, Clarence Valley, Tutira Block (Mangaharuru Survey District, Hawke's Bay), and Whangarei.

War conditions, and difficulties in obtaining supplies of phosphate from overseas, have again directed attention to the Clarendon deposits, which alone are of any commercial importance. A comprehensive drilling programme has been undertaken to explore both the medium-grade deposits worked in the past, and a new low-grade deposit, a phosphatic sandstone, discovered by officers of the Geological Survey. Results in the main have been disappointing, the mineral occurrences being patchy and the ratio of overburden to phosphate high. However, exploration of both types of deposits has commenced and in 1943 resulted in the production of 3,171 tons of the medium-grade material and 6,070 tons of the low-grade material.

SERPENTINE.

Owing to the value of this mineral to the fertilizer industry, the production of serpentine has assumed considerable importance. During 1943,59,445 tons were obtained from quarries in the Auckland Provincial District, and 2,200 from the Mossburn Quarry in Southland. Prospecting work is now being carried out at an occurrence near Te Kuiti.

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,” whenever observed in situ occurs as rounded segregations in talc or talc-serpentine rocks. These segregations vary up to 2 ft. or even more in lateral dimensions. As a rule they average less than 1 ft. in width. So far as is known, the mineral has been found in its original locus only in the Griffin Range, Turiwhate Survey District, North Westland.

BUILDING AND ORNAMENTAL STONES.

New Zealand possesses a great variety of handsome and durable building-stones scattered throughout both Islands. In Auckland there are basalt, andesite, porphyrite, and quartz biotite-diorite, known in the building trade as Coromandel “granite,” a hard, coarsely crystalline rook, capable of taking a fine polish. In addition there are the Whangarei limestone and the Raglan stone, the former an excellent building-stone, the latter a good freestone. Taranaki has the hornblende andesites of New Plymouth and Mount Egmont, and Wellington the andesites of Ruapehu.

In Nelson there are the granite of Tata Island and Tonga Bay and the marble or crystalline limestones of the Pikiruna (Riwaka) Range. The Parliament Buildings at Wellington are constructed of this marble. West Nelson and Westland are well provided with granites and limestones of good quality, well adapted for building purposes; and in the Griffin Range, North Westland, there is found an abundance of finely coloured serpentine, unsurpassed as a decorative stone. Building-stone is scarce in Marlborough, but Canterbury is well supplied, having an abundance of Lyttelton bluestone (andesite) and Mount Somers stone, a limestone of exceptional quality. In Otago there is an abundance of excellent building-stone, ranging from the well-known Oamaru stone to the granite, gneiss, and limestones of Fiordland, all close to deep water. In Southland there are the so-called Ruapuke “granite,” the norite of the Bluff, and the granites of Stewart Island.

The following table relates to quarries under the Stone-quarries Act for the year 1943, together with comparative figures of total production for 1942.

Provincial District.Number of Working Quarries under the Act.Number of Persons ordinarily employed.Output of Stone.
Stone or Gravel for Macadamizing or Ballast.Stone for Harbour-works.Building or Monumental Stone.Limestone for Agriculture.Limestone for Cement or Mortar.Phosphate for Agriculture.Miscellaneous.Value at Quarry.
Tons.Tons.Tons.Tons.Tons.Tons.Tons.£
Auckland176898594,097..12,018168,848271,246..223,752277,935
Hawke's Bay218211,140....42,771....2,85927,216
Taranaki205716,530..........523,735
Wellington3110455,623....78,835....3,16651,054
Nelson, Westland, and Marlborough251067,2844,7023,00021,43058,510..5,02721,388
Canterbury and Otago5242590,31947,2122,694440,71981,2899,2412,200198,969
Totals, 19433251,672774,99351,91417,712752,603411,0459,241237,056580,297
Totals, 19423341,5591,330,17750,9502,924613,168381,870..63,412539,904

Included in the output recorded above are the following minerals which are listed separately in the table under the heading “Mineral Production” (see page 269): 9,241 tons of phosphate, value £14,340; 62 tons of talc, value £202; 171 tons magnesite, value £154; 3,571 tons dolomite, value £1,098; 2,200 tons serpentine, value £1,100. The value of stone recorded in the table mentioned has been reduced by the value of these minerals.

The Quarries Act, 1944, which repealed the Stone-quarries Act, 1910, and its amendments, includes 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, 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.

PERSONS ENGAGED.

The following table shows the number of persons employed in or about mines and stone-quarries, and in oil-prospecting operations, during each of the last five years.

1939.1940.1941.1942.1943.
Metalliferous mines2,8242,8022,4201,6451,562
Coal-mines4,7625,0464,9914,9975,374
Stone-quarries2,0831,9521,9721,5591,672
Oil prospecting132178174262216
Totals9,8019,9789,5578,4638,824

Accidents in mining and quarrying operations in 1943 resulted in eight deaths in coal-mines, one in metalliferous mines, and four in quarries. In addition, thirty-eight persons were seriously injured in coal-mines, five in metalliferous mines, and three in quarries.

STATE AID TO MINING.

State aid to mining in the Dominion is given in several forms—viz., (1) Geological survey and bulletins; (2) financial aid to prospecting; (3) Government prospecting-drills; (4) schools of mines; (5) subsidized roads to mining-fields.

During the year 1943–44 officers of the Geological Survey were chiefly engaged in examining and sampling deposits of mineral substances of possible economic value. These included phosphate rock at Clarendon; limestone in Southland; serpentine in the Wellsford and Kaukapakapa districts and at Blackridge, Southland; mica near Henry Pass; pottery clay in the Bay of Islands, Whangarei, Waimangaroa, Charleston, Mount Somers, and Kakahu districts; Fuller's earth in the Gore-Mataura district; and diatomite near Auckland. Sub-surface water-supplies are being increasingly used, and many bore-sites have been selected for the military authorities and others.

Several officers devoted their whole time to the detailed examination of the Grey-mouth and Nightcaps-Ohai coalfields. The preparation of the report on the former is now in hand. The detailed mapping of the Westport field has begun. Other officers visited the Kawakawa, Huntly, Mangapehi, Tatu. and Waitewhena areas of the North Island, and Reefton and Elliotvale of the South.

The search for oil in Taranaki and North Westland involved the identification of many micro and micro-fossil faunas by the Department's palæontologists, as well as the determination by the petrologist of the mineral content of heavy residues from many rook samples from both districts.

Reports were prepared on gold and scheelite mines and on two manganese prospects. A report on the fireclays and ganisters of New Zealand was issued.

The Dominion Laboratory has, as in past years, carried out a considerable amount of analytical and investigational work connected with the mining industry. Samples examined included scheelite concentrates for export, bentonite, stone-dusts, mine airs and gases, mine-dusts, manganese-ores, ganister, serpentines, glass sand, mica, feldspar, yellow ochre, polishing earths, and magnesite limestones. Analyses of coal and other fuel samples and a large amount of investigational work in connection with fuel problems were carried out by the Coal Survey Division of the Laboratory, in addition to systematic work on the physical and chemical survey of the coal resources of the Dominion.

As an aid towards the development of the mining industry the Government offers varied and liberal assistance to prospectors in the form of subsidies, expert and technical advice, use of plant, &c. Subject to the provisions of the Mining Act, the holder of a valid miner's right is entitled to prospect for gold or any other metal or mineral (except coal) on any Crown land. He may also obtain authority from the Governor-General to prospect on Native land, and he may also prospect on private land with the consent of the owner. Wardens in mining districts and Commissioners of Crown Lands in other districts may, with the consent of the Minister of Mines, grant prospecting licenses for coal.

Apart from the subsidy on coal-production referred to on page 275, the total expenditure by way of direct assistance to mining in the year ended 31st March, 1944, was £43,043, of which £36,743 was advanced to promote and maintain coal-production, £2,244 to scheelite-mining, £2,278 to gold-mining, £636 towards £he production of manganese, and £1,142 for the production of mercury. In addition, the Mines Department expended £9,506 in prospecting and development work on strategic minerals.

Prospecting-drills of various types suitable for the conditions existing in the Dominion are lent to bona fide prospectors. A monthly rental is charged for the plant, and the hirer is required to maintain it in good order and condition. Working-expenses are also paid by the hirer, including renewals, &c., and the loss on carbons. The hirer is required to furnish to the Mines Department copies of the borelogs and a plan showing the location of the boreholes. These drills were hired by six parties during 1943, and a total of 14,572 ft. was drilled.

For the education of prospectors and mining students seven schools of mines are subsidized by the Government, in addition to the Otago University School of Mines. The schools of mines are situated at Thames, Waihi, Huntly, Westport, Reefton, Runanga, and Ohai. Six scholarships, tenable for four years at the University of Otago, are offered annually by the Mines Department. The expenditure on these schools by the Government during the year ended the 31st March, 1944, was £3,381, as against £3,695 during the previous year.

The expenditure in the form of subsidies and direct grants upon roads and tracks to mining areas during the year ended 31st March, 1944, amounted to £621, as compared with £3,968 during the previous year.

Another form of Government assistance to mining consists of the publication of several leaflets as a guide to the prospector. These leaflets may be obtained on application to the Mines Department, and deal with: (a) The description of fields which may be considered to warrant further examination for gold; (b) the description of the best ways of seeking for and of saving gold; (c) a brief summary of the statutory procedure to be followed to obtain a right to prospect or mine for metals or minerals under the Mining Act; (d) notes on the taking of samples of mineral deposits and the valuation of mining prospects; (e) notes for drilling and a method of calculating gold value of alluvial deposits.

Board of Examiners.

The Board of Examiners annually conducts examinations of candidates for certificates as first-class and second-class mine-managers, battery-superintendents, and dredgemasters under the Mining Act, and for certificates as first-class and second-class mine-managers, mine-surveyors, and electricians under the Coal-mines Act. Examinations of candidates for certificates as under viewers and firemen-deputies under the Coal-mines Act are held periodically when necessary. No candidate is permitted to present himself for examination unless he holds an authority from the Secretary to the Board of Examiners. Sixty-seven certificates were issued in 1943.

Coal-miners' Relief Fund.

As required by the Coal-mines Act, 1925, the owner of every coal-mine contributes 1/2 d. per ton on all coal sold, for the relief of coal-miners who may be injured while working, and for the relief of the families of coal-miners who may be killed or injured. These contributions are paid to the Coal-miners’ Relief Fund established under the Act, the fund being administered by the Public Trustee with the assistance of local committees.

The income from the ½ d. per ton contribution during the twelve months ended 31st March, 1944, was £6,325, as compared with £5,346 during 1942–43, and interest earnings brought the total receipts to £6,761 and £5,917 for the respective years. The total expenditure for the year ended 31st March, 1944, amounted to £9,780 as against £9,284 for the previous year. The amount standing to the credit of the fund as at the 31st March, 1944, was £11,391, as against £14,410 twelve months earlier.

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 24 (Social Security, Pensions, Superannuation, &c).

Chapter 21. SECTION 21.—FACTORY PRODUCTION

Statistics of factory production were collected in New Zealand from 1867 to 1916 in conjunction with the population census; hut, commencing with the year 1918–19, the collection became an annual one. An analysis of the statistics for recent years, with a brief summary covering the period 1910–11 to 1942–43, is given in the following pages. More complete statistics will be found in the annual Statistical Report on Factory Production.

It should be noted that the production year does not generally coincide with the calendar year. In the important meat freezing and preserving industry, and the butter, cheese, and condensed milk industry, the financial year—and, incidentally, the period covered by the returns from which the accompanying statistics are compiled—is in accordance with the production season terminating in June or July, while in most other industries the 31st March marks the end of the accounting period.

A review of the statistics of factory production for a number of years shows that, following the depression of the early nineteen-thirties, New Zealand industries had been making steady progress up to the outbreak of war; progress to which the establishment and growth of new industries had contributed considerably. This diversification and expansion had greatly increased the occupational range of factory employment, and local production of raw materials had ceased to be the limiting factor in the growth of factory industries, local manufactures being able to meet the Dominion's needs in many products which previously had been almost exclusively imported. This development has stood the Dominion in good stead during the war years, when heavy calls have been made on the industrial community to supply goods no longer obtainable from overseas for both the Armed Forces and civilian requirements. Not only have there been large increases in the output of lines for which appropriate manufacturing facilities and skills were available, but new facilities have been provided, locally and by importation, and new skills acquired for production in lines not previously attempted in this country. On the other hand, labour shortages and closing of overseas sources of supply of plant and raw materials have restricted the supply of certain goods.

The development of the country's hydro-electric power resources has been a potent factor in industrial growth. Until the outbreak of war curtailed deliveries of generating equipment and also led to heavier demands on available supplies owing to the expansion of industry, ample power was available in both Islands at rates comparing very favourably with those in other and more highly industrialized countries. The all-over price per unit retailed in 1942–43 was 0.84d. per unit, with much lower rates for industrial supply in the urban areas. Shortage of generating capacity has necessitated restrictions in the supply during recent winters in the North Island, but in the South Island no such restrictions have been necessary.

INDUSTRIES COVERED BY STATISTICS.

—Under the regulations authorizing the collection of statistics of factory production a “factory” is defined as an establishment engaged in the manufacture, repair, or preparation of articles for wholesale or retail trade or for export, which employs at least two hands or uses motive power, with the exception of the following, which are expressly excluded: Bakeries, butcheries, laundries, smithies, waterworks, shops engaged in retail trade only, and farmers or others using motive power for their own individual and private use. The following are, however, required to furnish returns even though employing less than two hands and not using motive power: Tanneries; bacon, butter, cheese, soap, and candle factories; brickyards; and lime-works.

Such industries as jewellery and watch repairing, boot and shoe repairing, and saddlery repairing, come within the meaning of the term “factory,” and figures relating to these industries were at one time included in the statistics. Since 1919, however, they have been excluded unless they are also engaged in actual manufacture and have at least two persons engaged, or use motive power. Other classes of establishments formerly covered by the statistics but excluded from 1921–22 onwards are those engaged in dressmaking and millinery (unless manufacturing wholesale for sale in retail shops), bespoke tailoring, and establishments engaged in tea blending and packing, liquor-bottling, stone quarrying and crushing, asphalting, and monumental masonry. The latter industries were excluded to bring the statistics into conformity with those of other British countries. In addition, returns are not required from plumbers, from undertakers, or from builders who make joinery solely for their own building contracts.

It should be noted that factory-production statistics do not cover, and do not purport to cover, all establishments registered as factories in the Dominion. “One man” businesses are excluded with the exception of tanneries, bacon, butter, cheese, soap, or candle factories, brickyards, or lime-works; and some small repair-shops (as explained previously) are excluded even though they may employ two or more hands. The effect of these limitations in the scope of the statistical inquiry is seen from the fact that while for the year 1942–43 16,408 factories, employing 130,560 hands, were registered under the Factories Act, only 6,127 factories (with 114,590 persons engaged) were covered by the statistics of factory production.

GENERAL SUMMARY.

—The statistics in the table following illustrate the growth of New Zealand's factory production to its present standing.

Year.Number of Establishments.Persons engaged.Salaries and Wages paid.Cost of Materials.“Other Expenses (i.e., Expenses of Operation other than Salaries and Wages and Cost of Materials).”Value of Output.Added Value.

* Productive employees only.

†Not available.

£££££
1910-113,48345,924*4,786,698*18,782,92929,317,02310,534,094
1915-163,75548,744*5,791,704*30,197,78443,034,03312,836,249
1920-214,02269,68113,172,99652,933,49477,828,01324,894,519
1925-264,79478,70816,153,82251,668,1008,395,92182,358,85130,690,751
1930-315,19477,91415,617,05248,458,3569,388,62677,745,24929,286,893
1931-324,96968,69712,642,93542,472,6008,203,06566,588,74424,116,144
1932-334,99368,92112,048,14842,726,0438,097,04266,109,45523,383,415
1933-345,02872,65112,106,50047,067,5648,108,89071,770,87224,703,308
1934-355,27079,35813,244,37352,277,2858,809,91279,324,47327,047,188
1935-365,53686,58814,844,36760,172,8489,374,36990,014,74829,841,900
1936-375,72896,40118,333,07770,938,16510,481,253105,941,72235,003,551
1937-385,924102,34420,981,58775,371,55810,540,208113,691,55638,319,998
1938-396,146102,53522,270,01075,634,90310,001,804114,447,42638,812,523
1939-406,342108,72224,460,54985,243,38311,043,557129,061,82643,818,443
1940-416,395113,99926,946,79998,547,80411,978,820147,153,55948,605,755
1941-426,367117,21429,504,299102,260,86012,812,901155,566,19553,305,335
1942-436,127114,59032,256,071107,447,79913,331,973165,936,28458,488,485

In the calculation of value of products, values at the factory are taken. Despite instructions to the contrary, however, it was found that some of the returns for 1937–38 and previous years contained an unknown amount of selling and distributing charges. As these charges have been excluded from the figures for 1938–39 and subsequent years, the value of output, added value, and other expenses of manufacture for these years are not strictly comparable with earlier years.

Factory production climbed fairly steadily from 1910–11 until a relatively high level was attained in 1929–30. During the depression there was a decided fall in factory production, but 1933–34 saw the commencement of a gradual recovery in industrial conditions and in 1935–36 a complete recovery from the depression period in factory industries was recorded. The statistics for the year 1936–37 set new record high levels for factory production, and further gains have been recorded in each succeeding year, with the exceptions of reductions in the numbers of establishments operating in each of the last two years and a fall in the number of persona engaged in the latest year, resulting from military call-ups following the entry of Japan into the war.

In the 6,127 establishments recorded in 1942–43 the number of persons engaged was lower by 2,624 or 2.2 per cent., than in the 6,367 establishments reported in 1941–42. The salaries and wages paid increased by £2,751,772, or by 9.3 per cent. The cost of materials used increased by £5,186,939, or 5.1 per cent., while the value of output rose by £10,370,089, or 0.7 per cent.

In making use of the following summary by provincial districts for the year 1942–43 it is necessary to keep in mind the differences in size and population of the respective provincial districts (vide section on “Population”).

Provincial District.Number of Establishments.Persons engaged.Salaries and Wages paid.Cost of Materials.Other Expenses of Operation.Value of Output.Added Value.
£££££
Auckland2,14341,47411,828,05644,098,0395,100,66065,778,05021,680,011
Hawke's Bay2773,9401,166,9095,126,232498,9206,993,4151,867,183
Taranaki3113,5291,110,5697,147,658570,6569,048,3161,900,658
Wellington1,34926,5737,694,59322,737,3492,912,98737,176,00014,438,651
Marlborough68574164,654576,67578,614829,231252,556
Nelson1821,870545,8801,248,530281,8042,242,086993,556
Westland951,214392,507312,087149,877955,692643,005
Canterbury91119,2714,968,58214,247,7751,761,66422,978,1518,730,376
Otago—
   Otago50112,2143,191,0847,331,5891,354,49913,208,1485,876,559
   Southland2903,9311,192,5774,621,265562,2836,727,1952,105,930
Totals6,127114,59032,256,071107,447,79913,331,973165,936,28458,488,485

ESTABLISHMENTS AND EMPLOYEES.

—The industries recording the greatest increases in the number of establishments reporting operations in 1942–43 were: Leather goods, 18; general engineering, iron and brass founding, 17; woodware and turnery, 11. The principal decreases were: Coach building and motor engineering, 161; furniture, 40; sawmilling, sash and door making, 36.

The following table shows the average (monthly) numbers of wage-earners and of total persons engaged in each of the principal industries and all industries, and the number of establishments operating, during the year 1942–43.

Industry.Number of Establishments.Wage-earning Employees.Total Persons engaged.
M.F.M.F.
Meat freezing and preserving388,5055599,401736
Ham and bacon curing454123149680
Butter, cheese, condensed milk, &c.4102,6611523,468515
Grain milling455503867590
Biscuits and confectionery561,1031,7181,2601,851
jam-making, fruit and vegetable preserving20396569439592
Miscellaneous foods55370404455488
Brewing and malting46968..1,12566
Aerated waters, cordials, and ice-cream15542678616155
Tobacco and cigarettes6194786225824
Soap and candle25354270451324
Boiling-down, glue, and manures383452040241
Fellmongering and woolscouring355871263826
Tanning20779..85019
Sawmilling, sash and door making4226,659277,428146
Coopering and casemaking33574463020
Wood ware and turnery1821,4691431,713198
Furniture and house furnishings4361,9974602,449574
Paper bag and box making20273545325592
Gasworks421,16331,527141
Electric supply982,438363,130564
Printing, publishing, and bookbinding3383,2551,5044,2092,069
Lime crushing and burning and cement771,106..1,25323
Brick, tile, and pottery5684490945131
Pumice and concrete products78399..50325
Tinned plate and sheet metal1321,5264821,739571
General engineering, iron and brass founding3726,7194667,698793
Electrical and radio engineering1231,2034791,454615
Agricultural and dairying machinery631,119211,259117
Coachbullding, motor and cycle engineering1,1384,05665,330534
Saddlery, harness, and leather goods119265678404737
Ship and boat building251,16211,23326
Chemical fertilizers9647..76444
Paint and varnish242375429696
Polishes, matches, chemicals, &c.145544806797997
Boot and shoe762,1362,0062,3692,144
Woollen-mills131,6412,2651,7432,302
Hosiery and knitted goods463991,4925151,590
Textile and fur clothing4751,20211,8531,88612,369
All other industries5855,5142,4428,4292,836
Totals0,12706,28730,50078,52936,061

The distribution of the sexes among the persons engaged shows a considerable preponderance of males, although for each of the last four years the proportionate number of females has shown an appreciable increase. The number of females per hundred males in each of the five years ending 1942–43 has been: 33, 36, 40, 43, and 46.

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 greater demand. In Otago the excess of males is less than in any other district, owing to the comparative importance of its woollen-milling industry. Women and girls are chiefly found in the following industries: textile and fur clothing, 12,369; woollen-mills, 2,302; boot and shoe manufacturing, 2,144; printing and publishing, 2,069; biscuits and confectionery, 1,851; hosiery and knitted goods, 1,590.

The following figures show that in 1942–43 for approximately eleven wage-earners there was one proprietor (actively engaged), manager, or overseer.

Group.1041-42.1942-43.
   Number of Persons.   Per Cent. or Total.   Number of Persons.   Per Cent. of Total.
Proprietors actively engaged2,4522.12,1671.9
Managers, overseers, &c.6,2775.36,3865.6
Accountants, clerks, &c.9,4758.19,2508.1
Wage-earning employees99,01084.596,78784.4
Totals117,214100.0114,590100.0

A classification of the establishments, according to the number of persons engaged, is given for the years 1924–25, 1929–30, 1934–35, and 1939–40 to 1942–43.

Year.10 or under.11–20.21–50.51–100.Over 100.Totals.
Number of Factories
1924–252,9727205701551214,538
1929–303,4768005911641375,168
1934–353,7257644961431425,270
1939–404,2189577722121836,342
1940–414,2539357772371936,395
1941–424,1659677792462106,367
1042–434,0388877572442016,127
Number of Persons engaged
1924–2512,65810,69018,06711,09424,67477,183
1929–3015,47411,78517,97711,65825,96782,861
1934–3514,90111,32115,3099,71628,11179,358
1939–4017,21214,04823,31614,73739,409108,722
1940–4117,35913,80223,75910,39142,688113,999
1941–4217,23814,35923,56516,46345,589117,214
1942–4316,88113,08723,12316,80044,699114,590

The classification according to the number of persons engaged shows clearly that, judged according to the standards of highly industrialized communities, the average size of the industrial unit in New Zealand is small.

The shortage of labour and the changes brought about by a war economy have had their greatest effect on the smaller establishments, the number employing ten persona or less having fallen by 215 between 1940–41 and 1942–43, while those employing from 11 to 20 hands fell by 80 in 1942–43.

SALARIES AND WAGES.

—The figures relating to the amounts paid as salaries and wages include amounts paid as bonuses and for overtime. Figures illustrative of the rise in the aggregate amount paid in salaries and wages will be found in the first table of this section.

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.

Year.MalesFemales.Both Sexes.
Total.Average.Total.Average.Total.Average.
 ££££££
1938–3919,486,3352542,783,67510822,270,010217
1939–021,111,7402633,348,80911724,460,549225
1940–4122,876,3672804,070,43212626,946,799236
1941–4224,680,5603014,823,73913729,504,299252
l942–4326,768,2383415,493,83315232,256,071281

The averages shown relate to all persons engaged, irrespective of age, industry, status, and personal occupation, and year-to-year comparisons may 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 mates having risen by 34 per cent. and for females by 41 per cent. since 1938–39.

The table following shows the amount of salaries and wages paid in each of the principal industries and the total for all industries during the years 1941–42 and 1542–43.

Industry.1941–42.1942–43.
Males.Females.MalesFemales.
 ££££
Meat freezing and preserving3,210,94373,0993,713,721125,540
Ham and bacon curing150,8679,231188,93412,794
Butter, cheese, condensed milk, &c.1,283,54765,1371,134,65771,111
Grainmilling209,1339,161233,43211,922
Biscuits and confectionery425,142290,393436,553277,073
Jam-making, fruit and vegetable preserving101,38254,430134,09783,935
Miscellaneous foods130,76450,215150,59565,457
Brewing and malting390,75210,056424,09812,476
Aerated waters, cordials, and ice-cream190,18118,441181,77226,070
Tobacco and cigarettes89,445150,17786,990141,935
Soap and candle128,35340,060143,01745,652
Boiling down, glue, and manures124,6525,635151,6486,975
Fellmongering and woolscouring200,3961,745220,5034,200
Tanning229,4282,463285,3343,045
sawmilling, sash and door making2,270,32915,0852,426,13722,205
Coopering and casemaking164,1284,018213,2313,942
Woodware and turnery358,45613,375544,99926,701
Furniture and house furnishings758,67781,334669,49787,307
Paper bag and box making109,90080,110108,62380,183
 535,94818,722541,58021,736
Electric supply1,134,39369,2081,159,85687,998
Printing, publishing, and bookbinding1,593,680304,1901,452,500319,254
Lime Crushing and burning and cement383,3293,405430,3404,899
Brick, tile, and pottery289,8797,724294,49518,324
Pumice and concrete products192,6013,526161,7593,569
Tinned plate and sheet metal531,87774,173587,39999,916
General engineering, iron and brass founding2,222,27772,4882,780,541138,756
Electrical and radio engineering384,17767,287425,21694,256
Agricultural and dairying machinery354,0259,226380,83516,730
Coachbuilding, motor and cycle engineering1,594,22165,5861,496,87576,238
Saddlery, harness, and leather goods113,45878,737119,005101,703
Ship and boat building356,1932,656531,2614,555
Chemical fertilizers284,8746,651250,7997,486
paint and varnish111,24515,099103,94818,236
Polishes, matches, chemicals, &e.229,463108,814265,531143,967
Boot and shoe615,784289,534691,360305,773
Woollen-mills537,869345,387596,246385,659
Hosiery and knitted goods191,937223,580187,602244,488
Textile and fur clothing698,8241,759,089697,5181,808,471
All other industries1,792,031324,4322,159,734483,296
Totals24,680,5604,823,73926,762,2385,493,833

Special returns as to employees and wages in a selected week are collected each year. The period covered is the nearest normal week to 31st March, and the data collected include the number of employees engaged at each wage-rate, as well as the total employees and the total earnings during the specified week. Working proprietors, managers, overseers, accountants, and clerks do not come within the scope of this inquiry, which covers wage-earning employees only, and out-workers, if any. All productive employees are covered, irrespective of age or sex, and the figures are therefore inclusive of many juvenile workers receiving low wages. The following summary table shows totals and averages for all factory industries for each of the last five years.

Year.Total Wage-earning Employees.Earnings during Specified Week.
Total.Average.
Males.Females.Males.Females.Males.Females.
£££s.d.£s.d.
193968,86822,640338,89947,0524185217
194071,36225,289362,91656,7375192410
194172,83928,406400,07469,6765910291
194269,77630,290424,59580,5826182132
194370,22730,756466,06491,43261292195

Certain important reservations must be made in drawing any conclusions from the above table, which must be considered as being strictly limited in its application. Since the figures relate to a single week, an unduly late or early season, abnormally wet weather, &c., would affect the usefulness of either the number of workers or their earnings as indexes of the volume of employment. Further, the figures given are for actual earnings during the week in question and not for nominal wage-rates. Variations in the amount of overtime or short-time would cause appreciable changes in average earnings even though wage-rates remained unchanged. For example, in 1938–39, 3,608,514 hours of overtime were worked and 920,161 hours of short time were recorded. In 1942–43 overtime had increased to 14,446,733 hours and short time had fallen to 638,284 hours.

The reduction in the number of male wage-earners in March, 1942, was a consequence of the military call-up following the entry of Japan into the war in December, 1941. A slight recovery is apparent in the figures for March, 1943.

The following table shows the distribution of employees within the various wage-groups for the specified weeks covered by the returns for 1933 and 1943. The wage-categories shown refer to wage-rates and not to actual earnings.

Weekly Rate of Wages.Males.Females.
1933.1943.1933.1943.
Under 20s.1,7715122,356550
20s. and under 25s.1,4601,0201,296785
25s. and under 30s.1,1221,2331,3461,017
30s. and under 35s.1,5161,2021,3961,121
35s. and under 40s.1,4381,2861,2611,319
40s. and under 45s.1,4531,1453,4381,495
45s. and under 50s.1,4599301,4521,583
50s. and under 55s.8657895652,998
55s. and under 60s.8106462125,595
60s. and under 65s.1,2827251447,486
65s. and under 70s.1,375417402,637
70s. and under 75s.3,190423401,868
75s. and under 80s.4,23725317673
80s. and under 85s.5,75741229575
85s: and under 90s.4,30923913179
90s. and under 95s.3,58885810288
95s. and under 100s.2,0781,3319102
100s. and under 105s.1,7983,87213156
105s. and under 110s.9864,256556
110s. and under 115s.8537,067485
115s. and under 120s.3436,298..33
120s. and under 130s.87116,574673
130s. and under 140s.3407,702129
140s. and under 160s.3995,461431
160s. and over3215,576222
Totals43,62170,22713,65930,756

The statistics of distribution of wage-rates just quoted, and the more detailed analysis published in the annual Statistical Report on Factory Production, show that marked changes have occurred in wage distribution a fact which materially affects the significance of statistics of average earnings.— Obviously, if a greater proportion of juvenile workers at starting rates of pay is employed in any particular year, this will tend to bring clown the general average rate of earnings—despite the fact that rates of wages for individual classes of factory work actually may have been raised. On the other hand a slackening in juvenile employment would, other things being equal, raise the average earnings.

As indicated in a previous paragraph, the effect of changes in wage-rates on average earnings may be obscured by shifts in the distribution of wage-rates caused by changes in the age constitution of workers. The table of distribution of wage-rates is thus more informative as an indication of wage-changes than are figures of average earnings, since, if desired, the lower wage-groups comprising mostly juveniles can be excluded from consideration.

MOTIVE POWER.

—A supply of cheap motive power is essential for industrial development. New Zealand industries were formerly somewhat handicapped in this respect, long railway hauls and, in some instances, sea-carriage being involved in the transport of coal from the mines to the factories. The difficulties in the way of obtaining a plentiful supply of cheap motive power have been met by the development by the State of hydro-electric schemes, for which New Zealand is topographically well suited. As mentioned earlier in these notes, conditions resulting from the war have necessitated some restrictions in the supply in the North Island during the winter months.

The following table shows the numbers and aggregate horse-power of each class of engine used in factories for 1922–23, 1932–33, and the last three years.

Class of Engine.1922–23.1932–33.1940–41.1941–42.1912–43.
SteamNo.2,3101,5621,3361,2881,208
 H.P.98,875134,065152,377154,226147,255
GasNo.807204908273
 H.P.24,0378,8435,3655,0224,816
OilNo.418445669857828
 H.P.6,45130,31545,91847,82751,032
ElectricNo.5,78416,94235,66038,54842,288
 H.P.56,108139,173230,911240,463257,848
WaterNo.210305183174170
 H.P.41,630329,720479,656521,375554,020
TotalsNo.9,52919,45837,93840,94944,567
 H.P.227,101642,116914,227968,9131,014,971

The figures relating to horse-power represent the indicated horse-power of the engines installed and not the horse-power actually used. The statistics include the horse-power of turbines, pelton wheels, and other engines used in the generation of electric current.

The following table shows the total number of engines and horse-power in use in the principal industries and all industries for the years 1937–38 and 1942–43.

Industry.1937–38.1942–43.
Number of Engines.Horsepower.Number of Engines.Horsepower.
Meat freezing and preserving2,37043,0853,22155,424
Ham and bacon curing1531,4841821,443
Butter, cheese, condensed milk, &c.2,54125,5653,39729,068
Grain milling2585,6093256,078
Biscuits and confectionery6205,3791,0236,756
Jam-making, fruit and vegetable preserving66369271738
Miscellaneous foods3491,6584852,213
Brewing and malting4923,7057244,672
Aerated waters, cordials, and ice-cream5392,8547403,393
Tobacco and cigarettes102394171540
Soap and candle1611,0202921,425
Boiling down, glue, and manures1672,0312462,201
Fellmongering and woolscouring1441,4911971,847
Tanning3142,2924783,084
Sawmilling, sash and door making2,18039,6272,62454,797
Coopering and casemaking2242,4112562,719
Woodware and turnery8764,7501,6028,338
Furniture and house furnishings1,5505,6942,2407,173
Paper bag and box making1465893701,149
Gasworks........
Electric supply212581,865202686,133
Printing, publishing, and bookbinding2,72010,3453,24912,098
Lime crushing and burning and cement63323,16877820,808
Brick, tile, and pottery2946,3263775,830
Pumice and concrete products1791,2462561,449
Tinned plate and sheet metal3371,8999373,689
General engineering, iron and brass founding1,93912,7384,10819,055
Electrical and radio engineering3715881,1501,930
Agricultural and dairying machinery2571,6943771,828
Coachbuilding, motor and cycle engineering2,9026,4723,5857,926
Saddlery, harness, and leather goods104242323324
Ship and boat building849431711,705
Chemical fertilizers4706,3167389,581
Paint and varnish90584158998
Polishes, matches, chemicals, &c.3672,1198073,315
Boot and shoe3751,4089442,534
Woollen-mills3425,9346556,763
Hosiery and knitted goods227499455962
Textile and fur clothing1,3522,6542,2393,003
All other industries1,56715,7034,21431,922
Totals28,074832,75044,5671,014,971

A drawback to the statistics arises through the lack of information relating to the actual or estimated period during which the engines or motors wore in use. This is an important aspect of considerations affecting the quantitative measurement of the motive power employed.

CONSUMPTION OF COAL.

—During the year 1942–13, 1,083,640 tons of coal were used in industries covered by the statistics of factory production, a decrease of 9,640 tons, or 0.9 per cent., as compared with the previous year. Of this amount, 1,013,609 tons represented New Zealand coal, and the remainder (70,031 tons) imported coal.

Some 69,323 tons (99 per cent.) of the imported coal, and 202,764 tons (20 per cent.) of the New Zealand coal, were utilized in gas-making, this industry accounting for 25 per cent. of the total amount of coal used in industries covered by the factory production statistics. A further 43 per cent. was used by four industries—namely, butter, cheese, and condensed-milk making, 143,117 tons; meat freezing and preserving. 135,329 tons; lime-crushing and cement-making, 113,005 tons; and electric supply, 74,258 tons.

MATERIALS.

—The value of materials used or operated upon does not afford a very satisfactory basis of comparison as between one industry and another, for the reason that the changes wrought during the process of manufacture vary considerably in degree. As an instance, the factory constituent in the products of the four food-processing industries heading the tables shown in this section is comparatively small, whereas the aggregate cost of finished woollen fabrics is far in excess of the value of untreated wool.

The cost of materials used in the principal industries and in all industries during the last four years is given in the table hereunder.

Industry.1939–40.1940–41.1941–42.1942–43.
 ££££
Meat freezing and preserving19,070,26721,835,27922,034,51123,140,041
Ham and bacon curing1,084,1361,241,8601,229,9031,789,970
Butter, cheese, condensed milk, Ac.27,332,13830,064,10028,498,44526,770,310
Grainmilling1,943,5262,042,0252,140,6442,389,012
Biscuits and confectionery1,239,2001,432,2071,828,8791,970,187
Jam-making, fruit and vegetable preserving401,325448,551586,370809,643
Miscellaneous foods437,190528,037632,137912,706
Brewing and malting956,9261,052,4101,199,3551,250,798
Aerated waters, cordials, and ice-cream297,198353,604407,310446,868
Tobacco and cigarettes1,313,1021,675,9201,866,4771,597,804
Soap and candle308,676364,602432,250543,622
Boiling down, glue, and manures243,200294,372322,530407,493
Fellmongering and woolscouring910,1601,698,9412,374,3293,384,205
Tanning383,406611,949797,843965,497
Sawmilling, sash and door making2,252,4702,328,7862,507,8132,646,626
Coopering and casemaking367,149457,583506,511601,688
Woodware and turnery478,163482,494476,1021,241,929
Furniture and house furnishings1,168,2571,281,3431,279,0481,228,299
Paper bag and box making320,680470,289508,197563,115
Gasworks490,841532,718564,384603,300
Electric supply5,811,1206,316,4786,547,9856,399,705
Printing, publishing, and bookbinding1,518,6871,824,3701,794,8151,595,148
Lime crushing and burning and cement230,406263,928255,027303,335
Brick, tile, and pottery47,20554,28554,61350,919
Pumice and concrete products254,392222,782293,655174,179
Tinned plate and sheet metal943,7311,124,5011,351,1291,726,589
General engineering, iron and brass founding1,657,3882,207,5242,565,4753,526,996
Electrical and radio engineering644,912960,2281,049,198843,724
Agricultural and dairying machinery681,606663,877719,859464,386
Coachbuilding, motor and cycle engineering1,907,1621,713,1001,739,6641,746,468
Saddlery, harness, and leather goods169,669261,655364,121407,490
Ship and boat building117,689125,161128,821184,077
Chemical fertilizers1,384,0071,626,7001,223,883890,658
Paint and varnish536,700642,069579,186700,749
Polishes, matches, chemicals, &c.533,169827,8671,040,2451,361,096
Boot and shoe960,5011,433,9291,618,4061,856,737
Woollen-mills609,356870,1551,016,4591,078,049
Hosiery and knitted goods495,314796,741891,4111,035,648
Textile and fur clothing2,531,7393,169,3213,515,0153,557,441
All other industries3,210,6204,246,0635,408,8556,281,292
Totals85,243,38398,547,804102,260,860107,447,799

In considering the cost of materials used it should be remembered that the semi-primary industries (e.g., meat freezing and preserving, and butter, cheese, condensed milk, &c.), account for a very large proportion of the total. In 1942–43, for example, the two industries mentioned accounted for £49,910,351 out of a total of £107,447,799 for cost of materials used. Constituting as they do nearly one-half of the total cost of materials used in all industries, the figures for the semi-primary industries influence the total figures for any year. Indeed, a study of the total cost of materials over a number of years shows that frequent and wide oscillations in primary-produce prices are clearly reflected therein. Also, difficulty has been experienced in determining what actually constitutes materials in the electric-supply industry. For the purpose of factory-production statistics the figure for materials in respect of this industry is deemed to be the total expenditure for the year, less salaries and wages met out of revenue from the sale of energy.

PRODUCTS.

—The value of products is based upon the valuation of goods at the factory-door.

In making use of the gross value of products it must be borne in mind that the figures include the value of raw materials operated upon, which constitutes considerably more than half of the total value; in fact, the cost of materials used has represented Go to 67 per cent. of the value of the products in each of the last five years.' Where the products of one industry—for example, sawmilling—are treated again in other industries, such as furniture-making, joinery, &c., 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 table shows the gross value of products for the principal industries and for all industries as recorded in each of the last four collections.

Industry.1939–40.1940–41.1941–42.1942–43.
 ££££
Meat freezing and preserving23,803,91627,243,66827,730,37029,662,483
Ham and bacon curing1,387,0011,526,6681,581,2712,243,410
Butter, cheese, condensed milk,&c.29,840,83732,771,09731,344,63329,489,630
Grainmilling2,437,0602,567,6612,682,3762,957,747
Biscuits and confectionery2,327,8622,636,4423,440,1193,635,828
Jam-making, fruit and vegetable preserving627,866733,793940,0011,259,271
Miscellaneous foods733,702880,2041,025,6151,367,571
Brewing and malting1,987,0692,118,0302,264,698473,518
Aerated waters, cordials, and ice-cream699,808805,424863,8131,009,275
Tobacco and cigarettes1,916,7632,427,9062,808,8182,575,405
Soap and candle566,201688,113845,2371,062,411
Boiling down, glue, and manures521,907562,487664,674807,186
Fellmongering and woolscouring1,126,8902,000,7922,787,7093,803,505
Tanning630,675914,0721,179,3281,454,303
Sawmilling, sash and door making5,730,5945,949,9406,138,5416,610,345
Coopering and casemaking543,845669,103745,126929,694
Woodware and turnery1,032,6571,037,7771,057,9072,126,326
Furniture and house furnishings2,345,0672,485,2792,509,8292,369,166
Paper bag and box making615,713856,742907,983942,609
Gasworks1,612,0581,675,3831,699,8051,758,727
Electric supply7,126,0528,079,2138,258,2248,398,731
Printing, publishing, and bookbinding4,885,4545,142,6305,270,4934,877,132
Lime crushing and burning and cement1,139,6101,218,8961,286,8901,414,633
Brick, tile, and pottery646,281627,285596,227615,624
Pumice and concrete products619,316551,877526,257441,172
Tinned plate and sheet metal1,696,6381,993,9782,411,1382,914,458
General engineering, iron and brass founding4,202,4985,099,4346,261,3838,106,693
Electrical and radio engineering1,226,1991,663,0311,833,1171,697,309
Agricultural and dairying machinery987,0801,281,5381,422,2011,115,788
Coachbuilding, motor and cycle engineering5,283,9574,416,2964,297,0654,366,081
Saddlery, harness, and leather goods351,272506,251692,388766,998
Ship and boat building426,731507,934609,550887,046
Chemical fertilizers2,246,0492,540,1921,965,1511,586,480
Paint and varnish917,1301,029,898980,0141,052,038
Polishes, matches, chemicals, &c.1,148,6501,644,8851,934,6752,384,355
Boot and shoe1,864,3202,548,8612,954,9013,308,681
Woollen-mills1,461,7532,243,4602,670,0812,892,906
Hosiery and knitted goods964,4761,459,8991,683,5741,849,855
Textile and fur clothing5,198,8726,361,6496,973,5227,159,026
All other industries6,181,9977,685,7719,715,49111,559,868
Totals129,061,826147,153,559155,566,195105,936,284

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 oil 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.”

Chapter 22. SECTION 22.—BUILDING AND CONSTRUCTION

WITHIN the short span of a century New Zealand has been transformed from a virgin wilderness into a country whose community enjoys the amenities of modern social and industrial life. In the pioneer stages of colonization, the development of the resources of the Dominion demanded an almost mushroom growth of building and construction activity in the formation of railways, roads, and harbours, in addition to provision for the housing needs of a rapidly growing population. More recently the utilization of vast resources of water-power has involved major schemes of construction of hydro-electric stations in various parts of the Dominion, and the reticulation of practically the whole of the inhabited portion of the country. Land-settlement and the growth of factory industries have both required extensive building and construction works, rural and urban, while the increasing housing needs of a growing population are reflected in a steady long-term increase in the building of dwellings. The increase in trade and industry, with the resultant growth of the towns, has been accompanied by extensive construction of factories, shops, offices, warehouses, &c.

With the passing of the early stages of social and industrial development, replacements of obsolete and obsolescent structures and general maintenance have occupied a larger place in recent building and construction activity than was the case formerly, although there have been new avenues of industry requiring further major building and construction operations. For example, the recent development of aviation in the Dominion required the formation of a chain of landing-grounds and air-ports, a work which became more urgent with the outbreak of war. The increase in motor traffic has necessitated a reorientation of roading policy, much new construction and extensive alterations to the surfaces of existing roads being required. The diversification of the Dominion's factory industries in recent years has involved extensive building operations—particularly in the engineering trades—while modernization of factory equipment and of shop and office accommodation has been responsible for a further appreciable proportion of building activity.

The building and construction industry is particularly sensitive to cyclical fluctuations in business conditions, and it is not surprising to note that in New Zealand marked changes in building activity coincide with the ebb and flow of trade and industry. Governmental policy in regard to public-works construction is, and has been, directed towards accelerating State activity in this direction in times of depression, with a view to alleviating unemployment. While considerable success has been achieved on various occasions, at other times the expansion of public works has been prohibited by the straitened condition of the national finances. During the depression period this factor resulted in the severe curtailment of public-works expenditure, although considerable assistance was given to private and public building enterprises through the agency of the Employment Promotion Fund. Private building, both of dwellings and of business premises, suffered a severe setback during the years 1931-33, but after 1933—and more particularly from 1935 onwards—a substantial revival in building activity took place, the peak being reached in the year ended 31st March, 1939. The conditions which prevailed for some months prior to and subsequent to the outbreak of war then resulted in a progressive decline in the importation of essential materials, notably iron and steel, with a consequential effect on normal large-scale building construction. The falling-off in operations during the next two years, although substantial, was not as heavy as might have been expected, the total value of building permits issued in urban districts falling from £12,126,458 in 1938-39 to £11,060,101 in 1940-41. The full impact of war conditions then began to have its effect. The diversion of men and building materials from normal building activity to aerodrome and other defence constructional work, already acute, was accentuated by the entry of Japan into the war and by the necessity some time later of providing accommodation for allied forces using New Zealand as a base for operations in the Pacific area. The effect of this diversion, with its consequent shortages in man-power and materials available for normal building activity, may be gauged from the permit figures for urban districts, which fell to £8,984,177 in 1941-42 and reached the record low level of £2,661,947 in 1942-43; the number of dwelling permits in the same areas, which totalled 8,093 in 1938-39, fell to 863 in 1942-43. With the completion of the major portion of the defence programme, a distinct revival of civil building (governmental and private) became manifest towards the middle of 1943, and there has been a considerable expansion since then. The value represented by permits issued in urban districts during 1943-44 rose to £5,528,583, and the number of dwelling permits to 3,604.

An interesting feature of building and construction activity in New Zealand is the absence of a marked seasonal decline in the winter months, since winters are not sufficiently severe, except in a few districts, to interfere materially with the building of dwellings or other construction work. The Government, in planning public works, regulates the period of greatest activity so as to coincide with the slack season of the year for industry in general.

The function of the State in the stimulation of building and construction enterprise is twofold. Public works, involving both new construction and the maintenance of existing works, are in themselves responsible for a large percentage of the Dominion's total annual building and construction activity. Furthermore, the State encourages private building in various ways. The State Advances Corporation (see Section 23D of this Year-Book) has done much to facilitate home building and land development, while State assistance has also been given in various other forms—e.g., subsidies from the Employment Promotion Fund. As will be seen under a subsequent heading, a big programme of house-building by the State has been undertaken in recent years.

A collection of annual statistics of building permits issued in cities, boroughs, and town districts was initiated in 1921-22, while a monthly collection on a more restricted scale was begun in 1926. In 1925 an annual collection of returns from builders and contractors was inaugurated, affording, inter alia, an analysis of costs, &c., not available from the building permit statistics; but this was temporarily suspended after the 1940-41 collection owing to factors arising out of the war. These statistics are of too recent origin to give an indication of the long-term progress of building and construction. There are available, however, certain statistical data from which the development of building activity can be deduced, and the 1942 and earlier issues of the Year-Book contain details of the long-term trend in building and construction activity.

THE HOUSING SITUATION.

—As will be obvious from a perusal of the statistics of building permits and building construction given later on in this section, building operations fell to small proportions during the depression years. With the advent of better times, accompanied by a large increase in the number of marriages and a growing tendency to discontinue the sharing of homes by two families, there arose in many cities and towns a housing demand far in excess of the available supply. The position was aggravated by the fact that a considerable proportion of the existing dwellings did not comply with modern standards of comfort, convenience, and sanitation.

Housing Survey.

The question of relieving the shortage of suitable housing-accommodation received governmental attention, and in 1935 a Housing Survey Act was passed as a preliminary towards a planned programme of housing reform. This Act applied to (1) the Councils or Boards of all boroughs and town districts with not less than 1,000 population, (2) two suburban Road Boards, and (3) any other local authority to which the Act might be applied by the Governor-General in Council. Each authority was required to make a housing survey of its district or—with ministerial approval—of a defined area or areas within the district.

Summarized results of the housing surveys carried out in 115 local districts are as follows:—

  • Total population 901,353

  • Total dwellings 225,363

  • Buildings used as dwellings: Unsatisfactory, but repairable 31,663

  • Buildings used as dwellings: Totally unsatisfactory 6,827

  • Dwelling units in which equipment is only partly satisfactory 23,768

  • Dwelling units in which equipment is totally unsatisfactory 20,096

  • Dwellings providing accommodation below the minimum standard 27,214

  • Surplus persons accommodated in dwellings below minimum standard 68,405

  • Dwellings overcrowded 9,835

  • Surplus persons in overcrowded dwellings 14,761

The classification of dwellings as to (1) whether satisfactory as regards physical fitness, (2) whether providing adequate accommodation, and (3) whether overcrowded, was made on the basis of standards laid down by regulations under the Housing Survey Act. The standards of physical condition and of minimum accommodation are too detailed for repetition here, but a resume of the latter will be found on page 550 of the 1940 issue of the Year-Book. Of the 38,490 dwellings which failed to measure up to the standards of physical condition in one or more respects, in 31,663 cases the deficiencies were repairable. Equipment was wholly or partly unsatisfactory in 43,864 of the houses examined, while some 27,214 dwellings failed to reach the standard of minimum accommodation laid down.

Census Statistics.

As at previous census enumerations, the 1936 census statistics of “overcrowding” were based on a consideration of numbers of persons present on census night (i.e., including visitors, but excluding members of household temporarily absent) in relation to the total number of rooms. In counting the number of rooms. householders were requested to omit scullery, pantry, laundry, bathroom, sleeping-porch if not wholly enclosed, and any other “room” of less than 50 square feet of floor space. With this exception the size of the rooms was not taken into account, and no attempt was made to ascertain the number of bedrooms and to take only these into consideration. The omission of boardinghouses and apartment houses (but not flats) from the census statistics is another important factor affecting the comparability of the census and the housing survey figures of overcrowding. On the other hand, it should be noted that the census figures cover the whole Dominion (excluding Maoris and their residences, however), while the housing survey was in effect limited to towns of over one thousand of population.

For the purpose of the census compilation, “overcrowding” was deemed to occur when the number of persons for dwellings of various room categories was in excess of the following standard:—

Number of Booms.Number of Persons.
*Plus two for each room in excess of five.
One2
Two3
Three5
Four
Five or over10*

As in the housing survey, a child under one year of age was not taken into account, and a child one year or over but under ten was counted as one-half of a person.

The table which follows shows the number of “overcrowded” dwellings on this basis, and also shows the number of “unoccupied” dwellings. The figure for the latter do not include cases where the occupants were temporarily absent on the census night (5,784), nor unoccupied “baches,” &c. (8,435). Further, sub-enumerators were instructed not to count as dwellings any unoccupied dwellings which were both deserted and dilapidated.

Number of Occupied Dwellings.Number of Unoccupied* Dwellings.
Total.Overcrowded.
* Excluding dwellings whose occupants were temporarily absent, also excluding “baches,” &c.
Urban areas—
Auckland50,698277572
Wellington34,304249276
Christchurch32,290146565
Dunedin19,59784247
Hamilton4,4084525
Gisbome3,6622147
Napier4,4612281
Hastings4,1863840
New Plymouth4,3542742
Wanganui6,0502363
Palmerston North5,5673343
Nelson3,087532
Timaru4,3993155
Invercargill5,9233253
Remainder of Dominion—
Urban53,322398753
Rural113,5972,2893,700
Totals349,9053,7206,594

Unoccupied dwellings are seen to have outnumbered “overcrowded” dwellings (on the census standard adopted) not only in the Dominion as a whole, but in thirteen of the fourteen urban areas.

STATE HOUSE-CONSTRUCTION.

A programme of direct home-building by the Government was commenced in March, 1937, and has been prosecuted as vigorously as war conditions have permitted. The purpose of this branch of the Government's activities is to provide homes of a modern standard of comfort to be let at reasonable rentals to people in the medium and lower income groups. The legislative provision for this programme is contained in the Housing Act, 1919, the administration of which was transferred to the State Advances Corporation by the State Advances Corporation Act, 1936. To give effect to the Government's policy a special Housing Construction Branch of the State Advances Corporation was set up in September, 1936. The State Advances Corporation Act, 1936, made provision for a special Housing Account with the Reserve Bank, the loan liability at 31st March, 1944, being £23,098,008. The Statutes Amendment Act of 1936 provided the necessary authority to acquire land under the Public Works Act, 1928, for the purpose of housing. At 31st March, 1944, land for housing purposes had been purchased in 158 towns and localities, the number of building-sites being 40,116. The actual construction work is usually carried out by private contractors, tenders being called for the various contracts: the number of different principal contractors to 31st March, 1944, was 406. Eighty-nine houses have been constructed by the Department itself by direct labour, principally by trainees under the scheme for rehabilitation of returned servicemen, and the construction of a further 52 houses was in hand at the end of March, 1944. The number of dwelling units represented by contracts let since the inception of the scheme was 17,855, while the number of units completed and handed over to the State Advances Corporation and other Government Departments for administration was 15,772. Particulars as to numbers, &c., of houses commenced in each year, with more detailed information in regard to activities for 1943-44, will be found later in this section.

During the last five years a scheme of multi-unit developments for the main centres has been undertaken. The first of the major of these, a block of 50 flats in Wellington, was completed in November, 1940, and a further block of 116 units in the same city was completed and opened for occupation in September, 1943, while others are in course of construction. In Auckland preparatory work is being carried out in connection with two major developments, which will provide 468 and 163 dwelling-units respectively.

Up to 31st March, 1944, the total net payments in respect of purchase of land, provision of services, erection of joinery factories, erection of houses, and all administrative charges, amounted to £23,945,104, while liabilities and commitments at that date were £2,864,222. The net expenditure for the year 1943-44 was £1,936,260. The total cost of administration of the Housing Construction Branch (exclusive of interest charges on capital moneys invested) from its inauguration to 31st March, 1944, was £667,585, of which sum £56,917 was in respect of the financial year 1943-44.

Following the outbreak of war it was found necessary to transfer certain plant and machinery to the more urgent work of constructing military camps and aerodromes, and a large number of artisans were released for the same purpose. The situation in this respect became more urgent with the entry of Japan into the war and, consequently, some of the schemes of land preparation and development have been considerably retarded, and housing activities slowed up generally. Practically all these special works have now been completed, and housing activities are being speeded up as quickly as conditions will permit. The number of persons engaged on housing construction and subsidiary work at 31st March, 1944, was 3,589, of which number 388 represented the staff of the Housing Construction Branch. Comparative figures as at 31st March, 1943, were 1,089 and 216 respectively.

Early in 1944 the control of the Housing Construction Branch was transferred from the State Advances Corporation to the Ministry of Works.

Separate provision for housing of Maoris is made under the Native Housing Act, 1935, reference to which will be found in Section 16, Subsection C (Native Lands).

In addition to the activities briefly outlined above, the housing policy of the Government includes the provision of loans to local authorities at 3 per cent. per annum for the furtherance of municipal and other housing schemes. Money has also been made available to co-operative dairy companies for the financing of housing schemes for their employees. 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, &c., they have authority to approve a loan subject to the prior consent of the Board of Management of the State Advances Corporation. When a County Council decides to put the scheme in operation it applies for a loan under the Housing Act, and the advances are made from the Housing Account, interest being charged at 3 per cent. Interest on loans granted to the farmer by a County Council is charged at, the rate of 3£1/2 per cent. The maximum amount that a farmer may borrow in respect of any house to be erected under this scheme is £1,250. Up to the end of March, 1945, sixty-six applications aggregating £744,550 had been received from counties, and the State Advances Corporation had given its consent to 331 loans to farmers by the counties involving a sum of £238,315.

Where any farm is situated within any borough, town district, or road district, similar powers are conferred on the. local authority concerned.

Reference to the provisions made for the governmental financing of home-building on behalf of private owners is, contained in the section of this Year-Book dealing with State Advances (Section 23D).

BUILDING PERMITS:

Annual Statistics.

Statistics of building permits issued in cities, boroughs, and town districts during each March year have been collected for 1921-22 and subsequent years—for use, inter alia, as an aid in compiling inter-consal estimates of population. These statistics afford a conspectus of changes in building activity from year to year. There is, however, a factor which may affect to some extent the accuracy of the figures as a guide to short-period fluctuations in building activity. This applies more particularly to buildings other than dwelling houses, and is found in the fact that the value shown represents, in the great majority of instances, the total contract price or estimated cost of the whole building. A permit for a large building involves building activity spread over months, or even years, whereas in the permit statistics the value is shown wholly for the year or month in which the permit is issued. This qualification applies with greater force to the monthly statistics than to the annual statistics.

The scope of the collection was widened by the inclusion in 1926-27 of three road districts—increased to six in 1927-28—in Eden County (suburban to Auckland), and was further extended in 1928-29 by the addition of two counties — increased to four in 1929-30—adjacent to Wellington and Christchurch. Of the six road districts in Eden County, two were amalgamated with Auckland City from 1st April, 1928, and one became a borough from 1st April, 1930.

As a result of the extended scope of the returns, the comparison has been somewhat impaired, and the next table shows the figures under two heads—viz., one giving the totals for all districts covered in the particular year and the second giving the totals for only citie3, boroughs, and town districts.

Commencing with the year 1937-38, returns have been obtained, where possible, and data compiled in respect of building activity in rural areas (vide later in this section).

BUILDING PERMITS.—URBAN DISTRICTS

Year ended 31st March,All Districts covered.Cities, Boroughs, and Town Districts.
Number of New Private Dwellings.Value of Now Buildings: All Classes.Total Value All Buildings (including Alterations and Additions).Number of New Private Dwellings.Value of New Buildings: All Classes.Total Value All Buildings (Including Alterations and Additions).
££ ££
19224,3304,602,8345,283,0124,3304,602,8345,2S3,012
19236,0256,124,4397,101,6815,0256,124,4397,101,681
19246,2457,708,9339,146,4796,2457,708,9339,146,479
19255,8057,823,3319,304,1605,8057,823,3319,304,160
192(36,8508,613,54910,169,5306,8508,613,54910,169,530
19277,1799,357,97711,019,3896,7528,944,33410,575,535
19285,6908,127,7329,665,2165,3887,843,7739,353,055
19295,2127,326,4649,054,4214,8716,988,4088,691,962
19305,7477,917,3499,959,8775,2287,362,9989,336,301
19313,4634,240,2385,473,3953,2004,056,2745,260,620
19321,5551,936,4472,728,4861,4151,847,5082,620,651
19331,4961,874,7952,474,8661,3061,773,3132,341,690
19342,6493,141,8973,889,8902,4162,987,7733,718,717
19352,8922,742,4953,643,6882,6552,612,6843,492,062
19364,1404,695,7365,929,8033,8354,468,1265,674,198
19374,5554,927,3266,581,2334,2074,675,3636,273,444
19386,0438,217,40010,291,6135,5687,876,3529,909,225
19398,09310,196,47612,126,4587,4259,555,74711,431,491
19408,0869,790,11811,418,4347,4299,156,67010,714,396
19417,1479,147,88511,060,1016,0998,024,5959,763,200-
19425,5036,958,9978,984,1774,9896,436,1138,185,669
19438631,363,0912,661,9477671,269,3302,500,240
19443,6045,528,5838,309,8613,2204,975,3257,587,983

The figures shown for “cities, boroughs, and town districts”cover the districts existing in the year to which the statistics refer. Since these statistic* were inaugurated, however, several new boroughs and town districts have been created and are accordingly included. This gradual accession has tended to raise slightly the figures for later years.

The accompanying diagram, which relates to dwelling permits for all districts covered, shows the low level to which building operations fell during the depression period. The subsequent gradual recovery, accelerated by the Government's programme of house-building which commenced in 1937-38, and then the effect of war conditions, are both clearly illustrated.

Prior to 1936-37 each block of flats was included as a single dwelling, but since then more information is available and each individual flat is now counted as a separate dwelling. Blocks of flats so included in all districts prior to 1936-37 numbered 34 in 1928-29; 30 in 1929-30; 9 in 1930-31; 4 in 1931-32; 4 in 1932-33; 6 in 1933-34; 34 in 1934-35; and 22 in 1935-36.

The following are the details of blocks of flats included from 1930-37 onwards.

Year ended 31st March,All Districts covered.Cities, Boroughs, and Town Districts.
Blocks.Number of Flats.Blocks.Number of Flats.
19379842196417
1938128519118490
19399237481341
19408132778319
1941110431105414
1942137611133595
1943211111671
19444116139149

These figures cover only buildings erected as blocks of flats. Where conversion of existing private dwellings into flats has taken place, the value is included in alterations and additions.

The statistics quoted in the preceding paragraphs relate only to the main types of building activity. More detailed statistics are included in the annual Statistical Report on Population and Buildings, where, inter alia, permit statistics for individual towns, counties, &c., are given.

Defence construction having practically ceased, more man-power and materials became available for civil construction; consequently building operations in the year 1943-44 showed a large increase over 1942-43. A detailed summary of the totals for the last three years follows.

BUILDING PERMITS ISSUED.—URBAN DISTRICTS

1941-42.1942-43.1943-44.
Private dwellings—
New buildings—
 Number5,5038633,604
 Value£5,558,595£834,379£4,035,067
Value of alterations and additions629,951£356,670£691,109
Other buildings—
New buildings—
 Number377192300
Value£1,400,402£528,712£1,493,516
Value of alterations and additions£1,395,229£942,186£2,090,109
Total—
 New buildings—
 Number5,8801,0553,904
 Value£0,958,997£1,363,091£5,528,583
Value of alterations and additions£2,025,180£1,298,856£2,781,278
Grand total: Value£8,984,177£2,061,947£8,309,861

The following table arranges districts with building values of over £100,000 in 1943-44 in descending order.

 £
Lower Hutt City1,034,783
Auckland City924,280
Wellington City806,278
Christchurch City628,142
Dunedin City407,973
Palmerston North City338,482
One Tree Hill Borough238,909
Onehunga Borough199,087
Hamilton Borough182,721
Makara County169,372
Mount Roskill Road District162,499
Waimairi County157,620
Mount Albert Borough155,661
Riccarton Borough149,947
Invercargill City142,317
Whangarei Borough137,766
Rotorua Borough117,645
New Plymouth Borough111,182

State Building Operations.

The erection of houses by the Housing Construction Branch was commenced in March, 1937, with 22 units in Wellington City. Details of operations for each year are as follows.

Year.Urban Districts.Rural Districts.Grand Total.
Single-unit Dwellings.Multiple Dwellings.*Total Units.Total Units.
* Including blocks of flats.
1936–3722..22..22
1937–381,6381251,89051,895
1938–392,6213793,432133,445
1939–402,7685123,840303,870
1940–412,2335993,486843,570
1941–421,4214422,546592,605
1942–431574628385368
1943–441,3152381,845711,916

The total of 1,916 units for 1943-44 comprised 1,380 single-unit houses, 228 double-unit houses, 1 three-unit house, and 12 blocks of flats with an aggregate of 77 flats. Houses are also erected by the Native Department under its various development schemes, particulars of which will be found on page 211.

In addition to the above scheme, dwellings are erected by or for the Public Works Department, Railways Department, Mines Department, Education Boards, &c.

In all, a total of 2,194 Government houses (1,884 in urban and 310 in rural districts) were commenced in 1943-44.

The following table shows urban districts in which twenty or more houses were commenced during 1943-44 by the various Government Departments concerned.

New Dwellings.
Cities or boroughs— 
Whangarei34
Auckland City299
Mount Albert86
Onehunga93
Huntly50
Hamilton24
Gisborne22
Napier20
Hastings25
New Plymouth25
Wanganui City28
Palmerston North City59
Levin31
Lower Hutt City446
Wellington City127
Christchurch City122
Cities or boroughs 
Oamaru20
Dunedin City48
Others206
Total1,765
Town districts— 
Independent23
Dependent2
Road districts and counties— 
Mount Roskill R.D.78
Others16
Total94
Total, urban districts1,884

Manukau County (71), Franklin County (71), Waitomo County (26), Ohura County (20), and Waikouaiti County (31) were the only rural districts in which the number was twenty or more.

In addition to the 2,194 houses (value, £2,281,246) referred to above, 53 new business premises, &c. (value, £815,332) were commenced. Alterations and additions amounted to £420,829. The total value of all State building operations covered in these statistics in 1943-44 was, therefore, £3,517,407.

Since the outbreak of war these statistics have not covered buildings in or connected with camps, aerodromes, coast defences, or other defence constructions. Building operations in these fields have been very substantial in extent, particularly in the period following the entry of Japan into the war. It will be appreciated that it is not always practicable to distinguish civil from defence construction works. For example, a building may be erected for present use partly or wholly for defence purposes, but with the intention that its ultimate use will be for civil purposes. In numerous such cases information necessary to make the distinction is not available without inquiry into each individual case, a course which seems neither practicable nor justifiable in the circumstances. Indications are that the figures given for civil building by the State, particularly in 1942-43, have understated the position.

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, the Census and Statistics Department initiated in 1926 the collection of monthly statistics of building permits issued in the larger centres. These returns cover a little over half the total population but would represent a considerably higher proportion of the total Dominion building.

BUILDING PERMITS IN LARGE CENTRES

Month.Alterations to Existing Buildings.New Buildings.Totals.
No.Value.Dwellings only.Totals.No.Value.
No.Value.No.Value.
1944 £ £ £ £
January474130,104277311,805299387,638773517,742
February663223,397389448,530404488,0661,067711,463
March712215,096383441,301402622,2471,114837,343
April600137,539261347,002286499,802886636,621
May777129,735466608,332490741,2661,267871,001
June750152,703457606,116468622,3021,218775,005
July757149,983430597,508455659,5091,212809,492
August908197,204427578,587457720,3211,365917,525
September847168,903527703,452555816,5561,402985,459
October812168,012496660,193538804,7691,350972,771
November879188,835610807,112641890,3571,5201,079,192
December710140,424297383,218312421,3151,022561,739
1945
January574139,474485656,502504718,0441,078857,518
February801194,264543734,978585932,9951,3861,127,259
March908245,506538728,887564878,2731,4721,123,779

Building Permits in Rural Districts.

In view of the widespread interest evinced in building, statistics, particularly in regard to housing, attempts have been made to collect data from counties during the last seven years. For some years building statistics had been obtained from the counties of Hutt, Makara, Waimairi, and Heathcote, and the three road districts (Mount Roskill, Mount Wellington, and Paw£ure Township) of Eden County. The great majority of the population in these counties and road districts is urban, and they were included in order to obtain more complete statistics of building activity for the urban areas of Auckland, Wellington, and Christchurch.

The collection for rural districts was therefore confined to the remaining counties, with the exception of three (Taupo, Sounds, and Fiord) in which the Counties Act is not in operation. Road Boards are functioning within the counties of Taupo and Sounds, and on Waiheke Island, and these were included in the collection. The great majority of rural districts were able to supply the information required, which, in their case, was limited to the number of private dwellings and the total value of all buildings. It is probable that most districts not furnishing returns do not have much building, and it is reasonable to assume that the figures quoted include the great bulk of building operations in rural districts.

Data are available for all Government building in rural districts and have been included in the total for rural building.

Excluding the four counties and three road districts which are included in urban districts, the total of rural building (i.e., counties which submitted returns, and certain extra-county islands, with the addition of all Government building in rural districts) amounted to £1,599,461 in 1943-44, and included 1,332 new private dwellings. Four counties exceeded the £100,000 mark, these being Franklin, £230,690; Waitemata, £202,943; Marlborough, £112,492; and Manukau, £103,196.

The total amount of building for the four counties and three road districts included in urban districts was £721,878 for 1943-44, and included 384 new dwellings. Particulars of new private dwellings and total value of buildings for the various counties are given in the 1943-44 Statistical Report on Population and Buildings.

BUILDING AND CONSTRUCTION STATISTICS.

;With their present coverage the statistics of building permits give valuable information as to projected building activity. The permit statistics, however, do not provide an accurate measure of building operations actually performed during a particular period, owing mainly to the greater or lesser time-lag between the taking-out of the permit and the performance of the work. Again, the permit figure of estimated cost may be exceeded, or the work may be modified or abandoned. A further shortcoming of the permit returns as a measure of building activity is that they do not allow of the compilation of statistics covering building costs, wages paid, persons employed, &c. To remedy this as far as possible, an annual collection of returns from builders and contractors was inaugurated in 1925. This collection was continued up to and including the year 1940-41, but, as the large-scale diversions to defence construction and the shortages in man-power and materials resulted in a serious dislocation of civilian building operations, it was then temporarily suspended.

Scope of Statistics.

The regulations empowering the collection of the statistics define the term “building and contracting establishment”as including establishments engaged in the construction or repair of buildings, wharves, jetties, bridges, or other construction work which employ two or more hands, inclusive of working proprietors.

The returns collected refer principally to the year ended 31st March. Where the ordinary financial year ended on a date other than the 31st March, figures were accepted in respect of the financial year, provided that the last day fell within the three months immediately preceding or following the 31st March.

The statistics of building and construction do not include the construction of railways, roads, streets, bridges, wharves, buildings, &c., by the General Government or by local authorities, except where, in the case of bridges, wharves, buildings, and other similar constructions, the work was carried out by contract. Reference. to construction by the Public Works Department is made in Section 23A. Particulars are included in the following tables in respect of a few local authorities which had. a special staff engaged on repairing and making alterations to existing structures.

Figures relating to dwellings under construction by contractors in connection. with the State rental housing scheme were also included.

From the nature of the industry it is obviously impossible to collect returns from all who engage in building operations, and especially from those who only intermittently undertake building contracts or whose operations are small. Nevertheless, the statistics covered a large proportion of building operations throughout the Dominion, all builders and contractors engaged in a large way or on big contracts, and the majority of others regularly undertaking building and construction work, being included among those from whom returns were received.

Special efforts were made to get in touch with all builders for the 1934-35 and subsequent collections, and it is probable that a considerably greater proportion of building activity was covered by the statistics from 1934-35 onwards than was (he case in previous years.

Summary of Statistics.

The figures quoted in the following table illustrate the scope of the inquiry at each annual collection of these statistics over the eleven years ended in 1940-41.

Year.Establishments.Persons engaged.Salaries and Wages.Cost of Materials(including Payments to Sub-contractors).Value of Buildings completed during Year.Total Value-of Work done.
££££
1930-311,1529,5052,096,4204,600,0595,522,0227,216,627
1931-328304,869920,0101,955,1381,815,6703,073,418
1932-338213,922662,0361,446,8571,407,0902,227,488-
1933-348294,459712,3991,707,7321,555,5632,553,719-
1934-351,3196,8521,177,0903,315,0183,091,8504,715,456
1935-361,4548,3461,536,9244,424,3424,371,0356,279,959>
1936-371,5129,7212,017,8245,620,8455,420,8288,133,847
1937-381,52211,4712,681,4937,096,7227,004,45310,422,230-
1938-391,57914,0403,532,6878,952,7029,060,93413,306,072
1939-401,58615,8534,180,81210,945,37912,603,39516,244,546-
1940-411,54513,3313,740,55110,318,36111,558,34515,126,468-

While the movements in the figures—particularly as between 1934-33 onwards and previous years—must be interpreted with caution, in view of the variations in the coverage of the inquiry, a severe decline in building activity during the years 1930-31 to 1933-34 is clearly indicated. The downward trend was arrested in 1933-34, and the next year witnessed the commencement of a series of substantial yearly increases, culminating in the establishing of new record high levels for cost of materials used and value of work done for the year 1939-40. The figures for the year 1940-41, however, revealed a slackening off in the trade owing to factors arising out of the war. Persons engaged during 1940-41 (excluding subcontractors and their employees) totalled 13,331, ?a decrease of 2,522, or 16 per cent., as compared with 1939-40. while salaries and wages paid decreased by 11 per cent. The cost of materials used (including payments to subcontractors) declined by 6 per cent., and the value of work done decreased by £1,118,078, or by 7 per cent.

Employees and Wages.

The number of persons engaged (including working proprietors, but excluding subcontractors) and the salaries and wages paid to these during the last five years available are given hereunder. The amounts shown in respect of salaries and wages of proprietors represent amounts drawn by them in lieu of salary or wages.

The following table shows, for each of the last five years available, the number of persons engaged, classified according to occupational status, together with the total salaries and wages paid to each group, and also the average payment received per person engaged.

Year.Proprietors.Managers and Overseers.Accountants, Clerics, &c.Wage-earners.Total.
Persons engaged
1936-371,4042161887,9139,721
1937-381,3882372149,63211,471
1938-391,60429027811,86814,040
1939-401,63033330213,58215,853
1940-411,48632924911,26713,331
Salaries and Wages paid
 £££££
1936-37269,43471,58925,3171,651,4842,017,824
1937-38317,28288,00033,9192,242,2922,681,493
1938-39407,366126,10545,2762,953,9403,532,687
1939-40455,017166,03053,1483,506,6174,180,812
1940-41403,169162,03851,1443,124,2003,740,551
Average Amount of Salary or Wages
 £££££
1936-37192331135209208
1937-38229371159233234
1938-39254435163249252
1939-40278499176258264
1940-41271493205277281

Monthly Employment.

The next table gives the number of wage-earning employees engaged on the fifteenth or nearest representative day for each month of the years 1938-39, 1939-40, and 1940-41.

Month.1938.1939.1940.
April10,49912,81711,490
May10,90213,39211,408
June11,35113,58211,471
July11,54413,68911,498
August11,59913,95011,169
September11,82414,78710,995
October12,15115,19711,054
November12,35314,04011,246
December12,12913,30011,200
 1939.1940.1941.
January12,17312,55410,895
February12,39412,53510,999
March12,53912,16410,890

The absence of a seasonal decline in the winter months is a prominent feature of the statistics. Employment, which had been progressively increasing over a long period, reached a peak in October, 1939, with 15,197 employed. The following months recorded a marked decline, to 10,890 in March, 1941.

Value of Work done.

The value of work done by builders furnishing returns each year is classified below according to the nature of the work done. The figures shown in respect of bridges, wharves, and “other”construction do not include construction work done by the General Government or by local authorities, except where such work was carried out on contract by private firms or individuals.

Year.Buildings.Bridges, Wharves.Other Construction.Additions, Jobbing, and Repairs.Totals.
 £££££
1936-376,074,059115,273122,1631,822,3528,133,847
1937-387,848,058275,778145,6842,152,71010,422,230
1938-3910,732,964278,543240,6922,053,87313,306,072
1939-4013,260,865320,755288,6622,374,26416,244,546
1940-4111,902,373257,764363,4222,602,90915,126,468

Operating Costs in Relation to Value of Work done.

Following is an analysis of operating costs of work done during the years indicated.

 Operating Costs. 
Year.Salaries and Wages.Cost of Materials.Other Expenses.Total Costs.Value of Work done.
*Difference between total costs and total value of work done.
   Amounts  
 £££££
1936-372,017,8245,620,845274,6647,913,3338,133,847
1937-382,681,4937,096,722360,49710,138,71210,422,230
1938-393,532,6878,952,702451,13912,936,52813,306,072
1939-404,180,81210,945,379577,35015,703,54116,244,546
1940-413,740,55110,318,361571,49214,630,40415,126,468
 Percentage of Total Value of Work done    
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.*
1936-3724∙8169∙103∙3897∙292∙71
1937-3825∙7368∙093∙4697∙282∙72
1938-3926∙5567∙283∙3997∙222∙78
1939-4025∙7467∙383∙5596∙673∙33
1940-4124∙7368∙213∙7896∙723∙28

The figures shown for salaries and wages relate to the salaries and wages of those directly engaged by builders, plus amounts drawn by builders in lieu of salary and wages. Payments to subcontractors are included in cost of materials, the only possible classification, since the returns are collected from builders but not from subcontractors—e.g., plumbers, electricians, &c. A considerable proportion of the amounts paid to subcontractors, however, represents wages costs of the sub-contractors.

New Buildings completed.

A classification of the new buildings included in the returns for the five years 1936-37 to 1940-41 is given in the following table.

Year.Private Dwellings.Blocks of Flats.Business Premises.Other.Totals.
 Number.Number.Number.Number.Number.
1936-373,795884911,3745,748
1937-384,042815001,4346,057
1938-395,930954441,9568,425
1939-406,889943442,5009,827
1940-416,727892792,96710,062
  Value   
 £££££
1936-373,033,614312,1291,408,446666,6395,420,828
1937-383,754,525301,3322,254,462694,1347,004,453
1938-395,930,910270,4401,821,0631,038,5219,060,934
1939-407,171,732322,9081,807,1623,301,59312,603,395
1940-417,175,983253,0561,424,6432,704,60311,558,345

A considerable proportion of the buildings classified as “other”is accounted for by garages erected. Wide variations are shown from year to year in the values quoted for blocks of flats. This is to be expected, since the definition covers a wide variety of building types, but a growth in the popularity of this class of residence seems to be in evidence. The number of units contained in the 89 blocks of flats erected in 1940-41 was 280.

Private Dwellings completed.

Following is an analysis of the statistics of private dwellings completed during the last five years available.

 Number of Dwellings (excluding Blocks of Flats).
Number of Rooms.1936-37.1937-38.1038-39.1939-40.1940-41.
* Not available; classified according to number of rooms in dwelling.
One5560462780
Two7412410694109
Three172175297344709
Four9451,1561,9271,9981,996
Five1,7501,7052,6853,2292,643
Six506558695927704
Seven171141110133139
Eight6969334445
Nine and over5354319322
Multiple dwellings****280
(units)     
Totals3,7954,0425,9306,8896,727

The classification of dwellings according to number of rooms shows that, through out the whole period, five rooms was the most popular size, followed by four-roomed dwellings. During the years 1936-37, 1938-39, and 1939-40 the number of five-roomed dwellings erected exceeded the combined totals of the four- and six-roomed dwellings, while for 1937-38 and 1940-41 the total of five-roomed dwellings just fell short of the combined totals of four- and six-roomed dwellings. Statistics of values follow.

 Number of Dwellings (excluding Blocks of Flats).
Number of Rooms.1936-37.1937-38.1038-39.1939-40.1940-41.
* Not available; classified according to number of rooms in dwelling.
 £££££
One5,0635,5914,8325,8796,243
Two15,32725,78228,83935,84548,662
Three66,78579,298184,832213,828475,207
Four590,911895,3151,715,0411,852,6281,958,863
Five1,332,7221,603,9312,786,5873,428,8962,991,060
Six524,410626,613850,1131,143,244950,021
Seven238,286216,884181,023218,491243,682
Eight117,649138,34472,08891,680101,216
Nine and over142,461162,767106,9551S1,24180,417
Multiple dwellings****320,612
(units)     
Totals3,033,6143,754,5255,930,9107,171,7327,175,983

Chapter 23. SECTION 23.—PUBLIC FINANCE

SUBSECTION A.—REVENUE AND EXPENDITURE

THE legislation relating to the custody, administration, and audit of the public moneys and securities is contained in the Public Revenues Act, 1926, which consolidated and amended the then existing enactments on the subject. All public moneys, excepting those payable to or received by the Post and Telegraph Department, the Government Insurance Department, the Public Trust Office, the Native Trust Office, the State Advances Corporation, the State Fire and Accident Insurance Office, the various Public Service Superannuation Funds, the National Provident Fund, the Broadcasting Account, the Iron and Steel Industry Account, the Dairy Industry Account, the Internal Marketing Account, and other special accounts under the Marketing Act, are paid into one account at the bank called the “Public Account,” and are carried to one or other of the following funds or accounts in the books of the Treasury: The Consolidated Fund, the Public Works Account, and separate accounts or funds specially created. A new subsidiary account called the War Expenses Account was brought into being in September, 1939, and another subsidiary account called the War Damage Fund was established in December, 1941. The National Development Loans Account was initiated from 1st April, 1942, for the purpose of co-ordinating and simplifying the raising of loan-moneys for public works and other capital purposes.

The financial year commences on the 1st day of April and ends on the 31st day of 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 1st August, 1934.

At the end of each financial year the Appropriation Act of that year lapses, but the Minister of Finance is authorized for a period of three months from the commencement of the next financial year to pay money in respect of any service, provided that the amount does not exceed the unexpended balance voted for that purpose in the previous year, together with an amount equal to one-fourth of such vote.

The normal practice is for Parliament to meet at the end of June in each year and to vote supplies from month to month until the estimated expenditure for the year has been approved and the annual Appropriation Act is passed. Where a later session of Parliament is foreseen, a temporary amendment to the provisions set out in the preceding paragraph is made. In the event of a mid-session adjournment, supplies in anticipation of the Appropriation Act may be voted for more than one month.

AUDIT OF EXPENDITURE.

—In the audit of expenditure both the pre-audit and post-audit systems are in operation. Pre-audit is applied to vouchers in respect of payments on account of salaries of now appointees; officers claiming more than one month's salary at any time; interest, loan transactions, and return of deposits; unauthorized expenditure; transfers between Government accounts; or expenditure chargeable against the accounts of local authorities. Post-audit is applied to all other payments.

Vouchers must be certified as correct by the proper officer, and forwarded by him to the head of his Department for approval. Vouchers subject to pre-audit are then forwarded to the Audit Office, and on being found correct are sent on to the Treasury to be entered on requisitions for payment. Vouchers subject to post-audit are transmitted by the head of the Department direct to the Treasury. Payment is made by the Treasury, and the claim is afterwards submitted for audit.

GROSS TRANSACTIONS OF ACCOUNTS.

—Accounts and funds which were included in the Public Account during 1943–44 are listed in the table following, which shows, for each, the year's transactions and the balance at the beginning and the end of the year. For reasons that will be apparent later, the figures of gross transactions afford no indication of actual receipts and payments.

The State Advances Account is not included, nor are the other funds mentioned separately in the first paragraph of this subsection. Particulars concerning these funds and the working of the Departments concerned will be found elsewhere in this book.

Account.Balance, 1st April, 1943.Receipts.*Credits.Payments.*Balance, 31st March, 1944.

* Excluding credits.

Consolidated Fund—£££££
Ordinary Revenue6,208,49048,828,2748,733,13650,795,6944,241,070
Deposits5,432,9646,684,045..5,743,4946,373,515
Public Works2,069,8271,507,3221,843,2213,262,419314,730
Electric Supply33,977,921140,0353,918,56659,358
Electric Supply Sinking Fund189239,267..239,456..
Bank of New Zealand Shares1,859,37599,805..99,8051,859,375
Land for Settlements1,117,359930,6461,055,484716,7101,331,295
Loans Redemption24,490246,787,093..246,787,71523,868
Main Highways49,0231,796,159275,2191,831,02614,156
National Development Loans25,0004,000,000..4,000,00025,000
Public Debt Repayment276,2783,053,514..2,420,480909,312
Remittances to London..29,960,838..29,960,838..
Reserve Fund1,485,006161,619148Cr. 1051,646,730
Social Security Fund3,086,80117,492,085161,31817,633,7472,945,139
State Coal-mines29,4441,382,40441,4101,358,84553,003
State Forests32,651538,44116,863540,39530,697
War Damage Fund2,320,3781,568,147..2,5933,885,932
War Expenses9,550,868162,540,454..163,161,5518,929,771
Working Railways2,851,59814,596,9872,685,54914,442,6283,005,957
Suspense..140,220....140,220
Totals30,419,744546,285,24114,952,383546,915,85735,789,128

Of the total balances of the various accounts (£35,789,128) as at the 31st March, 1944, £5,892,666 represented cash, £7,644,409 imprests, and £22,252,053 investments.

NET RECEIPTS AND PAYMENTS.

—In ascertaining the aggregate net receipts and payments of a financial year there are always substantial amounts to be deducted from the figures of gross receipts and payments. Many of the accounts have their receipts and payments increased through the transfer of moneys from one account to another. Some of these transfers rank as credits, and are not included as receipts or payments in the table under the previous heading. The principal transfers between accounts which are treated as credits in reduction of expenditure are recoupments to the Consolidated Fund in respect of interest paid by that fund on loan-money.

There are, however, substantial transfers between accounts (or between items of an account) which rank as receipts of the receiving account. These are not always disclosed in the published statements, but an approximate total can be arrived at. This is found to have been in the neighbourhood of £44,000,000 for the year 1943–44. The principal items of transfer from the Consolidated Fund to other accounts were £11,700,000 (including £4,200,000 from the surplus of the previous year) to the War Expenses Account, £4,100,000 to the Social Security Fund, £3,053,514 to the Public Debt Repayment Account in accordance with the scheme of debt reduction, and £1,578,896, representing motor-vehicles taxation, to the Main Highways Account.

The Consolidated Fund received a good deal of revenue from other accounts, the principal items being £2,690,683 from the Working Railways Account as interest on railway capital liability, £99,805 by way of dividends first paid into the Bank of New Zealand Shares Account, and the major portion of £352,650 income-tax paid out of the Electric Supply Account.

Most payments from one item of the Consolidated Fund to another rank as credits, but receipts of the Printing and Stationery Department from other Government Departments constitute an exception. During the year 1943–44, receipts under this heading (including all Departments with accounts inside the Public Account) amounted to approximately £350,000, of which £123,000 was paid by the Service Departments from the War Expenses Account. Interest payments to the Consolidated Fund on balances in the form of investments also constitute an exception, ranking as receipts in that account. Similarly, certain interest payments from the Consolidated Fund to other accounts are treated as receipts, not as credits.

Although post and telegraph receipts and payments are not included in the Public Account, interest on capital liability and profits of the Post and Telegraph Department are payable to the Consolidated Fund. As costs of other Departments for postages and for other services performed by the Post and Telegraph Department aggregated approximately £426,000 for the year, this latter amount represents in effect a transfer to the Consolidated Fund revenue from various votes of that fund or of other accounts.

The revenue of the Working Railways Account also includes a considerable amount received from other accounts and funds within the Public Account, the aggregate for 1943–44 being approximately £2,566,500. Of this amount, £1,573,000 was contributed by the Armed Services and paid from the War Expenses Account.

A transfer of £239,268 from the Electric Supply Account was made to the Electric Supply Sinking Fund Account during 1943–44 to meet the cost of redemption of securities.

Since the inauguration of the National Development Loans Account loan-moneys are first paid into this account and are then transferred to other accounts. During the year 1943–44 £1,655,000 was transferred to the Electric Supply Account, £1,460,000 to the Public Works Account, and £635,000 to other accounts, all for general developmental purposes.

Practically the whole of the receipts and payments of the Loans Redemption Account proper are nominal only, consisting in the main of entries due to the renewal of loan-moneys. A deduction of approximately £236,000,000 must be made on this account from both receipts and payments in 1943–44. In addition, there was a transfer of £10,216,103 from the War Expenses Account for redemption of securities.

The Remittances from and to London Accounts merely cover the withdrawal of money in London or Wellington for remittance to or from New Zealand, and are in practically the same category as the Loans Redemption Account, the receipts and payments representing book entries only, and usually balancing. There were no operations in the Remittances from London Account during the year 1943–44, but both receipts and payments of the Remittances to London Account amounted to £29,960,838 during the year.

Further deductions have still to be made from the gross totals before a figure approximately representing true governmental receipts and payments (apart from State advances and other activities not included in the Public Account) can be arrived at. The Deposits Account represents only lodgements and withdrawals of (mainly) non-Government moneys, and had in 1943–44 an aggregate of £6,684,045 receipts and £5,743,494 payments.

Including items not already specifically referred to, the total deductions to be made from aggregate nominal receipts are approximately £329,500,000, and from payments £328,600,000, leaving net totals of £216,800,000 receipts and £218,300,000 payments for the year. The substantial increases in the volume of transactions during recent years are due mainly to the operations of the War Expenses Account, which in 1942–43 and 1943–44 were themselves further accentuated by reciprocal aid (lend-lease) transactions.

The gross and net figures of receipts and payments are as follows for each of the last five years:—

 Gross Transactions.*Net Transactions.
Year ended 3lst March,Receipts.Payments.Credits.Receipts.Payments.
* Excluding credits.
 £(m.)£(m.)£(m.)£(m.)£(m.)
1940186.0183.714.276.974.4
1941229.6220.614.6101.592.9
1942264.7258.916.9122.6117.2
1943454.7447.517.5213.4207.1
1944546.3546.915.0216.8218.3

The net totals would be still further reduced if only the net increase (£102,668,646 in 1943-44) in debt were taken into account as a receipt, and both receipts and payments diminished by the amount of loan-money redeemed.

INCOME AND EXPENDITURE.

—A system of departmental balance-sheets and statements of accounts was inaugurated on commercial lines in 1920 to show the true cost of the various Departments and services, as distinct from payments out of appropriations on the basis referred to at the beginning of this subsection. These balance-sheets and statements of accounts were published annually in Parliamentary Paper B.-1 [Part IV], to which the reader is referred for details of income, expenditure, &c., in respect of certain Departments and services. The publication of these detailed accounts for a number of Departments has now been discontinued.

For a number of years up to and including the financial year 1937–38 a statement of income and expenditure, combining the revenue accounts of most Government Departments, and a State balance-sheet, were published. For various reasons the preparation of these documents for years subsequent to 1937–38 has been discontinued until after the conclusion of the war.

Figures shown under subsequent headings in this subsection are on the basis of receipts and payments. In some sections devoted to 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 in this subsection.

THE CONSOLIDATED FUND.

—The Ordinary Revenue Account of the Consolidated Fund covers the ordinary revenue and expenditure of the General Government— i.e., apart from capital items, commercial and special undertakings, advances, &c. Until comparatively recent 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.

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. Figures for the last eleven years are shown in the following table. Payments for 1941–42, 1942–43, and 1943–44 do not include amounts of £1,726,000, £1,672,000, and £4,200,000 respectively, allocated to the War Expenses Account from surplus funds.

Year ended 31st March,Receipts.Payments.Surplus.
* Deficit.
 £££
193423,492,74924,202,027—709,278*
193526,126,09424,499,5951,626,499
193626,172,36825,890,568281,800
193731,147,18730,675,158472,029
193836,059,44335,248,621810,822
193936,582,04635,772,678809,368
194037,974,15937,654,820319,339
194140,437,92738,711,5031,726,424
194241,240,95939,568,4971,672,462
194342,361,00938,206,4314,154,578
194448,828,27446,595,6942,232,580

The Budget estimate of receipts of the Consolidated Fund for the year 1944–45 is £51,500,000 and the estimated payments £51,794,500, leaving an estimated deficit of £294,500. Included in the estimate of expenditure for the year 1944–45 are amounts of £4,500,000 and £4,000,000 for transfer to the Social Security Fund and War Expenses Account respectively.

Receipts.

—The receipts of the Consolidated Fund are derived principally from taxation and from interest on the Public Debt Redemption Fund and other public moneys, with transfers from the Working Railways Account and from the Post and Telegraph Department in respect of interest on capital liability. Details of receipts during the last three years are given in the table following.

   Year ended 31st March,
Source.1942.1943.1944. 
* This excludes certain special taxation receipts, not paid into the Consolidated Fund. For details of taxation receipts sec Subsection B.
 £££
Taxation*35,161,94636,195,86542,017,620
Interest on Public Debt Redemption Fund396,566392,203394,361
Interest on railway capital liability1,820,0002,562,3042,690,683
Interest on post and telegraph capital liability667,196692,637693,480
Interest on other public moneys582,602486,133503,398
Reserve bank profits344,942350,242379,119
Post and Telegraph Department profits235,963....
Registration and other fees281,778274,218277,924
Territorial revenue402,741415,507429,775
Island Territories165,208128,954184,409
Justice169,555113,080166,410
Marine132,205124,931125,692
Printing and Stationery310,761314,347411,587
Tourist and health resorts99,710101,461116,531
Miscellaneous (including recoveries on account of expenditure of previous years469,786209,127437,285
Totals41,240,95942,361,00948,828,274

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, disposal of special taxation for main highways, and payments under numerous special Acts. Prior to the financial, year 1943–44 the premium on, or cost of exchange on, moneys remitted abroad was charged to a separate item and ranked as a permanent appropriation. There has now been a change in practice, and the cost of exchange is treated as a part of the payment from which it arises. For example, the cost of remitting interest to London, amounting to £1,314,757 in 1943–44, was not accounted for as exchange, but was included in the item “Interest.”

Payments under the main heads of permanent appropriations and each head of annual appropriations during the last three years were as follows (the figures are net—i.e., gross payments less credits):—

Year ended 31st March,
Source.1942.1943.1944.

* Additional amounts of £1,720,000 in 1941–42, £1,672,000 in 1942–43 and £4,200,000 in 1943–44 were allocated out of surplus funds.

† Expenditure now borne by War Expenses Account.

Permanent appropriations—£££
Civil List29,36726,10431,127
Debt services—   
Interest8,722,8089,676,99812,362,592
Amortization2,262,2962,582,0423,223,413
Administration and management134,018136,879136,785
Payments on guaranteed loans437Cr. 353Cr. 2,353
Transfers to Main Highways Account2,188,4601,592,9471,578,896
Exchange2,328,5512,252,919..
Transfer to War Expenses Account1,500,000*1,500,000*7,500,000*
Other730,834484,742333,615
Totals, permanent appropriations17,896,77118,252,27825,164,075
Annual appropriations—   
Legislative108,513102,459109,802
Prime Minister's Department23,546114,46815,865
External Affairs....123,683
Treasury63,375284,07081,757
Customs147,901139,157149,555
Land and Income Tax184,304145,266174,649
Stamp Duties92,60383,34898,215
Audit37,21038,30741,465
Public Service Commissioner's Office17,79119,65618,051
Internal Affairs482,773439,835464,164
Island Territories246,442147,891217,299
Printing and Stationery304,397405,140434,865
Marine147,574143,597189,268
Labour1,391,685474,983261,446
Native407,569274,260272,679
Valuation31,83925,62826,860
Electoral56,50311,097110,826
Census and Statistics29,77626,75627,322
National Service107,733
Justice and Prisons259,021236,502249,554
Crown Law Office8,5349,0428,565
Police677,353716,125777,372
Maintenance of public works and services510,461178,909424,695
Lands and Survey361,948322,481341,405
Agriculture1,880,432896,3641,017,400
Industries and Commerce, Tourist and Publicity834,106886,232792,171
Scientific and Industrial Research162,657176,013198,907
Mines279,15287,98174,443
Transport75,89576,83392,703
Health1,979,0941,982,9951,812,289
Mental Hospitals440,640474,435503,916
Education4,503,1184,670,8394,805,441
War and other pensions2,093,7902,382,8583,264,851
Payment to Social Security Fund3,600,0003,600,0004,100,000
National Provident and Friendly Societies100,845103,829105,857
Services not provided for23,146276,79744,279
Totals, annual appropriations21,671,72619,954,15321,431,619
Grand totals39,568,49738,206,43146,595,694

The amounts shown under the head of “Education” do not represent the full payment on education services, expenditure under special Acts and from the revenue from certain endowments, &c., not being included. A statement of public expenditure on education is given in Section 6 (Education) of this volume.

PUBLIC WORKS.

—For the prosecution of the policy of public works inaugurated in 1870 there was Bet up a Public Works Fund. For many years all expenditure on public works was borne by this fund, but in course of time separate subsidiary accounts were established to deal with certain special activities. These subsidiary accounts became merged in the General Purposes Account of the Public Works Fund, or ceased to exist on the completion of the work for which they were called into existence. Under section 4 of the Finance Act No. 2, 1943, the Public Works Fund was abolished and a Public Works Account substituted as from 1st April, 1942. The Electric Supply Account and the Electric Supply Sinking Fund Account, which formerly ranked as part of the Public Works Fund, were then shown as separate accounts. The Electric Supply Sinking Fund Account was abolished as from the 31st March, 1944.

The Construction Fund of the Main Highways Account, which was established in 1923–24 to provide finance for the construction, reconstruction, &c., of main highways, was analogous to the Public Works Fund, and its operations were for some years included in the Year-Book statement of public-works receipts and payments. The Construction Fund of the Main Highways Account was later (1st April, 1936) combined with the Revenue Fund, and the figures of public-works receipts and payments quoted below are exclusive of operations of the Main Highways Account.

Receipts.

—A summary of the receipts of the Public Works Account is given below for the years 1942–43 and 1943–44, together with comparable figures for the previous three years. The figures are exclusive of credits.

Year ended 31st March,Loan-money.Transfers from Other Accounts.Recoveries on account of Expenditure of Previous Years.Land Sales, Repayment of Advances, &c.*Other and Unspecified.Total.

* Including Native-land settlement and Small Farms development,

† Premium on exchange.

 ££££££
19409,365,8211,21375,34680,561365,6259,888,566
19416,519,56532011,660103,362..6,634,907
19426,013,05150370,74892,763..6,177,065
1943....33,1774,002..37,179
19441,460,000..39,7267,596..1,507,322

Payments.

—Payments from the Account during the years 1942–43 and 1943–44 together with comparable figures for the previous three years, are summarized below As in the case of receipts, the figures are exclusive of credits.

Year ended 31st March,Railways.Roads.Telegraph Extension.Housing.Public Buildings.Lighthouses and Harbour Works.
* Previously charged to a special Housing Account.
 ££££££
19404,165,4161,124,590416,778..1,795,22022,519
19411,930,092599,013256,053..1,442,43134,354
1942693,752242,945173,147..1,197,90218,837
1943233,829127,961....658,9456,824
1944366,77276,246..1,432,136*857,53614,777
Year ended 31st March,Lands and River Improvement, Irrigation, &c.Land Settlement.*Linen-Flax Development.Debt Charges and Expenses.Departmental and other.Total.
* Includes Small Farms development and Native-land settlement.
 ££££££
1940591,659804,518 137,609180,1409,238,449
1941857,943780,122245,977155,411101,2326,402,628
1942586,735314,106572,12299,056115,7684,014,370
194399,5912,450521,569..1501,651,319
1944390,497..118,335..6,1113,262,410

The item “Departmental” in the Public Works Account covers both construction and maintenance, and other items also are probably affected. In addition to expenditure on roads from the Public Works Account, there is the expenditure incurred in roading Crown lands and lands purchased for settlement, which is a charge on the Land for Settlements Account, and is included in the values upon which the rentals of the lands are based.

ELECTRIC SUPPLY ACCOUNTS.

—As from 1st April, 1942, the Electric Supply Account and the Electric Supply Sinking Fund Account, which formerly ranked as part of the Public Works Fund, became separate accounts. The main items of receipts and payments of the Electric Supply Account during the last four years were as follows:—

 Receipts   
 1940–41.1941–42.1942–43.1943–44.
 ££££
Loan-money1,757,6601,619,7941,186,0001,655,000
Sales of electrical energy1,940,4742,039,2092,169,5382,299,739
Recoveries on account of expenditure of previous years538531,446..
Interest on investments, &c...2,186....
Miscellaneous15,70918,96720,74023,182
Totals3,713,8963,681,0093,377,7243,977,921
 Payments   
 ££££
Development of water-power2,304,5402,221,8032,015,2812,391,953
Transfer to Electric Supply Sinking Fund Account485,355275,164348,533239,268
Interest384,844756,533697,768858,428
Debt charges and expenses17,76425,762  
Taxation—    
Income-tax292,453282,760361,868352,650
Social security and national security charge43,59556,20178,28976,267
Totals3,528,5513,618,2233,501,7393,918,566

Receipts of the Electric Supply Sinking Fund Account are composed almost entirely of transfers from the Electric Supply Account, the totals for the last four years being as follows: 1940–41, £485,355; 1941–42, £275,164; 1942–43, £348,533; 1943–44, £239,268 In addition there was interest on investments of £150, £150, £151, and nil respectively. The only payments were for redemption of securities, which amounted to £458,830 in 1940–41, £300,000 in 1941–42, £363,133 in 1942–43, and £239,456 in 1943–44. The Electric Supply Sinking Fund Account was abolished as from 31st March, 1944.

LAND-SETTLEMENT ACCOUNTS.

—Through the closing of several accounts and the merging of these in other accounts or funds, there now remains only one account dealing primarily with land-settlement—viz., the Land for Settlements Account, which covers numerous and diverse-activities in connection with land-settlement.

The principal advances accounts, those relating to State advances to settlers, workers, &c., are, as stated earlier in this subsection, outside the Public Account and are not included here.

A statement of receipts and payments of the Land for Settlements Account during the last three years is as follows:—

Receipts1941–42.1942–43.1943–44.
 £££
Sales and capital receipts255,277201,074321,233
Capital receipts—Development, of small farms..80,64763,394
Rents and interest412,348414,945405,516
Sales of produce, live-stock, and miscellaneous99,190115,785113,624
Receipts from Hutt Valley Settlement lands2....
Acquisition and development of land for soldier settlement2,5082,450..
Interest on investments22,19822,8138,899
Recoveries, &c...32,9633,315
Receipts under Housing Act, 1935..9,07614,664
Totals791,523879,753930,645
Payments£££
Administration, &c.200,596211,017261,391
Interest and other charges58,038122,233454,091
Charges on proceeds of sales of Crown lands7,9016301,228
Improvements on small-farms lands503....
Transfer to Loans Redemption Account11,6001,700,000..
Totals278,6382,033,880716,710

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; and the Electric Supply Account covers both construction and trading operations. Trading accounts, other than those which might be so regarded but have already been dealt with under previous headings, are as follows:—

Working Railways Account.

State Coal-mines Account.

State Forests Account.

The receipts of these three accounts during the last three years were as follows:—

Item.Account.1941–42.1942–43.1943–44.
  £££
Railway revenueWorking Railways11,354,13614,163,81414,552,713
Contributions and subsidy to Railway Employees' Sick Benefit FundDitto8,00010,00010,000
Sale of coal and wood, rents, &c.State Coalmines601,812725,7321,052,113
Forests revenueState Forests295,825386,562428,362
Loan-moneyVarious330,000335,000435,000
Interest receipts..17,38923,53137,780
Recoveries on account of expenditure of previous years..7606801,862
Totals 12,607,92215,645,31916,517,830

Payments during the same three years were composed of the following amounts.

 1941–42.1942–43.1943–44.
Out of appropriations—£££
Working railways9,398,27410,250,58611,743,945
State coal-mines666,479927,0361,303,093
State forests474,546485,660522,390
Interest1,828,7102,576,8102,718,368
Amortization of debt9,16414,32421,052
Transfers to other accounts1,15138,06218,004
Subsidy to Railway Employees' Sick Benefit Fund8,0008,0008,000
Social-security charge1,4741,345499
National-security tax1,4732,018749
Income-tax14,82615,5435,766
Totals12,404,09714,319,38416,341,866

SOCIAL SECURITY FUND.

—The Social Security Fund was established as from the 1st 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:—

Receipts
 1941–42.1942–43.1943–44.
 £££
Social security charge10,432,31411,624,04612,796,108
Registration fee605,222540,921551,064
Penalty for late payment of fee25,77123,34630,435
Fines549330166
Miscellaneous receipts7436,0997,011
Transfers from Consolidated Fund3,600,0003,800,0004,100,000
Interest13,3119,8425,836
Recoveries130228147
Receipts due to Employment Promotion Fund9,6438,8281,318
Totals14,687,68316,013,64017,492,085
Payments
 £££
Administration expenses and emergency benefits519,110636,949624,476
Medical, hospital, &c., benefits2,435,5883,721,1794,726,680
Monetary benefits10,576,52211,592,54212,282,200
Services not provided for694391
Totals13,531,28915,950,67417,633,747

More detailed information concerning payments under the various headings are given in Section 24 of this Year-Book.

MAIN HIGHWAYS ACCOUNT.

—The Main Highways Account is concerned with the construction and maintenance of main highways and the payment of subsidies to local authorities. Its receipts consist mainly of special taxation collected by the Consolidated Fund and paid over, less certain deductions; and moneys borrowed for purposes of main highways construction.

The statement of receipts and payments which follows summarizes the operations of the last three years.

Item.1941–42.1942–43.1943–44.
Receipts
 £££
Taxation2,188,4601,592,9471,578,896
Loan-money257,069270,000200,000
Repayment of advances21,13620,69512,425
Interest5,9173,6542,024
Recoveries on account of expenditure of previous years391537159
Miscellaneous2,9242,5572,655
Totals2,475,8971,890,3901,796,159
Payments
 £££
Construction and improvement of highways505,339135,785105,298
Maintenance, repairs, and renewals of highways1,068,0281,056,4021,231,286
Subsidies to local authorities211,889213,530213,307
Advances to local authorities13,313432..
Commutation of Hutt Road fees24,71936,76519,025
Abolition of toll-gates1,5011,5251,530
Interest on transfers from Public Works Account61,30061,300Cr. 12,260
Miscellaneous359,996431,371272,839
Totals2,246,0851,937,1101,831,025

WAR EXPENSES ACCOUNT.

—The War Expenses Account was set up under the provisions of the War Expenses Act of 1939, and all receipts and payments in connection with the war effort are dealt with through this account. Defence expenditure was previously included as an annual appropriation of the Consolidated Fund, and upon the War Expenses Account being brought into existence the unexpended balances of the 1939–40 appropriations under these headings were transferred to the new account.

A summary of receipts and payments of the War Expenses Account for the years 1942–43 and 1943–44, with the totals since its inception to 31st March, 1944, is as follows:—

Receipts

* For details see page 334.

† Includes £2,287,826 unexpended balances of 1939–40 defence appropriations.

 1942–43.1943–44.1939–40 to 1943–44.
 £££
Loan-money78,040,50672,754,812203,801,265
National-security tax*16,775,52119,184,05652,789,087
Other war taxation*22,780,81526,260,03672,075,878
Miscellaneous receipts28,39792,5144,830,424
Aeroplane Fund....162,579
Transferred from Consolidated Fund3,172,00011,700,00020,385,826
Transferred profits from Marketing Pool Accounts217,64142,780260,421
Fiji Government contribution118,125..168,750
Reciprocal Aid—Lend-lease26,812,66832,478,23559,290,903
Repayment of rehabilitation advances6,95328,02134,974
Rehabilitation—Donations15..15
Totals147,952,641162,540,454413,800,122
Payments
 1939–401942–43.1943–44. to 1943–44.
 £££
Navy8,545,8718,247,62024,433,045
Army88,899,46178,086,821219,347,237
Air Force24,259,23933,753,26979,812,660
Civil14,933,0877,859,88627,600,652
Rehabilitation74,775544,313619,088
Reciprocal Aid—Reverse lend-lease6,985,84724,453,53931,439,386
Amortization of debt240,51010,216,10321,455,704
Purchase of aeroplanes for Royal Air Force....162,579
Totals143,938,790163,161,551404,870,351

Some of the more important items of Navy, Army, and Air Force expenditure for the year 1943–44, and the totals of these items from the inception of the War Expenses Account to 31st March, 1944, are as follows:—

 1943–44.29th Sept., 1939 to 31st Mar., 1944.
Navy—££
Pay and allowances2,179,2285,867,096
Accommodation, clothing, and victualling703,8211,652,687
War and other stores2,119,2386,753,336
Medical services13,33241,548
Land, buildings, and ships2,108,8225,275,781
Docking repairs, maintenance, and rent474,5051,863,529
Transport402,809970,932
Army—  
Pay and allowances30,628,01379,642,875
Accommodation, clothing, and victualling3,921,67718,977,925
War and other stores34,602,47490,158,623
Medical services620,3011,748,734
Land, buildings, and fortifications1,925,27910,460,890
Repairs, maintenance, and rent1,065,5642,398,917
Transport4,462,34711,035,731
Air—  
Pay and allowances10,988,58119,219,657
Accommodation, clothing, and victualling2,589,3155,773,366
War and other stores15,352,10728,403,019
Medical services82,301243,705
Land, aerodromes, and other buildings3,019,74313,129,356
Repairs, maintenance, and rent215,149784,902
Transport1,117,2412,397,021

WAR DAMAGE FUND.

—The War Damage Fund was set up under the provisions of the War Damage Act, 1941, which came into force on the 19th December, 1941.

During the year 1943–44 premiums amounting to £1,522,741 were paid into the fund and interest on investments amounted to £45,406. Payments during the year amounted to £2,593, leaving a balance of £3,885,932 in the fund at 31st March, 1944.

The purpose of the Fund was extended as from the 1st March, 1944, to cover damage resulting from earthquake.

SUBSECTION B.—TAXATION

TOTAL TAXATION.

—All revenue collected by means of taxation was until the end of the financial year 1921–22 paid into the Consolidated Fund and applied to general purposes. From 1922–23 to the 5th December, 1927, however, certain items were paid into the Main Highways Account to help to defray the cost of improving and maintaining roads. From the last-mentioned date all such moneys have been paid into the Consolidated Fund in the first instance, and (with certain exceptions) transferred to the Main Highways Account. The proceeds of social-security taxation are paid direct into the Social Security Fund, while a similar position holds in the case of war taxation, receipts from this source being paid direct into the War Expenses Account.

A summary of tax collections (total and per head) during the last eleven years is given in the following table.

Year ended 31st March,Total.Per Head.
* Excluding social security and war taxation, the total in 1943–44 was £42,017,019—equal to £25 13s. 2d. per head.
 ££s. d.
193421,473,40613 18 5
193524,739,40915 18 4
193625,478,59816 5 7
193731,181,60319 15 0
193836,798,97123 1 8
193937,797,90423 9 2
Year ended 31st March,Total.Per Head.
 ££s. d.
194044,522,02827 5 2
194161,360,84037 10 3
194268,163,25641 16 2
194387,940,84453 12 4
1944*100,839,48461 11 7

The following table shows receipts under the various heads of taxation during the last five years.

Revenue for Year ended 31st March,
Head.1940.19411942.1943.1944.
* See also under war taxation.
Consolidated Fund—£££££
Customs revenue*9,946,8588,777,7578,101,9897,037,7817,672,083
Beer duty*1,378,9991,602,0301,686,2331,793,5412,041,760
Motor-vehicles taxation2,997,4412,393,7562,340,7591,706,3041,692,325
Land-tax1,019,084959,4181,009,288975,824987,707
Income-tax*10,271,35215,720,49016,511,54819,146,60523,498,851
Death duties*1,625,865........
Other stamps taxation1,843,1481,697,7791,737,4701,708,2792,118,444
Sales tax*3,510,1303,502,5333,546,2203,600,8263,762,406
Other taxation217,722219,969228,439226,705244,043
Totals32,810,59934,873,73235,161,94636,195,86542,017,619
Social - security taxation—     
Social-security charge8,860,92010,109,57710,432,31411,624,04612,796,108
Registration fees, &c.668,673632,284631,542564,597581,665
Totals9,529,59310,741,86111,063,85612,188,64313,377,773
War taxation—     
National-security tax..6,348,54610,480,96416,775,52119,184,056
Income-tax1,299,8952,385,1242,420,3046,431,2697,832,950
Death duties134,4503,227,7913,803,7724,698,5184,508,792
Customs revenue295,666650,019610,2022,338,9862,710,358
Beer duty113,261228,564223,6701,171,8071,498,373
Sales tax..2,248,8263,541,8657,354,6718,980,941
Postage250,000500,000700,000600,000600,000
Miscellaneous88,564156,377156,677185,564128,622
Totals2,181,83615,745,24721,937,45439,556,33645,444,092
Total taxation receipts44,522,02861,360,84068,163,256 87,940,844100,839,484 
Taxation receipts per head of mean population—£s. d.£s. d.£s. d.£s. d.£s. d.
Ordinary (Consolidated Fund)20 1 921 6 521 11 422 1 425 13 2
Social security5 16 86 11 46 15 97 8 88 3 5
War1 6 99 12 613 9 124 2 427 15 0
Totals27 5 237 10 341 16 253 12 461 11 7

During the early years of the depression period heavier imposts were made in existing fields of taxation and, in addition, new classes of taxation were imposed, the latter including a sales tax and a scheme of special taxation for the relief of unemployment. The need of finance for New Zealand's war effort has necessitated the imposition of new taxes and additional charges under many existing headings.

Compared with 1938–39—the financial year immediately preceding the outbreak of war—revenue from taxation in 1943–44 showed an increase of £63,041,580, or 167 per cent. Of this increased amount, taxation for war purposes accounted for £45,444,092, social security taxation (replacing employment-promotion taxation as from 1939–40), £7,885,641, and taxation for the purposes of the Consolidated Fund £9,711,847. In this connection, it should be noted that receipts of the Consolidated Fund for 1943–44 were called upon to the extent of £7,500,000 for transfer to the War Expenses Account and £4,100,000 for transfer to the Social Security Fund. A further amount of £4,200,000 from the surplus of the previous years was also transferred to the War Expenses Account.

Total receipts from taxation in 1943–44 exceeded the total for 1942–43 by £12,898,640, or by 14£7 per cent. Taxation for ordinary revenue purposes increased by £5,821,754 (16£1 per cent.) as compared with the previous year, social-security taxation by £1,189,130 (9£8 per cent.), and war taxation by £5,887,756 (14£9 per cent.).

In 1943–44 taxation for ordinary revenue purposes accounted for 41£7 per cent. of the total taxation receipts, social-security taxes for 13£2 per cent., and war taxes for 45£1 per cent. If to the total of war taxes is added the £7,500,000 transfer mentioned above, the 1943–44 taxation used for war purposes amounts to 52£5 per cent. of the total taxation receipts for the year.

Including war and social-security taxation, taxes imposed directly on incomes produced £63,311,965 revenue in 1943–44, as compared with £14,296,109 in 1938–39, and £6,959,560 in 1933–34.

As a war measure, an Excess Profits Tax Act was passed in 1940, providing for the imposition of a special tax assessed on excess profits derived by the taxpayer during the income year 1940–41 and subsequent years covering the duration of the war.

The figures under the various headings are to a small extent swollen by the inclusion of penalties for late payment, and of fines for offences under the various taxation Acts. The figure shown for the postage item of war taxation is the amount paid to the War Expenses Account out of postal revenue, following the imposition of increased charges as part of the war-taxation measures.

CUSTOMS AND EXCISE TAXATION.

—Revenue included under the heading of Customs is exclusive of receipts from tire-tax and from that portion of the motor-spirits tax which is imposed to provide funds for roading purposes, referred to under the next heading. Gold-export duty, sales-tax receipts, and special Customs duties for war purposes 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 31st March,Customs Duties.*Beer Duty.Total Customs and Excise Duties.Proportion of Total Taxation. (Consolidated Fund.)
* Excise duties other than beer duty are hero Included with Customs duties.
 £££Per Cent.
19409,946,8581,378,99911,325,85734£52
19418,777,7571,602,03010,379,78729£76
19428,101,9891,686,2339,788,22227£84
19437,037,7811,793,5418,831,32224£40
19447,672,0832,041,7600,713,84323£12

Increases in the rate of beer duty and in the tax on motor-spirits, for general revenue purposes, were brought into operation on 2nd August, 1939. As from 27th September, 1939, additional duties were imposed on certain items (including beer and tobacco, which two items were subject to still further increases in duty as from 11th May, 1942); the additional revenue in these cases being appropriated for war purposes, and paid direct into the War Expenses Account. Information in regard to these increases and Customs and excise duties generally is contained in Section 9D, Customs Tariff and Revenue.

MAIN HIGHWAYS TAXATION.

—The Main Highways Act, 1922, laid down that the Revenue Fund (the Revenue and Construction Funds merged as from 1st April, 1936) of the Main Highways Account was to be credited, inter alia, with—

All moneys received as Customs duties imposed in respect of rubber tires, rubber tiring, and inner tubes of rubber for pneumatic tires, n.e.i. (as per the Customs tariff):

All moneys received by the Crown under any Act in respect of the licensing of motor-vehicles.

The tire-tax was imposed by the Customs Amendment Act, 1921, prior to the passing of which tires had been admitted free. The licensing of motor vehicles by the Crown became operative in the financial year 1924–25, consequent upon the passing of the Motor-vehicles Act, 1924.

A third class of taxation for main-highways purposes was introduced towards the end of 1927 by the Motor-spirits Taxation Act of that year, which imposed a duty of 4d. per gallon on all motor-spirits imported. The rate was increased to 6d. per gallon in 1930. The duty collected is paid into the Consolidated Fund in the first place, and after deduction of expenses of administration and of refunds (which are provided for in cases where the motor-spirits are used otherwise than for motor-vehicles) the residue is divided between (1) the Main Highways Account, and (2) boroughs with a population of 6,000 or over, in the proportions of 92 per cent. and 8 per cent. respectively. An additional 2d. per gallon was imposed from 7th October, 1931, a further 2d. from 9th February, 1933, and a further 4d. from 2nd August, 1939, but these additional imposts (totalling 8d. per gallon, or 8 1/10 d. with the surtax of 7/10 d. per gallon on imports from foreign countries) are for general purposes, and the proceeds are paid into the Consolidated Fund as part of the ordinary Customs revenue. During the depression period several amounts of motor-spirits taxation were retained in the Consolidated Fund, while certain other amounts were paid out of the Main Highways Account by way of subsidies and rebates on rates levied on rural land.

By section 19 of the Finance Act, 1932–33 (No. 2), substituted later by section 4 of the Motor-vehicles Amendment Act, 1934–35, a mileage-tax was imposed on motor-vehicles using fuel other than motor-spirits. Part of the receipts is regarded as the equivalent of Customs taxation on motor-spirits and remains in the Consolidated Fund, the balance for highway purposes being divided between the Main Highways Account and the larger boroughs after deduction of administration expenses and of refunds. Owing to the restrictions placed on the use of motor-spirits consequent upon war conditions, many petrol-driven vehicles are now using, wholly or in part, substitute fuels (producer-gas, &c). Normally all such vehicles would be liable for mileage-tax; but, in order to encourage the use of these substitute fuels, certain classes have been exempted by the Substitute Fuels Emergency Regulations dated 18th September, 1940.

Taxation receipts for main-highways purposes have been as follows during the last five years.' Reference may be made also to the section relating to Roads and Road Transport.

Year ended 31st March,Fees, &c., under Motor-vehicles Act.Tire-tax.Motor-spirits Taxation.Mileage-tax.Total.
* Not available for publication.
 £££££
1940619,676103,8482,262,27011,6472,997,441
1941573,47963,8811,744,22512,1712,393,756
1942****2,340,759
1943****1,706,304
1944*** 1,692,325

LAND AND INCOME TAX.

—A brief history of the various changes in the rates of, and the law relating to, land-tax and income-tax between 1915 and 1939 is contained in the 1940 and previous issues of the Year-Book. The principal alterations which have taken place since 1936 are as follows:—

As part of the programme of the Labour Government, a graduated scale of land-tax was reintroduced as from 1st April, 1936. An amended scale of income-tax, with somewhat heavier imposts, was also adopted, and various changes were made in regard to exemptions. Under the amended scale the reduction of exemptions with increasing income was discontinued, as was also the special flat-rate tax on incomes over £600. The 1936 amendment, superseded by the 1940 amendment, provides that taxpayers may be required to pay their income-tax by instalments instead of in one sum as formerly.

With a view to obtaining additional revenue for general governmental purposes, legislation was passed in 1939 reducing the general exemption from £210 to £200, and increasing the basic rates of taxation.

In connection with the provision of finance for war purposes, the War Expenses Act of 1939 increased all rates of income-tax for the 1939–40 tax-year by 15 per cent. This surcharge was retained for. the 1940–41 and 1941–42 tax-years, and was increased to 33 ⅓ per cent. for the 1942–43, 1943–44, and 1944–45 tax-years.

Income derived from farm-lands of an unimproved value of under £3,000 (from 1931–32) was, up to the passing of the “Land and Income Tax Amendment Act, 1939, exempt from income-tax. The 1939 Act provides for all profits or gains derived from the use or occupation of any land to be regarded as assessable income. This Act also made provision (amended in 1940 and 1941) for the taxation of income of “proprietary” companies—i.e., companies under the control of not more than four persons.

By the Land and Income Tax Amendment Act of 1940 certain State trading Departments, which were previously exempt, were made liable for the payment of income-tax; the special exemption in respect of children was extended to include children brought to New Zealand under any Government scheme and being supported by any taxpayer; unpaid land-tax, once registered, remains a first charge on land until all arrears are paid; and a new scale of basic rates of income-tax was provided.

The Land and Income Tax Amendment Act of 1941 brought the provisions for taxation of banking companies into line with those for other companies.

Under the Finance Act, 1942, the Commissioner of Taxes is empowered to require any person to deduct income-tax from payments due to defaulting taxpayers and to pay every sum so deducted to the Commissioner.

The Land and Income Tax Amendment Act, 1944, increased the personal exemption of absentees from £50 to £200, and also made provision for deductions from assessable income in respect of deferred maintenance of assets where reasonable and proper maintenance has been prevented by conditions arising out of the present war.

Statistics relating to the incidence of land and income tax are given later on in this volume (Sections 33 and 34 respectively).

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. An owner of land, the unimproved value of which does not exceed £1,500, is allowed an exemption of £500; and where the unimproved value lies between £1,500 and £2,500 there is a similar exemption, diminished, however, by £1 for every £2 over the £1,500 mark, so that no exemption is allowed when £2,500 is reached.

Where the land is subject to a registered mortgage an alternative scale of exemption is provided—viz., £7,500 in cases where the unimproved value does not exceed £7,500, the exemption of £7,500 being diminished by £1 for every £1 above the margin of £7,500 of unimproved value, and disappearing altogether at £15,000. Where the capital value of the mortgage is less than the amount of deduction provided, such capital value is deducted instead.

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 unimproved value, if in the opinion of the Commissioner of Taxes 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 of Taxes 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 £5,000 the present rate of land-tax is 1d. in the pound. This rate is increased by 1/2d. for every £1 in excess of £5,000, with, however, a maximum rate of 6d. in the pound.

Income-tax.

—Income-tax is payable on the full incomes of registered companies and certain public authorities, and in other cases on income in excess of £200 per annum. A deduction of £50 from assessable income is allowed in respect of a dependent wife or husband whoso personal income does not exceed £50. An exemption of up to £50 is allowed a widower, widow, or divorced person in respect of a housekeeper whose duties include the care and control of a child or children in respect of whom the taxpayer is entitled to a special exemption; £50 deduction is allowed for each dependent child or grandchild under eighteen years of age, and also in respect of each child, brought to New Zealand under any Government scheme, who is dependent on the taxpayer: and amounts up to £50 contributed towards the support of a relative of the taxpayer are also deductible from assessable income, provided that such relative is not in receipt of a monetary benefit under the Social Security Act. Exemption up to 15 per cent. of assessable income, but with a maximum exemption of £150, is allowed for life-insurance premiums and National Provident Fund, superannuation, and similar contributions. Allowance is made for depreciation of premises and plant used in the production of income, the revised scale of depreciation adopted as from 1st April, 1939, in the case of premises being 2 ½ per cent. for wooden-frame buildings; 1 ½ per cent. for brick, stone, or concrete walled buildings; and 1 per cent. for buildings of reinforced stone or concrete throughout and steel-framed buildings covered with iron, asbestos, or similar material. Where a taxpayer has been prevented from maintaining assets in a proper or reasonable manner by conditions arising out of the present war, a deduction from assessable income may be allowed in respect of deferred maintenance. The minimum amount that may be so allowed is £100, and the amount applied for is to be deposited with the Commissioner of Taxes, and paid to the Consolidated Fund. At any time after the expiration of twelve months from the date of the deposit, the taxpayer may apply for a refund of the whole or a part thereof, but in no case may the amount of the refund be less than £50. Any amount so refunded is deemed to be assessable income for the income year in which the refund is made. A deduction may also be made in respect of any premium paid on account of leased machinery used in the production of income. Certain specified incomes are wholly exempt from taxation. With the exception of depreciation, none of the foregoing exemptions are allowed to absentees.

Income derived from debentures of companies, local authorities, and public authorities is taxable at the source unless a certified list of the debenture-holders (with certain other particulars) is furnished. Where such income is taxed at the source an adjustment is obtainable, so that no taxpayer need pay tax on debenture interest at a higher rate than on income from other sources.

Companies pay tax on their full income (at the appropriate rate for such income) before distribution of dividends. The recipient of income from dividends does not pay income-tax on such part of his income, but the amount is taken into account in fixing the rate of tax to be paid. This provision also applies in the case of income from “tax-free” Government securities or “tax-free” company debentures.

In respect of stock or debentures issued by the Government of New Zealand, or by any local or public authority, or by the Public Trustee as agent of a land-settlement association, interest is not liable to New Zealand income-tax if it is payable out of New Zealand to a person not resident in New Zealand.

Income-tax is payable on the taxable balance—i.e., assessable income less exemptions—and is assessed at the following basic rates, which were laid down in the Land and Income Tax Amendment Act of 1940 and amended by the Finance Act, 1942. In addition, a surcharge of 33 ⅓ per cent. of the amount assessed is made for war purposes, subject to a maximum rate of 15s. 6d. per £1.

Debentures issued by Companies and Local and Public Authorities.—(i) Where the income has been derived from debentures issued by a company on terms providing for the payment of income-tax by the company, the rate of tax is 8s. 8d. per £1; (ii) in other cases where the income has been derived by a company or a public authority, the rate of tax is 12s. per £1. Where the income has been derived by any other taxpayer the rate of tax is 12s. per £1, increased by one-third thereof.

Companies and Public Authorities.—On income not included above, the rate of income-tax for every £1 of taxable income in the case of companies and public authorities is: (i) Where the taxable income does not exceed £6,300, 2s. 6d., increased by 1/100 d. for every £1 of taxable income; (ii) where the taxable income exceeds £6,300, 7s. 9d., increased by 1/150 d. for every £1 of the taxable income in excess of £6,300, but so as not to exceed in any case the rate of 8s. 8d. per £1.

Other Taxpayers.—On all income not included above, the rate of income-tax is as follows, an addition of one-third being made in the case of unearned income: On so much of the taxable income as does not exceed £100, the rate of tax per £1 is 2s. 6d.; for each succeeding £100 or part thereof the rate of tax increases by 3d., until at £3,700 in the case of earned income, and at £2,500 in the case of unearned income, a maximum rate is reached which gives, together with the 33 ⅓ per cent. war expenses impost, a rate of 15s. 6d. in the £1. The Land and Income Tax Amendment Act, 1940, states that the rate of income-tax for any £1 of income must not exceed 15s. 6d.

The Finance Act, 1942, provides for a new method of assessing income-tax where the classes of income are involved—e.g., earned and unearned, or earned and non-assessable. In the case of income that is wholly earned or wholly unearned, however, the method remains the same.

Legislative authority is given in the Land and Income Tax Amendment Act of 1940 for income-tax to be assessed for any year at the basic rates specified, any change required being in the form of an addition or deduction of a certain percentage.

As a war measure the Excess Profits Tax Act, 1940, was passed, setting the rate of excess profits tax at 60 per cent. for the income year 1940–41. For the 1941–42 and subsequent income years the rate was increased to 75 per cent. by the Finance Act, 1942.

DEATH DUTIES.

—The law dealing with these classes of duty is embodied in the Death Duties Act, 1921, as subsequently amended. The main heads of taxation are estate and succession duties, which are generally referred to by the collective title of “death duties.” In addition to these there are gift duties and Native succession duties.

Estate and succession duties are due and payable to the Commissioner of Stamp Duties on assessment, an additional 5 per cent. penalty, together with interest at 5 per cent. per annum, being payable if duty is not paid within three months (this period may be extended in certain cases) after death. Gift duties are payable at the time the gift is made, and Native succession duties before the registration of the succession order by the Native Land Court. Generally the decision of the Commissioner of Stamp Duties in regard to matters of fact incidental to the assessment of duty is final, but there is an appeal on points of law or of fact by way of a case stated to the Supreme Court. An appeal on a question of law may be referred to the Court of Appeal.

Part III of the Finance Act, 1939, provides for a reduction in the amount of death or gift duty payable in cases where the margin above the limit of value on which a lower rate is payable is small.

The War Expenses Act, 1939, increased all rates of estate, succession, and gift duty by one-third, for the provision of war finance. The increase in the rate of duty applied to the estates of all persons dying after the 26th September, 1939, and, in so far as it related to gift duty, applied to all gifts made subsequent to 26th September, 1939.

Part IV of the Finance Act, 1940, repealed the provisions of the War Expenses Act, 1939, mentioned previously, and established new and increased rates for all classes of death and gift duties. Section 8 of the same Act provided for all revenue accruing from death and gift duties to be paid direct into the War Expenses Account as from 1st April, 1940. Provision was also made for exemption from death duties and gift duty of gifts to the Government for war purposes.

The net revenue received from death and gift duties during each of the last five years was:—

Year ended 31st March,Estate Duty.Succession Duty.Gift Duty.Total Death Duties.

* Ordinary revenue.

† War purposes revenue.

 ££££
1940*1,104,593339,111182,1611,625,865
194081,94018,31034,200134,450
19412,413,256619,540194,9953,227,791
19422,802,978789,302211,4923,803,772
19433,546,402970,327181,7894,698,518
19443,363,378876,088269,3264,508,792

Estate Duty.

—When the final balance of the dutiable estate of a deceased person, estimated as at the date of his death, exceeds £200, an estate duty is levied on the amount thereof. In the case of any estate the final balance of which does not exceed £10,000, any interest acquired by the wife of the deceased up to the value of £5,000 is exempt from estate duty, provided that the amount of deduction shall not in any case exceed the difference between the final balance and £10,000. The rate of duty on the whole estate must, however, be determined before any deduction is made. The value of any life-insurance policy or policies comprised in the estate was, by the Death Duties Amendment Act of 1925, deductible up to a maximum of £1,000, irrespective of the amount of the estate, but the Finance Act of 1939 repealed this provision as from 1st August, 1939.

Up to 1920 duty was leviable on property in excess of £500, and the scale of duties ranged from 1 per cent. in cases where the net estate was between £500 and £1,000 to a maximum of 15 per cent. for large estates. The amendment made to the scale in 1920 considerably increased the duty payable, the rates, which were embodied in the Act of 1921, ranging from 1 per cent. on estates not exceeding £2,000 in value to 20 per cent. on estates of more than £100,000. Part II of the Finance Act, 1930, imposed a rate of 30 per cent. on the amount by which the final balance exceeded £100,000. Part III of the Finance Act, 1939, imposed higher rates of duty, ranging from 1 1/5 per cent. on estates not exceeding £2,000 in value to 30 per cent. on estates exceeding £100,000 in value.

The War Expenses Act of 1939 increased all rates of estate duty by one-third, but Part IV of the Finance Act, 1940, provided a new scale of duties as follows:—

Final Balance of Estate.Rate
 £ £per Cent.

* Plus additional 1 per cent. for every £500 or fraction thereof in excess of £500.

† Plus additional ½ per cent. for every £1,000 or fraction thereof in excess of £7,000.

‡ Plus additional ½ per cent. for every £1,000 or fraction thereof in excess of £31,000.

§ Plus additional 1/10 per cent. for every £1,000 or fraction thereof in excess of £70,000.

 Upto200Nil
Over200to5001
Over500to5,0001*
Over5,000to6,00011
Over6,000to7,00012
Over7,000to31,00012
Over31,000to70,00024
Over70,000to100,00037§
Over100,000 ..40

Succession Duty.

—In addition to the estate duty referred to above, a succession duty is payable by any person who acquires a beneficial interest in the estate of a deceased person either by will or by intestacy. An exemption from duty is made in favour of charitable trusts, and special provision is made that the wife, lineal descendant, or lineal ancestor of a soldier who has met his death on account of the war of 1914–18 or the present war is allowed a £5,000 exemption in addition to the amounts otherwise provided.

The rates of duty vary according to the degree of relationship of the beneficiary to the deceased person. Part III of the Finance Act, 1939, effected a general increase in the rates, which had remained unaltered since 1920, while all rates were increased further by the War Expenses Act, 1939, and increased still further by the Finance Act, 1940.

The scales of duties as outlined in the Finance Act, 1940, and operative as from 30th June, 1940, are as follows:—

  1. Wife.—The rate varies from 2 per cent. for amounts exceeding £5,000 but not exceeding £6,000, to 12 9/10 per cent. for amounts exceeding £70,000.

  2. Husband.—From 2 per cent. for amounts exceeding £500 but not exceeding £2,000. to 16 3/5 per cent. for amounts exceeding £59,000.

  3. Children, &c.—From 1 per cent. for amounts exceeding £500 but not exceeding £1,000, to 16 per cent. for amounts exceeding £61,000.

  4. Parents, Brothers, Sisters, &c.—From 3 per cent. for amounts exceeding £500 but not exceeding £500, to 21 per cent. for amounts exceeding £61,000.

  5. Other Relatives.—From 6 per cent. for amounts exceeding £200 but not exceeding £500, to 22 2/5 per cent. for amounts exceeding £57,000.

  6. Other Cases.—From 10 per cent. for amounts exceeding £200 but not exceeding £500, to 31 9/10 per cent. for amounts exceeding £43,000.

In all the above cases provision is made to allow for a reduction in the amount of succession duty payable, so that it will not exceed the difference between the estate duty payable in respect of such succession and percentages of the succession ranging from 50 in the case of wife or husband to 60 in cases other than relatives.

In cases where the successor is a child of the deceased and is under the age of twenty-one years at the time of death of the deceased, no succession duty is payable on amounts up to £1,000, and in successions exceeding that amount the full amount of duty is payable only in cases where the balance will not be reduced below £1,000.

In respect of moneys exceeding £1,000 that may be payable to persons domiciled out of New Zealand, and where the beneficiary is not the husband or wife of the deceased or a relative of the deceased within the third degree of consanguinity, there is an additional rate equal to 10 per cent. of the excess over £1,000.

Native Succession Duty.

—Where any succession order is made by the Native Land Court on the death of a Native, no death duty in the ordinary way is payable on the property included in it, but a Native succession duty of 2 per cent. is payable on the value of the property, with a general exemption of £200.

Gift Duty.

—A gift means any disposition of property (situate in New Zealand at the time of the gift) which is made otherwise than by will, whether with or without an instrument in writing, without full and adequate consideration in money or its equivalent. No duty is payable on a gift which, together with the value of all other gifts (not exempt from duty by reason of their nature) made at the same time or within twelve months previously or subsequently by the same donor to the same or any other beneficiary, otherwise than by way of a charitable trust, does not exceed the value of £500. Exemption from gift duty is also provided in cases of voluntary discharge of a mortgage debt where the donor and beneficiary are not connected by ties of blood or marriage. Various other exemptions were made by the Death Duties Amendment Act, 1923.

The amount of the gift duty is payable by either the donor or the beneficiary, but the beneficiary is entitled to be indemnified by the donor unless the terms of the gift provide otherwise. Particulars of any gift made are required to be furnished for assessment of duty within one month of the date of the gift, and in default an additional duty of 50 per cent. is payable. Where duty is payable, the rate (since 30th June, 1940) is based on the following scale.

Value of Gift.Rate of Duty. Per Cent.
Over £500 to £1,0005
Over £1,000 to £5,0009
Over £5,000 to £10,00015
Over £10,000 to £20,00020
Over £20,00025

Prior to 1920 there was a flat rate of 5 per cent. on all gifts exceeding £1,000 in value. Gifts between £500 and £1,000 were made dutiable in 1930.

STAMP DUTIES.

—The terra “stamp duties” covers a miscellany of items of taxation imposed by the Stamp Duties Act, 1923, and subsequent amendments.

The receipts for the last five years are shown under the various heads of stamp duties revenue as used in the public accounts.

Year ended 31st March,
1940.1941.1942.1943.1944.
 £££££
Adhesive stamps216,77155,225183,579156,624203,646
Duty on instruments367,890390,611349,081371,188508,910
Fines and penalties1,7111,6202,1408111,758
Impressed stamps229,739233,548222,562215,900214,984
Licenses to companies90,72991,50192,53793,80093,141
Sharebrokers' licenses1,7701,5111,3841,2831,382
Racing taxation787,418785,517749,279724,616908,117
Amusements-tax95,64492,70094,415107,433148,225
Lottery duty24,08324,07520,64024,25627,295
Oversea-passenger duty25,71014,95117,0788,3696,898
Mortgagees' indemnity fees1,6671,6341,5051,3211,546
Miscellaneous164,8863,2702,6782,542
Totals1,843,1481,697,7791,737,4701,708,2792,118,444

Several of the more important items included in the foregoing table are dealt with in more detail under subsequent headings.

RACING TAXATION.

—The Government tax on totalizator investments is 5 per cent. of the gross amounts passed through the machines. This percentage was substituted in August, 1930 (by Part I of the Finance Act, 1930), for the former rate of 2 ½ per cent., which had been in force since March, 1910, prior to which the percentage was 1 ½. A refund of 2 ½ per cent., raised from 1 1/4 per cent. by the Finance Act (No. 2), 1935, of gross totalizator takings (up to a limit of £500) may be made to a racing club, the Minister of Internal Affairs having the right to specify the purpose or purposes for which the amount refunded in any case is to be applied.

For some years prior to 1939–40 special provision was made annually for the racing clubs to retain for their own use a proportion of the totalizator duty payable under the Stamp Duties Act. From 1st April, 1932, to 31st March, 1934, the proportion was one-fifth, for the next twelve months it was one-tenth, and from 1st April, 1935, to 31st March, 1939, the former proportion of one-fifth was in operation.

From the 1st November, 1915, a tax of 1 per cent. was imposed on the total value of all stakes, and a tax of 2 ½ per cent. on totalizator dividends, in addition to the tax on totalizator investments. The tax on dividends is computed on the gross amount paid into the totalizator for any horse-race after deducting 12 ½ per cent. (raised from 10 per cent. by the Finance Act, 1930) to cover the tax on totalizator investments and the club's commission. From the 22nd December, 1921, the tax on stakes was increased to 10 per cent. and that on dividends to 5 per cent. From the 1st April, 1924, the tax on stakes was reduced to 5 per cent., with a further reduction to 1 per cent. from 1st August, 1935.

The following figures relate to the racing year, which ends on the 31st July. As a war measure, horse-racing has, since April, 1942, been confined to Saturdays and public holidays, thus reducing the number of racing-days by approximately 50 per cent.

Year ended 31st July,
1940.1941.1942.1943.1944.
* Retained by the clubs.
Number of racing-days319308214163163
Number of races2,4992,4201,7021,3011,298
 £££££
Amount of stakes563,697551,065430,353397,044496,643
Totalizator investments8,139,9148,769,9177,224,2038,664,66510,279,036
Amount paid in dividends6,721,6637,241,9075,967,2557,160,7298,491,695
Government taxes—     
On totalizator investments406,996438,496361,210433,233513,952
On dividends356,023384,404316,632379,022449,648
On stakes5,6375,5114,3043,9704,966
Totals768,656828,411682,146816,225968,566
Percentage of totalizator investments retained by clubs610,493657,744541,815649,850770,927
Unpaid fractions*44,73947,36637,29141,83152,814
Refunds of taxation granted to clubs46,57745,90639,98137,10335,739

For the financial year ended the 31st March, 1944, Government receipts from racing taxation amounted to £908,117, but £36,832 of this was paid back to clubs by way of refunds.

AMUSEMENTS-TAX.

—A form of tax first introduced in 1917 is the amusements-tax, levied on payments for admission to entertainments. The present authority is the Amusements-tax Act, 1922, amended in 1923, 1930, and 1937. “Entertainment” is defined as “any exhibition, performance, amusement, game, or sport to which persons are admitted for payment.” The maximum admission charge on which no tax is payable was originally fixed at 9d., but has been successively altered to 1s., 2s., and (in 1930) 1s. 6d. When the payment for admission exceeds 1s. 6d., but is not more than 2s., the tax is 3d.; thereafter, up to 3s., it is 4d.; up to 3s. 6d., 5d.; and above 3s. 6d., ld. for each 1s. or part thereof, plus 2d. “Payment for admission” includes reservation charges. Provision is made for exemption in certain specified cases—viz., shows promoted by agricultural, pastoral, horticultural, or poultry societies; entertainments, the proceeds or the net proceeds of which are devoted to charitable, philanthropic, patriotic, or educational purposes; any entertainment promoted by any society or institution not established for profit, if the proceeds or net proceeds are devoted to the objects of the society or institution; and any swimming-sports meeting.

The following net amounts have been collected during the last eleven years.

Year ended 3lst March,Amount collected.
 £
193448,715
193549,526
193656,507
193770,564
193898,646
193992,993
194095,644
194192,700
194294,415
1943107,433
1944148,225

FILM-HIRE TAX.

—Part V of the Finance Act, 1930, imposed, as from 1st July, 1930, a film-hire tax, which is payable monthly by holders of renters' licenses 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 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 £93,117 in 1939–40, £94,974 in 1940–41, £99,962 in 1941–42, £107,797 in 1942–43, and £137,149 in 1943–44.

SOCIAL-SECURITY TAXATION.

—The Social Security Act, 1938, provided for the establishment of a Social Security Fund with special taxation (as from 1st April, 1939) superseding employment-promotion taxation, information concerning which will be found in the 1941 (p. 515) and preceding issues of the Year-Book.

Briefly, the contributions to the Social Security Fund consist of a registration fee and a charge on salaries, wages, and other income for all persons over sixteen years of age. For males over twenty years of age the registration fee is 5s. per quarter, and for all other persons over sixteen years of age 5s. per year; while for all persons over sixteen years of ago the charge on salaries, wages, and other income is ld. in every 1s. 8d. or part thereof. The income of companies was exempt from the former employment-promotion taxation, but is liable for social-security taxation. Certain exemptions are provided for, and this matter is dealt with more fully in Section 24.

Social-security taxation yielded £13,377,773 in 1943–44, towards which total the tax on salaries and wages provided £8,490,200, tax on company income £1,432,484, tax on other income £2,873,424, and receipts from registration fees, &c., £581,665.

NATIONAL-SECURITY TAXATION.

—National-security taxation was imposed by the Finance Act, 1940, and came into operation as from the 21st July, 1940. This special taxation, which is levied in respect of the same income as the social-security charge, is paid direct into the War Expenses Account. There is, however, no special registration fee in connection with the national-security taxation. The rate of tax was originally 1d. in every 1s. 8d. or part thereof, but by the Finance Act, 1942, this was increased to 1 ½ d. in every 1s. 8d. or part thereof. This increase applied to all salaries and wages derived in respect of any period after the 10th May, 1942, and in the case of income other than salary and wages to all such income derived during the year ended 31st March, 1942, and any subsequent year. Receipts of national-security tax amounted to £19,184,056 during the financial year 1943–44.

SALES TAX.

—The 9th February, 1933, marked the inauguration of a sales tax in New Zealand. Numerous classes of goods are 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 the Dominion are exempt, as are also certain commodities (e.g., gold, motor-spirits) which are subject to special taxation.

The tax was at the rate of 5 per cent. of the sale value of the goods to which it applied, but in June, 1940, and again in May, 1942, increases of a further 5 per cent. and 10 per cent. respectively were made for war taxation, the extra revenue thus accruing being paid direct to the War Expenses Account. Certain items, such as apparel, footwear, woollen piece-goods and yarns, and certain additional foodstuffs, were exempt from the additional 10 per cent., but in the case of wine manufactured in New Zealand an additional charge of 20 per cent. was added. Discount ranging from 1 1/4 to 2 ½ per cent. (reduced from 5 per cent. in June, 1940) of the amount of tax otherwise payable is allowed for prompt payment. The tax is not a turnover tax, being payable once only and, so 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: 1939–40, £3,510,130; 1940–41. £5,751,359; 1941–42, £7,088,085; 1942–43, £10,955,497; and 1943–44, £12,743,347.

Monthly collections of sales tax during the last four calendar years, according to the purpose for which it was levied, have been as follows:—

Ordinary Taxation.War Taxation.
Month.1941.1942.1943.1944.1941.1942.1943.1944.
 ££££££££
January299,749322,771307,310309,160299,988322,827739,852727,459
February207,889204,547154,225239,338207,685204,202360,400574,014
March291,443307,512355,060407,508291,643307,508852,210985,178
April285,313307,131292,409326,279285,358307,082685,239765,450
May304,699325,275287,490333,937304,357364,933681,564764,190
Juno301,881294,656306,982353,999303,748625,416738,108834,516
July292,976321,062355,350349,429290,831702,551895,577829,682
August303,643302,476281,836331,618303,548645,796675,330777,614
September293,299298,437324,659351,823292,954679,924781,707841,720
October310,872319,005309,803410,855310,786739,469726,524913,119
November312,297305,899306,453350,384312,157675,947717,763819,958
December305,368317,707341,418367,615305,278710,603792,478846,006

The collections during a month relate in general to sales during the preceding month.

The foregoing statistics indicate, in a measure, the comparative distribution of merchandise trading operations throughout the year. The following table of receipts from the sales tax gives some indication of comparative trading operations in the principal centres. These figures are compiled from monthly departmental returns and in most cases differ slightly from the final Treasury figures.

Year ended 31st March,Auckland.Wellington.Rest of North Island.ChristchurchDunedin.Rest of South Island.Total.*
* Includes receipts through Post and Telegraph Department.
 £££££££
19401,081,6491,309,586168,269481,571330,372139,8783,520,703
19411,888,8121,939,367276,222824,839594,294235,4255,767,638
19422,391,5922,304,936322,5021,031,839746,572281,0047,088,732
19433,702,2233,688,131496,0481,508,0921,169,138426,06511,012,426
19444,229,0154,707,531550,2561,608,0221,183,583438,12912,743,347

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 25 of this Year-Book. The amount of revenue collected by local authorities during the five years ended 31st March, 1943, was as follows:—

Year ended 31st March,Rates.Licenses and other Taxes.Total.Per Head of Population.
 ££££s. d.
19407,289,240773,1638,062,4034 18 9
19417,344,055789,2018,133,2564 19 5
19427,441,704774,1018,215,8055 0 9
19437,764,677735,5488,500,2255 3 8
19447,823,729779,1268,602,8555 5 1

The figures are exclusive of wharfage dues, tolls, &c., received by Harbour Boards, such receipts being regarded as in respect of charges for services.

SUBSECTION C—STATE INDEBTEDNESS

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. Section 5 of the Finance Act (No. 2), 1934, authorized the Minister of Finance to transfer the management of the public debt to the Reserve Bank of New Zealand, and the transfer was effected as from the 1st October, 1936.

During the 1914–18 war period provision was made for the issue to the public of “Post Office investment certificates” of a face value of £1 and upwards, and in 1920 legislation which sanctioned a continuous issue of these certificates was enacted.

The proceeds of the sale of these certificates were paid into the Post Office Account, and the moneys were available for investment in any loan authorized by Parliament. The term of the certificates, formerly a minimum of five years, was altered in 1927 to such period as the Minister of Finance might determine. They were later issued with a definite currency of six years, the redemption value being calculated at 3 per cent. compound interest.

These certificates remained on issue until the passing of the National Savings Act, 1940, which made wider provisions for the investment of savings. 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 war. Two forms of investment are provided:—

  1. Deposits in national savings accounts with the Post Office and certain authorized trustee savings-banks;

  2. Purchase of national savings bonds.

These investments are approved trustee securities, and bear interest at the rate of 3 per cent. per annum.

Deposits in national savings accounts cannot be withdrawn at will, but are invested for a definite period. Moneys deposited up to 30th June, 1943, are repayable on 30th June, 1945, and each subsequent investment period has been for a term of two years— i.e., deposits made during the year ended 30th June, 1944, are repayable on 30th June, 1946, and so on. National savings bonds are issued in three denominations—£1, £10, and £100—and are for a term of five years.

The money composing the public debt has been borrowed on the security of the public revenues of the Dominion. No portion of the public estate is pledged for payment of either principal or interest.

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 arises, and not accounted for in the public accounts under the one heading of “Exchange” as was the previous practice. For example, the cost of remitting interest to London, amounting to £1,314,757 in 1943–44, was included in the item “interest” on the expenditure side of the Ordinary Revenue Account of the Consolidated Fund.

It was further decided that Government funds and investments held in the United Kingdom as at 1st 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 at the sterling figure, has been converted to pounds New Zealand, and the whole of the debt as from 1st April, 1943, shown in the debt tables in New Zealand currency. The nominal increase resulting from the adjustment was £39,568,574.

The National Development Loans Act, 1941, provided for the establishment within the Public Account, as from 1st April, 1942, of a National Development Loans Account, into which all loan-moneys raised for national development are paid. During the year 1943–44, £4,000,000 of loan-money was received into the account, while the following amounts were transferred from the account, leaving a balance at 31st March, 1944, of £25,000: Electric Supply Account, £1,655,000; Public Works Account, £1,460,000; Main Highways Account, £200,000; State Coal-mines Account, £320,000: State Forests Account, £110,000; Housing Account, £150,000; Working Railways Account, £5,000; and Post Office Account, £100,000.

GROSS INDEBTEDNESS.

On only three* 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 huge 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.

* See, however, page 603 of 1940 Year-Book.

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 years are given in the following table. As previously stated, the whole of the debt as at 31st March, 1944, was shown in the public accounts in New Zealand currency instead of at the nominal amount as previously, and the opportunity has been taken to convert the amount for the preceding four years to the same basis for purposes of comparison.

As at 31st March,Amount.Per Head of Population.

† Including £5,379,105 raised in January, 1929, for expenditure In 1929–30.

‡ Increase mainly floating debt, paid off in 1934–35.

 ££s.d.
1925227,814,647165211
1926238,855,47816986
1927245,850,889170190
1928251,396,252172185
1929264,191,983179119
1930267,383,343179110
1931276,033,358182120
1932281,942,800184163
1933282,622,958183152
1934302,791,99619568
1935280,581,2171791411
1936282,561,098179106
1937287,670,200181410
1938290,201,342180175
1939303,970,272187110
1940322,907,536196159
1941349,427,575213112
1942385,397,733235163
1943463,825,3722831610
 New Zealand Currency.
 ££s.d.
1940362,373,354220169
1941389,020,472237151
1942423,836,62425968
1943503,393,94730812
1944566,494,017344121

An amount of £1,643,273, representing outstanding advances by way of overdraft in respect of primary produce purchased for export or sale under the authority of the Marketing Act, is not included in the public debt as at 31st March, 1944.

The Hutt Road Act of 1939 made provision whereby the Wellington City Council is kept indemnified out of the Main Highways Account for all liability in respect of certain loans. Loan-money outstanding under this heading amounted to £191,049 as at 31st March, 1944, but against this sinking funds to the value of £113,976 were held at that date by the Public Trustee.

In addition to the foregoing, there are certain contingent liabilities, consisting of loans guaranteed by the State and State guarantees in respect of various undertakings. In regard to the first item, the amount of guaranteed loans outstanding at 31st March, 1944, was £48,117,502, as against which accumulated sinking funds amounted to £26,613. Of this guaranteed loan total, £103,252 represents loans of local authorities; the remainder (£48,014,250) is 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.

Contingent liabilities are comprised of various items, such as: the State guarantee to policyholders of the Government Insurance Department under the Government Life Insurance Act, 1908; the guarantee to the Reserve Bank under the Finance Act, 1934, in respect of sterling exchange; and certain undertakings under the State Advances Corporation Act. There are also certain contingent State liabilities in respect of the various Government Superannuation Funds.

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 (in respect of the 1936 scheme). It should be noted that the debt as at 31st March, 1944, is expressed in terms of New Zealand currency, and for former years at the nominal amount.

Class.Gross Debt as at 31st March,
1914.1920.1930.1940.1944.
 £££££
Ordinary99,730,427121,081,730197,599,818247,308,296296,610,303
Housing (1936 scheme only)......11,558,94523,098,036
War loans (1914–18)80,089,02569,783,52560,954,24058,301,746 
War purposes (1939-)......3,086,055188,483,932
Totals99,730,427201,170,755267,383,343322,907,536566,491,017

The total of 1914–18 war loans amounted originally to £82,245,673, of which approximately £24,000,000 had been redeemed to 31st March, 1944. The amount per head of population for each class as at 31st March, 1944, was as follows: ordinary, £180 8s. 6d.; housing, £14 1s. 0d.; war, 1914–18, £35 9s. 4d.; war, 1939 £114 13s. 1d.

A more detailed allocation of the debt as at the 31st March, 1944, is now given.

 £(N.Z.)
Railways75,641,707
Hydro-electric schemes19,040,144
Post and telegraph services17,477,204
Public buildings, schools, and sites20,777,515
Roads and highways40,786,794
Harbours and lighthouses1,826,415
State forests3,607,438
Housing23,098,146
Land settlement and improvement27,153,695
Shares in Bank of New Zealand875,000
Shares in Reserve Bank of New Zealand1,125,000
Investment in State Advances Corporation37,902,426
Share in Nauru and Ocean Island phosphates192,044
Development of mining1,681,783
Tourist resorts780,441
Immigration1,968,104
War and defence59,343,114
War expenses (1939-)188,483,932
Miscellaneous assets and services44,418,385
Cash and investments in hand314,730
Total£566,494,017

MOVEMENT IN PUBLIC DEBT DURING 1943–44.

During the year 1943–44 transactions in connection with the public debt resulted in the following movements:—

 External.Internal.Total.
 £(N.Z.)£(N.Z.)£(N.Z.)
Increases—   
  Exchange on London debt as at 31st March, 194339,568,574..39,568,574
  National development (capital works)..4,000,0004,000,000
  War expenses11,732,50061,022,31272,754,812
  Issues for renewal, conversion, and redemption of loans..6,533,1256,533,125
Total increase51,301,07471,555,437122,856,511
Total decrease10,690,5889,497,27820,187,866
Net movement40,610,48662,058,159102,668,645

The net increase in the external debit during 1943–44 is shown as £40,610,486, but the actual increase amounted to £1,041,912 only, the difference, £39,568,574, being exchange on the amount of the London debt as at 31st March, 1943. This has been included owing to the fact that the whole debt is now expressed in terms of New Zealand currency. The New Zealand domiciled or internal debt showed an increase of £02,058,159, the long-term debt having risen by £62,397,159, while the floating debt was less to the extent of £339,000.

PUBLIC DEBT CONVERSION.

A scheme of conversion of practically the whole of the locally domiciled debt bearing interest higher than 4 per cent. was successfully carried out in the early part of 1933. Holders had the option of dissenting, but interest on the dissented portion was made subject to an interest-tax of 33 ⅓ per cent. Holders who signified neither assent nor dissent were regarded as having assented.

On the new securities issued in lieu of converted securities the interest-rate is 4 per cent. per annum, except that in the case of securities exempt from income-tax the rate is 3½ per cent. until expiration of the period of exemption and 4 per cent. thereafter. The new securities were spread over six maturity dates, as follows:—

* For securities exempt from income-tax.
15th January, 1940.
15th March, 1943.*
15th February, 1946.
15th April, 1949.
15th May, 1952.*
15th June, 1955.

In cases where interest was reduced by not more than 20 per cent., the new securities issued were for the same amount of principal as the converted securities. Where the reduction of interest amounted to more than 20 per cent., the holder received a premium, the conversion scheme thus involving a slight increase (£491,254) in the aggregate gross debt.

The amount of debt to which the conversion scheme applied was £115,000,000. Actual assent to conversion was given in respect of some £110,000,000, and implied assent to approximately £5,000,000, dissents expressed covering only £480,000, or less than ½ per cent. of the total.

The successful conversion of £5,000,000 5-per-cent. debt into 3½-per-cent. securities at £97 in October, 1933, was the only external debt operation undertaken during the fiscal year 1933–34.

During 1934–35 and 1935–36 further conversion operations were carried out in respect of external debt. The first comprised £3,989,100 of 4-per-cent. stock, which was converted to 3½-per-cent. stock at par in October, 1934. The second and larger operation concerned £10,135,800 of 5-per-cent. stock maturing in 1945 but with a right to redeem on or after 1st July, 1935. Of this, £8,000,000 was converted to 3-per-cent. stock at £98½, and the remainder (£2,135,800) redeemed.

On 1st August, 1936, the right accrued to redeem £5,869,989 of 6-per-cent. stock, and of this £4,000,000 was converted to 3-per-cent. stock at £98½, and the remainder (£1,869,989) redeemed, mainly by the utilization of funds in the Public Debt Repayment Account.

During the year 1936–37 opportunity was taken to exercise the right to repay £12,426,875 of 4-per-cent. 1937–40 stock and debentures domiciled in New Zealand. Cash and conversion applications totalled £11,440,249, and the balance required for redemption was found by the issue of Treasury bills for £925,000, and by the utilization of £61,626 from debt-redemption resources.

Stock to the value of £17,173,191 fell due in London on the 1st January, 1940, and to meet this the Government arranged for the issue of a £16,000,000 sterling cash and conversion loan bearing interest at 3½ per cent. per annum at £99 per cent. The remainder of the £17,173,191 was held by New Zealand institutions, and other arrangements were made for its conversion.

Conversion of £21,273,480 New Zealand domiciled stock nearing maturity was provided for in the 1941 conversion loans, the prospectus of which was issued on 15th May, 1941. Two classes of stock were issued in this case—namely, 3 ¼-per cent. stock issued at £97 per cent. and repayable on 15th September, 1957–60, and 3 per cent. stock issued at par and repayable on 15th September, 1946–48.

Stock was issued in multiples of £5, and any stock or debentures subject to the offer but not converted was to be repaid at par on the respective conversion dates.

A conversion offer was also made in New Zealand to holders of stock and debentures totalling £9,807,450 maturing on 1st February, 1946, but in respect of which the Government had the option to repay on or after 15th February, 1943. This loan carried interest at 4 per cent., and the conversion offer was for 3 per cent. stock maturing in 1960–63 with a premium of £3 per cent., or 2½ per cent. stock maturing in 1949–51 with a premium of £1 per cent. Applications closed on 11th March, but as the conversion did not take place until May, the accounts for 1943–44 were not affected. Approximately £8,000,000 was converted, and about £1,500,000 paid off, with the balance still outstanding.

On 1st March, 1944, £7,339,656 sterling domiciled in London was due for repayment, bearing interest at 4½ per cent., and a conversion offer was made of 3½ per cent. securities at par repayable on 1st March, 1960–64. The whole loan was converted into new stock, £6,017,000 sterling being taken up by existing holders in the new issue and the balance by the Reserve Bank of New Zealand.

WAR LOANS.

The first war loan in respect of the present war was a compulsory one, and resulted in stock to the value of £9,282,607 being issued. Stock of this issue was non-interest bearing up to the 1st October, 1943, thereafter bearing interest at the rate of 2½ per cent. The maturity date of this stock is 1st October, 1953, but stock issued to a person will be accepted at par at any time before maturity in payment of death duties in respect of that person’s estate.

The minimum basis of subscription was an amount equivalent to the amount of income-tax payable in respect of income derived during the year ended 31st March, 1939, decreased by £50 in the case of individuals, and £70 in the case of companies. The minimum subscription was to be calculated to the nearest £10, and tax-free income was treated as having been subject to income taxation for the purpose of ascertaining this minimum. Persons who prior to the issue of the prospectus had made interest-free loans to the War Expenses Account were offered an equal nominal amount of stock of this issue, while persons who had made gifts to the War Expenses Account were allowed to reduce their contributions to this loan by the amount of such gift.

An internal loan of £10,000,000 (oversubscribed by £200,000) for war purposes was floated in August, 1941. Two classes of stock were offered to the public, both of which were obtainable in fully-paid allotments or in instalment allotments. Stock bearing interest at 2½ per cent. is repayable on 1st August, 1946, and that at 3 per cent. on 1st August, 1951–54.

Early in May, 1942, the “1st Liberty Loan” of £15,000,000 was floated for war purposes, and was oversubscribed to the extent of over £2,500,000. It was issued at £100 per cent. in two classes—2½-per-cent. stock repayable on 15th September, 1947, and 3-per-cent. stock repayable on 15th September, 1952–55.

In October, 1942, the “2nd Liberty Loan” of £10,000,000 for war purposes was floated and was more than fully subscribed. Two classes of stock were issued similar to those issued for the “1st Liberty Loan”—the 2½-per-cent. stock being repayable on 15th May, 1948, and the 3-per-cent. stock on 15th May, 1953–56.

Early in June, 1943, the “3rd Liberty Loan” of £35,000,000 was floated for war purposes, and was oversubscribed by approximately £4,275,000. Subscribers were able to purchase either stock or bonds, or invest money in national war savings accounts. Deposits in national war savings accounts could be made from 1s. to £1,000—deposits up to 30th June, 1943, being repayable on 30th June, 1945, and from 1st July, 1943, repayable on 30th June, 1946. Special facilities were offered so that transfers could be made from ordinary savings bank accounts or current accounts with trading banks to a national war savings account. Liberty bonds issued were for £10 and £1, returning £11 7s. 6d. and £1 2s. 9d. respectively five years from the date of issue. Two classes of stock, similar to the first two “Liberty Loans,” were issued—the 2½-per-cent. stock being repayable on 15th June, 1947–49, and the 3-per-cent. stock on 15th December, 1953–56.

A “Victory” loan of £40,000,000 on terms similar to those of the “3rd Liberty Loan” was floated in 1944. The offer opened on 28th August and closed on 4th October with an over-subscription of £672,104. The method of investment included deposits in national war savings accounts, national savings bonds, and stock. Deposits in savings accounts up to 30th June, 1945, are repayable on 30th June, 1947, while bonds issued in denominations of £1, £10, and £100, return £1 2s. 9d., £11 7s. 6d., and £113 15s. in five years from date of issue. The stock consisted of 2½ per cent. repayable on 15th February, 1949–50, and 3 per cent. repayable on 15th February, 1955–58. Payment for stock was accepted either in full at the time of application, or £30 per cent. on application, £40 per cent. on 22nd November, 1944, and £30 per cent. on 12th January, 1945. The stock was issued in the same forms as for previous war loans and the minimum subscription on this occasion was £50. Of the total amount subscribed national savings (accounts and bonds) accounted for £10,591,400 and stock for £30,080,704.

DOMICILE OF DEBT.

Between the 31st March, 1914, and the 31st March, 1944, the amount of New Zealand’s public debt domiciled in London increased from 781 to million 159 pounds sterling, while that domiciled in New Zealand increased from 17 to 366 ¾ million pounds New Zealand. The amount domiciled in Australia, never considerable, has declined to negligible proportions. The table following shows, for each of the five years ending 31st March, 1944, the amount of outstanding debt domiciled in London, Australia, and New Zealand.

At 31st March,Amount.Percentage of Total on New Zealand Currency basis.
London.Australia.New Zealand.London.Australia.New Zealand.
 £(Stg.)=£(N.Z.)(£N.Z.)£(N.Z.)Per Cent.Per Cent.Per Cent.
1940157,863,270197,329,088879,600164,164,66654.46;0.24;45.30;
1941158,371,589197,964,486879,600190,176,38650.89;0.23;48.88;
1942153,755,563192,194,454862,300230,779,87045.35;0.20;54.45;
1943158,274,298197,842,873862,300304,688,77439.30;0.17;60.53;
1944159,107,828198,884,784802,300366,746,93335.11;0.15;64.74;

MATURITY YEARS OF DEBT.

The maturity years of the debt outstanding at the 31st March, 1944, are shown in the following statement, which distinguishes between the various countries of domicile.

Loans maturing in Year ended 31st March.*Due inTotal Debt.
London.Australia.New Zealand.
Public.Departmental.

* In respect of many of the loans the Government has the option to redeem the securities at an earlier date on giving notice.

† Funded debt—see reference on page 355.

‡ Interest-free loans are for various periods, the majority being for the duration of the war and six months thereafter.

 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
Overdue....3,375..3,375
Treasury bills..43,105,00012,510,00055,615,000 
Memoranda of security16,732,500......16,732,500
Funded debt30,125,249......30,125,249
Advance subscriptions....1,554,660..1,554,660
Interest-free....1,263,001..1,263,001
194513,225,885..253,7208,55013,488,155
194630,792,874..11,611,3351,549,87043,954,079
1947....4,170,6741,290,7125,461,386
194814,177,01183,3006,662,6604,009,07024,932,041
1949....21,316,320213,08521,529,405
19509,375,000..20,335,1595,169,43534,879,594
19511,562,500779,000250,000..2,591,500
1953....6,403,9706,080,13512,484,105
19548,284,251..9,640,512223,40518,148,168
1955....6,257,550503,6306,761,180
195615,000,000..17,798,1653,079,76535,877,930
1957....30,589,0999,302,23039,891,329
195824,031,831..3,618,58564,317,07791,967,493
1959....7,299,44541,867,71049,167,155
1960......9,309,2509,309,250
19617,020,626..12,682,1352,119,00521,821,766
196313,132,487..378,639 13,511,126
19649,174,570......9,174,570
19726,250,000......6,250,000
Totals198,884,784862,300205,194,004161,552,929566,494,017

DEPARTMENTAL INVESTMENTS.

As shown in the preceding table, £161,552,929 of the public debt outstanding at 31st March, 1944, was held by various Government Departments. A summary of these departmental investments is as follows:—

 £
Investments held by Accounts within the Public Account17,069,645
Commercial Broadcasting Service20,000
National Broadcasting Service1,400,000
Marketing Department, Export Division1,000,000
Government Life Insurance3,381,415
Native Trustee126,830
Post Office114,432,265
Public Trustee16,742,489
Rural Intermediate Credit Board25,000
State Advances Corporation5,900,000
State Fire Insurance Office— 
Accident Branch893,605
Fire Branch561,680
Total161,552,929

PRICES OF NEW ZEALAND STOCKS.

The highest and lowest London prices for the principal New Zealand stocks, taken over a range of five years, are quoted.

Rate per Cent.Maturing.Highest.Lowest.
1939.1940.1941.1942.1943.1939.1940.1941.1942.1943.
  ££££££££££
319459298½99⅞9810081½92½959197⅞
31952–5583¼93⅛969398698490½83¼93
1939–45..100100100100⅞..97¾9996100
41943–6393101½101½98⅝1027796⅛96⅜93⅞99⅛
1944100½103103100½101 ⅛89979898100 ¼
1945100½103103100102½89979897⅞100½
19479910310310110488⅜989997101
1948–5898½104¾104¾101104¼84⅞969896⅝101½
51946102105105101¾103¾9199100½98101⅝
51949102106106¾103⅝10890⅞99101⅞98103
51956–71....114⅝108114....109¼104106

INTEREST.

Of the public debt outstanding at 31st March, 1932, approximately 30 per cent. of the total bore interest at a rate of 4 per cent. or lower. As a result of conversion operations and of a general decline in interest rates for new money, the amount of debt at the 31st March, 1944, bearing interest at a rate of 4 per cent. or under was £450,549,692, or 80 per cent. of the total. Of the debt domiciled in New Zealand at 31st March, 1944, 84.1; per cent. was at rates of less than 4 per cent., 15.6; per cent. was at 4 per cent., and 0.3; per cent. at 5 per cent. The rates of interest on the debt as at the 31st March, 1944, were as given below.

Rate of Interest per Cent.Debt maturing in—Total.Gross Annual Interest Charge.
London.Australia.New Zealand.
* Funded debt.
 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
Overdue....3,3753,375..
Free....1,263,0011,263,001..
Advance subscriptions....1,554,6601,554,660..
1....5,000,0005,000,00050,000
....50,615,00050,615,000759,225
....97,817,93397,817,9332,437,648
343,804,100..117,833,897161,637,9074,849,139
3 ¼....20,811,87020,811,870676,386
27,979,822..13,104,71141,084,5331,437,959
3 ¾....380,000380,00014,250
413,132,487..57,248,83670,381,3232,815,252
50,148,613....50,148,6132,256,687
£4 19s. 5.88;d.*30,125,249....30,125,2491,491,538
532,132,01383,3001,113,65033,328,9631,666,448
1,562,500779,000..2,341,500128,783
Totals198,884,784862,300366,746,933566,494,01718,583,315

The total annual amount of interest payable on the public debt as at the 31st March, 1944, including the funded debt (payments in respect of which are at present in abeyance), is £(N.Z.)18,583,315, which gives an average rate of £3 5s. 7d. per £100. The total interest and the average rate per cent. payable on the debt domiciled in the various markets are:—

 Total.Average Rate.
 £(N.Z.)£s.d.
London8,259,478430
Australia47,010590
New Zealand10,276,8272160

The actual net interest payments, excluding exchange on the London debt during the financial years 1925 to 1943, including exchange, and for the five financial years ending 31st March, 1944, out of the Consolidated Fund Ordinary Revenue Account are shown in the table following, together with the rate per head of mean population. The figures for recent years have been affected by the discontinuance of payments on the funded debt and by conversion operations.

Year ended 31st March,Amount.Rate per Head.
 ££s.d.
19257,865,2625158
19268,129,79951610
19278,450,79451811
19288,397,0745164
19298,675,22051810
19309,136,301638
19319,266,676638
19329,035,0255191
19338,498,6815111
19348,836,4675147
19358,023,813533
19367,730,1944189
19377,604,4694164
19387,673,0714163
19397,500,5154131
19407,982,5054179
19418,152,5864198
19428,722,808570
19439,676,9985180
 New Zealand Currency.
 ££s.d.
19409,364,0435122
19419,480,62051511
194210,052,732630
194310,990,7386146
194412,362,5927104

The above amounts are net payments out of the Consolidated Fund only, and do not comprise the whole of the interest payments in respect of moneys raised by way of loans. For loans raised for the purposes of State advances to settlers, workers, local authorities, &c., the interest, although made a charge upon the Consolidated Fund, is recovered from the receipts derived from interest paid by borrowers. Other loan-money coming within the same category is that raised for land-settlement, State coal-mines, the development of water-power, and a number of other purposes. Such interest does not become a burden upon the taxpayer, and consequently is not included in the figures upon which the rate per head of mean population is calculated.

The gross interest charges borne by the Consolidated Fund during the year ended 31st March, 1944, totalled £(N.Z.)15,613,270, of which £3,250,678 was recovered from other accounts, &c. There should be set off against the interest charges certain amounts shown in the public accounts not as recoveries but as revenue. These are interest on railway capital liability (£2,690,683), interest on post and telegraph capital liability (£603,480), and interest earned on the investment of public moneys (£503,308).

Of the gross interest payments from the Consolidated Fund during 1943–44, £(N.Z.)6,465,474 was paid in London and £108,311 in New Zealand in respect of debt domiciled in London. A gross interest payment of £(N.Z.)47,010 was made in Australia in respect of debt domiciled in that country, while £8,992,475 was paid within the Dominion in respect of the internal debt. At the instance of the Imperial Government no payments have been made for some years past in respect of the funded debt (vide later reference).

Administration and management charges in respect of debt services amounted to £136,785 in 1943–44, while net credits on guaranteed loans amounted to £2,353. Amortization charges are shown under the next heading.

AMORTIZATION OF DEBT:

Public Debt Repayment.

With certain exceptions, the public debt is now subject to the provisions of the Repayment of the Public Debt Act, 1925. This Act, which repealed the Public Debt Extinction Act, 1910, substituted for the long-term sinking-fund system a method whereby the Dominion’s debt-reduction resources may be available to purchase and cancel Government securities as the market price becomes advantageous, or pay them off at maturity. For this purpose there is issued annually out of the Consolidated Fund a sum equal to ½ per cent. of the debt affected as at the 31st March, plus ½ per cent. of the total amount previously repaid or redeemed under the provisions of the Act. To this is added a sum equal to interest at 3½ per cent. per annum on the debt paid off under the scheme. The bulk of the savings in interest on debt paid off is thus applied to further repayments of debt.

Under the Act of 1925 a capital fund termed “The Public Debt Redemption Fund” was created, consisting of (1) the accumulations of sinking funds, amounting to £11,216,689 at 31st March, 1944 (leaving aside the State Advances, Westport Harbour, State Coal-mines, and other special sinking funds); (2) the amount advanced out of surplus revenue for discharged soldiers’ settlement, originally £13,500,000, but later reduced to £2,000,000 through £4,850,000 having been transferred to the Consolidated Fund, £4,000,000 used for debt redemptions, and £2,650,000 written off as a result of the revaluation of the properties of discharged soldiers. The £2,000,000 remaining under this heading is represented by a contingent liability of the State Advances Corporation. The net earnings from the Public Debt Redemption Fund are credited to the Consolidated Fund and applied towards meeting the charge against that fund created by the Act.

The Act does not apply to the whole of the public debt, revenue bills and certain classes of the debt for which there are special amortization provisions being excluded. The latter include funded debt, loans raised for State advances, and loans raised in respect of electric supply. Of the total gross indebtedness of £227,814,647 at the 31st March, 1925, £174,128,135 was subject to the operation of the Act. The amount subject to the operation of the Act as at the 31st March, 1944, was £(N.Z.)482,083,494.

The following table shows the operations of the Public Debt Repayment Account during each of the last five years, together with the interest earnings of the Redemption Fund. In addition to transfers from the Consolidated Fund, the Public Debt Repayment Account is credited with interest earnings (£6,169 to 31st March, 1944) on its investments. On the expenditure side there have been £242 for cost of exchange, and transfers of £23,672 to the Consolidated Fund in respect of premiums on exchange. To the 31st March, 1944, securities of a nominal value of £29,368,233 had been redeemed. The account had an unexpended balance of £909,313 at 31st March, 1944.

Year ended 31st March,Interest on Redemption Fund (paid to Consolidated Fund).Transfers from Consolidated Fund.Utilized to redeem and cancel Securities.Nominal Value of Securities redeemed and cancelled.
½ per Cent. of Debt at Beginning of Year or redeemed under Act.3½ per Cent. of Debt redeemed.Total.
Prior to Beginning of Year.During Year.*
* Computed from dates of redemption.
 £££££££
1940445,5561,245,421645,1851,7711,892,3771,878,2171,878,217
1941396,5201,348,284710,92314,8552,074,0621,178,2281,178,228
1942396,5661,480,333752,16122,6142,255,1082,848,3972,848,397
1943392,2031,667,357851,85546,1422,565,3542,609,0452,609,045
1944394,3612,067,687943,17142,6563,053,5142,420,4802,420,480

The funds in the Public Debt Repayment Account are not the only source from which debt-redemptions are made. Other accounts provided £11,228,261 for redemption purposes in 1943–44, of which £10,690,588 came from the War Expenses Account.

Amortization of Funded Debt.

At the 31st March, 1922, £27,532,164 of New Zealand’s public debt was owing to the British Government, all but £1,191,919 of this being on account of war expenditure. Arrangements were made with the Imperial 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 1st Juno and 1st December) being £1,651,930. Interest was at the rate of £4 19s. 5.88;d. 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 British Government, however, following the Hoover proposals regarding war debts, voluntarily suspended New Zealand’s obligations in respect of the funded-debt payments due in and since December, 1931. On the other hand, a provision that any part of the funded debt may be redeemed at any time was taken advantage of in 1924, when £200,000 was paid off the Naval Defence Loan.

At the date of suspension, total payments amounted to £15,067,370, of which £11,635,406 represented interest payments and £3,431,964 (including the £200,000 additional paid off Naval Defence Loan) reduction of principal, leaving the outstanding balance of the funded debt at £24,100,200.

The provisions of the Repayment of the Public Debt Act, 1925, do not apply to the funded debt.

Sinking Funds.

Special sinking funds exist in respect of certain classes of debts not covered by the Repayment of the Public Debt Act.

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 figures of net indebtedness for the years 1934–43 at the nominal amount, and for the last five years after making an allowance for exchange on the debt domiciled in London, are as follows:—

As at 31st March,Amount.Per Head of Population.
 ££s.d.
1934299,681,54919367
1935277,443,516177148
1936279,277,670177810
1937284,839,92517992
1938288,971,29218021
1939303,553,444186168
1940322,146,63319666
1941348,021,3622121311
1942384,555,798235511
1943463,055,98528375
 New Zealand Currency.
 ££s.d.
1940361,612,45122076
1941387,614,2592361711
1942422,994,689258164
1943502,624,560307119
1944565,319,1413431710

In general the net indebtedness shown in the foregoing table is merely the balance left after deducting from the amount of debentures and stock in circulation the accrued sinking funds, and the net balances of the Loans Redemption Account and of the Public Debt Repayment 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 the 31st March in each year, while forming part of the debt, do not represent amounts due directly or indirectly to the public. Public debt held by Treasury accounts as at the 31st March of the last five years has been: 1940, £4,809,199; 1941, £15,022,117; 1942, £12,063,199; 1943, £16,424,870; and 1944, £17,069,645.

The Minister of Finance also holds stock—amounting to £37,294,850 on the 31st March, 1944—issued by the State Advances Corporation as consideration for securities taken over from the State Advances Office and from the Discharged Soldiers’ Settlement Account.

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 the 31st March, 1943, a gross indebtedness equivalent to £(N.Z.)70,045,028, and if this amount be added to the gross debt of the General Government at 31st March, 1943 (£(N.Z.)503,393,947) the aggregate becomes £(N.Z.)573,438,975. Allowing for duplication on account of outstanding loans to local authorities from the State Advances Corporation and the Main Highways Board, and inscribed debt under the Government Loans to Local Bodies Act, the total is reduced to approximately £(N.Z.)566,750,000, which represents a rate of approximately £(N.Z.)347 per head of population.

The figures relating to local authorities’ indebtedness in the foregoing paragraph are inclusive of Hospital Boards, and to this extent differ from those given in the section on local government. Hospital Board indebtedness at 31st March, 1943, totalled £2,798,623.

SUBSECTION D—STATE ADVANCES

As early as 1892 the Government commenced the purchase of lands for cutting up for sale or lease to private individuals, and two years later the passing of the Advances to Settlers Act, 1894, marked the inauguration of a series of schemes for lending money to settlers, workers, &c., 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 settlements (including the settlement of ex-servicemen) is the principal of the latter.

Of the advances proper, most classes are now administered by a Department known as the State Advances Corporation, and the accounts relating to these are not included in the Public Account, nor are they dealt with in Subsection A of this section. The various systems of advances administered by the State Advances Corporation are dealt with in the present subsection. A brief description of the system of advances to ex-servicemen for settlement purposes is outlined in the section of this book dealing with land tenure and settlement, while particulars of advances for mining purposes are given in the section relating to mining. Mortgage securities under the Discharged Soldiers Settlement Act have been transferred to the State Advances Corporation, and are dealt with in this subsection.

Under the Mortgage Corporation of New Zealand Act, 1934-35, the State Advances Department was virtually abolished, practically the whole of its operations being taken over by the Mortgage Corporation. The State Advances Corporation Act, 1936 (described under the next heading), effected what practically amounted to a reversion to the traditional State advances system.

STATE ADVANCES CORPORATION.—The Mortgage Corporation of New Zealand Act, 1934-35, authorized the creation of a Corporation under a Board composed of directors appointed partly by the State and partly by the shareholders of the Corporation.

By the State Advances Corporation Act, 1936, the private capital invested in the Mortgage Corporation was cancelled, provision being made for repayment to shareholders in respect of shares held in the Corporation. The capital of the Corporation was maintained at £1,000,000, however, by an investment from the Consolidated Fund, while all securities issued by the Corporation carry a State guarantee. The management of the Corporation is vested in a Board of Directors consisting of two joint managing directors appointed by the Governor-General in Council, one or more other directors similarly appointed, and an ex officio member (necessarily a Treasury official) appointed by the Minister of Finance. In the exercise of its powers, the Board is enjoined to have regard to any representations that may be made by the Minister of Finance. Every direction in writing given by the Minister is binding on the Board.

The change in administration and the institution of a State guarantee on securities issued by the Corporation represented the major alterations to the preexisting 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. Following is a résumé of the principal functions of the State Advances Corporation:—

The Corporation administers the State Advances, &c., loans previously transferred to the pre-existing Mortgage Corporation, viz.—

  1. Mortgages in respect of advances to settlers or workers under the State Advances Act, 1913:

  2. Mortgages in respect of advances under the Rural Advances Act, 1926:

  3. Debentures or other securities vested in the State Advances Superintendent in respect of advances to local authorities under Part III of the Local Bodies' Loans Act, 1926, or corresponding provisions of former Acts:

  4. Crown mortgages in respect of advances under the Discharged Soldiers Settlement Act, 1915, or any amendments thereof (including advances under section 11 of the Finance Act, 1933):

In addition, all other mortgages of land or any other securities held by the State Advances Superintendent or by the Crown as security for loans made out of the State Advances Account or out of the Public Account have been transferred to the Corporation.

The Corporation may advance on mortgage, generally speaking, up to two-thirds of the value of the security, with provision for the extension of the limit in certain cases. In such instances the Minister of Finance guarantees the Corporation against any loss attributable to the excess of the loan over two-thirds of the security. In order to provide finance the Corporation may issue bonds, stock, or other securities, which are State guaranteed. In addition to its primary function of providing cheap long-term finance in the form of first mortgages on property, the Corporation may now make loans to local authorities out of the Housing Account for purposes of erecting workers' dwellings. It may also make advances for the following purposes: The development of existing industries or the establishment of new industries; assistance to war industries; financing increased production; rehabilitation of ex-servicemen.

Loans are, in general, secured by table mortgage for a term not exceeding fifty years, though in certain instances a flat mortgage for a period not exceeding five years may be granted. There is provision for varying the scheme of table mortgages in special circumstances, part of the mortgage (at least one-half) to be in the form of a table mortgage and the remainder a flat mortgage falling due on the date of the last instalment of the table mortgage.

A mortgagor may be required to effect a policy of life insurance as additional security, such policy to be assigned to the Corporation. A mortgagor may not give any subsequent mortgage or any other charge over land subject to any mortgage to the Corporation, except with the written authority of the Board.

The Board is required from time to time to fix the rates of interest to be paid under mortgages to the Corporation, so us 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.

Each mortgagor is required to pay in cash or to borrow, as an addition to the capital sum, 2 per cent. of any mortgage granted by the Corporation. These amounts, together with the surplus profits referred to above, and certain payments on account of mortgages transferred to the Corporation, form the General Reserve Fund.

A brief reference to the Housing Act, 1919, and the Government's housing scheme is given towards the end of this section, and particulars of the numbers of houses erected, financial operations, &c., are contained in Section 22 (Building and Construction).

By Order in Council, dated the 5th March, 1937, the Board of Management of the State Advances Corporation was constituted the Rural Intermediate Credit Board established under the Rural Intermediate Credit Act, 1927, superseding the Public Trust Office, which had administered the Board's business since the inception of the scheme in 1927. The change in control took effect as from 1st July, 1937.

The State Advances Corporation Act, 1936, provides, as has already been mentioned, for the granting of loans for the development or establishment of industries in the Dominion and for assistance to war industries. Applications under this heading are investigated in the first instance by the Bureau of Industry, and must be approved by the Minister of Finance before being granted.

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 31st March, 1944, is as follows:—

  1. Loans on mortgage— Number. Amount.

    Rural securities 18,241 21,745,188

    Urban securities 37,284 22,110,887

  2. Government and local authority investments 2,013 10,756,412

  3. Administration and management of State rental properties involving 16,390 tenancies, representing a capital value of £20,571,786. The properties are the assets of the Housing Account (see Section 22), the funds of which are entirely separate and distinct from the funds of the Corporation.

  4. Governmental agencies for Treasury and other Departments, representing 1,480 accounts for a total sum of £407,581.

  5. Administration work in connection with financial assistance to servicemen. Total authorizations to 31st March, 1944, amounted to £740,157.

  6. Administration of rehabilitation loans granted to ex-servicemen of the present war. Up to 31st March, 1944, 3,647 loans for a total of £1,972,740 had been granted.

Financial.—Balance-sheet figures show that the authorized capital remained at £1,000,000, while stock and debentures outstanding at 31st March, 1944, were valued at £48,014,250, a decrease of £57,840 as compared with the position at 31st March, 1943.

The General Reserve Fund, at 31st March, 1944, amounted to £3,841,260, and, in addition, there were specific reserves amounting to £2,837,550, making a total of £6,678,810, as compared with £6,626,596 at 31st March, 1943.

Mortgages and accrued interest at 31st March, 1944, totalled £43,988,232, a decrease of £1,829,528 as compared with 31st March, 1943, while Government and local-authority securities at £10,834,029 were greater to the extent of £2,486,006.

Early in the war period the Corporation adopted the policy of giving preference to loan applications required for the purchase of farms and the purchase or erection of houses. During the last few years, however, there has been an acute shortage of building material and labour, with the result that repayments of principal by mortgagors and local authorities have been in excess of new loans granted. This has resulted in a considerable accumulation of capital funds, which have been invested on a temporary basis in Government securities. The lower return from this form of investment has been responsible for a fall in the amount of revenue, the gross income in 1943-44 being £122,367 less than in 1941-42. Interest payable on stock and debentures in 1943-44 was £2,284 less than in 1942-43, but £23,038 above the amount for 1941-42. Premiums on account of war damage (later amended to include earthquake damage also) insurance, which first appeared in the accounts for 1941-42, has considerably increased the Corporation's expenditure, the total amount under this heading for the three years ended in 1943-44 being £139,731. The reduction in the premium rate from 5s. per cent. to 1s. per cent. as from 1st March, 1944, will result in a considerable saving in future years.

Despite a fall in the amount of management expenses from £261,878 in 1940-41 to £173,850 in 1943-44, the surplus payable to the Crown decreased from £207,333 in the former year to £20,771 in the latter owing to the factors outlined above.

The disposition and appropriation of profits in respect of operations during each of the last three financial years are given in the following table.

1941-42.

1942-43.

1943-44.

Gross income

2,323,104

2,256,860

2,200,737

Less interest on General Reserve Fund investments

106,310

143,515

145,812

Gross income (mortgage and temporary investments)

2,216,794

2,113,345

2,054,925

Interest on stock and debentures

1,597,025

1,622,347

1,620,063

Gross profit

619,769

490,998

434,862

Management expenses

241,419

170,735

173,850

Administration of rehabilitation advances

1,614

4,943

13,618

War damage insurance

42,886

50,692

46,153

Reserve for losses

50,281

50,451

53,470

Net profit

283,569

214,177

147,771

Less reserve for taxes

145,000

145,000

127,000

Surplus payable to Crown

138,569

69,177

20,771

New Business.—A summary of loan operations (new business) is given in the following table.

Value.

Year ended March, 1943.

Year ended March, 1944.

Total, 1st August, 1935, to 31st March, 1944.

Loans Authorized.

Number.

Value.

Number.

Value.

Number.

Urban securities—

 

£

 

£

 

£

Erection of dwellings

85

89,805

359

404,507

8,203

7,469,610

Refinance and other purposes

322

251,117

867

783,599

7,538

4,973,463

Total urban

407

340,922

1,226

1,188,106

15,741

12,443,073

Rural securities—

      

Refinance and other purposes

121

233,569

323

791,925

5,176

9,071,241

Loans to industry (under section 29)

2

9,595

2

36,750

14

90,515

Grand totals

530

584,086

1,551

2,016,781

20,931

21,604,829

The lending-rate of the Corporation for loans on mortgage was maintained at 4 1/8 per cent. during 1943-44. As has already been mentioned, loans are in general secured by table mortgages for varying periods. The following summary shows the annual cost —i.e., interest and principal payments—per £100 borrowed on table mortgage for the various periods.

Term.

Annual Amount payable.

 

£

s.

d.

10 years

12

6

2

15 years

9

0

2

20 years

7

7

10

25 years

6

9

0

30 years

5

16

10

35 years

5

8

6

40 years

5

2

6

45 years

4

18

2

The terms of lending for home-building were varied during the year 1937-38 to encourage the erection of further houses. New provisions were—

The previous restriction, limiting advances to persons earning less than £300 per annum (with an increased income limit in the case of those with large families), was removed.

The maximum loan was increased from £1,000 to £1,250, with special provision for an increase beyond that figure in cases of large families.

Provided the applicant could make a reasonable cash contribution towards the cost of a section and dwelling and the proposal was otherwise acceptable. no limit was placed on the percentage to be advanced.

Where little or no cash could be provided by the applicant, he would be considered for a tenancy of a State rental house if such would be available within a reasonable period.

Advances on special loan were to be subject to the Corporation being satisfied as to the character and creditworthiness of the applicant, and the suitability of the section and proposed house.

Ownership of an existing dwelling was to disqualify an applicant for a special loan.

Transfer of a property subject to a special loan must be subject to consent of the Corporation, and profit on sale would not be permitted.

Instalments were to be collected at convenient intervals, where possible as a deduction from wages.

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 expert officers.

Adjustment of Mortgage Liabilities.—Information concerning the adjustment of mortgages and the relief granted to the Corporation's mortgagors consequent upon the operation of the Mortgagors and Lessees Rehabilitation Act, 1936, may be found in the 1941 (page 536) and previous issues of the Year-Book.

Reverted Securities.—The number of reverted securities in the hands of the Corporation at 31st March, 1944, as mortgagee in possession was 3,518, for an aggregate book value of £3,377,309. Of these, 3,389, valued at £3,234,511, were urban properties, and 129, valued at £142,798, rural properties. Comparable figures at 31st March, 1943, were 3,550 urban properties, valued at £3,322,602, and 154 rural properties, valued at £165,467.

REHABILITATION OF EX-SERVICEMEN.—Since the inception of the scheme for rehabilitation of ex-servicemen the Corporation has been responsible for the administration of loan finance provided for those eligible for such assistance, and in this work the Corporation acts as agent for the Rehabilitation Board. As previously stated, the Corporation has during recent years restricted its new loan business to the purchase or improvement of urban or rural properties and the erection of new houses, mainly with a view to assisting with the provision of funds for the purpose of making advances under the rehabilitation scheme. By this means the Corporation has accumulated funds aggregating approximately £5,500,000 at 31st March, 1944. The annual report of the Corporation for the year ended 31st March, 1944 (parliamentary paper B.-13), states that the policy of conserving funds for rehabilitation purposes will be continued, but, if the future demand is proportionately as great as that experienced to date, it will apparently be necessary at some not far distant date to provide further long-term loan capital. Particulars of advances for rehabilitation purposes will be found in Section 45 of this volume.

SOLDIERS FINANCIAL ASSISTANCE BOARD.—In January, 1940, the Government appointed a Board consisting of seven members to administer funds to blade available for the assistance of servicemen (and their dependants) who are unable to meet essential commitments from their own resources. Arrangements were made for the clerical and investigation work in connection with applications for assistance to be undertaken by the staff of the State Advances Corporation, which is represented on the Board.

All the incidental financial arrangements, including the payment of grants approved by the Board, are undertaken by the Corporation, the necessary funds being drawn from the War Expenses Account. Grants during the year ended 31st March, 1944, numbered 3,427, representing commitments totalling £197,779, while 8,639 cases of previous grants were reviewed. Up to 31st March, 1944, 21,494 applications had been lodged, and authorizations to that date amounted to £740,157, while amounts written off through various causes totalled £103,102.

RURAL INTERMEDIATE CREDIT.—The Rural Intermediate Credit Act, which was passed during the 1927 session of Parliament and came into force on the 1st January, 1928, provided for the setting-up of a special Rural Intermediate Credit Board and the making of advances as follows:—

  1. To members of co-operative rural intermediate credit associations, whose formation (with not less than twenty members and with certain defined objects) is provided for. The application for the loan is received and considered by the association concerned, which, on approving it, applies to the Board for its confirmation and for an advance on the amount to cover the loan. The term of the loan is for not more than five years. An association may arrange with a bank or other approved financial institution for a loan in cases where the term is less than six months.

  2. To persons engaged in farming operations on their own account, or to trustees, executors, or administrators carrying on farming operations, the loan (for certain specified purposes and for a term of not more than five years) being advanced direct.

  3. To co-operative societies (with not less than thirty members and with a subscribed capital of at least £2,500) having for their principal objects the production or sale of staple agricultural or pastoral products.

  4. The Board may discount bills and promissory notes drawn or made by farmers, provided these are endorsed by guarantors approved by the Board.

Up to the present, operations have been confined to classes (a), (b), and (d), no advantage of the provisions of the Act having been taken by societies described in class (c).

The Finance Act, 1932-33 (No. 2), authorized the Board, or an association with the consent of the Board, to grant an extension of time or other concession in the case of an existing loan. Every loan granted after 10th March, 1933, by the Board or an association may be repayable upon demand or by instalments, and upon such other conditions as the Board thinks fit.

The total amount of advance in force at any time to a member in class (a) was originally set down as not to exceed £1,000. This limit was extended to £2,000 by the Rural Intermediate Credit Amendment Act, 1929. In the case of co-operative associations, the amount advanced may be not more than 80 per cent. of the fair market value of the live-stock or produce upon which the loan is secured.

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 the 1st July, 1937, and was replaced by the Board of Management of the State Advances Corporation, the members of which now constitute the Rural Intermediate Credit Board. Branch officers of the Corporation succeeded the Public Trust officials who had acted as District Supervisors for the Rural Intermediate Credit Board, and to facilitate this the branch organization of the Corporation was further extended.

Apart from several consequential machinery amendments, the Act also enlarged the scope of the original Act of 1927 by repealing the limitation of £2,000 in respect of direct loans to farmers and also the stipulation requiring a collateral instrument of guarantee in respect of every such loan.

During the year ended 30th June, 1944, loans granted by associations amounted to £29,385, as compared with £29,151 in 1942-43 and with £82,393 in 1941-42. The number of such loans outstanding at 30th June, 1944, was 521, for an aggregate amount of £86,534.

Loans granted direct by the Board during 1943-44 totalled £10,409, as compared with £1,716 in the previous year, and £2,948 for the year 1941-42. There were direct loans of a total value of £19,482 outstanding at 30th June, 1944.

In recent years the discounting of promissory notes made by farmers has been operated only in a minor degree. The total value of notes discounted during the year ended 30th June, 1944, was £286, and the amount of advances at that date was £138.

The total net assets at 30th June, 1944, amounted to £555,989. Included in this figure are Advances (less reserves), £103,346; short-term investments, £25,115; Redemption Fund investments, £255,182; Government securities, £157,864; and cash, £13,392.

The interest fixed for advances other than to co-operative rural intermediate credit associations is now 5 per cent. per annum, this being also the discount rate. 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. The Board has imposed conditions as to the manner in which this margin of 1 per cent. is to be employed by the associations.

Advances totalling £400,000 have been received from the Consolidated Fund, and this is the only borrowed capital now held, £262,900 raised by debentures having since been repaid. Of the advances from the Consolidated Fund, one-third is held in the Redemption Fund, which totalled £254,045 on 30th June, 1944.

HOUSING.—The Housing Act of 1919, authorizing the acquisition of land and the erection of dwellings for disposal by way of sale or lease, was originally administered by the Labour Department, but the sections relating to administration were repealed by the State Advances Amendment Act of 1922, and the powers of the Housing Superintendent and of the Housing Board were thereupon transferred to the State Advances Superintendent and to the State Advances Board. No provision was made in the Act constituting the Mortgage Corporation of New Zealand for the transfer of the administration of the Housing Act, which therefore remained under the jurisdiction of the State Advances Superintendent.

Provision was made in section 16 of the State Advances Corporation Act, 1936, for the transference of the powers, functions, duties, and obligations of the State Advances Superintendent and of the State Advances Board to the State Advances Corporation and to the Board of Management respectively.

Under the provisions of the 1936 Act the Housing Account was constituted a separate account, financed from Government sources, and quite distinct from the lending operations of the Corporation. The Corporation is empowered, in connection with housing services, to make such charge against the Housing Account as may from time to time be approved by the Minister of Finance. The Housing Account was opened with the Reserve Bank of New Zealand or; the 1st July, 1936, by the transfer of moneys held in the State Advances Account on that date in connection with the Housing Act, 1919.

Information regarding the operations of the Housing Construction Branch, the control of which was transferred to the Public Works Department early in 1944, may be found in Section 22 (Building and Construction).

Chapter 24. SECTION 24.—SOCIAL SECURITY, PENSIONS, SUPERANNUATION, ETC.

SOCIAL SECURITY.

Very important changes in the law relating to pensions, superannuation, and health services were introduced by the Social Security Act, 1938, which came into force on 1st April, 1939. The Act has two main objects:—

  1. To substitute for the previous system of non-contributory civil pensions a system of monetary benefits on a contributory basis:

  2. The inauguration of a system of medical and hospital benefits and of other related benefits.

The various classes of pensions, &c., which were superseded by monetary benefits of similar application were old-age pensions, widows' pensions, Maori War pensions, miners' pensions, invalidity pensions, and family allowances, while the unemployment benefit replaced the system of sustenance payments previously in force. In addition, four new classes of monetary benefits were inaugurated—the orphans' benefit, the sickness benefit, emergency benefits (for cases of hardship), and the universal superannuation benefit. A brief historical account of the various pensions mentioned above as having been replaced by the social security scheme is contained in the 1940 issue of the Year-Book (pp. 619–624).

Administration.

The Act 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 that part of the Act dealing with monetary benefits referred to under No. (1) above, while that part of the Act dealing with medical, hospital and other related benefits is administered by the Health Department under the direction of the Minister of Health.

The Social Security Department replaced the former Pensions Department and absorbed the major portion of the Employment Division of the Department of Labour. The Act states that the Department may be divided into two or more divisions, and two have been created each under the control of a Director, one dealing with unemployment and sickness benefits, and the other with all other monetary benefits. The War Pensions Act, 1943 (which consolidates and amends the previously existing legislation on the subject), an i the War Pensions and Allowances (Mercantile Marine) Act, 1940, arc also administered by the Social Security Department, one of whose directors is also designated Secretary for War Pensions. It should be noted, however, that, unlike the benefits under the Social Security Act, which are paid from the Social Security Fund (referred to later), war pensions are paid through the Consolidated Fund from general taxation.

Financial Provisions.

Finance to enable the provisions of the Act to be carried out is provided for by the establishment, within the Public Account, of the Social Security Fund. Subject to such exemptions as may be prescribed by Order in Council, every person of the age of sixteen years and over is required to register under the Act and to pay a registration fee. The fee payable by females and by males between sixteen and twenty years of age is 5s. per annum, and by males over twenty years of age 5s. per quarter. In addition to the registration fee, there is also payable to the fund a social security contribution of 1d. for every sum of 1s. 8d. or part thereof of salaries, wages, and other income, including the income of companies. The Social Security Act also makes provision for the payment to the fund of such other moneys as may be appropriated by Parliament from time to time.

The Act provides that the assessment, collection, and recovery of the social security contribution shall be administered as if it were income-tax, and that the Commissioner and Deputy Commissioner of Taxes and all officers appointed for the purposes of the Land and Income Tax Act, 1926, shall have, in respect of the social security contribution, the same powers as they have in respect of income-tax, and all provisions of that Act shall apply with respect to the social security contribution in the same manner in all respects as with income-tax.

The revenue of the fund for the financial years 1941–42, 1942–43, and 1943–44 was made up as follows:—

1940–41.1941–42.1942–43.1943–44.
 ££££
Registration fees604,179605,222540,921551,064
Charge on salaries and wages6,174,0926,488,6917,548,3918,490,200
Charge on company income1,107,3381,282,5001,403,4751,432,484
Charge on other income2,828,1472,661,1232,672,1802,873,424
Penalties and fines28,10526,32023,67630,601
Grants from Consolidated Fund (Social Security Act)3,200,0003,600,0003,800,0004,100,000
Other receipts25,96223,82624,99714,312
Total revenue£13,967,823£14,687,682£16,013,640£17,492,085

Payments from the fund during 1943–44 amounted to £17,633,746, of which monetary benefits accounted for £12,397,773, medical, &c., benefits for £4,726,680, and administration expenses for £509,293. Details of the various benefits in force and the amounts paid in respect thereof are given later in this section.

Monetary Benefits.

A brief description of the main provisions relating to the various monetary benefits under Part II of the Act is now given. The rates prescribed for several of the benefits under the principal Act were increased by way of bonus to the extent of 5 per cent. of the maximum rate payable in each case, as from 1st May, 1942. The Social Security Amendment Act, 1943, however, superseded these bonuses with permanent increases as from 1st July, 1943, and the rates quoted hereunder are those at present in force. Further increases as from 1st October, 1945, in a number of benefits are foreshadowed in the Budget.

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 residential qualifications are contained in section 12 of the Act, which reads as follows:—

  1. No person shall be entitled to a superannuation benefit under this Part of this Act unless he satisfies the following conditions, namely:—

    1. In the case of a person who was resident in New Zealand on the fifteenth day of March, nineteen hundred and thirty-eight (being the date of the passing of the Pensions Amendment Act, 1937), that he has resided continuously in New Zealand for not less than ton years immediately preceding the date of his application for a superannuation benefit:

    2. In any case to which the last preceding paragraph does not apply, that he has resided continuously in New Zealand for not less than twenty years immediately preceding the date of his application for a superannuation benefit.

  2. For the purposes of the last preceding subsection, continuous residence in New Zealand shall not be deemed to have been interrupted by absence therefrom:—

    1. In any case to which paragraph (a) of the last preceding subsection applies:—

      1. If the total period of absence from New Zealand does not exceed one year; or

      2. If the total period of absence from New Zealand exceeds one year but does not exceed that period by more than six months for every year of residence in New Zealand in excess of a period of ten years, and the applicant has been actually resident in Now Zealand for the twelve months immediately preceding the date of his application:

    2. In any case to which paragraph (b) of the last preceding subsection applies:—

    1. If the total period of absence from New Zealand does not exceed two years; or

    2. If the total period of absence from New Zealand exceeds two years but does not exceed that period by more than six months for every year of residence in New Zealand in excess of a period of twenty years, and the applicant has been actually resident in Now Zealand for the twelve months immediately preceding the date of his application.

Provision is also 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 His Majesty's Forces.

The rate of the benefit is £10 per annum commencing on 1st April, 1940, and continuing at that rate for one year, thereafter being increased by £2 10s. per annum. Thus, as from 1st April, 1941, the rate of superannuation benefit was £12 10s. per annum, from 1st April, 1942, £15 per annum, and so on until the maximum of £84 10s. per annum is reached.

A superannuation benefit is not payable in addition to any other 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. If a beneficiary in receipt of a superannuation benefit is later granted an age-benefit, the maximum benefit payable is £84 10s., the amount of the superannuation benefit being merged in the amount of the age-benefit granted.

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 £84 10s. per annum, subject to any increase that may be granted on account of dependants or subject to certain deductions on account of income or accumulated property, &c. Particulars of additions to and deductions from the basic rate are as follows:—

Unmarried applicants: The basic rate is reduced by £1 for every complete £1 of income in excess of £52 per annum.

Married applicants: Where husband and wife are both entitled to the benefit, the basic rate is reduced by 10s. for every complete £1 of their total income in excess of £52 per annum. In cases where only one of them is entitled to the benefit, the reduction is at the rate of £1 for every complete £1 of their total income in excess of £136 10s. per annum. A further provision allows of an extra payment, not exceeding £27 6s. per annum, to a male recipient when his wife is ineligible for any benefit under the Act. This is payable only up to a limit of the total income of the couple plus benefit of £221 per annum. In addition, an allowance not exceeding £27 6s. per annum may be made in respect of each dependent child under sixteen years of age of parents entitled to the age-benefit, but not so as to exceed in any case the rate of £260 per annum.

By Emergency Regulations dated 26th August, 1942, earned income in excess of the above allowances may be exempted, at the discretion of the Commission, for any period during which the applicant has earned such income, provided that no age-benefit has been paid in respect of that period.

In addition to the foregoing, a special allowance not exceeding £13 13s. per annum may be paid to any person in receipt of an age-benefit who served as a member of a New Zealand contingent in connection with the South African War.

The Commission may also, in its discretion, increase by an amount not exceeding £26 per annum the rate of the age-benefit payable to any beneficiary who was one of the parents of a deceased member of any of His 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 within the meaning of the War Pensions and Allowances (Mercantile Marine) Act, 1940, whoso death was attributable to the present war.

In addition to the deductions on account of income set out above, the rate of the benefit is reduced by £1 for every £10 of net capital value of accumulated property in excess of £500. The net accumulated property of a husband or wife for this purpose is half of the total net accumulated property of both.

In computing the net capital value of property no account is taken of the following, but any income derived therefrom is charged as income:—

  1. Any interest in land or house property, or mortgage or other encumbrance over such property:

  2. Any interest in any annuity or in any policy of life-assurance;

  3. Any furniture used in the home of the applicant or any personal effects belonging to the applicant.

Income from a property and the value of the same property are not both charged to reduce the age-benefit—e.g., if shares worth £600 produce an income of £30 per annum, either the value of the shares or the income therefrom may be charged, whichever method provides for the greater reduction.

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 ago 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 Jess 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 (being the mother of one or more children under sixteen years of age) 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. Any moneys paid by a husband, whether by way of maintenance order or otherwise, are set off against any benefit so granted:

  2. Any married woman (being the mother of one or more children under sixteen years of age) in respect of whose husband a reception order is in force under the Mental Defectives Act, 1911 (whether or not he is detained in an institution under the Act), or whose husband is for the time being detained as a voluntary boarder under Part V of that Act.

Except in the case of widows with one or more children under sixteen years of age, no widow is entitled to receive the widows' 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.

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 father's death (in cases where the husband of the applicant is dead); or

  3. Both parents were resident in New Zealand for the three years immediately preceding the desertion of the applicant by her husband or for the three years immediately preceding the making of a reception order in respect of the husband under the Mental Defectives Act or before his admission to an institution as a voluntary boarder under that Act.

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, &c). 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.

The basic rate of the widows' benefit in cases where there are no children under sixteen years of age is £65 per annum, reduced by £1 for every complete £1 of income in excess of £52. Where the applicant has a child or children under sixteen years of age the basic rate is £78 per annum plus £27 6s. per annum for each such child, with a maximum benefit of £260 per annum. A reduction is made at the rate of £1 for every complete £1 of total income of the applicant and her children in excess of £78 per annum.

Property is not taken into account in assessing any class of widows' benefit.

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 £40 19s. per annum less any income received by or for the benefit of the orphan, but a lesser amount may be granted if it is considered that the circumstances of the case warrant it.

Family Benefits.

The present rate of the family benefit is 10s. per week for each child in all cases where the average weekly income of the applicant and his family (including the value of any benefits received) does not exceed £5 10s., increased by 10s. for each child. For the purposes of the Act the term “child” in general means a child under the age of sixteen, but the benefit may be granted or continued in respect of any child who has attained the age of sixteen if by reason of any physical or mental defect such child is totally incapacitated from earning a living. The term also includes stepchildren and children adopted prior to any original application for the benefit, and may also include children who, though not actually members of the family, are being maintained as such.

The application for the family benefit may be made either by the father or by the mother, but in general payment is made to the mother unless there are special circumstances that render it advisable to pay the benefit to the father or other suitable person.

Invalids' Benefits.

Subject to certain residential and other qualifications, every person of the ago of sixteen years and upwards who is not qualified to receive an age-benefit is entitled to an invalid's benefit if he:—

  1. Is totally blind; or

  2. Is permanently incapacitated for work as the result of an accident or by reason of illness or of any congenital defect.

The other qualifications referred to are as follows:—

  1. That he has resided continuously in New Zealand for a period of not less than ten years immediately preceding the date of his application. Continuity of residence is not deemed to be interrupted where the total period of absence does not exceed twelve months, or does not exceed twelve months by more than one month for every year of residence in New Zealand in excess of ten years if the applicant has been actually resident in New Zealand for the twelve months immediately preceding the date of his application. In the case of a totally blind person continuous residence is not deemed to be interrupted by absence for the purpose of vocational training or for treatment in respect of the eyes, or in other cases by any period of absence for the purpose of obtaining any special surgical treatment if the Commission is satisfied that there were good and sufficient reasons for leaving New Zealand to obtain such special treatment.

  2. In the case of an applicant in respect of blindness, that he was born in New Zealand or became blind while permanently resident in New Zealand. In the case of every other applicant, that he was born in New Zealand with the condition to which his incapacity for work is attributable, or that he became incapacitated for work by reason of an accident happening in New Zealand or by reason of illness contracted in New Zealand. These restrictions do not apply to any applicant who was actually resident in New Zealand on the 4th day of September, 1936 (the date of the passing of the Pensions Amendment Act, 1936, which first made provision for invalidity pensions other than for blindness), or to any person becoming resident in New Zealand after that date who has resided continuously in New Zealand for not less than twenty years immediately preceding the date of his application for a benefit.

  3. That incapacity for work was not self-induced or in any way brought about with a view to qualifying for an invalidity benefit.

  4. Applicant must be of good moral character and sober habits.

Provision is made for a medical examination, when necessary, to determine the extent of incapacity. In the event of an application being declined on medical grounds, the applicant has the right of appeal, within three months after the decision of the Commission has been communicated to him, to a Board of three medical practitioners nominated by the Department. An invalid's benefit may be paid in respect of a period of absence from the Dominion 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.

The prescribed rates for invalids' benefits are as follows:—

Married man or a man who has been married, with a dependent child or children under sixteen years of age: £84 10s. per annum, increased by £27 6s. per annum for his wife (if any) and £27 6s. per annum for each dependent child, with an allowable income of £78 per annum. The maximum amount of benefit that can be paid is £260 per annum.

Single person under twenty-one years of age: £58 10s. per annum, with an allowable income of £52 per annum.

Married woman: £84 10s. per annum, with an allowable income of £104 per annum.

All other persons: £84 10s. per annum, with allowable income of £52 per annum.

In each case the amount of the benefit is reduced by £1 for every complete £1 of income in excess of the amounts stated as allowable. Deductions on account of property are the same as for age-benefits, which are described under a previous heading. In computing the income for any blind person no account is taken of personal earnings up to £156 per annum. In addition, personal earnings of such persons are subsidized to the extent of 25 per cent. so long as the total income, including any benefit received, does not exceed £240 10s. per annum. The maximum invalid benefit payable is £260 per annum.

The term “child” includes a step-child or a child legally adopted prior to the date of application for a benefit, and may, at the discretion of the Commission, include any child who is in fact maintained by the applicant.

When a person who has been in receipt of an invalid's benefit in respect of total blindness reaches the ago where he qualifies for an age-benefit the total rate of the benefit payable may not be less than that to which he would have been entitled under the provisions go governing invalids' benefits.

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” includes tuberculosis of the lungs or any other disease of the respiratory organs commonly associated with, or a sequel to, miner's phthisis. 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.

The basic rate of the benefit is £84 10s. per annum, increased by £27 6s. per annum for a wife and by £27 6s. per annum for each dependent child under sixteen years of age, with a maximum benefit of £260 per annum. The amount of benefit payable in respect of any child or children is reduced by £1 for every complete £1 of the income of the applicant in excess of £104. The income in this case includes any income received by the wife or children in receipt of the benefit, but the reduction referred to applies only to the children's portion of the benefit, the amount payable to the miner and his wife being payable regardless of their circumstances.

A special provision is made for the payment from the Social Security Fund of reasonable 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 £52 per annum during widowhood. This benefit is payable regardless of the circumstances of the widow, her income or property not being considered in the granting of a benefit.

Maori War Benefits.

Persons entitled to apply for a Maori War benefit are those who served in any of the Maori wars and were awarded a medal for active service in any such war. Other conditions which an applicant must fulfil to qualify are as follows:—

  1. Continuous residence in New Zealand for not less than ten years immediately preceding the date of his application: Provided that the continuity of his residence shall not be deemed to have been broken by any period of absence during which his home or family was in New Zealand:

  2. That during the five years immediately preceding his application he has not deserted or wilfully neglected to maintain his wife or children:

  3. That the applicant is of good moral character and sober habits.

The rate of a Maori War benefit is £84 10s. per annum, and this amount is payable regardless of the circumstances of the applicant, income or property not being taken into consideration.

Unemployment Benefits.

Subject to the conditions set out below, every person over the age of sixteen years who is not qualified to receive an age-benefit is entitled to a benefit in respect of unemployment. An applicant is required to satisfy the Commission in respect of the following:—

  1. That he is unemployed:

  2. That he is capable of undertaking and is willing to undertake suitable work:

  3. That he has taken reasonable steps to obtain suitable employment:

  4. That he has resided continuously in New Zealand for not less than twelve months.

An unemployment benefit is not payable in respect of the first seven days of any period of unemployment, except in special circumstances. In addition, the Commission may postpone, for a period not exceeding six weeks, the commencement of the benefit, or it may terminate the benefit in any of the following circumstances:—

  1. If the applicant has voluntarily become unemployed without good and sufficient reason:

  2. If the applicant has lost his employment by reason of any misconduct as a worker:

  3. If the applicant or beneficiary has refused or failed, without a good and sufficient reason, to accept any offer of suitable employment:

  4. In the case of a seasonal worker, if his earnings for the season are sufficient for the maintenance of himself and his family notwithstanding a period of temporary unemployment.

The rates of the unemployment benefit are 10s. 6d. per week for persons under twenty years of age without dependants, and £1 per week for others, increased by 15s. per week for a dependent wife and 10s. 6d. per week for each dependent child, but not exceeding in any case £4 per week. A married woman is entitled to receive the benefit only if her husband is unable to maintain her. If a beneficiary is not receiving a benefit in respect of a wife, an allowance may be made in respect of any person who has the care of his home. As in the case of other benefits, the term “child” includes a step-child, or a child legally adopted prior to the date of application for the benefit, and may include any child who is in fact maintained by the applicant.

The foregoing rates of benefits may be reduced, having regard to the income received or the property owned by the applicant and his wife and dependent children.

Applications for the unemployment benefit during 1943–44 numbered 3,285 (2,007 males and 1,278 females). Of this number, 1,701 (1,524 males, 177 females) were granted, 922 (325 males, 597 females) were, declined, and 662 persons (158 males, 504 females) were granted an emergency benefit on grounds of hardship.

In the previous year 4,050 applications were received, of which 2,369 were granted, 1,144 were declined, and 537 persons were granted an emergency benefit.

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. 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.

The rates of sickness benefits correspond to the unemployment-benefit rates. In fixing the amount payable no account is taken of the income of an applicant's wife or dependent children, his income only being considered in this respect. Furthermore, in arriving at the maximum allowable income, no regard is taken of any capital assets as in the case of most of the other benefits under the Act, only the income from these assets being taken into account.

A person in receipt of a sick-benefit from a friendly society or a like benefit from any other source may receive, in addition, a sickness benefit from the Social Security Fund. The scale of permissible income in such cases is increased by £1 per week, but in no case may the total income from all sources exceed £5 per week.

The number of applications for sickness benefits in 1943–44 was 29,112, as compared with 29,768 in 1942–43. The results of the applications were as follows, 1942–43 figures being shown in parentheses: persons granted benefit, 26,292 (26,743); applications declined, 2,348 (2,603); number of persons whose applications were declined, but who were granted emergency benefits on the grounds of hardship, 472 (414).

Emergency Benefits.

An emergency benefit may be granted by the Commission to any person who by reason of age, physical 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.

Reciprocal Age and Invalids' Benefits.

The Age-benefits and Invalids' Benefits (Reciprocity with Australia) Act, 1943, is designed to provide for reciprocity in relation to age-benefits and invalids' benefits between New Zealand and the Commonwealth of Australia. The Act came into force by Proclamation on 1st September, 1943. A similar Act was passed in Australia and came into force on the same date.

This legislation provides that, for the purpose of New Zealand age-benefits and invalids' benefits, residence in Australia shall be counted as the equivalent of residence in New Zealand, while in respect of Australian old-age pensions and invalids' pensions, residence in New Zealand shall count as the equivalent of residence in the Commonwealth of Australia. Similarly, total blindness or permanent incapacity contracted in Australia shall be treated as though it had arisen in New Zealand or, if the applicant is resident in Australia, then total blindness or permanent incapacity which arose in New Zealand shall be treated as though it had arisen in Australia.

To qualify for a reciprocal benefit an applicant is required to comply with the more restrictive conditions of the laws, whether as to residence or otherwise, of New Zealand or of Australia, and the rate of benefit must not exceed the maximum of the country which provides the lower maximum rate.

The genesis of this scheme may be said to have taken place in 1913 with the passing in that year of the Old-age Pensions Reciprocity Act.

The total reciprocal benefits in force in New Zealand as at 31st March, 1944, including certain emergency benefits transferred to reciprocal benefits, were: age-benefits, 51; invalids' benefits, 20.

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 1st 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).

Medical Benefits.

Under the provisions contained in the Act every person is entitled to such medical treatment as is ordinarily given by medical practitioners in the course of a general practice. Certain services are excluded, the principal of these being as follows:—

  1. The administration of anæsthetics:

  2. Medical services afforded in relation to maternity cases. (These services are covered by maternity benefits and are described under a later heading):

  3. Medical services involved in any medical examination of which the sole or primary purpose is the obtaining of a medical certificate:

  4. Medical services involved in the treatment of any venereal disease in a communicable form. (Treatment in this connection is provided for under the Health Act, 1920):

  5. Medical services involved in or incidental to the extraction of teeth by a medical practitioner:

  6. Medical services in respect of which fees are payable under the Social Security (X-ray Diagnostic Services) Regulations—see later heading.

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 19th 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 1st 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 1st November, 1941, provides that every medical practitioner who renders any of the prescribed services shall be entitled to receive from the Social Security Fund a fee of 7s. 6d. for every occasion on which any such service is provided. Mileage fees are also provided for in certain cases. Regulations dated 22nd October, 1941, issued under the Act, stipulate that where the practitioner is called upon to provide, in response to an urgent request, services on a Sunday, or between the hours of 9 p.m. and 7 a.m., the appropriate fee shall be increased to 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. 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.

Pharmaceutical Benefits.

Persons claiming medical benefits are entitled to receive, without cost to themselves, all such medicines, drugs, approved appliances, and materials as are prescribed for their use by a medical practitioner in the course of providing any medical services under the Act. Regulations providing for pharmaceutical benefits were issued on 22nd April, 1941. Under these regulations the proprietor of any pharmacy within the meaning of the Pharmacy Act, 1939, or any other person entitled to sell any drugs or pharmaceutical requirements, may be permitted to become a contractor under the scheme. The regulations stipulate that the Minister shall prepare a drug tariff, which shall contain particulars of maximum quantities, standards of quality, and prices of medicines, drugs, appliances, &c., that may be supplied and charged against the Fund. Hospital Boards are entitled to receive payment for pharmaceutical requirements supplied to out-patients, but not in respect of in-patients. Pharmaceutical benefits came into operation on 5th May, 1941.

Hospital Benefits.

The Act provides for the payment to Hospital Boards and to the proprietors of licensed hospitals and 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 1st July, 1939, and the present rates (as from 1st April, 1943) are as follows:—

  1. Where treatment has been afforded on not more than two days, the sum of 18s.:

  2. In every other case, the sum of 9s. for every day on which any treatment is afforded:

Provided that the day of admission to hospital and day of discharge therefrom shall together be counted as one day.

Prior to 1st April, 1943, the rates were 12s. and 6s. for (a) and (b) respectively.

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.

Hospital benefits are also available in respect of maintenance and treatment afforded to any in-patient of Queen Mary Neurological Hospital, Hanmer Springs, or of the Rotorua Sanatorium. The fees chargeable to patients of these institutions have been reduced by 9s. per day, and corresponding payment is made from the Social Security Fund to the credit of the Departments controlling the institutions.

Regulations issued on 19th March, 1941, made provision for payment from the Fund to Hospital Boards in respect of treatment afforded to out-patients. The amounts to be paid, which are to be not less than one-half and not more than two-thirds of the expenditure or liability incurred in providing out-patient treatment, are determined by the Minister.

Mental Hospitals.

The principal Act made provision for the treatment of patients in public mental hospitals without charge as from 1st 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.

In order to recoup the Mental Hospitals Department for the loss of revenue consequent upon the operation of the Social Security Act, an amount estimated to be equivalent thereto is transferred each year from the Social Security 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 15th May, 1939, but the maternity medical practitioner service was not in full operation until 1st October of that year. The principal Act required that medical practitioners, licensees of private hospitals, &c., 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 who is entitled to a maternity benefit is 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 control of Hospital Boards: Payment from Social Security Fund to Hospital Board as under:—

    1. Two pounds five shillings in respect of the day or days of labour:

    2. Twelve shillings and sixpence in respect of each of the fourteen days succeeding the birth of the child:

    3. 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 rates as stated in (2) (a) and (b) in regard to Hospital Boards. In some cases the licensee's contract requires him to accept such payment in full satisfaction of his claim in respect of the prescribed period, and in other cases he is permitted under his particular contract to make a specified additional charge on the patient.

  4. Midwives and maternity nurses: Approved midwives and maternity nurses who are in attendance in cases where confinement takes place other than in a maternity hospital are entitled to receive from the Fund fees at the rate of £1 for the day or days of labour (£2 in the case of midwives) and 13s. per day for each of the fourteen days succeeding the birth of the child. These amounts are to be regarded as in full satisfaction of a nurse's claims in respect of the nursing services.

Supplementary Benefits.

Authority is given for the inauguration of supplementary benefits as and when the occasion for providing such benefits arises. Among the supplementary benefits contemplated were specialist and consultant services, radiological services, dental services, home-nursing services, and domestic assistance, and several of these have now been introduced.

The first of these supplementary benefits was introduced by the Social Security (X-ray Diagnostic Services) Regulations 1941, which came into operation on 11th 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 of any drugs or other substances for the purpose of any such examination or photograph:

  4. The provision of medical services incidental to any such examination or photograph, except medical services of a kind not ordinarily performed by radiologists as such:

  5. The provision of any other incidental services for the purposes of any such examinations or photographs.

X-ray photographs or X-ray examinations made or taken for dental purposes or for the purposes of life assurance are not included in the services that may be provided.

In order to be recognized as a radiologist for the purpose of the regulations a medical practitioner is required to make application to the Minister specifying his academic qualifications and professional experience, and also the nature of the apparatus or equipment in his possession or available for his use in the performance of radiological work. The Minister may give absolute or limited recognition or may refuse recognition. Absolute recognition covers all classes of X-ray diagnostic services, whereas limited recognition may exclude any specified class or classes of service, or may be restricted to certain specified classes of service. An amended scale of fees payable from the fund in respect of services rendered by recognized radiologists is prescribed in a schedule to the Social Security (X-ray Diagnostic Services) Regulations 1941, Amendment No. 1, issued on 28th 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.

The second supplementary benefit introduced concerns massage treatment by private masseurs, and commenced on 1st September, 1942, in accordance with the Social Security (Massage Benefits) Regulations 1942. The general arrangement for these benefits consists of contracts with individual masseurs under which they are paid from the Social Security Fund a fee of 3s. 6d. for each massage treatment and undertake not to charge the patient any additional fees in excess of 3s. 6d. for treatment afforded in the masseurs' rooms or 7s. for treatment afforded elsewhere.

The Finance Act (No. 2), 1942, brought specialist services within the scope of the medical benefits. Specialist services are defined as “medical services that involve the application of special skill and experience of a degree or kind that general practitioners as a class cannot reasonably be expected to possess.” An amount not exceeding 7s. 6d. is payable from the Fund (by way of refund to the patient) in respect of every occasion on which any such services have been provided.

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 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 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, &c.

  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.

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:—

 Number in Force at 31st March, Payments during
Class of Benefit or Pension.1942.1943.1944.Annual Value at 31st March, 1944.1941–42.1942–43.1943–44.
Social Security benefits—   ££££
 Universal superannuation41,02144,44849,289862,558445,686603,124778,758
 Age99,15299,671102,5308,489,4847,190,6947,783,0848,101,668
 Widows'10,76510,58910,836981,742844,928866,597949,099
 Orphans'37239541221,93918,27520,62822,442
 Family18,31614,19015,9501,052,700539,183790,719876,858
 Invalids'12,10711,93812,1261,076,7891,011,3751,036,3731,067,409
 Miners'88884179574,98383,25880,10076,652
 Maori War42185440190119
 Unemployment841373292..138,52849,63932,316
 Sickness3,6723,6994,446..304,154362,088376,878
 Emergency2,1701,8211,915..126,718124,268115,574
 Medical........205,6731,016,0321,179,331
 Hospital........1,190,9541,357,4131,950,559
 Mental hospital........181,451181,869182,830
Maternity........549,850505,219513,939
 Pharmaceutical........279,698563,247762,198
Supplementary........27,96297,399137,823
Pensions—       
 War (1914–18)22,89422,16121,0382,039,7791,617,4811,574,0621,973,069
 War (present war)3,2977,66613,0371,108,493178,135479,477917,855
 War veterans' allowances1,8881,8071,791230,038210,575224,942224,705
 Boer War (Defence Act, 1909)4542443,2451,5811,5042,550
 Mercantile marine36121,073617350719
 Emergency Reserve Corps219101,0371,0621,9851,404
 Sundry pensions and annuities7613915018,5059,32913,58115,462
 Civil Service Act, 19086541,6832,3542,1761,662
Totals217,519219,812234,67815,964,13315,159,96117,736,06620,261,879

The annual report of the Director-General of Health (parliamentary paper H.-31) furnishes the following particulars of expenditure on the various classes of health benefits during the financial year 1943–44. It will be noted that the totals as shown herein differ slightly in some instances from the corresponding figures in the preceding table.

Medical Benefits.

Capitation fees, £55,612; general medical services, £1,026,449; special arrangements, £32,669; mileage fees, £60,391: total, £1,175,121.

Hospital Benefits.

Public hospitals, £1,644,330 (in-patients, £1,571,192; out patients, £73,138); private hospitals and approved institutions, £283,065; mental hospitals, £182,829; other institutions, £55,184: total, £1,546,959.

Maternity Benefits.

Hospitals, £324,769; medical practitioners, £167,272; nurses, £12,027; St. Helens hospitals, £9,870: total, £513,938.

Pharmaceutical Benefits.

Chemists and medical practitioners, £722,172; institutions, £40,027: total, £762,199.

Supplementary Benefits.

X-ray diagnostic services, £109,435; massage benefits, £27,333.

A summary of pensions and social security payments during each of the last eleven years, together with the amount per head of mean population, is now given.

 Payments during Year.
Year ended 31st March,Total.Per Head of Mean Population.
Pensions
 ££s.d.
19343,149,8952010
19353,338,3542211
19363,659,664269
19374,940,428327
19386,312,5303192
19396,780,344442
Pensions' and Social Security££s.d.
194012,288,3407106
194114,072,4988121
194215,159,961960
194317,736,06610163
194420,261,8791276

WAR PENSIONS.

The War Pensions Act, 1943, which became operative from 1st July, 1943, consolidated and amended the previously existing legislation relating to war pensions. The principal Acts affected were the War Pensions Act, 1915, and its numerous amendments, the War Veterans Allowances Act, 1935, and the War Pensions Extension Act, 1940, all of which are now repealed. With the exception of Maori War benefits, which are covered by the Social Security Act, and pensions and allowances payable under the authority of the War Pensions and Allowances (Mercantile Marine) Act, 1940, all pensions payable to or on account of members of the Forces are governed by the 1943 Act. The War Pensions Act, 1915, provided for the payment of pensions on certain conditions to disabled members of the New Zealand Forces of the war of 1914–18 (as defined by the Act) and to dependants of disabled, deceased, or missing members of such Forces. The object of the War Veterans' Allowances Act, 1935, which was deemed part of the War Pensions Act, 1915, was to make provision for returned servicemen who, apart from any wounds or other disability not directly attributable to war service, were ageing prematurely or otherwise becoming unemployable by reason of mental or physical disability. The War Pensions Extension Act, 1940, extended the provisions of the War Pensions Act, 1915, to cover overseas service in the present war, overseas service in any other war in which His Majesty was engaged, and service within New Zealand. This brought Territorials and members of the Permanent Forces within the scope of the war pensions legislation. Pensions to veterans of the South African War were prior to 1940 granted under the authority of the Defence Act, 1909, but the Finance Act, 1940, transferred this authority to the War Pensions Extension Act.

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, 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 the War Pensions Appeal Board, also appointed under the Act. The Appeal Board consists of three members, two of whom must be registered medical practitioners and the third a representative of returned servicemen.

Grounds for Payment of 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 His Majesty was then engaged, or is attributable to such service:

  2. Where death or disablement is attributable to service in New Zealand, or is attributable to service overseas otherwise than in connection with any war:

  3. In any ease where the condition which resulted in the death or disablement was aggravated by any service to which either of the last two preceding paragraphs relates.

Special provision is also made for pensions and allowances to members of the Emergency Reserve Corps and their dependants in respect of death or disablement attributable to their duties as members.

The provisions in regard to attributability were considerably liberalized by the new Act, which lays down that the onus of proving that death or disablement was attributable to service, or that the condition which resulted in death or disablement was aggravated by such service shall not be on the claimant, and that the War Pensions Board and the War Pensions Appeal Board shall give claimants the full benefit of all presumptions in their favour. A member who was graded fit for service when he entered the Forces is deemed to have been absolutely fit at that time, unless any defects were noted then or within the first two months of service. This presumption does not operate if the member failed to disclose any material fact to the medical examiner. The Act also states that the Boards are not to be bound by technicalities or legal forms or rules of evidence, but shall determine all claims in accordance with their merits.

Rates of Pensions.

The 1943 Act provided for the general rates of disablement pensions being increased by 50 per cent., and for increases in dependants' and economic pensions.

The following table sets out the maximum weekly rates of pension payable in respect of the death of a male member of the Forces.

Widow.
Rank or Rating.Without Children.With Children.Each Child.
 £s.d.£s.d.£s.d.
Ranks and ratings below commissioned rank20021000106
Lieutenant (Army); Sub-Lieutenant (Navy); Pilot Officer (Air Force)25021500106
Captain (Army); Lieutenant (Navy); Flying Officer, Flight Lieutenant (Air Force)21003000100
Major (Army); Lieut.-Commander (Navy); Squadron Leader (Air Force)21703700106
Lieut.-Colonel (Army); Commander (Navy); Wing Commander (Air Force)36031600106
Colonel (Army); Captain (Navy); Group Captain (Air Force)38031800106
Brigadier and upwards (Army); Commodore and upwards (Navy); Air Commodore and upwards (Air Force)31004000106

In the case of total disablement, the maximum weekly rates range from £3 to £3 5s. (according to rank or rating) to the member, and from £1 to £1 12s. 6d. to a wife, with 10s. fid. for each dependent child.

The weekly rates for total disablement of a female member range from £3 to £3 3s., according to rank, while 10s. 6d. per week is payable in respect of each dependent child in the case of death or disablement.

A schedule to the Act prescribes the rates of pensions payable in respect of partial disablement resulting from certain major disabilities. In other cases of partial disablement, the rates are decided by the Pensions Board or the Appeal Board, regard being had in every case to the nature and probable duration of the disablement.

If a member, while in receipt of a permanent pension of an amount of not less than 70 per cent. of the maximum pension that would be payable in respect of total disablement, dies from any cause not attributable to service as a member of the Forces, a pension may be granted to his widow or dependent children as if death was attributable to service.

Other grants and concessions which may be made to disabled servicemen include the following:—

  1. An allowance not exceeding £5 per week where a pensioner is so disabled as to require the services of a paid attendant:

  2. Additional pensions by way of clothing-allowances of up to £16 per annum to amputees and others who are obliged to use any mechanical or other appliance:

  3. A free pass on the New Zealand railways to members in receipt of full permanent pensions:

  4. A permit to travel first class at second-class rates on the New Zealand railways to amputees and others suffering locomotor disabilities to a degree of 50 per cent. or over for which they receive permanent pensions:

  5. Free medical and surgical treatment in respect of pensionable disabilities. Surgical appliances such as artificial limbs, &c., are also supplied free and kept in good order and repair.

In addition to pensions for wives and children, a pension may be granted to any member of a deceased or disabled servicemen's family who was in fact wholly or partially supported by him at any time within the period of twelve months immediately preceding the date on which the serviceman became a member of the Forces. A “member of the family” includes a parent, grand-parent, 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 (subject to certain conditions as regards date of adoption) and an illegitimate child (also subject to certain conditions).

The amount of pension payable to a dependant other than a wife or child is governed by the value of the benefits received from the member of the Forces on whose case the claim is based during the period of twelve months immediately preceding the date upon which he became a member of the Forces. The rate, however, is limited to the maximum prescribed for the wife of a member, and in cases where a wife or any child is also in receipt of a pension, the rate must not exceed three-fourths of that amount.

The following table gives particulars of war pensions current as at 31st March, 1944, distinguishing between the war of 1914–18 and the present war.

 War, 1914–18.Present War.
Class of Pension.Number of PensionersNumber of Children.*Annual Value.Number of PensionersNumber of Children.*Annual Value.
* Dependent children.
Ex-members of Forces—  £  £
 Permanent12,54861,190,797344137,835
 Temporary2,753..293,7359,836..715,261
Dependants of disabled ex-members2,8552,780220,23083288261,154
Widows2,044479291,1221,5411,180266,237
Other dependants of deceased ex-members Totals8388743,89548420428,006
Totals21,0383,3522,039,77913,0372,2731,108,493

Figures showing the number of pensions in force as at 31st March of each of the last five years are given below.

    On account of Death. 
At 31st March,Soldiers (Permanent).Soldiers (Temporary).Dependants (on account of Disablement).Widows.Parents and other Dependants.Total.
War, 1914–18
194011,8973,9933,1411,9062,93723,874
194112,2353,5433,0981,9322,65023,458
194212,1713,4332,9321,9532,40522,894
194312,1173,3412,7822,0021,91922,161
194412,5482,7532,8552,04483821,038
Present War
1941..43374368551
1942242,2093395451803,297
1943775,3318281,0833477,666
19443449,8368321,54148413,037

Total payments of pensions to 31st March, 1944, were: War, 1914–18, £38,011,754, present war, £1,589,843, and members of Emergency Reserve Corps, £4,454. Figures for the last eleven years were:—

Year ended 31st March,Pension Payments (War, 1914–18).
 £
19341,246,441
19351,264,110
19361,349,447
19371,483,345
19381,597,524
19391,616,248
 Pension Payments.
Year ended 31st March,War.1914–18Present war.*
* Includes Emergency Reserve Corps pensions.
 ££
19401,673,730..
19411,649,07614,379
19421,617,481179,197
19431,574,062481,462
19441,973,069919,259

The foregoing figures do not include war veteran's allowances, which in 1943–44 amounted to £224,705, while the total since inception in 1935–36 to 31st March, 1944, was £1,522,048.

During the year 1943–44 medical treatment of war pensioners cost £35,850, including cost of pensioners resident overseas, and railway concessions to certain classes of war pensioners cost £4,775.

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. Personal earnings other than from regular employment may be disregarded in the case of a claimant who is in receipt of a total-disability pension.

The maximum weekly rates of economic pensions are £1 15s. to a member, £1 to a widow without dependent children, £1 5s. to a widow with dependent children, and £1 5s. to a widowed mother.

Servicemen pensioned for minor disabilities do not receive economic pensions.

Details of economic pensions payable at 31st March, 1944, are now given. The figures contained therein are included in the tables shown under the preceding subheading.

War, 1914–18.Present War.
Class of Pension.NumberAnnual Value.Number.Annual Value.
  £ £
Ex-members with permanent pensions2,734239,948928,297
Ex-members with temporary pensions90479,9481,443129,346
Widows96652,13777447,196
Widowed mothers622,9851165,064
Totals4,666375,0182,425189,903

War Veterans' Allowances.

The object of the War Veterans' Allowances Act, 1935, which is now incorporated in the War Pensions Act, 1943, was to make provision for members of the Forces who, apart from any wounds or other injuries received during war service, were ageing prematurely or otherwise becoming unemployable by reason of mental or physical incapacity. The term “veteran” includes:—

  1. Any male member of the New Zealand Forces who has served as such in actual engagement with the enemy:

  2. Any female member who has served overseas as a member of the New Zealand Forces:

  3. Any other person who, being domiciled in New Zealand at the commencement of any war in which members of the New Zealand Forces have served as such, has served in that war as a member of any of His Majesty's Forces, other than the New Zealand Forces, with a unit in actual engagement with the enemy.

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.

Whether or not a claimant for an allowance is unfit for permanent employment by reason of mental or physical infirmity is a question of fact to be determined by the War Pensions Board. Claimants have the right of appeal to the War Pensions Appeal Board.

The rates of allowances are as follows:—

  1. Male veteran without a wife or dependent children: £84 10s. per annum, diminished by £1 for every complete £1 of his annual income (exclusive of this allowance) in excess of £52:

  2. Male veteran with a wife and/or dependent children: £84 10s. per annum in respect of the veteran's personal claim, £54 12s. in respect of his wife and £27 0s. in respect of each dependent child, diminished by £1 for every complete £1 of their combined annual income (exclusive of this allowance) in excess of £52:

  3. Female veteran without a husband or dependent children: £84 10s. per annum, diminished as in (1) above:

  4. Other female veteran, £84 10s. in respect of her personal claim and £27 6s. in respect of each dependent child, diminished by £1 for every compete £1 of the combined annual income (exclusive of this allowance) of the veteran, her husband, and dependent children in excess of £104.

The maximum allowance payable in any one case is £260 per annum.

Where a veteran in receipt of an allowance dies leaving a widow or dependent children in respect of whom an allowance is also being paid, a gratuity not exceeding twice the total annual allowance in force (in respect of the member and his dependants) at date of death may be granted.

Emergency Reserve Corps Pensions.

The War Pensions Act, 1943, incorporates that part of the Finance Act, 1940, which made provision for pensions to members of the Emergency Reserve Corps, established under the Emergency Reserve Corps Regulations 1940. These pensions are payable where death or disablement was suffered in the course of service as a member or was directly attributable to such service.

The rates of pension in respect of the death of a male member are the same as those prescribed for a private in the Army, and in respect of a female member 10s. 6d. per week is payable to or on account of each dependent child. In respect of total disablement, the maximum weekly rates are £1 10s. for an unmarried member under twenty-one years of age and £3 per week for other members, plus £1 per week for a wife and 10s. 6d. for each dependent child. Pensions in respect of partial disablement are determined in each case by the War Pensions Board. An economic pension may also be granted.

As in the case of war pensions, the amount payable to a dependant other than a wife or child is limited to the average weekly value of the benefits received from the member during the period of twelve months immediately preceding the date of death or disablement, as the case may be.

South African Veterans' War Pensions.

The original authority for the payment of pensions in respect of service in the South African War was the Defence Act, 1909, but the Finance Act (No. 4), 1940, provided that pensions might be granted under Part III of the War Pensions Extension, Act, 1910, in respect of death or disablement suffered by members of any New Zealand Contingent who served in South Africa in connection with the South African War. As previously stated, the War Pensions Extension Act, 1940, was repealed by the War Pensions Act, 1943, and pensions to veterans of the South African War are now payable under the general authority of the latter.

In addition to war pensions, a South African veteran who is in receipt of an age-benefit under the Social Security Act may receive an additional benefit of £13 13s. per annum, provided that his total income, including pension, does not exceed £136 10s. per annum. Such payments are included with social-security benefits and not with war pensions.

Mercantile Marine Pensions.

The War Pensions and Allowances (Mercantile Marine) Act, 1940, made provision for the payment of pensions and allowances to members of the New Zealand mercantile marine and their dependants in respect of death, disablement. or detention suffered as a result of the present war, this being a new departure as far as New Zealand's war-pension legislation is concerned. An amendment passed in 1943 extended the scope of the Act to permit of pensions being paid to members of any mercantile marine who are in receipt of similar pensions or allowances from any other Government within the British dominions, provided that such members were, immediately prior to the commencement of the present war, bona fide residents of New Zealand. A claimant under this new provision must be actually resident in New Zealand, and the amount of pension or allowance that may be granted is limited to a sum which, together with the amount granted out of Now Zealand, will not exceed the pension or allowance that would have been payable had the claimant been a member of the New Zealand mercantile marine.

The amending Act also increased the rates of pensions and allowances. The maximum rates at present in force in respect of the death of a member range from £2 to £2 17s. per week (according to the member's rank or rating and the tonnage of the vessel on which he was serving) for a widow without dependent children, and from £2 10s. to £3 7s. for a widow with dependent children, plus 10s. 6d. for each child. In the case of total disablement, the maximum weekly rates arc £3 to the member, £1 to a wife, and 10s. 6d. for each dependent child. The amounts payable in respect of partial disablement are determined by the War Pensions Board in each case. There are no distinctions as regards rank or rating or the tonnage of the vessel in which the member was serving in the case of disablement pensions and allowances.

Where a member is suffering detention as a result of his capture or the capture of his ship, the rates of allowances payable correspond to the pensions payable in respect of total disablement. Of the detained member's personal allowance, an amount of 10s. per week is retained in trust until his release, while the balance may be paid to or for the benefit of the member, or may, in the discretion of the Board, be applied in relief of any dependant.

In all cases pensions and allowances to dependants other than to a wife or a child are limited to the value of the benefits actually received by the claimant from the member during the twelve months immediately preceding his death, disablement, or detention, as the case may be.

MISCELLANEOUS PENSIONS.

In addition to the various classes of pensions enumerated in the foregoing part of this section there are pensions under the Civil Service Act, 1908, and other miscellaneous pensions and annuities.

The recipients of pensions under the Civil Service Act are ex-officers of the Civil Service who acquired, pension rights under a system in operation prior to the introduction of compulsory contributory superannuation schemes. At 31st March, 1944, there were only 4 of these pensions remaining in force. In addition, there were 150 pensions, &c., classed as “sundry pensions and annuities.” This class covers ex-officers of the Legislative Department, and ex-members of the Police, Defence, and Naval Forces, certain ex-members of the Legislature, and others, by way of compassionate allowance, &c.

SUPERANNUATION FUNDS.

Schemes in force for the provision of superannuation payments to public servants on their retirement embrace the State Railways, Public Service (including Police), Teachers, and Stipendiary Magistrates. Local authorities are empowered to establish schemes under the Local Authorities Superannuation Act, 1908.

The law relating to the various superannuation schemes, other than those for the Railways Department and local authorities, is contained in the Public Service Superannuation Act, 1927, a consolidation of former legislation on the subject.

Section 13 of the Finance Act (No. 2), 1940, as amended by section 16 of the Finance Act (No. 4), 1940, confers on contributors to any Government Superannuation Fund the right to elect to surrender portion of the retiring-allowances to which they would be entitled on retirement in order to provide for the payment, after their death, of annuities to their surviving widows or approved dependants.

Public Service Superannuation Fund.

The Public Service Superannuation scheme, which includes all branches of the Public Service except the Railways Department and that part of the Education Service which comes under the operations of the teachers' superannuation scheme, came into force on the 1st January, 1908. The scheme, although optional on the part of public servants permanently employed at that date, is compulsory on all persons permanently appointed thereafter. Certain classes of non-permanent officers may be permitted to join the Fund.

By virtue of the Finance Act (No. 2), 1942, permanent members of the Public Service may become contributors to the Fund in respect of any period of continuous temporary service immediately preceding the date of permanent appointment.

The Police Provident Fund, which was established on the 1st December, 1899, under the Police Provident Act, 1899, was merged in the Public Service Superannuation Fund on the 1st April, 1910.

The Fund is administered by a Board, and consists of payments by contributors, interest on investments, Government subsidy, fines imposed on public servants as such, and proceeds of Police Department sales of unclaimed property.

The contributions vary with the age on joining the Fund. For ages under thirty they are 5 per cent. of the salary; ages thirty and under thirty-five, 6 per cent.; thirty-five and under forty, 7 per cent.; forty and under forty-five, 8 per cent.; forty-five and under fifty, 9 per cent.; fifty and over, 10 per cent.

The principal benefits are:—

  1. A pension for every year of service equal to one-sixtieth of the average annual salary for the last three years, payable (a) after forty years' service, or (b) at age sixty-five, or (c) on retirement owing to ill-health. The maximum pension is not to exceed two-thirds of the salary, nor, in the case of entrants after the 24th December, 1909, £300 per annum.

  2. A pension of £31 per annum to the widow of a contributor or pensioner during widowhood, and £26 per annum for each child under the age of fourteen.

Special pensions may be given in the case of members of the Police Force for injuries received on duty.

Females may retire after thirty years' service or at the age of fifty-five. In certain cases, and subject to certain terms and conditions, the Minister in charge of a contributor's Department may reduce the retiring age to sixty years for males and fifty years for females, or may reduce the requisite service to thirty-five years irrespective of age, or may reduce the retiring-age to fifty-five years if length of service is not less than thirty years.

Since 1931, the retiring qualifications have been modified to permit of a further reduction of five years in age or service in the case of contributors compulsorily retired through no fault of their own. A specially computed reduced superannuation is provided. The provisions cover the three major funds.

At the 31st March, 1943, there were 30,541 contributors, paying £421,006 per annum into the Fund. The pensioners at the same date numbered 4,331, and were entitled to £602,570 per annum, made up as follows:—

 Number. 
Males.Females.Total.Pensions.
    £
Retired for ago or length of service1,8213612,182504,126
Retired for ill-health3227339543,172
Police injured on duty18..183,131
Widows..1,4011,40143,431
Children1681673358,710
Totals2,3292,0024,331602,570

The following table contains particulars of the public servants who were contributing to the Fund at the 31st March, 1943, grouped according to their respective rates of contribution.

 Number.  
Rate per Cent.Male.Female.Total.Annual Salary.Annual Contributions.
    ££
522,9854,24527,2306,851,609342,580
61,5831201,703576,51934,591
7937631,000353,79624,766
841018428155,23012,418
9138714555,2534,973
103413516,7851,678
Totals26,0874,45430,5418,009,192421,006

Accumulated funds at the 31st March, 1943, amounted to £3,378,602. Total assets, which amounted to £3,502,902, included: investments, £3,119,200; interest, due and accrued, £38,216; contributions in course of transmission, &c., £218,285; cash in hand and at bank, £105,484. The investment figures include £27,507 invested on Stipendiary Magistrates' account.

In his report on the Fund as at 31st March, 1939, more particulars of which may be found in the 1942 issue of the Year-Book, the Government Actuary stated that the estimated subsidy required during each of the years 1940–44 was £357,000 per annum, to which should be added a further £216,000 per annum on account of subsidies short paid in past years.

The subsidy to the Fund was originally £20,000 per annum, rising in 1910 to £22,500, and in the next two years to £23,000. In 1913 it was increased to £48,000, and in 1919 to £86,000. In consequence of the position disclosed by the Actuary as at 31st December, 1919, an additional amount of £100,000 was contributed to the Fund by the Government, divided between the years 1923–24 and 1924–25. An additional amount of £100,000 was also paid in 1929–30, following the actuarial investigation as at 31st March, 1927; while, commencing with 1932–33, additional amounts have been paid each year, mainly to compensate the Fund for losses incurred as a direct result of the statutory reduction in interest. The total subsidies paid to the Fund from its inception to 31st March, 1943, amount to £3,650,362, which includes £311,407 to cover increased allowances to widows and children under authority of section 114, Public Service Superannuation Act, 1927. The total amount paid by Treasury to compensate for the statutory reduction in interest is £210,291. This amount is not included with subsidies.

All valuations of the Fund prior to 1924 were made on the basis of interest at 4 per cent., a 4 ½-per-cent. rate being adopted for the next three periods. As the effective rate of interest earned on the funds had been steadily decreasing since the 1934 valuation and was then considerably below the 4 ½-per-cent. mark, a 4-per-cent. rate was adopted for the latest valuation. The average rate of interest earned in each of the last ten financial years has been as follows:—

Year ended 31st March,Average Rate per Cent.
 £s.d.
19345116
1935584
1936565
19374188
19384151
1939452
1940414
1941449
1942463
1943433

The total revenue of the Fund for the year ended 31st March, 1943, was £726,090, including members' contributions £437,371, interest on investments and on contributions £136,703 (which includes a special payment of £11,197 from the Consolidated Fund to reimburse the Superannuation Fund on account of the statutory reduction of interest on all classes of securities), and Government subsidy £149,084, the last-mentioned including a special payment of £22,334 on account of increased benefits to widows and children. The total amount expended during the year was £671,637, including retiring and other allowances £587,099, refunds of contributions £75,064, transfers to other funds £762, cost of administration £8,338, and other expenditure £374.

A table is now given showing the progress of the Fund for the last five years available.

Year ended 31st March,Number of Contributors.Annual Contributions.Interest receivable from Investments.Contributions from Government.Annual Value of Allowances.Accumulated Fund.
  £££££
193926,283374,136130,688242,950537,0953,199,010
194028,487407,446128,577169,806559,2903,255,658
194129,295418,597135,978159,358585,3613,296,540
194229,956423,427138,550153,076604,8863,324,148
194330,541421,006133,547149,084602,5703,378,602

Teachers' Superannuation Fund.

The scheme of superannuation for teachers came into operation on 1st January, 1906. The benefits were brought into line with those of the Public Service Superannuation Fund in 1908, existing contributors having, however, the right of electing to remain subject to the provisions formerly in force.

There are a few slight differences between the Public Service and the Teachers' Funds, the chief being that where teachers' back service is recognized it need not be continuous, and that a contributor is not deemed to have retired from the Education Service by reason of unemployment unless the unemployment extends for twelve months, or unless the contributor deliberately retires from the Service as distinct from a particular position in the service. In certain circumstances the period of twelve months can be extended by the Board.

The Finance Act (No. 2), 1943, gives permanent members of the Education Service the right to elect to become contributors to the Teachers' Superannuation Fund in respect of any period of continuous temporary service immediately preceding the date of permanent appointment. Similar rights were conferred on contributors to the Public Service Superannuation Fund by the Finance Act (No. 2), 1942.

The expenditure of the Fund for the year ended 31st January, 1944, was £401,651. of which retiring and other allowances represented £358,675, and refunds of contributions £37,251. The revenue for the year was £391,117.

On the 31st January, 1944, there were 10,668 contributors, representing annual contributions amounting to £186,006.

The retiring and other allowances as at 31st January, 1944, were made up of:—

 Number.Pensions.
  £
Retired for age or length of service1,556309,868
Retired for ill-health27237,188
Widows36211,380
Children872,262
Totals2,277£360,698

The progress of the Fund during the last five years is shown in the following table.

Year ended 31st January,Number of Contributors.Amount of Contributions received.Interest received.Government Subsidy.Amount paid in Allowances.Accumulated Fund.
  £££££
19409,005158,90742,699155,979330,462967,076
19419,463170,29742,021166,917333,459974,885
19429,827173,50842,362155,627350,188954,640
194310,212177,47641,896159,806351,870944,337
194410,668192,36451,997146,756358,675933,803

Since the inception of the scheme, the Government has paid £2,778,054 in subsidies to the Fund.

In his report on the Teachers' Superannuation Fund for the five years ended 3lst January, 1939, the Government Actuary stated that the annual subsidy required for each of the years 1940 to 1944 was £349,000.

Government Railways Superannuation Fund.—The Government Railways Superannuation Fund was established on the 1st January, 1903, by the Government Railways Superannuation Fund Act, 1902, now embodied in the Government Railways Act, 1926.

The pension here is also one-sixtieth of the annual rate of pay for every year of service, but the retiring-age is sixty for both males and females. Until recently another difference of importance was that the annual allowances to widows and children were paid only in cases where contributors died before retiring on a pension; but, by section 14 of the Finance Act (No. 2), 1940, these allowances were placed on the same footing as in the case of the Public Service and Teachers' Superannuation Funds.

From 1st April, 1924, the moneys belonging to the Fund have been separately invested by the Public Trustee. The average rate of interest earned during the year 1943–44 was 4£9 per cent.

The income for the year 1943–44 totalled £584,033, including members' contributions, £242,322; interest, £58,652; subsidies from Railways Department, £190,021 (including £20,021 on account of increased allowances to widows and children and members actuarially retired); and Consolidated Fund, £89,700. The expenditure during the year amounted to £596,532, of which retiring-allowances represented £513,834, allowances to widows and children £46,064, and refunds of contributions, &c., £36,634.

At the 31st March, 1944, there were 4,438 persons on the Fund, receiving allowances involving an annual liability of £570,280.

The progress of the Fund during the last five years is shown below.

Year ended 31st March,Number of Contributors.Amount received from Contributors.Interest earned by Fund.Amount received from Government.Amount paid in Allowances.Accumulated Fund.
  £££££
194016,024209,30464,146257,212489,3921,279,836
194116,664214,73363,581258,076516,6091,248,383
194217,067222,20662,034275,565546,5211,187,537
194317,186226,16559,464282,205557,0111,164,045
194417,570242,32258,652282,673559,8981,151,546

The actuarial report on the Railways Superannuation Fund as at 31st March, 1939, gave the value of the total liability of the State in respect of the Fund at that date as £12,349,000.

Superannuation of Magistrates.

The scheme for Magistrates provides for the same rates of contribution as under the Public Service scheme, but gives an annual retiring-allowance for each year of service (whether continuous or not) equal to one-fortieth 6f the annual salary receivable at the date of retirement, with, however, a limit of twenty-five fortieths. The retiring-age is sixty-eight, instead of sixty-five as in the case of the Public Service scheme.

Members' contributions during the year ended 31st March, 1943, totalled £1,490, and interest on investments amounted to £1,195, making the total revenue £2,685. Expenditure for the year totalled £6,229, of which retiring-allowances accounted for £6,187, and administration expenses £42. The assets of the fund at 31st March, 1943, amounted to £27,514.

NATIONAL PROVIDENT FUND.

The National Provident Fund was established by Act in 1910, and came into operation on the 1st March, 1911. The Fund is administered by a Board composed of the Minister in Charge of the Fund as Chairman, three members appointed by the Governor-General, the Financial Adviser to the Government, and the Superintendent of the Fund.

The benefits under the Act are guaranteed by the State, which also subsidizes the contributions to the extent of one-fourth of the amount paid into the Fund, and meets the administrative expenses of the Fund, the amounts required being voted by Parliament annually.

The last actuarial examination of the Fund disclosed a satisfactory surplus, the Actuary reporting that no additional State subsidy was required.

The Fund provides two distinct services:—

  1. Annuities and subsidiary benefits for members of the general public, with extensions for members of approved friendly societies and employees of firms, &c.

  2. Superannuation for local-authority employees.

Membership of the public portion of the Fund is open to any person between the ages of sixteen and forty-nine years residing in New Zealand whose average income during the three years prior to joining has not exceeded £300 per annum. There is no medical examination on entry, and the method of joining is extremely simple, the applicant having merely to fill in a form at a postal money-order office or local office of the Fund, and pay a first weekly contribution. Contributions may be met by deduction from salary or savings-bank account, while a discount is obtainable for contributions paid for three or more years in advance.

The contributions for each 10s. of weekly annuity range from 9d. per week in the case of persons joining at age sixteen to 9s. 4d. per week for persons joining at age forty-nine.

The following benefits are payable:—

  1. After contributing for five years, an allowance, after three months' incapacity for work, of 7s. 6d. per week for each child under fourteen years of age. No contributions are payable while in receipt of incapacity allowance. The allowance abates in respect of weekly income in excess of £5.

  2. After contributing for five years, an allowance, on the death of a contributor, of 7s. 6d. per week for each child under fourteen years of age, and 7s. 6d. for the widow so long as any child is under fourteen years of age.

  3. On reaching age sixty, an annuity of 40s., 30s., 20s., or 10s. per week, according to the scale of contributions.

  4. On withdrawal or death, a refund to contributor or representative of all contributions paid, less any benefits received.

A maternity allowance of £6 (a State grant) is provided in the Act for the birth of a child to a contributor where the joint income of the parents does not exceed £300 per annum. No allowance is payable from the Fund if the maternity benefits as provided under the Social Security Act have been received.

In 1916 provision was made for the approval of friendly societies as contributing authorities under reduced tables for annuities and for the payment of maternity allowances to members. In 1927 and 1929 further extensions provided for the entry of employees of firms, &c., eliminating the income bar, and increasing the maximum pension to £4 per week.

A most important extension of the scope of the Fund was made in 1914, when provision was made whereby local authorities could provide superannuation for their employees. This step enabled local authorities within the Dominion to become members of one fund, so that employees could move from one local authority to another without loss of pension rights or any involved system of transfer values. Uniformity as to contributions and benefits is assured as between the various classes of local authorities, and thus avenues of advancement are opened to employees and fields of selection widened to employers. The benefits and contributions are similar to those operating in the three State Service funds.

In 1925 the voluntary provisions operating in respect of local authorities were made compulsory for Hospital Boards in respect of members of their nursing and clerical staffs, thus providing superannuation for members of the nursing profession.

To make provision for trained nurses in certain Departments of State, a further amendment enabled the Minister of Finance, through the employing Department, to contribute for nurses in the same manner as Hospital Boards, thus again facilitating transfers and conserving pension rights.

Joint and survivorship pensions and other options are available to all employees on retirement.

Since the inauguration of the Fund in 1911, 117,147 persons (88,167 males and 28,980 females) have entered, and of these 88,795 (males, 66,973; females, 21,822) have discontinued for one reason or another, leaving 28,352 (males, 21,194; females, 7,158) on the books at the 31st December, 1943. Of the 3,220 discontinuances in 1943, 2,638 were on account of withdrawal, lapse, and cancellation, 179 on account of having attained the annuity-age, and 185 on account of death.

The numbers of contributors for the various annuity rates as at 31st December, 1943, were as follows, male and female contributors being shown separately:—

Annuity Rate.Males.Females.Total.
10s. per week13,0651,01014,075
20s. per week2,1723822,554
30s. per week22246268
40s. per week52497621
Superannuation5,2115,62310,834
Totals21,1947,15828,352

Contributions during the year 1943 amounted to £349,096 and interest to £260,018. Government contributions under the Act totalled £86,573. The largest item on the expenditure side was £110,233 by way of payment of annuities.

The progress of the National Provident Fund scheme during the last five years is indicated in the following table.

    Claims during Year.
Year.Number of Contributors.Annual Rate of Contribution payable.Total Amount of Fund.Maternity.Incapacity.Retiring.Widows and Children.
  ££££££
193928,729300,6405,648,41525,8069,82682,35312,772
194028,302311,5146,023,9342,8779,20889,73712,312
194128,347322,8196,432,8593088,26797,78112,196
194228,508343,7536,862,358749,253104,37912,569
194328,352344,4037,293,137..9,803110,23312,844

Of the accumulated fund of £7,293,137 at 31st December, 1943, £7,188,103 was invested, mainly in Government securities.

Chapter 25. SECTION 25.—LOCAL GOVERNMENT

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, the Dominion is divided into 129 counties, which comprise its total area, except for certain small islands which are not included within the boundaries of the adjacent counties. Administratively, boroughs and independent town districts, which are contained within the areas of the several counties, are regarded as separate entities. From an administrative point of view, therefore, the fundamental districts are counties, boroughs, and independent town districts. Upon this foundation a considerable superstructure of districts of other types has been erected. These overlapping districts may be divided into two broad classes, viz.: (1) Districts formed from parts of counties— e.g., road districts; and (2) those which are comprised of a group of adjacent districts of other types united for a common purpose— e.g., electric-power districts. The number of local authorities actively functioning at the 1st April, 1944, was 691, made up as follows: County Councils, 125; Borough Councils, 127; Town Boards (independent), 34; Town Boards (dependent), 21; Road Boards, 9; River Boards, 34; Land-drainage Boards, 47; Urban Drainage Boards, 3; Water-supply Boards, 3; Fire Boards, 58; Local Railway Board, 1; Harbour Boards (including 22 where the Board is a Borough or County Council, &c), 48; Electric-power Boards, 41; Hospital Boards, 42; Tramway Board, 1; Transport Board, 1; Gas - lighting Board, 1; and Rabbit Boards, 95. In addition to the foregoing there are 18 District Councils of the Main Highways Board constituted under the Main Highways Act, 1922. These, 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.

A new typo of local authority has been provided for by the Soil Conservation and Rivers Control Act, 1941. As its title implies, the objects of this Act are the conservation of soil resources, the prevention of damage by erosion, and the making of more adequate provision than in the past for protection of property from damage by floods. A Soil Conservation and Rivers Control Council is established for the general administration of the Act, while for local administration power is given for the constitution of catchment districts, each covering the catchment area of one or more river systems and under the control of a Catchment Board, which is armed with wide powers, including borrowing, rating, &c. To date (May, 1945) ten catchment districts have been created; none of the Boards was actively functioning at 31st March, 1943.

Under the Milk Act, 1944, the Governor-General may by Order in Council constitute and declare any part or parts of New Zealand a milk district for the purpose of ensuring to the inhabitants of that district an adequate supply of milk of a required standard of quality. The Act provides that for every milk district there shall be a Milk Authority which may be a Borough Council or a Metropolitan Milk Board, as circumstances require. In any case where the Milk Authority is a Borough Council, the Council is required to appoint a Standing Committee, known as the Milk Committee, and provision is made for the appointment of other persons to the Committee where the milk district includes any area outside the borough. Where the Milk Authority is a Metropolitan Milk Board, the members thereof are elected by the constituent districts comprising the milk district.

Detailed statistics relating to each local authority, other than Hospital Boards, are contained in the Local Authorities Handbook, an annual publication of the Census and Statistics Department. Hospital Boards, which supply their returns in different form, and to the Department of Health, are omitted from the statistics contained in this section, but summarized data relating to them will be found in Section 5B.

The local-authority year now uniformly ends on 31st 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 31st March, but in all other cases on 30th September.

The history of local government in New Zealand may be conveniently divided into two periods associated with two distinct forms of administration, namely—(1) The provincial system, in which the local government of each province was a function of the provincial authorities; and (2) the present county system, which arose on the abolition of the provinces in 1876, and in which the general responsibility for the local government of the whole country was undertaken by the Central Government.

THE PROVINCES.

—Although New Zealand was at first (1848) divided into the two provinces of New Ulster and New Munster, it was not until 1853 that the provincial system really commenced. In that year, the two existing provinces were abolished and the colony was divided into the six provinces of Auckland, New Plymouth (altered to Taranaki in 1859), Wellington, Nelson, Canterbury, and Otago. The number was later increased to nine by the separation of Hawke's Bay from Wellington (1859), Marlborough from Nelson (1860), and Southland from Otago (1861). Subsequently it was reduced to eight by the merging of Southland with Otago (1870), and restored to nine again by the separation of Westland from Canterbury in 1874, Westland having been a county independent of Canterbury from 1867. Each province was presided over by a Superintendent and Council, with power to legislate for its own territory, subject, however, to disallowance by the Governor, and also to the exclusion of such matters as Customs duties, postal affairs, Crown lands, superior Courts of law, coinage, and paper currency, which were to be controlled by the General Assembly (Central Government). The provinces received from the Central Government a capitation allowance for the maintenance of harbours, hospitals, asylums, charitable aid, and police; while each province was expected to provide for the construction and maintenance of roads, bridges, and other public works out of its own revenues, which were derived chiefly from the sale of waste lands.

The Provincial Councils, therefore, were virtually left with the whole responsibility of providing for the details of local administration. The Councils in turn delegated certain of their powers and functions to lesser authorities, and a number of boroughs, towns, and road and highway districts came into being. Owing, however, to the lack of uniformity between the Ordinances of the various Councils on the subject of local government, considerable confusion arose and rendered impossible any satisfactory co-ordination beyond provincial boundaries. Thus main roads were frequently planned without sufficient regard to the linking-up of the country as a whole. With the rapidly increasing population, and consequent extension of settlements, the need for the development of communications along national instead of provincial lines became apparent. That the provinces had definitely outlived the period of their usefulness became abundantly clear during the prosecution of the Vogel policy of immigration and public works initiated in 1870, and in 1875 the Abolition of Provinces Act was passed in the face of strong provincial opposition.

CONSTITUTION OF LOCAL DISTRICTS.

—In 1876 local government entered upon an entirely new phase, the Central Government assuming the general responsibility for the local administration of the whole country. All existing legislation on the subject was repealed and new measures were introduced, notably the Counties Act, 1876, which divided the country into sixty-three counties, with provision for administration by elective Councils having powers considerably less than those enjoyed by the Provincial Councils. Another important enactment of the same year was the Municipal Corporations Act, which provided for the incorporation of the thirty-six boroughs then in existence and for the creation of new boroughs. The powers of municipalities were also extended, permitting the construction of tramways, waterworks, and gasworks, while the borrowing-powers of boroughs were placed on a definite and uniform footing. While these measures have long since been repealed, it is upon them that the broad structure of the present system is based.

Since the inception of the county system there has been a great expansion of local government throughout the Dominion. 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 district have been created to cater for special services. A description of each type of local authority may be found in the 1940 and previous issues of the Year-Book.

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 necessary. The Amending Act of 1941 made provision for tenants of State houses to be enrolled as electors as if they were ratepayers, but it entitled such persons to one vote only and conferred no voting powers in connection with any proposal relating to loans or rates.

An amendment passed in 1944 further extended the franchise in counties and road districts to include a residential qualification on the same lines as for boroughs, but did not interfere with the multiple voting power conferred by a property qualification. One vote only is allowed in boroughs and town districts, but it is possible, by virtue of property qualification, to have a vote in more than one district. The 1944 amendment introduced compulsory registration of electors for boroughs and town districts, all adult persons not entitled to enrolment by virtue of a property qualification being required to make application for enrolment within a prescribed time. The Act also removed the disability which prevented persons in the employ of local authorities from becoming members thereof. Details of the franchise as it affects each type of local district are now given.

Counties.

—Any person of twenty-one years of age and over who possesses any one of the qualifications mentioned hereunder is entitled to be enrolled on the county electors roll:—

  1. Rating qualification, which may be held by any person whose name appears in the valuation roll as the occupier of any rateable property within a riding of the county. One vote is allowed where the rateable value does not exceed £1,000, two votes where the value is greater than £1,000 but not in excess of £2,000, and three votes where the value exceeds £2,000.u

  2. A residential qualification is held by any British subject (either by birth or by naturalization) 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.

  3. The possession of a miner's right entitles a person to enrolment provided (1) the holder also holds a mining privilege and is actively engaged in mining, (2) he is resident in the riding of the county and has been continuously so resident for two months immediately preceding the nomination of candidates. The residential or the miner's right qualification entitles the holder to one vote only.

Boroughs.

—Any person of twenty-one years of age and over who possesses any of the following qualifications is entitled to enrolment:—

  1. Freehold qualification—meaning the beneficial and duly registered ownership of a freehold estate in land of a capital value of not less than £25 situated in the borough, notwithstanding that any other person is the occupier thereof.

  2. Rating qualification, which may be held by any person whose name appears in the valuation roll as the occupier of any rateable property within the borough.

  3. A residential qualification may be held by any British subject (either by birth or by naturalization) 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.

  4. An occupier's qualification is deemed to be held by a person who is, and for at least three months past has been, in occupation as a tenant of a tenement in the borough the rental of which is not less than £10 per annum, or as a sub-tenant or joint tenant of such a tenement the rental value of which is at least £10 per annum for each of the several sub-tenants or joint tenants.

As already stated, no person is entitled to vote at a poll taken on any proposal relating to loans or rates by virtue only of a residential or occupier's qualification.

Town Districts.

—The franchise is the same as for boroughs, except that for county electoral purposes in the case of dependent town districts the county qualification is necessary.

Rabbit Districts.

—The franchise is based on stock ownership, from one to five votes being allowed according to the number of stock units owned. A sheep is counted as one unit and cattle as five units each. For up to 5,000 units one vote is allowed; over 5,000 but not exceeding 10,000, two votes; over 10,000 but not exceeding 20,000, three votes; over 20,000, but not exceeding 30,000, four votes; over 30,000, five votes.

Other Districts.

—Road districts, river districts, land-drainage districts, water-supply districts, and the local railway district all have a franchise similar to that of counties except that the residential qualification applies to road districts only.

Districts composed of a grouping of districts of other types, united for a common purpose have a franchise as for the component districts. Such districts are urban drainage districts, electric-power districts, harbour districts, hospital districts, urban transport districts, catchment districts, and the gas-lighting district.

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 Polk Act, 1925, and the Local Bodies' Loans Act, 1926. In the case of Harbour Boards, there is in addition to a general Harbours Act a special Act for each Board, which is subordinate to the general Act. Certain types of local authority—Urban Drainage Boards, the Local Railway Board, the Tramway and Transport Boards, and the Gas-fighting Board— 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.

AMALGAMATION.

—Various statutory provisions exist for the voluntary amalgamation of local authorities, and these have been availed of from time to time. There have been numerous amalgamations of contiguous boroughs, while the one-time numerous road districts which played a very important part in the scheme of local government in the essentially colonizing days of New Zealand are now largely merged in county areas. There is no provision for compulsory amalgamation, but a measure entitled the Local Government (Amalgamation Schemes) Bill was introduced during the parliamentary session of 1936. The Bill, which so far has not been proceeded with, proposes to make provision for the union of two or more adjoining districts (whether or not of like status or constitution), the merger of any district, the transfer of functions from one local authority to another, an adjustment or alteration of boundaries, the conversion of a district into a district of different status or constitution, and other relevant matters.

BORROWING.

—Under the Local Government Loans Board Act, 1926, all loan proposals of local authorities, except in regard to money borrowed in anticipation of revenue, require the sanction of the Local Government Loans Board. The Board consists of the Secretary to the Treasury, the Engineer-in-Chief of the Public Works Department, and five other members appointed by the Governor-General. In cases where a poll of ratepayers is necessary preparatory to raising a loan, the Board's consent must be obtained before the poll is held. In no case may the Board sanction any application unless provision is made to its satisfaction for repayment of the loan within such period as it deems reasonable, having regard to the probable duration and continuing utility of the works on which the loan-moneys are to be expended.

The principal legislation dealing with the borrowing-powers of local authorities is contained in the Local Bodies' Loans Act, 1926, which is mainly a consolidation of previous measures on the subject. A local authority is thereby empowered to raise a special loan for the construction of any public work, for the purchase of land or buildings, or for the purpose of engaging in any undertaking into which it may lawfully enter. As explained previously, a loan proposal first requires the sanction of the Local Government Loans Board. It must then be sanctioned by the ratepayers at a special poll (except in certain cases, provided for by various enactments, where a poll is not required to be taken), and the proposal is not deemed to have been carried unless at least three-fifths of the valid votes recorded are in favour of it, save in the case of boroughs and town districts, where a bare majority only is necessary. The properties and revenue of the local authority may be pledged as security for the repayment of any principal sum or interest thereon, or a special rate may be levied for the same purpose

The borrowing activities of certain types of local authority are subject to special provisions. Under the Hospital and Charitable Institutions Act, 1926, a Hospital Board must first obtain the approval of the Minister of Health before exercising its power to borrow; in the case of Fire Boards the prior consent of the Minister of Internal Affairs is required; and Rabbit Boards must first seek the approval of the Minister of Agriculture. Harbour Boards derive their authority to borrow for harbour-works from special empowering legislation, and similar authority is given for the capital works of certain other local authorities.

RATING.

—Local authorities are largely dependent on revenue from rates to carry out their activities, and even loans raised for special purposes are ultimately liquidated by such 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. In a few cases rating is on an acreage basis, and in the case of certain Rabbit Boards the rate is 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. The system of rating is upon the basis that 1s. in the £1 on the annual value is deemed to be equivalent to 3/4 d. in the £1 on the capital value of rateable property; or where in a district not rating on the annual value it is necessary for any purpose to ascertain the annual value of any rateable property, then the annual value thereof is equal to 6 per cent. on the capital value of such property. The annual value is deemed to be the letting-value, less 20 per cent. in the case of houses, buildings, and other perishable property, and 10 per cent. in the case of land, but in no instance is the rateable value to be less than 5 per cent. of the value of the fee-simple.

The Urban Farm Land Rating Act, 1932, with the object of affording some relief to owners of farm lands subject to rating by a Borough Council, authorizes the preparation of a special farm-land roll, which is deemed part of the valuation roll for rating purposes.

Consequent upon the decline in property values during the depression years, many owners took advantage of the provisions of the Valuation of Land Act permitting individual revaluations. In order to preserve equity in rating, the Valuation of Land Amendment Act, 1933, authorized local authorities to levy rates upon a proportionate part, not being less than 75 per cent., of the values upon the roll. Where individual revaluations have been made, rates are levied either upon the new valuation or upon the proportionate part of the value existing prior to revaluation, whichever is the lower.

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 proposal to raise a loan under the Local Bodies' Loans Act, 1920. 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.

The valuation roll is supplied to the local authority by the Valuer-General under the provisions of the Valuation of Land Act, 1925, and the definitions of “capital value,” “improvements,” “unimproved value,” and “value of improvements” set out in that Act, as subsequently amended, apply also to rating on unimproved value. Provision is made for adjustment of rating-powers given under other Acts by fixing equivalents. Thus, as already indicated, a rate of 1s. in the pound on the annual value is to be considered equal to 3/4 d. in the pound on the capital value.

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.

A table is given of rating systems in force in districts levying rates during the financial year 1942–43.

System of Bating.Total.
Unimproved Value.Capital Value.Annual Value.Acreage Basis.On Stock.

* Includes Chatham Islands County, for which import and export dues are charged In lieu of rates on land.

† Includes one various.

‡ Includes one system based on water consumption.

Counties5866......125*
Boroughs802225....127
Town districts26245....55
Road districts36......9
River districts1216..6..34
Land-drainage districts3017......47
Electric-power districts1328......41
Water-supply districts..1......2
Urban drainage districts..21....3
Tramway district..1......1
Rabbit districts53..70684
Totals22718631766528

Although the figures referred to indicate that the number of local authorities rating on the unimproved value during 1942–43 was 43 per cent. of the total, yet on a population basis the figures reveal that 59 per cent. of the people of the Dominion were in districts so rating. The position in regard to the four major classes of local authorities at 1st April, 1943 (i.e., the beginning of the 1943–44 financial year), is set out in the following table. It should be noted that the population estimates relate to 1st April, 1941, with necessary adjustments to 1st April, 1943, to provide for any alterations in boundaries that may have taken place. Owing to various factors arising out of the war, it has now been found impossible to compile accurate intercensal estimates of population for the various local districts, and authority has been granted by the Population Estimates Emergency Regulations 1942 to discontinue these until after the next census.

 Rating on Unimproved Value.Total for Dominion.*Ratio of Unimproved Value to Total.
No.Population.No.Population.No.Population.

* Exclusive of migratory, &c., population.

† Includes the four counties (Eden, Taupo, Sounds, and Fiord) in which the Counties Act is not wholly in force.

     Per Cent.Per Cent
Counties (excluding all town districts)58302,840129639,83044.9647.33
Boroughs80633,700127940,07062.9967.41
Town districts (independent)1616,9103428,74047.0658.84
Town districts (dependent)103,440217,43047.6246.30
 164956,8903111,616,07052.7359.21

For the purposes of the foregoing tables a district is deemed to rate on the unimproved value where the general rate is levied on an unimproved-value basis. In a number of instances, in particular of boroughs, certain of the subsidiary rates are levied on other systems.

TOWN-PLANNING.

—Town-planning legislation of 1926 and 1929 provides for the making and enforcement of town, extra-urban, and regional planning schemes. Every town-planning scheme is required to have for its general purpose the development of the city or borough to which it relates (including the reconstruction of an area already built on) in such a way as to promote its healthfulness, amenity, convenience, and advancement. Extra-urban schemes have like objects in regard to their areas.

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 utilities 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 co-ordination of all such public improvements, utilities, services, and amenities as are not limited to the territory of any one local authority.

The principal Act provided for a Director of Town-planning and a representative Town-planning Board under the Minister of Internal Affairs as chairman, but the Government has since decided, instead of having a Director of Town-planning, to follow the English precedent of having a Town-planning Officer directly attached to the Government Department controlling town-planning—in this case the Organization for National Development. The Town-planning Board continues to operate.

All cities or boroughs with a population of one thousand or over at the census of 1926, together with certain road districts, were required to prepare town-planning schemes and submit them to the Town-planning Board by the end of 1936. Other boroughs may be added by Order in Council, and smaller boroughs may submit schemes voluntarily. Provision is made for a combined scheme by two or more adjoining local authorities.

Counties, inclusive of smaller boroughs and of town districts, comprise rural areas for the purpose of extra-urban schemes. The authority responsible for the scheme is the County Council, or where more than one local authority is concerned a representative committee approved by the Board.

When a town or extra-urban scheme has been approved by the Board 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 not obligatory, but are intended to serve as a guide to the local authorities within the region.

One of the most important divisions of the town-planning legislation deals with betterment, which is defined as the increase in property values attributable to the approval or carrying-out of a town-planning scheme. Briefly, one-half of betterment increase in the value of rateable property constitutes a debt payable to the local authority by the owner of the land. Within prescribed limits, moneys from this source are to be applied, inter alia, to compensate persons whose lands are acquired for town- or extra-urban-planning schemes, or who are otherwise injuriously affected.

HOUSING.

—The Housing Survey Act, 1935, was passed in October of that year, its purpose being to ascertain the extent to which the existing housing-accommodation in the Dominion fell short of reasonable requirements. The Act applied to every borough (or city) or town district whose population was estimated by the Government Statistician to be not less than one thousand at 1st April, 1934, to two suburban road districts, and to any other local authority prescribed by Order in Council. An analysis of the results of the survey carried out under the authority of the Act will be found in the section of this Year-Book dealing with “Building and Construction.”

Under section 28 of the State Advances Corporation Act, 1936, the Corporation is empowered to make loans to local authorities for the acquisition of land for the erection of workers' dwellings, or for any other purpose in relation to workers' dwellings. As part of the Government's housing plans, finance has been made available to local authorities at an interest-rate of 3 per cent. for the purpose of erecting municipally-owned workers' dwellings for letting at low rentals. Applications by local authorities for loans under this arrangement must be approved by the Local Government Loans Board and by the Minister of Finance.

By the Rural Housing Act, 1939, local authorities are empowered to advance moneys to a farmer for the purpose of enabling him to provide a dwelling for his own use or for the use of any farm worker who is principally employed by him, the money in the first place being supplied by the State Advances Corporation (see p. 312 of this volume).

The Local Authorities (Temporary Housing) Emergency Regulations 1944 empower local authorities to establish and maintain transit housing centres for the purpose of providing temporary accommodation for persons who are awaiting the allocation of State rental houses or the provision of other housing accommodation.

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, licenses, rents, &c.; 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 shown above, are given for each of the last eleven years. As stated earlier, the figures quoted here and elsewhere in this section do not cover the operations of Hospital Boards.

Year ended 31st March,Revenue fromTotal Revenue.Receipts not Revenue.Total Receipts.
Rates.Public Utilities, Licenses, Rents, &c.Government.
 ££££££
19335,237,6888,462,628450,65714,150,9734,433,29418,584,267
19345,541,2558,245,173443,23914,229,6673,821,77918,051,446
19355,511,4428,608,064559,22314,678,7293,943,48818,622,217
19365,585,8558,976,035576,51315,138,4034,348,53419,486,937
19375,994,3539,524,939454,49815,973,7904,252,80320,226,593
19386,541,35410,542,197463,09617,546,6474,389,62021,936,267
19396,971,55011,275,084475,54218,722,1766,254,79224,976,968
19407,289,24012,188,955480,57319,958,7686,772,32726,731,095
19417,344,05512,696,676447,54020,488,2714,651,63325,139,904
19427,441,70412,955,129444,23620,841,0693,175,46724,016,536
19437,764,67713,681,289401,53321,847,4992,640,25224,487,751

Local authorities received by way of rates in the financial year 1942–43 a total amount of £7,764,677, and the sum of £543,037 was raised by licenses, making £8,307,714 altogether from taxation, which sum is equivalent to £5 1s. per head of the mean population (including Maoris).

During 1942–43 rates formed 35.6 per cent. of the revenue proper; public utilities, licenses, rents, and other sources yielded 62.6 per cent.; and 1.8 per cent. came from the General Government.

Of the revenue proper of counties, which amounted to £3,283,287 in 1942–43, no less a sum than £2,219,782, or 67.6 per cent., was raised by way of rates. Town districts, road districts, river districts, land-drainage districts, and urban drainage districts also rely on taxation for the greater part of their income. In the case of boroughs, electric-power districts, and Harbour Boards, on the other hand, rates supply a considerably smaller proportion of the total revenue. During 1942–43 this source of income accounted for 45.2 per cent. of the total revenue of boroughs, the corresponding proportion for Harbour Boards and electric-power districts being 11.1 per cent. and 0.08 per cent. respectively.

LOCAL AUTHORITIES.—RECEIPTS, 1942–43

 Revenue from 
Rates.Public Utilities, Licenses, Rents, &c.Government.Receipts not Revenue.Total Receipts.
 £££££
Counties2,219,782854,276209,229659,9413,943,228
Boroughs4,643,0865,479,029142,8101,360,92311,625,848
Town districts112,70944,8165,50215,391178,418
Road districts61,0556,7601,6013,48872,904
River districts95,77925,195..15,728136,702
Land-drainage districts73,5422,453..5,06781,062
Electric-power districts3,1283,746,875..137,1923,887,195
Water-supply districts2,94545....2,990
Urban drainage districts265,9023,494..51,294320,690
Urban transport districts13,3241,288,322....1,301,646
Railway district..21,228....21,228
Gas-lighting district..77,368..37,651115,019
Rabbit districts45,24027,46635,2038,944116,853
Fire districts..275,8304,44018,183298,453
Harbour Boards228,1851,828,1322,748326,4502,385,515
Totals7,764,67713,681,289401,5332,640,25224,487,751

Revenue proper in 1942–43 was £1,006,430 greater than in 1941–42, while receipts other than revenue were less to the extent of £535,215. Rates accounted for £322,973 of the revenue increase, public utilities, licenses, rents, &c., for £726,160, while revenue from the General Government declined by £42,703. Of the increase in the amount of rates collected, additional levies for hospital purposes accounted for £232,480.

Of the total rates (£7,764,677) collected during 1942–43, general rates levied brought in £3,516,583 and other rates (including penalty on overdue rates) £4,248,094. Of the latter, £3,033,327 was received by boroughs and £976,414 by counties. The whole of the rates collected by Harbour Boards (£228,185) were classed as general rates.

It is of interest to note that for the year 1942–43 the total of all rates collected by counties was equal to £7.12 per £1,000 of rateable capital value (land and improvements). The corresponding figure for boroughs was £15.28, for independent town districts £14.95, and for dependent town districts £7.08 (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, Licenses, Rents, &c.

—Rates are not the only form of local taxation. Local authorities derive a certain amount of revenue from publicans' licenses, heavy-traffic fees, motor-drivers' licenses, drivers' (other vehicles) licenses, auctioneers' and hawkers' licenses, building permits, dog-taxes, pound-taxes, tolls, &c. Sources of revenue not classed as taxation are rents, fines and penalties, market dues, sales of material, sales of light and power from gasworks and electric-supply works, tramway and omnibus receipts, interest on deposits, wharf dues, &c.

Of a total revenue of £5,479,029 accruing to boroughs under this head in 1942–43, £1,090,956 represented tramway and omnibus receipts, £1,938,705 sales of electric light and power, and £490,826 sales of gas. Comparable figures for 1941–42 were £5,102,509, £970,784, £1,895,566, and £476,910 respectively.

Receipts from General Government.

—A statement of revenue receipts by local authorities from the Government during the last five financial years is given in the next table.

 Year ended 31st March,
1939.1940.1941.1942.1943.
 £££££
Rates on Crown and Native lands8821,2653,8776351,070
One-third of receipts from land sold on deferred payment or held on perpetual lease5,8715,8664,8024,0433,135
One-fourth of rents from small grazing-runs5921,117324240228
Timber and flax royalties12,34214,91412,63117,65416,498
Goldfields revenue and gold duty23,57225,01121,42621,58816,766
Subsidies on rates239,103235,253242,070247,530248,351
Petrol-tax176,754182,300144,095131,924102,179
Fees and fines4,3124,9946,8505,3092,898
Other revenue receipts12,1149,85311,46515,31310,408
Totals, Revenue Account475,542480,573447,540444,236401,533

In addition to the revenue receipts shown above there are special grants from the General Government for various local works of a public or semi-public character. The total under this heading for 1942–43 was £1,328,060, as compared with £1,649,610 in 1941–42. Of the 1942–43 amount, £214,638 (‡910,461 in 1941–42) was on account of subsidies from the Labour Department, and £357,455 (‡500,437 in 1941–42) from the Main Highways Account. Of these grants in 1942–43 for special works, &c., counties received £523,740 and boroughs £760,209. Of the amount received by boroughs, approximately £507,000 was on account of subsidies in connection with the Emergency Precautions Schemes, while counties received approximately £7,000 for the same purpose. The total receipts from the General Government in 1942–43 were £1,752,804. including, in addition to the revenue items and special grants quoted above, £21,211 by way of loans from the State Advances Corporation, and £2,000 advances from the Main Highways Account. The 1941–42 total was £2,244,237, including £145,462 loans from the State Advances Corporation, and £4,929 advances from the Main Highways Account.

EXPENDITURE.

—The expenditure of local authorities during each of the last eleven years has been as follows:—

Year ended 31st March,Works and Utilities (Construction and Maintenance).Hospital Board Levies:Administration.Interest on Loans and Overdraft.Other.Total Expenditure.
 ££££££
193311,584,311574,960907,6593,877,3401,940,90318,885,173
193410,754,446592,092879,2763,476,7672,035,21117,737,792
193511,656,773601,448875,3173,362,0132,249,34018,744,891
193612,250,661622,512998,9983,243,3862,221,68519,337,242
193713,164,376717,0841,001,5043,120,6522,219,09920,222,715
193814,672,484821,6971,034,6463,031,7932,490,52722,051,147
193917,170,464943,5291,354,2493,029,9902,580,70325,078,935
194017,413,2421,093,4791,350,0113,034,7532,817,71025,709,195
194116,120,898966,2211,371,4343,030,8023,237,27324,726,628
194215,114,2551,066,3831,439,9182,928,1723,523,36424,072,092
194313,802,8651,315,9971,385,2272,806,1463,918,19923,228,434

Included in the total of other payments for 1942–43 is an amount of £2,191,163 in respect of amortization of debt and £265,748 for exchange, the bulk of which related to interest payments. Comparable figures for 1941–42 were £1,977,124 and £203,399 for amortization and exchange respectively. Other payments in 1942–43 also include amounts of approximately £759,000 and £23,000 expended by boroughs and counties respectively in connection with Emergency Precautions Schemes.

The main items of expenditure of the various classes of local authorities during 1942–43 is shown below.

Works and Utilities (Construction and Maintenance).Hospital Board Levies.Administration.Interest on Loans and Overdraft.Amortization of Debt.Total Expenditure.*
* Including other Items.
 ££££££
Counties2,063,289607,401328,515281,121262,1523,698,662
Boroughs6,710,504683,289462,2611,272,358955,27011,042,092
Town districts80,77915,91622,09420,65016,907164,939
Road districts28,9899,3914,87810,3154,73865,919
River districts72,657..13,83321,17214,008124,319
Land-drainage districts38,454..7,47915,38211,45273,847
Electric - power districts2,225,570..264,380505,283408,8383,615,488
Water - supply districts1,598..5673544833,002
Urban drainage districts73,305..20,804116,48368,528312,787
Urban transport districts766,786..54,417105,338190,8181,235,451
Railway district12,202..3,3075731,00021,615
Gas-lighting district64,080..5,4396,4275,18189,323
Rabbit districts98,947..12,731508564115 241
Fire districts257,155..8,62018,78417,368316,883
Harbour Boards1,308,550..175,902431,398233,8562,348,866
Totals13,802,8651,315,9971,385,2272,806,1462,191,16323,228,434

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 31at March,Roads, Streets, and Bridges.Drainage and Sanitation.Waterworks.Houses, Workers' Dwellings, &c.Parks, Gardens, Town Halls, Libraries, Art Galleries, and Places of Public Recreation.Lighting and Power Services.Other Public Works.Totals.
 ££££££££
1933133,417164,08022,3341,2432,0708,01049,540380,694
193476,862105,72937,062102,44621621,054243,379
193579,205126,972144,10635010,384136,421397,439
1936123,314109,490201,8556,89038,12394910,095490,716
1937215,76089,269142,9702,00553,2702223,444526,740
1938226,127165,62378,009121,38833,8509,735109,303744,035
1939172,797156,457131,451145,91654,53515,735125,227802,118
1940148,191151,350142,910121,65973,49348,89355,950742,446
1941135,740103,297125,68717,97249,94482,97724,068539,685
194256,08349,003250,69812,8267,48438,42816,539431,061
194312,78914,056115,91332,2184,46723,2735,109207,825

ASSETS AND LIABILITIES.

—The assets and liabilities of local authorities at the end of the financial year 1942–43 were as shown in the table following.

 Assets.Liabilities.
Cash Assets.Other Assets (as estimated in published Balance-sheets).Debentures and other Securities: Net Indebtedness.Inscribed Stock, i.e., Loans from Treasury under Local Bodies Acts.Other Liabilities (Bank Overdrafts, Temporary Loans, Outstanding Accounts, &c.).Total Net Liabilities.
 ££££££
Counties1,829,3422,554,3835,457,231569,570251,9356,278,736
Boroughs5,710,45535,861,05925,177,585535,603850,07926,563,267
Town districts82,854470,892392,8004,48215,817413,099
Road districts18,610149,910227,5984,0554,068235,721
River districts76,721249,158451,34914,44611,267477,062
Land - drainage districts52,31166,806270,78233,82211,644316,248
Electric - power districts3,442,04716,105,79310,755,336..671,44711,426,783
Water - supply districts5371,5997,789....7,789
Urban drainage districts139,3051,318,2502,329,828..2,3552,332,183
Urban transport districts265,2953,126,8891,806,335..95,1431,901,478
Railway district422184,351....1,6881,688
Gas - lighting district22,514228,838146,134..7,223153,357
Rabbit districts78,87925,9771,769..8,99210,761
Fire districts109,261932,436402,475..56,360458,835
Harbour Boards1,889,63716,660,8967,721,540..266,9837,988,523
Totals13,718,19077,937,23755,148,5511,161,9782,255,00158,565,530

The figures shown in the column “Other assets” are taken from the respective balance-sheets, but are far from complete, inasmuch as no valuations are made for certain items. This applies particularly to roads, which, although representing considerable wealth to the community, do not figure at all in the assets. In this connection it may be mentioned that the greater part of the expenditure of counties and road districts goes in this direction, while in the case of boroughs 19 per cent. of the loan-money expenditure during the last five years was on roads, streets, and bridges. Assets of local authorities as returned for the last eleven years are as under.

As at 31st March,Cash Assets.Other Assets (estimated).As at 31st March, Cash Assets.Other Assets (estimated).
 ££ ££
193310,646,33667,323,29819399,981,22271,892,826
193411,176,56267,118,852194010,679,40674,492,688
193511,875,26867,324,158194111,119,95875,802,937
193612,144,80467,168,849194211,324,47877,482,820
193711,508,74466,688,860194313,718,19077,937,237
193811,361,08069,792,113   

Cash assets are made up chiefly of loan balances, reserve investments, and cash in hand. Sinking funds, which amounted to £8,820,545 at 31st March, 1943, do not appear in the foregoing table, but are shown as a deduction from the gross loan indebtedness of local authorities. Other assets are comprised mainly of fixed assets and of stocks of stores and materials.

Boroughs are responsible for 45.4 per cent. of the total assets, electric-power districts for 21.3 per cent., and Harbour Boards for 20.2 per cent. Counties show the comparatively low percentage of 4.8, but this is due to the fact that practically the whole of county expenditure goes on roads, bridges, &c., 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 £7,483,826 at 31st March, 1943, bringing the total (excluding sinking funds) for all local authorities to approximately £99,139,000.

INDEBTEDNESS.

—Prior to 1935–36 it was customary to classify the local-authority debt into loans from the State Advances Corporation, loans from the Main Highways Account, inscribed debt—i.e., inscribed stock exchanged for debentures under the Roads and Bridges Construction Act, 1882—and non-governmental loans. The last-mentioned comprise by far the greater part of the debt, and consist mainly of debentures issued to the public. Owing, however, to the operation of the Local Authorities Interest Reduction and Loans Conversion Act, 1932–33, a considerable number of State Advances loans have lost their identity through being included in conversion schemes with non-governmental loans, so that it is no longer practicable to show them separately. Loans from the Main Highways Account being comparatively insignificant in total (approximately £43,000), it is felt that no useful purpose is served by a separate classification. Commencing with 1935–36, therefore, the debt appears under two headings only: (1) Debentures and other securities, and (2) inscribed debt. The reason for retaining the identity of inscribed debt is that it is fundamentally different from the usual type of loan. Originating in the early days of the present system of local government, it arose out of a recognition by the General Government that the primary functions of local authorities, such as road-making, were of national importance, and money was advanced on very favourable terms. The loans were for long terms at low interest-rates, with no provision for repayment, the position being that as soon as a local authority met its final instalment of interest the loan was ipso facto extinguished. Loans of this nature are vastly different from what is usually connoted by the term.

The total gross debt of local authorities at 31st March, 1943, was £65,131,074, made up of: Debentures and other securities (including loans from the State Advances Corporation), £63,926,182; loans from Main Highways Account, £42,914; and inscribed debt, £1,161,978. The net indebtedness (i.e., after deducting accumulated sinking funds from debentures and other securities, and making an actuarial estimate of the liability for inscribed debt on an assumed table-loan basis) was £55,328,901.

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 31st March, 1943, becomes ‡(N.Z.)67,246,405, and the net indebtedness ‡(N.Z.)57,444,232.

Since the passing of the Local Government Loans Board Act, 1926, borrowing has been on a much lower scale than had been the case for some years. During the first four years of its operation (April, 1927, to March, 1931) the net increase in the debt aggregated £8,673,789, a yearly average of £2,168,447, or less than half the average increase of the previous eight years. After 1930–31 there was an almost progressive decline for many years, the total decrease to the end of 1937–38 being £4,625,085. A sharp rise of £1,280,296 in 1939–40 was followed by a further decline of £4,355,896 during the next three years—i.e., to 31st March, 1943. During the last ten years the total amount of outstanding loans of local authorities has fallen by £7,344,982, or 10.13 per cent. Part of the decrease following 1932–33 was due to conversion operations, in which accumulated sinking funds were utilized for repayment purposes, and it should be noted that in 1936 the whole of the debt of the Southland Electric-power Board (£1,638,134 gross, £1,237,307 net, at 31st March, 1936) was taken over by the General Government.

The following summary of the operations of the Local Government Loans Board during the last eleven years shows concisely the trend of local authority borrowing during that period. Hospital Boards are included in this instance.

  Sanctioned.
Year.Total Applications.New Works.Redemption Loans.
 £££
1933–343,884,132917,5602,744,245
1934–353,859,3631,585,4402,379,955
1935–364,061,0761,550,6902,051,790
1936–372,804,3082,411,358430,313
1937–383,362,1733,098,445122,758
1938–395,138,9173,013,8721,188,525
1939–402,674,4501,701,460355,800
1940–415,336,6402,709,5051,602,670
1941–424,589,6531,898,0961,391,728
1942–433,336,7801,497,1201,121,000
1943–443,999,6651,349,3352,359,755

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.

 Debentures and other Securities.*Inscribed Debt.Total Debt.
At 31st March,Gross Debt.Net Debt (i.e., less accumulated Sinking Funds).Gross Debt.Present Indebtedness (actuarially computed).Gross Debt.Net Debt.
* Including loans from State Advances Corporation and from Main Highways Account.
 ££££££
193370,608,35460,239,8631,867,702662,76972,476,05660,902,632
193470,148,17759,245,8501,821,210608,88671,969,38759,854,736
193569,504,65958,995,2541,740,799556,59671,245,45859,551,850
193668,746,07958,732,4361,654,097505,68170,400,17659,238,117
193766,950,37857,463,3701,609,372457,51468,559,75057,920,884
193866,487,01356,995,4411,573,938409,28668,060,95157,404,727
193966,678,21556,988,0801,528,459361,44268,206,67457,349,522
194068,006,31958,041,7461,480,651314,61269,486,97058,356,358
194166,544,30757,631,5161,430,380268,72067,974,68757,900,236
194265,332,78556,555,4691,313,205223,63966,645,99056,779,108
194363,969,09655,148,5511,161,978180,35005,131,07455,328,901

In addition to the scheme of State advances, there exists a system whereby the State guarantee to the payment of interest and principal, in the event of default by the local authority, may be obtained by the borrowing authority. The amount outstanding in respect of local-authority loans guaranteed by the State aggregated £111,657 at the 31st March, 1943, sinking funds in respect of these loans totalling £26,527. Included in these figures is one loan (‡1,500; sinking fund, £1,292) of a Hospital Board. The total amount outstanding at 31st March, 1942, was £224,294, against which there were accumulated sinking funds amounting to £105,120.

Of the total net indebtedness of £55,328,901 at the 31st March, 1943, boroughs were responsible for £25,253,321, which represents 8.2 per cent. of their rateable capital value. In the case of counties, which have a much less per caput expenditure on works, &c., the aggregate net indebtedness was £5,551,836, and the percentage of rateable capital value only 1.8.

The following table shows, per head of the population, the gross debt of local authorities and the annual charge thereon for the last eleven years.

As at 31st March,Population.Gross Debt.Annual Loan Charge.
Amount.Rate per Head.Amount.Bate per Head.
  ££s.d.££s.d.
19331,538,02872,476,05647254,919,221340
19341,550,12571,969,38746874,449,7772175
19351,560,99271,245,4584512104,421,5062168
19361,573,92770,400,176441484,395,75821510
19371,587,21168,559,750433114,446,7062160
19381,604,47968,060,95142854,457,8742157
19391,624,71468,206,674411974,602,0622167
19401,640,90169,486,970426114,726,0742177
19411,636,23067,974,6874110104,806,9012189
19421,634,33866,645,990401574,823,8472190
19431,634,09465,131,074391724,822,9752190

It should be noted that the debt of electric-power districts shown in the following table does not represent the complete local-authority debt on account of electric power activities, since a considerable portion of the borough debt, and a small part of the county and town district debt also, was incurred for that purpose.

As at 31st March,Counties and Road Districts.Boroughs and Town Districts.Urban Drainage Districts.Urban Transport Districts.Electric-power Districts.Harbour Boards.Other Districts.Totals.
 ££££££££
19337,897,13333,355,2672,690,0133,495,05013,031,93610,620,4421,380,29172,476,056
19347,810,38032,905,0342,672,8073,492,61713,213,67910,496,5331,378,93771,969,387
19357,593,07732,527,5962,629,4443,172,96313,399,05310,524,7881,398,53771,245,458
19367,343,40832,184,8662,646,6733,140,58213,484,98810,218,6721,380,98770,400,176
19377,209,25431,895,6792,742,3383,141,77212,026,68710,152,1281,391,89268,559,750
19387,135,87431,868,4572,744,9393,105,81311,890,0319,894,1151,421,72268,060,951
19397,124,33531,774,2102,736,4922,860,52212,471,3159,746,9401,492,86068,206,674
19407,156,11431,932,6002,750,2393,070,46513,114,6889,960,6391,502,22569,486,970
19417,095,90031,166,8012,751,359,2,445,9453,106,7749,927,5781,480,33067,974,687
19426,992,93030,722,0372,733,9172,397,45912,499,0469,796,6471,503,95466,645,990
19436,685,00029,841,3392,708,4182,232,18212,376,5589,790,6591,496,91865,131,074

The debt of road districts at 31st March, 1943, which is included with that of counties, was £242,292; the town district debt at the same date was £453,088. The debt of “other districts” at 31st March, 1943, was mainly that of river districts (£511,282), land drainage districts (£354,207), and fire districts (£466,001).

Domicile of Debt.

—A five-years summary of the domicile of loans outstanding, other than inscribed debt, is given hereunder.

At 31st March,Amount.Percentage of Total.
New Zealand.United Kingdom.Australia.New Zealand.United Kingdom.Australia.
 £££Per Cent.Per Cent.Per Cent.
193951,921,35512,775,5251,981,33577.8719.162.97
194053,457,87412,284,2252,264,22078.6118.063.33
194154,453,0719,893,0252,198,21181.8314.873.30
194253,907,2429,381,8252,043,71882.5114.363.13
194353,656,4988,461,3251,851,27383.8813.232.89

During 1942–43 the amount domiciled in New Zealand decreased by £250,744, that in Australia by £192,445, and that in the United Kingdom by £920,500.

Debt Charges.

—Particulars of the annual loan charge of local authorities during each of the last eleven years are as follows:—

At 31st March,On Debentures and other Securities.On Inscribed Debt.Total.
 £££
19334,852,07267,1494,919,221
19344,384,55765,2204,449,777
19354,359,55161,9554,421,506
19364,337,36058,3984,395,758
19374,390,02556,6814,446,706
19384,402,45055,4244,457,874
 £££
19394,548,27653,7864,602,062
19404,674,02252,0524,726,074
19414,756,70150,2004,806,901
19424,777,85445,9934,823,847
19434,782,32440,6514,822,975

Amortization charges are included in the above, the amount payable during 1943–44 on debt other than inscribed debt at 31st March, 1943, being £2,128,848. Interest charges payable during 1943–44 on the debt (other than inscribed debt) outstanding at 31st March, 1942, aggregated £2,653,476, payable, according to countries of domicile, as follows: New Zealand, £2,134,915; Australia, £96,564; United Kingdom, £421,997 (excluding exchange).

The loans outstanding, other than inscribed debt, at 31st March, 1943, are classified below according to domicile, and also according to rate of interest. Reference should be made to observations on page 402 in regard to the currencies in which local-authority debts are expressed.

Rate of Interest, per Cent.Domiciled In New Zealand.Domiciled in United Kingdom.Domiciled in Australia.Totals.
* Under Hawke's Bay Earthquake Act, 1931.
 ££££
Free of interest*61,329....61,329
3908,561..9,900918,461
3 ⅛45,800....45,800
3 ¼1,893,107....1,893,107
3 ⅜8438,566....438,566
318,500....18,500
3 ½8,624,310....8,624,310
3 ⅝627,776....627,776
339,277....39,277
3 ¾713,850....713,850
3 ⅞370,157....370,157
3 ⅞500,585....500,585
41,470 672201,800..1,672,472
4 ⅛461,881....461,881
4 ¼36,268,941156,000380,00036,804,941
4 ⅖174,505..7,554182,059
4 ½339,6141,305,725..1,645,339
4 ⅗342,500..15,000357,500
4500....500
4 ¾....209,612209,612
4 ⅕342,233....342,233
55,9144,555,70013,0004,574,614
5 ⅕1,000....1,000
5 ¼..1,024,60051,5001,076,100
5 ½9201,217,500441,9251,660,345
5....130,000130,000
5 ¾6,000..592,782598,782
Totals53,656,4988,461,3251,851,27363,969,096

The average rates of interest work out as follows: New Zealand, 3.98 per cent.; United Kingdom, 4.99 per cent.; Australia, 5.22 per cent.; total, 4.15 per cent.

The interest-rates quoted are those applicable to the amount of debt outstanding. They have not been adjusted to the prices at which the respective loans were raised—e.g., where a loan was issued below par the rate of interest on the sum actually received (omitting the question of flotation expenses) would be higher than the rate shown above.

Interest Reduction and Loans Conversion.

—As part of a general policy of a reduction in interest-rates, the National Expenditure Adjustment Act, 1932, imposed, inter alia, a stamp duty of 10 per cent. on interest derived from local-authority securities. The proceeds, less 5 per cent. as administrative charges, were paid to the respective local authorities. This duty was abolished by the Local Authorities Interest Reduction and Loans Conversion Act, 1932–33, which followed somewhat similar legislation dealing with the public debt. Interest-rates on local-authority securities in excess of 4 ½per cent. per annum were reduced by 20 per cent., or to a minimum of 4 ½ per cent. Local authorities were also empowered to draw up individual conversion schemes at a lower and more uniform rate of interest. Dissentients to any such scheme were penalized by a reduction of 33 ⅓ per cent. below the original rate.

The provisions of the Local Authorities Interest Reduction and Loans Conversion Act, 1932–33, ceased to operate on 31st December, 1935, at which date 90 per cent. of the debt convertible at the 31st March, 1933, had been converted; but provision was contained in section 20 of the Finance Act (No. 2), 1935. for voluntary conversion to be carried out under the provisions of the principal Act.

The Local Authorities Interest Reduction and Loans Conversion Amendment Act, 1934, limited future borrowings to an interest-rate not exceeding 3 ½ per cent., with provision, however, for varying the rate by Order in Council under the Local Government Loans Board Act, 1926. In May, 1939, the maximum was raised to 4 ¼, per cent.

Loan Maturities.

—The following table classifies loans (other than inscribed debt) according to years of maturity and countries of domicile.

Years of Maturity (ended 31st December).New Zealand.United Kingdom.Australia.Total.
 ££££
Prior to and during 19453,573,6901,830,500207,9005,612,090
1946–5011,838,8181,917,025348,15814,104,001
1951–5511,396,905931,800102,93312,431,638
1956–6014,084,0753,080,000123,89517,287,970
1961–659,549,440702,000834,38711,085,827
1966–702,416,660  2,416,660
1971–75690,727..234,000924,727
1976–7872,989....72,989
Unspecified33,194....33,194
Totals53,656,4988,461,3251,851,27363,969,096

Table loans account for £16,237,168 of the above total, loans in which a number of debentures are redeemed each year for £28,693,663, and loans with one fixed maturity date for £19,038,265. 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.

Chapter 26. SECTION 26.—VALUATION OF LAND

SYSTEM AND PROCEDURE.

—The existing law relating to the valuation of land in New Zealand is contained in the Valuation of Land Act, 1925 (a consolidation of previous legislation), and its amendments of 1926, 1927, 1932, and 1933. A brief historical account appears in the 1932 and earlier Year-Books.

The work of the Valuation Department is directed by the Valuer-General. The actual work of valuation is 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. The Valuation of Land Amendment Act, 1927, provides that, in any revaluation of property in a borough rating on the unimproved value, the unimproved value only or the value of improvements only may be ascertained, the capital value being adjusted accordingly.

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” Any increased value, however, which is represented by the improvements effected by the individual possessor, either past or present, does not form part of the “unimproved value.”

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. Land containing or supposed to contain oil, coal, or other mineral deposits is valued as for the surface use only.

THE VALUATION ROLL.

—The Valuation of Land Act directs the preparation of a valuation roll for each district, setting forth in respect of each separate property the following particulars:

  1. The name of the owner of the land and the nature of his estate or interest therein, together with the name of the beneficial owner in the case of land held in trust:

  2. The name of the occupier within the meaning of the Rating Act:

  3. The situation, description, and area of the land:

  4. The nature and value of the improvements on the land:

  5. The unimproved value of the land:

  6. The capital value of the land:

  7. Such other particulars as are prescribed.

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.

In December, 1932, the Urban Farm Land Eating Act (amended in 1933, 1935, and 1944 was passed with the object of giving some rating relief to farm lands subject to rates levied by Borough (or City) Councils, Independent. Town Boards, and certain Road Boards. The Act provides for the preparation of farm-land rolls, which are deemed to be part of the valuation roll for rating purposes.

After the values in a district have been revised a new valuation roll is prepared, and the Valuer-General addresses to each person whose name appears thereon a notice setting forth the values at which his property is entered, and naming a date on or before which all objections (in writing) to the values must be lodged.

THE ASSESSMENT COURT.

—The Valuer-General refers objections to values to the District Valuer to enable him to review valuations before the sitting of the Assessment Court. If after careful reconsideration by the District Valuer it is decided that an objection will be allowed or a reasonable compromise effected, the valuation is altered accordingly. On the other hand, if the Valuer-General considers that the valuer's estimates are fair, the objection is heard and determined by the Assessment Court.

The Assessment Court consists of three members, of whom one—the President, who must be a barrister or solicitor of the Supreme Court of New Zealand—is appointed by the Governor-General in Council. Of the other two members of the Court, one is appointed by the Governor-General in Council, and the other by the local authority of the district whose roll has been revised, or by two or more local authorities acting in unison, provided the appointee is not a member of, or a paid officer of, any local authority. The Valuation of Land Amendment Act, 1927, provides for assessors representing local authorities to be elected (after nomination by two or more ratepayers) by a meeting of ratepayers convened for the purpose.

If the objection to the valuation is allowed, the new valuation is deemed to be entered on the valuation roll, for rating purposes, as at the date of revision as directed by the Governor-General in Council. In the case of objections to revaluations under section 3 of the Valuation of Land Amendment Act, 1933, any amendment made by the Assessment Court shall be deemed to be entered in and to appear on the district valuation roll on the 31st day of March in the year following the calendar year in which notice is duly given to the Valuer-General to make a new valuation. If the objection is disallowed, the owner may within fourteen days after the hearing by the Assessment Court, give notice to the Valuer-General that ho requires the capital value to be reduced to the value which he (the objector) 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 His Majesty at that value or sold in the prescribed manner.

If the Valuer-General is of the opinion that the Assessment Court has made an unfair reduction in a valuation he may, within fourteen days of the hearing, require the owner to consent to what he (the Valuer-General) considers is the fair selling 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 His Majesty.

The decision of the Assessment Court on any objection is subject to appeal to the Supreme Court on a question of law. On all other questions the decision of the Assessment Court is final. The decision of a majority of the three members constitutes the decision of the Court, but if no two members agree the President's decision is taken.

Owing to the heavy decline in values during the depression years, and the impracticability of a universal revaluation, advantage of the provision enabling new valuations to be made was taken 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 has obtained a revaluation, the new figure or the proportionate part of the previously existing figure is taken, whichever is the lower.

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 Dominion have been made, but portions are revalued from time to time. The figures in the following table, showing valuations over a number of years, therefore represent general valuations up to 1897 only, while for subsequent years the figures have been revised to include the latest valuations of small divisions.

GROSS CAPITAL AND UNIMPROVED VALUES

Year.Capital Value (Land and Improvements).Unimproved Value of Land (included in previous Column)
 ££
187899,566,67962,573,868
1882101,000,000..
1885113,270,649..
1888111,137,71475,497,379
1891122,225,02975,832,465
1897138,591,34784,401,244
1902154,816,13294,847,727
1905197,684,475122,937,126
1907236,644,536149,682,689
1909271,516,022172,759,948
1911293,117,065184,062,798
1913340,559,728212,963,468
1915371,076,683230,705,147
1916389,164,729241,322,255
1917405,466,071251,087,708
1918421,383,373260,921,812
1919445,533,445275,988,409
1920470,093,697290,880,264
1921518,584,318317,631,245
1922544,503,376329,174,337
1923553,403,794330,790,991
1924568,500,653333,869,581
1925587,349,575339,310,260
1926603,250,306341,047,952
1927618,264,093341,519,107
1928631,454,676335,217,075
1929655,906,887344,757,796
1930664,571,181338,887,411
1931667,911,212331,634,774
1932662,829,264321,798,700
1933653,707,517314,556,174
1934650,362,355309,770,390
1935637,604,203301,137,513
1936635,801,798295,695,574
1937632,229,720287,844,804
1938636,362,641282,326,015
1939652,898,894282,806,212
1940660,524,008278,880,855
1941673,118,250277,541,575
1942681,921,681276,884,859
1943684,180,966276,881,168

Valuations showed a rising tendency for many years, reaching a maximum (so far as unimproved values are concerned) about 1929. After that there was an almost continuous fall to 1943, amounting in all to nearly £68,000,000 (20 per cent.). The fall occurred mainly in rural districts, owing to low prices for farm products in the depression years and to the subsequent writing-down of many mortgages. Between 1931 and 1937 the capital value (which includes unimproved value) recorded a decline of approximately £35,080,000 (5.3 per cent.), but during the next five years an increase of nearly £50,000,000 (7.79 per cent.) took place. Civil building operations fell to a record low level in 1942–43 owing to the large-scale diversion to defence construction; consequently, the increase in capital value in that year amounted to only £2,259,285, as compared with an average of £11,389,760 in the preceding four years.

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

  North Island.South Island.New Zealand.
Year. 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).
 Number      
  ££££££
Counties
1939129214,137,183100,058,034114,625,19667,277,713328,762,379167,835,747
1940129217,801,91699,038,982114,425,34366,438,234332,227,259165,477,216
1941129219,489,13498,283,860116,208,35565,286,386335,697,489163,570,246
1942129220,068,51998,052,602115,823,00064,335,618335,891,519162,388,220
1943129220,351,36898,002,194114,437,40864,229,852334,788,776162,232,046
Boroughs
1939128220,924,16480,794,86996,636,51432,683,697317,560,678113,478,566
1940128222,115,04378,627,30999,282,42932,797,805321,397,472111,425,114
1941127227,890,65878,925,373102,360,80933,066,001330,251,467111,991,374
1942127234,338,26279,416,628104,189,20933,101,578338,527,471112,518,206
1943127236,627,93479,480,333105,195,80233,186,661341,823,736112,666,994
Independent Town Districts
1939345,541,1501,719,7641,034,687272,1356,575,8371,991,899
1940345,851,5371,706,0641,047,740272,4616,899,2771,978,525
1941346,093,1371,706,9141,076,157273,0417,169,2941,979,955
1942346,421,7191,704,9671,080,972273,4667,502,6911,978,433
1943346,490,1721,708,6571,078,282273,4717,568,4541,982,128
Grand Totals
1933..443,818,572205,447,938209,888,945109,108,236653,707,517314,556,174
1934..441,335,409202,184,372209,026,946107,586,018650,602,355309,770,390
1935..428,852,115195,745,066208,752,088105,392,447637,604,203301,137,513
1936..426,426,138191,420,951209,375,660104,274,623635 801,798295,695,574
1937..425,919,391186,608,086206,310,329101,236,718632,229,720287,844,804
1938..429,671,518183,418,391206,691,12398,907,624636,362,641282,326,015
1939..440,602,497182,572,667212,296,397100,233,545652,898,894282,806,212
1940..445,768,496179,372,355214,755,51299,508,500660,524,008278,880,855
1941..453,472,929178,916,147219,645,32198,625,428673,118,250277,541,575
1942..460,828,500179,174,197221,093,18197,710,662681,921,681276,884,859
1943..463,469,474179,191,184220,711,49297,689,984684,180,966276,881,168

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 1st April, 1943.

 North Island.South Island.New 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).
 ££££££
Counties204,716,63593,414,415107,106,59161,924,621311,823,226155,339,036
Boroughs211,554,19970,799,52494,853,14330,655,607306,407,342101,455,131
Town districts (independent)5,976,0491,587,481989,977253,3516,966,0261,840,832
Totals422,246,883165,801,420202,949,71192,833,579625,196,594258,634,999

Of the gross capital value, counties represent 48.9 per cent., and boroughs and independent town districts 51.1 per cent. For unimproved value the proportions are 58.6 per cent. and 41.4 per cent. respectively.

On the basis of rateable values, counties possess 49.9 per cent. of capital and 60.1 per cent. of unimproved values, as against 50.1 and 39.9 per cent. for boroughs and independent town districts.

Particulars of values for each county, borough, and independent town district were shown in the 1940 and previous numbers of the Year-Book. This information brought up to date and in much greater detail is contained in the Local Authorities Handbook, where similar data are also given for dependent town districts and for road districts.

Chapter 27. SECTION 27.—BANKING AND CURRENCY

BANKING institutions operating in New Zealand may be enumerated as follows:—

  1. The Reserve Bank of New Zealand.

  2. Six trading banks.

  3. The Post Office Savings-bank.

  4. Five trustee savings-banks.

In addition, a number of trading companies, investment societies, &c., 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 1st August, 1934, each of the six trading banks 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.

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 the Dominion. 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 now contributed by the State—the Bank being thus 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 Act, 1939. A résumé of the more important features in connection with the management and functions of the Reserve Bank is given in the 1942 and earlier issues of the Year-Book.

The general function of the Bank is defined in section 10 (1) of the Reserve Bank of New Zealand Amendment Act, 1936, 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.”

These provisions were amplified by section 2 of the amending Act of 1939, which reads 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.”

On the commencement of business on 1st 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 the 1st 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 reserve ratio—that is, the ratio of gold coin and bullion, plus sterling exchange, minus liabilities in currencies other than New Zealand, to the aggregate amount of notes in circulation and other demand liabilities—maintained a percentage of over 95 until August, 1936, after which it fell rapidly to reach 68 at the end of 1936, oscillating between that level and 82 until August, 1938. It then dropped very steeply, and during the greater part of 1939 was little above the statutory limit of 25 per cent. The wartime agreement with the United Kingdom Government, under which the proceeds of the staple exports are credited to the Dominion much earlier than in normal times, and the tardiness in bringing many items to charge consequent on war conditions and arrangements, had the effect of raising the level of sterling exchange, and as a result the net reserve ratio was on a higher level during the earlier stage of the war period. The peak in this connection was reached in May, 1941, the ratio at the end of that month being 54 per cent. Since that date it has fluctuated within fairly wide limits, but the general level in 1943 was below that of the previous two years. The first nine months of 1944 were more or less on a par with 1943, but a sharp rise in October was maintained till the end of the year, the peak being 54 per cent. early in December. As explained later, the Minister of Finance now has power to vary or suspend the minimum ratio.

Details of the liabilities and assets of the Bank at the end of June for the years 1940–44, and weekly averages for the calendar years 1935–44, are shown in the following tables.

LIABILITIES OF RESERVE BANK

Year.Capital and General Reserve Fund.Bank-notes.Other Demand Liabilities.Other Liabilities.Total Liabilities.
State.Banks.Other.
 £££££££
Average for Calendar Year
19351,500,0009,262,5359,709,4515,260,264200,10276,15726,008,569
19361,500,00010,748,1156,397,1848,297,990188,036113,62027,244,945
19371,500,00013,093,3956,073,2179,143,749652,280138,49130,601,132
19381,500,00014,072,6604,170,8556,765,985363,689195,24427,068,433
19391,500,00016,081,5872,777,61710,742,935313,765499,54131,915,445
19401,500,00019,290,8555,894,53214,773,895327,396921,34342,708,021
19411,500,00022,045,9528,864,32411,955,995756,5031,121,87546,244,649
19421,500,00025,764,32212,091,83318,692,9221,412,1641,435,38860,896,629
19431,500,00032,586,60815,575,57126,704,0291,218,7581,763,47479,348,440
19441,500,00037,453,36713,234,44732,987,075916,3242,182,40888,273,621
At End of June
19401,500,00018,616,8726,584,84616,215,093378,486794,99044,090,287
19411,500,00021,843,0877,946,19514,108,318623,916933,53046,955,046
19421,500,00025,528,84617,544,33310,710,2664,699,0611,152,29267,134,798
19431,500,00032,360,44519,080,19930,122,5044,572,7551,843,29489,479,197
19441,500,00037,227,48213,711,69736,741,2061,181,6093,104,82993,466,823

ASSETS OF RESERVE BANK

Year.Reserve.Subsidiary Coin.Advances.Investments.Other Assets.Total Assets.Net Reserve Ratio.*
Gold.Exchange.Marketing.Other.
*i.e., Reserve, less liabilities la currencies other than New Zealand currency, expressed as a percentage of notes and other demand liabilities.
 ££££££££Per Cent.
Average for Calendar Year
19352,859,42420,997,537181,957..1,937,62032,03126,008,56997.63
19362,801,74720,811,194180,6041,290,1122,026,137135,15127,244,94592.11 
19372,801,79118,910,712127,2425,096,029784,1362,782,16499,05830,601,13274.95
19382,801,79113,689,135222,4504,555,1232,803,1742,862,369134,39127,068,43364.96
19392,801,8235,311,963217,4036,095,06113,608,8463,661,654218,69531,915,44527.02
19402,801,84511,121,140133,2163,436,83221,791,0373,028,696395,25542,708,02134.41
19412,801,87416,101,40763,4974,840,71817,095,6723,795,2471,546,23446,244,64943.22
19422,801,87822,468,31048,2266,787,03623,140,1934,189,5861,461,40060,896,62943.50
19432,801;87827,518,92045,8504,475,35432,786,8088,964,9482,754,68279,348,44039.74
19442,801,87833,719,80654,1952,760,05834,860,96211,509,3202,507,40288,273,62143.09
At End of June
19392,801,8395,600,692226,7566,301,16510,625,0003,708,164187,98229,511,59830.25
19402,801,83914,825,826157,5883,756,96819,760,0002,539,502248,56444,090,28742.14
19412,801,87519,967,00151,4485,265,61513,500,0003,772,5691,596,53846,955,04651.11
19422,801,87824,722,57536,41511,959,51622,300,0004,147,3511,167,06367,134,79842.66
19432,801,87829,684,82252,7428,263,68334,953,00010,311,4693,411,60389,479,19737.69
19442,801,87831,597,13252,2828,444,41835,885,00011,734,3402,951,77393,466,82337.29

TRADING BANKS.

The Banking Act, 1908, which consolidated the law of New Zealand relating to the general business of banking in the Dominion, 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 ton years from the date thereof in the case of documents payable on demand or from the due date in the case of other documents.

Part II of the Bills of Exchange Act, 1908, consolidated the law relating to cheques on a bank.

The provisions of sections 113–115 of the Companies Act, 1933 (relating to branch registers), apply to banks incorporated in New Zealand; and those of Part XIII (imposing restrictions on the sale of shares and debentures) apply to companies incorporated outside New Zealand for the purpose of carrying on banking in New Zealand or elsewhere; otherwise the Companies Act does not apply to banks.

With the establishment of the Reserve Bank of New Zealand, which commenced to function on 1st 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. Consolidated Fund receipts from profits on the sale of gold coin were £1,364,118 in 1934–35 and £231,271 in 1935–36.

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 of not less than 7 per cent. of its demand liabilities in New Zealand, and 3 per cent. of its time liabilities in New Zealand. These requirements may be varied by the Governor of the Reserve Bank, acting with the authority of the Minister of Finance, but not so as to be less than the percentages quoted above.

There are six 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 the Dominion. The other four banks, which are predominantly Australian institutions, have in the aggregate much greater capital resources, &c. than the two New Zealand banks. The close Australian affiliations of the Australian banks operating in the Dominion 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.

The Bank of New Zealand is partly State-owned, the New Zealand Government holding preference and long-term mortgage shares to the aggregate value of £2,109,375 out of a total paid-up capital of £6,328,125. Four of the six directors are appointed by the Government, the remaining two by the shareholders. The Bank has also branches in London, Australia, Fiji, and Samoa.

Liabilities and Assets.

Statements of liabilities and assets of the trading banks were gazetted quarterly up to 1934. Since the Reserve Bank commenced operations the trading banks have been required to submit at monthly intervals a return of liabilities and assets in respect of New Zealand business. Averages for calendar years, 1935–44, and figures as at the last Monday in June, 1940–44, are given in the next table.

Notes of trading banks were finally withdrawn from circulation on 1st August, 1936 (see “Coinage and Currency,” post).

LIABILITIES OF TRADING BANKS

Year.Notes in Circulation.Demand Liabilities.Time Liabilities.Total Liabilities.
In New Zealand.Outside New Zealand.In New Zealand.Outside New Zealand.
 £(000)£(000)£(000)£(000)£(000)£(000)
Average for Calendar Year
193573826,04937936,17482364,163
193631430,32972335,52767867,571
1937..35,0681,19332,65847869,397
1938..34,9301,76730,82339667,916
1939..38,0422,21630,17852070,956
1940..47,8302,73530,88327281,720
1941..52,5201,66929,02925683,474
1942..63,56065528,59320393,011
1943..78,54949629,100121108,266
1944..88,64453930,481101119,765
At End of June
1940..49,1132,73131,38725383,484
1941..52,5521,64729,04114183,381
1942..60,38272228,08324189,428
1943..78,99255129,041114108,698
1944..90,37260630,40987121,474

ASSETS OF TRADING BANKS

Year.Coin and Bullion.Reserve Bank Notes.Balances held in Reserve Bank.Overseas Assets.Securities held.Advances and Discounts.Land, Buildings, &c.Total Assets.

* Not available.

† Incomplete.

 £(000)£(000)£(000)£(000)£(000)£(000)£(000)£(000)
Average for Calendar Year
19357703,6315,25021,852*45,861*77,364
19367013,4538,36319,2095,50846,0871,52284,843  
19377223,9189,48013,0637,91049,4281,67787,098  
19388573,9006,7269,1937,88755,9271,82286,312  
19397313,90911,1256,69811,52554,2421,85590,085  
19407034,29215,21114,33516,83047,7201,876100,967  
19417594,45312,46213,63321,02249,7011,932103,962  
19426644,05119,08814,15928,10645,1291,961113,158  
19436224,64527,65011,87337,67243,0211,931127,414  
19447045,16533,51512,58638,56546,8061,921139,262  
At End of June
19407113,91816,21215,55616,20547,4571,882101,941  
19417764,02914,10012,89919,38350,2191,930103,336  
19426524,06016,66613,56128,15144,3211,926109,337  
19435094,83730,11111,16737,69942,0231,926128,272  
19446934,90636,73511,39838,68245,4581,918139,790  

Deposits and Advances.

The weekly averages of total deposits together with the amount per head of mean population, the total advances, and the ratio of advances to deposits for each of the last eleven years, are given in the following table. The percentage ratios of free to fixed deposits are also given, and it will be noted that these show a progressive decline from 85.56 in 1938 to 39.78 in 1944.

Year.Deposits.Advances.
Not Bearing Interest (Free.)Bearing Interest (Fixed.)Ratio of Free to Fixed.Total.*Per Head of Population.Total Amount.Ratio to Deposits.
* Including Government deposits.
 ££Per Cent.££s.d.£Per Cent.
193422,030,53140,281,15854.6963,417,2994017641,389,45765.27
193523,641,19437,315,13663.3661,474,511397044,666,54172.66
193627,412,77437,094,52673.9065,153,972417345,918,43270.48
193731,996,41134,075,14693.9066,842,692424149,199,59273.60
193831,999,89432,360,28398.8965,038,690409755,650,06585.56
193935,216,07131,393,759112.1867,279,451416354,745,80181.37
194044,046,43132,567,750135.2577,364,430475047,954,49961.99
194149,202,55930,747,779160.0280,720,1014991049,746,39761.63
194259,513,74430,320,628196.2890,880,3395510645,439,52050.00
194373,977,31931,152,857237.47106,323,897650143,249,58140.68
194483,680,12632,742,165255.57117,568,290710146,773,49839.78

The average amount on deposit during each of the quarter months since March, 1940, is shown in the next table.

Month.1940.1941.1942.1943.1944.
 £££££
March76,013,31482,250,11388,227,777104,324,479114,124,739
June78,492,57581,093,83087,812,547109,335,263118,891,879
September77,771,60678,135,62893,164,851106,292,158119,627,473
December77,676,08181,053,39597,107,740111,112,496118,359,040

The average amount of advances outstanding during each of the quarter months since March, 1940, is next shown.

Month.1940.1941.1942.1943.1944.
 £££££
March48,551,29851,786,47749,790,86444,741,41847,028,352
June48,263,02451,054,46144,928,16442,148,02646,242,870
September46,475,26948,263,65242,105,90642,362,94046,779,670
December47,734,70850,359,23143,818,59344,416,21050,529,657

The following table shows the movement in advances, Government and other securities held, and deposits during the years 1936–44, the amounts being the averages of the figures for the last Monday of each month. Information on a comparable basis for years prior to 1936 is not available.

Year.Advances.Securities held.Total Advances and Securities.£Total Deposits.Ratio of Advances (plus Securities) to Total Deposits. 
Government.Other.
 £££££Per Cent.
193645,898,6655,211,139296,57451,406,37865,147,22178.91
193749,222,0797,622,533287,78357,132,39566,890,61985.41
193855,659,4347,612,929273,52163,545,88464,112,55999.12
193954,241,25411,263,639261,19965,766,09267,579,82497.32
194047,706,72516,490,489339,02664,536,24078,147,41082.58
194149,631,07320,333,503688,86570,653,44181,269,15786.94
194245,100,67627,192,741913,45073,206,86791,705,84379.83
194343,020,53936,103,0481,569,00480,692,591107,151,32375.31
194446,812,81536,140,5652,424,29985,377,679118,484,54572.06

An analysis of advances of the New Zealand trading banks at quarterly intervals is now published by the Reserve Bank of New Zealand, and the classification as at the last Monday in March of each of the last five years is given in the following table.

Advances toAt end of March,
1940.1941.1942.1943.1944.
Farmers—£(000)£(000)£(000)£(000)£(000)
  Mainly dairy4,8775,1245,3965,0995,595
  Mainly wool5,7735,5465,2705,6555,773
  Mainly meat1,9261,8281,9071,7031,689
  Mainly agricultural330445315370307
  Mixed4,1844,1414,2874,1894,034
Industries allied to primary production—     
  Dairy companies, factories, &c.2,0852,3061,6531,335984
  Freezing-works, meat companies, &c.3,3067,3606,4645,1655,701
  Woollen-mills503248350446240
  Other1,4521,8161,2661,4261,394
Other manufacturing and productive industries4,1904,9374,9024,2174,841
Merchants, wholesalers—     
  Mainly importers1,9222,3562,2021,8201,487
  Others1,0481,2581,1191,1781,443
Retailers3,0263,0902,8042,0242,025
Transport—     
  Shipping8658602236
  Other574518450354351
Local and municipal authorities, public utility concerns670401423462319
Stock and station agents680527490541844
Hotels (public and private), restaurants, &c.1,1131,2711,171807956
Financial companies, societies, &c.1,381789716525737
Professional1,2941,2721,1449881,176
Private individuals4,8584,8214,7384,4624,778
Other2,6753,3212,3932,0222,165
Total advances47,95553,43349,51844,81046,872

Debits and Clearings.

The following table shows weekly averages of bank debits and clearings for each of the years 1934 to 1944.

Year.Debits other than Government.Government Debits.Clearings.
 £(000)£(000)£(000)
193412,7595,2778,120
193513,2021,4097,011
193615,7181,5878,407
193718,7231,8419,956
193817,9651,9959,605
193918,4142,0719,750
194019,3532,39110,800
194119,8442,59611,403
194220,0463,04812,165
194323,0083,60414,211
194424,5673,86015,205

Debits represent the total amount debited to customers' accounts at all branches, and clearings show the total outward exchanges delivered at all branches. These figures, which have been compiled from the weekly returns furnished by the six trading banks to the Government Statistician, give a reliable indication of appreciable changes in the volume of business. Following the depression “low” of 1932 there was a substantial recovery in 1934, which accelerated rapidly during 1935, 1936, and 1937. A slight recession was recorded in 1938, but the upward movement was resumed in 1939 and has since continued, the 1943 increase being a particularly sharp one. It will be noted that the 1944 average was nearly double that of 1934. Government debits with trading banks fell to comparatively small proportions as a consequence of the opening of the Reserve Bank, but an upward movement, accelerated since the outbreak of war, has been in evidence since 1936.

Averages of debits (other than Government) and of clearings for the four or five weeks ending on the last Monday of each of the quarter months from March, 1940, onwards are next given.

Month.1940.1941.1942.1943.1944.
 £££££
Debits, other than Government
March21,838,05326,320,15025,214,26929,627,04829,33.4,783
June19,291,97018,837,65519,588,07223,299,44523,756,399
September18,229,10918,922,11117,824,65520,837,48424,376,321
December21,797,62421,178,87621,153,24524,790,87428,464,513
Clearings
March12,601,28615,296,20715,375,36318,618,72819,064,657
June10,775,13110,669,55912,652,36614,664,40815,241,057
September9,911,67111,460,93211,978,96413,157,80615,468,466
December12,044,54612,005,24712,020,21014,727,17116,832,352

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 1937–44.

Year.Average for Calendar Year.At end of June.
 ££
193724,205,29825,543,819
193823,612,19524,907,085
193923,621,39123,973,221
194029,257,10829,643,228
194132,319,79632,057,178
194234,394,49133,891,804
194335,847,50036,201,863
194437,120,06238,381,075

NOTES IN CIRCULATION.

As indicated elsewhere, the Reserve Bank assumed the note-issuing function on the 1st August, 1934. As from the 10th January, 1935, the notes of the trading banks ceased to be legal tender, while on 1st 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 1935–44, and the position as at the last Monday in June for the years 1940–44.

Year.Note Issue.Less Notes held by Banks.Net Note Circulation.
Notes of Trading Banks.Notes of Reserve Bank.Notes of Trading Banks.Notes of Reserve Bank.
 £££££
Average for Calendar Year
1935758,7729,262,5341,1823,600,1966,419,928
1936312,91510,748,1151143,560,5547,500,362
193713,093,3954,172,3718,921,024
193814,072,6604,083,3249,989,336
193916,081,5874,067,73512,013,852
194019,290,8554,500,14114,790,714
194122,045,9524,611,20117,434,751
194225,764,3214,267,62121,496,700
194332,586,6074,950,45727,636,150
194437,453,3675,351,39532,101,972
At End of June
194018,616,8723,917,75814,699,114
194121,843,0874,028,62617,814,461
194225,528,8474,059,67521,469,172
194332,360,4454,836,85927,523,586
194437,227,4824,905,76332,321,719

The following diagram illustrates the expansion in the note issue in recent years.

The year 1935 witnessed the commencement of an almost continuous upward movement in the note circulation, due 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, &c. Between the months of September, 1935, and September, 1939, the increase in the average note circulation was 98 per cent. Following the outbreak of war, the increase in the note-circulation quickened, the expansion in 1942 and 1943 being particularly sharp. The upward movement continued in 1944, but with a definite slackening in pace. Using the average for the month of December as a basis, there was a rise of £3,063,437 (9.8 per cent.) in 1944, as compared with £5,971,350 (23.8 per cent.) in 1943, and £5,935,738 (30 9 per cent.) in 1942. Between December, 1939, and December, 1944, the increase amounted to 145.6 per cent.

An analysis of the net bank-note circulation at quarterly intervals is compiled by the Reserve Bank of New Zealand, a summary being given in the following table.

Denomination.1941.1942.1943.1944.
June 30thDec. 29thJune 29th.Dec. 28th.June 28th.Dec. 27th.June 26th.Dec. 25th.
 £(000)£(000)£(000)£(000)£(000)£(000)£(000)£(000)
10s.7158107961,0129291,0819631,108
£15,7176,5876,4108,2737,4668,9678,0109,168
£58,5849,66510,59013,50914,13917,68417,24319,853
£109491,2181,5421,9342,2932,7122,9793,362
£501,4501,548 1,7441,9422,3162,5372,7512,588 
Total, Reserve Bank issue17,41519,82821,08226,67027,14332,98131,94636,079
Trading banks’ notes outstanding399390387384381376376371
Total, net note circulation17,81420,21821,46927,05427,52433,35732,32236,450

OVERSEAS FUNDS OF BANKS.

Under section 46 of the Reserve Bank of New Zealand Act, 1933, the trading banks are required to supply returns to the Reserve Bank at monthly intervals, showing, inter alia, overseas assets held and liabilities incurred on account of New Zealand business. From these statements, published in the New Zealand Gazette, and the weekly gazetted statements of assets and liabilities of the Reserve Bank, the following table has been compiled.

Year.Trading Banks’ Overseas Assets.Reserve Bank’s Holdings of Sterling Exchange.Total Overseas Assets.Overseas Liabilities.*Net Overseas Funds.
In London.Elsewhere.
* Prior to 25th July, 1938, these liabilities were wholly those of trading banks.
Average for Calendar Year
 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
193613,263,3075,945,20920,712,87439,921,3901,400,57938,520,811
19379,286,6854,676,45519,303,24433,266,3841,675,72631,590,658
19386,011,2713,181,89613,423,97022,617,1372,169,24220,447,895
19395,068,1341,629,5795,510,10212,207,8152,705,5519,442,264
194012,362,5831,972,41111,706,77920,041,7733,103,08622,938,687
194111,053,6152,578,98915,879,50329,512,1071,942,70727,569,400
194211,346,9812,812,20822,922,25837,081,447903,32036,178,127
19439,955,1591,918,14027,678,17739,551,476714,86738,836,609
194410,672,2941,905,71033,817,28046,395,284767,90145,627,383
At End of June
19394,668,9551,467,1075,600,69211,736,7542,048,5339,088,221
194013,845,3291,710,99514,825,82630,382,1503,000,04627,382,104
194110,022,4082,877,11919,967,00132,866,5281,801,28331,065,245
194210,991,8452,568,86824,722,57538,283,288977,37837,305,910
19438,818,6872,347,98829,684,82240,851,497683,19340,168,304
19449,162,7162,235,39331,597,13242,995,2411,957,38941,037,852

Overseas funds declined heavily during the three years 1937–39, particularly after May, 1938, ascribable to three principal causes—(1) the repatriation of capital temporarily held in the Dominion, (2) over-importation, and (3) investment abroad of New Zealand capital. In December, 1938, the Government took action to check the fall in the sterling funds, and introduced import and export control and also the control of overseas remittances. These measures combined with the earlier crediting of the proceeds of the Dominion's staple exports to the United Kingdom as a result of British governmental purchases and other factors arising out of wartime agreements brought about a marked improvement in the exchange position early in 1940. Although there have been fluctuations from time to time, each subsequent year has witnessed a further improvement in the general level, and the net amount at the end of 1944 was £53,336,909.

OVERSEAS RECEIPTS AND PAYMENTS.

Since the institution of exchange control in New Zealand the Reserve Bank has been able to make a comprehensive statement of the Dominion's foreign exchange transactions for the period during which the control has been operating. Following is a classification of the transactions for each of the years ended on the 31st March, 1940–44.

Year ended 31st March,
1940.1941.1942.1943.1944.
* Previously included in “Unclassified.”
 £N.Z. (000)£N.Z. (000)£N.Z. (000)£N.Z. (000)£N.Z. (000)
Receipts—     
  Exports70,97573,30272,77480,88574,118
  Interest, dividends, legacies, immigrants’ funds, repatriation capital, and private debts due in New Zealand1,5884,2204,2314,3394,901
  Trade debts due in New Zealand, including overseas earnings of New Zealand firms1,7343,4432,8973,6873,216
  Commissions, royalties, and insurance68120166252250
  Donations and allowances342382431290350
  Travellers’ expenses270280268493194
  Receipts on account of American authorities and personnel......5,05716,440
Receipts by High Commissioner in London......599*4,081*
  Unclassified3,505965504395294
Total receipts78,48282,71281,27195,997103,844
Payments—     
  Imports, excluding Government37,86842,01539,62333,10330,836
  Interest, dividends, legacies, emigrants’ funds, repatriated capital, and private debts due overseas3,1873,9353,7823,6433,778
  Trade debts due overseas, including earnings in New Zealand of overseas firms and payments on goods imported prior to introduction of licensing system4,6712,7592,2943,4452,372
  Government debt and other services, including payments in respect of imports14,06419,62834,50146,98148,786
  Local-authority debt services1,6343,6351,8002,0131,414
  Commissions, royalties, and insurance323538549922846
  Donations and allowances547622606565787
  Film-hire and entertainments293343226794619
  Travellers’ expenses72727419872113
  American authorities and personnel......1,8326,318
  Unclassified4315....403
Total payments63,35773,76483,57993,37096,272
Balance+ 15,125+ 8,948- 2,308+ 2,627+ 7,572

POST OFFICE SAVINGS-BANK.

The establishment of the Post Office Savings-bank was authorized by the Post Office Savings Banks Act, 1865, but actual business did not commence until 1st February, 1867. The present authority is contained in the Post and Telegraph Act, 1928. The minimum deposit receivable, except in certain specified cases, is 1s., and no interest is given on any sum less than £1. The present rate of interest on so much of the deposit as does not exceed £500 is 2½ per cent. per annum (from 1st June, 1942) and on so much as exceeds £500 and does not exceed £2,000 the rate is 2 per cent. No interest is payable to any depositor in respect of any amount of his deposit in excess of £2,000.

The Postmaster-General may pay deposits to a maximum of £200 to the legal representative of a deceased depositor without requiring him to take out letters of administration or to prove the will. This provision, together with another provision whereby a depositor may nominate one or more persons to receive part or all of the amount at credit after the depositor's death, enables a widow or orphan to obtain possession of perhaps much-needed funds without either delay or cost.

The number of post-offices open for the transaction of savings-bank business at 31st March, 1944, was 930. There were 127,173 new accounts opened during the year ended the 31st March, 1944, and 85,233 accounts were closed during that period.

Year ended 31st March,Number of Depositors at End of Year.Total Amount of Deposits during YearTotal Amount of Withdrawals during Year.Excess of Deposits over Withdrawals.Interest credited.Total Amount to Credit of Depositors at End of Year.
* Excess of withdrawals over deposits.
  £££££
1934798,26219,428,85317,818,1721,610,6811,231,08944,870,391
1935817,61724,179,53720,946,5623,232,9751,320,34849,423,714
1936840,67125,619,77523,533,5962,086,1791,406,45952,916,352
1937880,85730,676,96927,042,0033,634,9661,514,22058,065,538
1938920,80533,041,08229,629,0743,412,0081,669,38463,146,930
1939946,82230,434,29134,597,708- 4,163,417*1,726,57460,710,087
1940960,56525,151,28729,462,838- 4,311,551*1,603,46758,002,003
1941992,79228,607,22125,319,1463,288,0751,666,71062,956,788
19421,039,78332,044,73425,376,7456,667,9891,820,60571,445,332
19431,086,99638,097,07026,889,33911,207,7311,816,82084,469,933
19441,128,93647,648,75435,580,16512,068,5892,075,67698,614,198

NOTE.—This statement does not include figures in respect of school savings-bank accounts, or national savings investment accounts.

In each of the five years from 1933–34 to 1937–38 deposits exceeded withdrawals by a substantial amount, with the result that the amount to credit of depositors increased by nearly 50 per cent. during that period. In the latter half of 1938–39, and during the first nine months of 1939–40, withdrawals were exceedingly heavy while deposits were on a somewhat lower scale, with the result that an excess of withdrawals amounting to over £4,000,000 was experienced in each of those years. Commencing with January, 1940, this trend was reversed, and transactions during the four years 1940–41 to 1943–44 resulted in a total excess of deposits of £33,232,384 for the four years.

The number of deposits received during 1943–44 was 2,862,882, with an average deposit of £16 12s. 11d., while the number of withdrawals was 1,508,603, the average amount of each withdrawal being £23 11s. 8d. The average amount to credit per open account at the 31st March, 1944, was £87 7s., as against £77 14s. 2d. in 1943, and £52 14s. 7d. at the 31st March, 1933.

The securities standing in the name of the Postmaster-General on account of the Post Office Savings-bank Fund on the 31st March, 1944, represented a nominal value of £99,187,268. A summary of the investments is as follows:—

 £
New Zealand Government securities96,185,051
Local authorities’ securities467,902
Securities held in London2,534,315
 £99,187,268

SCHOOL SAVINGS-BANKS.

The school savings-bank scheme was introduced in August, 1934, mainly for the purpose of encouraging thrift amongst young people. An account for each school is maintained in the school savings-banks section of the Post Office Savings-bank. On a scholar leaving school, provision is made for his or her account to be transferred to the ordinary section of the Post Office Savings-bank. Marked progress has been made during the short period the scheme has been in operation. Each year shows an increase in the number of schools adopting the scheme, with a corresponding increase in the number of depositors and in the amount at credit. The following table shows the figures since the scheme commenced operation.

Year ended 31st March,Number of Schools operating at End of Year.Total Number of Deposit Transactions during Year.Total Amount of Deposits during Year.Total Number of Withdrawal Transactions during Year.Total Amount of Withdrawals* during Year.Excess of Deposits over Withdrawals.Interest credited.Total Amount to Credit of Depositors at End of Year.
* Including transfers to Post Office Savings-bank.
   £ ££££
19358239,5152,5174061732,34412,345
1936236189,91314,5433,6823,16211,3815413,780
1937388248,88022,1796,3068,00214,17729928,256
1938559350,94333,9709,03313,82620,14466049,060
1939764393,89738,85111,72221,36017,4911,11567,666
1940905370,06230,80913,55326,68710,1221,51979,307
1941940365,19337,81213,24929,0388,7741,82189,902
1942961339,43838,27712,22429,7528,5252,089100,517
1943983342,18746,49110,37331,04315,4482,431118,396
19441,016418,60464,41210,94243,42620,9862,986142,368

TRUSTEE SAVINGS-BANKS.

There are five trustee savings-banks—viz., Auckland, established in 1847; New Plymouth, 1850; Dunedin, 1864; Invercargill, 1864; and Hokitika, 1866. The total amount to the credit of depositors at the 31st March, 1944, was £20,913,748, representing an average account of £68 1s. 6d. Figures for the last eleven years are as follows:—

Year ended 31st March,Number of Depositors at End of Year.Total Amount of Deposits during Year.Total Amount of Withdrawals during Year.Excess of Deposits over Withdrawals.Interest credited.Total Amount to Credit of Depositors at End of Year.
* Excess of withdrawals over deposits.
  £££££
1934219,7325,817,8465,741,98975,857301,31410,847,709
1935227,9256,199,2116,073,447125,764312,58911,286,062
1936238,1086,651,5256,487,282164,243323,17711,773,482
1937249,2277,609,3647,240,419368,945337,69812,480,125
1938261,0198,137,4727,638,820498,652360,63913,339,416
1939269,3358,578,0688,430,467147,601378,65913,865,676
1940274,4718,184,1148,523,416- 339,302*380,96013,907,334
1941279,9848,218,8957,763,524455,371395,88814,758,593
1942285,5298,513,9647,570,149943,815427,55016,129,958
1943296,1409,127,0407,341,0431,785,997404,29418,320,249
1944307,22411,013,2588,863,7412,149,517443,98220,913,748

NOTE.—This statement does not include national savings investment accounts.

The following table shows the results of the transactions of each of the trustee savings-banks during the twelve months ended 31st March, 1944.

Bank.Number of Depositors at End of Year.Total Amount of Deposits during Year.Total Amount of Withdrawals during Year.Excess of Deposits over Withdrawals.Interest credited.Total Amount to Credit of Depositors at End of Year.
 ££££££
Auckland213,7506,952,3355,388,8311,563,5042.6,02613,673,769
New Plymouth21,493805,530640,758164,77235,2831,613,522
Hokitika2,36258,30851,8676,4414,245190,317
Dunedin42,9511,230,2661,043,044187,22278,1813,364,309
Invercargill26,6681,966,8191,739,241227,57840,2472,071,831
Totals307,22411,013,2588,863,7412,149,517443,98220,913,748

Following is a summary of trustee savings-banks investments at the 31st March, 1944.

Bank.Mortgages.New Zealand Government Securities.Local Authority Debentures.Fixed Deposits.Total.
* Not shown separately.
 £££££
Auckland3,457,2698,883,0741,615,908*13,956,251
New Plymouth885,856772,54341,008233,3901,932,797
Hokitika69,55579,44518,60245,472213,074
Dunedin1,840,7331,306,209785,89380,0004,012,835
Invercargill667,1651,246,37491,200116,0692,120,808
Totals6,920,57812,287,6452,552,611474,93122,235,765

NATIONAL SAVINGS.

The National Savings Act, 1940, made provision for the issue of savings bonds, in denominations of £1, £10, and £100, and the opening of special savings accounts with the Post Office and the Auckland, New Plymouth, Dunedin, and Invercargill trustee savings-banks. Investments are for a term of five years in the case of bonds, while moneys deposited in savings account are repayable according to the investment period. All amounts lodged prior to 30th June, 1943, are repayable on 30th June, 1945, amounts invested between 30th June, 1943, and 30th June, 1944, on 30th June, 1946, and between 30th June, 1944, and 30th June, 1945, on 30th June, 1947. These investments bear interest at the rate of 3 per cent. per annum. All money invested under this scheme, other than that needed to meet taxation charges on interest, is paid into the War Expenses Account.

The following table summarizes operations under the national savings scheme since October, 1940, when the scheme first came into operation.

National Savings Bonds.National Savings Accounts.Total.
 £££
October, 1940, to 31st March, 1941611,709718,0761,329,785
Year ended 31st March, 19422,642,0082,482,9355,124,943
Year ended 31st March, 19431,504,0942,446,5563,950,650
Year ended 31st March, 19443,123,4287,413,90410,537,332
1944—   
  April31,148269,711300,859
  May56,992467,663524,655
  June110,248628,405738,653
  July53,686352,895406,581
  August96,730405,554502,284
  September856,7082,275,3253,132,033
  October1,262,3281,977,7383,240,066
  November20,785218,443239,228
  December39,117253,221292,338
1945—   
  January19,590176,533196,123
  February20,962226,857247,819
  March44,461326,207370,668
Year ended 31st March, 19452,612,7557,578,55210,191,307
Totals (to March, 1945)10,493,99420,640,02331,134,017

In the 1942–43 season, wool-growers received an increase of 15 per cent. in the price of wool, and a portion of this increase was made payable in national savings bonds, the amount being credited in September, 1943, in which month the total proceeds from bonds amounted to £633,377. The high figures recorded in September and October, 1944, were mainly on account of contributions to the Victory Loan. Similar results were achieved in June and July, 1943, when subscriptions to the 3rd Liberty Loan were being received.

COMPANY, ETC., DEPOSITS.

Statistics of deposits with building and investment societies and trading companies are compiled from returns furnished to the Treasury. The following table shows the amounts held on deposit, classified according to the term of the deposit together with the average rates of interest thereon, as at the 31st March of each of the years 1934–44.

As at 31st March,Building and Investment Societies.Trading Companies.Grand Totals.
At Call or under Three Months.Three Months and under Two Years.Two Years or over.Totals, Building and Investment Societies.At Call or under Three Months.Three Months and under Two Years.Two Years or over.Totals, Trading Companies.
Amount on Deposit
 £££££££££
1934437,257672,5782,128,2753,238,1103,292,7401,004,0311,691,3445,988,1159,226,225
1935621,419612,8421,984,4953,218,7562,756,1871,106,8361,983,3915,846,4149,065,170
1936684,599712,2192,218,8033,615,6212,583,1671,077,7541,887,6485,548,5699,164,190
1937778,907728,4132,481,1803,988,5002,297,4381,100,1091,840,6305,238,1779,226,677
1938804,443755,8112,680,4194,240,6732,154,3071,045,7391,897,1365,097,1829,337,855
1939761,388842,3172,956,9364,560,6412,151,3531,005,7151,927,1425,084,2109,644,851
1940735,746873,4443,205,9314,815,1212,111,4701,148,4451,867,4425,127,3579,942,478
1941748,676928,1093,333,7865,010,5712,163,5581,439,9321,909,2335,512,72310,523,294
1942698,724761,8653,588,9665,049,5552,072,6341,101,8132,520,5675,695,01410,744,569
1943697,615609,7473,669,9754,977,3372,159,0641,060,8442,337,6725,557,58010,534,917
1944700,125502,6053,869,4845,132,2141,635,6651,209,0902,260,8185,105,57910,237,793
Average Rate of Interest
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
19343.293.614.354.054.434.205.194.604.41
19352.843.074.023.613.763.634.824.103.92
19362.842.893.733.403.453.684.553.873.68
19372.792.863.623.323.353.604.383.773.57
19382.652.863.613.303.273.624.253.713.52
19392.672.883.653.343.183.604.233.673.51
19402.692.853.723.402.963.584.243.563.48
19412.702.863.733.412.873.414.273.503.46
19422.392.183.533.171.442.363.642.592.86
19432.081.853.312.961.432.123.552.452.69
19442.121.813.122.841.422.043.442.462.65

SUMMARY OF BANK DEPOSITS.

In the preceding paragraphs statistics of deposits with each of the 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-banks deposits with the Reserve Bank).

 As at 31st March, 1944.
* 27th March.
 £
Deposits with Reserve Bank (excluding Government and trading-banks deposits)529,579
Deposits with trading banks (excluding Government)*113,131,694
Deposits with Post Office Savings-bank98,614,198
Deposits with school savings-banks142,368
Deposits with trustee savings-banks20,913,748
Deposits in national savings accounts13,061,471
Total of above£246,393,058

The foregoing total shows an increase of £32,848,485 as compared with the position at the end of March, 1943.

The above deposits are bank deposits only. As shown above, there were on 31st March, 1944, deposits of £5,132,214 with building and investment societies and of £5,105,579 with trading companies. It should be noted also that other classes of deposit exist—e.g., the Common Fund of the Public Trust Office.

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 1st September, 1932. This was followed by further reductions to 5 per cent. from 1st May, 1933, to 4½ per cent. from 30th November, 1934, and to 4 per cent. from 1st August, 1941.

The Reserve Bank’s minimum discount or rediscount rate for New Zealand bills was originally 4 per cent., but was reduced to 3½ per cent. from 29th July, 1935, to 2½ per cent. from 2nd March, 1936, and to 2 per cent. from 29th June, 1936. The rate was restored to the original 4 per cent. on 19th November, 1938, but was reduced to 3 per cent. from 6th September, 1939, to 2 per cent. from 27th May, 1940, and to 1½ per cent. from 26th July, 1941.

DEPOSIT AND INTEREST RATES.

Trading Banks.—The following is a schedule (since June, 1912) of the rates paid by the Associated Banks in New Zealand for moneys lodged on fixed deposit.

Date operative from.Three Months and Six Months.Six Months and under Twelve Months.Twelve Months and under Twenty-four Months.Twenty-four Months and under Thirty-six Months.
 Per Cent.Per Cent.Per Cent.Per Cent.
1st June, 1912..24
20th January, 192134
20th June, 19214
11th December, 19264
9th May, 192745
9th July, 19284
1st February, 19305
22nd April, 193045
1st August, 19314
1st June, 193234
2nd December, 19323
11th July, 193323
5th July, 19342
2nd November, 1934
18th September, 1940¾
17th July, 1941¾2

Post Office Savings-bank.

Following is a statement of the interest rates payable in respect of Post Office Savings-bank deposits since 1914.

Amount of Deposit.Amount of Deposit.
£1–£300.£301–£500.£501–£1,000.£1,001–£2,000.£2,001–£5,000.

* Rate in existence on 1st January, 1914.

† See paragraph following.

 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
1st January, 1914*544NilNil.
1st January, 192144
1st April, 192844
1st August, 1931
1st April, 19333333
1st August, 1933333
1st August, 193433
1st March, 193533Nil.
1st August, 19413322Nil.
1st June, 194222Nil.

Prior to 1st January, 1914, the maximum deposit in the Post Office Savings-bank on which interest was payable was £600; but on that date the maximum was raised to £1,000. Between 1st January, 1921, and 1st April, 1928, interest was allowed on deposits up to a maximum of £5,000; but, as from the latter date, the maximum deposit on which any interest is payable has been £2,000. In respect of deposits lodged prior to 1st. April, 1928, however, interest at 3¼ per cent. on the excess over £500 was still allowed up to a maximum deposit of £5,000. The rate on the amount between £500 and £5,000 was reduced to 3 per cent. from 1st April, 1933, on the amount exceeding £1,000 to 2¾ per cent. from 1st August, 1933, and on the excess over £500 to 2½ per cent. from 1st August, 1934, and to 2 per cent. from 1st August, 1941. Since 1st March, 1935, interest has not been payable in respect of the excess above £2,000 in any account.

Trustee Savings-banks.

Under the provisions of the Savings-banks Act, 1908, which applies to trustee savings-banks only, these banks were required to pay interest at the rate of 5 per cent. on deposits of £1 and upwards, but not on fractions of £1 or on amounts of under £1. The maximum amount of deposits on which interest was to be paid was fixed at £100 for each depositor; but by the Finance Act, 1921–22, the maximum was raised to £200. It remained at this figure until 1st July, 1945, when it was raised to £500. The banks were empowered to reduce the rate of interest, with the consent of the Governor-General, after three months’ notice given by an advertisement published in the Gazette.

In the National Expenditure Adjustment Act, 1932, provision was made for the fixation by the Governor-General in Council of the maximum rates of interest payable by trustees of savings-banks. Ruling rates immediately prior to July, 1932, varied between 4 per cent. and 4½ per cent.; but, by Order in Council, the maximum interest payable was reduced to 3¾ per cent. as from 1st July, 1932, and to 3 per cent. as from 1st April, 1933. A further reduction to 2½ per cent. was made as from 1st June, 1942.

Company, &c., 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. The maximum rates fixed by subsequent Orders in Council have been:—

Period of Deposit.Deposits (including Renewals) taken after—
30th June, 1932.31st March, 1933.31st July, 1934.17th July, 1941.31st May, 1942.
Stock-and-station Agencies and Trading Companies
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
At call or under 3 months..
3 months and under 6 months44..
6 months and under 12 months2..
1 year and under 2 years4..
2 years and under 3 years553 
3 years and over55..
Building and Investment Societies
At call or under 3 months321..
3 months and under 6 months3..
6 months and under 12 months3..
1 year and under 2 years42..
2 years and under 3 years4..
3 years and over443..
Savings departments3....

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 45) was fixed at 3¼ per cent. by Order in Council dated 26th March, 1945, previous reductions having been made from 5¼ per cent. in 1928, to 4¾ per cent. in 1931, to 4 per cent. in 1932, and to 3½ per cent. in 1933.

Local authorities may also accept deposits (in practice, only for short periods). The present maximum rates of interest (as from 17th July, 1941) on such deposits, as fixed by Order in Council are: Call and under three months, 1 per cent.; three and under six months, 1¼ per cent.; six months and over, 1½ per cent.

References to rates of interest on mortgages will be found in Section 31 (Mortgages), while interest on Government debt is referred to in Section 23c (State Indebtedness), and interest on local-authority debt in Section 25 (Local Government).

COINAGE AND CURRENCY.

New Zealand Coin.—Section 8 of the Finance Act, 1932–33 (No. 2), 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, &c., and were given status as legal tender in New Zealand.

The Coinage Act, 1933, which came into operation on the 1st 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 the 1st February, 1935.

Arrangements were made under which the Royal Mint agreed to remint free of charge the Imperial and Australian silver coin circulating in the Dominion, replacing it with the New Zealand coin referred to above, and to allow the New Zealand Government the bullion value of the coin not used in making such replacement.

The profit accruing to the New Zealand Government from the recoinage on this basis arises from the fact that the Australian coinage and a proportion of the British coinage then in circulation in New Zealand contained a larger proportion of silver than the new coin under the standard set out in the Schedule to the Coinage Act, 1933, which is also the standard governing the present production of Imperial silver coin. In addition, the Commonwealth Government agreed to the repatriation at face value of a proportion of Australian coin circulating in the Dominion.

Up to 31st March, 1944, New Zealand coins have been received from the Mint of a total face value of £3,321,350. Statistics of the face values of the various denominations of coins received to 31st March, 1944, and the value of New Zealand silver coin in circulation at 30th June, 1944, are as follows:—

 Total received.In Circulation.
* Not available.
 ££
Half-crown1,015,100785,582
Florin991,500726,202
Shilling491,500390,098
Sixpence348,000284,019
Threepence386,500338,248
Penny66,250*
Halfpenny22,500*

For the recoinage operations Imperial coin of a nominal value of £946,814 and Australian coin of £266,286 nominal value were forwarded to the Royal Mint, and Australian coin to the nominal value of £82,645 was forwarded to Australia. For the last-mentioned, £82,645 was received, and a further amount of £1,000 in Imperial coin was disposed of at face value to the Royal Mint. Expenses of the Silver and Bronze Coin Account totalled £418,815 to the 31st March, 1944, at which date there was a credit balance of £1,727,357 in the account.

New Zealand silver coinage first came into circulation in 1933, and New Zealand bronze coins were first released for circulation in December, 1939.

Restrictions on Import and Export of Currency.

The Customs Import Prohibition Order now prohibits the importation of all coin (other than silver coin which is over one hundred years old) of whatever metal and wherever and whenever minted and whether or not it is legal currency in New Zealand or elsewhere. Persons arriving in New Zealand are permitted to have with them on arrival silver coin not exceeding £2 in value. The importation of bank-notes of the Bank of England, and of bank-notes issued by banks in Scotland and Northern Ireland, is prohibited. Persons arriving either directly or indirectly from the United Kingdom are prohibited from bringing with them, in the same ship or aircraft in which they arrive, the following items: Gold bullion; money, including bank-notes and other currency (other than silver coin not exceeding £2 in value) and postal notes and money-orders, of New Zealand or of any other country, and including also promissory notes and bills of exchange; securities for money, including bonds, debentures, debenture stock, and Treasury bills, and including scrip or certificates for and documents representing shares, debenture stock, and other stock, and also all other securities for money. The items enumerated are exclusive of promissory notes, cheques, drafts, and other bills of exchange, for sums expressed in sterling currency of the United Kingdom.

The Customs Export Prohibition Order prohibits the exportation of all coin (other than silver coin which is more than one hundred years old) of whatever metal and wherever and whenever minted and whether or not it is legal currency in New Zealand or elsewhere. Persons leaving New Zealand are permitted to take silver coin not exceeding £2; or, if the journey is by direct route (without trans-shipment) to Great Britain or Ireland, silver coin to the value of £5 may be taken.

In the cases of both the Export and the Import Prohibition Orders, power is vested in the Minister to authorize in writing the variation of the provisions mentioned. Prohibitions mentioned in both Orders have effect in addition to and not in substitution for any other prohibition in force relating or applicable to the importation or exportation of any of the items enumerated in the Orders or in any other enactment.

Legal Tender and Issue of Notes.

The Coinage Act, 1933, provides that a tender or payment of money, if made in New Zealand coins of current weight, shall be a legal tender to the following extent:—

  1. Gold, to any amount.

  2. Silver 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 the 26th January, 1934, and fixed the date as the 1st 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 the 1st 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 was assumed by the Reserve Bank. Bank-notes not presented for payment within forty years, commencing 1st 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. 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. These requirements may be suspended at the discretion of the Minister of Finance, and actually are in suspension at the present time (since 7th December, 1938). The rate of exchange for the above transactions is fixed by the Bank.

The principal Act requires 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, empowers the Minister of Finance to vary or suspend this requirement. The term “reserve” 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.

For the purpose of ascertaining the net reserve ratio 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 have been, and still are, shown in the Bank’s books at face value. 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.

Currency other than Legal Tender.

Neither Australian nor other overseas paper-money circulates in New Zealand, presumably on account of the exchange fee charged by the banks on receiving it.

No consideration of the amount of credit currency in use at any moment can overlook the very large proportion of payments made by cheque, mainly upon the trading banks, but also upon trustee savings-banks and upon various stock-and-station agencies which act in this respect for their customers in the capacity of banker. Such cheques usually go direct from the payee to the collecting bark, 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.

NEW ZEALAND AND STERLING EXCHANGE.

Although the movement of gold, whether internally or externally, was unrestricted in years prior to the war of 1914–18, 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 Now 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 Now Zealand banking system.

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 relationship of New Zealand currency to sterling has assumed added significance since December, 1929. Prior to that date the Dominion 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 20th January, 1933, until the establishment of the Reserve Bank of New Zealand on the 1st August, 1934, was £125 (selling) and £124 10s. (buying) New Zealand = £100 London for telegraphic transfers.

The unusual significance of the currency level in the case of New Zealand depends chiefly upon its position in regard to overseas trade and to overseas borrowings. The course of development of the Dominion has not reached a stage where the country is self-contained to any considerable degree, 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, until comparatively recently, been upon a high scale, requiring, as noted elsewhere (vide State and also Local Authority Indebtedness), heavy annual payments in London.

From the 1st 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. To assist in achieving this measure of stability, the Reserve Bank was prepared to enter into forward exchange contracts with the trading banks. 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 the 1st August, 1934, a scale of rates representing a reduction of 10s. per £100 on the rates ruling from the 20th January, 1933, to the 31st July, 1934. The rates were slightly changed on the 21st October, 1938, and further changes were made in the selling rate as from 1st December, and in the buying rata as from 6th November, 1940. These rates (New Zealand on London) since the dates mentioned have been as follows—Telegraphic transfers: Buying, £124 7s. 6d.; selling, £125. Sixty days: Buying, £123 2s. 6d.; selling, £124 17s. This scale is practically the same as that of the Reserve Bank. 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.

Based upon the average of London daily quotations of gold prices during the month of December, 1944, the New Zealand pound was worth 8s. 1d. in terms of gold, conversion New Zealand - London being allowed at the ratio 125 = 100.

The regulation of currency exchange is now 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) due 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.

WAR MEASURES.

The Finance Emergency Regulations 1940 (No. 2) of the 18th June, 1940, take the place of earlier regulations gazetted on the 10th April, 1940, but they are also more comprehensive. Amendments to the regulations were issued on 25th September, 1940, 9th December, 1940, and 2nd May, 1945. The regulations closely resemble similar legislation passed in the United Kingdom shortly before the New Zealand measures came into force. The regulations prohibit the export of money and securities from New Zealand except with the consent of the Minister of Finance, and require that gold coin and bullion and also foreign currency belonging to any New Zealand resident be offered for sale to the Reserve Bank of New Zealand.

Under the regulations owners of foreign securities were prohibited from dealing with their securities in any way and were obliged to register them with the Reserve Bank within a specified period. A Reserve Bank statement of the 30th July, 1940, somewhat eased these restrictions by permitting New Zealand residents to deal in overseas securities on the New Zealand register without the prior consent of the Reserve Bank, subject to the companies concerned agreeing to fulfil certain requirements as to returns, &c. As regards overseas securities held by New Zealand residents but registered outside New Zealand, the selling broker is required to obtain the prior consent of the Reserve Bank. Permission to deal in both these classes of overseas securities is subject to the further condition that a form recording the transaction is completed by both the selling broker and the buying broker and supplied to the Reserve Bank. Sales of overseas securities to other than New Zealand residents require the special permission of the Reserve Bank, and in all such cases the proceeds received overseas must be remitted to New Zealand. The change from one form of overseas investment to another in an Australian market is not permitted.

The regulations empower the Minister to take over any overseas securities for the purpose of strengthening the financial position of the Dominion, at a price not less than the market value at the time of the transfer. The price payable for securities or currency acquired may be in cash, in New Zealand Government stock, or in a combination of both, according to the discretion of the Minister. For gold coin or bullion taken over, the vendor has the option of any of these methods of payment.

Further sections of the regulations empower the Minister to require contributions to war loans; prohibit, without his consent, the formation of companies, building societies, &c., or the increase of capital of existing companies; regulate the issue of capital other than by a local authority; and empower the Minister, as he£deems necessary in the public interest, to control advances for industrial purposes.

The Savings-banks Emergency Regulations 1941 give legal authority for the trustees of any savings-bank to invest, with the approval of the Minister of Finance, the whole or any portion of the funds of the bank in securities charged upon the public revenues of New Zealand issued in respect of any loan raised or to be raised for war purposes under the authority of the War Expenses Act, 1939, or of any subsequent Act, or in securities issued in renewal or redemption or conversion of any such securities.

Chapter 28. SECTION 28.—INSURANCE

SUBSECTION A.—LIFE ASSURANCE

THE statutory provisions affecting life assurance in New Zealand are in the main contained in the Life Insurance Act, 1908, and its amendments of 1920, 1921–22, and 1925; the Inalienable Life Annuities Act, 1910; and the Government Life Insurance Act, 1908, and its amendment of 1912. 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 money or securities of the statutory character to the value of from £5,000 to £50,000, varying within these limits according to the total amount assured by policies current in its New Zealand business. The aggregate value of such deposits at 31st March, 1944, was £718,610.

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.

The law bearing on industrial assurance received the attention of the Legislature in the Life Insurance Amendment Act, 1920. In this class of assurance the premiums must be 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, 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.

Annual returns of life assurance are required to be deposited with the Minister of Finance, and it is from these returns that the statistical matter contained in this subsection has been compiled.

Sixteen life-assurance offices were operating in the Dominion during 1943, but one of these no longer transacts new business. Of the sixteen, five 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., the F.A.M.E. Insurance Co., Ltd., and the Maoriland Life Assurance Office, Ltd.

The statistics here given relate exclusively to business transacted in the Dominion.

LIFE ASSURANCE.—ORDINARY AND INDUSTRIAL.

The years 1935–37 witnessed a remarkable expansion in the amount of new business transacted, this being due to improved economic conditions following the period of financial stringency. The greater part of the postponed demand for life-assurance cover would appear to have been satisfied in 1936 and 1937, and this no doubt is partly responsible for the reduced business transacted in the subsequent three years. Another factor that must be taken into consideration in this connection is the introduction of the scheme of social security, a description of which is contained in Section 24 of this volume. The transfer to the armed forces of largo numbers of men of the predominantly insurable ages, and war conditions generally, were no doubt mainly responsible for the lower levels of new business in 1940 and subsequent years, although it will be noted that the amount for the latest year (1943) exceeded the 1942 figure by £2,986,108, or slightly over 20 per cent.

The increased figures of discontinuances in 1938 and 1939 may be regarded largely as the natural result of the substantial increase in new business in the years immediately preceding, but an abnormally large number of maturities in 1938 contributed to the particularly high figure of that year. Each year since 1938 has witnessed a decrease in the amount written off, the fall in 1943 being particularly heavy. The net result of the transactions for 1943 was to increase the amount in force by £10,433,449, as compared with an increase of £6,552,419 in 1942.

Eleven years' figures for new business, discontinuances, and amount in force for the combined departments (ordinary and industrial) are given in the table following.

Year.Policies Issued.Policies discontinued.Policies existing at End of Year.
 £££
193310,737,7329,955,758112,875,774
193412,378,2438,697,260116,556,757
193515,358,7498,011,946123,903,560
193620,002,4808,058,828136,013,097
193723,037,2388,248,524150,801,811
193820,506,53010,213,016161,095,325
193919,302,5119,982,613170,415,223
194015,841,0708,752,438177,503,855
194117,753,9118,052,712187,206,560
194214,587,9518,035,532193,758,979
194317,574,0596,779,764204,192,428

During the ten years from 1933 to 1943 the amount in force has increased by £91,316,654, or 81 per cent.

Ordinary Life Assurance.

A table showing the progress of business over a period of eleven years is given below.

 Policies Issued.Policies discontinued.Policies existing at End of Year.
Year.Number.Sum assured.Annual Premiums.Number.Sum assured.Annual Premiums.Number.Sum assured.Annual Premiums.
  ££ ££ ££
193324,5038,357,590282,75622,8427,995,447231,020269,81099,068,0773,215,818
193428,5549,778,967312,84820,4446,999,072246,476277,920101,847,9723,282,190
193535,19912,605,789400,14019,1266,292,730216,015293,993108,161,0313,466,315
193646,02616,812,497539,44118,8876,442,382222,380321,132118,697,0313,783,376
193750,98919,376,772606,72019,7026,475,775223,508352,419131,598,0284,166,588
193844,20916,943,706510,84122,7548,222,169292,821373,874140,319,5654,384,608
193940,40416,304,251479,24921,7097,884,027259,907392,569148,739,7894,603,950
194031,00313,043,641391,84919,5656,901,236239,399404,007154,882,1944,756,400
194133,22814,869,366464,63416,9196,279,161215,145420,332163,473,9055,005,632
194224,88612,143,512387,53616,2366,378,095215,214428,982169,239,3225,177,954
194328,56715,018,060518,93514,2305,469,650179,622443,412178,426,8865,517,267

The amount of new business transacted fell away considerably following the outbreak of war, the absence overseas with the Armed Forces of large numbers of men of the predominantly insurable ages being a potent factor in this connection. The latest year. however, showed an increase of £2,874,548 (24 per cent.) over 1942, and, in addition, has produced the highest total of the war period. A prominent feature of new insurances of recent years has been the progressive increase in the average amount per policy, this figure for 1943 being £526, as compared with £383 in 1938. The averages for the intervening years were—1939, £404; 1940, £421; 1941, £447; 1942, £488.

As a natural corollary of the substantially increased amount of new business underwritten during the period 1935–37, discontinuances were particularly heavy in 1938 and 1939, the amount written off in 1938 amounting to £8,222,169, and in 1939 to £7,884,027. A further contributing factor in 1938 was a particularly high figure for maturities, due largely to the expiry of policies which were issued as collateral security in connection with a special war loan during the war of 1914–18. With the exception of 1942, when a small rise of £98,934 over 1941 took place, each succeeding year has recorded an appreciable decrease, the amount written off in 1943 being £2,414,377, or 31 per cent. less than in 1939. This was achieved in spite of the fact that the amount discontinued on account of death in 1942 was £1,109,454 and in 1943, £841,387 greater than in 1939. Heavy declines in lapses, and to a lesser extent surrenders, have been the principal contributing factors to this remarkable decrease in discontinuances, the sum assured lapsing in 1943 being less than one-third of the corresponding amount in 1939.

The net result of the transactions for the year 1943 was an increase since the end of the preceding year of £9,187,564 in the sum assured, as against corresponding rises of £5,765,417 and £8,591,711 for 1942 and 1941 respectively.

Particulars of policies discontinued during the last five years are contained in the next table.

Year.Death.Maturity.Surrender.Lapse.Other Causes.Totals.
Number of Policies
19392,1353,8515,2329,76572621,709
19402,3023,8234,8118,18644319,565
19413,0133,9364,1105,47838216,919
19424,3363,9163,6644,363−4316,236
19434,0084,2203,3812,5982314,230
Sum assured
 ££££££
1939856,157859,4801,889,0023,748,348531,0407,884,027
1940950,224879,3781,496,2933,244,509330,8326,901,236
19411,229,811919,2921,417,3812,443,436269,2416,279,161
19421,965,611911,9731,395,0991,946,459158,9536,378,095
19431,697,544967,6951,251,9931,222,854329,5645,469,650

Deaths accounted for 31.0 per cent. of the total amount written off in 1943, maturities for 17.7 per cent., surrenders for 22.9 per cent., and lapses for 22.4 per cent. Corresponding percentages for 1939 were 10.9, 10.9, 24.0, and 47.5 respectively.

The total amount written off during 1943 represents 3.23 per cent. of the amount in force at the end of the previous year, compared with the corresponding figure of 3.90 per cent. for 1942.

A statement of the aggregate revenue and expenditure of all the companies operating in the Dominion, so far as ordinary business is concerned, further illustrates the course of business during the last five years. The ratios of management expenses to premium income and to total revenue are also given.

 Revenue and Expenditure.Expenses of Management.
Year.Total Revenue, excluding Transfers.Total Expenditure, excluding Transfers.Excess of Revenue.Amount.Proportion to Premium Income.Proportion to Total Revenue.
 ££££Per Cent.Per Cent.
19396,828,7234,093,8252,734,898685,53713.9510.04
19407,051,4614,079,6082,971,853653,51712.909.27
19417,281,8944,536,6402,745,254695,06113.429.55
19427,555,0935,086,0362,469,057655,77112.198.68
19437,913,3754,833,6903,079,685690,71512.208.73

Excluding commission, the ratio of management expenses to premium income was 7.29, 7.11, 7.41, 7.02, and 6.73 per cent. respectively for the years 1939 to 1943 inclusive.

ORDINARY LIFE ASSURANCE.— REVENUE AND EXPENDITURE (EXCLUDING TRANSFERS)

1939.1940.1941.1942.1943.
Revenue£££££
New and renewal premiums4,912,6275,066,1475,178,3285,380,4065,661,980
Consideration for annuities107,57075,25776,73956,55750,603
Interest1,806,5681,907,0532,020,2952,112,9092,193,142
Other revenue1,9583,0046,5325,2217,650
Total revenue6,828,7237,051,4617,281,8947,555,0937,913,375
Expenditure     
Claims by death and maturity2,358,1702,470,0882,859,1713,643,6153,340,685
Annuities99,144106,838105,831108,048110,143
Surrenders534,047415,740418,320330,032293,454
Cash bonuses60,07651,47143,62925,39319,384
Management685,537653,517695,061655,771690,715
Taxes242,566250,070240,957213,263222,309
Other expenditure114,285131,884173,671109,914157,000
Total expenditure4,093,8254,079,6084,536,6405,086,0364,833,690

Industrial Assurance.

As in the case of ordinary life assurance, new business in the industrial section reached its peak in 1937, and each succeeding year up to 1940 witnessed a decrease. A slight rise in 1941 was followed by a further fall in 1942, the total for that year being the lowest recorded since 1933, but the 1943 total exceeded that of 1942 by a small margin.

The relative decrease in the amount written off in the industrial section in recent years has been even greater than in the ordinary, the difference between 1939 and 1943 amounting to £788,472, or 38 per cent. Here, also, discontinuances on account of death during the last three years have been very heavy, while lapses and surrenders have fallen by 63 per cent. and 47 per cent. respectively since 1939.

A summary of the progress of industrial assurance business is given in the following table.

 Policies Issued.Policies discontinued.Policies existing at End of Year.
Year.Number.Sum assured.Annual Premiums.Number.Sum assured.Annual Premiums.Number.Sum assured.Annual Premiums.
  ££ ££ ££
193352,2232,380,142144,98338,7141,960,311123,559288,64713,807,697811,739
193457,3382,599,276158,48635,2551,698,188104,369310,73014,708,785865,856
193558,1912,752,960165,21235,1951,719,216104,175333,72615,742,529926,893
193664,3843,189,983192,40033,1031,610,44698,588365,00717,316,0661,020,705
193768,6303,660,466218,00635,0331,772,749107,852398,60419,203,7831,130,859
193865,3963,562,824210,25437,0641,990,847118,176426,93620,775,7601,222,937
193953,5312,998,260177,67237,1502,098,586126,907443,31721,675,4341,273,702
194049,6712,797,429163,73532,3381,851,202113,635460,65022,621,6611,323,802
194150,2562,884,545164,90631,1731,773,551108,227479,73323,732,6551,380,481
194242,4982,444,439141,04629,3861,657,437102,221492,84524,519,6571,419,306
194341,6852,555,999146,27123,9581,310,11481,467510,57225,765,5421,484,110

As a result of the year's transactions, the amount in force increased during 1943 by £1,245,885, compared with the previous year's increase of £787,002.

The average sum assured under each policy of new business effected in 1943 amounted to £61, with an average annual premium of £3 10s. 2d. Corresponding averages for 1939 were £56, and £3 6s. 5d.

A summary of the number of industrial policies and the sums assured written off according to the several causes is now given in the form of a five-years table.

Year.Death.Maturity.Surrender.Lapse.Other Causes.Total.
Number of Policies
19392,6489,2363,20021,86020637,150
19402,64610,2372,88916,29627032,338
19413,07411,1642,89713,85218631,173
19423,63911,0952,24612,3436329,386
19433,59111,3971,8397,0805123,958
Sum assured
 ££££££
1939100,677409,461152,3721,419,16316,9132,098,586
1940106,297481,084134,8271,107,71621,2781,851,202
1941133,904517,816128,800958,25034,7811,773,551
1942160,593510,79099,146868,69118,2171,657,437
1943161,357527,57180,177521,64919,3601,310,114

The amount written off in each year is greater in proportion in the industrial than in the ordinary branch, but this disparity has shown a lessening tendency in recent years. Whereas in the case of the ordinary branch 5.62 per cent. of the amount in force at the end of 1938 became void in 1939, the corresponding percentage for industrial insurance was 10.10. In 1943, 3.23 per cent. of ordinary insurance in force at the end of 1942 became void, and 5.34 per cent. of the industrial.

INDUSTRIAL ASSURANCE.—REVENUE AND EXPENDITURE

 Revenue and Expenditure.Expenses of Management.
Year.Total Revenue, excluding Transfers.Total Expenditure, excluding Transfers.Excess of Revenue.Amount.Proportion to Premium Income.Proportion to Total Revenue.
 ££££Per Cent.Per Cent.
19391,574,0681,089,990484,078373,74330.0823.74
19401,641,6011,165,028476,573384,07829.5623.40
19411,705,2691,247,926457,343396,42629.3623.25
19421,766,4181,241,382525,036388,89127.8322.02
19431,832,8261,259,294573,532389,10626.7621.23

The difference between the ratio of management expenses to premium income in the industrial branch and the corresponding ratio in the ordinary branch is largely accounted for by the high cost of collection of premiums in the industrial branch, principally in the shape of renewal commission. In the ordinary branch commission (new and renewal) in 1943 was equivalent to 5.47 per cent. of the premium income, and in the industrial branch to 15.89 per cent. Excluding commissions, the ratio of management expenses to premium income was 10.87 per cent. in the industrial branch, as against 6.73 per cent. in the ordinary.

INDUSTRIAL ASSURANCE.—REVENUE AND EXPENDITURE (EXCLUDING TRANSFERS)

1939.1940.1941.1942.1943.
Revenue£££££
Premiums1,242,5321,299,4071,350,3061,397,1591,454,006
Interest322,546333,568346,483360,616369,990
Other revenue8,9908,6268,4808,6438,830
Total revenue1,574,0681,641,6011,705,2691,766,4181,832,826
Expenditure     
Claims by death and maturity585,762658,633735,157754,032773,194
Surrenders53,66352,06949,15338,73827,938
Management373,743384,078396,426388,891389,106
Taxes34,39339,11940,12539,38146,547
Other expenditure42,42931,12927,06520,34022,509
Total expenditure1,089,9901,165,0281,247,9261,241,3821,259,294

LIFE ASSURANCE DEATH-RATES.

The following table shows for the period 1933–43 the death-rate per thousand policies exposed to risk in each year. In computing these rates all policies which were in force for any portion of the year have been taken into account. The higher rates for the last three years are mainly due to deaths from war causes.

 Death-rate Per 1,000 Policies.
Year,Ordinary Life Assurance.Industrial Life Assurance.Ordinary and Industrial combined.
19335.825.245.52
19345.735.455.58
19355.545.305.41
19365.475.075.26
19375.465.475.46
19385.705.865.79
19395.155.515.35
19405.435.375.40
19416.896.026.42
19429.746.978.24
19438.766.727.66

LIABILITIES AND ASSETS.

Of the five companies transacting industrial business in New Zealand, only one apportions its liabilities and assets over the ordinary and industrial business, for, although the legislation in force requires separate statements of revenue and expenditure, policies issued and discontinued, &c., no such requirement exists in regard to balance-sheets. The figures presented in the next two tables accordingly refer to both classes of assurance, and, as indicated earlier in this subsection, relate to New Zealand business only.

The aggregate capital and liabilities at the end of 1943, as compared with the two preceding years, were as follows:—

 1941.1942.1943.
 £££
Paid-up share capital250,444250,542249,047
Life assurance and annuity funds57,552,89960,516,89164,157,510
Depreciation, reserve, and other special funds808,726825,998880,496
Claims admitted but not paid603,600903,340836,591
Other liabilities485,589507,030431,075
Totals59,701,25863,003,80166,554,719

The New Zealand assets at the end of each of the three years 1941–43 were:—

 Amount.Proportion to Totals.
Assets.1941.1942.1943.1941.1942.1943.
 £££Per Cent.Per Cent.Per Cent.
Mortgages on property12,762,62612,547,74012,491,81821.3819.9218.77
Loans ou policies5,215,0324,874,2014,462,2858.747.746.70
New Zealand Government securities14,702,19518,299,67021,999,61624.6329.0433.06
Securities of other Governments108,291306,050693,1100.180.491.04
Municipal and local authorities' securities20,691,95720,935,55921,255,25634.6633.2331.94
Landed and house property2,348,2202,255,5462,133,3813.933.583.21
Other investments588,111619,159686,8980.990.981.03
Loans on personal security174223264......
Agents' balances5,3433,0642,0180.01....
Outstanding premiums412,933413,726380,0040.690.660.57
Interest accrued, &c.527,923566,083585,8780.880.900.88
Cash981,390862,432599,7941.641.370.90
Other assets1,357,0631,320,3481,264,3972.272.091.90
Totals59,701,25863,003,80166,554,719100.00100.00100.00

STATE LIFE ASSURANCE.

The Life Insurance Department of the New Zealand Government was founded in 1869, at a time when New-Zealanders had comparatively poor facilities in regard to life assurance. Payment of all policies with the State Office is guaranteed by the Government. Industrial assurance is not transacted.

The total income of the Department for 1943 was £1,415,677—viz., premium income, £849,231; interest, rents, &c., £546,081; annuity purchase-money, £20,365.

During the year 1943 payments (including bonus additions) to the value of £377,358 were made on account of matured policies, and £341,677 was paid out to representatives of deceased policyholders. Commission totalled £45,621 and other expenses of management £81,980, making the total management expenses £127,601. The ratio of expenses to total income was 8.15 per cent., and to premium income 13.15 per cent.

Figures showing the progress of the Department are contained in the following five-years table. Annuities are excluded.

 New Business.Policies discontinued.Policies in Force at end of Year.
Year.Number of Policies.Sum assured.Premiums.Number.Sum assured.Annual Premiums.Number.Sum assured.Annual Premiums.
  ££ ££ ££
19397,8512,945,99154,3703,9511,343,37836,18789,51029,787,393764,451
19405,9122,333,05044,9533,8051,271,64433,88691,61730,848,799775,518
19416,8582,800,40854,5283,4711,203,23030,14395,00432,445,977799,903
19424,8832,218,36745,5933,6171,276,18933,43796,27533,388,155812,059
19435,1112,674,83656,3303,4911,247,61028,14897,89534,815,381840,241

The Department's balance-sheet as at 31st December, 1943, showed that the total assets amounted to £13,185,746, 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.

 Amount.Proportion to Totals.
Class of Investment.1941.1942.1943.1941.1942.1943.

* Mainly due and overdue premiums and interest, and interest accrued.

 £££Per Cent.Per Cent.Per Cent.
Mortgages on freehold property5,061,7554,947,1544,817,44240.9838.7536.54
Loans on policies1,165,7721,089,1401,001,2309.448.537.59
Government securities2,929,7723,618,5323,981,13123.7228.3430.19
Local authorities' securities2,129,7642,161,0982,592,92217.2416.9319.66
Landed and house property536,773527,689527,6514.354.134.00
Miscellaneous assets*242,584220,399212,9361.961.731.62
Cash in hand, on current account, and on deposit284,866202,39952,4642.311.590.40
Totals12,351,28612,766,41113,185,746100.00100.00100.00

SUBSECTION 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, &c.;

  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.

Information relating to cash deposits required from companies transacting accident-insurance business is contained in the next subsection, which deals with the cognate subject of fire insurance.

REVENUE AND EXPENDITURE.

The number of insurance offices transacting accident business in New Zealand in 1943 was 58, the head offices of the companies concerned being domiciled as follows: Great Britain, 23; Australia, 12; and New Zealand 23.

Of the New Zealand offices only 10, including the State Accident Insurance Office, may be stated to be competitive in the ordinary sense of the term, the remainder having been formed by trade associations, &c., on a more or less co-operative basis. In the main an office of this latter typo conducts one class of accident-insurance business only (according to the nature of the association with which it is connected)— e.g., employers' liability insurance, motor-vehicle insurance.

Premium receipts reached their peak in 1939, but in each of the three following years a decrease was recorded, due mainly to a reduced demand for motor-vehicle cover consequent upon the rationing of motor-spirits and tires. Also in 1942, when the heaviest decrease took place, lower rates of premiums were charged for motor-vehicle insurance, both comprehensive and third-party risks. In 1943, however, a substantial improvement took place, aggregate receipts for the year being £297,498 (13.0 per cent.) above the 1942 total. Although each of the main classes of accident insurance produced increased returns, the great bulk of the increase was contributed by employers' liability premiums. Claims in 1943 recorded a greater relative increase, the difference as compared with 1942 amounting to £213,385 (19.5 per cent.). Expenses other than claims totalled £984,506 in 1943, as against £971,116 in the previous year. Taxation expenditure fell from £334,539 to £322,870, but a small increase was recorded under each of the other headings. The net result of operations for 1943 was an excess of premium receipts over total expenditure to the extent of £286,404. In 1942 the excess amounted to £215,681, and in 1941 to £282,451.

  Revenue.Expenditure.
Year.Number of Offices.Premiums.Other Revenue.Total.Claims.Commission.Salaries.Other Expenses.Total.
  ££££££££
1933571,178,93687,2451,266,181679,826135,052152,080145,3801,112,338
1934581,301,75590,8861,392,641717,355154,978164,658164,0701,201,061
1935581,421,05591,7821,512,837891,874160,747170,088181,5311,404,240
1936581,678,85285,1331,763,9851,119,936194,746198,761186,9001,700,343
1937572,125,20798,1362,223,3431,428,783261,656239,089205,5032,135,031
1938582,507,09699,1552,606,2511,559,322305,934256,500214,5572,336,313
1939582,711,438108,1642,819,6021,518,035300,901270,193303,2682,392,397
1940582,550,12791,0702,641,1971,344,529277,819270,583411,8302,304,761
19415S2,510,54294,6112,605,1531,221,722261,716266,791477,8622,228,091
1942582,280,671110,4442,391,1151,093,874242,175244,135484,8062,064,990
1943582,578,169101,8222,679,9911,307,259253,610254,187476,7092,291,765

An interesting 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.

 Ratio per Cent, of—
Year.Claims to Premiums.Commission to Premiums.Salaries to Premiums.Other Expenses to Premiums.Total Expenses (other than Claims) to Premiums.Total Expenditure to Premiums.Total Expenditure to Total Revenue.
193955.9911.109.9611.1832.2488.2384.85
194052.7310.8910.6116.1537.6590.3887.26
194148.6610.4210.6319.0440.0988.7585.53
194247.9610.6210.7021.2642.5890.5486.36
194350.709.849.8618.4938.1988.8985.51

The ratio of claims to premiums reached its peak in 1937, but each succeeding year until 1943 recorded a reduction, the 1942 figure (47.96 per cent.) being lower than in any other year since 1921. Working-expenses in 1943 amounted to £659,946, as compared with £631,608 in 1942, but, despite this small rise the increase in premium income (13.0 per cent.), was sufficient to produce a substantially lower working-expense ratio, 25.60 per cent. as compared with 27.69 per cent. in 1942. A feature of the last few years has been the heavy increase in taxation, although expenditure under this head in 1943 was slightly below that of the previous year. The amount paid out in taxation in each of the years 1942 (£334,539) and 1943 (£322,870) was practically three times as much as in 1939 (£111,531).

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. It will be noticed that there is an apparent discrepancy between the totals of premiums and claims as shown herein and the figures already quoted. This is accounted for by the fact that, in order to arrive at the net financial results of the year's operations, it is necessary to take into account reinsurance transactions, and up to this stage of the discussion premiums and claims have been taken at the net figure.

Year.Employers' Liability.Personal Accident.Motor-vehicle.Other Forms.Totals.
 £££££
Premiums
19391,041,970206,5191,489,168113,2872,850,944
19401,068,097194,7341,357,057114,0962,733,984
19411,085,850191,7831,261,263118,3732,657,269
19421,122,822178,465891,659125,5982,318,544
19431,328,097185,616932,168138,4702,584.351
Claims
1939580,08378,774888,45921,4411,568,757
1940594,59075,959739,27521,6581,431,482
1941615,56472,770603,41321,7211,313,468
1942666,70566,378380,82928,2341,142,146
1943746,10665,238432,46043,1881,286,992

Compared with 1942, gross premiums in 1943 showed an increase of £265,807 (11.5 per cent.), while claims increased by £144,846, or 12.7 per cent. Premiums on account of employers' liability insurance recorded an increase of £205,275 (18.3 per cent.), personal accident premiums an increase of £7,151 (4.0 per cent.), and motor-vehicle premiums an increase of £40,509 (4.5 per cent.). Employers' liability claims rose by £79,401 (11.9 per cent.), motor-vehicle claims by £51,631 (13.6 per cent.), while personal accident claims fell by £1,140 (1.7 per cent.).

Reducing the figures for each of the last three years to a percentage basis, the following results are arrived at.

 Claims to Premiums.Premiums to Total Premiums.Claims to Total Claims.
Glass of Insurance.1941.1942.1943.1941.1942.1943.1941.1942.1943.
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
Employers' liability56.6959.3858.1840.8648.4351.3946.8758.3757.97
Personal accident37.9437.1935.157.227.707.185.545.815.07
Motor-vehicle47.8442.7146.3947.4738.4636.0745.9433.3533.60
Other forms18.3522.4831.294.255.415.361.652.473.36
All classes49.4349.2649.80100.00100.00100.00100.00100.00100.00

MORTGAGEES' INDEMNITY INSURANCE.

The Mortgagees' Indemnity (Workers' Charges) Act, 1927, provides that when mortgages are presented for stamping an additional stamp duty of 1s., known as a mortgagee's indemnity fee, is to be paid. The indemnity fees are paid into the Consolidated Fund, from which losses incurred by mortgagees through the enforcement of charges under the Workers' Compensation Act are mot. A section of the Act definitely absolves the mortgagor from any obligation to insure or keep insured the mortgagee against loss of this nature in respect of any mortgage under the Act.

MOTOR-VEHICLES INSURANCE (THIRD-PARTY RISKS).

The Motor-vehicles Insurance (Third-party Risks) Act, 1928, requires owners of motor-vehicles to insure against their liability to pay damages on account of the death of or bodily injury to another person. The payment of the insurance premiums is made annually to Deputy Registrars of Motor-vehicles at the same time as the annual license fee is paid under the Motor-vehicles Act. 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.

The favourable claims experience of the last few years, which may be ascribed largely to the restricted use of many types of vehicles consequent upon the war-time rationing of motor-spirits and tires, led to a revision of premium rates as from 1st July, 1942, and further reductions in certain classes came into force on 1st July, 1944, and 1st July, 1945. The present schedule includes the following: Trailers, 2s.; tractors, traction-engines, 3s.; motor-cycles, 15s.; private motor-cars, 15s.; private motor-cars used wholly or in part for the purpose of trade or business, £2; motor-vehicles (other than trailers and motor-cycles) used by fire-brigades, 10s.; hearses, ambulances, &c., 12s.; trade motors, £1 10s.; manufacturers' and dealers' motor-vehicles, £1 15s.; public motor-vehicles, from £5 to £7 12s., according to seating-capacity; contract vehicles, rental cars, £3, with a maximum premium payable of £4 12s.; private and public motor-cabs, £5 and £12 10s. respectively.

The liability of any insurance company under any contract under the Act is limited to £2,000 in respect of any passenger in the motor-vehicle concerned, and to £20,000 for all claims made by or in respect of passengers. Otherwise there is no limit as to amount.

The liability of the company does not extend to indemnify the owner against any claim made in respect of death of or of injury suffered by any relative of the owner, by any person in the service of the owner at the time of the accident, or by a passenger. The indemnity does, however, cover the case of a passenger for hire in a vehicle plying for hire or carrying passengers for hire.

The following particulars give the experience of the last five years, with a summary covering the fifteen years since the inception of this class of insurance. It should be noted that the figures for claims do not represent the amount paid during each year, but refer to accidents happening during each particular period. It should also be noted that the claims figures include amounts on account of the estimated liability in respect of claims still outstanding at 30th June, 1944, and are therefore provisional only. Claims are frequently the subject of lengthy litigation, and until such time as they are finally settled the estimated liability is taken into account. Experience has shown that the insurance companies usually overestimate this liability, and the figures when finalized, at least for the latest year, may be expected to be considerably less than the amounts now given.

 Registration Year ended— 
3lst,May, 1940.31st May, 1941.30th June, 1942*.30th June, 1943.30th June, 1944.Total for Fifteen Years (since Inception).

* Period covered, thirteen months.

 ££££££
Premiums received448,795445,054477,989325,645323,4534,521,550
Claims paid out and estimated liability in respect of claims outstanding at 30th June, 1944316,768284,352201,842209,632309,7343,633,024
Ratio per cent, of claims paid and outstanding to premiums716442649680

STATE ACCIDENT INSURANCE.

In the year 1901 the Government (Life) Insurance Department opened an Accident Branch. On the 1st January, 1925, the accident business was transferred to the control of the State Fire Insurance Office. Although general accident business was undertaken, the branch was opened more especially to conduct insurance under the Workers' Compensation Act. In recent years, however, other forms of accident insurance have contributed on an increasing scale to the premium income of the office. The main classes now transacted are employers' liability, personal accident, public risk, motor comprehensive, third-party risks, plate glass, and fidelity guarantee.

A summary of revenue and expenditure during the last five years is contained in the following table.

 Revenue.Expenditure.
Year.Premiums.Other.Total.Claims.Other.Total.
 ££££££
1939261,12320,198281,321167,67237,055204,727
1940259,39920,557279,956138,000111,266249,266
1941268,77519,771288,546134,208129,379263,587
1942232,24122,382254,623122,826124,645247,471
1943384,03522,588406,623193,816109,563303,379

The premium income of £384,035 is by far the largest in the history of the State Accident Insurance Office, and, compared with 1942, shows an increase of £151,794, or 65.4 per cent. Each important section of accident business contributed to this increase, but the great bulk of it was recorded under the heading of employers' liability, due largely to special insurances effected as a consequence of allied war activities within New Zealand.

In 1925, when the Accident Branch was combined with the State Fire Office, the premium income was £49,966.

Claims in 1943 showed an increase of £70,990 (57.8 per cent.) as compared with 1942, but the greater relative increase in premiums resulted in a lower ratio of claims to premiums, 50.47 per cent. as compared with 52.89 per cent.

Of the total of “other” expenditure shown in the above table, working-expenses in 1943 accounted for £43,656, income-tax for £54,597, and national and social security tax for £10,720. The ratio of working-expenses to premium income in 1943 was 11.37 per cent. (the lowest in the history of the Office), as compared with 16.43 per cent. in 1942.

The amount appropriated to reserve for unearned premiums are not included in the expenditure shown in the above table. The amount so appropriated in the latest year was £72,813. and this reserve at 31st December, 1943, amounted to £207,201.

In accordance with the provisions of the Government Accident Insurance Amendment Act, 1924, £30,000 of the 1943 surplus was appropriated to a bonus reserve for distribution to policyholders during 1944.

The total assets at 31st December, 1943, amounted to £1,006,522, the two largest items being New Zealand Government securities, £405,968; and local-authority securities, £162,576. Reserves and funds at the end of 1943 totalled £690,320.

COUNTIES CO-OPERATIVE INSURANCE.

The New Zealand Counties Co-operative Insurance Co., Ltd., was formed under the authority of the Counties Insurance Empowering Act, 1941, for the purpose of undertaking the insurance of County Councils on a co-operative basis. Any County Council may become a member of the company, and may raise the necessary moneys to pay for its shares by way of special loan without taking a poll of ratepayers. The company commenced business on 1st May, 1944, the following classes of insurance being transacted: employers' liability, motor comprehensive, public risk, and fidelity guarantee.

The Statutes Amendment Act, 1944, made provision for the management of the company to be undertaken by the State Fire Insurance General Manager.

SUBSECTION C.—FIRE INSURANCE

IN the Dominion's legislation 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) British offices similarly established; and (4) mutual fire-insurance associations. To these may be added the State Fire Insurance Office, established under a separate Act of Parliament.

Part XIV of the Companies Act, 1933, provides for the incorporation with limited liability of local insurance companies formed for the insurance of property other than that of shareholders. Such a company requires a paid-up capital of £50,000 intact, and if the amount of paid-up capital falls below this sum the company may not carry on insurance business except with unlimited liability. Insurance companies established or incorporated overseas require to have a like paid-up capital intact. Part II of the Insurance Companies Act, 1940, provides that, in the case of an insurance company of doubtful solvency, inspectors may be appointed to investigate and report on the affairs of the company. Mutual associations are referred to specially at a later stage in this subsection.

Statistics of fire insurance are collected annually by the Census and Statistics Department. For 1943, statistics were collected from 43 offices carrying on business in New Zealand. The head offices of these were distributed as follows: Great Britain, 23; New Zealand, 13; Australia, 6; United States of America, 1.

DEPOSITS.

Until the passing of the Insurance Companies Act, 1940, no deposit was required from an insurance company incorporated in New Zealand in respect of fire and accident insurance business, unless the company acted merely as an agent for overseas underwriters, or had, since 1933, commenced motor-vehicles third-party-risks insurance business. Part I of this Act provides that any New Zealand company which, after the passing of the Act, commences in New Zealand any of the specified classes of business, must deposit with the Public Trustee in money the following amounts: In respect of fire insurance, £22,500; employers' liability insurance, £22,500; and all other classes (except motor-vehicles third-party-risks insurance), £5,000. A New Zealand company which, at the commencement of the Act, was carrying on any of the classes of business referred to above was required to deposit cash or approved securities to the value of £1,000, together with a further £1,000 for each complete £2,500 of premium income derived from each class of business during its last financial year. Provision is made for revision of amount of deposit consequent on increase or decrease in business. The maximum deposit is that which would be paid by a newly established company.

The maximum deposits of New Zealand companies are now the same as those required from British companies commencing business in New Zealand after the passing of the Insurance Companies Deposits Act, 1921–22, and its amendment of 1922. The amending Act also provides that a foreign company, before commencing business in New Zealand, must deposit in money the sum of £50,000, which covers all classes of business other than life or marine.

Since 1927 agents operating in New Zealand on behalf of overseas underwriters have been required to make deposits similar in amount to those specified for British companies under the principal Act of 1921–22.

The Finance Act, 1933 (No. 2), required any company thereafter undertaking business in terms of the Motor-vehicles Insurance (Third-party Risks) Act, 1928, to deposit the sum of £10,000. This requirement is, in effect, extended by the Insurance Companies Act, 1940, under which every company undertaking this class of business must, unless it has made the deposit required by the Finance Act, deposit £1,000, together with £1,000 for each complete £2,500 of premium income from such business. The maximum deposit is £10,000.

Life and marine businesses are not affected by the provisions mentioned in the preceding paragraphs.

The capital amount of deposits held by the Public Trustee as at 31st March, 1944, under the Insurance Companies' Deposits Act on behalf of fifty-eight companies was £1,610,040. These moneys are invested in the Common Fund of the Public Trust Office, and interest thereon is paid at regular intervals to the respective companies.

LIABILITIES AND ASSETS.

The following table indicates generally the extent to which fire-insurance offices have funds available to meet losses and liabilities. Funds of life departments are added for completeness, but by the Life Insurance Act, 1908 (which follows the provisions of the Imperial 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. The amount of funds (other than life) in New Zealand and elsewhere is, it will be seen, in excess of £430,000,000.

 Liabilities. 
Overseas Companies.Local Offices.Mutual Associations.Totals.

* These figures in the case of mutual associations relate to premium-note capital.

 ££££
Paid-up capital32,236,9993,276,754279,802*35,793,555
Reserves271,960,01810,798,48683,531282,842,035
Other liabilities108,152,3083,752,85113,098111,918,257
Totals412,349,32517,828,091376,431430,553,847
Life funds760,780,41111,778..760,792,189
Total liabilities (and assets)1,173,129,73617,839,869376,4311,191,346,036

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, in the case of overseas companies, do not relate merely to the assets held by the New Zealand branches of the companies concerned.

Assets in New Zealand.1941.1942.1943.
 £££
House and landed property1,249,4291,251,7141,260,642
New Zealand Government securities7,193,9087,818,7478,125,730
New Zealand local-authority securities1,487,5851,513,7491,394,373
Mortgages, &c.184,174177,328161,590
Outstanding premiums673,329571,129486,730
Cash and other assets in New Zealand3,561,4933,671,1583,839,526
Total New Zealand assets14,349,91815,003,82515,268,591

SUMMARY OF BUSINESS.

The gross amount of new and renewal business underwritten during 1943 was £43,809,180 (6.7 per cent.) greater than in 1942, while the gross premiums charged exceeded the 1942 total by £161,799 (7.1 per cent.). Gross losses in 1943 were £139,424 or 16.3 per cent. below the high figure recorded in 1942.

1941.1942.1943.

* Excluding reinsurances accepted from other offices.

Amounts underwritten   
Gross amount of insurance cover in force in Now Zealand on 31st December*£552,546,575£582,901,926£599,480,230
Number of policies representing the foregoing*819,209836,860836,553
Gross amount of new and renewal business underwritten during year*£639,108,517£656,677,784£700,486,964
Number of policies representing the foregoing*885,725888,347897,828
Premiums   
Total gross premiums charged on business (new and renewal) underwritten during year*£2,198,843£2,282,249£2,444,048
Percentage of gross premiums to total amount of business underwritten6s. 11d.6s. 11d.7s. 0d.
Total premiums (as shown above), less premiums refunded to insured other than to other offices£2,034,207£2,126,722£2,296,901
Losses   
Total number of separate fire losses with which offices were concerned7,2997,0697,252
Gross losses£481,578£856,515£717,091
Percentage of gross loss to amount underwritten (new and renewal) during year(as shown above)0.080.130.10
Percentage of gross loss to total premiums, less refunds to insured (as shown above)23.6740.2731.22
Average loss£66£121£99

The next table shows the position of premium income and fire losses during the eleven years ended 1943. Prom the year 1929 up to 1937 there was an unbroken sequence of decreases in the amount of fire losses, the total for 1937 being only one-third of the amount sustained in 1928, the year in which fire losses were the highest yet recorded. A substantial increase took place in 1938, followed by further slight rises in 1939 and 1940, although the loss ratios for those two years were less than that for 1938. In 1941, however, losses fell away to a little above the 1937 level, and this, in conjunction with the increase in premium income, resulted in the lowest loss ratio on record. In 1942, mainly as the result of one disastrous fire, there was a£increase of £374,937 (78 per cent.), as compared with 1941; but in 1943, although losses were still comparatively heavy, there was a decrease of £139,424 (16 per cent.).

Year.Premium Income.Fire Losses.Percentage of Loss.
 ££ 
19331,780,824591,22533.2
19341,711,841546,93632.0
19351,721,689528,85830.7
19361,748,298474,63127.2
19371,678,055446,34626.6
19381,749,331613,18535.1
19391,849,866625,14133.8
19401,941,441627,66632.3
19412,034,207481,57823.7
19422,126,722856,51540.3
19432,296,901717,09131.2

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 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.

 1941.1942.1943.
Gross.Net.Gross.Net.Gross.Net.

* The gross figures are inclusive of reinsurance premiums from other offices.

Revenue££££££
Reserve to meet unexpired risks as at beginning of year966,504594,8131,047,676616,9051,105,434628,438
Amount of fire premiums receivable during year*2,409,2721,406,6332,549,4131,442,6392,717,7821,553,804
Interest and dividends on stock, mortgages, &c.75,42775,42784,67084,57082,88382,883
Rents24,08124,08133,00333,00337,23837,238
Other revenue1,0041,0041,6711,6715,2025,202
Totals3,476,2882,101,9583,716,3332,178,7883,948,5392,307,565
Expenditure      
Amount of Are losses incurred during year, including adjustment and other expenses of settlement, but less salvage and amounts covered by reinsurance481,578331,528856,515455,484717,091367,277
Fire Board levies112,00784,680126,46296,287130,33298,186
New Zealand Government taxes306,580269,951347,259294,613414,349369,081
Local-authority rates2,7722,5253,1712,6203,0982,522
License fees5,7225,2195,9625,5806,0855,511
Rents23,57022,10627,34525,24226,77524,703
Allowances and commissions on premiums to agents, sub-agents, and others246,048100,451258,99699,896270,931102,739
Salaries and wages, including commissions on profits or bonuses266,388244,289277,328248,524279,773251,319
Other expenses of management122,327106,031115,566108,555115,480102,897
Reserve to meet unexpired risks as at the end of the year1,047,676618,9061,105,434628,4391,144,067640,723
Other expenditure246246........
Totals2,614,9141,785,9323,124,0381,965,2403,107,9831,964,958

A feature of expenditure in recent years has been the increased taxation, the gross amount paid out under this heading having risen from £114,516 in 1938 to £414,349 in 1943.

A summary of the net revenue and expenditure for 1943 of the three classes of offices operating in New Zealand is contained in the next table.

 Net Revenue.Net Expenditure.
Premiums.Total.*Claims.Salaries and Commissions.Total.*

* Excluding reserves to meet unexpired risks.

 £££££
Overseas companies917,151946,801263,105195,669749,090
Local companies610,526703,15298,208146,681550,377
Mutual associations26,12729,1745,96411,70824,768
Totals1,553,8041,679,127367,277354,0581,324,235

The net premium income and the total not income have, in comparison with the corresponding figures for 1942, increased by £111,165 and £117,244 respectively. The excess of net revenue over net expenditure for 1943 amounted to £354,892, as compared with the surpluses of £225,082 and £340,119 for 1942 and 1941 respectively. It should be noted that these figures are exclusive of reserves to meet unexpired risks.

Under the various heads below will be found the percentage ratio of working-expenses to premium income for the years 1939–43.

Items.1939.1940.1941.1942.1943.
 Per Cent.Per Cent.Per Cent.Per Cent.Per Cent.
Net working-expenses (excluding taxes) to net premium income40.9041.1440.1940.6737.83
Net working-expenses (excluding taxes and Fire Board levies) to not premium income35.0435.5534.1733.9931.52
Gross working-expenses (excluding taxes) to gross premium income (including reinsurances from other offices)33.5733.4532.3331.9630.63
Gross working-expenses (excluding taxes and Fire Board levies) to gross premium income (including reinsurances from other offices)29.0329.0027.6827.0025.84

Although there has been a continuous rise in the amount of working-expenses since 1937, the increase in premium income over the period has been sufficient to produce perceptible decreases in the expense ratios.

It is contended in some quarters that Fire Board levies 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 it is interesting to note that their exclusion from working-expenses reduces the 1943 ratio on the net figures from 37.83 to 31.52 per cent.

FIRES AND LOSSES.

The table following gives figures of fires and losses during each of the eleven years ending in 1942. It should be noted that these figures relate to calendar years, and thus differ somewhat from those shown elsewhere, which refer to varying twelve-monthly periods covered by the accounts of the different offices.

The figures quoted herein relate to insured losses only, and in order to arrive at the national property loss by fire some allowance must be made for the uninsured losses. On what is termed a conservative basis, the Inspector of Fire Brigades in his annual report uses the insured-loss figure, plus 12½ per cent., for this purpose, and on this assumption the Dominion's property loss through fire in 1942 is estimated to have amounted to £544,000, compared with £804,000 in 1941 and £868,000 in 1932.

Year.Separate Fires.Conflagrations.*Buildings, &c., affectedGross Cover.Gross Loss.Ratio of Loss to Cover.

* Included in previous column. For statistical purposes a conflagration is defined as a fire where three or more buildings are affected.

† On buildings, &c., affected.

    ££Per Cent.
19324,482294,6785,528,316771,30113.95
19334,352274,5085,738,218573,1399.99
19344,546164,6414,674,747504,21110.79
19355,147265,2864,863,179539,92011.10
19365,318195,4356,248,835465,8047.45
19375,967166,0748,261,471463,0175.60
19385,956216,0877,004,699596,2678.51
19396,373256,5616,486,979587,0329.05
19406,033206,1388,116,928642,2287.91
19416,315106,3847,880,911714,6309.07
19425,406155,5087,644,555483,7076.33

The next table shows, for each of the four principal urban areas and the remainder of the Dominion, the fires and losses for 1942.

Separate Fires.Conflagrations.*Buildings, &c., affected.Gross Cover.Gross Loss.Ratio of Loss to Cover.

* Included in previous column.

† On buildings, &c., affected.

North Island   ££Per Cent.
Auckland urban area72017311,426,78381,2015.69
Wellington urban area98329921,986,65444,7702.25
Secondary urban areas5452552564,11128,0674.98
Remainder of North Island9212937691,37495,29413.78
Totals for North Island3,16973,2124,668,922249,3325.34
South Inland      
Christchurch urban area6041627950,38364,2896.76
Dunedin urban area5952606961,02685,3648.88
Secondary urban areas337I340314,04810,7583.43
Remainder of South Island6884710748,22173,5709.83
Totals for South Island2,22482,2832,973,678233,9817.87
Floating, transit, and travelling13..131,95539420.15
Totals for Dominion5,406155,5087,644,555483,7076.33

Compared with 1941, gross fire-loss decreases amounting to £161,192 and £63,714 were recorded in 1942 for the Auckland and Wellington urban areas respectively, while in the Christchurch and Dunedin urban areas there were increases of £27,577 and £53,932 respectively. Losses in the North Island were £287,738 less than in 1941, but in the South Island an increase of £56,685 was shown.

The lower loss ratio in urban areas as compared with the rest of the Dominion is to be expected in view of the greater fire-brigade facilities for handling fires in the larger centres. This factor is taken into account in framing the fire-insurance tariff.

The following table shows the amount of fire-insurance claims paid per head of population during the period 1938–42.

District.1938.1939.1940.1941.1942.1938-42 (Annual Average).

* Includes floating, transit, and travelling risks.

North IslandS.ds.d.s.d.s.d.s.d.s.d.
Auckland urban area585933211074810
Wellington urban area51017222613757131
Secondary urban areas7845586431157
Remainder of North Island8181052614166
Totals for North Island7181077101050711
South Island            
Christchurch urban area1510691485596106
Dunedin urban area41118152782010100
Secondary urban areas5373401343868
Remainder of South Island8852685053511
Totals for South Island8115397658579
Totals for Dominion*7977849363710

Causes of Fires.

From 1924 onwards particulars regarding causes of fires have been obtained from insurance offices, and the summarized results for the quinquennium 1938–42 are contained in the following table.

  Urban Areas.Remainder of Dominion.Total.
Cause of Fire.Number of Separate Fires.Loss.Number of Separate Fires.Loss.Number of Separate Fires.Loss.  
* Included In various causes from which spread.
  £ £ £
Electricity4,258302,8141,14360,3905,401363,204
Gas68613,830793,55676517,386
Naked lights1704,6213338,47051213,091
Defective chimneys and kindred causes79032,867682132,0271,472164,894
Smoking, and careless use of matches2,92364,23597731,0373,90095,272
Sparks from fireplaces8,26598,8253,883112,90612,148211,731
Heating, boiling-down4428,0841424,94058413,024
Use and misuse of highly inflammable spirits and materials467116,49621643,900683160,390
Incendiarism and arson5821,8654730,04710551,912
Outside causes57225,09737131,54694356,643
Other causes2065,583289232346,506
Totals, specified causes18,846694,3177,901459,74226,7471,154,059
Fires spread from other buildings*190133,89520363,759393197,654
Floating, travelling, and transit risks    1042,079
Unknown causes1,4611,169,3021,771698,4233,2321,867,725
Totals20,3071,863,6199,6721,158,16530,0833,023,863

In all there were 30,083 separate fires during the period. This does not represent the number of buildings, &c., affected, as a fire spreading to other buildings has been counted as one only. Of the total, 104 were on account of floating risks such as motor-cars, &c., and have been excluded from the total of specified causes. Of the remainder the cause was given in 26,747 cases, leaving 3,232 cases, or 11 per cent. of the total, in which the insurance offices had no knowledge as to the cause of fire. It should also be remembered that in some instances, more especially where a total or semi - total loss was sustained, the actual cause was a matter of conjecture only. These cases, however, are few in number, as the vast majority of such losses are included in the total of unspecified causes.

Provision exists for coronial inquiries into fires of suspicious origin, but, as will be seen from page 128, the yearly number of such inquests has been small. In 1932, however, a system was instituted whereby extended inquiries are made by the Police Department into all fires where the possibility of incendiarism is not eliminated or where the cause is obscure. The results of such inquiries are considered by a committee consisting of the Commissioner of Police, the General Manager of the State Fire Office, and the Inspector of Fire Brigades, and should the circumstances warrant it a coroner's inquiry is then recommended.

Extent of Loss.—The following table gives particulars of fire losses during the five years 1938–42, classified according to the amount of loss. No fewer than 27,591 fires (91£7 per cent.) out of a total of 30,083, resulted in a loss of less than £100; while in 23,052 cases, or 76£6 per cent. of the total, the loss per fire was less than £10. The aggregate loss involved in these fires is small—those under £10 accounting for only 2£2 per cent., and those under £100 for 6£7 per cent., of the total amount paid out. On the other hand, only 1£4 per cent. of the total number of fires resulted in a loss of £1,000 or upwards; but the aggregate loss within this category constituted 67£4 per cent. of the total. Corresponding figures for fires in which the loss was £5,000 or over are 0£3 per cent. and 44£8 per cent. respectively.

Loss Category.Number of Separate Fires.Insurance Cover on Buildings, Ac., affected.Amount of Loss.Average Amount of Loss per Fire.Proportion of Loss to Total Loss.
££ £££Per Cent.
Under 1023,05215,812,91865,36832£2
10 and under 252,7684,942,74842,197151£4
25 and under 501,0492,822,60536,722351£2
50 and under 1007222,316,92850,820701£7
100 and under 2006391,916,85188,9721392£9
200 and under 3003611,051,78888,1792442£9
300 and under 400266493,01593,0963503£1
400 and under 500211353,69595,4384523£2
500 and under 7503801,186,050236,2926227£8
750 and under 1,000221477,932190,1318606£3
1,000 and under 2,0002221,109,716308,2391,38810£2
2,000 and under 3,00053347,981132,1632,4944£4
3,000 and under 4,00040435,539143,2433,5814£7
4,000 and under 5,00022140,81898,1584,4623£2
5,000 and over773,725,4881,354,84517,59544£8
Totals30,08337,134,0723,023,863101100£0

Seasonal Incidence of Fires.—The following table gives particulars of fires and losses, &c., for the years 1938–42 according to the month in which the fire occurred. It will be observed that the greatest number of fires occur in the winter months, the season in which open fireplaces and heating-appliances are used to the greatest extent. The majority of these fires, however, result in a very small amount of loss. being mainly on account of damage caused to furniture, floor coverings, clothing, &c. The more serious fires would appear to take place in the drier period of the year, the greatest average loss per fire being experienced in February, April, and March in that. order.

Month in which Fire occurred.Number of Separate Fires.Insurance Cover on Buildings, &c., affected.Amount of Loss.Average Amount of Loss per Fire.Proportion of Loss to Total Loss.Proportion of Fires to Total Fires.
  £££Per Cent.Per Cent.
January1,9692,884,485232,2941187£76£6
February1,7302,796,301293,5011709£75£7
March1,9413,317,009296,4221539£86£4
April2,0673,266,729323,35215610£76£9
May2,7512,778,074212,942777£09£1
June3,3273,042,873310,6839310£311£1
July4,0333,720,979184,659466£113£4
August3,3533,587,584371,06611112£311£1
September2,5282,620,562198,053786£68£4
October2,3773,386,881188,148796£27£9
November2,1202,990,057206,753986£87£1
December1,8872,742,538205,9901096£86£3
Totals30,08337,134,0723,023,863101100£0100£0

The table hereunder shows the daily incidence of fires for the years 1938–42. For classification purposes, a day is regarded as commencing at midnight.

Day of Week on which Fire occurred.Number of Separate Fires.Insurance Cover on Buildings, &c., affected.Amount of Loss.Average Amount of Loss per Fire.Proportion of Loss to Total Loss. 
  £££Per Cent. 
Sunday3,9363,876,243352,8889011£7 
Monday4,8435,851,000394,8128213£0 
Tuesday4,3696,201,124609,83714020£2 
Wednesday4,3385,483,263426,5549814£1 
Thursday4,2815,268,242511,41711916£9 
Friday4,1285,427,318319,5057710£6 
Saturday4,1084,967,087408,5259913£5 
Not stated8059,79532540£0 
Totals30,08337,134,0723,023,863101100£0 

Class Groups.—Commencing with the year 1940, losses have been classified in broad groups according to the nature of the risk, the figures for the three years 1940–42 being presented in the next table. The most numerous group, dwellings, represented 83£1 per cent. of the total fires and 37£2 per cent. of the aggregate insurance cover on buildings affected, but only 26£3 per cent. of the total loss. It should be noted that the “contents.” where insured, are included in the various class groups. Consequently, the total for the dwellings group is unduly swollen by the numerous small claims on account of damage to personal effects, &c., the actual building not being affected by the fire in many instances.

Class Groups.Number of Separate Fires.Insurance Cover on Buildings, &c., affected.Amount of Loss.Average Amount of Loss per Fire.Proportion of Loss to Total Loss.
  £££Per Cent.
Dwellings, &c.14,7518,796,504484,7103326£3
Hotels, &c.7582,822,78247,989632£6
Bulk stores, &c.47252,20138,7928252£1
Warehouses39831,97117,7354551£0
Shops502,256,030138,1381827£5
Factories and industrial risks6036,465,191364,12260419£8
Farm risks and station property (other than dwellings)26362,72824,050911£3
Theatres and places of public amusement80306,46522,3592791£2
Miscellaneous risks (including unclassified)4531,848,522702,6701,55138£2
Totals17,75423,642,3941,840,565104100£0

MUTUAL FIRE-INSURANCE ASSOCIATIONS.

—Mutual associations are governed by the Mutual Fire Insurance Act, 1908, which allows one hundred or more owners of isolated or farm property to subscribe to a declaration and form themselves into a mutual association to insure against loss by fire to an amount in the aggregate of not less than £40,000. 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.

In addition to furnishing returns to the Census and Statistics Department, each mutual association (of which there are three in existence) is required to furnish to the Public Trustee a statement of the condition of the association as at the 31st March in each year.

STATE FIRE INSURANCE.

—The New Zealand State Fire Office was the first competitive State fire-insurance office in the world, and first opened for business on 4th January, 1905, with a borrowed capital (long since repaid) of £2,000. The income of the office in its first year was £13,135. In 1943 this figure had risen to £291,019, and reserves and funds at 31st December, 1943, totalled £1,260,500.

The premium income figures in the following table include amounts which are returned to policyholders by way of bonus rebates. At the end of 1936 the bonus rebates then in existence were converted into permanent premium rate reductions, a new series of bonus rebates being instituted at the same time. This series of bonus rebates has (as from 1st March, 1944) also been converted into permanent premium-rate reductions, and a further series of 10 per cent. on all wooden risks and 15 per cent. on brick risks is granted to policyholders on renewal. In addition, a reduction of premium rates on wooden dwellings came into operation on the same date.

Apart from claims, and the bonus rebates which amounted to £47,128, the principal items of expenditure for 1943 were as follows: Working-expenses, £54,512; Fire Board contributions, £16,144; income-tax, £83,788; and national security and social security taxes, £18,201.

Year.Net Premium IncomeTotal Net Income.Net Losses.Accumulated Funds.Assets.
 £££££
1939205,539256,28239,4431,191,1751,333,243
1940218,253268,51131,6171,206,1341,391,644
1941222,458269,69528,8961,224,2441,456,823
1942222,081280,71934,2341,241,2711,547,103
1943225,037291,01925,0181,266,5001,592,216

The ratio of claims to premiums in 1943 was 11£1 per cent., as compared with 15£4 per cent. in 1942: the working-expenses (including Fire Board levies) ratio was 31£4 per cent., as against 33£3 per cent.; while the ratio of taxes to total income increased from 32£6 per cent. in 1942 to 35£0 per cent. in 1943.

The activities of the State Fire Insurance Office were increased during 1940 under the provisions of the Marine Insurance (War Risks) Emergency Regulations 1940. These regulations provide for the compulsory insurance of all home-trade ships, and all premiums in connection therewith are paid into a special fund. The liabilities of this fund are not the responsibility of the State Fire Office, but the whole of the administration of the scheme is undertaken by it.

EARTHQUAKE AND WAR DAMAGE INSURANCE.

—The War Damage Act, 1941, and its amendment of 1942 made provision for the insurance of property against damage suffered as a result of the present war. The Act was brought into operation by Proclamation as from 19th December, 1941, but the application of its compulsory provisions was deferred until 1st March, 1942. By virtue of the Earthquake Damage Regulations 1944, any property insured against war damage under the War Damage Act was as from 1st March, 1944, deemed to be insured to the same amount against earthquake damage also.

The Earthquake and War Damage Act, 1944, which came into force on 1st January. 1945, follows on the same general lines as the War Damage Act, which is repealed. It also revoked the Earthquake Damage Emergency Regulations. A brief outline of the provisions of the new Act is as follows:—

The Act established within the Public Account a separate account called the Earthquake and War Damage Fund, into which are paid all moneys receivable under the Act. The War Damage Fund established under the original Act became abolished, and all moneys standing to the credit of that Fund were transferred to the new account.

The Fund is administered by the Earthquake and War Damage Commission, consisting of the Minister of Finance as Chairman, the Secretary to the Treasury, the State Fire Insurance General Manager, and four other members.

The Act provides for both compulsory and voluntary insurance against earthquake and war damage. Under the compulsory provisions 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. 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. Premiums at the prescribed rates (originally 5s. per £100 of insurance cover, reduced to 1s. per £100 of cover as from 1st March, 1944), are collected by the insurance companies and paid into the Fund. Up to 28th February, 1944, as a war contribution, all insurance companies gave their services, with attendant administrative out-of-pocket expenses, free of all cost to the Fund. As, however, the scheme, on account of the inclusion of earthquake insurance, ceased to be purely a war measure on 1st March. 1944, a commission of 2 1/2 per cent. has been allowed on all premiums collected from that date.

The Act makes provision for advances to 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; or, if in the opinion of the Minister of Finance, the whole or any part of the deficiency cannot be conveniently met from the Consolidated Fund, recourse is to be had to borrowing. All moneys so advanced or borrowed constitute a capital liability to the Consolidated Fund. Under the original Act, which when first introduced covered war damage only, any advances required were to be made from the War Expenses Account.

“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” includes 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, &c., required for war purposes.

The following statement gives particulars of the War Damage Fund as from the date of its inception to 31st March, 1944. As stated earlier, the Earthquake and War Damage Fund replaced the War Damage Fund as from 1st January, 1945.

19th December, 1941, to 31st March. 1942.1942–43.1943–44.
Income—£££
Premium877,3691,611,2181,423,305
Interest 16,62357,469
 877,3691,627,8411,480,774
Outgo—   
Claims 95655
Salaries1,0185,6962,070
Other working-expenses1,2611,0391,411
 2,2797,6913,536
Surplus875,0901,620,1501,477,238
Amount of fund875,0902,495,2403,972,478

FIRE BRIGADES.—The following table gives particulars of fire brigades (including branches) in the Dominion for each of the last five years.

Year.Stations.Officers.Men.Total Personnel.
19391745692,2932,862
19401795052,1182,623
19411825822,3712,953
19421825192,1462,665
19431855352,2002,735

Chapter 29. SECTION 29.—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.

A scheme for the extension of State benefits to members of friendly societies, on special terms, was introduced by the Finance Act, 1916, and is now embodied in the National Provident Fund Act, 1926—vide Section 24, Social Security, Pensions, Superannuation, &c.

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, &c., registered under the Act) and of lodge members as at 31st December of the years shown.

 Registrations.Lodge Members.
Name of Order.1941.1942.1943.1041.1942.1943.
* Membership figures relate to “actuarial” societies only.
Manchester Unity Independent26826626334,39732,70331,562
Order of Oddfellows      
Independent Order of Oddfellows21921621011,86211,02310,432
National Independent Order of111178168157
Oddfellows      
British United Order of Oddfellows111726764
Ancient Order of Foresters16116015717,55316,38915,684
United Ancient Order of Druids14714714720,38919,53818,930
Independent Order of Rcchabites6867675,0354,7114,574
Order of Sons of Temperance101010561537516
Sons and Daughters of Temperance111122116115
Hibernian-Australasian Catholic8686844,3564,1643,963
Benefit Society      
Protestant Alliance Friendly131212811763729
Society of Australasia      
Grand United Order of Oddfellows141414461440413
Isolated friendly societies787373968*903*868*
Working-men's clubs141414  ..
International Order of Good111111  ..
Templars      
Specially authorized societies161518......
Totals1,1081,0941,08396,76591,52288,007

Annual returns of receipts, expenditure, &c., of lodges are required by law. For the year 1943 the Registrar of Friendly Societies received returns from 922 lodges, with an aggregate membership of 88,007 at the end of the year, as compared with 935 lodges and 91,522 members for 1942. During the year 1,016 members were admitted by initiation, &c., and 433 by clearance; 1,318 died, 451 left by clearance, and 3,195 by arrears, &c.

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 31st December, 1938, a total of 113,709 had been reached. Each of the succeeding five years, however, has witnessed a fall in membership, the number at the end of 1943 being 25,702, or 22£6 per cent., less than in 1938. The various benefits under the Social Security Scheme, particularly medical and hospital benefits (see section 24), have no doubt had a considerable effect on the membership of friendly societies.

The statistics given subsequently relate to the lodges (922 in 1943) 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.

Year.Deaths of Members.Per 1,000 Members at Risk.Deaths of Members' Wives.Per 1,000 Members at Risk.
19391,0609∙474113∙67
19401,07410∙014223∙93
19411,18811∙913963∙97
19421,37114∙464144∙37
19431,31814∙583854∙26

The number of members sick during 1943 was 17,493, representing 19£9 per cent. of members at risk. The sickness experienced during the year aggregated 310,278 weeks, equal to 17 weeks 4 days per sick member, and 3 weeks 3 days for each member at risk.

FUNDS OF FRIENDLY SOCIETIES.

The total funds of the societies and branches as at the 31st December, 1943, amounted to £5,897,959, made up as follows:—

Funds£Assets£
Sick and Funeral Funds4,757,050Investments at interest5,246,206
Surplus Appropriation Funds,&c615,935Value of land and buildings426,979
Management Funds, goods, &c.277,500Cash not bearing interest178,202
Widow and Orphans' Funds38,062Value of goods19,157
Distress, Benevolent Funds, &c.209,412Other assets25,028
  Owing by Management Funds2,387
 £5,897,959 £5,897,959

There has been over many years a continuous increase in the amount of accumulated funds standing to the credit of friendly societies, the increase in the last ten years amounting to £1,359,864, or 30 per cent. The average capital per member has also appreciably increased, the gain in the last ten years amounting to £21 14s. 10d. (48 per cent.). The slight fall recorded in the two years 1936 and 1937 can be attributed to the sharp increases in membership in those years. Conversely, the substantial fall in membership over the last five years has resulted in outstanding increases being shown for the average capital per member. Compared with 1938, the average for 1943 has increased by £20 11s. 7d., or 44£3 per cent.

Year.Total Funds.Average Capital per Member
 ££8. d.
19334,538,09545 5 6
19344,676,42746 8 9
19354,812,78746 9 0
19364,956,94845 17 5
19375,120,12545 7 1
19386,280,47246 8 9
19395,407,60149 11 8
19405,534,36852 19 9
19415,670,75758 12 1
19425,790,52163 5 5
19435,897,95967 0 4

The funds of friendly societies are held chiefly in the form of mortgages on freehold property, as shown in the next table. There was a slight fall in the amount so invested in 1943, while Government and municipal securities showed a substantial increase.

Year.Funds invested at Interest.
Total Funds.Mortgages on Freehold Property.Government and Municipal Securities.Deposited with Banks.Other Investments.Totals.Proportion of Funds invested at Interest.
 ££££££Per Cent.
19385,280,4724,145,053230,587148,13774,1154,597,89287∙07
19395,407,6014,297,449245,167120,16578,7234,741,50487∙68
19405,534,3684,399,394262,030145,62474,6414,881,68988∙21
19415,670,7574,525,992273,431128,34769,9554,997,72588∙11
19425,790,5214,639,298313,562139,91066,6645,159,43489∙10
19435,897,9594,619,042404,002148,27474,8885,246,20688∙95

The average rate of interest earned on investments credited to the Sick and Funeral Funds amounted to £4 9s. 4d. per cent. in 1943, as against £4 9s. per cent. in 1942.

Receipts and expenditure of Sick and Funeral Funds for 1943 are quoted below. Members' contributions showed a decrease of £7,585 as compared with 1942, and the amount paid out on account of sick-pay decreased by £8,446.

Receipts£Expenditure£
Members' contributions160,621Sick-pay to own members177,071
Interest and rent206,864Funeral donations65,209
Repayments by central body110,244Contributions and levies to cen∙ 
Other receipts4,100tral body64,597
  Other expenditure132,099
 £481,829 £438,976

Members' contributions averaged £1 15s. 9d. per member, and interest and rent receipts amounted to £2 6s. 1d. per member, calculated on the mean number of members for the year. Sickness benefits paid averaged £10 2s. 5d. per member sick, or £1 19s. 5d. when averaged over all members, while funeral benefits represented 14s. 6d. per member.

Receipts and expenditure of Medical and Management Funds for 1943 are shown hereunder, a surplus of £5,126 for the year being recorded.

Receipts£Expenditure£
Contributions of own members87,142Medical attendance and medicine25,930
interest and rent7,659Expenses of management53,832
Other receipts17,815Levies to central body13,576
  Other expenditure14,152
 £112,616 £107,490

As compared with 1942, receipts during 1943 showed a decrease of £30,981. Members' contributions fell away to the extent of £28,028, and “other receipts” by £3,998, while interest and rent increased by £1,045. The amount required for medical attendance and medicine was £10,903 less than in 1942, while the difference in total expenditure amounted to £13,481. The decline in contributions and the amount paid for medical attendance and medicine is due to the breaking-down of many of the previously existing medical schemes of the friendly societies, following on the introduction of hospital, medical, and pharmaceutical benefits under the Social Security Act (see section 24).

Chapter 30. SECTION 30.—BUILDING SOCIETIES

THE law relating to building societies incorporated in the Dominion is contained in the Building Societies Act, 1908, which is a consolidation of earlier legislation, most of which had been operative since 1880. The Assistant Registrar of Companies in each district acts as Registrar of Building Societies. Rules, as well as subsequent alterations thereof, must be certified before registration as conforming to legal requirements—by a revising barrister appointed by the Governor-General for the purpose. No stamp duties are payable on documents made under the Act, or generally in respect of building society transactions.

Building societies are afforded all the powers of an ordinary mortgagee, and where a mortgagor makes default in payment of moneys the society may exercise the usual power of sale through the Registrar of the Supreme Court. No reconveyance is needed to discharge a mortgage made under the Act, a receipt endorsed being a sufficient discharge for this purpose.

Authority was taken in the National Expenditure Adjustment Act, 1932, to £fix by Order in Council the maximum rate of interest payable on deposits with building societies. A schedule of maximum rates payable on these and other deposits fixed by subsequent Orders in Council is given on pages 424–425.

Returns of each society's operations are furnished annually to the Census and Statistics Department.

A distinction is made between permanent and terminating societies. A permanent society is statutorily defined as one which has not by its rules any fixed date or specified result at which it shall terminate, and a terminating society as one which by its rules is to terminate at a fixed date, or when a result specified in its rules is attained. In practice a terminating society, or a group thereof, closes when every member so desiring has obtained a loan. There is a considerable difference between the two types of societies, the terminating society being a purely co-operative institution belonging to and managed by the members, proprietary interests being discouraged by placing a limit to the number of shares (usually ton) 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 the typical terminating society contributions are at the rate of 1s. per week per share, each share entitling a member in due course to £100 of loan, with a maximum of £1,000. 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 alternately (roughly) 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 12 ½ years, a weekly instalment of 3s. 1d. per £100 of loan being necessary to achieve this result. 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, 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 usually adopted, the term of repayment varying from 10 to 20 years.

NUMBER OF SOCIETIES.

The number of societies in existence in 1943–44 was 90, of which 57 were permanent and 33 terminating, the latter being comprised of 184 groups. Compared with ten years ago the number of permanent societies has increased by 4. Although the number of terminating societies has manifested a declining tendency in recent years, the number of groups has remained at practically the same level during the last eight years, and the number of members holding shares has risen substantially. Compared with ten years earlier, the number of contributing or investing shares has risen by 41,849 (39£6 per cent.), and the number of members holding such shares by 5,808 or 18.2 per cent.

SHARES.

A synopsis of the extent to which investments have been made in building-society shares during the last five years is contained in the following table.

1939–40.1940–41.1941–42.1942–43.1943–44.
  Investing Shares     
Number of shares392,035401,202408,768419,566455,902
Members holding50,24649,68351,44054,02156,379
Aggregate value£4,058,798£4,143,225£4,359,445£4,514,526£4,592,876
  Capital Shares     
Number of shares603,001611,074613,857617,011621,406
Members holding5,6925,7585,7795,7855,752
Aggregate value£1,515,740£1,549,386£1,564,702£1,569,182£1,578,713

The average value in 1943–44 of each investing share was £10 1s. 6d., as compared with £10 17s. 5d. in 1938–39, and of each capital share £2 10s. 10d., as compared with £2 9s. 4d. five years earlier. The following is a comparison (1943–44) between permanent and terminating societies on the basis of the distribution of share-money and the numbers of holders of shares.

Permanent.Terminating.Total.
  Investing Shares   
Number of shares308,759147,143455,902
Members holding19,23937,14056,379
Aggregate value£2,197,617£2,395,259£4,592,876
  Capital Shares   
Number of shares621,406621,406 
Members holding5,7525,752 
Aggregate value£1,578,713£1,578,713 

Of the total aggregate value of both investing and capital shares, amounting to £6,171,589, 61 per cent. is held in permanent societies and 39 per cent. in terminating societies. On the other hand, the number of members holding shares in permanent societies is only 40 per cent. of the total, the terminating societies' shareholders representing 60 per cent. As previously mentioned, however, one person may hold shares in several groups of a terminating society.

RECEIPTS AND PAYMENTS.

Following is a summary of receipts and payments during each of the five years 1939–40 to 1943–44.

1939–40.1940–41.1941–42.1942–43.1943–44.
  Receipts£££££
Investors' subscriptions and capital shares669,405615,902651,583658,237729,612
Advances repaid1,091,9051,174,0921,275,5621,319,9501,435,927
Deposits2,062,8231,644,6391,456,3291,274,2011,258,028
Interest357,033386,582385,934395,456398,372
Other receipts228,766172,127149,566174,605265,220
Total receipts4,409,9323,993,3423,918,9743,822,4494,087,159
  Payments     
Withdrawals362,537366,032357,288358,865486,377
Advances1,653,7121,576,7301,591,7691,478,3761,829,655
Expenses of management87,32794,376102,610103,774103,398
Deposits repaid1,853,8161,530,9551,401,7991,398,5431,216,890
Interest, dividends, &c.376,067379,098421,859436,695506,759
Total payments4,333,4593,947,1913,875,3253,776,2534,143,079

LOANS.

The number and amount of loans at the end of each of the last five years were as follows:—

 Permanent Societies.Terminating Societies.Total.
Year.Number.Amount.Number.Amount.*Number.Amount.
* Includes balance owing on premiums on loans.
  £ £ £
1939–4013,5107,751,4548,1112,591,63521,62110,343,089
1940–4114,0837,951,6277,9582,629,90622,04110,581,533
1941–4214,6368,294,9228,0472,681,02922,68310,975,951
1942–4314,5448,218,9388,3852,795,52222,92911,014,460
1943–4414,5548,393,7058,4442,984,48722,99811,378,192

The average amount per loan current at the end of each of the last five years was:—

Class.1939–10.1940–41.1941–42.1942–43.1943–44.
 £s.d.            
£s.d.             
£s.d.             
£s.d.             
£s.d.             
Permanent societies573152564126566141156522576147
Terminating societies3191053309633335333711353811
All societies4787848018483178480754941411

Particulars of loans granted during each of the last five years are as follows:—

Year.Permanent Societies.Terminating Societies.
By Ballot.By Auction.
Number.Amount.Number.Amount.Number.Amount.Premiums.
  £ £ ££
1939–401,8971,144,909490243,981436207,18153,106
1940–411,8941,072,424505259,113355179,99152,083
1941–422,1481,207,787488266,830369198,57453,949
1942–431,795881,233496290,051389251,27370,989
1943–442,0081,213,990566313,432405254,64383,372

The average premium on loans auctioned declined progressively from £27.6 per cent. in 1931–32 to £20.0 per cent. in 1935–36 in sympathy with the downward trend in interest rates, but, despite the fact that interest rates generally have been still further reduced, the average premium in 1943–14 was £32.7, or 63.5 per cent., above that of 1935–36. Assuming the usual loan currency of twelve and a half years, the average premium in 1934–44 is equivalent to an interest rate of approximately 4 3/8 per cent., as compared with 3 per cent. in 1935–36.

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 a new dwelling is deemed to include one which has been built by the borrower within twelve months preceding the granting of the loan. Particulars for 1943–44, with totals for earlier years, are as follows:—

 To Finance the Erection of New Dwellings.To Finance the Purchase of Dwellings already Built.For other and unspecified Purposes.Totals.
No.Amount.No.Amount.No.Amount.No.Amount.
  £ £ £ £
Permanent societies123125,5381,500933,110385155,3422,0081,213,990
Terminating societies—        
  By ballot3319,018273162,048260132,368566313,432
  By auction4225,622247166,95311662,068405254,643
  Totals, all societies—        
    1943–44198170,1782,0201,262,109761349,7782,9791,782,065
    1942–43262215,6561,671878,795747328,1062,6801,422,557
    1941–42391296,1971,809990,502805386,4923,0051,673,191
    1940–41730463,8361,227667,946797379,7462,7541,511,528
    1939–40697512,8381,203654,605923428,6282,8231,596,071

The considerable number of loans shown for other and unspecified purposes is 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 and purchase of dwellings.

The transfer of normal building activity to construction work in connection with war activities has produced a sharp fall in the amount of loans granted to finance the erection of new buildings, each year since 1940–41 showing a decrease on the preceding year's figures. This has diverted loan-moneys to the purchase of dwellings already built, the amount granted for this purpose in each of the last three years being substantially above the pre-war totals. Compared with 1938–39, the 1943–44 amount showed an increase of £552,123, or 78 per cent.

LIABILITIES AND ASSETS.

The liabilities and assets of building and investment societies for each of the last five years were as follows:—

LIABILITIES

Year.To Shareholders (including Reserve Funds and Undivided Profits).Deposits.Appropriations not taken up, or in Trust.To Bankers and other Creditors.Total Liabilities.
 £££££
1939–406,765,2313,973,173235,391302,25011,276,045
1940–416,925,5944,156,827274,329238,99211,595,742
1941–427,173,8694,205,583287,285358,07012,024,807
1942–437,407,0944,215,140282,682269,77612,174,692
1943–447,568,7424,373,389306,848365,24812,614,227

ASSETS

Year.Advances on Mortgage.*Other Investments and Assets.Cash in Hand and at Bank.Total Assets.
* Including balance owing on premiums on loans.
 ££££
1939–4010,343,089575,354357,60211,276,045
1940–4110,581,533615,436398,77311,595,742
1941–4210,975,951690,962357,89412,024,807
1942–4311,014,460708,462451,77012,174,692
1943–4411,378,192894,346341,68912,614,227

DEPOSITS.

From April, 1932, figures of deposits with building societies have become available under section 44 of the Building Societies Act, 1908, as amended by the National Expenditure Adjustment Act, 1932. Investment societies are included with building societies in the following figures, as the two classes are not distinguished in the returns. The figures relate to the 31st March, 1944.

Rate of Interest (per Cent.).At Call or under Three Months.Three Months and under Two Years.Two Years and over.Total.
 ££££
Nil2,791....2,791
Under 2½174,323562,605159737,087
2½ and under 3523,011..332,925855,936
3 and under 3½....2,727,1512,727,151
3½ and under 4....446,672446,672
4 and under 4½....362,577362,577
Totals700,125562,6053,869,4845,132,214
Average rate of interest (per cent.)2.121.813.122.84

Chapter 31. SECTION 31.—MORTGAGES

MORTGAGE LAW.

Under the Property Law Act a “mortgage” is defined as including a charge on any property for securing money or money's worth; and “mortgage-money” means money or money's worth secured by a mortgage. Under the Land Transfer Act “mortgage” means and includes any charge on land created under the provisions of that Act for securing:—

  • The repayment of a loan or satisfaction of an existing debt;

  • The repayment of future advances, or repayment 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, vide p. 201, 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, 1908, and the Land Transfer Act, 1915, may be mortgaged. Where, however, property is subject to restrictions upon alienation, these restrictions usually apply to prevent such property being mortgaged. The following are the main instances in which mortgage of property is forbidden by law:—

  • Family homes registered under the Family Protection Act, 1908.

  • Maintenance-moneys under the Family Protection Act, 1908.

  • Inalienable life annuities (Inalienable Life Annuities Act, 1910).

  • Pensions under the War Pensions Act.

  • 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 24 of the Property Law Act, 1908.

  • An infant's property, by the infant (Infants Act, 1908, sections 12 and 13).

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. 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 duo 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 the mortgaged land or part of it, the mortgagor loses his right of redemption after twenty years from the date of the mortgagee's entering into possession, or after twenty years from the last written acknowledgment of the mortgagor's title or of his right to redeem.

The Property Law Act 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.

MORTGAGORS AND LESSEES REHABILITATION.

The economic conditions prevailing in New Zealand consequent upon the world-wide depression led to the enactment in the early months of 1931 of legislation designed for the relief of mortgagors. The complexity of the problem necessitated much further legislation, and a consolidating Mortgagors and Tenants Relief Act was passed in December, 1933. The Rural Mortgagors Final Adjustment Act, 1934–35, which was passed in April, 1935, represented a definite attempt on the part of the Government to effect a final clearing-up of the burden of rural indebtedness. Both these enactments, which are described in some detail in the 1936 issue of the Year-Book (pp. 567–70), were repealed by the Mortgagors and Lessees Rehabilitation Act, 1936, a description of which may be found in the 1940 issue of the Year-Book (pp. 743–47).

In addition to the relief granted to mortgagors by way of adjustment of their liabilities, a reduction in interest-rates was effected by Part III of the National Expenditure Adjustment Act, 1932. The reduction in the rate of interest was 20 per cent., but the reduced rate was not to be below 6 1/2 per cent. in the case of chattel mortgages, nor 6 per cent. in the case of other mortgages, except in the case of income-tax-free company debentures to which section 171 of the Land and Income Tax Act, 1923, was applicable. In such cases the minimum was fixed at 4 1/2 per cent. The Act originally applied to interest accruing on or after 1st April, 1932, and before 1st April, 1935, but the reduction was later made permanent. Mortgages (not being for a fixed term, expired or unexpired) securing the repayment of principal, moneys repayable on demand, and mortgages executed after 1st April, 1932, are exempt from the provisions of the Act.

The maximum rates of interest payable under mortgages adjusted in terms of the Mortgagors and Lessees Rehabilitation Act, 1936, were fixed by Order in Council at 4 3/4 per cent. per annum for first mortgages on land and 6 per cent. for all other mortgages.

The Mortgagors and Lessees Rehabilitation Act set up a Court of Record entitled the Court of Review, and provided for the appointment of Adjustment Commissions. Orders made by these Commissions in adjustment of mortgages, &c., were registered with the Court. The following statement shows the number of applications dealt with.

 Farm.Other.Totals.
Applications filed15,62118,91234,533
Applications withdrawn3,2235,0718,294
Voluntary adjustments1,3271,3032,630
Orders made11,07112,53823,609

The next statement indicates the extent to which relief was granted to mortgagors and lessees in those cases where orders were made by Adjustment Commissions and filed in the Court of Review.

 Farm.Other.Totals.
Principal reduced5,4064,0819,487
Interest arrears remitted4,9822,6397,621
Term of first mortgages extended7,6228,80716,429
Term of second or subsequent mortgages extended3,0182,7575,775
Rate of interest reduced9,14610,71019,856
Rental reduced2,4771752,652
Rental arrears reduced or remitted2,3271652,492
Remission of unsecured debts3,4464783,924
Amount written off by—£££
Reduction of principal5,589,1481,047,6666,636,814
Remission of interest arrears1,368,768224,8651,593,633
Reduction or remission of rent arrears432,04312,999445,042
Remission of unsecured debts1,143,47866,3671,209,845
Total8,533,4371,351,8979,885,334

WAR REGULATIONS AFFECTING MORTGAGES.

Following the outbreak of war in September, 1939, the Courts Emergency Powers Regulations 1939 provided that no person could, without the leave of the appropriate Court, do or complete certain acts in respect of existing contracts, &c. These acts included the calling-up of sums secured by mortgage, the exercise of a power of sale under a mortgage, and the commencement or continuation of proceedings for the breach of a covenant under a mortgage other than a covenant for the payment of interest.

The 1939 regulations referred to were superseded by the Debtors Emergency Regulations 1940, and special provisions for the relief of mortgagors were made at the same time (31st July, 1940) by the Mortgages Extension Emergency Regulations 1940. The Mortgages Extension Emergency Regulations apply to all mortgages whether executed before or after the commencement of the regulations, and notwithstanding that any power of sale, rescission, or entry into possession may have been exercised.

Except with the leave of the Court, it is not lawful for any mortgagee or other person:—

  1. To call up or demand payment from any mortgagor or guarantor of the principal sum or any part of the principal sum secured by any mortgage or guarantee:

  2. To commence, continue, or complete the exercise of any power of sale conferred by any mortgage or to exercise any power of rescission or entry into possession conferred by any mortgage, except in respect of property which the mortgagor has abandoned:

  3. To commence or continue any action or proceeding in any Court for breach of any covenant, condition, or agreement expressed or implied in any mortgage or guarantee other than a covenant, condition, or agreement for the payment of interest:

  4. To commence or continue any action or proceeding in any Court for any interest secured by any mortgage or guarantee in excess of interest at the reduced rate (if any) provided for in the mortgage or guarantee in the case of punctual payment.

In determining whether leave to act is to be granted, the Court may take into consideration:—

  1. The effect of the continuance of the mortgage upon the security thereby afforded to the mortgagee:

  2. The desirability of retaining the mortgagor in possession of the mortgaged property:

  3. The inability of the mortgagor or guarantor to redeem the property or to pay the moneys either from his own moneys or by borrowing at a reasonable rate of interest:

  4. The conduct of the mortgagor or guarantor in respect of any breaches by him of the covenants of the mortgage or guarantee:

  5. The extent to which any default of the mortgagor or guarantor has been caused by any economic or financial conditions affecting trade or industry in New Zealand, whether or not they are attributable to any war in which His Majesty may be engaged.

In an action for the recovery of interest secured by a mortgage or guarantee the Court may, instead of giving judgment for immediate payment, give judgment for payment at a date to be fixed or for payment by instalments.

An amendment (in 1941) to the Mortgages Extension Emergency Regulations made special provision in respect of mortgages covering stock on or produce of mortgaged land. The mortgagor, the mortgagee of the land, the lessor of the land, or any other person having any interest in the land, may make application in regard to the stock mortgage, and the Court may make such order as it thinks fit with respect to:—

  1. The keeping of accounts of all moneys received and expended by the stock mortgagee on account of the mortgagor, after the service on the stock mortgagee of a copy of the application:

  2. The application of moneys received as aforesaid as between the mortgagor, the stock mortgagee, the mortgagee of the land, the lessor of the land (if any), and any other persons having a secured interest in the land or in the proceeds derived from the use of the land:

  3. Such other matters as the Court in its discretion thinks necessary or desirable for the purposes aforesaid.

MORTGAGES REGISTERED AND DISCHARGED.

A table is given showing the amount represented by mortgages registered and discharged during each of the last twenty years.

Year ended 31st March,Mortgages registered.Mortgages discharged.
 ££
192541,123,96629,733,883
192647,093,78033,958,144
192739,979,68129,233,329
192833,190,51923,998,840
192933,659,93225,269,613
193038,869,14428,328,993
193130,208,44720,056,691
193213,410,58110,036,385
19339,161,6638,149,355
19347,802,8539,086,847
193511,845,63413,732,853
193616,227,05817,553,233
193719,697,06419,799,186
193819,008,18419,344,030
193920,041,41616,594,825
194017,621,11214,101,049
194116,207,27415,933,724
194214,549,55515,098,801
194312,140,51316,679,795
194415,596,79020,029,988

The figures for the years prior to 1929-30 include duplicate registrations— i.e., cases where a mortgage has been registered in more than one district—but from 1929-30 onwards the extent of duplication has been available and the figures have been adjusted accordingly. It should also be noted that the figures include collateral 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, &c. In addition there are numbers of privately arranged advances which are not registered; and stock and crop hens, bills of sale, and instruments under the Chattels Transfer Act are not included in the statistics.

Many discharges are not registered, particularly in the case of leaseholds and also of second or other further mortgages when the power of sale has been exercised by the first mortgagee. The figures for discharges are further affected by the high proportion of table mortgages. This is particularly so in cases where the mortgage is approaching maturity, since the whole amount remains on the register until finally discharged, despite the fact that the original amount of indebtedness has been considerably reduced.

Mortgages registered.

The total amount for which mortgages were registered, both under the deeds-registration system and under the Land Transfer Act, in each registration district during the last five financial years is given in the next table.

District.1939-40.1940-41.1941-42.1942-43.1043-44.
 £££££
Auckland5,609,0205,642,2115,122,4564,119,0225,191,665
Gisbourne475,781526,412404,373366,170281,564
Hawke's Bay ..891,851824,563737,871578,839758,248
Taranaki999,050753,713666,781518,613858,790
Wellington3,700,4223,643,3053,270,1582,580,8883,022,669
Marlborough209,969134,817185,31692,675202,420
Nelson348,350287,368252,417232,300297,737
Westland154,036124,903122,59178,818111,396
Canterbury2,814,8282,137,7612,213,2731,840,8682,395,515
Otago1,583,4991,467,0441,260,6921,140,7271,639,280
Southland893,649926,138741,495600,561886,543
Gross totals17,680,45516,468,23514,977,42312,149,48115,645,827
Duplications59,343200,961427,8688,96849,037
Net totals17,621,11216,267,27414,549,55512,140,51315,596,790

Mortgage registrations, which declined appreciably during the first three years following the outbreak of war, commenced to move upwards again early in 1943. In the financial year 1943-44 the total of net registrations exceeded the 1942-43 figure by £3,456,277, or 28£5 per cent., but, compared with 1938-39 showed a decrease of £4,444,656 (22£2 per cent.). The number of mortgages comprising the net aggregate in 1943-44 was 10,725, which was 1,625 (10£8 per cent.) greater than in 1942-43, but 5,907 (26£1 per cent.) less than in 1938-39. These figures are exclusive of registrations in which the amount of consideration was not stated.

Of the gross total of £15,645,827 registered in 1943-44, £15,581,828, or 99£6 per cent., was in respect of mortgages under the Land Transfer Act. The proportion is now approaching 100 per cent., owing to the operation of the Land Transfer (Compulsory Registration of Titles) Act, 1924 (vide Section 16a).

Classification by Amount.—Of the net total of £15,596,790 registered for the financial year 1943-44, mortgages up to £500 in value represented 13£7 per cent. of the total; from £501 to £1,000, 28£7 per cent.; from £1,001 to £5,000, 41£5 per cent.; and above £5,000, 16£1 per cent. In regard to numbers, however, 43£3 per cent. were for amounts not exceeding £500, 34£9 per cent. for amounts from £501 to £1,000, 20£2 per cent. for amounts from £1,001 to £5,000, and only 1£6 per cent. for amounts exceeding £5,000. The following table gives the number and amount in each registration district according to the sum secured.

 £500 and under.£501 to £1,000£1,001 to £5,000.Over £5,000.
District.Number.Amount.Number.Amount.Number.Amount.Number.Amount.
  £ £ £ £
Auckland1,916608,5511,8961,430,2201,2522,445,99264706,902
Gisborne9931,8654935,22149103,0268111,452
Hawke's Bay22876,457276211,151116238,29526232,345
Taranaki19663,207189142,668183428,61830224,297
Wellington1,222352,5901,060822,6076661,235,33058612,136
Marlborough8626,3515439,2253678,854857,990
Nelson22563,577165122,0665998,094214,000
westland10327,8076244,8312338,758....
Canterbury1,360406,970961739,031480901,64645347,S68
Otago1,390358,516763607,026279490,06117183,677
Southland416119,183375282,142236426,323958,895
Gross totals7,2412,135,0805,8504,476,1883,3796,484,9972672,549,562
Duplications375032,43712,800543,050
Net totals7,2382,134,3305,8474,473,7513,3786,482,1972022,506,512

In addition to the numbers shown above, there were 3,203 mortgages registered in 1943-44 and 1,975 in 1942-43 for which no amounts were shown. Excluding these, the average amount for each mortgage registered in 1943-44 was £933, as compared with £804 in 1942-43, and £896 in 1938-39.

Mortgagee on Urban and Rural Securities.—Figures are available in the case of land transfer mortgage registrations showing for each registration district the amounts advanced on urban and on rural properties. No similar data are available in regard to the insignificant amount registered under the deeds system. The distinction is between “town and suburban'' and “country'' holdings, but sufficient information to permit of a strictly accurate classification 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 1943-44 were secured on areas averaging a little less than one-third of an acre in extent, as compared with an average area of some 264 acres in the ease of “countryx201D; securities.

Town and suburban securities accounted for 72 per cent. of the number and 50 per cent. of the aggregate value of land-transfer mortgages in 1943-44, as compared with 28 per cent. and 44 per cent. respectively in the case of country properties.

The average amount secured per acre on rural holdings was £4 13s. 2d., as against £1,864 in the case of town and suburban properties, but area bears little relationship to value in the latter case, as the greater part of the security in many instances consists of the buildings erected on the land. The average amount of each mortgage on country property was £1,230, as compared with £608 on town and suburban holdings. Comparable figures for 1942-43 were £1,131 and £578 respectively. The following table gives mortgages registered during the year 1943-44 under the Land Transfer Act.

 Town and Suburban.Country.
District.Number.Area.Amount secured.Number.Area.Amount secured.
  Acres.£ Acres.£
Auckland4,2831,8242,755,9842,231399,0732,371,682
Gisbourne1597475,67110397,830205,893
Hawke's Bay563356337,63423583,122420,614
Taranaki396241249,40638081,171609,384
Wellington2,8746731,794,348820251,9311,228,321
Marlborough14410774,7998550,463127,621
Nelson33786180,49917221,004117,238
Westland1663881,350375,92330,046
Canterbury2,4185671,478,821693186,563916,694
Otago2,1963911,220,201458182,042419,079
Southland772311452,008381118,085433,935
Totals14,3084,6688,701,3215,5951,477,2076.880,507

An eleven-year summary upon similar fines is also given. Following the low figures of the depression period, there was an increase in mortgage registrations commencing with the year 1934-35. The peak year for country properties was 1936-37 and for town and suburban properties 1938-39, after which there was a continuous downward movement until 1943-44. The amount secured on town and suburban properties by mortgages registered in 1943-44 showed an increase of £1,207,729 (16£1 per cent.), over the previous year, but it was £3,051,277, or 26£0 per cent., less than in the pre-war year 1938-39. The amount secured on country properties by mortgages registered in 1943-44 also exceeded the 1942-43 figure, the difference amounting to £2,270,115 (49£2 per cent.), but compared with 1938-39 there was a decrease of £1,701,742, or 19£8 per cent.

  Area.Amount secured.
Year ended 31st March,Number.Town and Suburban.Country.Total.Town and Suburban.Country.Total.
  Acres.Acres.Acres.£££
193412,1922,7491,433,8921,436,6413,873,0763,779,9177,652,99:
193514,7753,4251,988,1741,991,5995,087,5346,608,107ll,695,64j
193618,6794,6012,558,6542,563,2557,731,7459,325,47817,057,221
193721,8754,8582,446,3242,451,1828,932,96610,486,48519,419,451
193823,7616,2441,889,5681,895,81210,324,9438,547,84618,872,78!
193924,8475,4181.977,9591,983,37711,752,5988,582,24920,334,84'
194022,5475,0351,845,6561,850,6919,879,3897,688,12617,667,51!
194121,6184,9541,698,6091,703,5638,705,4517,706,88216,412,331
194220,6564,9741,407,8191,412,7939,137,4365,800,94214,938,37*
194317,0443,9261,083,7501,087,6767,193,5924,610,39212,103,98-:
194419,9034,6681,477,2071,481,8758,701,3216,880,50715,581,828

Rates of Interest.—Classified according to the various rates of interest, and including duplicate registrations (to the extent of £49,037 in 1943-44 and £8,968 in 1942-43), the amounts in the mortgage-deeds registered were:—

Rate per Cent.1942-43.1943-44.
 ££
¼..1,725
11,2501,770
22,03020,687
6,85026,390
1,880 
3107,988107,786
..466
45,81965,740
1,0005,178
4423,8481,051,225
4⅛678,6561,355,113
749,9641,087,140
4⅓3,000..
4⅜..3,600
3,294,7464,240,957
4⅝104,37368,050
4⅔500..
227,705235,810
4⅞..700
53,212,5493,683,129
5400..
5⅙2,6501,175
42,36540,300
233,678215,235
5⅗1,352..
5,345600
5⅘400..
6252,415272,043
8,0005,810
6⅘385..
71,172134,492
6⅘..600
355..
7103,73395,612
5,4077,080
135..
825,35434,114
94321,700
1022,26020,582
12½170..
22½110..
25110330
3096..
35..500
Unspecified2,510,9992,860,188
Totals12,149,48115,645,827

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. State Advances mortgages were excluded from the average computation for some years prior to 1935-36. Averages for recent years have been as follows:—

Year ended 31st March,Average Rate per Cent
19345∙56
19355∙06
19364∙73
19374∙60
19384∙65
19394∙58
19404∙69
19414∙69
19424∙73
19434∙72
19444∙63

As indicated earlier in this section (page 461), rates of interest in recent years 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£63 per cent. in 1943-44. In the former year 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 1943-44 were 93£5 per cent. and 2£4 per cent. respectively.

A further analysis of the position is given below.

Year ended 31st March,Not exceeding 4 per Cent.Exceeding 4 per Cent. but not exceeding 5 per Cent.Exceeding 5 per Cent. but not exceeding 6 per Cent.Exceeding 6 per Cent.
  Amount  
 ££££
1934203,0702,458,7442,450,773861,925
1935995,2555,765,6832,014,969596,914
19361,754,8699,766,0861,868,635454,875
19371,354,59513,331,0681,380,466479,509
1938935,36613,625,5221,008,122720,930
1939915,58914,452,735941,282411,840
1940783,30712,877,9351,220,653350,802
1941973,45211,039,303947,733280,391
1942649,99810,128,707862,531398,889
1943590,6658,271,493538,805237,719
1944..1,280,96710,674,499529,353300,820
  Percentage of Total  
 Per Cent.Per Cent.Per Cent.Per Cent.
19343∙441∙241∙014∙4
193510∙661∙521∙56∙4
163612∙770∙513∙53∙3
19378∙280∙68∙32∙9
19385∙783∙76∙24∙4
19395∙586∙45∙62∙5
19405∙284∙58∙02∙3
19417∙383∙47∙22∙1
19425∙484∙17∙23∙3
19436∙185∙85∙62∙5
194410∙083∙54∙12∙4

Mortgages discharged.

In each of the last three years the amount represented by mortgages released has exceeded the value of registrations. The net amount released in 1943-44 exceeded the previous year's discharges by £3,350,193 (20£1 per cent.), and, in addition, was higher than in any other year since 1930-31. Of the gross total of mortgages released in 1943-44, £19,729,610 was under the Land Transfer Act and £300,703 under the deeds-registration system. The corresponding figures for the previous year were £16,638,848 and £59,245 respectively.

The total amount of mortgages discharged, including mortgages under the deeds-registration system, for the last four years is as follows:—

 1940-41.1941-42.1942-43.1943-44
District.Number.Amount.Number.Amount.Number.Amount.Number.Amount.
  £ £ £ £
Auckland7,4124,990,3290,9754,050,8397,5715,077,0708,7250,929,954
Gisborne430380,970392334,000340092,145451589,082
Hawke's Bay1,0431,078,000989845,0241,130885,7811,1771,097,977
Taranaki1,074907,8571,137930,2151,001922,7051,1701,043,229
Wellington4,3053,488,4004,0843,534,0204,9903,808,9155,2543,910,440
Marlborough207110,789223194,725213120,120314243,095
Nelson041281,850600255,784037313,377838397,481
Westland185181,12019081,10215067,095219101,132
Canterbury3,3022,309,5393,4242,302,8703,7582,213,9944,3302,990,332
Otago2,8051,395,9882,7731,290,0452,7381,323,3493,2251,748,022
Southland1,310088,4981,179073,8801,112013,4821,453973,503
Gross totals22,90015,934,08422,57815,099,17023,71210,698,09327,10220,030,313
Duplications33001309418,2981325
Net totals22,89715,933,72422,57715,093,80123,70810,079,79527,10120,029,988

ESTIMATE OF MORTGAGE INDEBTEDNESS.

Statistics of the registrations of mortgages on land and of the discharges of such mortgages date hack to 1873. The amount of mortgages now in force, however, cannot be ascertained directly from the registration figures, for the following reasons:—

  • No amount is shown as secured in many cases where a mortgage is given in anticipation of advances.

  • Many privately arranged advances are not registered.

  • The figures include collateral and guarantee mortgages not representing money indebtedness.

  • Duplicate registrations were included until recent years.

  • Many discharges are not registered.

  • In the case of table mortgages, the whole amount remains on the register till the last instalment is paid.

The factors leading to overstatement of the amount remaining are much more important than those tending to understatement, and the main source of weakness of the figures, for the purpose of ascertaining the amount in force, is undoubtedly the failure to register many discharges.

On page 755 of the 1940 issue of the Year-Book will he found figures showing the estimated mortgage indebtedness on land over a period of forty years. The estimate as at 31st March, 1900, was £35,000,000, and by a series of gradual increases a maximum of £245,000,000 was reached in 1932. By 31st March, 1939, the figure had fallen to £230,000,000, and subsequent transactions have resulted in a further decrease, the estimated amount as at 31st March, 1944, being £225,000,000. Of this amount £110,000,000 was in respect of town and suburban lands and £115,000,000 in respect of country lands. It should be noted that these estimates relate solely to mortgages of real estate. Mortgages on stock or chattel securities are not included.

MORTGAGES AND LAND VALUES.

In the returns of land, which are required by law to be furnished annually to the Commissioner of Taxes by all owners of land of an aggregate Government unimproved value of £500 or over, provision is made for showing (for mortgage exemption purposes) particulars of amounts owing by the taxpayer at noon on the 31st March, secured on the land either by registered mortgage or by agreement to purchase. Although this source of information does not cover all mortgages nevertheless most informative figures on the question of the incidence of mortgages in conjunction with such matters as area, unimproved value, and location (i.e., urban or rural) are disclosed.

The statistics quoted, which are the latest available, are the third of a series which commenced with the tax-assessment year 1939-40. Similar statistics have been previously published, the last compilation in the earlier series being that for the tax-year 1929-30. A brief summary of the statistics of previous compilations appeared in the 1935 Year-Book. More detailed figures will be found in the 1932 issue and earlier editions. Amendments to the land-tax law, changes in administrative practice in connection with land-tax assessments (the statistical data are extracted from the information appearing on the notice of assessment), and the consequential modification of compilation procedure, have combined to impair the comparability of the current statistics with those for earlier years.

Attention has previously been drawn to the fact that the mortgage data derived from this source are not complete. Mortgages of property other than land and fixtures thereon, although such mortgages represent a substantial part of the total mortgage indebtedness, obviously do not come within the purview of these statistics. Unregistered mortgages on land are also not included. Apart from these factors, no information is available in connection with a large percentage of mortgages secured on land, as the land-tax statistics do not cover the whole of the lands in occupation. The exemption of lands of an unimproved value of under £500 excludes all save a comparatively small proportion of the land holdings used only for residential purposes. Certain other lands—notably lands of public or local authorities; educational endowment lands; lands used for religious, charitable, educational, or scientific purposes (with some limitations); Crown lands held as small grazing-runs or for pastoral purposes; Native lands which are not occupied by a non-Native; and certain other types of lesser importance—are exempt from land-tax when in the occupation of the owner.

Crown lands generally, when leased to private individuals, are exempt from land-tax except in those fairly infrequent cases where the lessee's own assessed interest in the unimproved value amounts to £500.

To summarize the position, the statistics may be regarded, with reasonable accuracy, as covering lands sold or granted (and held on freehold) to private— as distinct from public—interests, and then only those cases where the unimproved value of land owned or occupied exceeds £500. It follows that the mortgage data here given do not include the great bulk of the mortgage indebtedness of the important class of tenants under Crown leases (particulars of such leases will be found in Subsection B of Section 10 of this volume) or of the owners of the other classes of land which are exempt from land-tax.

For the purpose of mortgage statistics, land is classified into three types— viz., rural, urban, and mixed urban and rural. In practice, it is desirable to subdivide each of these classes into two on account of the fact that in a proportion of cases returns are not furnished. The six types shown in the statistics are:—

  • (a) Cases where returns are furnished—

  • (1) Country or farming lands.

  • (2) Town lands or business-sites.

  • (3) Partly country and partly town lands.

  • (b) Cases where returns are not furnished—

  • (4) Country or farming lands.

  • (5) Town lands or business-sites.

  • (6) Partly country and partly town lands.

In the case of mixed country and town lands where 75 per cent. or over of the total unimproved value is represented by either country or town lands (as the case may be), the whole of the land included in that return is so classed. The groups “partly country and partly town'' cover only those cases where neither country nor town lands represent 75 per cent. or over of the total unimproved value. In the present series this rule has been slightly modified, and those cases where there were over 500 acres of country land in a return which would, according to the rule, be classed as wholly town land, have been included in the “mixed'' group.

The statistics which follow relate to the tax-year 1941-42, the position in regard to mortgages, unimproved value, and area being that obtaining on the 31st March, 1941. The first table summarizes the statistics according to each of the six types indicated on the preceding page, distinguishing also between cases where the amount of unimproved value was under or over £15,000, the limit of the mortgage exemption.

Type, and Amount of Unimproved Value.Number of Returns.Total Area.Unimproved Value.Total Mortgages owing.
  Acres.££
1. Under £15,00033,84315,725,41387,053,56381,180,804
Over £15,0006053,391,18814,874,0397,061,547
Total34,44819,116,601101,927,60288,242,351
2. Under £15,00015,74464,42927,991,27623,520,906
Over £15,0003617,42313,422,8427,525,525
Total16,10571,85241,414,11831,046,431
3. Under £15,000521153,1091,491,2881,143,318
Over £15,00045160,9983,448,352528,898
Total566314,1074,939,6401,672,216
4.Under £15,0007,8913,334,98414,243,0126,390,292
Over £15,000123569,7432,993,095533,107
Total8,0143,904,72717,236,1076,923,399
5. Under £15,0007,53222,8028,733,7292,569,722
Over £15,000671,1231,608,344390,060
Total7,59923,92510,342,0732,959,782
6. Under £15,00018434,911326,39083,137
Over £15,000618,389220,71613,649
Total19053,300547,10696,786
Totals—    
Under £15,00065,71519,335,648139,839,258114,888,179
Over £15,0001,2074,148,86436,567,38816,052,786
Grand totals66,92223,484,512176,406,646130,940,965

The foregoing figures reveal the extent to which returns as to mortgages are not furnished. Out of 66,922 cases covered by the statistics, returns were not furnished in 15,803 instances, or 23£6 per cent. of the total. The total unimproved value in these 15,803 cases aggregated £28,125,286, or 15£9 per cent. of the total unimproved value, but the mortgages covered (ascertained from other sources in cases where the information was available) amounted to only £9,979,967, or 7£6 per cent. of the total mortgages.

These figures indicate that there is probably some omission of mortgages owing to the fact that some returns are not available. The position is complicated, as the failure to furnish returns is not confined to cases where the land is unencumbered or where the non-receipt of the return cannot affect the mortgage exemption. Returns in the latter category are those where the amount of the unimproved value exceeds £15,000, at which point the mortgage exemption ceases, and those where the amount of the ordinary exemption is greater than the amount of the mortgage. The maximum ordinary exemption is £500, and it commences to diminish at £1,500 unimproved value and ceases at £2,500 unimproved value.

If it is assumed that the mortgages in those cases where the returns are not furnished bear the same relation to the unimproved value as in those cases where returns are furnished, the total mortgages for types 4, 5, and 6 would be £23,000,000, an increase of £13,000,000 over the amount shown in the statistics. The extent to which mortgages are omitted through failure to furnish returns may thus, for practical purposes, be fixed at an upper limit of £13,000,000. However, the mortgage exemption benefit to be derived from furnishing a return in the middle range of unimproved-value categories suggests that the actual amount of mortgages for types 4, 5, and 6 would be much closer to the amount shown in the statistics than to the hypothetical amount mentioned. These statistics, of course, do not yield any information regarding mortgages on exempted lands, which include residential and other small areas of under £500 unimproved value.

Ignoring those cases (types 4, 5, and 6) where no returns are furnished, and confining attention to those where definite information is available, reliable figures as to the incidence of mortgages over lands of different types and values are obtainable. The following table summarizes the information for each of the types 1, 2, and 3, showing the amount of mortgages per return and per £1,000 of unimproved value.

MORTGAGES, 1941.—SUMMARY: TYPES 1 TO 3

     Mortgages per
Type.Number of Returns.Total Area.Unimproved Value.Total Mortgages owing.Return.£1,000 of Unimproved Value.
  Acres.££££
1. Country or farming lands34,44819,116,601101,927,60288,242,3512,562866
2. Town lands or business∙sites16,10571,85241,414,11831,046,4311,928750
3. Partly town and partly country lands566314,1074,939.6401,672,2162,954339
       
       
Totals51,11919,502,560148,281,360120,960,9982,366816

The next table shows similar information, according to the amount of unimproved value, for types 1, 2, and 3 in conjunction. Generally speaking, the proportion of mortgages to unimproved value, which is high at the lower values (where the proportion of improvements would also be high), falls steadily as the amount of unimproved value increases.

MORTGAGES, 1941.—BY AMOUNT OF UNIMPROVED VALUE: TYPES 1 TO 3

    Mortgages per
Amount of Unimproved Value.Number of Returns.Unimproved Value.Total Mortgages owing.Return.£1,000 of Unimproved Value.
££ ££££
Under 5009325,0869,15798365
500-5993,3511,894,4401,733,472517915
600-16994,1282,651,4862,545,674617960
700-7993,4202,539,9352,606,1267621,026
800-8992,9352,474,0232,592,7428831,048
900-9992,5502,405,7562,381,487934990
1,000-1,99915,56522,068,57922,582,9861,4511,023
2,000-2,4994,1109,146,0749,063,9212,205991
2,500-2,9992,8047,660,2496,995,1132,495913
3,000-3,9993,48111,959,04610,611,5613,048887
4,000-4,9992,2049,779,2208,394,7353,809858
5,000-5,9991,4067,690,9146,862,0204,881892
6,000-6,9991,0156,561,2705,549.3855,467846
7,000-7,4994193,023,9702,443,1125,831808
7,500-7,9993472,689,9232,174,3666,266808
8,000-8,9996355,380,8404,465,3317,032830
9,000-9,9994604,346,8123,683,3768,007847
10,000-14,9991,18514,238,50411,150,4649,410783
15,000-19,9993946,762,6194,502,27311,427666
20,000-29,9993428,216,0784,009,71111,724488
30,000-39,9991113,835,0532,131,69519,204556
40,000-49,999612,728,220943,66815,470346
50,000-99,999734,889,8722,539,29734,785519
100,000 and over305,313,391989,32632,978186
Totals51,119148,281,360120,960,9982,366816

That the higher proportions of mortgages to unimproved value at the lower values of holdings is not due to an overwhelming preponderance of suburban residential sections at these values is seen from a comparison of the foregoing table with that following, which relates to the “country or farming lands'' type only. In this instance the amount of mortgage per acre, which is of small significance when urban lands are included, is given.

MORTGAGES, 1941.—BY AMOUNT OF UNIMPROVED VALUE: TYPE 1

     Mortgages per
Amount of Unimproved Value.Number of Returns.Total Area.Unimproved Value.Total Mortgages owing.Return.Acre.£1,000 of Unimproved Value.
££ Acres.££££s. d.£
Under 500353,58710,0167,0192011 19 2701
500-5991,477288,972817,805922,4550253 3 101,128
600-6992,001374,8141,287,3101,453,3097203 17 71,129
700-7991,815343,6641,349,8041,015,9178904 14 01,197
800-8991,670318,2951,408,4211,706,3501,0225 7 31,212
900-9991,629326,9951,444,0951,669,3141,0925 2 11,150
1,000-1,99910,9972,878,37115,807,38817,347,2521,5770 0 01,097
2,000-2,4993,2041,264,6187,144,1487,199,9352,2475 13 101,008
2,500-2,9992,2691,033,0600,196,8265,081,7262,5045 10 0917
3,000-3,9992,7761,499,4339,553,0248,646,3063,1155 15 4905
4,000- 4,9991,7871,203,1747,950,1310,805,5363,8085 13 2855
5,000-5,9991,1331,075,1170,201,0395,677,5735,0115 5 7016
6,000- 6,999800896,9955,170,8244,363,3125,4544 17 3844
7,000-7,499324373,0032,340,4201,899,1125,8615 1 10811
7,500- 7,999281342,4212,179,1601,815,6426,4615 0 1833
8,000-8,999600700,7334,290,4703,520,5026,9585 0 0821
9,000- 9,999364749,7323,439,2202,890,1337,9563 17 3842
10,000-14,9998752,052,42910,457,4447,953,3519,0903 17 0761
15,000-19,999270954,5034,632,6392,978,58211,0323 2 5043
20,000-29,9992301,224,8295,529,6732,450,77110,0562 0 2443
30,000-39,99955384,5271,884,7991,133,01920,0002 18 11601
40,000-49,99927259,1901,191,120356,26413,1951 7 0299
50,000 and over23568,1331,035,808142,9110,2140 5 087
Totals34,44819,116,601101,927,60288,242,3512,5624 12 4806

The table well illustrates the incidence of mortgages over the lands which are devoted to the several types of farming. It should be added that, in addition to the £88,000,000 secured on the rural lands included in the table, there is an unknown and varying amount of indebtedness secured on stock, wool, crops, farm implements, and other chattels, which is not included in the registered mortgages on land.

The data shown in the previous table may be viewed, in the next table, from a different aspect—that of the size of the areas involved.

MORTGAGES, 1941.—BY AREA: TYPE1

     Mortgages per
Amount of Unimproved Value.Number of Returns.Total Area.Unimproved Value.Total Mortgages owing.Return.Acre.£1,000 of Unimproved Value.
Acres. Acres.££££s. d.£
Under 53915723,40019,415498123 13 3830
5 and under 103102,330238,895198,18363985 1 2830
10 and under 154315,182381,665365,56384870 10 11958
15 and under 203506,019332,736198,84656833 0 9598
20 and under 3085520,991902,599630,19773730 0 5698
30 and under 4076027,011902,553070,94388324 10 10743
40 and under 5099744,3791,189,224944,92094821 5 10795
50 and under 752,890174,2273,709,0203,286,9571,13718 17 4886
75 and under 1002,710236,5924,121,2543,859,5331,42416 6 3936
100 and under 1504,915590,4818,685,3618,512,6721,73214 8 4980
150 and under 2003,076531,8056,433,1906,054,8161,96811 7 8941
200 and under 2502,584572,1645,917,9135,491,5562,1259 11 11928
250 and under 3202,493707,7066,479,8785,918,1922,3748 7 3913
320 and under 4001,965705,4225,798,3135,251,8872,6737 8 11906
400 and under 5001,915853,8346,181,0085,641,4962,9466 12 2913
500 and under 6401,9311, OSS, 7077,095,2446,055,3393,1365 11 3853
640 and under 750979676,5304,021,1103,841,4043,9245 13 7955
750 and under 1,0001,4401,243,7576,542,6905,770,3724,0114 12 11883
1,000 and under 2,0002,1973,034,89413,945,47411,966,2385,4473 18 10858
2,000 and under 3,0006821,642,1120,028,5034,907,2507,1952 19 9814
3,000 and under 4,0003241,105,5843,714,8742,809,8408,6722 10 10756
4,000 and under 5,000170756,8802,111,8601,304,0808,0241 16 1646
5,000 and under 7,5002021,220,6932,933,9772,213,60310,9591 10 3754
7,500 and under 10,00081700,2951,294,406834,79210,3061 3 10645
10,000 and under 15,00080968.9151,343,271635,4537,0430 13 1473
15,000 and under 20,00028481; 209450,577304,78710,8850 12 8676
20,000 and under 30,00022513,005432,086315,43214,3370 12 3730
30,000 and under 40,0007244,000126,47462,0128,8590 5 1490
40,000 and under 50,0008369,290104,64174,3139,2890 4 0451
50,000 and over7591,074425,40636,2005,1710 1 385
Totals34,44819,116,601101,927,60288,242,3512,5624 12 4866

Chapter 32. SECTION 32.—BANKRUPTCY

THE law relating to bankruptcy in New Zealand is contained in the main in the Bankruptcy Act, 1908 (which is a consolidation of previous enactments), and the Bankruptcy Amendment Act, 1927. 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.

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, &c., to the Official Assignee, and furnish such information as is necessary to enable the Assignee to prepare the bankrupt's balance-sheet of the estate. The bankrupt may also be required to produce statements of accounts, balance-sheets, &c., covering the period of three years immediately prior to the commencement of his bankruptcy, give inventories of his property and debts, and generally assist in the realization of his property. The Assignee may summon the bankrupt before himself, or before a Magistrate, to be examined on oath. The Bankruptcy Amendment Act, 1927, forbids (save with the consent of the Court, on the application of the Official Assignee) the publication of a report of any examination of a bankrupt before the Assignee or of any matter arising in the course of such an examination.

The Official Assignee is empowered to sell the bankrupt's property, to claim debts due to the bankrupt estate, to carry on the business of the bankrupt so far as is necessary or expedient for its beneficial winding-up, or to divide the property among the creditors. The bankrupt may be appointed by the Official Assignee to manage his estate or carry on his business on behalf of the creditors.

Creditors may accept a composition in satisfaction of the debts due to them. In such a case, after approval of the Court, a deed of composition is executed and filed, and the bankruptcy annulled.

On application being made by the bankrupt, the Court is empowered to grant him an order of discharge, either absolute, suspended, or conditional. The application, which must be made within four months after adjudication, may be opposed either by the Official Assignee or by any creditor who has proved his claim. A public examination of the bankrupt may be demanded by the Assignee or by a or editor.

By the Trustee Amendment Act, 1933, protection is afforded to a trustee who pays trust-moneys to a bankrupt in good faith and without knowledge of the bankruptcy.

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 31st 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.

It was originally laid down that the list was to be published in the New Zealand Gazette, but by section 9 of the Statutes Amendment Act, 1936, this requirement has been discontinued, and the Minister of Justice may now 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, near the end of this volume.

Year.Petitions by Debtors.Adjudications on Petitions by Creditors.Cases In which Composition accepted.Orders of Immediate Discharge granted.Cases in which Orders of Discharge were suspended.
* Including two deceased persons' estates under Part IV of Administration Act, 1908.
1939231361937
194017835..837
1941143*22..6713
19426715..636
19433312oo626

In the case of a partnership, not only the partnership but each partner is counted in the total of transactions.

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 at the end of this section.

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. During the last decade the amounts actually realized by Official Assignees averaged 79 per cent. of assets according to debtors' statements, and 27 per cent. of debts proved.

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.

Year.Number of Bankruptcies.Debtors' Statements of Assets, excluding Amounts secured to Creditors.Amounts realized by Official Assignees.Amount of Debts proved.Amounts paid in Dividends and Preferential Claims.

* Including one bankruptcy settled without statement being filed.

† Including two deceased persons' estates under Part IV of the Administration Act, 1908.

  ££££
1933450114,81761,723489,89547,884
193432672,57244,533258,92033,788
193525768,21641,037225,50823,142
193626040,55732,983169,86621,520
193722259,10055,970171,70626,700
1938267118,69864,511230,46330,793
193926782,31844,171225,49029,950
1940213*35,37242,418125,28930,288
194116524,53835,45371,01134,428
19428213,66529,75332,22719,428
1943456,14818,88320,05213,136

The table following shows for each of the last eleven years the average amount of debts proved per estate, and also the average dividend paid.

Year.Average Debts proved per Estate.Proportion of Dividends to Debts
 £Per Cent.
19331,0899.77
193479413.05
193587810.26
193665312.67
193777315.55
193886313.36
193984513.28
194059124.17
194143048.48
194239360.28
194344665.51

The total payments in 1943 made from assets realized were:—£

 £
Dividends to creditors (excluding preferential and secured claims)12,736
Preferential claims (rents, wages, &c.)400
Secured claims1,871
Government commission1,540
Costs of actions, solicitors' and supervisors fees479
Expenses incurred in carrying on estates295
Other charges903
Total£18,224

Balances in bank to the credit of estates aggregated £16,901 on 31st December, 1943, which was £659 more than at the end of the previous year.

AMOUNT OF LIABILITIES.

The following table shows for each of the last five years a classification of bankruptcies according to the amount of liabilities.

Liabilities.1930.1940.1941.1942.1943.

* Including one bankruptcy settled without statement being filed.

† Including two deceased persons' estates under Part IV of Administration Act, 1908.

Under £50148332
£50 and under £100282730158
£100 and under £2509771552613
£250 and under £500574638196
£500 and under £1,000353322119
£1,000 and under £2,0002117846
£2,000 and under £5,00057831
£5,000 and over10311..
Totals267213*1658245

Liabilities in the bulk of failures are for comparatively small amounts. Of a total of 771 bankruptcies in the five years 1939–43, 138 (18 per cent.) were for amounts of less than £100, 400 (52 per cent.) for amounts of less than £250, and 576 (76 per cent.) for amounts of less than £500.

OCCUPATIONS OF BANKRUPTS.

The following table shows in broad industrial groups the occupations of those adjudged bankrupt in the last five years.

 1939.1940.1941.1942.1943.

* Excluding two partnerships. The occupations of the individual partners are included (see page 475).

† Including two deceased persons' estates under Part IV of the Administration Act, 1908.

Fishing and trapping111....
Agricultural and pastoral282220146
Forestry252....
Mining and quarrying213..1
Processes relating to stone, clay, lime, cement, glass, &c.21......
Processes relating to chemicals, animal and vegetable products, n.e.i.2..1....
Processes relating to metals, machines, tools, electric fittings, conveyances, jewellery, &c.1918933
Processes relating to fibrous materials, textiles, and dress2541..
Processes relating to harness, saddlery, and leatherware1........
Processes relating to food, drink, and tobacco34712
Processes relating to wood, basketware, furniture, &c.63311
Processes relating to paper, stationery, printing, photography..1......
Processes relating to other materials..2......
Construction or repair of buildings, roads, and railways442319106
Production or supply of gas, water, electricity, and power..1....1
Transport and communication21161992
Commerce and finance514931184
Public administration, clerical, and professional85442
Entertainment, sport, and recreation1231..
Personal and domestic service12141044
Indefinite occupations6040291613
Totals265*2131658245

Of the 1943 total, 9 were employers of labour, 15 were working on their own account but not employing labour, and 21 were working for wages.

PRIVATE ASSIGNMENTS.

Official bankruptcies, as explained earlier, do not comprise all financial failures and, in order to obtain completeness, the bankruptcy statistics have been supplemented since 1928 by the collection of data relating to private assignments. The statistics cover all operations arising out of deeds of assignment made under section 167 (2) of the Stamp Duties Act, 1923.

If private assignments be added to bankruptcies, the total number of failures in 1943 was 56, made up of 45 bankruptcies and 11 assignments. The corresponding total for 1942 was 115.

The number of assignments in 1943 was the lowest since statistics of assignments were instituted (1928).

Assets of the nine assigned estates for which the requisite information was furnished were valued at £10,893, and the liabilities were estimated at £13,781. In completed estates assets realized represented 43£0 per cent. of liabilities.

Amount of Liabilities.

The following table classifies estates assigned during the last five years according to the amount of liabilities.

Liabilities.1930.1940.1941.1942.1943.
Under £100....1....
£100 and under £25011....1
£250 and under £5001010442
£500 and under £1,0002017159..
£1,000 and under £2,00018201642
£2,000 and under £5,0001215994
£5,000 and over11542..
Unspecified6..1052
Totals7868593311

Thirty-eight per cent. of the specified estates in the five years 1939–43 show liabilities below £1,000. In the case of official bankruptcies the corresponding figure was 88 per cent.

Occupations of Assignors.

The occupations of assignors in broad industrial classes during the last five years were as follows:—

 1939.1940.1941.1942.1943.
* Excluding two estates in which assignor was subsequently adjudged bankrupt.
Agricultural and pastoral14..2..
Mining and quarrying....1....
Processes relating to metals, machines, tools, electric fittings, conveyances, jewellery, &c.2211..
Processes relating to fibrous materials, textiles, and dress31......
Processes relating to food, drink, and tobacco1611..
Processes relating to wood, basketware, furniture, &c.2631..
Construction or repair of buildings, roads, and railways181213115
Transport and communication243....
Commerce and finance362828136
Public administration, clerical, and professional531....
Personal and domestic service2353..
Indefinite occupations4..31..
Totals76*68593311

Of the 1943 total, 7 were employers of labour and 2 were working on their own account, and in the case of two estates the information was not available.

Chapter 33. SECTION 33.—WEALTH

[T has been customary to compile annually an estimate of the national wealth, the estimate of private wealth being based on data relating to estates passed for probate. War factors, including the loss of many young men on military service, have had the effect of making this source of information at present less reliable for an estimate of this nature, and this consideration, in conjunction with the very considerable amount of work that would be involved, has led to a temporary abandonment of the annual estimate. In this issue of the Year-Book the estimate computed from the estate data for the years 1938–40 has accordingly been repeated, and the public wealth figure has not been carried beyond 31st March, 1941.

PUBLIC WEALTH.

For many years the Treasury compiled annually, from details recorded in departmental balance-sheets, a State balance-sheet which was published in parliamentary paper B.-1 [Pt. IV]. For various reasons arising out of war conditions, it has been decided to discontinue the preparation of this statement until after the conclusion of the war. The statement last published showed the position as at 31st March, 1938. The total of State assets according to this amounted to £402,556,454; but, in order that the public debt may be fully accounted for, nominal assets were inserted for outstanding loan expenditure on war and other purposes in respect of which no material asset now exists. Partly on this account, and partly because certain State expenditure is already reflected in the value of property (public or private), it is necessary to make certain deductions from the “assets” in order to arrive at a figure which may be used as a component unit of an estimate of the value of property or wealth in New Zealand. The balance-sheet in summarized form, and particulars of the deductible items, may be found on pages 763–764 of the 1940 issue of the Year-Book. The resultant figure, which may be accepted as a rough approximation of the value of State property at 31st March, 1938, was £270,000,000. Later information is not available, but during the three years to 31st March, 1941, the increase in indebtedness in respect of items included was £32,000,000, and State assets at 31st March, 1941, may be assessed at £300,000,000.

In arriving at an estimate of the aggregate public wealth of the Dominion, as distinct from private wealth, it is also necessary to take into account the assets of local authorities. These (including sinking funds) amounted to approximately £96,000,000 at 31st March, 1938, and to £102,000,000 at 31st March, 1941 (see Section 25).

It should be noted, however, that some £7,500,000 of the local authorities' total indebtedness at 31st March, 1941, was owing to the General Government, and allowance must be made for this amount. The public wealth of the Dominion at 31st March, 1941, based on the foregoing would thus be £300,000,000, plus £102,000,000, minus £7,500,000, making a net total of approximately £395,000,000.

PRIVATE WEALTH.

Estimates of the private wealth of the Dominion have been arrived at on the assumption that the wealth per head of the living is approximately equal to the average amount left by persons dying. The fact that the younger and more numerous members of the population do not possess as much accumulated wealth as the older members, taken in conjunction with the fact that the death-rate varies with age, renders it necessary for this purpose to divide the population into age-groups. The average wealth of persons dying within any one age-group being known, the average wealth of living persons belonging to that age-group was assumed to be identical, and an estimate of the total private wealth of the Dominion was arrived at by weighting the average wealth of persons in each quinquennial age-group by the number of persons in that group.

The average wealth of deceased persons is obtained by a consideration of the estates certified for stamp duty. The number of estates dealt with in any period, however, is usually equal to about one-third only of the total deaths registered during that period; and as most persons leave some estate, however small, it was necessary to make some allowance for estates which were not passed through the Stamp Duties Office. Estate and succession duties are based on the size of the estate and the degree of relationship of the beneficiary, and certain exemptions, particulars of which may be found in Section 23B, are provided for. Consequently, many small estates on which no duties are payable are passed for probate or letters of administration. An arbitrary allowance was made for unrecorded estates of persons aged fifteen years and over. No allowance at all was made for estates of persons under fifteen.

Based on the estate and death figures for the triennium 1938–40, the aggregate private wealth estimate for the Dominion at the end of 1940 was £718,000,000, of which £497,000,000 represented the wealth of men and £221,000,000 that of women. Excluding Maoris, this total was equal to £458 per head of population, and £683 per head of population if only those aged twenty and over were taken into account.

It is obvious that estimates of private wealth based on the probate system are approximate only, owing to the various factors involved. For example, part of the wealth of deceased estates consists of insurance policies. In the probate returns the maturity value of the policy is taken, whereas among the living the average surrender value of policies in force is much below the maturity value. Against this, however, is the fact that pensions and annuities enjoyed by the living do not enter into deceased estates, while there is also a tendency towards conservatism in the valuation of personal property for death duty purposes. Further, a not inconsiderable amount of property is disposed of before death by way of gift and does not appear in the probate returns.

It should be explained that the computation of private wealth relates to the population exclusive of Maoris. The inclusion of Maoris would not affect the per caput rate to any extent, but would involve an addition to the total. An addition for Maoris of 4 per cent. to the aggregate figure previously given for 1940 would bring the estimated private wealth of the Dominion at that date to £747,000,000.

Estates passed for Death Duty.

A table is now given showing the number and value of estates finally passed during 1940 to 1944 inclusive, classified according to amount. Estates of Maoris are here included.

Amount.1940.1941.1942.1943.1944.
Number of Estates
££     
Under 5002,4092,6282,7573,2893,087
500 and under 1,0001,2311,3171,4931,9301,840
1,000 and under 2,0001,0501,1641,2011,4081,457
2,000 and under 3,000500526505631677
3,000 and under 4,000322305304338371
4,000 and under 5,000191215191238214
5,000 and under 7,500278294269315320
7,500 and under 10,000158140119177167
10,000 and under 15,000143136131140150
15,000 and under 20,0006064476865
20,000 and over11810290116135
Totals6,4606,8917,1078,6508,492
Aggregate Net Value of Estates
£££££££
Under 500496,198570,945631,781779,638727,835
500 and under 1,000901,921946,3731,071,8801,398,7571,325,848
1,000 and under 2,0001,489,2281,647,9581,702,7512,012,0312,046,746
2,000 and under 3,0001,229,9331,294,3951,243,0391,547,4481,647,798
3,000 and under 4,0001,110,8491,054,1431,056,0081,178,8831,289,592
4,000 and under 5,000851,149963,238849,2491,074,332955,905
5,000 and under 7,5001,713,2761,787,6841,637,9211,933,9881,972,661
7,500 and under 10,0001,361,7581,194,8941,031,4481,523,8141,446,599
10,000 and under 15,0001,743,9401,638,1561,599,6271,690,9711,932,492
15,000 and under 20,0001,033,3971,123,163810,9621,189,2671,117,535
20,000 and over4,471,6525,303,9744,136,0064,676,7405,538,836
Totals16,403,30117,524,92315,770,67219,005,86920,001,847

The table below shows for the period 1936 to 1910 the total number of estates, classified according to age of deceased and amount of estate.

Age.Under £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 £7,499.£7,500 to £9,999.£10,000 to £14,999.£15,000 to £19,999.£20,000 and over.Totals.
Under 5413................8
5 and under 10821................11
10 and under 15101..................11
15 and under 2057142................73
20 and under 25171461992..2........249
25 and under 302011004110312..2..1361
30 and under 3521792671866921..1419
35 and under 40285122883018786213570
40 and under 453361611305227131410435755
45 and under 50510252190894426322213651,189
50 and under 55740418324133794362302914121,884
55 and under 609955994832221156811455388342,736
60 and under 651,09467262927717096145736123523,292
65 and under 701,3187817463221991341851068842673,988
70 and under 751,302830745376233144210126112561004,234
75 and under 801,22771766635522211723215599581163,964
80 and under 859776005443101991241769811241753,256
85 and under 905683262821691067393535636461,808
90 and under 9519492100472620312421827590
95 and over512215184676586148
Unspecified3101561064834173218151325774
Totals1057516,0045,1862,485;1,4878951,35478465831757530,320
Per cent.34-9! 19.817.ll8.2!4.92.94.5l2.62.21.01.9100.0

AN ESTIMATE OP NATIONAL WEALTH.

The public wealth of the Dominion at 31st March, 1941, has been estimated (supra) at approximately £395,000,000, and the private wealth, including that of Maoris, at the end of 1940 at approximately £750,000,000. In the probate figures used as a basis of computation of private wealth, deductions are made on account of debts, mortgages, and other charges against property. As, however, these in general will rank as assets when estates to which the charges are owing are in their turn passed for probate, the general effect is negligible, except in so far as such items as State advances and debts owing overseas are concerned. The State advances outstanding are included in the public-wealth figure.

In the case of the public wealth the figure given practically represents gross assets, no deduction having, of course, been made on account of indebtedness of the General Government and of local governing authorities. Were the whole of this indebtedness owing outside the Dominion, no deduction on this account would be necessary for the purpose of the present computation, which is merely to ascertain an approximation of the wealth of the Dominion, without taking account of the fact that there are external charges against that wealth. In arriving at the sum of public and private wealth, however, it is necessary to make allowance for the internal indebtedness of the General Government and of local governing authorities, this being included in the private-wealth estimate.

Of the gross indebtedness of the General Government at the 31st March, 1941, £190,000,000 was domiciled in New Zealand. Of the gross debt of local governing authorities (including Hospital Boards) at the same date, £50,000,000 was domiciled in the Dominion, exclusive of the £7,500,000 borrowed from the General Government, allowance for which has already been made in the estimation of the approximate public wealth.

The Hospital Boards' debt may be assumed to be mainly domiciled in New Zealand. The debt of the General Government and all local authorities domiciled in New Zealand thus aggregated £240,000,000, which requires to be deducted from the aggregate of public and private wealth in order to arrive at an estimate of the national wealth. The figures, in round numbers, are:—

 £
Approximate public wealth395,000,000
Estimated private wealth750,000,000
Total1,145,000,000
Less public and local-authority debt domiciled in Dominion240,000,000
Estimated national wealth£905,000,000

It appears scarcely necessary to recapitulate reasons why the estimate given can be regarded at best as a rough approximation only. No practicable system has yet been devised that will permit of a reliably close estimation of national wealth being arrived at, and the difficulties in this respect are increased enormously during a period of changing values.

VALUE OF LAND HOLDINGS.

The bulk of the wealth of the Dominion is represented by land and improvements thereon. Particulars of the valuation of land are given in Section 26 of this book. Further information concerning the value of land, with particular reference to the distribution of land ownership among the population and also the utilization of land, are obtainable from the returns of land which are required to be furnished annually to the Commissioner of Taxes for the purpose of land-tax assessment. Statistics compiled from these returns were inaugurated for the land-tax year 1924–25 and were continued, with the exception of the year 1927–28, up to and including the tax-year 1929–30. The statistics were then discontinued for some years, and were resumed again, commencing with the tax assessment-year 1939–40. Owing to staff difficulties arising out of the war it was again found necessary to suspend the compilation, and the figures quoted herein, the latest available, are for the tax-year 1941–42.

Save for a few minor exceptions when the taxpayer is not entitled to the full amount of the ordinary exemption of £500 unimproved value, the statistics cover only lands of an unimproved value (Government valuation) of £500 and over. The Land and Income Tax Act, 1923, with its amendments, exempts from land-tax the lands of specified classes of owners when the land is in the occupation of those owners. The most important classes so exempted are the lands of public and local authorities; educational endowment lands; Crown land leased as small grazing runs or for pastoral purposes; lands used for educational, religious, charitable, or scientific purposes (with some limitations); and Native lands in the occupation or possession of the Native owner or his trustee. As a reasonably accurate generalization it may be stated that, where freehold land is used or occupied by public or semi-public interests, that land is not liable for land-tax, and consequently is not included in these statistics.

The ordinary exemption of up to £500 unimproved value excludes from the statistics the great majority of land holdings used solely for residential purposes.

The primary principle of land-taxation is that the tax is levied on the owner of the freehold, or any lesser interest deemed to be the equivalent of the freehold. Superimposed on this primary principle is the secondary principle that all lands not exempted from land-tax, irrespective of the type of tenure, in the possession or occupation of any person are included in that person's land-tax assessment. In order to avoid double taxation on leased lands, the lessee is allowed a credit, against the tax payable by him, equal to the amount of tax payable by the owner in respect of the leased land.

The statistics, however, are compiled on the basis of the ownership of the freehold. Leased lands which are not completely exempted in the hands of the owner, and which therefore have been included in the owners' assessments, have consequently been excluded in this compilation from the lessees' assessments in order to avoid the considerable duplication which would otherwise have occurred in regard to leased lands.

As the State derives revenue from Crown lands in the form of rent, land leased from the Crown is liable for land-tax only to the extent that the total unimproved value of that land exceeds the capitalized value of the rent. For statistical purposes leases of Crown and other lands, wholly exempted in the hands of the owner of the freehold, have been treated in all respects as if the lessee was the owner of the freehold, and the classes are included in the tabulation.

Native lands are included only in cases where the land is not in the occupation or possession of the Native or his trustee. The acreage of the Native land so included represents 19 per cent. of the total area of such land.

The table which follows summarizes the principal heads of information disclosed by the tabulation for the tax-year 1941–42, and relates to land held as at the 31st March, 1941.

The total unimproved value of land in the Dominion on the 1st April, 1941, was £277,541,575, and 64 per cent. of this amount is covered by these statistics. The exemption of holdings of less than £500 in value (of which a large number are suburban residential properties) is principally responsible for the wide difference between the coverage of rural and urban lands. Land classified in these statistics as rural, which approximately corresponds to land situated in counties, represents 73 per cent. of the total unimproved value of county land. The £51,756,191 unimproved value classed as urban, however, represents only 45 per cent. of the aggregate value of land in boroughs and independent town districts. The mixed rural and urban land valued at £5,486,746 has been disregarded in the calculation of the latter percentages.

LAND-TAX STATISTICS.—CLASS BY TYPE, TAX-YEAR 1941–42

Type.Number of Returns.Number of Taxpayers.Total Area.Unimproved Value of Land.Total Mortgages owing.Tax assessed.
   Acres.£££
Class I.—Individuals and Partnerships
Country or farming lands30,41820,55618,109,78797,501,70784,260,948355,020
Town lands or business-sites18,12513,50362,15920,341,31216,104,03690,439
Partly country and partly town lands553414153,0421,400,303890,8786,494
Totals55,09034,53318,324,988125,303,442101,255,862452,582
Class II.—Deceased Persons' Estates, Trusts, &c
Country or farming lands3,7182,9292,497,40914,275,6598,087,71091,033
Town lands or business-sites3,3202,85218,5328,012,0382,966,39050,550
Partly country and partly town lands12211168,320630,011180,5567,481
Totals7,1065,8922,584,20122,019,20811,234,002155,904
Class III.—Natives, Native Land Boards, Native Trusts, &c
Country or farming lands1,7311,723858,3593,251,327101,0907,045
Town lands or business-sites4141802489,12023,0001,747
Partly country and partly town lands............
Totals1,7721,709859,1013,740,447124,0909,392
Type.Number of Returns.Number of Taxpayers.Total Area.Unimproved Value of Land.Total Mortgages owing.Tax assessed.
   Acres.£££
Class IV.—Companies
Country or farming lands5954341,555,7734,074,9562,716,00240,470
Town lands or business-sites2,2121,52314,28410,912,82114,912,781243,404
Partly country and partly town lands8173140,0453,395,772697,50871,799
Totals2,8832,0301,716,10224,383,54918,320,351355,073
Summary
Country or farming lands42,46225,64723,021,328119,103,70995,165,750495,677
Town lands or business-sites23,70417,97995,77751,756,19134,000,213392,140
Partly country and partly town lands756598307,4075,486,7401,709,00285,774
Grand Totals66,92244,22423,484,512170,406,640130,940,905973,591

In the statistical treatment of the data, a distinction is made according to the class of taxpayer. The classification adopted is given in full in the foregoing table, but. in subsequent tables these classes are distinguished by the class number only. The information is further divided according to the type of land, the three categories being (a) rural, (b) urban, and (c) mixed urban and rural. On account of the necessity of distinguishing, in connection with the mortgage data, between cases where returns are furnished and those where no return is received, each of these types is subdivided into two in the detailed statistics published in the Statistical Report on Prices, &c., and also in the “Mortgages” section of this Year-Book.

It should be explained that as the assessments are primarily based on ownership they may include both urban and rural lands. It is not possible, therefore, to fully classify lands included in land-tax returns according to whether they are urban or rural. To prevent the overstatement of the real position in regard to mixed lands through such a matter as the inclusion of a suburban section in a return otherwise covering a considerable area of farm land, the classification provides that where 75 per cent. or over of the total unimproved value represents rural or urban lands, as the case may be, the whole return is so classed. The mixed lands thus include only cases where neither rural nor urban land constitutes 75 per cent. of the total unimproved value. When, however, a return which would according to this rule be classified as urban includes not less than 500 acres of rural land, the return has been arbitrarily classed as mixed land.

Values of Holdings.

The next table shows the distribution, according to the amount of unimproved value, of all the holdings covered by the statistics. The insignificant total for holdings of under £500 unimproved value is due to the fact that, with few exceptions, such holdings are exempt from land-tax. Owing to the operation of the various exemptions, which arc discussed later in this section, no fewer than 22,698, or 34 per cent., of the holdings covered by the statistics were not assessed for tax.

The £1,000–£1,999 category is the most important single group shown in the table, and the aggregate unimproved value of £27,855,071 for this group is equal to 16 per cent. of the total for all holdings. The 49,725 holdings of a lower value than £2,500, at which amount the ordinary exemption ceases, represent 74 per cent. of the total number of returns. The aggregate unimproved value of holdings in these cases was only 32 per cent. of the total, in contrast to the 2,535 cases where only a slightly smaller percentage (30 per cent.) of the total unimproved value was held in units of £10,000 or over.

LAND-TAX STATISTICS.—AMOUNT OF UNIMPROVED VALUE, TAX-YEAR 1941–42

Amount of Unimproved Value.Number of Returns.Number of Taxpayers.Total Area.Unimproved Value of Land.Total Mortgages owing.Tax assessed.
££  Acres.£££
Under 5001711086,37046,06810,901124
500– 5095,7133,967420,4133,207,7292,052,668 11,432
600– 6996,5104,667547,1494,176,6642,933,5013,498
700–7995,0923,490486,7593,780,1772,944,4313,098
800– 8994,1072,715437,1993,462,0072,886,1753,835
900– 9993,5092,292444,1053,309,5472,713,2784,467
1,000– 1,99919,79311,9783,678,87027,S55,07124,848,72741,721
2,000– 2,4904,8302,8441,522,00210,75350949,801,05418,880
2,500– 2,9993,2801,9591.216,8258,957,5107,026,46817,812
3,000– 3,9994,0502,4691,814,04213,92S,25811,563,36726,504
4,000– 4,9992,5351,5801,470,35911,245,0049,051,21320,082
5,000– 5,9991,0039991,210,0588,765,5847,335,62317,016
6,000– 6,9991,1377411,079,4457,351,1395,940,53014,968
7,000– 7,499461312418,3203,327,2342,623,3147,308
7,500– 7999386366399,0152,991,3902,251,0547,224
8,000– 9,999670658770,1815,720,9294,616;66917,189
9,000– 9,009528511904,1674,992,4083,808,39417,634
10,000–14,9991,8281,3042,497,16915,901,94511,820,812104,422
16,000–19,9994834801,204,1928,291,0714,904,43094,427
20,000–29,9994124121,447,9199,903,3714,353,343141,834
30,000–39,999130130505,0514,007,8012,217,72292,500
40,000–49,9996066283,3722,953,052943,66866,343
50,000–99,9997979351,4995,300,7862,584,297119,529
100,000 and over3131356,8315,444,047989,320130,538
Totals66,92244,22423,484,512176,406,640130,910,905973,591

Figures are now given showing, by amount of unimproved value, the number of returns and the aggregate unimproved values held by each of the four classes of owners.

LAND-TAX STATISTICS.—CLASSES, BY AMOUNT OF UNIMPROVED VALUE, TAX-YEAR 1941–42

Amount of Unimproved Value.Number of Returns.Total Unimproved Value.
Class I.Class II.Class III.Class IV.Class I.Class II.Class III.Class IV.
££    ££££
Under 5001054818..28,94113,9494,078..
500– 5994,9025081871102,758,611281,282103,90063,936
600– 6995,5306312051383,551,958405,223131,17088,307
700– 7994,3194951091093,206,810306,411125,92081,036
800– 8993,4314081541142,892,442343,964130,10396,098
900– 9992,9833091161012,812,879291,655109,32495,689
1,000– 1,99916,6271,96853466423,375,5802,787,816749,004942,611
2,000– 2,4994,0654741081839,041,7881,002,720241,087407,499
2,500– 2,9992,699368641497,372,9181,003,339173,801407,452
3,000– 3,9993,2305008722711,107,8571,741,426295,103783,872
4,000– 4,9992,001325361738,881,1701,442,994157,489763,345
5,000– 5,9991,27321324936,902,9541,164,419129,055509,156
6,000– 6,99980317215875,581,4261,113,14997,320559,244
7,000– 7,499361574392,605,927412,48528,440280,362
7,500– 7,999303544252,347,174419,81331,049193,354
8,000– 8,9994891146674,143,389962,01350,879570,048
9,000– 9,999381815613,597,613769,66047,308577,767
10,000–14,9099252031218811,057,8742,448,977139,5462,315,548
15,000–19,9992889231004,933,3801,585,83551,3001,720,544
20,000–29,999213938985,107,3112,248,303191,024 12,356,733
30,000–39,99954283511,820,151950,104103,3061,788,300
40,000–49,99925116241,110,073492,944262,9971,087,63S
50,000 and over1784811,059,204610,727387,112S,694,390
Totals55,0907,1661,7722,888125,303,44222,919,2083,740,44724,383,549

Class I (individuals and partnerships) includes the overwhelming majority of returns and nearly three-fourths of the total unimproved value. As might be expected, the preponderance of the class diminishes as the amount of the unimproved value rises, but the numbers of returns for each amount category exceed the combined totals of the other three classes until the £30,000–£39,999 group is reached. Owing to the relatively larger numbers of returns for both estates, trusts, &c., and companies (Glasses II and IV respectively) in the higher-amount categories, the average unimproved value per return for Class I is less than that for Class II and much less than that composed of companies, where holdings of £50,000 unimproved value or over comprise 36 per cent. of the total unimproved value for that class. The average unimproved values for the respective classes are: Class I, £2,275; Class II, £3,890; Class III, £2,111; and Class IV, £8,443.

Reference has already been made to the principles adopted in classifying holdings according to the type of land, and the next table shows the number of returns and the aggregate unimproved values of rural, urban, and mixed lands respectively.

LAND-TAX STATISTICS.—TYPE, BY AMOUNT OF UNIMPROVED VALUE, TAX-YEAR 1941–42

Amount of Unimproved Value.Number of Returns.Total Unimproved Value.
Rural.Urban.Mixed.Rural.Urban.Mixed.
££   £££
Under 50059112..16,34130,627..
500– 5992,2743,397421,201,9551,921,55424,220
600– 0992,9023,500481,806,6562,278,71131,297
700– 7992,5452,515321,891,5581,864,74023,873
800– 8992,2081,850491,802,8401,558,44241,319
900– 9991,9831,483431,871,9881,397,13640,423
1,000– 1,99913.5040,07321619,306,4S18,244,037304,503
2,000– 2,4993,0821,091578,209,7422,417,363125,989
2,500– 2,9992,603637357,119,1521,742,09896,260
3,000– 3,9993,1648375510,881,8212,854,743191,694
4,000– 4,9992,034475269,052,6682,077,993114,338
5,000– 5,9991,282292297,012,8S31,595,970156,731
6,000– 0,999889230185,740.3271,485,932118,880
7,000– 7,49935410072,556,785720,18950,200
7,500– 7,9993077272,379,717557,42654,247
8,000– 8,999538126124,500,4431,004,768101,718
9,000– 9,9994249084,007,964907,51870,920
10,000–14,9999773302111,091,2484,005,097265,000
15,000–19,999331137155,078,3472,356,828255,896
20,000–29,999271131106,515,2913,147,137240,943
30,000–39,999196162,359,8572,097,094210,910
40,000–49,999293251,284,4311,434,442234,779
50,000–99,999245051,482,3713,427,203397,212
100,000 and over41710546,8372,508,4822,329,328
Totals42,40223,704756119,163,70951,750,1915,486,743

Despite the inclusion of 67 urban holdings of £50,000 unimproved value or more as against 28 rural holdings of similar value, the average unimproved value of £2,806 per rural return is higher than the corresponding average of £2,263 for urban land.

Area of Holdings.

The area figures are of little value in the case of urban and mixed lands, as the returns are correct to the nearest quarter-acre only, and sections of less than one-eighth acre are treated as having no area at all. Furthermore, the area is of less importance as a criterion of the value of an urban holding than is the case where a rural holding is concerned. The following summary, which gives information regarding area and value in conjunction, accordingly relates only to lands classified as rural.

LAND-TAX STATISTICS.—AREA AND UNIMPROVED VALUE, RURAL LANDS, TAX-YEAR 1941–42

Area, in Acres.Number of Returns.Number of Tax-payers.Total Acres.Unimproved Value.
Total.Per Return.Per Acre.
   Acres.£££s.d.
Under 5674020430,101540136106
5 and under 104733483,515354,955750100108
10 and under 156104367,336519,51185270104
15 and under 205143918,875471,3169175321
20 and under 301,18388328,8951,210,3851,02341179
30 and under 401,09079538,3401,241,8491,1393278
40 and under 501,30080058,1791,491,0571,14225127
50 and under 753,0422,149219,5904,520,1661,24320123
75 and under 1003,3561,924293,2504,920,7341,46816100
100 and under 1505,9243,103712,10010,110,0841,70714311
150 and under 2003,7542,080649,3947,555,0562,01311128
200 and under 2503,1331,714693,3426,921,3172,2099198
250 and under 3202,9811,052840,7407,459,0812,5028102
320 and under 4002,3821,401854,9846,009,4932,8007100
400 and under 5002,2991,3181,024,0246,980,4523,0306103
500 and under 6402,2851,3981,289,2067,979,0823,490639
640 and under 7501,172702809,5624,573,5343,9025130
750 and under 1,0001,7331,0021,490,5387,507,4774,307512
1,000 and under 2,0002,6261,7973,025,12915 869,8946,043477
2,000 and under 3,0008185941,972,4807,079,7838,0553119
3,000 and under 4,0003883121,329,4174,543,48011,710384
4,000 and under 5,000200100890,3532,410,45612,0522142
5,000 and under 7,5002402061,442,1123,514,79614,645289
7,500 and under 10,0009891847,2791,587,02816,1941176
10,000 and under 15,00092741,110,4821,610,01817,500190
15,000 and under 20,0003931663,057676,71717,352105
20,000 and under 30,0003025718,744515,39617,1800144
30,000 and under 40,000109350,950105,03910,504095
40,000 and under 50,00086309,290104,64120,5800811
50,000 and over88667,277432,15154,01901211
Totals42,40225,04723,021,328119,163,7092,806536

The column showing unimproved value per acre is instructive as showing the wide difference in land values as between the more closely-settled areas and the large holdings. It will be observed that the highest unimproved value per acre appears in the “under 5 acres” group.

Exemptions.

As is the case in income taxation, certain exemptions and deductions arc allowable in the taxation of land, and land-tax is payable only on the balance of the unimproved value. Where the unimproved value does not exceed £1,500 an exemption of £500 is allowed. Where the unimproved value lies between £1,500 and £2,500 there is a similar exemption, diminished in amount, however, by £1 for every £2 of unimproved value in excess of £1,500, so that no exemption is allowed under this head when the unimproved value reaches £2,500. This exemption is that hero referred to as the “ordinary” exemption.

When there is a security on the land either by registered mortgage or by agreement to purchase, an alternative scale of exemptions is provided. Since the tax-year 1929–30, the maximum amount allowed as a mortgage exemption has been £7,500, diminished by £1 for every £1 of unimproved value in excess of £7,500. The exemption, therefore, ceases at £15,000 unimproved value. In certain circumstances the exemptions may exceed these amounts, but, as will be seen from the table below, these are few in number. When the capital value of the mortgage is less than the amount of mortgage deduction provided, such capital value only is deductible. Unregistered mortgages on land, liens, and chattel securities are not allowable as deductions.

In lieu of the ordinary or mortgage exemptions, the Commissioner of Taxes has discretionary powers to grant relief in certain specified cases of hardship. The maximum permissible exemption on account of hardship is £4,000.

The following table summarizes the exemptions granted for the tax-year 1941–42, according to both the type of land and the class of owner.

LAND-TAX STATISTICS.—EXEMPTIONS, BY TYPES AND CLASSES, TAX-YEAR 1941–42

 Type.Class.
 Rural.Urban.Mixed.I.II.III.IV.
 £££££££
Ordinary5,792,7126,304,093137,1099,740,1241,510,457655,115328,218
Mortgage52,891,07912,572,939633,72057,051,2985,539,09490,1033,411,543
Hardship21,40025,589..40,4936,496....
Totals1 58,706,09118,902,021770,82966,831,9157,056,047751,2183,739,701

The exemptions granted, which totalled £78,379,541, represented 44 per cent. of the total unimproved value of the holdings covered by the statistics. Individuals and partnerships (Class I) not only receive the great bulk of the total exemptions granted, but, owing to the generally lower value of holdings in this class, also have a higher proportionate deduction per return.

Lands classed as rural received 47 per cent. of the total ordinary exemption and 80 per cent. of the mortgage exemption. Information for rural, urban, and mixed lands in respect of ordinary and mortgage exemptions, according to the amount of unimproved value, appears in the next table.

LAND-TAX STATISTICS.—ORDINARY AND MORTGAGE EXEMPTIONS, BY TYPE, TAX-YEAR 1941–42

Amount of Unimproved Value.Ordinary Exemption.Mortgage Exemption.
Rural.Urban.Mixed.Total.Rural.Urban.Mixed.Total.
££££££££££
Under 5005,70811,404..17,1721,4171,494..2,911
500– 599744,5531,311,77817,0002,073,331424,803429,1305,415859,408
600– 699809,1291,294,40814,9012,178,438731,047593,78011,3541,330,781
700– 799692,284880,2829,3021,587,808831,90l514,2109,5791,355,090
800– 899539,000629,37918,0141,180,459911,2041469,7809,8481,390,898
900– 999459,137481,20213,825954,224971,305450,04012,9491,434,294
1,000– 1,9992,273,5651,005,83000,6713,940,07211,105,3923,032,23063,108l4,300,790
2,000– 2,499159,96167,9042,959230,8845,020,2781,009,05267,8406,087,170
2,500– 2,99914,2143,978..18,1924,209,851777,24438,1055,025,200
3,000– 3,99917,5073,44843721,4526,018,9901,190,60273,7747,883,366
4,000– 4,9996,2881,808..8,1505,378,084928,53067,9106,375,124
5,000– 5,9994,0801,400'..5,4864,267,302653,10150,5024,971,025
9,0003 9,9991,705....1,7053,400,239695,43449,2594,204,932
7,000– 7,499733....7331,524,532376,38033,7051,934,023
7,500– 7,9991,0581,000..2,0581,350,414207,039,21,4171,579,470
8,000– 8,999393....3932,321,974434,834.23,9232,780,731
9,000– 9,999..1,500...1,5001,555,571282,95426,8461,805,371
10,000–14,9992,0051,880..4,4852,077,191508,15328,1342,013,478
15,000–19,999........28,2414,8254,52637,592
20,000–29,999..478..47840,80313,455..54,318
30,000–30,999..228..228........
40,000 and over............5,4065,406
Totals5,792,7120,304,093137,10912,233,91452,891,97912,572,939833,72066,098,638

It is interesting to compare the amount of the mortgage exemption and the amount of the total mortgages owing. The following table gives the relevant figures, for each unimproved-value category, for rural, urban, and mixed lands respectively.

Further information in connection with the subject of mortgages secured on land will be found in Section 31 of this volume.

LAND-TAX STATISTICS.—MORTGAGES OWING AND MORTGAGE EXEMPTIONS, TAX-YEAR 1941–42

Amount of Unimproved Value.Rural.Urban.Mixed.
Total Mortgages owing.Mortgage Exemption.Total Mortgages owing.Mortgage Exemption.Total Mortgages owing.Mortgage Exemption.
££££££££
under 5007,0191,4173,8821,494....
500– 5991,040,709424,863996,023429,1309,9365,415
600– 6991,020,762731,6471,287,532593,78019,20711,354
700– 7991,789,026831,9011,125,198514,21030,2079,579
800– 8991,895,354911,204974,270409,78616,5459,848
900– 9991,845,078971,305830,745450,04031,45512,949
1,000– 1,99918,881,96211,105,3925,782,9523,032,230183,813103,108
2,000– 2,4997,740,2475,020,2781,987,2041,009,05273,00357,840
2,500– 2,9996,103,0274,209,8511,395,003777,24468,43338,105
3,000– 3,9999,349,1410,018,9902,111,2841,100,602102,94273,774
4,000– 4,9997,329,1775,378,684l,631,671928,53090,66567,910
5,000– 5,9996,092,2634,267,3021,163,178653,16180,08250,502
6,000– 6,9994,675,2583,400,2391,198,599695,43460,07349,259
7,000– 7,4992,002,3801,524,532508,242376,28652,69233,705
7,500– 7,9991,880,5051,350,414325,106207,65945,28321,417
8,000– 8,9993,062,3402,321,974915,309434,83438,96023,923
9,000– 9,9993,003,3731,555,571749,956282,95455,06526,846
10,000– 14,9998,401,4752,077,1913,098,543508,153260,79428,134
15,000– 19,9993,251,74028,2411,547,6074,825105,0834,526
20,000– 29,9992,579,09340,8631,000,58213,455107,068..
30,000– 39,9991,219,046..915,150..83,520..
40,000– 49,999350,204..412,404..175,0005,466
50,000– 99,999187,911..2,390,386......
100,000 and over....977,450..11,870..
Totals95,105,75052,891,97934,000,21312,572,9391,709,002633,720

Taxable Balance and Tax assessed.

The taxable balance represents the residue of the amount of the unimproved value after the deduction of the statutory exemption (if any) to which the taxpayer is entitled. Tax is payable according to the amount of the taxable balance. The graduated scale of tax in force for the tax– year 1941–42 was 1d. in the pound when the taxable unimproved value did not exceed £5,000. This rate was increased by 1/8060d. for every £1 of taxable unimproved value in excess of £5,000, with, however, a maximum rate of 6d. in the pound.

The unimproved value, taxable balance, and tax assessed, according to the type of land and also the class of owner, are shown in the table below.

LAND– TAX STATISTICS.—TAX ASSESSED, BY TYPES AND CLASSES, TAX– YEAR 1941–42

 Type.Class.
 Rural.Urban.Mixed.I.II.IIIIV.
 £££££££
Unimproved value119,163,709151,750,1915,480,746125,363,44222,919,2083,740,44724,383,549
Taxable balance60,457,01832,853,5704,715,91758,531,52715,862,5612,989,22920,643,788
Tax assessed495,077392,14085,774452,562155,9649,392355,673
Percentage of tax assessed—       
Unimproved value0.420.701.500.360.090.251.46
Taxable balance0.821.191.820.770.980.311.72

The low percentages for Class III (Natives) are explained by the fact that, when Native land is liable for land– tax, the rate of tax is one– half of that charged on non– Native land.

The table following shows the average tax figures for holdings of the various categories on the basis of the amount of unimproved value. The averages move comparatively slowly until the higher categories are reached, when they rise steeply, a position due partly to the higher value itself, partly to a reduction in the proportion of exemption and the ultimate disappearance of the exemption, and partly to the graduated scale of taxation.

LANDTAX STATISTICS.—TAX ASSESSED, BY AMOUNT OF UNIMPROVED VALUE, TAX– YEAR 1941–42

Amount of Unimproved Value.Taxable Balance.TaxAverage Tax assessed.
Per Return.Per Taxpayer.Per £1,000 of Unimproved Value.Per£100 of Taxable Balance.
£££££s.d.£s.d.£s.d.£s.d.
Under 50026,985124014501492128092
500– 599272,6001,4320500730811000
600– 699655,2303,4980109015001690108
700– 799831,2853,698014011201970811
800– 899881,9203,8350188183122088
900– 999920,0744,4671561190170099
1,000–1,9999,593,73841,7212223981911088
2,000–2,4994,433,29018,886318231821152086
2,500–2,9993,912,53817,81258791101199091
3,000–3,9996,020,94020,50461081014811810810
4,000–4,9994,861,72420,682832131101169086
5,000–5,9993,786,44317,01610124170811810090
6,000–6,9993,144,50214,96813332040209096
7,000–7,4991,391,8787,30815171238623110106
7,500–7,9991,409,2627,22418144191492840103
8,000–8,0992,945,80517,189258726263000118
9,000–9,9993,125,53717,634337113410231080113
10,000–14,99913,343,982104,422781278017610100158
15,000–19,9998,253,47994,42719510019614511791211
20,009–29,9999,848,575141,834344523445214651810
30,000–39,9994,667,63392,500080211630211191641198
40,000–49,9992,948,18066,3431,005 3 111,005 3 112293250    
50,000–99,9995,306,780119,5291,513 0 61,513 0 622106251    
100,000 and over5,444,647130,5384,210 18 14,210 18 1231962711    
Totals98,027,105973,591141102204510511910

The final classification given is one on the basis of area, and rural lands only arc included in the table. The figures in the “per acre”column show the effect of the high proportion of poorer lands among the larger holdings.

LANDTAX STATISTICS.—TAX ASSESSED, RURAL LANDS, TAXYEAR 1941–42

Area, in Acres.Taxable Balance.Tax assessed.Average Tax assessed.
Per Return.Per Taxpayer.Per Acre.Per £1,000 of Unimproved Value.
 £££s.d.£s.d.s.d.£s.d.
Under 55,379290880127220160
5 and under 1084,454379016011922114
10 and under 15143,77961110018018136
15 and under 20172,6707301881178181113
20 and under 30423,4232,1021167290161159
30 and under 40456,2022,012116112107111125
40 and under 50503,3852,22511412115091910
50 and under 751,474,3046,2761140218507179
75 and under 1001,712,6477,3052363151100198
100 and under 1503,354,55214,442289411405187
150 and under 2002,812,13212,8083575184051127
200 and under 2502,564,22711,398312961300411211
250 and under 3202,881,40013,9724139894041176
320 and under 4002,683,19514,3936010105604232
400 and under 5002,727,38713,83760410100031198
500 and under 0403,068,42821,105948151110491211
640 and under 7502,018,72211,410914101653032911
750 and under 1,0003,799,70224,009131792213304337
1,000 and under 2,0009,903,92480,257301134413305512
2,000 and under 3,0005,381,01656,0076894945907183 
3,000 and under 4,0003,7o2,81546,35411995148115081041
4,000 and under 5,0002,080,73829,097148981781711081265
5,000 and under 7,5003,108,48644,8581801822171520712153
7,500 and under 10,0001,436,35624,7092521411272390715122
10,000 and under 15,0001,476,02025,007278093460100015181
15,000 and under 20,000622,1098,53121814102753100312122
20,000 and under 30,000467,2097,49424910029915203141010
30,000 and under 40,000153,0702,105216100240111011324
40,000 and under 50,000156,0442,225278263701080113103
50,000 and over432,1519,0381,1291501,1291500320183
     Totals60,457,018495,07711130196605432

Chapter 34. SECTION 34.—INCOMES AND INCOME-TAX

INCOMES AND TAX ASSESSMENT.

—Complete statistics of annual income are not available for New Zealand, but valuable data exist in regard to incomes of those furnishing returns to the Commissioner of Taxes for the purpose of income-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 tax-year 1931–32, but was then discontinued for reasons of economy. The compilation was later resumed, commencing with the tax-year 1934–35, but following the 1941–42 tabulation, it was again found necessary to suspend activities in this connection owing to shortages of staff, &c., arising from war conditions.

Information concerning the system of income-tax in New Zealand is given earlier under the heading of “Taxation” (vide pp. 337–339). The statistical data relating to income-tax given in this section more properly belong to the Taxation section referred to, but it is considered preferable to treat the figures relating to the incidence of tax with those showing the distribution of the incomes on which the tax is assessed.

It should be explained that the incomes returned in any tax-year are those for the preceding income-year; thus, the statistics for the tax-year 1941–42 relate to incomes received during the year 1940–41, which, in general, may be taken as the twelve months ended 31st March, 1941.

The returns from which these statistics are compiled are required from all taxpayers. In addition, whether taxpayers or not, all companies and public or local authorities engaged in any profession, trade, manufacture, or undertaking carried on for pecuniary profit, irrespective of the amount of income derived, and all persons in receipt of incomes of £200 or over, are required to furnish returns. The statistical compilation is, however, limited to taxpayers and to persons whose assessable incomes amount to £200 or over.

The reference to persons whose assessable incomes are £200 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 (these are referred to later in this section) are not included in the returns, and are therefore completely omitted from these statistics. The coverage of the returns is also incomplete in one other respect. It is known that a number of persons with assessable incomes of between £200 and £300 fail to furnish returns. The first £200 of assessable income is exempted, and the great majority of missing returns for incomes over £200 represent persons who are known to be entitled to other exemptions which would bring them into the non-taxpaying category.

SUMMARY OP INCOMES, EXEMPTIONS, AND TAX.

—The following table briefly summarizes the main items of information for each of the last five tax-years available.

Item.1937–38.1938–39.1939–40.1940–41.1941–42.

* Excluding company income, where distinction between earned and unearned income is not made for taxation purposes.

† Not available.

Number of returns195,578222,059264,523306,099323,379
Number of taxpayers117,574139,800182,128216,333235,721
 £££££
Earned income*63,663,20270,517,92782,281,829102,652,329111,456,606
Assessable income91,873,18999,268,262112,184,442138,861,448149,597,471
Proprietary income3,651,5803,583,396
Total returnable income95,940,109103,188,553116,456,382146,331,986157,519,336
Exemptions—     
Personal37,758,34543,158,99849,257,54658,791,26861,658,871
Other11,176,49313,041,71015,987,00819,352,16821,649,354
Taxable balance42,938,35143,067,55446,939,88860,718,01266,289,246
Tax assessed9,130,0428,984,59812,012,49718,814,70420,124,179

Probably the most striking feature disclosed by these figures is the cumulative effect of the large increases shown in each individual year. A strict comparison is, however, not possible, as changes in compilation practice and numerous amendments in income-tax law have affected the comparability of one year's figures with those of another. The inclusion, commencing with the tax-year 1940–41, of all farming incomes in excess of £200 has had a considerable effect on the statistics.

INCOMES BY CLASSES.

—Prior to the tax-year 1937–38, taxpayers were divided into four classes—viz., individuals, companies, agents for debenture-holders, and nonresident traders. Since the passing of the Land and Income Tax Amendment Act, 1927, the importance of the third class has gradually diminished, and it was decided in. 1937–38 to discontinue it as a separate class. The effect of the amendment in question was to release companies from the duty of acting as agents for their debenture-holders resident in New Zealand, provided that certified lists containing certain specified information sufficient to identify the holders, together with particulars of interest payable, &c., are furnished to the Commissioner of Taxes.

“Individuals” comprise all returns for individual persons, other than nonresident traders, and include estates of deceased persons. Partnership returns are ignored in the compilation, as the individual shares of partnership income are included in the individual tax assessments.

The term “companies” not only covers companies incorporated under the Companies Act, 1933, and other Acts relating to the formation of companies, but also includes local and public authorities, associations (incorporated or unincorporated), and aggregations of individuals (other than partnerships) which form separate and distinct entities for income-tax purposes.

A classification on the basis of class is given in the following table for each of the last three tax-years.

 Number of Returns.Number of Taxpayers.Aggregate Assessable Income.
* Excluding proprietary income.
Class.1939–40.1940–41.1941–42.1939–40.1940–41.1941–42.1939–40.1940–41.*1940–42.*
       £££
Individuals256,947298,222315,093174,552208,456227,43591,223,462112,276,048122,145,040
Companies7,0407,3607,9167,0407,3607,91620,736,85326,351,45927,239,520
Non-resident traders Totals536517370536517370224,127233,941212,911
Totals264,523306,099323,379182,128216,333235,721112,184,442138,861,448149,597,471

It is interesting to note that the number of returns furnished by individuals was, in 1941–42, equivalent to 63 per cent. of the male population twenty-one years of age and over, and 31 per cent. of the total adult population of the Dominion. Corresponding percentages for taxpayers were 46 and 22 respectively.

Amount of Income.

—The broad principle adopted in calculating the assessable income is that any expenditure or loss exclusively incurred in the production of the 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. Where the operations of a source of income which would he assessable for income-tax have resulted in a loss for the year, the loss may be set off against assessable profits from other sources (if any) or, in default thereof, may be set off against assessable profits in the three following years. Capital profits are not assessable and capital losses are not deductible.

Full details of incomes (earned, assessable, and total returnable) of the various sizes in conjunction with source of income and class of taxpayer were published in the Statistical Report on Prices, &c., for the various years covered. Summarized figures are given under subsequent headings, where, for the sake of convenience and clarity, each of the three classes of taxpayers is dealt with as a separate entity.

Incomes of Individuals:

Assessable Income.

—Summarized figures according to amount of assessable income of individuals are now given for the last three tax-years available.

 Number of Petunia.Aggregate Assessable Income.
Amount of Assessable Income.1939–40.1940–41.1941–42.1939–40.1940–41.*1941–42.*
* Excluding proprietary income.
££  £££
Under 300134,037139,792131,85432,294,92434,450,00932,269,410
300– 39972,57588,812101,33624,234,20129,988,64934,385,508
400– 49921,49529,54835,8559,452,64812,969,44215,751,850
600– 5999,73513,70415,9925,272,1257,401,5998,646,958
600– 6995,4207,6348,6163,487,6214,895,3815,537,502
700– 7993,3834,7565,3752,517,6633,537,7623,996,928
800– 8992,2653,2713,7391,911,5762,756,8953,153,475
900– 9991,6312,1022,4571,542,7021,986,9722,321,383
1,000–1,9995,1626,9317,9876,849,4139,113,16810,487,494
2,000–2,9998511,1261,2472,011,4852,651,1032,906,409
3,000–3,999250316389843,8421,076,6781,318,099
4,000–4,99973120132315,108526,623581,871
5,000 and over70110114490,154921,767788,153
Totals256,947298,222315,09391,223,462112,276,048122,145,040

Of the 315,093 individuals covered in 1941–42, 41.9 per cent. returned assessable income of less than £300, 43.5 per cent. from £300 to £499, 11.5 per cent. from £500 to £999, 2୳5 per cent. from £1,000 to £1,999, and 0.6 per cent. from £2,000 upwards.

Of the total assessable income of individuals 67.4 per cent. came within categories of tinder £500; 19.4 per cent. in categories of £500–£999; and 8.6 per cent. in categories of £1,000–£1,999; 3.9 per cent. in categories of £2,000–£4,999; and 0.7 per cent. in categories of £5,000 and over.

Assessable Earned Income.

—Earned income is 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 are regarded as earned income. Earned income is, of course, exempted from the surtax of 33 1/3 per cent. on standard rates which is payable on unearned income of individuals but not of companies.

The next table shows the amount of earned income included in the total assessable income of individuals for the various categories according to the size of assessable income.

 Assessable Earned Income.Proportion of Assessable Income.
Amount of Assessable Income.1939–40.1940–41.*1941–42.*1939–40.1940–41.1941–42.
* Excluding proprietary income.
££££Per Cent.Per Cent.Per Cent.
Under 30030,264,89832,476,36030,161,13993£7194£2793£47
300– 39922,869,60328,563,43532,850,17694.3795.2595.53
400– 4998,492,52911,919,39914,635,18089.8491.9092.91
500– 5994,499,2766,628,2737,775,98485.3489.5589.93
600– 6992,908,7664,291,4294,875,80083.4087.6688.05
700– 7992,073,0513,037,6313,456,94082.3485.8686.49
800– 8991,537,8872,327,6442,701,53280.4584.4385.67
900– 9991,264,4961,669,1131,939,51681.9784.0083.55
1,000–1,9995,515,1047,544,6908,665,60580.5282.7982.63
2,000–2,9991,587,7042,120,9942,323,26478.9380.0079.94
3,000–3,999641,740832,6941,014,42676.0577.3476.96
4,000–4,999213,951394,702428,59067.9074.9573.66
5,000 and over399,724805,473628,45481.5587.3879.74
Totals82,268,729102,611,837111,456,60690.1891.3991.25

Generally speaking, the proportion of earned income falls as the size of the assessable income increases, although exceptions to the rule will be observed.

Proprietary Income.

—The income-tax year 1940–41 saw the introduction of this classification of income. There are two factors which must be present before the income of a company can be proprietary income in the hands of the shareholder. The first is that the control must be in the hands of not more than four persons. If this is the case, then the company is a proprietary company. The second factor is that a shareholder of a proprietary company is not a proprietary shareholder unless he is entitled to receive not less than one-fifth of the company's income. Only in the case of a proprietary shareholder in a proprietary company is the shareholder's proportion of the company's income transferred to the shareholder's assessment. A proprietary shareholder may be an estate another company.

In those cases where proprietary in transferred to the shareholder's assessment that income becomes assessable income the hands of the shareholder. The tax is assessed on the taxable balance (including proprietary income), provision being made for a credit in respect of tax already paid on that income by the company.

Prior to 1940–41 dividends received by the proprietary shareholder were included as non-assessable income, but now the proprietary shareholder's share of the company's profits is included in his assessment as assessable income. It will be seen that this change in practice affects the comparability of the statistics with earlier years, and for statistical purposes it has been decided to exclude proprietary income from assessable income and to show this information separately. Proprietary income has, however, been included in total returnable income, and the comparison with previous years is affected accordingly. There have also been several amendments since 1940–41 making important alterations in practice, and authority has been given for providing temporary relief from income-tax for proprietary companies establishing new industries.

The following table shows the amount of proprietary income included in 1941–42, according to categories of returnable income. These figures relate to individuals only; particulars of proprietary income received by companies will be found in the latter part of this section.

Amount of Total Returnable Income (including Proprietary).Proprietary Income.
££
Under 3003,959
300–39910,942
400–49923,463
500–59935,433
600–69949,828
700–79946,565
800–89947,856
900–99954,271
1,000–1,999477,159
2,000–2,999287,083
3,000–3,999185,406
4,000–4,999128,748
5,000–9,999195,283
10,000 and over339,514
Total1,885,510

Total Returnable Income.

—Commencing with the tax-year 1931–32, certain classes of non-assessable income have been taken into account in determining the rate of tax. Statistics of total returnable income were introduced in 1935–36. The total returnable income is obtained by adding to the assessable income the amount of any non-assessable income of the classes used for rate determination. The classes concerned 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.

These classes would comprise the greater part of any non-assessable income received by persons whose returns are included in the statistics.

The following table gives particulars of the number of returns and total returnable income of individuals according to size of income.

 Number of Returns.Total Returnable Income.
Amount of Total Returnable Income.1939–40.1940–41.1941–42.1939–40.1940–41.*1941–42.*
* Including proprietary income.
. .   ...
Under 300133,682138,189130,21332,069,56334,105,97631,927,315
300– 39971,39888,018100,59724,099,34429,720,58734,130,241
400– 49921,50129,36935,6999,459,12512,894,76015,685,855
500– 5999,71613,62916,0155,263,4137,366,6108,666,159
600– 6995,5537,7078,7143,573,6334,944,4865,604,371
700– 7993,4904,8395,5022,597,4413,598,3044,094,099
800– 8992,3883,4493,9102,016,1892,907,4043,301,187
900– 9991,7322,3092,6121,638,1212,184,3542,468,596
1,000–1,9995,7048,0018,9807,635,78710,697,95111,927,514
2,000–2,9991,1141,6081,6542,650,2233,825,2483,930,521
3,000–3,9993345486211,132,2061,877,7122,118,310
4,000–4,999150246247661,8511,085,6581,097,699
5,000–9,9991622482721,052,0261,671,6701,731,088
10,000 and over236257354,5231,028,161881,253
Totals256,947298,222315,09394,203,445117,908,881127,564,208

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 the non-assessable income. In the tax-year 1941–42 there were 114 cases where the amount of “assessable” income of individuals was over £5,000, the aggregate assessable income being £788,153: on the basis of total returnable income there were 329 cases, aggregating £2,612,341, with incomes exceeding £5,000.

Aggregation of Incomes:

Husband and Wife.—A further innovation in income-tax procedure was introduced in the tax-year 1940–41 by the aggregation of incomes of husband and wife, if (a) they are living together, and (b) the returnable income in each case exceeds £200. The income of the wife is deemed to be the income of the husband, and an aggregate assessment is made in the name of the husband. In such cases a personal exemption of £200 is allowable for the wife, in addition to that allowable to the husband. Provision is made for separate assessments if written application is made by either the husband or wife before an aggregate assessment has been made.

The following table shows the “aggregate” assessments for 1941–42 according to the amount of assessable income. It will be noted that the number of returns is given as 2,288, but this figure relates to the number of assessments, and not to the actual number of returns, which was 4,576, a separate return being furnished by the husband and wife in each case.

Amount of Assessable Income.Number of Returns.Number of Taxpayers.Aggregate Assessable Income.*Proprietary Income.Total Returnable Income.Taxable Balance.Tax assessed.
* Excluding proprietary income.
££  £££££
Under 400323110,2073,77824,0182,087407
400–49914314065,8285,758100,37910,8922,427
500–599425425234,8995,052256,35155,0709,264
600–699332332214,8659,138249,46066,34711,672
700–799231231173,57812,683204,85568,02813,776
800–899183183155,1729,505177,94471,29713,876
900–999143143135,18813,539170,98568,79814,679
1,000–1,999548548751,33086,850973,318480,424132,025
2,000–2,999150150359,11344,084497,223279,633102,730
3,000–3,9996161213,82664,260351,649182,08187,940
4,000–4,9992424106,90922,449144,94994,39452,899
5,000 and over1616119,7176,931140,319111,47464,496
Total2,2882,2842,540,632284,0273,291,4501,490,525506,191

The figures for aggregate assessments are included in the relative tables in this section.

Sources of Income.

—In the compilation of the statistics a distinction is made as to the source from which assessable income is derived, incomes being divided into ten groups according to source as follows:—

Source No.Source.
0Salary or wages.
1Following professional occupation on own account.
2Commerce, trade, or business.
3Industry or manufacture.
4Farming.
5Provision of transport or communication.
6Building or construction.
7Mining or extraction.
8Investments and the like.
9Provision of or engaging in entertainment.

Actual figures as to the amount of income derived from the various sources are not available on account of the fact that, in a considerable proportion of cases, income is obtained from more than one source. The rule followed in such cases in compiling the statistics is to include the whole income under the principal source from which assessable income is derived. As an indication of the extent to which the figures are affected, attention is drawn to the inclusion of £1,537,361 unearned assessable income for source 0 (salary or wages), and of £610,200 earned income for source 8 (investments and the like).

The following table shows the distribution of incomes of individuals from the various sources, and also the proportions of assessable earned income to total assessable and total returnable income, and of total assessable to total returnable income.

    Proportion of—
Source of Assessable Income.Assessable Earned Income.Total Assessable Income.*Total Returnable Income.Assessable Earned to Total Assessable Income.Assessable Earned to Total Returnable Income.Total Assessable to Total Returnable Income.
* Excluding proprietary income.
 £££Per Cent.Per Cent.Per Cent.
080,893,17482,430,53585,211,94298.1394.9396.74
12,850,8293,001,1623,202,55494.9989.0293.71
27,365,0307,684,0578,041,25595.8591.5995.56
3232,424239,055252,98197.2391.8794.50
418,259,30018,966,02819,236,75596.2794.9298.59
5542,414549,981551,86898.6298.2999.66
6655,131679,124685,02196.4795.6499.14
7127,340129,175129,76798.5898.1399.54
8510,2008,443,03610,228,9726.044.9982.54
920,76422,88723,09390.7289.9199.11
Totals111,456,606122,145,040127,564,20891.2587.3795.75

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 these exemptions. The exemptions in force during the tax-year 1941–42 were—

  1. A personal exemption of £200.

  2. An exemption of £50 in respect of a dependent husband or wife whose personal income does not exceed £50.

  3. An exemption not exceeding £50 in respect of a housekeeper employed by a widow, widower, or divorced person to have the care and control of any child or children.

  4. A sum of £50 for each child, grandchild, adopted child, or stepchild under the age of eighteen years who is dependent on the taxpayer. The exemption is also allowed for a permanently incapacitated child over the age of eighteen years.

  5. Contributions not exceeding £50 towards the support of a widowed mother or mother-in-law. Also contributions towards the support of dependent relatives, but not exceeding £50 in respect of any one relative.

  6. Life-assurance premiums, National Provident Fund, superannuation, and similar contributions. An exemption is allowed up to a maximum of 15 per cent. of assessable income or £150, whichever amount is the less.

In the statistics the exemptions are applied in the order in which they appear in the foregoing list. For example, a married man with two children is entitled to the following exemptions: Personal, £200; wife, £50; children, £100; and (say) £15 life-assurance premiums, &c. The total exemption is thus £365. Assuming that his assessable income is £300, the exemptions are reduced to a total sufficient to make the taxable balance “nil” and are recorded as personal, £200; wife, £50; and children, £50.

The next table shows the average amount of exemption allowed in the tax-year 1941–42 for each £100 of assessable income.

Amount of Assessable Income.Exemptions per £100 of Assessable Income.
Personal.Wife, Housekeeper.Children.Mother, Mother-in-law, &c.Life Assurance, &c.Total.
££££££££
Under 30076.99.72.90.21.090.7
300– 39958.810.510.70.32.282.5
400– 49945.48.311.60.33.469.0
500– 59937.66.39.60.23.757.4
600– 69931.95.28.00.23.949.2
700– 79927.74.47.00.24.143.4
800– 89924.63.76.00.23.938.4
900– 99922.03.35.60.24.135.2
1,000–1,99915.92.13.60.23.925.7
2,000–2,9999.20.91.80.23115.2
3,000–3,9996.40.51.10.12.410.5
4,000–4,9995.10.40.70.11.88.1
5,000 and over3.10.20.40.10.94.7
Totals50.57.87.20.22.568.2

The total exemptions granted to individuals during the tax-year 1941–42 amounted to £83,303,780, of which “personal” accounted for £61,654,426; wife, &c., £9,496,735; children, £8,788,551; widowed mother, &c., £271,977; and life-assurance premiums, &c., £3,092,091. The comparatively low figure shown as exemptions for children results, of course, from the application of the previously mentioned rule relating to the reduction of potential exemptions.

Taxable Balance 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 schedule relating to the particular tax-year.

Exemptions being practically limited to individuals, this is the only class in which the assessable income and taxable balance are not generally identical. The next table gives for this class particulars of taxable balance and of total tax assessed for the various income categories in 1941–42 and the two preceding tax-years.

 Taxable Balance.Total Tax assessed.
Amount of Assessable Income.1939–40.1940–41.1941–42.1939–40.1940–41.1941–42.
£££££££ 
Under 3002,911,1942,944,1163,017,037379,757462,926486,512
300– 3994,169,6995,261,6696,023,381533,294806,925924,807
400– 4992,904,9084,007,3314,879,005390,609643,359779,547
500– 5992,270,3563,147,2893,681,147319,403530,762617,263
600– 6991,800,2402,461,5962,811,006262,493435,938495,258
700– 7991,447,2592,002,1622,261,800219,326375,753419,985
800– 8991,185,0591,704,1351,941,806187,876335,367375,593
900– 9991,019,3951,290,6501,504,399164,597265,967307,216
1,000–1,9995,095,8236,743,2927,791,217962,0571,683,6571,906,759
2,000–2,9991,686,2212,244,7622,465,500421,863760,344836,604
3,000–3,999745,961964,6721,179,445228,068393,617505,488
4,000–4,999289,444480,975534,700102,077217,636270,191
5,000 and over453,898887,158750,817208,875449,558437,678
Totals25,979,45734,139,80738,841,2604,380,2957,361,8098,362,901

While the foregoing table shows the aggregate taxable balance and amount of tax assessed in respect of individuals in receipt of the various amounts of assessable income, it does not indicate the number of individuals with taxable balances of different amounts or the tax-assessed categories.

Tables showing the analyses by size of taxable balance and by size of tax assessed were published in the Statistical Report on Prices, &c., for the various years covered, but space limitations preclude their repetition here. In the tax-year 1941–42, 227,435 individuals contributed to the income-tax revenue, and of these, 52,993 were assessed for under £5 of tax, 44,803 for over £5 and under £10, and 114,957 for over £10 and under £100. At the other end of the scale, 680 individuals had incomes which were liable for a tax of £1,000 or over.

For the tax-year 1939–40 the rate of tax payable was 2s. in the pound, increased by 1/100d. for every £1 of taxable income, with a maximum rate of 8s. 7d. in the £1. For the 1940–41 and 1941–42 tax-years the rate of tax was 2s. 6d. in the £1 on so much of the taxable income as did not exceed £100. For each succeeding £100 or part thereof the rate of tax was increased by 3d. up to a maximum rate of 12s., which was reached at incomes of £3,800. These rates, introduced in 1940–41, are known as basic rates, and are subject to a percentage increase or decrease each year in accordance with the provisions of the annual taxing Act fixing rates for that year. An additional tax of 33 ½ per cent. on these rates was imposed in respect of unearned incomes. In addition to the foregoing, a further amount equal to 15 per cent. of the above rates was imposed for war purposes in 1939–40 and the two subsequent years (increased to 33 ⅓ per cent. for the tax-year 1942–43). There is, however, a limit of 15s. 6d. in the pound which is reached at £3,700 in the case of taxable earned income, and at £2,500 in the case of taxable unearned income. The additional tax for war purposes is included in the “total tax assessed” columns in this section. Tax is payable on the amount of the taxable balance, but, as explained previously, the rate of tax is determined by the amount of the total returnable income.

The next table gives, in respect of incomes of individuals, particulars for the last three tax-years of the amount of tax assessed for each of the ten groups of sources, together with various averages for 1941–42. The huge increase in the amount of tax assessed in 1940–41 in respect of source 4 (farming) is largely accounted for by the fact that prior to that year income derived from farm-lands of an unimproved value of less than £3,000 was exempt from income-tax.

 Total Tax assessed.Average Tax assessed, 1941–42.
Source.1939–40.1940–41.1941–42.Per Return.Per Taxpayer.Per £1 Assessable Income.Per £1 Taxable Balance.
 £££££s. d.s. d.
02,135,2763,001,0653,537,04715220 103 9
1280,954443,658436,4381191292 114 10
2440,2501,116,045825,95156702 24 7
312,43757,00141,7921251553 65 11
4461,5021,344,8151,885,71654672 04 4
529,82953,85937,73932411 43 7
645,691104,96765,79351631 114 2
72,3514,9276,76320241 13 4
8971,0161,233,1301,523,17966683 75 11
99892,3422,48358692 24 2
Totals4,380,2957,361,8098,362,90127371 44 4

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 492.

The various statutory exemptions which are granted to individuals do not apply in the case of companies. The numbers of returns and taxpayers, also the amounts of assessable income and the taxable balance, are identical in the case of companies.

The following table gives particulars of the number of taxpayer companies and their aggregate assessable incomes for 1941–42 and the two preceding tax-years.

 Number of Returns and Taxpayers.Aggregate Assessable Income.
Amount of Total Assessable Income.1939–40.1940–41.1941–42.1939–40.1940–41.*1941–42.*
* Excluding proprietary income.
££   £££
Under 1001,4641,4511,71456,50554,10362,269
100– 199745747774109,390108,180111,182
200– 299605573665147,748138,988159,162
300– 399449461527154,748159,047180,771
400– 499374396387165,748176,391171,855
500– 599326333366176,809180,081197,638
600– 699269243279173,489156,936179,449
700– 799187220228140,028164,672170,532
800– 899188188202159,391158,934171,288
900– 999144155186136,232147,575175,894
1,000–1,9999409719711,313,8041,363,9201,352,971
2,000–2,9994164374431,008,3321,064,6531,083,561
3,000–3,999226282275782,092970,440944,981
4,000–4,999117147144521,300655,022644,412
5,000–5,099111121116609,987658,596630,262
6,000–6,999678781433,861561,101524,039
7,000–7,999435771318,719421,911530,997
8,000–8,999275146228,717432,955391,466
9,000–9,999253930237,049370,849283,812
10,000–19,9991451711622,085,5032,371,8952,330,128
20,000–29,9996079921,483,8121,906,7532,242,752
30,000–39,9993344421,159,4751,527,1051,465,056
40,000–49,999222125990,032954,0831,134,097
50,000–99,9992748471,880,3973,308,5523,296,336
100,000 and over3038436,263,6858,338,7178,804,610
Totals7,0407,3607,91620,736,85326,351,45927,239,520

Of the total assessable income of companies for 1941–42, £15,859,683 was returned by companies engaged in commerce, trade, or business; £7,523,695, industry or manufacture; £196,267, farming; £1,152,683, transport or communication; £274,087, building or construction; £538,284, mining or extraction; £1,312,214, investments, &c.; and £382,607, entertainment, sport, or recreation.

Proprietary Income of Companies.

—The following are the details of proprietary income included in the company assessments. For a description of this class of income see page 494.

Amount of Total Returnable Income (including Proprietary).Proprietary Income.
£££
Under 1,0005,871
1,000–1,99916,336
2,000–2,99923,983
3,000–3,99925,635
4,000–4,99911,911
6,000–5,99910,255
6,000–6,9992,860
7,000–7,9996,375
8,000–8,9993,478
9,000–9,99924,228
10,000–19,999176,550
20,000–29,999160,431
30,000–39,999174,667
40,000–49,999234,597
50,000–99,999243,140
100,000 and over577,569
Total1,697,886

Total Returnable Income.

—The table hereunder shows the amounts of total returnable income of companies and tax assessed thereon, classified according to the size of the assessable income.

 Total Returnable Income.Total Tax assessed.
Amount of Total Assessable Income.1930–40.1940–41.*1941–42.*1939–40.1940–41.1941–42.
* Including proprietary income.
££££££££
Under 10069,184138,515338,3276,8119,35214,371
100– 199133,298151,655132,55313,24916,08016,470
200– 299149,553211,905251,51818,79021,52326,838
300– 399161,534313,572192,74719,86225,62929,044
400– 499174,701454,343342,15221,82829,37628,582
500– 599306,579195,872199,85324,18330,18833,908
600– 699175,785158,666183,08524,10727,29031,672
700– 799141,961166,660267,71320,04129,19931,066
800– 899164,762160,663219,28923,68729,15131,845
900– 999138,212151,200234,03520,37027,58233,953
1,000–1,9991,384,8331,422,5241,442,875225,497293,964294,111
2,000–2,9991,031,4041,125,9131,149,091210,808280,753289,656
3,000–3,999793,5931,069,7211,004,805195,148304,395294,688
4,000–4,999523,012686,678659,111150,430235,880236,126
5,000–5,999639,362675,386784,282202,724267,505259,814
6,000–6,999459,420585,606592,964158,002250,945240,809
7,000–7,999320,955459,554563,974125,896199,017259,820
8,000–8,999229,920440,390408,540100,834212,275196,018
9,000–9,999239,361394,901290,875105,194179,785142,654
10,000–19,9992,263,9582,583,2882,448,741935,0371,177,2731,167,149
20,000–29,9991,549,3442,013,1342,333,011654,369954,8761,089,774
30,000–39,9991,209,6651,580,1191,496,509527,801757,939733,509
40,000–49,9991,037,878981,2451,199,207418,433459,689571,475
50,000–99,9992,010,1813,485,4413,463,879834,1111,580,6081,591,427
100,000 and over6,714,0938,575,5759,481,2772,532,7673,981,9884,050,703
Totals22,022,54828,182,52629,740,4137,570,57911,388,26211,695,482

The figures shown in respect of total returnable income, classified according to the size of that income, do not vary greatly from the figures in the foregoing table. The difference between the assessable income and the total returnable income for 1941–42 amounted to only £2,500,893, and included £1,697,886 proprietary income.

For the tax-year 1939–40 the rate of tax payable by a company was 2s. in the £1, increased by 1/125d. for every £1 of taxable income, with a maximum rate of 7s. 11d. in the £1. For 1940–41 and 1941–42 the rate was 2s. 6d., increased by 1/106d. for every £1 of taxable income up to £6,600 (£0,300 from 1942–43). Where the taxable income exceeded £6,600 the rate was 8s., increased by 1/150d. for every £1 of the taxable income in excess of £6,600, with a maximum rate of 8s. 9d. in the £1. In addition to the foregoing, a further amount equal to 15 per cent. of the above rates was imposed for war purposes in 1939–40, 1940–41, and 1941–42 (increased to 33 ⅓ per cent. in 1942–43), and this additional amount is included in the “total tax assessed” columns in this section. Companies do not pay the additional tax of 33 ⅓ per cent. on unearned income.

Income-tax levied on companies in 1941–42 was equal to 42.9 per cent. of the assessable income for that year. For total returnable income the tax assessed was equal to 39.3 per cent.

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 the Dominion. 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.

The principal figures for the tax-years 1940–41 and 1941–42 in respect of non-resident traders are given in the following table.

 Number of Returns and Taxpayers.Total Assessable Income.Total Tax assessed.
Amount of Total Assessable Income.1940–41.1941–42.1940–41.1941–42.1940–41.1941–42.
££  ££££
Under 1002421787,3105,846940707
100– 199815311,2538,0921,3141,043
200– 299512512,7836,4021,653829
300– 39924198,2846,4691,195924
400– 499271411,9676,2981,702902
500– 5991487,6264,4411,196891
600– 79924816,8955,3313,595873
800– 899896,7467,6559461,571
900– 999655,7784,7831,034909
1,000–1,999182024,98936,2954,9777,637
2,000–2,99991220,96528,2624,9906,520
3,000 and over131399,34593,03741,09142,990
Totals517370233,941212,91164,63365,796

A special exemption of £50 is allowed, except where the principal is a company. The rates of tax are the same as those applying to New Zealand residents.

SOCIAL SECURITY RETURNS: INCOMES OF INDIVIDUALS.

—The Social Security Act, 1938, and regulations under it, require every person of the age of sixteen years or over to furnish annually a declaration of income (other than salary or wages) for the year ended 31st March. Part II of the declaration for the year 1938–39 comprised a statistical questionnaire on which was required to be shown the total income of the individual, including salary or wages, and these data were used for the compilation of statistics of incomes by the Census and Statistics Department. Detailed results of this tabulation were given as an appendix to the Statistical Report on Prices, &c., for the year 1938, while a survey of the results of this inquiry was included in the 1941 and 1942 issues of the Year-Book.

AGGREGATE PRIVATE INCOME.

—The concept of “aggregate private income” is obviously open to divergent interpretations. For the purpose of the estimates shown below, it is taken to consist of the gross income of persons from wages, salaries, pensions, investments, &c., and the net receipts (gross receipts, less expenditure incurred in earning them) of companies, business houses, farmers, professional men, landlords, employers of labour, &c. Capital receipts—e.g., from deceased persons' estates, repayments of debts, &c.—are excluded. It is probable that the estimate understates the aggregate private income, owing, in some cases, to failure to furnish returns of “other” income or to the inclusion of domestic expenditure or living-costs among expenditure incurred in earning income. No allowance is made on this account in the statistical computation, and the estimates should be regarded as on the conservative side. All payments (including allowances, allotments, &c.) made in New Zealand to the personnel of the Navy, Army, and Air Force are included in the estimates of salaries and wages.

The computations are based mainly on a consideration of the receipts from the social security charge under the Social Security Act, 1938, this charge having replaced the employment charge under the Employment Promotion Act, which formed the basis of earlier estimates.

From the foregoing description of the scope of the statistics, it will be realized that the term “aggregate private income”, as defined, is not identical with the broader concept “national income.”

The receipts for any year from the charge on wages relate to wages and salaries of the current year, while those from the charge on other incomes are in respect of incomes during the preceding year. For the 1943–44 computation, therefore, the 1943–44 receipts from the charge on wages and salaries and the 1944–45 receipts from that on other incomes are taken.

1939–40.1940–41.1941–42.1942–43.1943–44.1944–45.
* Not yet available.
 £(m.)£(m.)£(m.)£(m.)£(m.)£(m.)
Salaries and wages112.8123.6132.5154.7175.9176.5
Other income of individuals52.652.854.458.559.8*
Social security benefits and pensions11.212.412.814.315.717.4
Company income (including income-tax payments)23.627.731.036.940.9*
Totals200.2216.5230.7264.4292.3*

The proportionate distribution of aggregate private income between salary and wage receipts and other income is shown in the following summary.

 Salaries and Wages.“Other” Income (including Company Income).Social Security Benefits, Pensions, &c.Total.
Amount.Per Cent. of Total.Amount.Per Cent. of Total.Amount.Per Cent. of Total.
 £(m.) £(m.) £(m.) £(m.)
1939–40112.856.376.238.111.25.6200.2
1940–41123.657.180.537.212.45.7216.5
1941–42132.557.485.437.012.85.6230.7
1942–43154.758.595.436.114.35.4264.4
1943–44175.960.2100.734.415.75.4292.3

It is of interest to compare the year-to-year movement in the total of aggregate private income with the movement in the estimates of value of production. In making comparisons, however, it should be remembered that the estimates of value of production are based on values at the point of production, the value of professional services, distributive charges, &c., not being included in the estimates, while transport charges are only partly represented.

The estimated totals under these two headings are given in the following table. It will be noted that there is no fixed relationship between the estimated totals of private income and of value of production.

Year.Aggregate Private Income.Value of Production.
* Not yet available.
 £(m.)£(m.)
1939–40200.2144.8
1940–41216.5160.3
1941–42230.7163.5
1942–43264.4169.8
1943–44292.3*

Chapter 35. SECTION 35.—PRICES

PRICE FIXATION.

In New Zealand, as in other countries, increased 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 war of 1914–18, 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 wa8 in the hands of the Board of Trade, set up under the provisions of the Cost of Living Act, 1915, regulations being issued from time to time fixing maximum prices for various commodities— e.g., sugar, timber, wheat, &c. The Board of Trade Act, 1919 (in 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 includes 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 arc 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.

The Primary Products Marketing Act, 1936, made provision for the fixation of prices of butter and cheese for export and for consumption in New Zealand, and regulations in this behalf have been issued from time to time. An amending Act of 1937 specifically brought eggs, fruit, and honey within the scope of the Act, while subsequent regulations added hops and potatoes.

The control and distribution of bananas and imported citrus fruits have been in the hands of the Internal Marketing Division of the Marketing Department since early in 1938, and in August, 1940, regulations regarding grading and packing of all New-Zealand-grown fruit (other than berries) were gazetted.

Control of prices of milk in Wellington is in the hands of the Wellington City Council, which was granted a monopoly (with certain minor exceptions) of the sale of milk in Wellington by a local Act passed in 1919. The Auckland. Metropolitan Milk Act, 1933, authorized the Auckland Metropolitan Milk Council to fix prices for milk sold in Auckland City and suburbs. In this instance a monopoly has not been created, though it is an offence to sell or deliver milk in the district except under license from the Council. At the present time the powers held by both authorities in regard to price-fixation are subject to the provisions of the Economic Stabilization Emergency Regulations 1942. The Milk Act, 1944, referred to on page 390, makes provision for an extension of the system of local control in regard to the sale of milk, and prices in the various milk districts are the subject of Price Orders pursuant to the Control of Prices Emergency Regulations 1939.

In June, 1939, a Price Investigation Tribunal was constituted from the members of the existing Advisory Board under the Board of Trade Amendment Act, 1923, and restrictions were placed on increasing prices of goods and services without prior application to this Tribunal; prices were also to be fixed by the Tribunal for goods that had not previously been on the market.

Price Regulation during War.

Pursuant to a Proclamation of Emergency under the Public Safety Conservation Act, regulations were made on 1st 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 1st 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 29th December, 1939, which constituted the present Price Tribunal. The general functions of this tribunal are to investigate complaints with respect to prices charged for goods or services, to issue orders fixing the maximum or minimum wholesale or retail price at which any particular goods may be sold, and to take any steps which, in its opinion, may be necessary to prevent profiteering or the exploitation of the public.

Foodstuffs generally, and sugar, wheat, and flour specifically, were brought under the control of the Government by emergency regulations made on 4th September, 1939.

Arrangements for the purchase, at agreed prices, of New Zealand's exportable surplus of meat, wool, dairy-produce, scheelite, woolly sheep-skins, and tallow, by the United Kingdom Government were made shortly after the outbreak of the present war. The linen-flax fibre produced at the request of the Imperial Government is also purchased at agreed prices. The contracts entered into made provision for the purchase-prices to be reviewed at specified periods at the instigation of either Government, and certain adjustments have been announced from time to time. Further information on this subject is contained on pages 222–226 of this Year-Book.

In October, 1940, the Economic Stabilization Conference 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, wore stabilized as from 1st September, 1941.

In December, 1942, as a result of the deliberations of the Economic Stabilization Committee, measures were taken to ensure as far as possible that the level of retail prices should not exceed the level ruling in that month. A varied range of essential items of household consumption was selected, and their prices stabilized; food, clothing, hardware, furniture, stationery, &c., are all represented in this list of approximately 110 items. Provision was made for the stabilization of weekly rentals, and of wage-rates, &c.

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 have made full allowance for seasonal variations. No new element of control was introduced in 1944; the price orders of that year either revised earlier orders or covered a few additional items.

RETAIL PRICES.

Retail-price quotations are collected each month in twenty-five centres of the Dominion, selected as being representative of New Zealand as a whole. These twenty-five centres are distributed over both Islands, from Whangarei in the North to Invercargill in the South, and are representative of both coastal and inland districts, and of both largo and small centres. Returns of prices are collected by local Inspectors of Factories, for the most part from representative retailers, and from these data index numbers are compiled in the Census and Statistics Department, Wellington.

The commodities covered are foodstuffs and fuel and lighting, foodstuffs being divided into three groups—groceries, dairy-produce, and meat. Statistics of house-rents have been collected at six-monthly intervals since the inauguration of price statistics in 1914, and later the inquiry was extended to cover clothing and miscellaneous items, figures for which are collected at quarterly intervals.

For many years prior to the introduction of the special wartime price index (see p. 512), separate series of index numbers of retail prices were compiled for the following groups:—

  • Group I.—Groceries.

  • Group V.—Fuel and light.

  • Group II.—Dairy-produce.

  • Group VI.—Clothing (including drapery

  • Group III.—Meat. and footwear).

  • Group IV.—House-rent.

  • Group VII.—Miscellaneous items.

The nomenclature of Groups I to VI is indicative generally of the nature of their constituent items, but as Group VII is not equally informative it may here be briefly stated that it consists of ninety-five items, including household furnishings, ironmongery, brushware, crockery, reading-matter, cleaning-materials, tobacco, postage and telegrams, transport, and personal services. It will be seen, then, that the all-groups index is almost exclusively a commodity index, and cognizance is not taken of a number of channels of expenditure, some of them being definitely of more than minor importance. Among such may be mentioned: Direct taxation (e.g., income-tax, social-security tax, and national-security tax); sports and amusements; religious and charitable contributions; medical, dental, and legal fees; insurance premiums and losses by fire or accident, &c. It has also been found impossible to include in the regimen a number of items (principally such as, in accordance with modern trends, have been adopted as conventional necessities) owing to the fact that they, from year to year, differ appreciably in their essential nature and the facilities that they provide. Instances of this kind are motor-cars, radios, cooking and heating appliances, cosmetics, &c.

From the foregoing it will appear that the all-groups index cannot properly be referred to as a “cost-of-living” index, and the use of this designation is avoided by the Census and Statistics Department. There are, moreover, additional reasons why such a term would be a misnomer, for a fixed regimen ha3 been adopted and no allowance is made for changes in the quantities of goods consumed, following increases or decreases in prices or reduced or increased purchasing-power.

In the compilation of the index numbers for the food groups, rent, and fuel and light, the aggregate expenditure method is used, the retail price of each individual item in these groups being “weighted” according to its average annual consumption in the Dominion during the years 1926 to 1930, the base period. In the clothing and drapery and miscellaneous groups the unweighted geometric average of price ratios is used for most subgroups, no reliable data being available as to the consumption of individual items in these groups, except in the case of two subgroups in the miscellaneous group (fares and cleaning supplies) where the aggregate expenditure method is adopted.

The Economic Stabilization Emergency Regulations 1942 provide for the quarterly computation and gazetting of a special wartime price index on base 15th December, 1942 (= 1000), and the publication of the ordinary retail-prices series subsequent to that for the month of December, 1942, has been temporarily discontinued. Reference to the wartime price index will be found on page 512.

RETAIL FOOD-PRICES.

The following table shows the annual average index numbers for the three food groups combined, for each of the four chief centres and for the Dominion as a whole, during the last eleven years available. In the compilation of these indexes each item and separate group (groceries, dairy-produce, and meat) is recorded its relative importance in the combined food-groups index number. The average of annual Dominion index numbers for the years 1926 to 1930 equals 1000.

THREE FOOD GROUPS.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.Dominion Weighted Average.
193277376177075176477
1933724719732700719732
1934781760765743762774
1935863811814811825835
1936893848846845858870
1937977935933957951956
193810089819611006989991
1939105110321039109210541052
1940107910341091111310791076
1941110310831108112711051104
1942113711201121112111251127

To effect a general survey of the course of prices for the whole Dominion it has been necessary to obtain a weighted average of the index numbers for each of the twenty-five representative centres. Price-indexes for each centre have been weighted in accordance with the number of people in that centre, and a composite index number has been obtained, which, though necessarily artificial, represents accurately enough the average relative level of retail prices in the Dominion.

The twenty-five centres covered have a total population of approximately half that of New Zealand, and they can therefore be regarded as reasonably representative of the Dominion. The four chief centres, which include nearly 40 per cent. of the Dominion's population, account for over 70 per cent. of the population of the twenty-five centres, so that their influence in the Dominion index number is naturally predominating. However, the chief centres not only comprise a great part of the people of the Dominion, but also set the standard which is generally followed throughout the country.

Attention may be drawn in passing to the comparatively small differences recorded between the average index numbers for the four chief centres and the Dominion weighted averages. In this respect, as will be shown later on in this section, the average of the three food groups combined stands in contrast to the rent group.

RETAIL PRICES OF GROCERIES.

Index numbers of retail prices of groceries in each of the four chief centres are given in the following table, which also shows the unweighted average of the four chief centres and the Dominion weighted average. The average of the Dominion annual index numbers for 1926 to 1930 equals 1000.

GROCERIES.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.Dominion Weighted Average.
1932856837804863840857
1933813780787832803819
1934815837817850830845
1935884904858900887899
1936852871854870862878
1937912941916971935945
1938899930909949922933
1939104510551028110310581067
1940102010211014104710261039
1941113011711118116211451156
1942123812551171118812131236

The factors underlying the fluctuations in the groceries group will be more clearly understood when it is remembered that the items comprising the group are varied in nature, and may be treated in three subgroups as in the next table. The fundamental distinction is that the items comprising Group 1A are almost wholly imported from overseas, while those in Group 1B are almost wholly produced in the Dominion. Sugar is not wholly a product of New Zealand, being imported in the raw state and refined at Auckland. The Dominion weighted average index number, 1926 to 1930, equals 1000 in each case.

GROCERIES SUBGROUPS.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.
Group 1a.—General Groceries
19389399929601006974
193910441043101810541040
194012611211120312021219
194113341325132612981321
194214541465146413971445
Group 1b.—Bread, Flour, Oatmeal, Potatoes, and Onions
1938827839829865840
19391005100998510851021
1940817827829873837
194196910279491029994
19421097110296610251048
Group 1c.—Sugar
193811381203116011981175
193912421303125913081278
194013851464140914841436
194113771456139114451417
194213571451139014341408

The average of the four centres shows a continuous upward movement since 1934 in the index for general groceries (Group 1A), most of which are imported. The general trend for Group 1B during the same period has also been upward, although there have been some rather violent fluctuations due almost entirely to variations in the prices of potatoes and onions. The index for sugar has also risen substantially, although minor reductions were recorded in the last two years covered.

RETAIL PRICES OF DAIRY-PRODUCE.

The next table shows annual average retail prices index numbers for the dairy-produce group. The Dominion weighted average index number for 1926 to 1930 equals 1000.

DAIRY-PRODUCE.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.Dominion Weighted Average.
1932742761667680713722
1933652708617625651661
1934680704612651662666
1935761787698744748749
1936821839729789795801
1937915935873887903902
1938947983913920941940
193910061030965985997999
19401020104097399810081010
19411022103797799910091010
194210401049989100810221023

RETAIL PRICES OF MEAT.

Retail prices of meat fell to a low level during the depression, but the year 1934 marked the commencement of a recovery, which was maintained up to and including 1940, the index for that year being the highest yet recorded. The general index for 1941 showed a slight fall as compared with 1940, and the decline continued in 1942, but it will be noted that Wellington showed an increase in each of the two years.

MEAT.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.Dominion Weighted Average.
1932729702817714741747
1933705678769650701714
1934827740838725783796
1935919756863789832846
1936977835924866901912
193710729319909959971003
1938113610211035111210761075
1939108710161102117010941077
1940116710401236124611721153
1941114110491195119111441131
1942112810651177114911301115

HOUSE-RENT.

In investigating changes in the cost of housing, the Census and Statistics Department has traced the movements of house-rent over a series of years. By reason of the fact that leases, infrequent changes of residence, and the difficulty of departing from customary rents all tend to make the movement of the general level of rents comparatively slow, it has not been deemed necessary to attempt to measure the changes over short periods. The data from which the rent figures are compiled are therefore collected semi-annually only, in the months of February and August. Annual index numbers for rent are computed on the assumption that the February index number represents conditions prevailing during the first four and a half months of the year, the August index conditions prevailing during the next six months, and the index for February of the following year conditions prevailing during the last one and a half months of the year.

It is advisable to stress that the index numbers in respect of rent indicate the movement in the average rentals of a large number of houses already let, in many cases for a lengthy period, and that they do not purport to convey any statement as to the relative price at which housing accommodation has been obtainable from time to time by would be occupants of houses then being re-let.

HOUSE-RENT.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.Dominion Weighted Average.
19327631063823846874844
1933693937748799794766
1934696929747792791758
1935719964755802810774
1936770997777821841804
19377911023800838863828
19388151061833865894858
19398601073839892916887
19408941085869912940916
19419211103909936967945
19429431112932952985963

Rent and interest charges were compulsorily reduced by 20 per cent. by the National Expenditure Adjustment Act, 1932. The reduction was at first temporary, but was made permanent, in cases to which it applied, by the Mortgagors and Lessees Rehabilitation Act, 1936. The Fair Rents Act, passed in 1936, was a temporary measure designed to prevent undue increases in rents, and was to remain in force until September, 1937. Subsequent amendments have extended its duration from time to time, and the amending Act of 1942 places the expiry-date at one year after the termination of the present war. The 1942 amendment extended the scope of the legislation to cover all types of dwellings and flats not previously affected, and, in addition, the limitation to cases where the weekly rental did not exceed £3 was removed. It was also declared an offence to refuse to let to an applicant with children.

In December, 1942, rents were stabilized, the level being either the rent which was payable on 1st September, 1942, or a “fair rent” which may be fixed by the Supreme Court, or, in cases where the basic rent does not exceed £520 per annum, by a Magistrate.

A comprehensive housing policy, including the building of houses by the Government and local authorities for letting purposes, was commenced in March, 1937, and is being prosecuted as vigorously as existing conditions will permit (see Section 22).

FOOD AND RENT.

Generally speaking, apart from the consideration of different rates of population-increase, the chief centres have higher rentals than the minor centres. The four largest centres have, however, lower indexes for groceries than the majority of the smaller towns. The following indexes, representing yearly averages for 1942, illustrate this point.

Group.Weighted Average of Four Chief Centres. (a)Weighted Average of Twenty-one Smaller Centres. (b)Excess of (a) over (b).Excess of (b) over (a).Dominion Weighted Average.
Groceries12211274..531236
Dairy-produce1027101512..1023
Meat1125109134..1115
Three food-groups112711261..1127
House-rent98790582..963

RETAIL PRICES OF FUEL AND LIGHT.

For the purpose of tracing the course of prices in the fuel and light group, a small group of seven items—coal, coke, firewood, kerosene, gas, electricity, and candles—is taken into account for the four chief centres. It is not feasible to extend this index to the remaining twenty-one centres covered by the food and rent indexes.

FUEL AND LIGHT.—INDEX NUMBERS

Year.Auckland.Wellington.Christchurch.Dunedin.Average of Four Centres.
19321020925993894958
1933860931987781890
1934807886976695841
1935900873974713865
1936952879955762887
19371002915977802924
193810409741025816964
193910839981032849991
19401105101210418601005
19411111102510468661012
19421126102910608701021

RETAIL PRICES OF CLOTHING AND OF MISCELLANEOUS ITEMS.

In regard to the method of treatment of the clothing and miscellaneous groups, it is to be explained that, as in the case of fuel and light, the inquiry is in general restricted to the four chief centres; further, except as regards fares and cleaning supplies, in respect of which accurate weights based on usage in the base period are available, enabling the aggregate expenditure method to be employed, no satisfactory information is available or procurable which would enable individual weights to be allotted to each item. For this reason the same measure of precision is not possible in the treatment of these groups, but by selective balancing of representative items and arranging them in representative subgroups a measure of weighting is secured, as each subgroup is treated as a separate unit and given its appropriate weight. Price ratios are computed, geometric averages of which are compiled for the subgroups and for the complete groups. In order to facilitate the dropping of obsolete items and the inclusion of new items (particularly in the clothing groups), the initial computations of price ratios are based on prices ruling at the immediately preceding collection of the data, the group averages being linked to the 1926–30 base.

The movement of prices of clothing and miscellaneous items from year to year may be traced in the table under the next heading.

RETAIL PRICES—ALL GROUPS.

From the collection of household budgets in 1930, the average household expenditure under various heads was found to be as follows:—

 Per Cent.Per Cent.
Groceries9.24 
Dairy-produce8.47 
Meat11.81 
   Three food groups combined29.52
Rent..21.93
Fuel and light..6.17
Clothing and drapery9.77 
Footwear2.84 
   Clothing, drapery, and footwear12.61
Furnishings1.55 
Ironmongery and brushware0.37 
Crockery0.26 
Train and tram fares3.46 
Newspapers and periodicals2.00 
Personal services0.54 
Postage and telegrams0.51 
Household cleaning supplies1.09 
Tobacco1.30 
   Total, miscellaneous, specified11.08 
   Total, miscellaneous, unspecified18.69 
Total, miscellaneous..29.77
   Total, all groups..100.00

These weights are applied to the index numbers of the different groups in the process of arriving at the “all-groups” retail prices index, with the exception that the weight applied to the miscellaneous group is 11.08 and not 29.77. Thus 81 per cent. of household expenditure is covered by the index number. The remaining 19 per cent. represents miscellaneous items for which it has been found impossible to obtain reliable price-quotations. Their omission has the effect of giving them the same general average price-movement as the 81 per cent. covered.

The following table shows the index numbers for all groups for each year from 1914 to 1942. It should be noted that the annual index numbers given represent the average price-level during each year, not at any of the particular points during the year at which the prices for the respective groups were collected.

ALL GROUPS INDEX NUMBERS

(Base: Dominion weighted average of prices in 1926–30 in twenty-five centres in case of Groups I to IV, and average of prices in 1926–30 in four chief centres in case of Groups V, VI, and VII, = 1000.)

Year.Food Groups.Rent. (IV.)Fuel and Light. (V.)Clothing, Drapery, and Footwear. (VI.)Miscellaneous. (VII.)All Groups combined. (I–VII.)Increase per Cent. over July, 1914.
Groceries. (I.)Dairy-produce. (II.)Meat (III.)Three Food Groups. (I–III.)
* Month of July.
1914*624719759703535585686601628..
19157708028328035385937466466767.6
191676988090885754163787171272415.3
1917836933982920553728103179478625.2
19189419681038985566782121689885035.4
1919982102510681027581852147697591245.2
19201206118411141165613101316531131101962.3
1921122812579541134680113115091153103464.6
1922110098581395872410451274110395251.6
1923104310098629657929981173105595952.7
19241060105392010058599851139103398456.7
1925104410431008103091299311111015100459.9
1926104710459941026962100210601013101060.8
1927101510109379831000100510171033100159.4
1928103310069791004101410119951002100660.2
1929973999105210131019992980986100459.9
19309329391033974100799194798698156.2
193189180783484595398786998690644.3
193285772274777584495881497383833.4
193381966171473276689081697679526.6
193484566679677475884183297380828.7
193589974984683577486582898083733.3
193687880191287080488783799386437.6
19379459021003956828924915105092347.0
19389339401075991858964936105495151.4
1939106799910771052887991960108699057.6
19401039101011531076916100510611170103564.8
19411156101011311104945101211591211107370.9
19421236102311151127963102112431289110976.6

The index numbers for all groups combined did not fluctuate to any great extent between 1922 and 1930, but during the next three years a considerable fall took place. In 1934 an upward movement commenced. The index for 1942 is 39 per cent. above that for 1933, and is the peak index of the series.

WARTIME PRICE INDEX.

Part IV of the Economic Stabilization Emergency Regulations 1942 provides, inter alia, for the preparation of a special wartime price index, for the purpose of recording as from 15th December, 1942, any increases or reductions in the prices of such commodities and services (including rents) as the Minister of Industries and Commerce directs. The wartime price index is gazetted quarterly by the Government Statistician.

Detailed information regarding the wartime price index will be found in parliamentary paper H.-43 of 1944. The composition of this index differs from that of the ordinary retail prices index in several respects, viz.:—

Numerous alterations have been made in the schedule of commodities, &c., covered by the various groups and sub-groups.

Weights generally have been revised to represent relative present-day consumption of the various commodities and groups covered by the index.

A new group is introduced covering fresh fruit and vegetables other than potatoes and onions, which—as in the ordinary, index—are included in the groceries group.

The dwellings covered by the rent group have been subdivided to give correct relative weights to private and Government rental houses.

Clothing and footwear have been divided into subgroups to give correct relative weights to the requirements of men, women, and children respectively.

The indexes for the clothing, footwear, and household drapery group, and for most subgroups of the miscellaneous group, are arrived at by the aggregate expenditure method, thu3 bringing them into line with the remaining groups.

In view of the purpose of the wartime price index, prices of milk, eggs, meat, potatoes, onions, and fresh fruit and vegetables are adjusted on the basis of normal seasonal variations in the prices of these commodities.

The following table shows the war-time price index from December, 1942, to date:—

WARTIME PRICE INDEX

Base: 15th December, 1942 = 1000

Year.15th March.15th June.15th September.15th December.
1943101110009961001
19441005100110031004
194510061005....

WHOLESALE PRICES.

In most countries index numbers of wholesale prices are compiled from the price data available in trade journals or from the published reports of wholesale markets. In New Zealand wholesale markets scarcely exist, and consequently price data for the wholesale-prices investigation have been collected from wholesale merchants and traders, who from the volume of the business they transact are able to supply representative information.

Since 1917 such wholesale-price quotations have been collected monthly, the inquiry being for the most part confined to the four chief centres. In the case of a few commodities (e.g., newsprint), of which there is a consumption so large that the article can scarcely be omitted from the price-index, yet for which no actual market exists within New Zealand, the inclusion of the commodity in the index number has been rendered possible by ascertaining movements of prices from the import statistics. Statistics of imports and exports as a source of price data have, however, been avoided as far as possible, on the ground that where quotations are obtained from traders care can be taken to ensure that the grade, &c., quoted for is kept constant. A considerable volume of data as to wholesale prices was secured from merchants and traders (and in a few cases from import figures) by means of retrospective investigations covering the years 1891 to 1917, and sufficient information was secured to permit of the compilation for each year from 1891 onwards of a “general” wholesale prices index number based on the prices of 106 commodities.

During 1926 a revision of the wholesale prices index was effected, designed, inter alia, to permit of the inclusion in the index number of several commodities such as motor-spirits, &c., the importance of which had increased enormously since the index was originally instituted. The list of commodities represents a wide range, covering articles of home production and of foreign production, and of farm, mine, marine, factory, &c., origin.

In 1937 a further revision of the wholesale prices index was put in hand, but except for the new base-period (which is 1926–30=1000) these indexes do not differ essentially from those of the previous series. The revision consisted mainly of adjustment of the weights in accordance with changed consumption, the elimination, as far as possible, of “double counting” (the inclusion of a commodity in its raw state and again in a processed condition), the adoption of some new items, and the omission of some others, previously included, which had proved unsatisfactory. A detailed account of the method of computation of the index is given in the Statistical Report on Prices, &c., for 1937.

Indexes in the present series have been prepared, annually from 1914 onward. and monthly commencing with 1936.

WHOLESALE PRICES.—GENERAL INDEX NUMBERS.—BASE: 1926–30 = 1000

Year.Index Number.
1914748
1915805
1916882
19171024
19181225
19191282
19201536
19211428
19221194
19231115
19241120
19251114
19261053
19271001
1928994
1929988
1930963
1931901
1932878
1933902
1934907
1935936
1936945
19371022
19381036
19391071
19401195
19411311
19421416
19431513
19441558

The wholesale prices index is purely a commodity index, no attempt having been made to cover the wholesale prices of services such as the supply of electric power, transportation, &c. The index relates only to commodities consumed in New Zealand, each item included in the make-up of the index being weighted by a factor representing production, plus imports, less exports (i.e., local consumption). The wholesale prices index numbers are compiled by the aggregate expenditure method.

The following table shows annual wholesale prices index numbers by groups.

WHOLESALE PRICES.—INDEX NUMBERS BY GROUPS.—BASE: 1926–30 = 1000

Group.1914.1939.1940.1941.1942.1943.1944.
1. Foodstuffs, &c., of vegetable origin—       
   A. Agricultural produce642132810411373144214141562
   B. Fresh fruit and vegetables7641055884938108312431256
   C. Milled agricultural products644776785786766757757
   D. Other foods and groceries of vegetable origin613118913601438170618331846
   A–D. Four subgroups combined634112411591265143215101544
2. Textile manufactures5358159701156132615981727
3. Wood and wood products582118412231313137814151440
4. Animal products—       
   A. Meats941101111421223129012241284
   B. Semi-manufactured animal products (not foods)838691852867867867867
   C. Leather676112912271281131513411367
   D. Other foods and groceries of animal origin7859659931016105210671070
   A–D. Four subgroups combined84399210791130117811581189
5. Metals and their products919127715641805192421222172
6. Non-metallic minerals and their products—       
   A. Mineral oils1164123514941556161216061611
   B. Coal539108510851085108810911091
   C. Other non-metallic minerals and their products600102310671098117812701308
   A–C. Three subgroups combined821114012601292133113441353
7. Chemicals and manures95486191895099710481059
   All groups combined748107111951311141615131558

In the next table index numbers are given by classes. These index numbers should be taken for no more than they purport to represent—viz., the movement in wholesale prices of those commodities, covered by the wholesale prices inquiry, which belong to the respective classes. The figure for Class III, for instance, does not purport to show the movement in building costs, nor should that for imported items be confused with the index number of import prices. The table also shows the separate index numbers for imported items and locally-produced items included in the wholesale prices series and affords an interesting comparison, particularly since the outbreak of war. The 1944 index for imported commodities shows an increase of 66.1 per cent. as compared with 1939, while the index for locally-produced commodities advanced by 17.1 per cent. during the same period.

WHOLESALE PRICES.INDEX NUMBERS BY CLASSES.—BASE: 1926–30 = 1000

Year.Consumers'Goods.Producers' Materials, &c.Classes I and II combined.Classes III and IV combined.Imported Commodities.Locally-produced Commodities.All Classes combined
Class I: Foodstuffs.Class II: Non-Foods.Class III: Materials for Building and Construction.Class IV: Materials for other Industries.
1934824920990933864946977810907
1935915933992938922950980876936
19369179321019951923966979899945
193796697811721038971106810629671022
193899297912151043986108110729871036
1939108810001206105710511090108410531071
1940112111491373121411311249128110781195
1941122812851560130812491364143911391311
1942133514741664137413891438158111931416
1943135016851793146614831539174212051513
1944138117651832150615341579180012331558

Of the total base aggregate expenditure, Class I represents 27.1 per cent., Class II 19.2 per cent., Class III 11.9 per cent., and Class IV 41.8 per cent., while the imported items aggregate 57.7 per cent. of the total.

EXPORT PRICES.

Monthly and annual index numbers of export prices are compiled, based on the declared export values of the principal commodities of New Zealand produce exported. The prices are related to the base period 1909–13 (= 1000), but the weight allotted to each of the various commodities included is the average quantity of that commodity exported during the five preceding export seasons—i.e., years ended 30th June. The system of weighting, which is a compromise between the use of fixed weights and of weights fluctuating according to monthly and yearly changes in the physical volume of exports, permits of more reliable comparisons between neighbouring years than over long periods.

Most of the export commodities are homogeneous, but in some instances—e.g., wool—the average export value in any month may be affected by changes in the relative quantities of the various grades or classes exported. This difficulty latterly has been obviated by taking export values based on the purchase prices of commodities which are the subject of bulk purchase agreements with the United Kingdom Government.

Index numbers for calendar years are shown in the next table, compiled for each group on the base 1909–13 (= 1000).

EXPORT PRICES.—INDEX NUMBERS.—BASE: 1909–13 = 1000

Calendar Year.Group I: Dairy-produce.Group II: Meat.Group III: Wool.Group IV: Other Pastoral Produce.Groups I–IV: All Pastoral and Dairy Produce.Group V: Agricultural Produce.Group VI: Timber.Group VII: Minerals.Groups I–VII: All Groups combined.
1934767151812738810891200218015541109
1935913157682296710721260216917051102
1936104615961107123912281321214817081250
1937109216511768153514231365248217921440
193812101752117694713401411275218161367
193912311635109894312901543272919541324
1940132417961505128715011379246522071524
1941134718061505150115271508249822701553
1942138418051505180015621508277923171588
1943143118351677171216261508278323041649
1944156619071720170117111508276323591729

The all-groups index for 1940 was 200 points in advance of the previous year; the principal cause of this increase was the purchase of the exportable surplus of New Zealand's meat, wool, and dairy-produce by the United Kingdom Government at prices somewhat in advance of those ruling in the 1938–39 season. Although the other pastoral produce, timber, and mineral groups advanced considerably from 1940 to 1942, there was little change in the indexes for the major groups, and the all-groups index for 1942 was only 64 points above that for 1940. The increased price for wool granted to producers as from the 1942–43 realizations, was the major cause of the 61-point increase in the 1943 index; in 1944 the increased prices obtained for meat and for dairy-produce, and the full effect of the wool-price increase, are reflected in both the individual index numbers and in the all-groups index.

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 are farm-produce. For a number of purposes the next table, giving annual average export prices index numbers for years ended 30th June, will be more useful. As in the previous table, index numbers are based upon prices in New Zealand currency.

EXPORT PRICES.—INDEX NUMBERS (JUNE YEARS).—BASE: 1909–13 = 1000

Year ended 30th June,Group I: Dairy-produce.Group II: Meat.Group III: Wool.Group IV: Other Pastoral Produce.Groups I–IV: All Pastoral and Dairy Produce.Group V: Agricultural Produce.Group VI: Timber.Group VII: Minerals.Groups I–VII: All Groups combined.
19348101415121891110701183215714851089
1935806157781484410141228216516821046
193699315731049113711791311209617321205
1937105416231705143713791362233417521397
1938119617251254125713641378262118051386
193912121677110487712911444274318571320
1940131017341457115814561292261421401479
1941133317821505126514981501236822411524
1942137318211505166915541508264723111579
1943141518091580170115881508276223631613
1944143718981720173216581508275523631678

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, and information previously lacking in some cases became available.

Accordingly, a revised series of index numbers has been computed, based in the case of individual items on average quantities imported during the three years 1936–38. Group weights have also been instituted in the new series, to accord to the various groups their relative importance, and these have been based on the average total value for the respective groups during the three years 1936–38. The index numbers themselves are on base 1938 (=100), but even with improved coverage and method now possible they are not sufficiently accurate to be quoted as other than a three-figure index.

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, has been 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.

In order to avoid any possible confusion between the import prices index number and the wholesale prices index number for imported commodities, it seems desirable to draw attention to the fact that the price quotations on which the import prices index is based are declared values of commodities for import—i.e., prices in the exporting country plus 10 per cent. to cover freight, &c., expressed in terms of New Zealand currency.

The import prices index also covers some two hundred and fifty items, as compared with approximately one hundred items included in the wholesale prices index for imported commodities.

A comparative table of index numbers of the various related prices series from the year 1926 onward is as follows. All index numbers are quoted on a New Zealand currency basis, and on the base 1936–38 (= 100).

Year.Import Prices.Export Prices.Wholesale Prices.Retail Prices (All Groups).
Pastoral and Dairy Produce.All Groups.Imported Commodities.Locally produced Commodities.All Groups.

* Not yet available.

† Not available.

1926125116114103108105111
192711911511397104100110
19281131281249510699110
19291111231209410699110
193011096959210290107
1931102737390909099
193297656690848892
193399656695839087
193498828294859188
193596818294929492
193696929294959495
1937102107107102102102101
1938102101101103104103104
19391029798104111107108
1940118113113123113119113
1941131115115139120131118
1942144117118152125142121
1943*122122168127151
1944*129128173130156

EFFECT OF PRICE MOVEMENTS ON FARM EXPENDITURE.

—Prices of a large selection of farm products are included in the official wholesale and export prices index numbers. Many of the principal items of farm expenditure, however, are not covered by the wholesale prices index, which is purely a commodity index. A special index number is compiled in which such items as interest-payments, rates and taxes, wages, freight, and commission are included in addition to the material commodities which are bought for use in farm production. Statistics of prices of farm implements, manures, and sundry other commodities not covered by the wholesale prices inquiry are also obtained from merchants and from manufacturers of farm machinery, and included in this index, so that practically the whole of the working expenses of the average farm are represented.

While the farm expenditure index indicates the effect of price movements on farm expenditure generally, it is not intended to apply to particular types of farming or to particular localities. Again, the weights used in compiling the index are fixed, the purpose of the index being to measure movements in costs of a standard regimen of commodities and services.

Indexes for the years 1932 to 1944 (on base 1914 = 1000) are given below. The general indexes of wholesale and retail prices, and the export prices index number for all pastoral and dairy produce combined, are also included on the same base year, in order to facilitate comparison of the movements in the farm expenditure index with movements in other significant prices index numbers. Such comparison, however, affords only a broad indication of the relationship existing between movements in prices of goods and services purchased by the farmer and in the prices of farm products.

Year.Farm Expenditure Index.Pastoral and Dairy Produce Export Prices Index.General Wholesale Prices Index.All Groups Retail Prices Index.

* Approximate. Recent changes in certain items are incapable of exact measurement.

† Not available.

19141000100010001000
19321250*79511741334
19331150*79212061266
19341150*99512131287
19351150*97912511331
19361250*112112631376
19371450*130013661470
19381500*122413851514
19391500*117814321576
19401550*137115981648
19411600*139517531709
19421700*142618931766
19431750*14852023
19441750*15632083

SHARE PRICES.

—Changes in the market value of shares listed on the Stock Exchange give a very sensitive indication of changes in business conditions generally. A series of index numbers of share prices (on base: 1926 = 1000. and instituted in 1932) was published by the Census and Statistics Department for Borne considerable time, but in conformity with the usual international practice of revising index numbers at intervals, and advancing the base to a later period in point of time, the present revised series of index numbers is based on the year 1938. The market-prices—as on the last trading day in each month—of shares of forty-seven representative companies, with shares listed on the New Zealand Stock Exchanges, form the basis on which the indexes have been computed. The selection of the shares for inclusion in the index number was made with the object of reflecting New Zealand economic conditions; and, consequently, with one or two exceptions, only companies whose business is conducted largely or wholly in New Zealand are included. The index numbers are for ordinary shares, the prices of which vary directly with the profits of the company.

The market prices on which the index numbers are based have been extracted from Stock Exchange lists of individual exchanges prior to. September, 1929, and from the list of share prices included in the Stock Exchange Gazette and its successor, the Official Record' of the Stock Exchanges of New Zealand, since that date. The prices quoted relate to the last trading day in each month; so that the “monthly” index numbers compiled from these data relate to that day only, while the annual averages represent the averages of the monthly index numbers. Each individual share price, and each group, is weighted in accordance with the number and value of shares held in New Zealand. The index numbers of New Zealand share prices give an indication of changes in share values as compared with the base year. In particular, they are intended to indicate the changes in value of a parcel of representative ordinary shares as compared with their 1938 value. The base adopted in this revised series is the average price ruling during the year 1938 (=1000).

Shares in industrial companies have been computed separately, and the annual index numbers from 1926 to 1944 (on base: 1938 = 1000) are as follows:—

 Industrial.All Groups.
19269091108
19278511073
19288791111
19299601163
19308351007
1931674810
1932667769
1933804897
19349961051
193511021112
193610751057
193710731069
193810001000
1939959952
19401024999
194110211001
194210051010
194311561174
194412491279

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—ANNUAL, BY GROUPS, 1934–44

(Base: Average for each group, 1938 = 1000)

Year.Frozen Meat.Woollens.Gas.Timber.Minerals.Miscellaneous (Industrial).All Industrial Groups.
1934128511081236870965881996
1935121912161307990117810001102
1936113511791189112711799801075
19371085114110731051111410541073
19381000100010001000100010001000
193990010198521034953988959
1940105512258971022101810351024
1941101212917891051102710571021
19421151141878210509849961005
1943143816178471217105011591156
1944161317539001360108712521249
Year.All Industrial Groups.Banks.Insurance.Loan and Agency.Miscellaneous (Other).All Groups combined.
19349961167104811099891051
1935110211671138101510271112
193610751066106110479581057
193710731078108511539681069
1938100010001000100010001000
19399599239738561005952
1940102493310718561014999
1941102189511758409921001
19421005895123289510431010
194311569881492109512791174
1944124910591619120114921279

NOTE.—Index numbers in the above tables are comparable vertically but not horizontally.

Monthly index numbers of share prices throughout the years 1929, 1932, 1935, and 1939 to 1944 are given in the following table.

Month.1929.1932.1935.1939.1940.1941.1942.1943.1944.
Industrial Shares
January933668108695610451013100611071215
February92963210759541046101398111231242
March94862110719381052100493711301255
April9466181103941109898297111371254
May9636301097968101398494911431266
June980646111294895998196811531263
July9946691132958988101799111661277
August992701110693910021046101511671264
September986738109092710331064102411691246
October969718111195910191065105111811241
November9486991123100410141062107611911232
December9366621117102210141028109112021236
All Groups
January116377711149511019996100011141245
February11647381094947102299996711331265
March11657321091935102598994011321277
April11637261121930106495197111431277
May1172728111395698396396111521288
June1182738112094093695797411661293
July11827791136954973991100011791314
August119281111339409811021102811911290
September1184838110592710061037103911921276
October114881711059539931046106012051276
November113679611099879911051108212191273
December111074811039989931010109812321277

SUMMARY OP PRICE MOVEMENTS.

—The following table gives a summary (on base 1926–30 = 1000) for the last eleven years available of the movements in the more important series of price index numbers.

 Retail.Wholesale.Export.
 Year.Food.All Groups.Locally-produced Items.All Groups.All Pastoral and Dairy-produce.All Groups.Import.*Share Prices, All Groups.

* Base: 1926–30 = 100.

† Not available.

‡ Not yet available.

193477480881097790770972484962
1935835837876980936697720831018
193687086489997994579981683968
19379569239671062102292694188979
19389919519871072103687289388916
1939105299010531084107183986588872
194010761035107812811195977995102915
1941110410731139143913119941014113917
19421127110911931581141610181038124925
1943120517421513105810771075
1944123318001558111311291171

The extent of the rise in prices in the various groups since the outbreak of the present war is shown in the following table, which has August, 1939, the last pre-war month, as the base for each column.

SUMMARY OF PRICE INDEX NUMBERS, AUGUST, 1939, to MAY, 1944

(Base: August, 1939 = 1000)

 Retail.Wholesale.Export.Share.
Food.All Groups.Locally-produced Items.Imported Items.All Groups.All Pastoral and Dairy-produce.All Groups.Industrial.All Groups.
* Not available.
1939—         
August100010001000100010001000100010001000
November106210311021102810251031102910691050
1940—         
February100410181006107910491170115711141087
May101710341023114210931163115310791046
August100910471002122011301152114410671044
November102510591012126511611163115510801054
1941—         
February101610611027129011811156115010791063
May103710741064129912021175116610481024
August103110781065133812251199119011141086
November107710991117134812521203119711311118
1942—         
February102910851086136012471210120010451029
May104311031108144013031195118710111022
August106711241127149013391208120510811094
November110711431134152113601216120511461151
1943—         
February**1119152813581234122711961205
May**1135159614041268125512171226
August**1120160814041271126012431267
November**1156164014381291127612681297
1944—         
February**1165164614461289127313231346
May**1152165114441288127313481370
August**1134165314371279126513461372
November**1163165814521398137713121354
1945—         
February**1169166314581426140013281362
May**1156167414581403137913531413

Since the outbreak of war continuous efforts have been made by the Government to ensure that rises in prices are only such as cannot be avoided, and a series of regulations commencing in September, 1939, and culminating in the Economic Stabilization Emergency Regulations of December, 1942, have been issued towards this end. The prices of the majority of locally-produced commodities are capable of control to a very large extent, but the same measure of control cannot be exercised over the prices of imported commodities, which are affected by overseas factors, and which are subject to increased freight and insurance charges consequent upon the risks of war. A reflection of this factor is contained in a comparison of the index for locally-produced items included in the wholesale prices series with that for imported items. Between August, 1939, and May, 1945, the imported items index registered an increase of 67 per cent., as compared with only 16 per cent. in the case of locally-produced items.

Chapter 36. SECTION 36.—WAGE-RATES AND HOURS OF LABOUR

THE material used in the compilation of statistics of wage-rates in New Zealand is, with certain exceptions, taken from the awards of the Arbitration Court. It is recognized that the rates specified in such awards are minimum rates, and that wages may in some cases by above the prescribed minima, so that a rise or fall in the award rates does not necessarily involve an immediate change in the wage-rates of those workers who are being paid more than these rates. Nevertheless, for the purpose of tracing the movement in wage-rates over any considerable space of time, the award rates form a more reliable basis than any information which could be collected directly from employers or trade-union secretaries as to the ruling or predominant rates in any industry. Prior to the passing of the Agricultural Workers Act, 1936, no fixed rates of wages for farm employees existed; and for this group figures of ruling wage-rates were reported by Inspectors of Factories attached to the Labour Department.

The Industrial Conciliation and Arbitration Amendment Act, 1932, contained, inter alia, a provision that, in the event of the parties to an industrial dispute being unable to come to agreement before the Conciliation Council, the award lapsed. In cases where district awards lapsed under this provision figures were interpolated, based on fluctuations in corresponding rates in other districts. The Industrial Conciliation and Arbitration Amendment Act, 1936, restored the full powers of the Court (see next section, Labour Laws and Allied Legislation).

The award rates for the four principal districts—Northern, Wellington, Canterbury, and Otago and Southland—are in general taken as being representative of the ruling wages throughout the Dominion. 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 coal-mining and sawmilling in the Canterbury District are those prescribed by the awards for the Westland Industrial District.

The system of compilation of wage-rates index numbers was revised in 1936, and the index numbers appearing in the following pages are on the same base period as in the case of the retail- and wholesale-prices indexes—viz., the average of the five years 1926–30 (= 1000). The industrial grouping also underwent some modification, consisting principally of the dispersal of the old groups “Other Manufactures” and “Miscellaneous” amongst existing groups, and the introduction of three new groups (“Provision of Power, Heat, and Light”; “Working in Stone, Clay, Glass, and Chemicals”; and “Working in Skins, Leather, &c.”); while the old group “Textiles and Weaving” was combined with “Clothing and Footwear.”

WAGE-RATES OF ADULT MALE WORKERS:

Method of Weighting.

The weights used in the computation of the indexes were derived mainly from three sources— viz., (1) the occupations statistics of the 1926 census, (2) the annual factory production statistics, and (3) the membership rolls of trade-unions registered under the Arbitration Act. Weights have been allocated to the individual occupations included in these computations, and, although in some few cases absolute accuracy in weighting could not be hoped for, the data were sufficiently accurate for the purpose in view, since minor differences in weighting do not affect the accuracy of the index number. Occupations are grouped into industries, with an appropriate weight for each occupation and each industry; while industries are grouped into fourteen principal industrial groups, these also being given appropriate weights. The weights for the individual occupations and industries have been derived from the census or the factory production statistics; while the industrial-group weighting has been taken partly from these sources and partly from the membership of trade-unions registered under the Arbitration Act. In the case of workers on the land, use was also made of information formerly obtained by means of the annual collections of agricultural and pastoral statistics. Full details of the weighting appeared in the Statistical Report on Prices, &c., for the year 1935.

Nominal Weekly Wage-rates Index Numbers.

Average annual index numbers of nominal weekly wage-rates of adult males over the period 1914–44 are given in the following table. The index numbers for the years 1915–25 have been interpolated on the basis of movements recorded in the earlier series of index numbers. The base in this case is the weighted average of weekly wage-rates for adult males in 1926–30 (= 1000).

Year.Index Number.
* Interpolated.
1914623
1915659*
1916679*
1917711*
1918742*
1919794*
1920887*
1921956*
1922939*
1923925*
1924938*
1925952*
1926966
1927985
19281016
19291017
19301017
1931942
1932864
1933833
1934839
1935858
1936950
19371036
19381081
19391100
19401130
19411170
19421222
19431261
19441274

Wage-rates rose steadily and in fairly regular gradations from year to year from 1914 to 1918. When the provisions of the War Legislation and Statute Law Amendment Act, 1918, came into effect, providing for the regulation of wages in accordance with movements in the cost of living, the lag between prices and wage-rates was partially eliminated, and sharp increases took place. The effect of the post-war slump subsequently became apparent, and decreases were then recorded. Following the recovery from the slump, the index number rose year by year until in 1929 it reached 1017, the highest level recorded prior to the year 1937. A general order of the Arbitration Court, dated 29th May, 1931, reduced all rates of pay and allowances prescribed by awards and industrial agreements by 10 per cent. The rates of remuneration of apprentices were exempted from this order; and, in addition, flax-mill employees in the Wellington Industrial District, who had already suffered a substantial cut in wages, were exempted. The average rates of pay of agricultural and pastoral workers, although not subject to the Court's order, were considerably below those ruling during previous years. As a consequence of these reductions, a substantial fall occurred in the 1931 annual average index numbers for all groups. This reduction in wage-rates, being on a strictly percentage basis, caused a levelling-up in the group indexes, the relatively higher-paid groups of workers suffering the largest reduction in rates.

The Industrial Conciliation and Arbitration Amendment Act, 1932, made provision for the review of existing awards. During 1932 and 1933 the rates of pay prescribed in several awards were reduced in new awards; and, again, wage-rates of two classes of labour not covered by awards (railway employees and permanent farm hands) suffered further reductions—in 1932 in the former case and in 1932 and 1933 in the latter case. Also in most instances the ruling rates of pay, in cases where previously existing awards bad been cancelled, were below the former award rates. Consequently the general index number of wage-rates fell substantially, the 1933 index (833, on the base: 1926–30 = 1000) being 3.6 per cent. below the 1932 figure, and 18.1 per cent. below the former peak level of 1017 recorded in 1929 and 1930. The 1933 index is the lowest annual average index since 1919; but slight increases were recorded in 1934 and 1935.

Complete restoration to the pre-depression level of award (and other) rates of wages and salaries was effected by the Finance Act, 1936, which was passed early in August of that year. A further measure of importance was the Agricultural Workers Act, passed in September, 1936. Both these Acts are discussed in the next section (Labour Laws and Allied Legislation). The effect of the restoration of wages cuts and the provision, for the first time in the history of the Dominion, of standard rates of pay in respect of certain classes of permanent farm labour, was reflected in the index numbers of wage-rates for 1936, the all-groups index showing an increase of 92 points, or 10.7 per cent., over that for 1935. The full effect of the provisions referred to was not, however, evident until the following year, when the all-groups index registered a further advance of 86 points or 9.1 per cent.

In 1938 and 1939 the general index showed further increases of 45 and 19 points respectively, and in the earlier portion of 1940 remained almost stationary. In July, 1940, an application was made under the Rates of Wages Emergency Regulations 1940, fixing wages in industry, to meet the increased cost of living. The Court of Arbitration awarded an increase of 5 per cent. in all rates of remuneration in awards, industrial agreements, and apprenticeship orders, as from the 12th August, 1940.

The Court awarded a further increase of 5 per cent. as from 7th April, 1942, but with the following limitations:—

  1. In the case of males twenty-one years of age and over, on earnings up to £5 per week only:

  2. In the case of females twenty-one years of age and over, on earnings up to £2 10s. per week only:

  3. In the case of males or females under twenty-one years of age, and apprentices, on earnings up to £1 10s. per week only.

These increases are reflected in the indexes for the years 1941–43, which recorded rises of 40, 52, and 39 points respectively. In addition, certain classes of agricultural workers were granted wage increases as from 1st August in each of the years 1942, 1943, and 1944; and seamen, who were granted a war-risks bonus in May, 1941, had the rate of the bonus increased in July, 1942, and again in May, 1943. The all-groups index for 1944, however, was only 12 points above the 1943 level.

The Rates of Wages Emergency Regulations were superseded by the Economic Stabilization Emergency Regulations 1942, which provided for the stabilization of all rates of remuneration at the levels ruling on 15th November, 1942, but adjustments could be made by way of general orders of the Arbitration Court in accordance with the movement shown by a special wartime price index provided for by the regulations. 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 in accordance therewith.

In February, 1945, an amendment to the regulations gave the Court power to amend existing awards and agreements, so as to adjust disparities in wage-levels as between the various classes of workers. Coincidental with the issue of these amending regulations, a general increase in the wages of all State employees, back dated to 30th June, 1944, was announced, and the Court has since made numerous amendments to awards and agreements providing for increased rates of pay.

A further amendment to the regulations, issued in June, 1945, provides that, in making any general order in regard to wages, the Court is required to take into account certain other specific matters besides the movement in the wartime price index.

A more complete reference to the Economic Stabilization Regulations will be found in the section of this Year-Book relating to “Labour Laws and Allied Legislation.”

The following table shows the index numbers of nominal weekly wage-rates of adult males for each industrial group and for all groups combined. Where board and (or) lodging is a usual perquisite attached to any occupation, an allowance estimated to cover the value of such has been added to the money wage-rate. The base in this instance is the Dominion weighted average wage-rate for all groups combined, 1926–30 (= 1000).

Industrial Group.1914.1933.1936.1937.1938.1939.1940.1941.1942.1943.1944.
Provision of—           
Food, drink, &c.665963106811651248126612991344139014111413
Clothing, footwear, and textiles60792197910351063112211651204125612901299
Building and construction65489897010511122112611601197124112621272
Power, heat, and light656973104711071157119412201263129913131316
Transport by water654991110511901209121712861434151316371680
Transport by land617899100810701093111611581202126212981333
Accommodation, meals, and personal service66082892810171038107710951119114311541154
Working in or on—           
Wood, wicker, seagrass, and fibre634913101410971151117912151251129513101310
Metal717938104811251209124112681303134613021364
Stone, clay, glass, and chemicals58491198010591112113911721209125412681269
Paper, printing, &c.7571026113011931247125012761313135513691370
Skins, leather, &c.60091997610541090111611841247129113051305
Mines and quarries664928101010761117111711621196127913171329
The land (farming pursuits)5195166948248498598668749279921002
All groups combined62383395010361081110011301170122212011272

NOTE.—The index numbers in this table are comparable both vertically and horizontally.

Prior to 1938 the highest index numbers were recorded in the group, “paper, printing, &c.,” due, no doubt, to the preponderance of highly skilled tradesmen, but during that year higher rates of wages were awarded to a number of workers in the “food, drink, &c.,” group (largely due to the fact that they work more than forty hours per week), with the result that the index for this group was the highest from 1938 to 1940. The “transport by water” group had the highest index number in each subsequent year, this being due to special increases in wage-rates in order to compensate for war risks involved in the industry.

The lowest index for 1944 was that for the group “working on the land” (1002), followed by “accommodation, meals, and personal service” (1154). In the latter group, as also in the “transport by water” and “working on the land” groups, the estimated value of board and lodging is, where applicable, added to the money wage-rate in order to make a legitimate comparison with other industries. In the case of waterside workers (an important subgroup of the “water transport” group) this allowance is not, of course, applicable.

Movement in Individual Groups.

—The index numbers in the preceding table being on a Dominion 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 Dominion average weekly wage-rates for each industrial group 1926–30 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES)

Industrial Group.1926–30.1914.1939.1940.1941.1942.1943.1944.
Provision of—        
Food, drink, &c.1000601114411741215125612751277
Clothing, footwear, and textiles1000596110011421180123212651274
Building and construction1000637109711301166120912301240
Power, heat, and light1000600109011141153118611991201
Transport by water1000592110011621296136714801518
Transport by land1000588106311631145120212361269
Accommodation, meals, and personal service1000680110911271151117711871187
Working in or on—        
Wood, wicker, seagrass, and fibre1000588109411281161120212161216
Metal1000647112011441176121412291230
Stone, clay, glass, and chemicals1000576111211451,181122512381239
Paper, printing, &c.1000637105010721103113911501151
Skins, leather, &c.1000574106811331193123512491249
Mines and quarries1000637107111151147122712631276
The land (farming pursuits)1000675111611261136120612891303
All groups combined1000623110011301170122212611274

Care must be exercised in drawing inferences from this table, for, while horizontal comparisons are quite valid, the vertical comparison between the various groups is valid only in so far as it shows in which groups the greater or the smaller movements have occurred. For example, the 1942 index for the “paper, printing, &c.,” group is 88 points below that for “mines and quarries,” the reason being that wages of workers in the former group have increased to a lesser degree than have those in the latter, although the actual rates of wages are considerably higher, as may be seen by reference to the previous table on the all-groups base.

Indexes of Hourly Wage-rates.

—Legislative reductions in weekly hours of labour during recent years rendered it desirable that indexes of hourly wage-rates should be made available. The indexes given hereunder show clearly the effect of the shorter working-hours prescribed mainly by the 1936 legislation. It will be noticed that these indexes (as is also the case in respect of the indexes 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) are incapable of satisfactory statistical treatment. The base is the Dominion weighted average hourly wage-rate for all groups combined, 1926–30 (= 1000).

Industrial Group.1914.1939.1940.1941.1942.1943.1944.
Provision of—       
Food, drink, &c.556123312631304135213771382
Clothing, footwear, and textiles552116212091250130413391348
Building and construction613119812331272132013351335
Power, heat, and light600126412921330137613911393
Transport by water593122912971442152516421682
Transport by land547113611791222128413191358
Accommodation, meals, and personal service443111911371162118811981198
Working in or on—       
Wood, wicker, seagrass, and fibre577124512821321136813841384
Metal655131913471386143214471449
Stone, clay, glass, and chemicals529120412391279132513401341
Paper, printing, &c.723132913571396144214571457
Skins, leather, &c.527117012181257130213161317
Mines and quarries611118612341271135813981411
All groups combined587121612551305135913901403

The same table is now given with a different base—viz., the Dominion weighted average hourly wage-rate for each group individually, 1926–30 (= 1000).

Industrial Group.1926–30.1914.1939.1940.1941.1942.1943.1944.
Provision of—        
Food, drink, &c.1000542120312311272131913431348
Clothing, footwear, and textiles1000574121212591301135813931403
Building and construction1000630123212681308135713731373
Power, heat, and light1000597125012771315136113751377
Transport by water1000562116712321369144715591597
Transport by land1000578120112461291135713931435
Accommodation, meals, and personal service1000513129813201348137913901390
Working in or on—        
Wood, wicker, seagrass, and fibre1000578124812851324137113871387
Metal1000612123212581294133713511353
Stone, clay, glass, and chemicals1000577129413311375142414401441
Paper, printing, &c.1000615113111551188122712391240
Skins, leather, &c.1000571126813201362141114271427
Mines and quarries1000618120112501287137514161430
All groups combined1000587121612551305135913901403

WAGE-RATES OF ADULT FEMALE WORKERS.

Index numbers showing movements in wage-rates of women workers are compiled, using the award rates of the Arbitration Court as representative of the ruling rates of wages. A much smaller list of occupations is used than is the case in computing index numbers of wage movements for male workers. Although only fifteen 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. With the extension of the employment of women under war conditions, however, the sample is temporarily not so representative as in times of peace. The weights used have been computed from data as to occupations from the 1926 census results.

The following table shows index numbers of women's wage-rates (on base: Dominion all-groups weighted average, 1926–30 = 1000), divided into the principal industries in which women workers are normally engaged. It should be noted that domestic servants employed in private homes, numerically an important branch of women workers, are not represented in the compilation of these indexes; also, that in the case of hotel workers (where board and lodging is a usual perquisite) and of restaurant employees (where meals are usually provided) the value of such additions has been added to the money-wage rates.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT FEMALES)

Industrial Group.1914.1939.1940.1941.1942.1943.1944.
Provision of—       
  Food, drink, &c.3909509791018105510661142
  Clothing, footwear, and textiles534102910691113118312651265
  Accommodation, meals, and personal service836133413521378141714261426
  Working in paper, printing, &c.487111011341166120412151221
All groups combined602110311371174123412921297

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 Dominion weighted average weekly rate of each group, 1926–30 (= 1000). As with the similar table relating to male wage-rates (p. 527) 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)

Industrial Group.1926–30.1914.1939.1940.1941.1942.1943.1944.
Provision of—        
  Food, drink, &c.1000459112411591205124912621352
  Clothing, footwear, and textiles1000578112011631211128613761376
  Accommodation, meals, and personal service1000670107410881109114011481148
Working in paper, printing, &c.1000559105510781109114411551161
All groups combined1000602110311371174123412921297

WEEKLY WAGE-RATES: ALL ADULT WORKERS.

A series of index numbers has been computed (on the base 1926–30 = 1000) for all adult workers; this varies but little from the index for adult males, owing to the preponderance of men in industry. Index numbers for the last eleven years available are:—

Year.Index.
1934844
1935862
1936951
19371034
19381080
19391100
19401132
19411172
19421223
19431262
19441274

EFFECTIVE WEEKLY WAGE-RATES.

The index numbers quoted in the foregoing discussion relate to nominal wage-rates—that is, they are based on actual or equivalent money rates without any allowance being made for changes in prices during the period under review. 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 are inversely proportional to changes in the purchasing-power of the pound; and index numbers of effective (or “real”) wage-rates can be arrived at by dividing the index numbers for nominal wage-rates by the corresponding index numbers for retail prices covering all groups of domestic expenditure.

The following table compares nominal and effective weekly wage-rates of adult male and female workers in each of the years 1932–42. The base of the index numbers is in each case the average of the five years 1926–30 (= 1000).

  Nominal Weekly Wage-rates.Effective Weekly Wage-rates.
Year.Retail Prices (All Groups).Males.Females.Males.Females.
193283886490510311080
193379583388710481116
193480883988710381098
193583785890310251079
193686495096111001112
19379261036101511221100
19389611081105511371109
19399901100110311111114
194010351130113710921099
194110731170117410911095
194211091222123411021113

Publication of the ordinary retail prices index, and of the effective weekly wage-rate index, has been temporarily discontinued since December, 1942.

In considering these figures, it should not be overlooked that the index number of effective wage-rates (in common, of course, with that of nominal wage-rates) applies only to full-time employment at award rates of pay. The index does not take into account overtime, short time, unemployment, or alterations in the standard hours constituting a week's work.

Under the employment-promotion legislation a wages-tax (1d. for every 6s. 8d. of wages from August, 1931, to April, 1932; 1d. for every 1s. 8d. from May, 1932, to September, 1934; 1d. for every 2s. from October, 1934, to September, 1935; and 1d. for every 2s. 6d. from October, 1935, to March, 1939) was in operation. As from 1st April, 1939, the employment-promotion legislation was replaced by the Social Security Act, 1938, under which the wages-tax was increased to 1d. for every 1s. 8d. of wages. A further tax on wages, also at the rate of 1d. in 1s. 8d., was imposed as from 21st July, 1940, the proceeds being devoted to war purposes. The latter tax was increased to 1 1/2d. for every 1s. 8d., as from, 11th May, 1942. The foregoing taxes have not been taken into account in the compilation of index numbers of effective wage-rates.

WAGE-RATES OF JUVENILE WORKERS.

During 1936, the compilation of index numbers of wage-rates of juveniles was undertaken for the first time, and the results appeared in the introductory notes to the 1935 and 1936 issues of the annual Statistical Report on Prices, &c.

Owing to the fact that a number of industries utilize juvenile labour to a limited extent only, or not at all, it has not been possible to cover a very wide field, but thirty-two occupations representing twelve out of the fourteen industrial groups are included in the case of juvenile males, and four occupations representing three industrial groups in the case of juvenile females.

Wherever possible, the weekly wage-rate adopted in the compilation of the indexes is that provided for a worker having attained the age of eighteen years or having completed three years' service, according to the terms of the award.

In the table which follows the base is, in each case, the Dominion all-groups weighted average of weekly wage-rates, 1926–30 (= 1000).

NOMINAL WEEKLY WAGE-BATES INDEX NUMBERS (JUVENILE WORKERS)

Industrial Group.1914.1939.1940.1941.1942.1943.1944.
* No provision made in awards for juvenile females.
  Juvenile Males   
Provision of—       
  Food and drink665126012881331148115211521
  Clothing, footwear, and textiles544103210771126118912391239
  Building and construction592107311221156118511931205
  Transport by land609115612151276131213711371
  Accommodation, meals, and personal service562113611601193122112291229
Working in or on—       
  Wood, wicker, seagrass, &c.554115611581189121712291229
  Metal487120912431278130613141314
  Stone, clay, glass, and chemicals511129413201361138913981398
  Paper, printing, &c.6099749941022105110591059
  Skins, leather, &c.746120912491341136913771379
  Mines and quarries1142202821362219240424952523
  The land (farming pursuits)680121712211223129614061469
All industrial groups619119112171243130213551379
  Juvenile Females   
Provision of—       
  Food and drink512128713131351138813981398
  Clothing, footwear, and textiles640131813801444148315301530
Working in paper, printing, &c.*138014081450148614961496
All industrial groups616132013721429146815041504

It will be seen that the fluctuations in the all-groups indexes for juvenile males differ appreciably from the corresponding figures for adult males given previously, this being largely due to the influence of movements in farm wages, which have a weight of approximately 36 per cent. of the total in the case of juveniles, as against 23 per cent. in the case of adults.

THE BASIC WAGE.

A general order fixing basic rates of wages for adult male and female workers was issued by the Arbitration Court on 2nd November, 1936. The rates are fixed at £3 16s. for adult male workers and at £1 16s. for adult female workers. The basic wage applies to all workers twenty-one years of age or over (excepting casual workers and those working under apprenticeship contracts), the conditions of whose employment are fixed by any award or industrial agreement. The subject is treated in greater detail in the next section (Labour Laws and Allied Legislation).

AVERAGE BATES OF WAGES.

Schedules showing the unweighted averages of award rates of wages for all occupations as prescribed in awards of the Arbitration Court are contained in the 1940 and previous issues of the Year-Book, but considerations of space preclude their inclusion in later issues. For the latest data in this connection, readers are referred to the Statistical Report on Prices, &c.

HOURS OF LABOUR.

The following table shows index numbers of the number of hours constituting a full week's work in the various industrial groups for 1914, for each year from 1937 to 1941 and for 1944. The figures for 1942 and 1943 have been omitted as they were, with two minor exceptions, identical with those of 1944. The material from which the index numbers have been compiled has been taken from the awards of the Arbitration Court in most cases; but where hours are not prescribed in the awards, reference has been made to the Factories Act and the Shops and Offices Act. It has been necessary to omit the agricultural and pastoral workers group from these computations, since, with certain exceptions (and those only in recent years), hours of farm labour are not fixed. For each sex, the base is the Dominion weighted average for all industrial groups combined, 1926–30 (= 1000).

Industrial Group.1914.1937.1938.1939.1940.1941.1944.
Provision of— Males     
  Food and drink1135947944944945944942
  Clothing, footwear, and textiles1000888888888888888888
  Building and construction988866866866866866866
  Power, heat, and light1061902883870870870870
  Transport by water1093911911911911911911
  Transport by land1044905905905905905905
  Accommodation, meals, and personal service1325891891891891891891
Working in or on—       
  Wood, wicker, seagrass, &c.993866866866866866866
  Metal1008866866866866866866
  Stone, clay, glass, and chemicals1026872872872872872871
  Paper, printing, &c.948896866866866866866
  Skins, leather, &c.1039901901901908922922
  Mines and quarries981866866866866866866
  All groups combined1041890888888888888888
Provision of— Females     
  Food and drink976867867867867867867
  Clothing, footwear, and textiles1006901901901901901901
  Accommodation, meals, and personal service1217891891891891891891
Working in paper, printing, &c.976903867867867867867
  All groups combined1054898896896896896896

NOTE.—The index numbers in each section of the above table are comparable both vertically and horizontally.

The index numbers in the foregoing table being on a Dominion all-groups base, comparisons between movements in individual groups cannot be readily made. The following table brings out the movements in the various groups more clearly, the respective bases being the Dominion average for each industrial group, 1926–30 (= 1000).

Industrial Group.1926–30.1914.1937.1938.1939.1940.1941.1944.
Provision of— Males     
  Food and drink10001128942939938939939936
  Clothing, footwear, and textiles10001023908908908908908908
  Building and construction10001011886886886886886886
  Power, heat, and light10001041885867854854854854
  Transport by water10001014845845845845845845
  Transport by land10001016880880880880880880
  Accommodation, meals, and personal service10001275857857857857857857
Working in or on—        
  Wood, wicker, seagrass, &c.10001002874874874874874874
  Metal10001058909909909909909909
  Stone, clay, glass, and chemicals10001009857857857857857857
  Paper, printing, &c.10001021965933933933933933
  Skins, leather, &c.10001003869835869876889889
  Mines and quarries10001016897897897897897897
  All groups combined10001041890888888888888888
Provision of— Females     
  Food and drink10001000889889889889889889
  Clothing, footwear, and textiles10001016911911911911911911
  Accommodation, meals, and personal service10001169856856856856856856
Working in paper, printing, &c.10001013938900900900900900
  All groups combined10001054898896896896896896

NOTE.—Vertical comparisons are indicative merely of the relative changes in the length of the working-week in the different industries, not of the actual respective number of hours for the different industrial groups.

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 contain a provision to this effect, except that the Court may fix longer hours, but is required to state its reasons for so doing. Awards in existence at the time the amendment was passed might 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, applications for exemptions from this provision being heard by the Arbitration Court. A forty-hour week is now in operation in the great majority of industries, and it will be noted that with one or two exceptions there has been little or no change in the indexes since 1938. In a few oases increases in hours worked have been permitted in some industries of special importance in the war economy. This matter is dealt with in more detail in the next section (page 540).

SUMMARY OF INDEX NUMBERS.

The following table gives a summary for the years 1934–44 of the movements in index numbers covering both wage-rates and hours of labour.

WEEKLY WAGE-RATES, HOURLY WAGE-RATES, AND HOURS OF LABOUR

(Base: 1926–30 = 1000)

 Nominal Weekly Wage-rates. Hours of Labour.
 Adults.Juveniles.   
Year.Males.Females.Combined Males.Females.Hourly Wage-rates:Males.*Males.*Females.
* Excluding the agricultural and pastoral group.
19348398878448139078789991000
19358589038628079108949991000
19369509619519861078995963962
1937103610151034112412481138890898
1938108110551080116412891195888896
1939110011031100119113201216888896
1940113011371132121713721255888896
1941117011741172124314291305888896
1942122212341223130214681359888896
1943126112921262135515041390888896
1944127412971274137915041403888896

Chapter 37. SECTION 37.—LABOUR LAWS AND ALLIED LEGISLATION

HISTORICAL INTRODUCTION.

In 1858 the New Zealand Parliament enacted that the laws of England as existing on 14th January, 1840, should, as far as applicable, be deemed to apply in New Zealand also. But in what was an essentially agricultural and pioneer country, conditions demanding labour legislation were not present, so that there was but little early progress in labour legislation. Initially, labour administration was interpreted in the light of English statutes, but such interpretations were largely ineffective, owing to the vast difference between English and New Zealand conditions.

One industry, however, was as important to New Zealand as to the British Isles— the shipping industry. In 1854 Britain passed a consolidating Merchant Shipping Act, which contained numerous safety clauses and included a series of regulations aimed at the well-being of the crew, such as a wage-paying code and provisions as to seamen's accommodation, diet, and medical comfort. In 1858 the New Zealand Parliament extended these regulations of the working-conditions of seamen to all British ships under the jurisdiction of Now 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. The Trade-unions Act was 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, &c., and required that persons in charge of boilers be properly qualified. An Employers Liability Act was passed in 1882, legislating in the matter of industrial accidents with the object of mitigating the consequences to the worker without recourse to expensive litigation at common law.

Legislation specifically governing the conditions of employment of women and girls— particularly in respect of hours of labour—was introduced in 1873, there being several amendments to the Act in later years, while the legislation was amended and consolidated in 1881. Regulation of the hours of labour of children was also provided for. With the existence of slump conditions in the “eighties” allegations of “sweating” arose; and, since such complaints became increasingly numerous, a Commission was set up in 1889 to inquire into this evil. The Commission found that the Employment of Females Act was ineffective owing to the lack of the necessary powers of enforcement. The Commission declared that actual sweating conditions were not present, though a minority report differed from this view, but pointed out that with increasing industrialization such conditions would rapidly become prevalent if no attempt were made to check them. The Commission made recommendations for future labour legislation, and, as the result of its findings, the Factories Act of 1891 was passed.

Depression, discontent, and a growing labour force—despite depression, the number of hands employed in factories increased by approximately 16½ per cent. between 1885 and 1890—formed an economic background favourable to social legislation. Meanwhile the maritime strike of 1890, which caused even further distress throughout the country, proved to the trade-unions that they were not sufficiently strong to obtain their demands by direct action, and diverted their activities to the political field. The strike also aroused public opinion to the necessity for preventing such industrial strife. Political opportunity was still further opened by Sir George Grey, who in 1889 obtained Parliamentary approval for the abolition of the last remnant of plural voting at the elections to the House of Representatives. The extension of the franchise to women followed four years later.

In January, 1891, a Liberal Government came into power under the leadership of Ballance, with Reeves (Labour) and Seddon (Public Works) in the portfolios directly concerned with labour matters. As indicated above, 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 is 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, &c. 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 Arbitration Court, and the Labour Department—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 equalizing the 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 £62 (July, 1936), to £58 10s. (December, 1936), to £78 (April, 1939), to £81 18s. (May, 1942), and to £84 10s. (July, 1943), with a further increase announced to take effect as from 1st October, 1945. Again, although interrupted to some extent by the needs of a war economy, much progress has been achieved in connection with the present Government's housing scheme (commenced in March, 1937) of erecting homes of a good standard, which are let to tenants at a reasonable rental (vide page 311).

Prior to the passing of the Social Security Act, 1938 (vide Section 24), 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 other countries; but it is worthy of note that compulsory health insurance, operative in New Zealand only from 1st April, 1939, has been 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 years of initiation of unemployment insurance in certain other countries being as follows: Austria, 1920; Queensland (Australia), 1922; Italy, 1923; Germany, 1924. A Workers' Compensation Amendment Act was passed in October, 1936, liberalizing the scale of payments in respect of accidents. The Social Security Act has rectified the pre-existing deficiencies in New Zealand legislation in regard to medical benefits and unemployment, as compared with the position in other countries.

Up to 1936 progress in other spheres was limited to technical improvements on the original Ballance-Seddon code, except perhaps in the case of the fluctuating fortunes of the Arbitration Court. 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 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, &c., were supplied to the men by the State at cost price or on low hire terms. A modified form of the system then adopted is still followed, and its scope was increased in 1936. Similarly, the Companies Empowering Act of 1924, the provisions of which were embodied in the Companies Act, 1933, attempted to encourage the principle of profit-sharing among workers. Any company registered under the Companies Act is empowered to issue to its employees labour shares, which are not transferable, have no nominal value, and do not form part of the ordinary capital of the company. Except as otherwise provided, these shares entitle the holders to the same 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 Arbitration Court in 1908, 1919, and 1925 refused to make any award covering permanent farm labour. Full provision for the application of standard rates of wages, &c., to farm workers was made in 1936 (see Agricultural Workers Act, post). The policy of social lending survived the years of prosperity, and was employed to cope with part of the rehabilitation necessitated by the war of 1914–18; but the policy was reversed a little later, and the Rural Advances Act of 1926 was a definite attempt to put State Advances loans on a more economic basis, eliminating much of the social background. This tendency was completed by the creation of the Mortgage Corporation in 1935, which definitely marked the subordination of social to economic ends. The agricultural bias and the workers' loans of up to 95 per cent. of their security were both eliminated, in theory at least. At the same time loans for housing were reintroduced for Maoris late in 1935, and further activity in this sphere was foreshadowed by the Housing Survey Act of 1935. The Government was also empowered to lend to farmers, through the Lands Department, by the Dairy Industry (Emergency Powers) Act of the same year.

The State Advances Corporation Act, 1936, marked a definite reversal of the previous Government's policy in regard to State Advances loans. The Mortgage Corporation was abolished, its powers having been taken over by the State Advances Corporation (see Section 23D), while the general purpose of the 1936 Act was definitely in the direction of a liberalization of the lending policy of the State.

During the depression period there was a cessation of the move towards better working-conditions; and, on the grounds of economic circumstances and the danger of inconveniencing still further already bankrupt employers, the various inspection duties that usually preserve the labour code were curtailed. The rates of pensions and of public servants' salaries and wages were reduced, while award rates of wages were also compulsorily reduced. At the same time heavy unemployment liabilities were undertaken and immigration control was made more rigid. Steps were also taken to reduce farmers' mortgage liabilities and to maintain farmers on their land.

In no case do the provisions laid down by any particular labour law cancel the worker's rights at common law; but since, naturally enough, better conditions are laid down by statute than the worker is entitled to at common law, it is unusual to find in these days litigation under the common law affecting master and servant. It sometimes happens, however, notably in workers' compensation cases, that appeal is made at common law instead of under the Act, there being no statutory limits to the damages which may be obtained at common law. Since, with the exception of such of the labour statutes as are of general application, no labour legislation exists as yet affecting certain classes or workers—e.g., domestic servants—their relations with their employers are still governed mainly by the common law affecting master and servant.

New Zealand has been relatively backward in protection for permanent farm labour, for while seasonal labour is in general covered—awards existing both for 3hearers and shed hands and for threshing-mill workers—the Arbitration Court has made no awards in respect of permanent farm hands. In general, conditions of work on farms were not covered by any specific legislation—except as regards inspection of housing-accommodation—until, in 1936, the Agricultural Workers Act (described in some detail later) 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 has 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.

Extensive amendments to pre-existing labour laws have been made by the Labour Government (first elected in November, 1935) towards the formation of a more liberal code of social legislation. Legislative provisions novel to Now Zealand have been made with the same object in view—e.g., the Agricultural Workers Act, the provision for the declaration of a basic wage contained in the 1936 amendment to the Industrial Conciliation and Arbitration Act, &c. Following is a list of Acts dealing directly with labour questions passed during the 1936 session of Parliament:—

  • Employment Promotion Act.

  • Industrial Conciliation and Arbitration Amendment Act.

  • Factories Amendment Act.

  • Shops and Offices Amendment Act.

  • Agricultural Workers Act.

  • Workers' Compensation Amendment Act.

  • Coal-mines Amendment Act.

A machinery measure (the Labour Department Amendment Act) brought certain functions of the Department under the control of the Minister of Labour, and defined more clearly the scope of the Department's activities. In addition to the Acts mentioned above, provisions in several other Acts of the 1936 session deal with matters which can be properly regarded as coming within the subject-matter of this section. The following Acts, or provisions in Acts, may be referred to in this connection. In some instances detailed reference is made later in this section, while in others reference is made elsewhere.

Certain provisions in the Finance Act dealing with restoration of wages and salaries.

  • The Distress and Replevin Amendment Act.

  • Fair Rents Act.

  • Family Allowances Amendment Act.

  • Pensions Amendment Act.

  • Prevention of Profiteering Act. (See Section 35.)

  • Mortgagors and Lessees Rehabilitation Act. (See Section 31.)

  • State Advances Corporation Act. (See Section 23D.)

Various enactments and amendments to previous Acts introduced in the 1936 session modifying the code of labour legislation and social legislation generally have been briefly referred to. More detailed reference is given in each instance under the appropriate heading in the following pages, where the legislation as it stands at present is discussed, with appropriate historical comment. A short réAsuméeA of the Government's policy in relation to public works as it affects working-conditions, &c., on such works is also appended, as being highly relevant to the subject-matter of this section.

Amendments to the code of labour legislation during subsequent sessions of Parliament have been largely of a machinery nature, but relevant major legislative measures are contained in the Social Security Act, 1938, the Servicemen's Settlement and Land Sales Act, 1943, and the Annual Holidays Act, 1944. A 1937 amendment to the Industrial Conciliation and Arbitration Art made provision for the setting-up of a second Court of Arbitration. Two further amendments to this Act were passed in 1939, one giving the Minister of Labour power to cancel the registration of a union or an award in certain circumstances, and the other, a war measure, having as its object the prevention of strikes and lockouts. The Share-milking Agreements Act, 1937, besides prescribing the minimum percentages of returns for share-milkers, defines the respective responsibilities of employers and share-milkers in farm-management and control of stock. The Coal-mines Amendment Acts of 1936, 1937, and 1941, the Mining Amendment Act, 1941, and the Quarries Act, 1944, contain provisions towards the improvement of working-conditions in mines and quarries. The Legal Aid Act, 1939, gives power to make regulations providing legal aid to poor persons, while the Wages Protection and Contractors' Liens Act, 1939, consolidates the legislation relating to the payment of wages to workers and to the protection of contractors in respect of the payment for work done by them. The Rural Housing Act, 1939, makes further provision for housing facilities in rural localities, while the Small Farms Amendment Act, 1939, provides that Crown land subject to the Act may be disposed of by way of renewable lease.

The War Pensions Extension Act, 1940, extended the provisions of the war-pensions legislation to cover service in New Zealand, while the War Pensions and Allowances (Mercantile Marine) Act, 1940, made provision for pensions and allowances to members of the mercantile marine and their dependants in respect of service during the war period.

Another Small Farms Amendment Act, passed in 1940, gives discharged servicemen eligibility to receive leases under the main Act, and makes special provision for their settlement on the land. The Rehabilitation Act, 1941, amended in 1944, not only makes more general provision for the re-establishment of discharged soldiers in civil life, but provides legislative machinery for the conversion of industries from a wartime to a peacetime basis with the least possible interference with the welfare of the persons engaged in such industries.

The War Pensions Act, 1943, consolidated and amended the previously existing legislation relating to war pensions; and, in addition to Liberalizing rates, &c., of pensions, removed from the claimant the onus of proving that death or disablement was attributable to service.

The Servicemen's Settlement and Land Sales Act, 1943, makes further provision for the settlement of discharged servicemen on the land by providing machinery for the compulsory acquisition of farm lands for that purpose. The Act also controls the disposal of any land, whether by way of sale, transfer, or lease, all such transactions requiring the consent of the Land Sales Court established by the Act. This part of the Act has for its object the prevention of undue increases in the price of land, the undue aggregation of land, and its use for speculative or uneconomic purposes, and establishes the basis on which values are to be ascertained. A brief outline of its provisions is contained on page 203 of this Year-Book.

A further amendment to the Workers' Compensation Act was passed in 1943, its principal feature making it obligatory on the part of an employer to insure against his liability under the Act.

A revolutionary measure in regard to working-conditions was enacted in 1944 by the passing of the Annual Holidays Act, which gives all workers not already provided for in this respect an annual holiday of two weeks on ordinary rates of pay.

The Government Railways Amendment Act, 1944, provides for the establishment of a tribunal of three members whose principal functions are to prescribe scales of salaries and wages, and working-conditions generally of railway employees. The railway employees' organizations are represented on the tribunal, which is a new departure in regard to the administration of the Railways Department.

The Post and Telegraph Amendment Act, 1944, established a tribunal of three members, known as the Post and Telegraph Staff Tribunal. The functions of this tribunal, which is deemed to be a Commission of Inquiry under the Commissions of Inquiry Act, 1908, are to inquire into, and report to the Minister on, such matters relating to the Department or to its employees as may be referred to it by the Minister, the Post and Telegraph Employees' Association and Officers' Guild, or the Director-General of the Department.

Provision for the registration of qualified clerks of works is contained in the Clerks of Works Act, 1944. The Act establishes the New Zealand Institute of Clerks of Works, whose main functions are to promote the supervision of building operations, and to assist in the training of clerks of works and generally to promote their interests. The necessary experience and qualifications to acquire registration are laid down by the Act, which also provides that unregistered clerks of works who have had certain experience may become associates of the Institute without acquiring full membership.

WAGES AND WORKING-CONDITIONS.

Working-conditions of women and girls in factories were the subject of legislation as early as 1873; but the first legislation of this nature applying to all factory workers was the Inspection of Machinery Act of 1874, which provided for the inspection of machinery in factories, &c., and required that persons in charge of boilers should be properly qualified; while three years later an ineffective Factory Act was passed. But it was the Ballance and Seddon Governments which really initiated legislation in this sphere with four main Acts that have served as a basis for all subsequent legislation on this subject, and determined the lines along which progress was to be made—the Factories Act, 1891; the Coal-mines Act, 1891; the Shops and Shop-assistants Act, 1892; and the Shipping and Seamen Act, 1894. The Agricultural Workers Act, 1936, represents a definite extension of the scope of this legislation.

Wartime Labour Legislation.

The Labour Legislation Emergency Regulations 1940, which superseded regulations of a similar nature issued on 14th September, 1939, 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 relate to conditions of employment. As the title of the regulations suggests, the powers conferred upon the Minister were intended to be of a temporary nature, and the main object of the regulations 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. This has been effected mainly by permitting the working of shifts and by extending the number of hours that may be worked in any one week. In addition, apprenticeship conditions in certain industries have been relaxed and additional apprentices engaged, while, in the clothing and related trades and the grocery trade, the basic-wage provision has been modified to enable women workers over twenty-one years of age without previous experience to be employed. A similar provision has also been made to meet the case of women volunteers for land work.

The various Labour Legislation Suspension Orders that have been issued under the authority of the foregoing regulations lay down the conditions of employment under which shifts and extended hours may be worked, and the rates of pay in connection therewith. The more important industries, &c., that have been the subject of suspension orders are as follows: Public works for emergency or defence purposes, ammunition-manufacturing works, timber-mills in certain localities, woollen-mills (including woollen-hosiery mills), shearing operations, tinsmithing and sheet-metal works, &c., engaged mainly in manufacturing dairy equipment, clothing and related trades, tanneries in certain districts, biscuit-factories, and cheese-factories.

Following the entry of Japan into the war, a series of Orders under the authority of the Labour Legislation Emergency Regulations 1940 was issued by the Minister of Labour on 17th December, 1941. These were:—

  • Shops Labour Legislation Suspension and Modification Order: Extending from 60 to 120 hours the permissible overtime that may be worked in any year.

  • Factory Industries Labour Legislation Suspension Order: Suspending restrictions regarding holiday work in the case of women and boys employed in factories and persons employed in laundries.

  • Holidays Labour Legislation Modification Order: Authorizing postponement of, or work with pay (at full ordinary rates) on, any statutory or special holidays, including annual holidays.

  • Overtime and Holidays Labour Legislation Suspension Order: Suspending existing provisions regarding payment for overtime or holidays and substituting for them a new scale, which provides for time and a half payment for the first four hours overtime on any one day and for the first sixteen hours in any week (three hours and twelve hours where provided by Act, award, &c), double time for all overtime in excess of these limits, and double time for holidays (treble time where the worker is otherwise entitled to payment for the holiday).

  • Agricultural Workers Labour Legislation Modification Order: Permitting the employment of boys under fifteen as agricultural workers on dairy-farms, subject to conditions set out.

The Industrial Man-power Regulations 1942 consolidated and re-enacted those provisions of the National Service Emergency Regulations 1940 and their subsequent amendments which related to the question of national service outside the Armed Forces. The Industrial Man-power Regulations 1942 were subsequently revoked and re-issued as the Industrial Man-power Regulations 1944.

Under the National Service Emergency Regulations 1940, which, with subsequent amendments, were reprinted in 1944, an employer may not dismiss an employee by reason of his being called up for military service. It is also an offence to employ deserters from the Armed Forces, reservists who have failed to enrol as such, and military defaulters who have escaped or are absent without leave from a detention camp.

Under the original regulations a person directed to remain in his existing employment or to perform specified service, or a, reservist or volunteer released from military obligations on the ground that by reason of his occupation his calling up for military duties is contrary to the public interest, was deemed to be engaged in an essential occupation. By an amendment made early in 1942 this definition of an essential occupation was revoked, and the Minister of Industrial Man-power is empowered to declare any industry to be an essential industry and any undertaking to be an essential undertaking. All undertakings within an essential industry, unless exempted, are essential undertakings.

Special provisions apply with respect to employment in essential undertakings. Except in circumstances provided for, a person may not leave his employment, and an employer may not dismiss an employee or permit him to give his services in any other undertaking. Seven days' notice on either side must be given, and the permission of the District Man-power Officer must be obtained. Every employee is an essential undertaking, so long as he is available for work, is entitled to a minimum weekly payment equivalent to his ordinary weekly wage, subject to certain maxima specified by regulations. In computing the minimum weekly payment no account shall be taken of any overtime, bonus, or special payment actually earned, which is to be paid in addition. If, however, sufficient work is not available for him in his usual occupation, he must perform such other work in the undertaking as may reasonably be required of him. Failure to comply with this obligation, absence from work without leave or reasonable excuse, habitual or persistent lateness for work, failure to work with flue diligence, and wilful or negligent failure to exercise proper skill and care, are offences under the regulations. The employee is protected against any reduction in wage-rates that may result from such a change in occupation.

As indicated earlier, the appointment of District Man-power Officers is provided for. The Minister may require employers to obtain the consent of a District Man-power Officer before engaging workers, and may direct the registration of persons available for employment. Persons so registered must undertake such employment or training as the District Man-power Officer may direct.

An important and far-reaching step has been taken by the Government in connection with the control of work on wharves, &c., in order to ensure the utmost expedition in the loading, unloading, and storage of cargo. The Waterfront Control Commission Emergency Regulations 1940, issued under the authority of the Emergency Regulations Act, 1939, provide for the appointment of a Waterfront Control Commission of three persons and the appointment of Waterfront Controllers and other officers at the various ports. The Commission has very extensive powers, including the employment of labour, the prescription of terms and conditions of such employment, and the rates of remuneration. It may also make provision for a guaranteed weekly minimum payment. The whole of the provisions of the New Zealand Waterside Workers' award and of the provisions of the Labour Disputes Investigation Act, 1913, and certain provisions of the Industrial Conciliation and Arbitration Act in so far as they relate to that award, have been suspended.

The Rates of Wages Emergency Regulations, issued in May, 1940, provided that the Arbitration Court, from time to time, on the application of any industrial union or association of employers or 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. No such amendment was to be made at less than six-monthly intervals. In making a general order the Court was required to take into account (a) the economic and financial conditions affecting trade and industry in New Zealand; (b) the cost of living; (c) any rise or fall in the cost of living since a previous order was made; (d) all other relevant considerations. Under these regulations, rates of payment in all awards, &c., were increased by 5 per cent. as from 12th August, 1940, while a further increase of 5 per cent. was made as from 7th April, 1942, but with the following limitations:—

  1. In the case of males twenty-one years of age and over, on earnings up to £5 per week only:

  2. In the case of females twenty-one years of age and over, on earnings up to £2 10s. per week only:

  3. In the case of persons under twenty-one years of age, on earnings up to £1 10s. per week only.

These regulations were superseded by the Economic Stabilization Emergency Regulations 1942,* which provided for the stabilization of all rates of wages and remuneration at the levels ruling on 16th November, 1942. These regulations also provided for the preparation of a special wartime price index for the purpose of recording as from 15th December, 1942, any increase or reduction in the prices of such commodities and services (including rents) as the Minister of Industries and Commerce directs. In the event of there being an increase or decrease of not less than 5 per cent. in the general level of prices included in the wartime price index, the Court of Arbitration was enjoined to issue a general order increasing or reducing rates of remuneration by an amount equivalent to the variation disclosed by the index. The first general order increasing rates, however, was to be made when there was an increase in the price-level of not less than 2½ per cent. Apart from the adjustment of strictly defined anomalies, these regulations limited the powers of the Court in dealing with wages to issue general orders as outlined above.

In February, 1945, amending regulations were issued, giving the Court power to amend existing awards and agreements so as to adjust disparities in wage-levels. In doing so the amendment requires the Court to take into account “the desirability of fixing rates of remuneration as to restore or preserve a proper relationship with the rates of remuneration of other workers or classes of workers.” Coincidental with the issue of these amending regulations, a general increase in the wages or salaries of all State employees back dated to 30th June, 1944, was announced, and numerous amendments to awards and agreements providing for increased rates have since been made by the Court. The amendment also made provision for the Court to issue pronouncements specifying the standard wages for skilled, semi-skilled, and unskilled workers for the purposes of the regulations.

* These regulations, together with amendments thereto, wore issued as a reprint in February, 1944.

In June, 1945, a further amendment to the regulations was issued, and in making any general order regarding wages, the Court is now 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 15th December, 1942:

  3. Any increase or reduction in rates of remuneration since 15th December, 1942:

  4. Any other consideration that the Court deems relevant.

The Economic Stabilization Emergency Regulations also make provision for the stabilization of rents, reference to which is made at a later stage of this section.

Under the Strike and Lockout Emergency Regulations 1939, strikes and lockouts are forbidden, and also the encouragement of strikes and lockouts. The regulations provide for the appointment of Emergency Disputes Committees to deal with any disputes that may arise.

In addition to the relaxation of apprenticeship conditions in individual industries, referred to earlier, special provision was made—by the Suspension of Apprenticeship Emergency Regulations 1939 and subsequent amendments—to meet the case of apprentices on military service.

Provision for the intensive training of auxiliary workers for the purpose of replacing workers performing military service was made by the Auxiliary Workers Training Emergency Regulations 1941. The scheme was under the general direction of a Dominion Auxiliary Workers' Training Council (consisting of representatives of employers, workers, and Government Departments), with provision for local councils.

The Occupational Re-establishment Emergency Regulations 1940, which replaced 1939 regulations of similar title, make it generally compulsory for the employer of a person called up for military service to reinstate the employee in his employment on termination of his military service. Re-engagement must be in an occupation, and with wage-rates and other conditions, not less favourable to the employee than would have been applicable had employment been continuous.

The Rehabilitation Act, 1941, makes provision for the re-establishment in civil life of discharged servicemen and for the reconstitution of wartime industries on a peacetime basis. Loans or grants may be made for the purpose of adapting wartime industries to other work or for the establishment of new industries or the extension of old ones. Persons who have been engaged in special war work may be required to continue to give employment to workers employed by them, and subsidies may be granted for this purpose. The provisions of the Act in so far as they affect discharged servicemen are referred to in Section 45.

The necessity for a definite rest period for workers, particularly in view of the demands made on a very large section of them by a wartime economy, received recognition in the Industrial Rest Period Emergency Regulations issued on 7th December, 1943. These regulations provided for a minimum rest period of five days commencing on 27th December, 1943, at ordinary rates of pay for all workers whose terms of employment did not entitle them to an annual paid holiday of at least five working days, provided that such workers had been continuously employed in the same industry or class of employment during the three months ended on 25th December, 1943. Where the exigencies of an employer's business rendered it impracticable to grant the rest period at the specified time, it was to be granted within six months thereafter. These provisions have been replaced by permanent legislation contained in the Annual Holidays Act, 1944 (see p. 554).

Factories Act.

A brief summary of the earlier factory legislation of New Zealand may be found on page 825 of the 1940 issue of the Year-Book.

The Factories Amendment Act of 1936 introduced three main changes. It brought a largo number of establishments within the scope of factory legislation, it shortened hours, and it raised wages.

Prior to 1936 the term “factory” had included all establishments where two persons were employed, as well as all places using mechanical power, all bakeries, laundries, gasworks, and several other enumerated establishments. The 1936 Act extended the term “factory” to all establishments where one person was employed.

A forty-hour week is prescribed as the legal maximum for an ordinary working-week in place of the pre-existing maximum of forty-eight hours (women and boys, forty-five hours). The number of hours per day is eight, while work may not be continued for more than four hours and one-quarter (previously five hours) without an intermission of at least three-quarters of an hour. Certain industries which were previously exempt from the forty-eight-hour maximum—meat-freezing works, dairy factories, fellmongery, fish-curing, jam-making, bacon-curing—are also exempt from the operation of these provisions. On application by the occupier of a factory, the Court of Arbitration may by order extend in respect of the factory for any specified period the limits on working-hours indicated above, but not to more than forty-four hours per week. Special provisions are made in the case of dairy factories, limiting, with certain exceptions, to six per week the number of days on which any worker may be employed.

The minimum irate of pay was raised from 10s. per week to 15s., rising be half-yearly increments of 4s. per week until the end of the third year, when the minimum rate of £2 per week operates. Overtime is permitted (as before) upon obtaining a written permit from an Inspector of Factories; but Sunday work for women or boys is definitely prohibited.

As a result of the raising of the school-leaving age, the minimum age for employment in factories was increased by section 23 of the Statutes Amendment Act, 1944, from fourteen to fifteen years, except in specially authorized cases where a boy or girl over fourteen years of ago is exempted from the obligation to be enrolled as a pupil at any school.

Overtime rates of pay were raised to a minimum of 1s. 6d. per hour (preexisting minima 6d. and 9d., according to ordinary rate of pay), while the standard overtime rate is now one and one-half times the ordinary rate (previously one and one-quarter times). The number of paid holidays granted to workers has been increased from six days to eight, and now applies to all workers—not only to boys under eighteen years of age and women. For five of these days wages were payable to all persons employed at any time during the preceding fortnight, and for the rest of the days to those employed on any four days of the preceding week. By section 17 of the Statutes Amendment Act, 1938, as amended by section 25 of the Statutes Amendment Act, 1941, payment for each whole holiday mentioned in the Factories Act is made 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 or other holidays, and time and one-half on half-holidays. War modifications of the overtime and holiday provisions are mentioned under the preceding subheading. Reference should also be made to the Annual Holidays Act, the main provisions of which are outlined at a later stage of this section (p. 554).

No deduction from the pre-existing weekly wage was permitted on account of any reduction in working-hours made in consequence of the coming into force of the 1936 amending Act. The reduced hours came into operation on 1st September, 1936.

In addition to the provisions described in the previous paragraphs, there are, inter alia, sections extending the application of rules for the prevention of accidents in factories; while, where better conditions are prescribed in any respect by the amended Factories Act than exist in any award or agreement under the Industrial Conciliation and Arbitration Act, such award or agreement is to be read subject to the provisions of the Factories Act.

Shops and Offices Act.

As in the case of the Factories Act, important amendments were made to the Shops and Offices Act in 1936, when further advances in keeping with those made in other branches of industrial legislation were put into operation.

Except in certain exempted trades and in small towns for which later hours are prescribed, work in shops must cease at 6 p.m. on four nights of the week, at 9 p.m. on one night, and at noon on the day of the weekly half-holiday. The hours must not in any case exceed forty-four per week (previously forty-eight) or eight per day, with the exception of eleven on one day in the week. Limited overtime (to be paid for) may, however, be worked for stocktaking and on special occasions. A break of not less than one hour for a meal must be allowed after four and one-quarter hours' continuous work, except that an extension to five hours may be made if ten minutes' rest is allowed at the end of a working-period of three hours. Prior to the 1936 amendment the closing-hour on the half-holiday was 1 p.m.

The minimum rate of pay was raised from 10s. to 15s. per week, with half-yearly increments of 4s. per week until the end of the third year, and thereafter a wage of not less than £2 per week. As in the case of factories, higher rates of wages are, in the case of many shop-assistants, fixed by awards or industrial agreements under the Industrial Conciliation and Arbitration Act. Seven paid holidays are prescribed under the Act, and where employees were not already in receipt of an annual paid holiday of at least two weeks' duration, the Annual Holidays Act, 1944, will apply (see p. 554).

In regard to the closing of shops, a weekly half-holiday from noon is compulsory with a few exceptions—e.g., fishmongers and fruiterers. The closing-day is fixed in each district by the local authority, except where it is decided by a poll of the electors taken on petition of a certain number. Even in the exempted trades, a half-holiday must be given to each assistant on a day to be fixed by the occupier.

The closing-hours of shops in any district on the other days of the week have for many years been fixed pursuant to the Act by “requisition” of a majority of the shopkeepers if desired either in the whole of the local district or in any trade in the local district. The hours of closing have been thus determined in very many trades and districts.

In 1920, an amendment to the Act prescribed compulsory closing-hours at 6 p.m. on four days of the week and 9 p.m. on one day in the well-populated areas, except in certain exempted trades, thus incorporating by statute the closing-hours as already determined by “requisition” in many cases. The Court of Arbitration under the Industrial Conciliation and Arbitration Act is also now empowered, when making an award in any trade, to fix not only reduced hours of employment of assistants (which has been done in many trades), but also earlier closing-hours of all shops in that trade in the locality, whether or not assistants are employed therein, with authority to make exemptions in cases of hardship, and this provision has also been acted upon. The Closing of Shops (Late Night) Emergency Regulations 1942 provided for the earlier closing of shops— where considered necessary or expedient—on the late night, and for the difference in time to be made up on other days of the week.

Each trade in any district may, by a majority vote, obtain an order of the Minister of Labour prohibiting the sale in such district, during the time the shops in such trade are required to be closed, of the goods the sale of which is comprised in such trade. This provision is inserted to meet those cases where there is overlapping of the trades of various shopkeepers, only some of whom are required to close at a certain hour. The provision enabling a majority of the shopkeepers in any trade to fix the closing-hours for that trade applies only to those who are principally engaged therein; if the latter are desirous that other shopkeepers carrying on the trade as a minor portion of their business should cease selling the same goods at the closing-hours fixed, they may apply to the Minister for an order prohibiting such sales.

All assistants employed in hotels and restaurants are brought under special provisions as to holidays, hours (which must not exceed forty-four per week nor eight per day), overtime, &c. As in the case of shop-assistants, hotel and restaurant employees must be allowed an interval of an hour for a meal after four and one-quarter hours' continuous work.

The Act also makes provision for the comfort, health, and safety of assistants —viz., in regard to seating-accommodation, ventilation, heating, sanitation, and hygiene.

The hour of commencing work must not be earlier than 7 a.m., except in certain specified instances—e.g., bakers (4 a.m.), butchers (6 a.m.). Persons engaged in delivering milk may be required to start work at 3 a.m. or—in accordance with conditions approved by the Minister, but not otherwise—earlier than 3 a.m. The above exceptions do not apply in the case of boys or girls under sixteen years of age. The latest hour to which a male shop-assistant may be employed in any trade is 10.30 p.m., or 11 p.m. on one day in the week in certain instances; while boys under eighteen or females may be employed until 9.30 p.m., but there are exceptions on certain days—e.g., Christmas Eve. Extension to 10.30 p.m. is permissible in the case of women, girls, or boys under eighteen employed in restaurants. There is no limit under the Act to the time at which adult male hotel and restaurant employees may be required to commence or cease work, although the total hours per day and per week are fixed as above.

No premium may be received by the occupier of any shop in respect of the employment of any shop-assistant or in respect of the teaching or training of any person in any trade or business carried on in the shop, unless the shop is approved by the Chief Inspector appointed under the Factories Act, 1921–22, as a school for learners in a trade or business, and the payment is made pursuant to a written agreement that is approved by the Chief Inspector. The Chief Inspector cannot approve of any shop as a school for learners in any trade or business unless he is satisfied that reasonable facilities are provided for learning the trade or business, and ho may at any time withdraw his approval if he ceases to be so satisfied. The Chief Inspector must not approve of any agreement under this section unless he is satisfied that the terms of the agreement are reasonable.

Offices are required to close at noon on the statutory half-holiday and at five o'clock on every other working-day, certain exceptions—e.g., shipping offices, railway offices, and newspaper offices—being allowed. The list of exemptions from this provision has been substantially reduced by the 1936 Act, banks and insurance offices being important cases previously exempt. Limited employment after office-hours is permitted for such purposes as making up balances, &c., payment for overtime at the rate of time and a half (minimum 1s. 6d. per hour) and meal-allowance at the rate of 1s. 6d. per meal being mandatory in respect of such overtime.

The minimum wage-rates applying to shop-assistants set out in a preceding paragraph apply also to office assistants. Prior to the 1936 amendment, office assistants did not come within the scope of the provisions for minimum wages. This particular provision also applies to solicitors' offices and mining offices, which do not come within the definition of the term “office” in respect of other provisions of the Act.

No person who was employed in any shop or office at the time the 1936 amendment came into operation could be dismissed, or have his wages reduced, by reason merely of any reduction or alteration made in his working-hours pursuant to the amendment. Where any such person was dismissed or his wages Mere reduced after the commencement of the Act, the onus of proving that the dismissal or reduction, as the case might be, was not a breach of the provisions of that Act was placed on the employer.

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, &c., laid down in such awards and agreements must be at least equal to those prescribed in the Shops and Offices Act.

Provision is made for the keeping of a time-table of hours of duty of fruiterers' assistants; and, under certain conditions, shops which sell smoking-requisites in addition to carrying on other business may be compelled to close early in the evenings.

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 Mining Act of 1926, which consolidated no fewer than fifteen previous enactments on the subject, lays down in considerable detail regulations governing all mines except coal-mines. Inspectors of Mines are appointed with wide powers.

The 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, &c. The principal Act stated that no female, and no male person under the age of fourteen years, may be employed in or about a mine, except in a clerical capacity, and subsequent amendments have further restricted the employment of youths in connection with mining. At the present time no lad under the age of sixteen may be employed underground in any alluvial mine, or on or about any dredge, while the minimum age in respect of underground work in a quartz mine is eighteen years. 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. The employment of females as nurses or charwomen in or about mines is now permitted. The employment of manual labour on Sundays without the previous written consent of an Inspector of Mines is prohibited. Overtime must be paid for any time worked in excess of eight hours a day, counting from the time the miner enters the underground workings until he leaves them. Time worked on Sundays and holidays must be paid for at time-and-a-half rates. All machinery used to supply motive power is subject to the provisions of the Inspection of Machinery Act, 1908, as far as these provisions apply. 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 mines 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 it may be used, and the safeguards that must be employed.

Conditions of employment in coal-mines are dealt with in the Coal-mines Act, 1925. In general the provisions of this Act resemble those of the Mining Act, though, of course, to combat the special risks of coal-mining additional regulation is necessary. 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, the prohibition of work in places where the presence of gas is suspected, and the inspection of the mine before the commencement of work, &c. Suitable housing-accommodation must be supplied for workers if required by notice of the Minister of Mines. Comprehensive regulations pursuant to the 1925 Act, and known as the Coal-mines Regulations, were issued in 1939 and amended in the same year and in 1942.

A levy of ½ d. per ton on every ton of marketable coal raised from mines is made under the terms of the Act, such moneys forming a fund for the relief of miners injured in the course of employment and of their dependants in the case of death. Information as to miners' pensions (now miners' benefits under the Social Security Act, 1938), provided for originally by the Miner's Phthisis Act of 1915, is contained in Section 24 of this book.

By an amending Act passed in 1927 wages for a period not exceeding six months, payable by the owner of a coal-mine in respect of mining operations, constitute an equitable charge on plant and machinery, with priority over mortgages, &c. Proceedings for the enforcement of the charge must be commenced within twelve months.

An amending Act passed in 1936 provided further measures for the safety of miners. Additional precautions were provided to ensure that unlawful lights, &c., are not taken into mines, and further safeguards were made to alleviate the danger to the health of miners from the presence of dust in mines. Provision was also made for the Minister to establish central rescue stations in coal-mining areas.

The Coal-mines Amendment Act, 1937, contains many provisions designed to ensure the greater safety of workers engaged in coal-mines. No person under the age of twenty-three years may be employed as a mine-manager or other mine official; while certificates of competency as underviewers or firemen deputies must be periodically endorsed by an Inspector of Mines to the effect that the official has passed certain specified efficiency tests. Certain appliances by which coal may be, in effect, screened or sized may not be used underground. A further provision as to housing-accommodation for miners is also included in the amending Act. The Minister may require a mine-owner to pay part of the cost of conveyance of workers to the mine in lieu of providing housing-accommodation. In accordance with section 9 of the Statutes Amendment Act, 1944, the Minister may require underground transport to be provided for workmen where he considers it necessary.

The Coal-mines Amendment Act, 1941, provides that an Inspector may, if he considers it expedient, require a mine, which on the basis of the number of employees might be managed by a person with a certificate lower than that of a second-class mine-manager, to be managed by a person with a higher certificate than that prescribed by the principal Act. He may also require the appointment for any shift of officials additional to those normally required. Stricter provision is made regarding the use of lamps. The appointment of an Electrical Inspector of Coal-mines is provided for, and the Board of Examiners is enlarged by the addition of a registered electrical engineer or wireman nominated by the Electrical Wiremen's Registration Board.

The Quarries Act, 1944, makes better provision for the regulation of quarries by consolidating (with amendments) the Stone-quarries Act, 1910, and its amending Acts. The Act contains provisions as to Inspectors, and the appointment, qualification, 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. Adequate rules are provided for the safety of workers, and the prevention of accidents. Females, and boys under sixteen years of age, are prohibited from working in or about any quarry except in a clerical capacity. The definition of “quarry” has been extended to cover excavations for any material and not merely “stone,” but the Act has no application to workings for coal (including opencast mines) gold, scheelite, or petroleum; which are governed by the Coal-mines, Mining, and Petroleum Acts.

Shipping and Seamen Legislation.

The first statute relating to this subject was passed in 1858, when the New Zealand Parliament extended the provisions of the Merchant Shipping Act passed by the British Parliament in 1854 to all British ships under the jurisdiction of New Zealand. This Act contained a series of regulations designed for the safety of passengers and crew, and for the amelioration of working-conditions on board ship. Further Merchant Shipping Acts Adoption Acts were passed in 1869, 1873, and 1874, while other Acts followed. A consolidating and amending Act was passed in 1903, which was consolidated with a few minor amendments in 1908, the present law being embodied in that Act.

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 the Dominion certificates of masters, mates, and engineers granted in any part of the British dominions.

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; and power is given to the Minister to define restricted trading limits for steamers and for vessels propelled by oil, gas, &c. 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.

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.

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. Masters and officers who assault seamen on the high seas are liable to imprisonment or fine.

Intercolonial ships—i.e., those trading between New Zealand and Australia, or New Zealand and the central Pacific islands—in addition to home-trade ships are made liable to pay the wages, maintenance, and medical expenses of seamen taken ill in the service of the ship for the remainder of the agreement, not exceeding three months; and, in the case of intercolonial ships, if the agreement expires within one month from the commencement of the illness, payment is to be made for one month after the expiry. The illness which entitles a man to the benefits provided for is one which requires medical treatment for fourteen days.

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.

Desertion is defined, and deserters who cannot be dealt with before their ship sails can afterwards be prosecuted by the owner or agent, and copies of the agreement and the entries in the log-book are to be accepted by Courts as evidence. Forfeited wages are to be paid into the Public Account.

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 Superintendents of Mercantile Marine to take part in such inquiries, and for Magistrates to order a change of venue. Inquiries are not to be held in Police Courts unless other suitable buildings are not available; and in cases where there has been loss of life, but no damage to the ship, the inquiries may be held by Coroners.

The risks run and sacrifices made by the crews of vessels under war conditions have been recognized by the Government in the passing of the War Pensions and Allowances (Mercantile Marine) Act, 1940. This Act, which makes provision for the payment of pensions and allowances to members of the New Zealand mercantile marine and their dependants in respect of death, disablement, or detention as a result of the present war, is referred to in some detail on page 382 of this Year-Book. Seamen have also received special bonuses to compensate for the hazardous nature of their occupation during the war period.

For the purposes of the Small Farms Act, 1932–33, and amendments, the Rehabilitation Act, 1941, and the Servicemen's Settlement and Land Sales Act, 1943. any person who served during the present war in any British ship, which while he was serving therein was damaged or destroyed as the result of enemy action, or who served in any other British ship other than a home-trade ship, is included in the term “serviceman,” thus rendering such person eligible for rehabilitation benefits.

Agricultural Workers Act.

The primary purpose of the Agricultural Workers Act, 1936, was to make better provision for the accommodation of agricultural workers. and to make special provisions for the remuneration of workers on dairy-farms and for the conditions of their employment. The Act also includes provision for the extension of these special provisions to other classes of agricultural workers, and, as indicated later, Orders in Council have been issued under this provision. The administration of the Act is in the hands of the Labour Department, which also administered the Agricultural Labourers' Accommodation Act, 1908 (repealed by the present Act).

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.

No child under the age of fifteen years may be employed for hire on a dairy-farm (excepting those in such employment at the date of the passing of the Act). This provision was modified as a war measure (see page 541).

By the Act minimum weekly rates of pay were prescribed for workers on dairy-farms. The Act fixed the rates to operate from 1st October, 1936 (the date the Act came into force), until 31st July, 1937, and subsequently rates of pay were to be fixed by Orders in Council. In fixing such rates, the guaranteed prices paid in respect of primary produce under the Marketing Act were to be taken into account, but future rates were not to be lower than those fixed by the Act.

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 not less than one-half the lodging-allowance rate. 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.

Provision exists for the employment of “under-rate” workers, with the consent of the Inspector of Factories. An amendment to the Act made by a section in the Statutes Revision Act, 1936, permits the Inspector to apply the under-rate provisions in respect both of money wages and of amount (if any) payable in lieu of board and lodging in cases of female workers employed on farms. This amendment is of considerable import, since the employment of women workers for short periods of the day—notably at milking-time—is common on dairy-farms.

Orders in Council extending the operation of the provisions of the Act to other classes of farm workers have been issued from time to time—orchard workers as from 1st 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 1st May, 1937; agricultural workers in market gardens, nurseries, &c., in the Wellington, Nelson, Canterbury, Otago and Southland, and Northern Industrial Districts as from various dates between 22nd April. 1938, and 29th May, 1939; and agricultural workers employed in the tobacco industry, as from 1st October, 1941. The orders do not apply to workers covered by awards or agreements under the Industrial Conciliation and Arbitration Act.

Orchard workers are entitled to ten working-days' holiday on full pay after twelve months' continuous employment, or if employment is terminated after three months' continuous employment a proportionate sum in lieu of the holidays prescribed must be paid. In addition, there are eight compulsory holidays with full pay. Wages are to be paid fortnightly, unless otherwise agreed between the employer, the worker, and the accredited representative of the New Zealand Industrial Union of Workers. The maximum hours that may be worked without payment at overtime rates are eighty per fortnight from the second week in June to the end of August, eighty-eight per fortnight from the beginning of September to the end of December, and ninety-two per fortnight from the beginning of January to the end of the first week in June.

Workers on farms or stations used for the commercial production of wool, meat, or grain (including seed) must be allowed, on the completion of twelve months' service, a total of eighteen days' holiday (or full money wage paid), to be given at the convenience of the employer. If the period of employment is less than twelve months but more than three months, the worker is to be allowed on the termination of the employment a proportionate number of days. Payment of wages is to be made in full at monthly intervals or at such other period as is agreed upon between the employer and the worker.

Workers in market gardens, nurseries, &c., are allowed one week's holiday on full pay on the completion of twelve months' continuous service, or a proportionate holiday where the period of service exceeds six months. In addition, there are eight statutory holidays which must be observed without deduction from pay. If a worker is required to work on any of these days on essential work, equivalent time off, at a time to be mutually agreed upon between the employer and the employee, is to be allowed. Forty-four hours, to be worked within five and a half days of a week, constitutes a week's work. In special circumstances, certain essential work which is prescribed in the Orders may be performed on a Sunday; but, in such cases, time and a half rates must be paid or equivalent time off granted. Wages are to be paid weekly not later than Friday.

The minimum rates of wages which must be paid to the classes of workers enumerated in the foregoing paragraphs are set forth in the various Orders.

The holiday provisions outlined above are now subject to the Annual Holidays Act, 1944, dealt with under a later subheading.

The Basic Wage, and Legislative Changes in Wage-rates.

The amounts of wage-rates generally have always been influenced largely by the rates specified for individual industries and occupations in awards and industrial agreements registered under the Arbitration Act. As mentioned previously, certain classes of workers have hitherto had no legal protection in the matter of wage-rates; while, again, until the passing of the Shops and Offices Amendment Act, 1936, many classes of office workers were in a similar position.

The New Zealand Arbitration Court functioned for many years before the question of a basic wage was specifically dealt with by the Court. Under the War Legislation and Statute Law Amendment Act, 1918, the Court was required to review on application existing awards and industrial agreements, taking into consideration, inter alia, changes in the cost of living. The Court in April, 1919, made a pronouncement fixing basic rates of wages for skilled, semi-skilled, and unskilled workers. (It is of interest at this point to mention that a basic wage was brought into operation by the Federal Arbitration Court in Australia in 1907.) No definite family unit was stated as the basis on which the basic rate was calculated, the minimum pre-war award rates for unskilled labour, with appropriate adjustment, being apparently used as a standard. A cost-of-living bonus, varied at half-yearly intervals in sympathy with movements in the cost of living, was added to the basic rates. In September, 1925, a further pronouncement on the basic wage was made by the Court, standard minimum rates being fixed as follows:—

 Per Hour.
 s.d.
Skilled workers23
Semi-skilled workers111 to
 21 ½
Unskilled workers110

The legislation by which the Court was empowered to make general orders having expired, the new rates—which represented an increase on those operating before—were brought into operation as individual awards expired. As in the 1919 pronouncement, no definite family unit was taken as the basis of assessment of the standard rates, which were in general stated to be somewhat in excess of 60 per cent. higher than the rates ruling in 1914.

No further pronouncements directly relevant to the subject of the basic wage were made until 1931. The Finance Act of that year empowered the Arbitration Court to amend, by general order, awards or industrial agreements with respect to rates of remuneration. Rates of remuneration under awards or industrial agreements were reduced by 10 per cent. as from 1st June, 1931, with certain minor exceptions.

Full or partial restoration of this cut was effected in the case of several individual awards made in 1934 and 1935, while complete restoration was effected in respect of all awards by a section in the Finance Act, 1936. This Act went further: it required the restoration as from 1st July, 1936, of all cuts in wages and salaries imposed during the depression period, whether the workers concerned were working under an Arbitration Court award or not.

In September, 1937, the Arbitration Court made a pronouncement on standard wages. The following minimum rates were set out in the Court's pronouncement:—

 Per Hour.
 s.d.
Skilled workers29
Semi-skilled workers25 to
 2
Unskilled workers24

In March, 1945, the Court of Arbitration made a further pronouncement specifying standard rates of wages in accordance with the provisions of the amendment to the Economic Stabilization Emergency Regulations 1942 referred to on page 642. These rates were as follows:—

 Per Hour.
 s.d.
Skilled workers3
Semi-skilled workers2
Unskilled workers2

These minimum rates are intended as general standard minima for casual labour, and are not necessarily applicable where employment is regular throughout the year.

The Industrial Conciliation and Arbitration Amendment Act, 1936, inter alia, requires the Arbitration Court to fix basic rates of wages for adult male and female workers. Orders of the Court made to this end may be amended at not less than six-monthly intervals by a subsequent general order. The basic rate of wages for adult male workers is required to be fixed at a rate which will, in the opinion of the Court, be sufficient to maintain a man, wife, and three children in a fair and reasonable standard of comfort. A general order fixing basic rates of wages for adult male and female workers was issued by the Arbitration Court on 2nd November, 1936. The weekly rates were fixed at £3 16s. for adult male workers and at £1 16s. for adult female workers. The basic wage applies (as an absolute minimum) to all workers twenty-one years of age or over (excepting casual workers and those working under apprenticeship contracts) the conditions of whose employment are fixed by any award or industrial agreement. The basic wage has not, up to the present time (August, 1945), come up for review by the Court.

By a general order issued under the authority of the Rates of Wages Emergency Regulations 1940, the Arbitration Court increased by 5 per cent. the wage-rates under all awards and agreements as from 12th August, 1940. A further general increase of 5 per cent., but with certain limitations, was made as from 7th April, 1942. Particulars of these limitations will be found on page 542. The present procedure in regard to the stabilization of wages and salaries, &c., and the power to vary awards and agreements and to issue general orders raising or reducing rates of remuneration generally is referred to under the heading of “Wartime Labour Legislation” at an earlier stage of this Section.

Rates of salaries and wages of public servants have been adjusted from time to time by legislative action. Cost-of-living bonuses were granted in the latter years of the 1914–18 war and in the years immediately following. Similar action has been taken during the present war. A cost-of-living allowance of £3 5s. or £6 10s. per annum for juniors under 18 years of age (according to whether residing at home) and of £13 for other employees in receipt of salaries not exceeding £335 per annum was granted as from 12th August, 1940. In the case of officers whose salary or wages exceeded £335 per annum, the allowance was abated by £1 for every £3 in excess of £335. A further allowance was granted as from 7th April, 1942, the amounts and conditions being the same as those granted on 12th August, 1940, except that the second £13 did not begin to abate until a salary of £765 per annum was reached. As from 1st April, 1943, the allowance to juniors living away from homo was increased from £13 to £26 per annum. In February, 1945, as a result of the findings of the Railways Industrial Tribunal established under the provisions of the Government Railways Amendment Act, 1944, a general increase in the wages or salaries of State employees, back dated to 30th June, 1944, was announced. The increases ranged from £20 to £75 per annum in the case of permanent salaried employees up to a limit of £765, with commensurate increases for all other employees. At the general regrading of classified officers normally held every five years, the subject of salary scales comes up for review. Statutory reductions were made in 1922, 1931, and 1932, the two latter reductions having since been restored—partially in 1934 and 1935 and completely in 1936.

An interesting innovation made by the Arbitration Court 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, which is still in operation.

In referring to the general question of wage-rates it is relevant to draw attention to the supplementary income which is provided by several of the benefits available under the Social Security Act, while the War Pensions Act is of significance also in this connection (see Section 24).

Protection of Wages.

Workers' wages were first safeguarded by the Truck Act of 1891, which ensured them the payment of their wages in full in coin of the realm. This was followed by a series of Acts—the Contractors' and Workmen's Lien Act, 1892, the Workmen's Wages Act, 1893, the Threshing-machine Owners' Lien Act, 1895, the Wages Attachment Act, 1895, and the Wages Protection Act, 1899—all aimed at making the payment of wages more certain and secure, and at limiting creditors' rights to attach future earnings.

This code was consolidated into the Wages Protection and Contractors' Liens Act of 1908, which operated until it was superseded by the Wages Protection and Contractors' Liens Act, 1939. The re-enactment is substantially the same as the 1908 Act except for the omission of several sections relating solely to wages protection, which were largely duplicated by the sections dealing with workers' hens.

Some of the more salient provisions of the Act, as it now operates, are set out below.

In the absence of any written agreement to the contrary, wages of manual workers are to be paid at intervals of not more than a week, and of other workers at intervals of not more than a month. The attachment of workers' wages for debt is prohibited except in the case of any surplus over £2 a week or when specific provision is made in any other Act for attachments on a lower minimum. Exceptions are made by the Industrial Conciliation and Arbitration Act, 1925; 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, &c., in respect of advances by the mine-owner to the worker for the purpose of acquiring a home.

The Act prohibits payment of wages being made in goods (truck) or in any other way than in money or by approved cheque, and also prohibits any stipulation as to how the wages-money is to be expended. The truck provisions do not, however, apply where the employer supplies house accommodation, board and lodging, fuel, medical assistance, materials, tools, and the like required for the work, nor to seamen or farm workers.

A contractor, subcontractor, and any worker is entitled to obtain liens on the lands or chattels of the employer upon giving due notice, and the employer must then retain in his hands sufficient of the contract-moneys to satisfy and guarantee payment of the claimant's dues, but the total amount recoverable may not exceed the amount due under the contract. In addition, the Act (as amended by section 59 of the Statutes Amendment Act, 1940) 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, one-quarter 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 lien: in that case the mortgage has priority over the lien. If the mortgagee is a party to the contract, or if the mortgage secures any money that is advanced after notice of the lien has been given to the mortgagee, the lien has priority over the mortgage. If, in the case of the death or bankruptcy of a person entitled to a lien or charge, the debt secured by the lien or charge passes to any other person, the right to the lien or charge passes with it.

No deduction from workers' wages may be made for purposes of insurance against compensation for accident.

Liens to be imposed as security for miners' wages or earnings are dealt with under the Mining Act, 1926, and the Coal-mines Act, 1925.

Wages are further safeguarded by certain sections of the Bankruptcy Act, which give priority of payment for wages or salaries of workers (with certain limitations as to amount and period) in preference to certain other debts, and since the passing of the Bankruptcy Amendment Act, 1927, wages take precedence over rents. Similarly, under the Companies Act wages (with the same limitations as under the Bankruptcy Act) are a first claim on the assets of a company being wound up. Under the Workers' Compensation Amendment Act, 1936, compensation payments rank with wages as a first charge on the assets of a bankrupt.

Various individual labour laws contain provisions with the special intent of protecting the payment of wages of the workers to whom such legislation applies.

Annual Holidays Act.

A considerable proportion of workers in New Zealand are entitled to annual paid holidays under various Acts, industrial awards or agreements, or contracts of service, but no general provision existed in this regard until the passing of 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 provided for in this respect. If a holiday benefit to which a worker is entitled under any other provision is more favourable than that provided for by the Act, such benefit is not affected, but if the benefit is less favourable the worker is entitled to the holiday provided for by the Act.

On completion of each year of service with an employer, a worker becomes entitled to two weeks' holiday at his ordinary rate of pay, including the cash value of board or lodging where such is provided as part of the worker's remuneration. 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.

The provisions in regard to periods of employment of less than one year are as follows:—

  1. Where a worker has been employed for a period of not less than three months, he is to be paid on the termination of the employment one twenty-fifth of his ordinary pay for the period of the employment:

  2. Where the period of employment has been for less than three months, the employer is required to affix to the worker's holiday-card (provided for the purpose) uncancelled postage or revenue stamps of an amount equivalent to one twenty-fifth of the worker's ordinary pay for the period of the employment. The employer must at the same time enter on the card particulars of the period of employment to which the stamps relate, together with such other information as may be indicated thereon. After the expiration of one year from the commencement of the earliest period of employment entered on the card, the worker by surrendering it at a money-order office will receive the cash value of all uncancelled stamps affixed thereto.

An employer is required to keep a record (termed the holiday-book) in which must be entered for every worker employed by him the date of commencement and termination of employment, the date on which the annual holiday becomes due, the date on which it is taken, the amount paid in respect of each holiday, and the amount paid in respect of holidays upon termination of employment, or the amount for which stamps were affixed to the holiday-card. The current holiday-book and any such book used within the preceding two years may be inspected at any time by an Inspector of Factories.

All moneys payable in respect of annual holidays are deemed to be salary or wages payments and are subject to social security and national security taxation.

HOUSING LEGISLATION.

The first legal provision in connection with housing was contained in the Factories Act of 1894, which gave Inspectors of Factories power to inspect accommodation provided for shearers and to demand improvements where necessary. More effective powers in this connection were contained in the Shearers' Accommodation Act, 1898. The Agricultural Labourers' Accommodation Act of 1908 extended this legislation and provided for the inspection of housing of agricultural labourers and flax-mill workers. In 1912 the sawmill worker was also included. The Agricultural Workers Act, 1936, and regulations issued thereunder, laid down detailed specifications as to what constituted satisfactory accommodation and superseded the Act of 1908. Statutory regulations issued in 1937 prescribed further details, and stated that the regulations were to apply to the accommodation of persons employed in agricultural, pastoral, horticultural, flax-milling, and sawmilling work.

The Family Homes Protection Act, 1895, consolidated in the Family Protection Act, 1908, made it possible, on certain conditions, to register any piece of land not exceeding £1,500 in value as a family home, so that the estate and interest of the settler and his family in it continue absolute and unaffected by any bankruptcy, assignment, judgment, &c.

The advances to settlers legislation of 1894 provided for State advances on mortgage to the owners of farming lands, and in 1899 this provision was extended to urban lands. Many of these advances would, no doubt, be used for building purposes, but no direct effort in the matter of providing housing-accommodation was made until 1905. In that year a Workers' Dwelling Act was passed authorizing the Minister of Labour to erect dwellings to be let to bona fide workers at a rental of 5 per cent. per annum of the capital value of such dwellings; and, in the following year, a system of advances to workers for the purpose of acquiring homes was instituted. By an amendment passed in 1922, workers could borrow for this purpose up to 95 per cent. of the value of their security. To cope with the post-war demobilization, the Housing Act of 1919 provided for the erection of dwellings not only by the State, but also by local authorities, employers, associations of public servants, and public-utility societies, the State advancing the money. The administration of this Act was later transferred to the Stats Advances Department, now the State Advances Corporation. Local authorities are also empowered to obtain special loans from the State Advances Corporation to erect ?workers' dwellings for letting, and are granted certain concessions in carrying out this activity by the Municipal Corporations Act, 1933. 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.

Housing regulations are contained in the Municipal Corporations Act, where definite measurements are laid down to prevent overcrowding, and provision is made for the appointment of Inspectors to reduce fire-risk and other dangers. Similarly the Health Act of 1920, which replaced the Public Health Act of 1908, provides for medical inspection and for sanitation minima; an owner may be ordered to cleanse or demolish his building, or to close it till certain alterations are made. The Town Planning Acts of 1926 and 1929 aim to develop and reconstruct areas in such a way as to promote their healthfulness and convenience.

In 1935, as a preliminary to measures for remedying the existing position in regard to housing, a Housing Survey Act was passed, instructing local authorities to ascertain as far as possible the extent to which the existing housing accommodation in their respective districts fell short of reasonable requirements. At the same time a Native Housing Act empowered the Board of Native Affairs to make advances to Maoris for the purchase, erection, or repair of dwellings. A section of the Native Housing Amendment Act, 1938, established a special fund to provide houses for those Natives unable to furnish the security or to make the payments which the Board would ordinarily require. In addition to the provision of housing under the Native Housing Act, dwellings for Maoris are provided in the ordinary course of the Native-land development schemes. Particulars of the numbers of houses erected, &c., are included in Subsection C of Section 16.

The provision of housing facilities for workers is a very important part of the policy of the present Government. Apart from the facilities for the building of homes provided for in the State Advances Corporation Act (see Section 23D), the Government launched in March, 1937, a comprehensive housing plan whereby the legislative machinery provided in the Housing Act, 1919, is being used to build homes to be let to workers at a reasonable rental. Provision is contained in the Finance Act (No. 3), 1943, for the tenant of a State rental house to make arrangements whereby, in consideration of special payments, he becomes entitled to remain the occupier of the dwelling rent free or at a reduced rental on attaining a specified age. The arrangement may also permit his widow to become the occupier on the same terms, or entitle him to nominate any of his children to become the tenant after his death. An account of the Government's housing programme under the Housing Act, and its progress to date, is included in Section 22, Building and Construction. Further provision of housing facilities in rural localities is contained in the Rural Housing Act, 1939, which empowers local authorities to advance money to a farmer to enable him to provide a dwelling for his own use or for the use of any farm worker principally employed by him.

The Local Authorities (Temporary Housing) Emergency Regulations 1944 give power to local authorities to establish transit housing centres for the purpose of providing temporary accommodation for persons who are awaiting the provision of permanent housing accommodation.

Rents.

Certain sections of the War Legislation Amendment Act of 1916 dealt with house-rents, the maximum rent being fixed at 8 per cent. per annum of the capital value of the dwelling. Material alterations in the law were made by the Rent Restriction Act, 1926. Rent-restriction provisions wore kept in force by annual continuing statutes up to 31st October, 1936, when the earlier legislation was superseded by the Fair Rents Act, 1936.

Provisions for statutory reductions in rent and interest payments were contained in the National Expenditure Adjustment Act of 1932, continued by the Finance Act, 1934, and made permanent in 1936; while Courts were given power to reduce rents and mortgage interest by the mortgage-relief legislation of the depression period, consolidated in the Mortgagors and Tenants Relief Act, 1932. The Fair Rents Act, 1936, replacing various measures referred to above, is briefly described in the following paragraphs.

The Fair Rents Act, 1936, made temporary provision for the restriction of increases in the rent of certain classes of dwelling houses, and for the determination of fair rents in respect of such houses. The Act applied, generally speaking, to dwellings actually let at the time the Act was passed (June, 1936) or let at any time between 27th November, 1935, and the date of the passing of the Act. It did not apply to other dwellings or to any dwelling let at a rent exceeding £156 per annum. The rent of a dwelling coming within the scope of the Act may not be raised beyond the rent payable on 1st May, 1936; or, in the case of dwellings not let on that date, the rent last payable before that date. On application of either the landlord or the tenant, a Stipendiary Magistrate may declare a fair rent in respect of any dwelling to which the Act applies, having regard to various specified conditions—e.g., the relative circumstances of landlord and tenant. The fair rent is not to exceed the rent payable on 1st May, 1936, or the rent (if any) payable on 27th November, 1935. The grounds for the recovery of possession are limited by the Act, while restrictions are imposed on the right of the landlord to distrain. The Act was to remain in force till 30th September, 1937, but its operation has been extended from time to time, and the present expiry date is one year after the termination of the war.

The Act did not apply to flats and apartment-houses, but an amendment passed in 1939 extended its provisions to cover buildings constructed for letting as more than two separate flats or apartments, all flats or apartments not originally constructed for letting separately, and flats and apartments where parts of premises are shared. The 1939 amendment also made provision for the making of regulations for the purpose of regulating charges in respect of residential accommodation with attendance or services.

The Fair Rents Amendment Act, 1942, extended the application of the principal Act to all promises let as dwellinghouses, including those where part only is used as such. The rent that may be charged is now restricted to what is termed “the basic rent,” which is defined as follows:—

  1. With reference to a dwellinghouse let as such on 1st September, 1942, the rent payable on that date:

  2. With reference to a dwellinghouse that was not let on that date, the rent that was last payable.

The Act makes it an offence to refuse to let a dwelling on the grounds that the applicant has children. It also provides certain safeguards in respect of members of the Armed Forces in their capacity as tenants or landlords.

As previously stated, the Fair Rents Act applies only to premises let as dwelling-houses, but the Economic Stabilization Emergency Regulations 1942 provide for the stabilization of all other rents, whether on account of land or buildings. The basic rent under there regulations has the same meaning as in the case of the Fair Rents Act, and rents that may be charged are restricted accordingly. On the application of the landlord or tenant of any property the Court may make an order determining the fair rent of that property.

The basic rent or fair rent (if any) of any land established under the Fair Rents Act or the Economic Stabilization Emergency Regulations is taken into account in determining the basic rent of such land for the purposes of the Servicemen's Settlement and Land Sales Act, 1943.

The Distress and Replevin Amendment Act, 1936, protects personal effects, furniture, &c., to the value of £50 from seizure under a distress order for rent. The pre-existing legislation on this subject did not protect such effects from seizure.

LABOUR DISPUTES.

Trade-unionists were early protected by the Trade-unions Act of 1878 from prosecution for conspiracy by reason merely that the purposes of the trade-unions were in restraint of trade. They were further protected by the Conspiracy Law Amendment Act of 1894, which laid down that any act by a union in furtherance of a trade dispute should not be deemed unlawful so as to render such persons liable to criminal prosecution for conspiracy, if such act committed by one person would not be deemed unlawful. This removed a very serious handicap under which unionists up to that time had suffered.

Industrial Conciliation and Arbitration Act.

The original Industrial Conciliation and Arbitration Act was placed on the New Zealand statute-book in 1894. Its object was to encourage the formation of industrial unions and associations, and to facilitate the settlement of industrial disputes by conciliation and arbitration. It provided for the registration as “industrial unions” of societies of workers or employers in the various industrial districts, and as “industrial associations” of any council or other body representing any number of such unions; for the making of industrial agreements pursuant to the Act, and the filing of such in the Supreme Court; for the formation of industrial districts, the election of Boards of Conciliation, and the setting-up of a Court of Arbitration.

In 1898 an amendment was passed empowering the Court in its awards to prescribe minimum rates of wages, with special provision for a lower rate being paid in the case of workers unable to earn the prescribed minimum. An important amendment passed in 1903 prohibited any employer, worker, union of workers, or union of employers from taking proceedings to defeat any of the provisions of an award during its currency. It forbade an employer to dismiss any employee merely because he happened to be entitled to the benefit of an award or merely because he was a member of a union. Under the present law dismissal, or prejudicial alteration of position, of an employee who within the preceding twelve months had acted in any of certain specified capacities, or was entitled to or had claimed certain benefits, renders the employer liable to a penalty unless he proves that the dismissal or alteration of position was due to some other reason.

In 1905 an amendment was passed providing for the punishment by fine of any worker or employer, bound by an award or industrial agreement affecting an industry, who takes part in a strike or lockout in that industry. In 1908 an additional penalty was added in the case of certain “public utility” industries, such as gas-manufacture, the supply of milk or meat, tramway services, &c. By this amendment the constitution of Conciliation Boards was altered to provide for the appointment of four Conciliation Commissioners, whose duty it is to call together representatives of employers and employees in the event of a dispute arising, and to sit with these representatives as a Conciliation Council to endeavour to effect a settlement. The decision of the Council is not binding, but disputes must be referred to a Council before they may be referred to the Arbitration Court.

A further amendment in 1911 empowered the Court to make an industrial agreement into an award, provided such agreement does not conflict with an existing award or is not contrary to the public interest. It also provided that recommendations of Conciliation Councils become in effect industrial agreements if none of the parties to a dispute disagrees with such recommendations.

Section 18 of the War Legislation and Statute Law Amendment Act, 1918, empowered the Court to amend during the term of an award or industrial agreement the provisions of the award or agreement, in so far as they related to rates of remuneration or hours of employment. In varying the conditions, the Court was to take into account the movement in the cost of living and any changes in the special conditions affecting the industry concerned. This measure, which was designed to meet the abnormal conditions caused by the war of 1914–18, remained in force till 1923.

The law as it existed in 1925 was consolidated in that year, previous consolidations having been effected in 1900, 1905, and 1908.

In 1927 a Bill was introduced into Parliament to exclude from the jurisdiction of the Arbitration Court the farming industry and certain associated industries. The Bill met with considerable opposition and was not proceeded with. An amending Act was, however, passed providing that no award relating to any agricultural, pastoral, or dairying operations, or to any other work effected on a farm, or to the manufacture or production of butter, cheese, or other milk products, should be made before 1st September 1928. In the meantime it was arranged that a National Industrial Conference, representative of all interests concerned, should be held to go fully into this and other questions affecting labour and the relationships between employers and employees.

The conference duly met during the parliamentary recess, and after full discussion came to unanimous agreement on a number of matters, others being left over for further consideration. The provisions of the amendment of 1927 were re-enacted in 1928, another amendment extending for twelve months the period during which awards in the industries mentioned were not to be made, and also providing that no awards in these industries were to be altered or amended in the meantime without the consent of all parties concerned. The provisions referred to lapsed on 1st September, 1929.

A second amendment passed in 1928 permits of industrial agreements and (with the consent of the parties concerned) awards being made for or extended to a term of five years. This amendment also allows of an award or industrial agreement, in lieu of prescribing minimum rates of wages, prescribing a method or basis for calculating minimum rates.

As a result of depression conditions the Court was empowered by the Finance Act, 1931, to amend by general order awards or industrial agreements in respect of rates of wages, though power was given for the exclusion of any class or section of workers from the operation of a general order. In the next year compulsory arbitration was abolished; conciliation was still compulsory, but disputes could be referred to the Court only by mutual consent. Provision was also made for the review of existing awards.

The Industrial Conciliation and Arbitration Amendment Act, 1936, restored the full jurisdiction of the Arbitration Court, and also made several other amendments, the more important of which are summarized below:—

  • The Court is required to fix basic wages for adult male workers based on the needs of a man, wife, and three children, and also a basic wage for adult female workers. It must make general orders prescribing the basic wages, which will apply to workers in any industry to which any award or industrial agreement relates (See previous heading—Basic Wage, &c.)

  • Restrictions are imposed on the formation of new unions in districts where a union in respect of the same industry exists; in fact, no such new union may be registered unless with the concurrence of the Minister of Labour.

  • Provision is made for the registration of New Zealand unions covering all existing workers or employees, if all or the majority of district unions concur. In cases where no district union exists a New Zealand union may be formed, subject to compliance with the requirements of the principal Act in respect of registration of unions.

  • All workers who are subject to any award or industrial agreement registered under the Act must become members of a union. (This applies also in respect of awards or agreements in force at the time of the passing of the amending Act.) It is not lawful for an employer to employ or continue in employment, in any position or employment subject to an award or industrial agreement, any adult person who is not a member. (An amendment passed in 1943 provides that, where a person who is obliged to become a member of a union fails to do so, he is deemed to have committed a breach of the award or industrial agreement to which his employment is subject, and is liable to a penalty not exceeding £5 in respect of every such breach.) Non-members may, however, be employed in cases where union membership is limited and there are no union members available.

The Court may confer on union officials the right of entry on employers' premises.

  • Where it is deemed practicable the Court must fix the maximum hours of work per week (exclusive of overtime) at forty; while the Court may review existing awards to this end on application. The hours in such a review are to be fixed at forty, unless in the opinion of the Court such hours are impracticable. No reduction in weekly pay is to be made in consequence of reduced hours—i.e., the hourly rates are to be increased proportionately. The provisions stated in this paragraph came into operation on 1st September, 1936.

  • By the principal Act the maximum weekly union subscription had been fixed at 1s. This limitation was removed.

The administration of the Industrial Conciliation and Arbitration Act is in the hands of the Labour Department, and Inspectors of Factories are charged with the duty of seeing that the provisions of awards and agreements are carried out. The following paragraphs indicate the procedure followed in regard to industrial disputes under the Act:—

  • An industrial union (or association of unions) of workers registered under the Act may cite a union or association of unions of employers, or an employer, or a number of employers, before a Council of Conciliation for the hearing of an industrial dispute before a Commissioner and assessors appointed from either side.

  • An industrial union (or association of unions) of employers registered under the Act, or an individual employer, or employers, may cite a union of workers in a similar manner. The workers may compel any of their employers to come under the Act; but the employers cannot compel their workers to come under it, unless the latter have registered as an industrial union or association thereunder; registration is voluntary.

  • If a settlement of a dispute is arrived at by the parties in the course of an inquiry held before a Council of Conciliation, the terms of the settlement are set forth as an industrial agreement. Applications for exemption from the terms of the agreement must be made within one month after it has been filed. The Court is empowered to grant or to refuse such applications. Where an agreement applies to the employers employing the majority of workers in the industry to which it relates, the agreement may be made binding on all employers, whether parties or not.

  • Every such agreement must be executed on behalf of the parties by the assessors representing the parties. If settlement cannot be arrived at before the Conciliation Council the matter is referred to the Court. The Council may at the same time submit a recommendation for the settlement of the dispute; whereupon the parties are notified of such recommendation, and if acceptable to them the recommendation is made an industrial agreement; failing agreement the matter is referred to the Court.

  • If a dispute comes before the Court, argument is heard upon the matters in debate, and the Court then makes its award, which becomes binding upon the employers specified in the award, upon any employers commencing business in the district subsequently to the date of the award, and upon all persons working for such employers. In all cases where an industrial agreement or accepted recommendation or award is filed, it becomes binding on all the parties. When an award or industrial agreement has been filed, a strike or lockout becomes unlawful.

  • Section 35 of the Statutes Amendment Act, 1944, stipulates that 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.

An important amendment to the Act was passed during the 1939 session. This empowers the Minister of Labour, 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 it relates to it.

As a war measure, regulations dated 4th October, 1939, pursuant to the Emergency Regulations Act, 1939, prohibit participation in a strike or lockout. Regulation 3 reads as follows:—

During the continuance of these regulations no person shall:—

  1. Be a party to a strike or lockout; or

  2. Encourage or procure a strike or lockout or the continuance of a strike or lockout; or

  3. Incite any person or any class of persons or persons in general to be or continue to be a party or parties to a strike or lockout.

The regulations provide for the appointment of an appropriate tribunal to deal with any dispute which, in the opinion of the Minister, would be likely to result in a strike or lockout, and the decision of the tribunal shall be final and binding on all persons directly affected by the dispute.

Reference has been made in an earlier stage of this Section to the stabilization of wages, &c. In this connection the Economic Stabilization Emergency Regulations 1942 stipulated that no variation shall be made in the minimum rates of remuneration or the principal conditions of employment applying to any award, industrial agreement, or apprenticeship order except such adjustments of anomalies as the Court approves having regard to the general purpose of the regulations. In February, 1945, amending regulations were issued giving the Court power to amend existing awards and agreements so as to adjust disparities in wages-levels (see p. 542).

Labour Disputes Investigation Act.

Machinery for dealing with all disputes to which the Industrial Conciliation and Arbitration Act does not relate is contained in the Labour Disputes Investigation Act, 1913.

Under this Act, if a dispute concerning wages or other conditions of employment arises between a society (or societies) of workers, whether registered or not, that is not bound by any award or industrial agreement, and its employers, the society must, before it may strike, give to the Minister of Labour formal notice of the dispute, setting forth the names of the parties to the dispute and the claims made by the society. The Minister then refers the dispute to a Conciliation Commissioner to call a conference, or to a “Labour Disputes Committee” for investigation and recommendation. Such a committee consists of from one to three members chosen from each side, with an independent chairman. In the event of no settlement being arrived at a secret ballot is taken by the Registrar of Industrial Unions among the members of the society as to whether, in the case of no recommendation having been made, a strike should eventuate; or, in the case of a recommendation having been made, as to whether the recommendation should be adopted. Seven days' notice must be given to the employers should a strike be decided upon.

Similar provisions apply with reference to the filing of a dispute and to a lockout by the employers.

In the event of an agreement being arrived at it may be filed with the Clerk of Awards. It is then enforceable in the same manner as an industrial agreement under the Industrial Conciliation and Arbitration Act.

By this Act the principle of settlement of industrial disputes by conciliation and arbitration is extended to workers outside the scope of the Arbitration Court, 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.

APPRENTICESHIP LEGISLATION.

The statutory regulation of apprenticeship goes back as far as 1865, when a Masters and Apprentices Act was passed which provided for indentures of apprenticeship binding children above twelve years of age to farmers, tradesmen, and artisans for a term not exceeding five years. Every indenture was to contain a covenant on the part of the master that he would provide the apprentice with suitable food, clothing, and bedding, give particular attention to his morals, and pay certain sums into the savings-bank for him after his apprenticeship had exceeded two years. The Act was thus obviously framed with a view to providing for the welfare of orphans and destitute children.

Another Act was passed in 1875 which made provision for the apprenticing of boys to Government Departments for a term of not less than three nor more than seven years. The Departments made available in the first instance were the Government Printing Office and the Railway Workshops. Wages were to be paid, no provision was made for board, and the Act was clearly intended primarily to meet the case of boys whose parents were alive.

The Master and Apprentice Act of 1908 consolidated the above two Acts into an Act of two Parts, but made no essential change.

A Master and Apprentice Amendment Act was passed in 1920, with a view to facilitating the apprenticing of immigrant or New Zealand boys between the ages of fifteen and nineteen to the occupation of farming until they were twenty years of age. Part I of the principal Act of 1908 (dealing with the relations between master and apprentice) was to apply with some slight modifications.

Until 1923 no legislation was passed to make special provision for the apprentice who worked by the day for the private employer.* His case was regulated by the laws of England in so far as they were applicable to New Zealand, and by such provisions in regard to apprenticeship as the Arbitration Court might have included in its awards. The Apprentices Act of 1923 was a landmark., in so far as it provided an elaborate administrative machinery to safeguard the interests of apprentices.

The Act stated that from time to time, as might be necessary, the Arbitration Court should make orders, as it thought fit, regulating the wages, hours, and conditions of apprenticeship, the proportion of apprentices to journeymen that might be employed in any industry, the period of apprenticeship, and the minimum ago of apprentices. It might also require employers to engage such number of apprentices as the Court might consider necessary to ensure an adequate supply of journeymen in the interests of the industry, order the transfer of an apprentice from one employer to another, order the attendance of any apprentice at a technical school or training establishment, prohibit any employer from employing an apprentice, enter the premises where an apprentice was employed in order to inquire into his welfare, and exercise a number of other powers. The Act applied to male apprentices only. Provision was made for the modification of apprenticeship conditions in the case of adults or of persons who were already partly trained.

Every contract of apprenticeship was to be in writing and registered with a District Registrar. If the District Registrar was of the opinion that the proposed contract of apprenticeship should not be registered, either because it contravened the Act or for some other reason, then he might refuse to register the contract. His decision could be appealed against to the Court, whose decision was final. Every transfer of an apprentice and every termination of a contract of apprenticeship was also to be notified to the District Registrar. The Secretary for Labour was to act as Registrar of Apprentices, and any Inspector of Factories might be appointed a District Registrar of Apprentices. Apart from registering contracts, these Registrars were to have the duty of ensuring that the Act was complied with, and they were to take proceedings for every breach of an apprenticeship contract. They were also given considerable scope for developing a system of vocational guidance, in so far as they were given powers to demand reports from the head teacher of any school as to the attainments and qualities of any child. The Registrar was required to advise the Director of Education from time to time of the number of persons employed or required in the industries to which the Act applied, together with such information as might be available as to the probable requirements in the future.

The Act made provision for the setting-up of Apprenticeship Committees, composed of equal numbers of members of an organization of the employers and the organization of workers connected with any industry or group of industries. The Court may delegate many of its powers to these committees, but aggrieved persons have the right of appeal to the Court.

An amending Act of 1927 cancelled the power of the Court of Arbitration to determine the proportion of apprentices to journeymen that might be employed in any industry.

The amending Act of 1930 made some improvements in administration, dealt with the case of the unsatisfactory apprentice, and brought in further protective regulations. It stated that if an Apprenticeship Committee could not come to a decision in regard to any matter, the matter was then to be referred to the Court. In certain circumstances the District Registrar might act as an Apprenticeship Committee. If an apprentice proved unsatisfactory, the employer might apply to the appropriate Apprenticeship Committee for the right to discharge him. The employer or the apprentice might appeal against this decision to a Stipendiary Magistrate. The interests of the apprentice were protected by regulations safeguarding his wages in the event of the employer's bankruptcy. The employer was to keep a wages and time-book, and a copy of the apprenticeship order was to be affixed in a place where it might be easily read by the apprentice.

* The Shipping and Seamen Act of 1903 included some sections regulating the apprenticing of boys to ships.

The economic depression had an unfavourable effect on the apprenticeship system. The Finance Act of 1931 conferred power on the Arbitration Court to vary the rates of remuneration payable under apprenticeship orders (though such a variation was not to apply to any contract of apprenticeship already in force). The Finance Act of 1932 stated that either party to an apprenticeship contract might apply to a Stipendiary Magistrate to have the contract of apprenticeship amended, cancelled, or suspended. Reasonable opportunity to be heard was to be given to the two parties to the contract. to the District Registrar, and to the appropriate Apprenticeship Committee, if any. If the Magistrate was satisfied that, owing to the economic conditions affecting the industry concerned or the particular business of the employer, the employer could not reasonably be expected to carry out the terms of his contract, he might cancel the contract. In cancelling the contract he might, if he thought fit, award the apprentice such sum by way of compensation as he deemed equitable in all circumstances of the case, having due regard to the ability of the employer to pay any sum so awarded.

The economic depression and its attendant legislation had thus considerably lessened the security and remuneration of the apprentice. The Finance Act of 1930 restored the rates of remuneration to the 1931, level and repealed the provision of the 1932 Finance Act in respect of the cancellation of apprenticeship contracts. It expressly stated, however, that this repeal should not revive any contract of apprenticeship that had been duly cancelled thereunder, or reduce the period for which any such contract has been suspended. Section 7 of the Statutes Amendment Act of the same year did, however, make partial provision for those whose contracts had been cancelled, in so far as it stated that any person of eighteen years or over might, with the approval of the Minister of Labour, enter into a special contract of apprenticeship with an employer.

The war raised two new problems: that of the apprentice absent on military service for short periods, and the need for increasing production in certain industries, irrespective of whether they were carried on in private or public undertakings. Hence the Suspension of Apprenticeship Emergency Regulations, issued in 1939 and subsequently renewed, which provided that if apprentices were away on military service and returned within a period of six months, the period of absence should be regarded as time served under the apprenticeship contract. Section 52 of the Statutes Amendment Act of 1941 permitted the temporary transfer of an apprentice from Government to private employment and, vice versa, subject to the consent of the apprentice and his parent.

The Suspension of Apprenticeship Emergency Regulations 1944 revoked the previous suspension orders, and made provision for apprenticeships which were deemed to be suspended as a result of military service to be revived within a period of six months of the termination of such service. Where a contract of apprenticeship is revived in accordance with these regulations the term of the contract is to continue for the unexpired period as at the date of suspension, or for three years, whichever is the lesser period. The apprentice may, however, be credited with any period of his military service during which he performed trade work of the same class, or of a class related to that to which he was apprenticed.

Where in the case of a revived contract the apprentice has attained the age of twenty-one years, or the term of the apprenticeship as prescribed by the contract has expired, the wages payable may be not less than the rate payable for the last six months of the contract plus one-third of the difference between that amount and the rate for a journeyman.

In other cases the wages payable may be not less than the relevant rates prescribed by the contract until the term of the apprenticeship expires or the age of twenty-one is reached, after which the provisions outlined in the preceding paragraph apply.

Any limitation contained in any Act, award, apprenticeship order, or agreement as to the ago of an apprentice, or as to the number of apprentices or the proportion of apprentices to journeymen has no application with respect to an apprentice serving under a revived contract as outlined above.

WORKERS' COMPENSATION.

Common-law rights of the worker in respect of compensation were early increased by the Employers Liability Act of 1882; while the Deaths by Accidents Compensation Act, 1908, gave a right of action which did not previously exist at common law to certain of the relatives of a person killed by a wrongful act.

The Law Reform Act of 1936 contains several provisions of particular relevance to the subject of workers' compensation. The Act, inter alia, creates a charge on all insurance-moneys payable as indemnity for compensation, and makes the charge apply immediately on the happening of the event giving rise to the claim. Similar provisions (now repealed) existed in the Workers' Compensation Act, 1922, but under that Act no charge was created unless the insured was insolvent or became bankrupt. The Workers' Compensation Amendment Act, 1943, makes it obligatory on the part of an employer to insure against his liability under the principal Act unless he is able to satisfy the Compensation Court that he has adequate financial resources to meet all probable claims. Another provision of particular interest in the Law Reform Act, 1936, is the abolition of the defence of “common employment,” which defence depended on a rule that damages could not be recovered from an employer in respect of the negligence of a fellow-servant. A similar provision in the Workers' Compensation Act (but with a limit of £1,000 damages) was consequentially repealed.

The Workers' Compensation Act, 1822, with its amendments of 1922, 1926, 1936, and 1943, represents the existing law on workers' compensation—subject to the provisions briefly outlined in the preceding paragraph. The 1936 amendment, which came into force on 1st January, 1937, contains several important amendments to the previous legislation. The definition of “worker” is extended to include share-farmers and drivers of vehicles who receive a share in the takings as payment for their services, or who pay a fixed sum for the hire of the vehicle (other than under the terms of a hire-purchase agreement). While a share-farmer now comes within the provisions of the Act, he is still regarded as the employer in respect of persons employed by him.

The amending Act contains a provision whereby claims for compensation rank equally with wages in the distribution of the assets of a bankrupt.

”Worker,” for purposes of the Workers' Compensation Act, means any person who has entered into, or works under, a contract of service or apprenticeship with an employer, whether by way of manual labour, clerical work, or otherwise, and whether remunerated by wages, salary, or otherwise; but does not include any person employed otherwise than by way of manual labour whoso remuneration exceeds £400 per annum.* The Act applies only to the employment of a worker under a contract of service or apprenticeship either in and for the purposes of any trade or business carried on by the employer, or in any of the following occupations, irrespective of whether or not carried on for purposes of the employer's trade: mining, quarrying, excavation, cutting of standing timber and scrub, clearing land, erection or demolition of buildings and other structures, manufacture and use of explosives, handling power machinery in motion, driving vehicles, domestic service (engagement for not less than three days), and any occupation in which a worker incurs a risk of falling any distance exceeding 12 ft., if the injury to, or death of, the worker results from such a fall. For purposes of this provision, an employer may have more than one trade or business. In general, persons working as independent contractors are not under contracts of service or apprenticeship, and are consequently not “workers.” But by way of exception, persons who have contracted to perform any work in a gold- or coal-mine, or to cut standing timber or scrub, or to clear land of stumps or logs, and who do not sublet the contract or employ labour (or who, if they do employ labour, actually perform part of the work themselves), though not “workers,” are yet covered by the Act.

The worker is not entitled to compensation unless he sustains by accident arising out of and in the course of his employment, and happening within New Zealand or on a New Zealand ship, personal injury incapacitating him from carrying on his occupation. The Workers' Compensation Amendment Act, 1943, provides that, where an accident causing personal injury occurs while travelling to or from work by a means of transport (other than a public passenger service) provided by, or expressly or impliedly authorized by, the employer, such accident shall be deemed to arise out of and in the course of the employment. No compensation is payable in respect of any accident as above defined which is attributable to the serious and wilful misconduct of the worker injured, unless the injury results in death or serious and permanent disablement. No compensation is payable in respect of the death of a worker following on, or incapacity resulting from or aggravated by, unreasonable refusal to submit to medical or surgical treatment. Except under certain safeguarding restrictions, “contracting out” is forbidden.

* A Bill at present before Parliament proposes to abolish this limit of £400, so that any person coming within the definition of a “worker” will be covered irrespective of the amount of remuneration.

Certain defined diseases are deemed to be personal injuries by accident if they arise within twelve months previous to the date of disablement and are due to the nature of the employment. There is power under the Act for the list of such diseases to be added to from time to time by regulation, as circumstances warrant the adoption of such a course.

Generally speaking, the employer is the person liable to pay compensation; and for this purpose “employer” includes any body of persons, corporate or unincorporate, the Crown (with certain minor exceptions), and the representatives of a deceased employer. Where a person (the principal), in the course of and for the purposes of his trade or business, contracts with another (the contractor) for the execution by the latter of work undertaken by the former, a workman employed by the contractor on meeting with an accident may claim compensation from either the principal or the contractor, except in certain cases. If the principal pays, he may, however (with certain minor exceptions), recover the amount from the contractor. The principal is not liable unless the accident occurs on or about his land, premises, or ship; or on or about land, premises, or ship on or in which the principal has contracted to do the work in connection with which the accident happens. Where the injury for which compensation is payable has resulted under circumstances creating a legal liability in some person other than the employer to pay damages in respect thereof, the person by whom the compensation is paid or payable is entitled to indemnification by the person so liable.

The Workers' Compensation Amendment Acts of 1926 and 1936 amended the Act of 1922 in the direction of raising the limits of compensation. The compensation payable at present is as follows:—

  1. In case of death: Reasonable expenses of medical or surgical attendance, including first aid, and of funeral (maximum, £50), less any sums paid by way of compensation for the accident prior to the death of the person injured; but plus—

    1. Where he leaves total dependants, a sum equal to 208 times his average weekly earnings, or the sum of £500, whichever is the larger, but not exceeding £1,000; or

    2. Where he leaves partial dependants only, a sum reasonable and proportionate to the injury to those dependants, but not exceeding the sums specified in (a).

  2. In case of injury: At the discretion of the Court, either—

    1. During total incapacity, weekly payments amounting to 66 ⅔ per cent. of a full working week's earnings at the ordinary rate of pay for the work on which the worker was employed at the time of the accident, notwithstanding that he may not have actually worked or the employment may not have actually continued for a full week (maximum £4 10s. per week; minimum £2); during partial incapacity, weekly payments amounting to 66⅔ per cent. of the difference between the amount of the average weekly earnings before the accident and the average weekly amount which the worker is earning or able to earn in suitable employment or business after the accident, but not exceeding £4 10a. per week; or

    2. A lump sum equal to the present value at 5 per cent. per annum compound interest of the aggregate weekly payments which, in the opinion of the Court, would probably become payable to the worker under (a).

Weekly payments are not to extend over a longer aggregate period than six years, and the aggregate amount is not to exceed £1,000. In the case of the temporary incapacity of an apprentice or a worker under twenty-one years of age, the weekly payment must not exceed an amount equal to a full week's earnings at the time of the accident.

A sum not exceeding £1 is payable in respect of medical and surgical attendance and first aid to the worker in respect of his injury. In addition, an amendment to the Act in 1943 makes provision for the payment of transport expenses up to a maximum of £25 where an injured worker is required to travel to and from another town in order to obtain necessary medical or surgical treatment.

No compensation is payable if incapacity lasts less than three days. In the case of certain injuries involving permanent disability (e.g., dismemberment or loss of use), compensation is assessed according to a special scheme representing a proportion (varying according to the nature of the dismemberment) of the compensation payable in the case of total incapacity. In the case of injury to workers whose earnings at the date of the accident are low by reason of their being at the time under twenty-one, or of their being apprenticed to a trade, &c., the amount of compensation in cases of permanent incapacity is based on the adult rates of pay. Section (59 of the Statutes Amendment Act, 1944, extended this provision to cover partly-trained workers over twenty-one years of age.

Proceedings under the Act in respect of compensation for injuries are not maintainable by a worker unless written notice of the accident has been given to the employer as soon as possible after its occurrence; though the Court has power to excuse failure, due to reasonable causes, to give that notice, on the part of the person injured, or if it is clear that the absence of such notice has not prejudiced the employer's position. Except where the Court excuses delay resulting from mistake or other reasonable cause, proceedings must be taken within six: months of the date of the accident or the date of the last payment of compensation in respect of injury, or the date of the death of the person injured, whichever is the later. Formerly such proceedings were taken in the Arbitration Court, but regulations issued on 1st March, 1940, under authority of section 70 of the Statutes Amendment Act, 1939, established a separate Court known as the Compensation Court for the hearing of workers' compensation cases. The new Court has all the powers inherent in a Court of record, and all references in the Workers' Compensation Act, 1922, or in the Workers' Compensation Rules 1939, to the Court of Arbitration are now deemed to be references to the Compensation Court. In certain cases proceedings are heard in a Magistrate's Court. The Court may accept, admit, and call for such evidence as in equity and in good conscience it thinks fit, irrespective of whether strictly legal evidence or not. Costs he at the discretion of the Court. There is no right of appeal, but for good cause orders or agreements in respect of compensation may be reviewed and even set aside by the Court at any time.

The right of a dependant who survives a worker to receive compensation for the death of that worker survives the dependant; and compensation can be recovered by the representative of that dependant.

UNEMPLOYMENT LEGISLATION.

Prior to the depression period of the early “thirties,” there was little permanent effective legislation to cope with the problem of unemployment. In 1895 a Servants Registry Act provided for the inspection of servants registry-offices and regulated the fees charged therein. The Labour Department was founded in 1891 and attempted, particularly through its Employment Bureaux, to cope with the problem. In 1928 a Committee was set up to examine this matter, which was becoming increasingly more serious; and, following on the presentation of its report, an Unemployment Act was placed on the statute-book during the 1930 session of Parliament.

An Unemployment Board was established to assist in the administration of the Act. The Board, as reconstituted in 1931, consisted of the Minister charged with the administration of the Act (Chairman), the Commissioner of Unemployment, and three members appointed by the Governor-General. The main functions of the Board as set out in the Act were: (1) To make arrangements with employers or prospective employers for the employment of unemployed persons; (2) to take such steps in accordance with the provisions of the Act as it considered necessary to promote the growth of primary and secondary industries in New Zealand, so that an increasing number of workers would be required for the efficient carrying-on of such industries; (3) to make recommendations for the payment of sustenance allowances out of the Unemployment Fund.

The Act of 1930 authorized the payment of sustenance allowances out of the Unemployment Fund, but the activities of the Board were directed towards the placing of men in employment in preference to the payment of sustenance, the funds being mainly devoted to the subsidizing (or refunding in full) of wages of men for whom work was provided under various relief schemes. A 1934 amendment to the Act, inter alia, repealed a subsection of the original Act, which, in effect, had limited to a maximum of thirteen weeks the unbroken period during which sustenance might be paid to any one individual.

The Employment Promotion Act, 1936, replaced and repealed the Unemployment Act, 1930, and other legislation relating to unemployment. The Unemployment Board was abolished, the new Act being administered by the Department of Labour. An Employment Promotion Fund was established (deemed to be the same fund as the Unemployment Fund established under the Unemployment Act, 1930), the revenue of the Fund being derived from the employment tax, fees, and penalties under the Act; and any other moneys appropriated by Parliament for the purpose. The main purposes for which the moneys in the Fund were to be utilized were defined as follows:—

  1. The development of primary and secondary industries in New Zealand, and the establishment of new industries, so that an increasing number of workers will be required for the efficient carrying-on of such industries:

  2. The making of arrangements with employers or prospective employers for the employment of persons who are out of employment:

  3. The assistance, in accordance with the provisions of the Act, of persons who are out of employment or are otherwise in need of assistance.

By the Social Security Act, 1938, provision was made for unemployment benefits, superseding the former sustenance payments, to become available as from 1st April, 1939. The Employment Promotion Fund was abolished as from 30th September, 1939, and the moneys transferred to the Social Security Fund. The amounts of, and qualifications for, benefits will be found on pages 370–371 of this Year-Book.

Although the Employment Promotion Act was repealed by the Social Security Act, the functions of the Employment Division of the Labour Department continued to include the promotion of work and industry for the absorption of surplus labour, and the placing in close contact of employers with employees through the medium of the State Placement Service. The Employment Division has now been placed under the control of the National Service Department. Particulars of the work of the State Placement Service will be found in Section 39, Employment and Unemployment.

The Immigration Restriction Amendment Act of 1931, which empowered the Governor-General to make regulations restricting the number of immigrants entering the country, aimed, inter alia, at preventing an unwanted inflow increasing the number of those unemployed. Its operation was extended in 1933 and 1935, and it expired on 31st December, 1936.

PUBLIC-WORKS PROGRAMME.

The development of New Zealand to its present stage within a century has involved the prosecution of a vigorous public-works policy. In the circumstances, public works afford an avenue of employment for a large body of wage-earners; and, consequently, a résumé of the conditions obtaining on such works forms an essential part of the subject-matter of this section. The Minister of Works, in a statement of public-works policy laid before Parliament in May, 1936, outlined the Government's policy in relation to public-works employees. An agreement with the workers was drawn up dating from 1st June, 1936, and was to remain in force for three years. Following is a summary of the main provisions of the agreement:—

The hours of work were fixed at forty per week—five days of eight hours.

All works were classified as standard works—i.e., no such works were to be regarded as relief works, and the basic rate of pay was fixed at 16s. per day. A regulated scale of hourly rates was drawn up, ranging from the basic rate of 2s. per hour to a maximum of 2s. 10d., according to the degree of skill and danger involved in the various occupations.

The system of co-operative works was adopted as a principle, the scales of piecework payment being designed so that a worker of average ability could earn the basic rates of wage.

Workers were paid for seven statutory holidays in the year; and, in addition, after one year's service a worker was to receive one week's annual leave on full pay, and after two years' service two weeks' annual leave on full pay. This provision is now governed by the Annual Holidays Act, 1944 (see p. 554).

Improvements in accommodation on works were provided for in the agreement, with recreation facilities on large works.

The main provisions of the agreement are still in force, but in October, 1939, and in January, 1942, increases of 1 ½d. per hour each, equal to 5s. per week, in the rates of pay were announced. Two further increases, each of 5s. per week as from 12th August, 1940, and 7th April, 1942, were made in conformity with the general orders issued by the Arbitration Court (see p. 542). Public-works employees also participated in the general increase granted to all State employees as from June, 1944, the amount of the increase in their case being 4 ½d. per hour (15s. per week). This brought the minimum wage on public works to £5 15s. per week. In addition, married men who are required to leave their homes and accept single men's accommodation in public-works camps are paid a special allowance.

A Labour Legislation Suspension Order of September, 1939, suspended all agreements and awards in regard to working-conditions in so far as they applied to public works or contracts for emergency or defence purposes. For all time worked on Saturdays time and a half rates were to be paid. All time occupied in travelling to and from the work outside the ordinary working-hours was to be paid at ordinary rates. The Defence Works Labour Legislation Suspension Order of March, 1942, provided for a normal working-week of fifty-four hours, which an Order of June, 1942, reduced to forty-eight hours.

Chapter 38. SECTION 38.—TRADE-UNIONS

In New Zealand dual provision for the registration and protection of unions of workers and employers exists in the Trade-unions Act and the Industrial Conciliation and Arbitration Act, and further provision has been made in the Industrial Conciliation and Arbitration Amendment Acts of 1936 and 1943, references to which are made in the preceding section of this volume. The 1936 Amendment resulted in a considerable increase in membership of unions both of employers and of workers.

Provision was made under section 7, subsection (17), of the Industrial Conciliation and Arbitration Act, 1900 (now section 17 of the Industrial Conciliation and Arbitration Act, 1925), for the furnishing of an annual return showing the number and membership of unions registered under the Act. It is from this return (vide parliamentary paper H.-11) that the tables in this section have been compiled. Very little information is available as to registration of unions under the Trade-unions Act, which is now practically inoperative. The number of unions registered under this Act as at the end of 1943 was five only. Unions registered under the Trade-unions Act may also be registered under the Industrial Conciliation and Arbitration Act.

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 last five years are shown in the following table.

As at 31st December,Industrial District.
Northern.Wellington.Canterbury.Otago and southland.Taranaki.Marlborough.Nelson.Westland.North Land.South Island.Dominion.Totals. 
Number of Unions
193949864536122953215264
194048854537122954218267
194147834436122864322267
194248834536123874323272
194347834437123864323270
Membership
19392,0591,9751,3141,010350321218745212,8799,893
19402,4491,9161,5661,061333181279281203,50711,169
19412,6321,9591,4441,187363121209173563,86511,802
19422,6962,0741,3851,2364242916811562524,80113,042
19433,0062,3061,3731,279446231718769505,97214,782

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 water-side workers' strike. Since that year there have been many slight variations, and considerable decreases in membership were recorded in 1931, 1932, and 1933. The effects of the 1936 Act may be judged from the fact that the 1943 figure of membership shows an increase of approximately 250 per cent. over the 1935 total. A good deal of duplication, however, exists in employers' union membership, many employers belonging to two or more unions.

INDUSTRIAL UNIONS OF WORKERS.

Industrial unions of workers and their membership are shown in the next table as at the end of each of the last five years. It should be noted that the statistics cover only unions registered under the Industrial Conciliation and Arbitration Act.

The membership of workers' unions rose year by year, without exception, from 17,989 in 1900 to 73,991 in 1914. It fell off during the period of the 1914–18 war, but a phenomenal rise was recorded in 1919, the year immediately following the cessation of hostilities. The total for 1928 (103,980) was the highest recorded up to and inclusive of 1935, but was far below the present figures. The 1936 Act, which provided for compulsory union membership on the part of workers subject to an award or industrial agreement, has, of course, been responsible for the high figures of recent years.

From 1940 onwards figures of membership reflect to a certain extent the withdrawal of men from industry consequent on the prosecution of the war.

As at 31st December,Industrial District.
Northern.Wellington.Canterbury.Otago and southland.Taranaki.Marlborough.Nelson.Westland.North Land.South Island.Dominion.Totals.
Number of Unions
193996805896241226251123442
194093745595241024241126427
194191745393231023221227419
194290724995231023221130416
19438868459421819202131397
Membership
193960,92047,41125,35323,5523,6389511,7403,1392843787,665254,690
194059,99946,40824,44922,8903,4857781,5933,0572873785,098248,081
194157,53541,48523,65821,9914,0651,1101,5742,8452953876,453231,049
194254,67337,68721,92520,4203,9871,1771,4362,4432783574,337218,398
194353,18735,33222,00620,8933,5749841,4532,48818053572,871214,628

In the following table industrial unions of workers are classified according to membership.

Year.Under 50.50 and under 100.100 and under 200.200 and under 300.300 and under 500.500 and under 1,000.1,000 and under 2,000.2,000 and under 3,000.3,000 and over.Totals.
Number of Unions          
1901994330195411..202
1921139100703628281133418
193116277583130291431405
19391237063513938301018442
19401137467434032281218427
19411137170383832271317419
19421177759414028241614416
19431097753373729261316397
Membership          
19012,7593,0184,0324,8152,0732,5201,6512,900..23,768
19214,1477,0759,7089,18211,06618,52714,5807,43316,00197,719
19314,3045,6657,9667,57811,24420,60218,5666,7447,85790,526
19393,2984,9138,95611,65015,06626,96142,69624,733116,417254,690
19402,9665,1579,57310,60715,69323,21538,07628,524114,270248,081
19412,9614,9489,7689,20715,06022,84135,41731,01299,835231,049
19422,9875,6088,3569,74515,47420,26530,87738,54486,542218,398
19432,7655,5657,4798,99313,65619,80334,48331,60090,284214,628
Percentage of Total Membership          
190111.6112.7016.9620.268.7210.606.9512.20..100.00
19214.247.249.949.4011.3218.9614.927.6116.37100.00
19314.756.268.808.3712.4222.7620.517.458.68100.00
19391.291.933.524.575.9210.5916.769.7145.71100.00
19401.192.083.864.286.329.3615.3511.5046.06100.00
19411.282.144.233.986.529.8915.3313.4243.21100.00
19421.372.573.834.467.089.2814.1417.6539.62100.00
19431.292.593.494.196.369.2316.0714.7242.06100.00

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.

INDUSTRIAL AND GEOGRAPHICAL DISTRIBUTION.

In the next table industrial unions of employers as at the end of 1943 are shown according to industrial group, and membership according to industrial group and district.

Industrial Group.Membership—Industrial Districts.Number of Unions.
Northern.Wellington.Canterbury.Otago and Southland.Taranaki.Marlborough.Nelson.Westland.North Island.South Island.Dominion.Totals.
Provision of—             
Food, drink, &1,599656436753295..10930....603,93855
Clothing, footwear, and textiles305052..............1,9632,11512
Building and construction677409236177667186......1,59633
Power, heat, and light..794872............512506
Transport by water172424119474....2412414
Transport by land981675042..............3576
Accommodation, meals, and personal service2504563148557122846..15871,35040
Working in or on—             
Wood wicker, seagrass, and fibre5155534............34250510
Metal1531203861..........325740126
Stone, clay, glass, and chemicals973215........323..14315
Paper, printing, &849834427......4....26921
Skins, leather, &921113..............447
Mines and quarries1....9......1......113
Land (farming pursuits)2040447....9..33..3,1693,32212
Miscellaneous85812..............21929710
Totals3,0062,3061,3731,279446231718769505,97214,782270

Similar information to that given for industrial unions of employers is now given for workers'onions, as at the end of 1943.

Industrial Group.Membership—Industrial Districts.Number of Unions.
Northern.Wellington.Canterbury.Otago and Southland.Taranaki.Marlborough.Nelson.Westland.North Island.South Island.Dominion.Totals.
Provision of—             
Food, drink, &6,5264,9723,2884,189548..307..294355,76225,92157
Clothing, footwear, and textiles6,5915,1634,2673,387..............19,40819
Building and construction6,2976,7652,9192,35067598219177....1,40220,90258
Power, heat, and light....................9569561
Transport by water1,5171,32782630............8,82412,38021
Transport by land2,8881,7181,2751,105260100208144....20,07127,76921
Accommodation, meals, and personal service5,5014,5502,6222,001354153190352......15,72326
Working in or on—             
Wood, wicker, sea-grass, and fibre94093966444530..49....6,5479,57823
Metal6,916496291836........1,511..4,26914,31926
Stone, clay, glass, and chemicals1,2722366251760..79......1222,34820
Paper, printing, &603....637............2,2993,5398
Skins, leather, &70215911043.......... ....1,0147
Mines and quarries2,017..57433103..91,298......3,91724
Land (farming pursuits)16431....17..........14,41414,6265
Miscellaneous11,2538,9766,3694,3201,527633437508....8,20542,22881
Totals53,18735,33222,00620,8933,5749841,4532,4881,8053572,871214,628397

INDUSTRIAL ASSOCIATIONS.

At 31st December, 1943, there were 23 industrial associations of employers and 35 of workers, the former having 154 affiliated unions and the latter 182. 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.

Industrial Group.Employers.Workers.
Associations.Affiliated Unions.Associations.Affiliated Unions.
1942.1943.1942.1943.1942.1943.1942.1943.
Provision of—        
Food, drink, &554444642320
Clothing, footwear, and textiles........331518
Building and construction333030544028
Transport by water1110102255
Transport by land1144111212
Accommodation, meals, and personal service222425221413
Working in or on—        
Wood, wicker, seagrass, and fibre1133221010
Metal22109651914
Stone, clay, glass, and chemicals22771133
Paper, printing, &221212........
Skins, leather, &1133114..
Mines and quarries........3399
Land (farming pursuits)1132........
Miscellaneous2255775550
Totals23231551543935209182

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 trade-unionism during the period under review. The figures given for total wage-earners are derived from census enumerations and would include professional, business, and other classes in which trade-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 during the period covered by the table was negligible.

Year.Total Wage-earners.Year.Numbers of Workers on Rolls of Registered Unions.Percentage of Wage-earners on Rolls of Registered Unions.
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)101,07124
1936 (March)499,7971935 (December)80,92918

Since 1936 there has been a substantial increase in the membership of unions as a result of the 1936 amendment to the Industrial Conciliation and Arbitration Act, and the proportion of wage-earners belonging to registered unions at the beginning of the war was estimated at approximately 50 per cent.

Chapter 39. SECTION 39.—EMPLOYMENT AND 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 available.

Unemployment was well known to have been acute in the middle and late “sixties,” owing to the paralysing effect of the Maori wars in the North Island and to the collapse of the alluvial-gold booms in Otago and Westland. With the inauguration, at the beginning of the “seventies,” of the Vogel policy of public works and assisted immigration, employment was available for large numbers of new arrivals. At the beginning of the “eighties” scarcity of funds for the prosecution of public works, along with other considerations, necessitated the checking for a space of the stream of assisted immigrants. By 1883 the position had materially improved; but unemployment once more became serious in the late “eighties” and early “nineties,” mainly owing to the fall in the prices that New Zealand's products (notably wool) were realizing overseas, and to a further slackening of the rate of prosecution of public works. During both of these periods the unemployment position was so acute as to be responsible for a considerable exodus of male population to Australia and elsewhere.

Direct statistical evidence as to the extent of unemployment in New Zealand is available from the census (since 1896) and from the records of the Labour Department (since 1892). In addition, statistics of unemployment among trade-unionists were collected from trade-union secretaries by the Census and Statistics Department from 1925 to 1930. Certain data as to employment are also available, and are referred to at the end of this section.

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 one census has taken place.

Census.Number of Males unemployed.Proportion per Thousand Male Wage-earners.
12th April, 189614,759100
31st March, 19018,46748
12th April, 19068,18939
2nd April, 19117,15230
15th October, 19165,92026
17th April, 192111,06139
20th April, 192610,69434
24th March, 193635,84695

The 1936 figure includes men on rationed relief work, but excludes men (16,252) partly unemployed but not on relief work.

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 (see the 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 1st April, 1939, and monthly figures for the last five years are as follows:—

Month.1940.1941.1942.1943.1944.
January4,2001,9641,033443320
February3,9951,924906411272
March4,0531,815841373266
April4,8962,132815365289
May5,1462,121826379286
June6,0482,391848390288
July6,1872,626886489353
August4,8502,658863454396
September4,2862,094803445398
October3,5341,911734415382
November2,6201,408618370306
December2,4051,234549322368

PROMOTION OF EMPLOYMENT.

Reference to earlier issues of the Year-Book will show the measures taken during the depression and post-depression years to relieve unemployment and in particular to promote employment. Some of the schemes introduced are still in operation, though to a very minor extent, only 452 persons being in subsidized employment at 31st March, 1945. Of these, 449 wore engaged under Scheme 13, whereby certain works of either a national or a local character put in hand by local authorities, School Committees, sports bodies, or other social institutions not established for profit are eligible for subsidy, the rate of which varies from £1 10s. and £2 5s. per man-week for single and married men respectively to, in some cases, the full wages cost at ordinary labourers' rates.

Scheme No. 5 was for several years the main vehicle for the provision of unemployment relief. Under this scheme a maximum of 45,000 men were in receipt of part-time work in 1932 and 1933. The number immediately prior to its cessation on 31st March, 1939, was 77.

The arranging of full-time work for physically fit men whom it is not possible to absorb in private employment is now a function of the District Man-power Officers of the National Service Department.

Information concerning the measures in operation for the rehabilitation of ex-servicemen will be found in Section 45.

STATE PLACEMENT SERVICE.

Provision for Government Employment Bureaux was made as early as 1891. These bureaux were under the control of the Department of Labour, and had the object of finding employment for those who chose to register with them. The number of placements effected through the agency of the bureaux was usually from 2,000 to 6,000 per year. The great depression of the early “thirties” led to a rapid increase in the number of those who registered with the bureaux, and in November, 1930, their number reached 7,000. In that month an Unemployment Board was appointed, which made registration at a Government bureau a condition for receiving relief. This caused large numbers (over 11,000 in December, 1930) to register with the bureaux as a pro-requisite to receiving relief rather than with the hope of obtaining employment, and the bureaux, instead of being placement services as in the first instance, now largely came to function as unemployment registration bureaux. The Unemployment Board was abolished in 1936, and its activities were transferred to the Employment Division of the Department of Labour. The old bureaux were replaced in 1936 by a State Placement Service, which once more concentrated on the original function of the Government Employment Bureaux—that of providing employment. At first confined to males, the Service was extended to women and girls in April, 1939.

As from January, 1942, the State Placement Service has been absorbed by the Industrial Man-power Division of the National Service Department. A summary of the last five years' placements (males only) by the State Placement Service is given below.

Year.Permanent.Temporary.Casual.Total.
193717,65012,05117,09246,793
193812,8859,41617,35439,655
193911,3708,56912,87932,818
194010,8279,22411,26231,313
194112,3039,20710,29331,803

No information is available regarding female placements prior to the 1st October, 1939. For the six months ended 31st March, 1940, 1,284 placements were effected; for the year ended 31st March, 1941, there were 3,553 placements; and for the year ended 31st March, 1942, there were 3,474 placements.

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 entirety 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 Education Department has now assumed full control of the youth centres (now called Vocational Guidance Centres) and, in addition to the four main centres, has opened a branch at Invercargill with plans for further extension. Particulars of placements by vocational guidance centres during the last five years are as follows.

 Boys.Girls. 
Year ended 31st March,Permanent.Temporary.Total.Permanent.Temporary.Total.Total.
19402,1473352,4821,4911711,6624,144
19412,2334302,6631,961..1,9614,624
19422,0083312,3392,0772042,2814,620
19432,5465133,0593,2212683,4896,548
19443,425773,5024,768624,8308,332

INDUSTRIAL MOBILIZATION.

The following is a summary of the major activities covered by the Industrial Man-power Division of the National Service Department. Further information will be found in parliamentary paper H.-11A, 1943–44, which covers the period from the beginning of 1942 up to 31st March, 1944.

By the end of 1941 the transference of man-power from industry to the Armed Forces had reached a point where important industries were experiencing great difficulty in replacing these losses of personnel or, alternatively, in maintaining the scale of their activities with their remaining labour.

The entry of Japan into the war, and the subsequent mobilization of the home-defence Forces, greatly accentuated an already difficult position, and a programme of industrial man-power control and direction became essential. The necessary power for control measures was first taken in an amendment to the National Service Emergency Regulations dated 13th January, 1942, and in the Industrial Absenteeism Emergency Regulations dated 20th May, 1942. These provisions were re-enacted as the Industrial Man-power Emergency Regulations 1942.

The principal measures of control were directed towards the following four main purposes:—

  1. Securing priority in the labour market for war industries and essential services:

  2. Protecting continuity of production by minimizing the circulation of labour in such industries and services:

  3. Tapping all available reserves of man-power not in industry, in order to supplement the existing labour force:

  4. To facilitate adjustments or reorganization likely to result in either (i) increased production, or (ii) economies of man-power.

The first measure of control to be given effect to was declaration of a large number of industries and individual undertakings as “essential,” and the more important conditions imposed by these declarations were inability to terminate employment by either the employer or the worker without the consent of a District Man-power Officer, protection and control of wage-rates, penalties for absenteeism or failure to work with due diligence, and the obligation of employers to operate their plant to the full extent specified by Controllers. By the end of 1942 the number of workers covered by industries and undertakings declared to be essential was approximately 230,000.

A necessary preliminary towards the transfer of individuals into essential employment was the preparation of registers covering those sections of the population from which it was desired to make a selection. Two classes of Registration Orders were issued, one affecting all workers possessed of some particular type of skill or experience, and the other covering specified age-classes of the population. The Occupational Orders covered building and allied workers, engineering workers, timber-workers, and scientists and technicians; while the general Registration Orders brought in the following classes in a series of progressive stages: all males aged forty-six to fifty-nine-inclusive, male aliens aged eighteen to forty-five inclusive, and women aged eighteen to forty, except married women with children of less than sixteen years of age under their personal care. The reason for the exclusion of male British subjects from eighteen to forty-five years of age was that their liability for military service took precedence over their liability for transfer into essential employment.

The result of registrations other than scientists and technicians was as follows:—

* Includes a small proportion outside the ages mentioned who registered voluntarily.

Building, &c workers27,468
Metal-workers21,534
Timber-workers5,880
Other males aged forty-six to fifty-nine years*57,973
Aliens1,917
Unfit for military service69,000
Total males183,772
Females aged eighteen to forty years*145,974

By the beginning of 1943, the strategic position in the Pacific had improved considerably, and early in the year War Cabinet reviewed the position of Service personnel. After allowing for replacements of Army and Air Force personnel overseas, and for Air Force personnel within New Zealand, arrangements were made for the release of considerable numbers from the Services for direction to essential industry. The number so released during the year ended 31st March, 1944, was 18,400, and in addition some 5,500 were released after overseas service. The number of releases prior to 1st April, 1943, was 16,300.

The seasonal nature of industrial activity in the farming, food-processing, and related industries constitutes one of New Zealand's greatest labour problems, and various measures were taken to deal with the situation during the 1943–44 season. The scheme for short-term Territorial training was converted into a collective harvesting enterprise, and approximately 6,000 men were called into camp for this purpose. In addition, some 1,900 mobilized men were drawn from Army camps. Considerable numbers were also used for short-term service in freezing-works. University students, training-college students, and teachers were also mobilized during their vacation for work in freezing works, wool-stores, butter and cheese factories, and on farms, &c., the number placed during the period December, 1943, to March, 1944, being 4,420 (2,290 males and 2,130 females). Some 1,800 school-children were also placed in seasonal work by Vocational Guidance Officers during the holiday period.

The following table gives particulars of directions into essential work, the period covered being from early in 1942 to 31st March, 1944.

 Numbers.Percentage of Totals.
Males.Females.Totals.Males.Females.Totals.
Total up to 31st March, 194325,0135,76630,779......
Year ended 31st March, 194446,32513,35459,679......
Total directions given71,33819,12090,458......
Directions withdrawn6,5452,2308,7759.211.79.7
Directions complied with63,54516,40879,95389.185.888.4
Directions not complied with to date1,2484821,7301.72.51.9

REDUCTION OF MAN-POWER CONTROL.

Following the cessation of hostilities in Europe, the Government announced that it was reviewing the industries previously declared essential, with the intention of lifting the declaration where possible. It has also progressively lifted restrictions on the mobility of labour.

Essentiality of Industry.

Early in August, 1945, an alteration was made in the coverage of essentiality in the building industry and priority was given to housing, hospital and school buildings, and certain public works then under construction. A further statement was issued after the Japanese surrender that removal of all controls would be made as soon as possible, though it was not anticipated that full relaxation would take place before the end of 1945. As from 31st August, declaration of essentiality was lifted from all Government Services with the exception of the following Departments: Mental Hospitals, Prisons, portions of the Ministry of Works and the Public Works Department, Rehabilitation, Price Tribunal, the Second Division of the Post and Telegraph Department, the Second Division of the New Zealand Railways (except Road Services Branch), and the field staff of the State Forest Service.

Man-power Control.

As from 30th June, 1945, automatic consent on application was given to the following to terminate employment in essential industry: widows of deceased servicemen, wives of returned servicemen, and married women over forty years of age who desire to take up domestic duties. In addition, all young persons under eighteen were exempted from direction. On 11th August all returned servicemen were in general exempted from control; and, with the end of the war against Japan, additional exemptions were granted to cover ail married women, women thirty years of age and over, and men forty-five years of age and over.

NATIONAL EMPLOYMENT SERVICE.

On 17th August an indication was given that a National Employment Service would be set up for the voluntary placement or reorganizing of labour, its main functions being—

  1. To give effect to the Government's policy of full employment:

  2. To co-operate with employers and employees to anticipate and to plan to meet labour requirements or retrenchments, movements of labour, and to provide subsidies, &c.:

  3. To develop a special higher appointments service to co-operate with technical colleges, universities, and Government training schemes on the one hand, and employers requiring specialized staff on the other.

  4. To provide a general employment service which will include a special service to assist persons incapacitated for their normal work or requiring retraining.

SEASONAL FLUCTUATIONS IN EMPLOYMENT.

The importance of the unemployment question throughout the world in recent years has prompted in most countries statistical examination of the fluctuations or periodicity of employment. Until recent years the statistics available on this subject in New Zealand have been somewhat scanty, being restricted to employment on public works. Data are now available for some of the avenues of industrial employment as well as employment with local authorities.

Factory Industries.

Below are given details as to the months of maximum and minimum male employment in the eighteen leading factory industries or groups of factory industries, and the total for all factory industries, in 1942.

 Maximum for Year.Minimum for Year. 
Industry.Number.Months.Number.Months.Average of Twelve Months.
Working in wood8,845June8,396January8,632
Metals other than gold or silver9,077December8,634February8,817
Meat freezing and preserving11,607February5,217October8,451
Coach-building, motor engineering, &c.4,482January3,936August4,108
Heat, light, and power4,507January4,278December4,399
Apparel3,959February3,784December3,854
Printing, publishing, &c.3,247January2,740December2,963
Processes relating to stone, clay, &c.3,136May2,860March3,027
Butter, cheese, and condensed-milk manufacture3,989January1,684July2,844
House-furnishings2,100January1,868June1,935
Vegetable food2,456March2,070December2,228
Machines, tools, &c.2,013October1,883June1,937
Drink, narcotics, &c.1,970January1,732August1,851
Chemicals and by-products1,406May1,301February1,358
Textile fabrics1,675February1,634December1,657
Animal matters (fellmongering, &c.)1,612January1,307August1,448
Ships, boats, and equipment.1,477November994February1,233
Leatherware, &c.1,080December938March1,005
Totals, all factory industries71,389January62,607August66,482

Changes in seasonal employment are very marked in the meat freezing and preserving industry, in dairy factories, and in the industries concerned with animal matters, such as sausage-casing manufacture and fellmongery and woolscouring. The variations in employment in most of the other industries quoted are not now seasonal in origin, but are due to a general decline or expansion of these industries, largely attributable to the war. Thus the numbers employed in the motor engineering, printing, and house-furnishing industries have contracted, a large number of the men employed having been drawn into the Forces or transferred to more essential industries. Maximum employment is therefore found at the beginning of the year, and minimum employment towards the end. The metals, chemicals, apparel, and textile industries have expanded, either in response to war needs, or because former sources of supply of manufactured goods have been cut off as a result of the war; this year, however, the chemicals and apparels industries have receded from their peak levels. Employment in these industries was in general at a minimum towards the beginning of the period, and at a maximum towards the end.

Building and Construction Industry.

Figures of numbers for the five years ended 1940–41, and at monthly intervals for the last three years of that period, of persons engaged in this industry are given in the section of this Year-Book relating to Building and Construction.

Public Works.

Since 1935 figures have been available which show the number of workers in the direct employ of the Public Works Department, those employed by contractors for public works, and those employed by local authorities on (a) works which are financed wholly or partly by the Public Works Department, and (b) highway or road construction and maintenance. In the next table figures on this basis are given for the last five years.

Month.1940.1941.1942.1943.1944.
January21,19814,86911,09414,07411,534
February19,89614,55311,11414,41811,487
March19,60314,72112,19214,12411,643
April18,81114,77513,10713,52311,278
May18,17114,64813,84313,05011,240
June17,16814,12915,62713,20210,844
July17,18113,43216,04513,14710,391
August17,24612,97214,44012,7819,956
September16,66512,73213,92112,74410,045
October16,04612,34813,96412,62710,071
November15,66812,28213,92712,32910,077
December15,50311,46413,48511,92010,174

Figures are published in the Monthly Abstract of Statistics showing the average numbers engaged during each month on the various classes of public works throughout the Dominion. Average totals under the various headings are as follows, for each of the last five years:—

Year ended 31st March,Roads.Hydroelectric Works.Land Improvement, &c.Irrigation.Public buildings.Aerodromes.Railways.Other Works.Total.
19416,2011,8744841,0391,3561,7061,5572,16716,384
19423,8011,8543858381,4051,5789881,91612,765
19432,7001,2871302928131,7674526,79914,240
19442,6602,0791321865487614715,66212,499
19452,8222,7841432575202434733,11710,359

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 engaged by the various classes of local authorities during the year ended March, 1943, are presented in the next table. The figures shown are for those employed at 15th (or nearest representative day) of each month. The statistics do not cover Hospital Boards, Fire Boards, or Electric-power Boards. Employees of Electric-power Boards are included in the figures for manufacturing industries, published in the Annual Statistical Report on Factory Production, while employees of Hospital Boards are shown at the foot of this page. There were 464 wage-earning employees of Fire Boards as at 31st March, 1943.

 Maximum for Year.Minimum for Year. 
Class of Local District.Number.Month.Number.Month.Average of Twelve Months.
Boroughs8,898April7,729March8,256
Counties3,135July2,933January3,045
Harbour Boards2,557August2,207November2,348
Urban transport districts1,687December1,567May1,628
River districts138June84February113
Urban drainage districts162April140February153
Rabbit districts355January291September322
Town districts152March134November145
Land-drainage districts131May46December83
Road districts47April, June37March43
Gas-lighting districts40May, August September36Jan.-March38
Railway district16July, August13Oct., Nov., Jan.-March14
Water-supply districts1July-Sept., Nov.-Dec.......
All districts16,844April15,510January16,189

The total number of wage-earning employees of local districts normally rises during the winter months, but the withdrawal of men to the Forces during the war period has obscured the seasonal fluctuations. For the year ended March, 1943, total employment was greatest in April, 1942, and least in January, 1943.

The introduction of hospital benefits on 1st July, 1939, under the Social Security Act of 1938 and the demands for hospital accommodation for members of the Armed Services are reflected in the increase in the institutional staff of public hospitals. The institutional staff of public hospitals and charitable institutions under the control of Hospital Boards was as follows for the last five years ended 31st March:—

Nature of Staff1939.1940.1941.1942.1943.
Stipendiary medical328334523516538
Other professional and technical334359385423458
Nursing3,8504,2524,7685,3566,012
Indoor domestic2,6302,8153,0533,3023,610
Outdoor514540601625643
Miscellaneous229242299333385
Total7,8858,5429,62910,55511,646

Chapter 40. SECTION 40.—INDUSTRIAL DISPUTES

THE compilation of statistics regarding industrial disputes was first undertaken by the Census and Statistics Department at the beginning of the year 1920. Information concerning disputes prior to that year was obtained by examination of the records of the Labour Department.

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 6trikc 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.

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, while the duration is taken as the maximum duration in any centre.

Regulations issued on 4th October, 1939, under the Emergency Regulations Act, 1939, prohibit strikes and lockouts and provide the necessary machinery for the settlement of any dispute that may arise.

Reference to enactments framed to mitigate the severity of industrial disputes in normal times will be found in Section 37 of this Year-Book (Labour Laws and Allied Legislation).

NUMBER AND MAGNITUDE.

Although for years prior to 1920 (in which year the present system of reporting was instituted) the records of the Labour Department contain certain information regarding industrial disputes the details are not sufficiently complete to permit of a comparison with later years.

Year.Strikes.Lockouts.Total Disputes.Firms affected.Workers involved.Working-days lost.Estimated Loss in Wages.

* Not available.

       £
192077..77*15,138**
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
1940561575910,47528,09728,062
194189..898715,26126,23734,552
194265..657814,34551,18963,179
194369..6911410,91514,68720,179

The figures for-strikes include cases where, following a recognized slop-work meeting, the employees did not resume work for some hours or until next day. This class of strike has assumed some numerical importance recently, the number of such cases in the five years 1939–43 being 20, involving 3,872 workers and the loss of 3,872 working-days and of £5, 279 in wages.

In calculating the number of working-days lost, it is assumed that work would have been continuous if no dispute had taken place, and no allowance is made for loss of work from unemployment or other causes which might have occurred even if there had been no dispute. 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 lose.

From the passing of the Industrial Conciliation and Arbitration Act in 1894 till the end of 1905 there were no industrial disputes between employers and workers coming within the scope of the Act, indeed, New Zealand may be said to have been almost entirely free from industrial disputes during that period. The greatest number of disputes in any one year since 1894 was recorded in 1941, when there were eighty-nine disputes—mostly, however, of trivial importance. A reduction took place in 1942, both in the number of disputes and in the number of workers involved. but the amount of time lost and the estimated loss in wages showed substantial increases as compared with the two preceding years. In 1943, although the number of disputes was slightly higher than in 1942, the number of workers involved was considerably less, while the amount of time lost and estimated loss of wages were the lowest recorded since 1936. Although the year 1939 saw the greatest number of workers involved (15,682), it was only slightly in advance of 1941, the next highest year, with 15,261 workers. In the former year the industries most affected were mining and shipping, and in the latter mining and meat-freezing. From the point of view of lost time the maximum was reached in 1923, when there were serious disputes in the coal-mining and shipping industries. Next in order came 1921 (marked by strikes of waterside workers) and 1932 (chiefly strikes of waterside workers and coal-miners).

NATURE AND DURATION.

The next table shows the nature of the disputes and the number of workers involved during the years 1933–43.

 Nature of Dispute.Number of Workers involved.
Year.Direct Strike.Sympathetic Strike.Partial Strike.*Lockout.Total.Direct Strike.Sympathetic Strike.Partial Strike*Lockout.Total.

* I.e., where no actual cessation of work, but a “go slow” or other policy of protest adopted.

1933132....152,728830....3,558
19342211..243,62011538..3,773
193512......122,323......2,323
193633..10..435,910..1,444..7,354
193751..l..5210,411..1,000..11,411
19387011..7211,10755226..11,388
1939651....6614,811871....15,682
194052131578,6306141,1973410,475
194188..1..8915,247..14..15,261
19426311..6513,934211200..14,345
194366..3..6910,689..226..10,915

The table following illustrates the duration of disputes during 1943.

Duration.Number of Disputes.Number of Workers involved.Number of Working-days lost.Estimated Loss in Wages.
    £
1 day and less498,0556,8099,358
Over 1 day but not over 261,1051,8112,695
Over 2 days but not over 355191,2951,789
Over 3 days but less than 1 week66601,9582,955
1 week but loss than 2 weeks35762,8143,382
Totals6910,91514,68720,179

GEOGRAPHICAL DISTRIBUTION.

The following table shows the number of disputes in each industrial district for the last five years and also the number of workers involved; from this it will be seen that in 1943 the Westland District had the greatest number both of strikes and of workers involved.

Year.Northern.Taranaki.Wellington.Marlborough.Nelson.Westland.Canterbury.Otago and Southland.Totals.
Number of Disputes
19392328..1209366
194015..11..1175857
194133..5....408389
194226..8..1147965
194320110112241069
Number of Workers involved
19399,430981,355..103,66789023215,682
19404,382..2,087..262,55653788710,475
19415,890..1,341....6,5501,15033015,261
19426,595..2,641..142,6788921,52514,345
19433,71679457114,7833201,12610,915

INDUSTRIAL DISTRIBUTION.

In the following table industrial disputes are classified according to the industrial groups in which disputes took place, this grouping being the same as that used in the compilation of wage and trade-union statistics. The one strike recorded in 1939 under the heading “Miscellaneous” was of shearers.

Industrial Group.1939.1940.1941.1942.1943.
Number of Disputes
Provision of —     
Food, drink, &c.141323248
Clothing, footwear, and textiles....31..
Building and construction3..132
Power, heat, and light..1....1
Transport by water917855
Transport by land2231..
Accommodation, meals, and personal service....111
Working in or on—     
Wood, &c.22..26
Metal1....24
Stone, clay, glass, chemicals, &c.322..5
Paper, printing, &c.........3
Skins, leather, &c.....111
Mines and quarries—     
Coal-mines2913432433
Gold-mines2741..
Miscellaneous1........
Totals6657896569
Number of Workers involved
Provision of—     
Food, drink, &c.3,7291,8224,7175,916589
Clothing, footwear, and textiles....709..
Building and construction250..88823
Power, heat, and light..26....263
Transport by water1,1533,1452261,862279
Transport by land2,0248011,2936..
Accommodation, meals, and personal service....2020011
Working in or on—     
Wood, &c.165220..114313
Metal9....163798
Stone, clay, glass, chemicals, &c46431160..246
Paper, printing, &c.........370
Skins, leather, &c.....664200
Mines and quarries—     
Coal-mines7,6273,4268,4625,8367,823
Gold-mines26372439987..
Miscellaneous8........
Totals15,68210,47515,26114,34510,915

Out of a total of 346 disputes during the five years, 156, involving 34,647 workers, occurred in connection with mining and quarrying; while in the group covering transport by water there were 44 disputes involving 6,665 workers. Strikes in the meat-freezing industry were also numerous. A more detailed analysis of disputes occurring during 1943 is given below.

   Number of Workers Involved.  
Industrial Group.Number of Disputes.Number of firms affected.Directly.Indirectly.Total.Number of Working-days lost.Estimated Loss In Wages.
Provision of—      £
Food, drink, &c.88467122589524517
Building and construction2223..23129
Power, heat, and light11263..263722763
Transport by water56279..279477748
Accommodation, meals, and personal service1111..112..
Working in or on—       
Wood, &c.66313..3131,0641,095
Metal411798..7982,8253,506
Stone, clay, glass, chemicals, &c.5724512462513
Paper, printing, &c.327370..3708512
Skins, leather, &c.16200..20050..
Mines and quarries—       
Coal-mines33397,4453787,8238,90113,516
Totals6911410,41450110,91514,68720,179

CAUSES.

In the next table the causes of disputes which occurred during the last five years are shown. Under the heading “Wages” are included disputes concerning wages, overtime, or rates for piecework.

Disputes concerning the employment or non-employment of certain classes of persons are included under the heading “Employment.” This question usually arises in connection with trade-union affairs, such as, for instance, the dismissal of a worker on allegedly insufficient grounds, or, until recently, the employment of non-unionists. Since 1936, however, all adult workers who are subject to any award or industrial agreement have been required to be members of a union, and unless 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.

Cause.1939.1940.1941.1942.1943.
Number of Disputes
Wages2619221619
Hours42..12
Employment211219139
Other working-conditions1419302626
Sympathy11..1..
Other causes..418813
Number of Workers involved
Wages5,5883,9723,4013,1332,722
Hours2,07763..45328
Employment4,0621,8812,6354,0471,769
Other working-conditions3,0842,5636,2313,5413,784
Sympathy871614..211..
Other causes..1,3822,9943,3682,312

The following table gives further details for the year 1943.

Cause.Number of Disputes.Number of Firms affected.Number of Workers involved.Number of Working-days lost.Estimated Loss in Wages.
     £
Wages19292,7226,4818,859
Hours22328426594
Employment9101,7692,4193,320
Other working-conditions26283,7843,4894,985
Other causes13452,3121,8722,421
Totals6911410,91514,68720,179

METHODS OF SETTLEMENT.

Following is a table showing the methods of settlement of disputes during the last five years. “Negotiations under Act” covers negotiations under both the Industrial Conciliation and Arbitration Act and the Labour Disputes Investigation Act. “Otherwise” also includes cases where a third party has assisted in the settlement, but has not been appointed formally under the Acts.

Method of Settlement.1939.1940.1941.1942.1943.
Number of Disputes
Negotiations under Act61219612
Private negotiations between parties4531554138
Substitution..1322
Otherwise151312117
Number of Workers involved
Negotiations under Act1,1893,3623,3382,2701,428
Private negotiations between parties10,2414,3628,9346,7706,478
Substitution..126336016
Otherwise4,2522,6252,9565,2452,993

Further information for the year 1943 is given in the next table.

Method of Settlement.Number of Disputes.Number of Workers involved.Number of Working-days lost.Estimated Loss In Wages.
    £
Negotiations under Act121,4281,9943,226
Private Negotiations between parties386,4786,1838,949
Substitution2163734
Otherwise172,9936,4737,970
Totals6910,91514,68720,179

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.

Result.1939.1940.1941.1942.1943.
Number of Disputes
In favour of workers2022182313
In favour of employers2215161813
Compromise861936
Indeterminate1614362137
Number of Workers involved
In favour of workers4,0863,3822,0354,3142,058
In favour of employers5,3562,9582,2935,0041,377
Compromise1,6301,1244,0831731,481
Indeterminate4,6103,0116,8504,8545,999
Number of Working-days lost
In favour of workers9,6875,8801,4322,6642,441
In favour of employers7,46712,1927,53144,5141,440
Compromise26,1815,0037,8842003,796
Indeterminate10,4665,0229,3903,8117,010

Of disputes ending definitely in favour of one party or the other during the five years, workers succeeded in ninety-six instances and employers in eighty-four. In the previous five years (1934–38) workers were successful in sixty-two instances and employers in fifty-nine.

In the following table the causes and results of disputes occurring during 1943 are shown in conjunction.

 Cause.
Result.Wages.Hours.Employment.Other Working-conditions.Sympathy.Other.Totals.
Number of Disputes
In favour of workers4124..213
In favour of employers3..36..113
Compromise2..21..16
Indeterminate101215..937
Number of Workers involved
In favour of workers53966370585..4982,058
In favour of employers24..797356..2001,377
Compromise688..42692..2751,481
Indeterminate1,4712621762,751..1,3395,999
Number of Working-days lost
In favour of workers59533601488..7242,441
In favour of employers26..1,068296..501,440
Compromise3,272..38669..693,796
Indeterminate2,5883933642,636..1,0297,010

Chapter 41. SECTION 41.—INDUSTRIAL ACCIDENTS

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 virtually all of the principal countries. From the administrative standpoint, the principal types of industrial accidents occurring in New Zealand may be classified as follows:—

Factory Accidents.—Section 41 of the Factories Act requires that all accidents likely to incapacitate the injured person for at least forty-eight hours be reported to an Inspector of Factories. Reports are prepared by Inspectors of Factories in connection with each such accident causing loss of work amounting to three days or more—i.e., compensable accidents. These reports are ultimately forwarded to the Census and Statistics Department for statistical analysis.

Scaffolding Accidents.—The procedure adopted in connection with the compilation of statistics of scaffolding accidents is identical with that in connection with factory accidents.

Accidents to Employees of the Railways, Public Works, Printing and Stationery, and Post and Telegraph Departments.—Individual reports of all accidents involving loss of work for three days or more are supplied by the respective Departments to the Census and Statistics Department for detailed analysis and tabulation.

Accidents to Employees in Mines and Quarries.—Certain particulars of accidents to employees in metalliferous mines, in coal-mines, and in quarries and other places under the Quarries Act, are given in successive numbers of the Mines Statement, Parliamentary Paper C.-2. Commencing with the year 1938, individual reports’ of all accidents involving loss of work for three days or more are now being furnished, although information as to duration of disability and as to compensation paid is not available.

Other Industrial Accidents.—There are numerous types of industrial accidents for which it has not as yet been found practicable to collect and compile statistics. The principal classes of such accidents are those occurring to persons engaged in land transport (other than railway operation), in waterside work, in bushfelling, and in marine navigation. Accidents of the last-mentioned type are reported to the Marine Department under the Shipping and Seamen Act.

FREQUENCY RATES.

For the purpose of computing frequency rates in respect of industrial accidents in New Zealand, data as to the number of employees in establishments coming under various industrial headings have been compiled by the Census and Statistics Department from returns furnished annually for the purpose by the Labour Department's Inspectors of Factories; while information as to the hours worked has been ascertained from awards, and supplemented by the statistics of short time and overtime compiled from data collected with the annual census of factory production. Similar data have been obtained from the records of the Post and Telegraph, Public Works, and Railways Departments. One hour's work performed by one man is taken as a unit. Data as to man-hours are not available in the case of mining or scaffolding operations, nor are compensation data in respect of mining accidents. The compensation figures shown throughout the section include medical expenses and, in the case of fatal accidents, funeral expenses also.

Year.Total Accidents.Accidents per 100,000 Man-hours worked.*Accidents where Particulars of Compensation available.Total Compensation or Damages paid in such Cases.Compensation per Case where known.
* Excluding scaffolding accidents and mining accidents. † Excluding mining accidents.
    ££
193812,5533.1089,807196,22520.0
193914,3143.17310,633195,33818.4
194013,5482.9339,794194,85319.9
194114,4753.21110,334220,44421.3
194216,0313.64611,680245,61921.0

Compared with the previous year the 1942 total shows an increase of 1,556, the greatest numerical movement (an increase of 939) being in the factory accidents, and the greatest percentage movement (an increase of 25 per cent.) having occurred in the Public Works group.

The distribution of industrial accidents in 1942 according to the source of information (accidents to Printing and Stationery Department employees being included in the Factory group) is indicated in the following table.

Class.Total Accidents.Accidents per 100,000 Man-hours worked.Accidents where Particulars of Compensation available.Total Compensation or Damages paid in such Cases.Compensation per Case where known.

* No information available.

† Excluding scaffolding and mining accidents.

‡ Excluding mining accidents.

    ££
Factory7,4943.2547,493144,94719.3
Public Works1,2425.6121,24034,09227.5
Scaffolding143*14212,66089.2
Railways2,5105.8482,51048,26319.2
Post and Telegraph2951.3932955,65719.2
Mining4,347****
All classes16,0313,64611,680245,61921.0

It is usual for scaffolding accidents to involve the highest compensation per accident, owing to the proportionately greater number which terminate fatally. There were five fatalities in this small group during 1942, while the group having the next highest average compensation per accident (Public Works Department) included seven fatalities.

In the table following, industrial accidents during the year 1942 are classified into certain important industrial groups. Details for individual industries, under this and other headings, are published in the annual Statistical Report on Prices, &c., issued by the Census and Statistics Department.

Industrial Group.Total Accidents.Accidents per 100,000 Man-hours worked.Accidents where Particulars of Compensation available.Total Compensation or Damages paid in such Cases.Compensation per Case where known.
* Data on which to compute not available. † Excluding scaffolding and mining accidents. ‡ Excluding mining accidents.
Provision of—   ££
Food, drink, &c.5,2209.1425,22080,09215.3
Clothing, footwear, and textiles2280.3982284,86721.3
Building and construction—     
Public Works1,1665.6331,16431,06126.7
Scaffolding143*14212,66089.2
Power, heat, and light1202.1391206,96658.0
Communications and land transport—     
Post and Telegraph2951.3932955,65719.2
Railways2,5105.8482,51048,20319.2
Personal services20.048294.3
Working in or on—     
Wood, seagrass, &c.5842.28458422,09237.8
Metal7821.71378118,30623.4
Stone, clay, glass, &c.5082.96450812,01523.7
Paper, printing, &c.940.856941,35714.4
Skins, leather. &c.230.428232,18495.0
Mines and quarries4,347****
Miscellaneous90.32499210.2
All groups16,0313.64611,680245,61921.0

The majority of the industrial groups listed above showed a higher frequency rate—i.e., accidents per 100,000 man-hours worked—than in 1941, the exceptions being the clothing, personal services, leather, and miscellaneous groups. The comparatively high rate recorded for the food, drink, &c., group was largely contributed to by accidents occurring in the meat-freezing industry, which had the highest frequency rate for any individual sub-group. The lowest recorded rates for sub-groups appeared in laundering, while there were no accidents in the flax-milling and in the “other” personal services sub-groups.

The following table shows, for the last five years available, the average compensation paid, in conjunction with the extent of disability.

 Temporary Disability.Permanent Disability.Fatality.Total.
Year.Number of Cases.*Average Amount of Compensation.Number of Cases.*Average Amount of Compensation.Number of Cases.*Average Amount of Compensation.Number of Cases.*Average Amount of Compensation.
* Where amount of compensation known.
  ££££   
19389,53011.1236228.941880.69,80720.0
193910,36410.9239256.830705.410,63318.4
19409,55711.4207294.330822.09,79419.9
194110,02912.4284273.721892.010,33421.3
194211,41613.0235288.6291005.611,68021.0

Normally the average amount of compensation paid in respect of fatalities is considerably below the maximum amount (£1,000 plus funeral and medical expenses) which may be paid under the Workers’ Compensation Act in respect of such accidents. This is duo mainly to the fact that in cases whore the deceased worker had no dependants only medical and funeral expenses are paid; and that in cases of partial dependency the amount paid as compensation varies in proportion to the extent of such dependency. Should the worker's dependants take proceedings at common law (where negligence must be proved) the amount of compensation depends on the verdict of the jury, and it is not limited to the statutory maximum under the Act. There were several cases of this kind following fatalities in 1942, and this accounts for the marked increase in the average amount of compensation (inclusive of damages) paid.

CAUSE OF ACCIDENT AND EXTENT OF INJURY SUSTAINED.

With regard to the extent and degree of the disability sustained, it is usual to distinguish fatal accidents, accidents causing temporary disability, accidents causing permanent partial disability, and accidents causing permanent total disability. Very few cases of permanent total disability occur in New Zealand, practically the whole of the cases shown under “permanent disability” resulting in partial disability only.

In the actual compilation of the statistics difficulty occasionally arises as to whether a particular injury should be regarded as temporary or permanent; and in cases of doubt the conservative practice has been adopted of classifying the injury in the temporary-disability class. The following table relates to the five-year period 1938–42.

Cause.Temporary Disability.Permanent Disability.*Fatality.Total.Percentage of Total Accidents.
* Including permanent total disability cases as follows: 1938, Nil; 1939, Nil; 1940, 3; 1941, Nil; 1942, 1; total, 4.
Machinery—     
Prime movers801 810.1
Transmission1491961740.3
Lifting-machinery1,68165121,7582.5
Power-working machines4,30160494,9146.9
Vehicles7,490108537,65110.8
Explosions, fires, and hot substances1,60529171,6512.3
Poisonous and corrosive substances9252129391.3
Electricity157391690.3
Falls of persons—     
From elevations3,11665253,2064.5
Into excavations504325090.7
Slipping and stumbling on the level5,3852935,4177.7
Stepping on or striking against fixed objects—     
Stepping on585115870.8
Striking against4,0321234,0475.7
Falling objects, not being handled by the person injured2,4564772,5103.6
Falls of earth2,777105382,9204.1
Handling of objects—     
Heavy12,900121413,02518.4
Sharp4,8715214,9247.0
Hand-trucks, &c.1,457611,4642.1
Continual handling5061 5070.7
Hand-tools—     
In hands of person injured—     
Glancing of tool7,212132 7,34410.4
Breaking of tool751 76 
Flying particles2,26921 2,2903.2
Other1,6451231,6602.3
In hands of other than person injured53817 5550.8
Animals2972 2990.4
Miscellaneous—     
Strains, sprains, and septic wounds undefined as to cause (sustained while slaughtering)592415970.8
Doors, windows, covers, gates (excluding elevators)5601015710.8
Other1,0601241,0761.5
Cause.Temporary Disability.Permanent Disability.*Fatality.Total.Percentage of Total Accidents.
* Including permanent total disability cases as follows: 1938, Nil; 1939, Nil; 1940, 3; 1941, Nil; 1942, 1; total, 4.
 Summary.    
Factories27,9068343728,77740.6
Public Works7,893172398,10411.4
Scaffolding1,14253221,2171.7
Railways12,4531565312,66217.8
Post and Telegraph1,5251111,5372.3
Mines18,3062586018,62426.2
Totals69,2251,48421270,921100.0

Any consideration of avenues of accident prevention requires information concerning the relative importance of the various causes of accident, which is also set out in the foregoing table. A more extensive tabulation, relating the industrial group to the cause of the accident, will be found in the latest Statistical Report on Prices, &c.

LENGTH OF EXPERIENCE AT PROCESS:

Factory Accidents only.—In recent years an attempt has been made to obtain information regarding the length of experience of each employee at the work on which he was engaged at the time of the accident. The information thus obtained in respect of factory accidents is given below for the years 1938–42. The necessary information was not available in all cases, the number covered representing approximately 98 per cent.

 1938.1939.1940.1941.1942.
Length of Experience at Process.No. of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.No of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.
Under 6 months96724.01,35128.31,48328.22,14134.72,27431.1
6 months and under 1 year3318.23807.94518.665010.51,00813.8
1 year and under 2 years48412.04319.05109.75959.690012.3
2 years and under 3 years41510.349010.353210.14998.181311.1
3 years and under 4 years2736.83677.74027.73766.13795.2
4 years and under 5 years2025.02595.43065.82764.52433.3
5 years and under 10 years63215.771014.982815.780813.07139.7
10 years and under 20 years44811.150110.54759.05078.25737.9
20 years and over2786.92896.02765.23265.34125.6
Totals4,030100.04,778100.05,263100.06,178100.07,315100.0

This table should be studied in conjunction with the following, showing percentage distribution according to age-group. Both tables show the effect in 1941 and 1942 of the withdrawal of manpower from industry; the increase in the percentage of those with less than a year's experience is particularly marked.

 1938.1939.1940.1941.1942.
Age, in Years.No. of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.No. of Cases.Per Cent. of Total.
Under 161443.41432.91623.01923.01932.6
16 to 2088220.71,01120.61,01818.81,09517.01,01213.6
21 to 2475817.882716.884215.585613.283411.2
25 to 341,28130.11,57032.01,75332.42,00831.12,18229.4
35 to 4462314.673414.992317.01,21418.81,57721.3
45 to 543438.03978.15019.371111.098913.3
55 and over2295.42304.72164.03795.96408.6
Totals4,260100.04,912100.05,415100.06,455100.07,427100.0

Cases where the age was not stated have been excluded from the above table.

NATURE OF INJURY.

A classification of accidents according to the nature of the injuries sustained gives the following results for the last five years.

Nature of Injury.1938.1939.1940.1941.1942.Totals, 1938–42.
* Traumatic only. In addition there were: In 1938, 81 surgical amputations; In 1939, 84; in 1940, 54; in 1941, 80; and in 1942, 55.
Contusions and abrasions3,4694,1244,0194,0714,68620,369
Burns and scalds4144864585735682,499
Concussions5688737779373
Cuts and lacerations3,3633,6833,4633,7523,98418,245
Punctures6757856736666703,469
Amputations*80103112176167638
Dislocations5258624052264
Fractures5125584544415072,472
Sprains and strains3,6084,0693,7293,7794,54019,725
Other and ill-defined3243605059007782,867
Totals12,55314,31413,54814,47516,03170,921
Cases where septic poisoning followed—      
Number1,6022,1301,8912,0562,2089,837
Percentage of all accidents12.814.914.014.213.813.9

A feature of special interest brought out by this table is the relatively high percentage of accidents in which septic poisoning followed.

PART OF BODY AFFECTED.

Informative figures showing the number of cases in which the different parts of the body were affected by industrial accidents which occurred during the years 1938–42 are given in the following table.

Part of Body affected.1938.1939.1940.1941.1942.Totals, 1938–42.
Head2442552502432671,259
Eyes5927956897586853,519
Rest of face163228161198193943
Neck5058635265288
Back1,2691,3711,3341,3391,7207,033
Thorax and contents5855905426386993,054
Abdomen and contents2532202002462601,179
External genitals3526313828158
Upper limbs—      
Collarbone and shoulder3784313884315622,190
Arm6998257738219374,055
Hand and wrist1,5121,7681,7131,8842,1589,035
Finger and thumb3,2513,8233,7583,9664,25719,055
Lower limbs—      
Pelvis, hip, and thigh3293583143754141,790
Leg1,2051,3781,2681,2811,5146,646
Ankle and foot1,6161,8381,6371,7561,8618,708
Undefined or multiple3723504274494112,009
Totals12,55314,31413,54814,47516,03170,921

Accidents to the fingers and hands form a large proportion of the total, no less than 28,090 (39.6 per cent.) out of an aggregate of 70,921 in the five years covered by the above table coming within that category. Next in order came cases in which an injury to the ankle or foot was sustained with 12.3 per cent., the back with 9.9 per cent., the leg with 9.4 per cent., and eyes with 5.0 per cent.

A tabulation made for 1942, correlating nature of injury with part of body affected, showed that the most common type of accident was to the fingers and thumbs, resulting in cuts or lacerations: 2,497 of the 16,031 accidents tabulated came under this category. Of the 222 cases of amputations (of which 167 were traumatic and 55 were surgical), 206 resulted in loss of some part of the fingers or thumbs. Contusions of the feet numbered 647, and cuts and lacerations of the hands 662. Of the 4,540 sprains, 1,484 resulted in injury to the back, while sprained thighs, legs, and feet accounted for 1,271.

DURATION OF INCAPACITY.

A further measure of the extent of disability is furnished in the cases of temporary disability by data as to the duration of absence from work as the result of the accident. A summary of this aspect, together with the number of cases of permanent partial disability and fatality, is given below. Information as to time lost is not available for mining accidents, and these are excluded.

 1938.1939.1940.1941.1942.Totals, 1938 to 1942.
Duration.Number.Number.Per Cent.Number.Per Cent.Number.Per Cent.Number.Per Cent.Number.Per Cent.
1 week or under2,0232,35722.12,06021.02,12120.52,26019.310,82120.7
1 week to 2 weeks3,2083,46832.63,20132.63,39632.83,80732.617,08032.7
2 weeks to 4 weeks2,6092,74225.72,65327.12,75626.73,25727.914,01726.8
4 weeks to 6 weeks7988057.67547.77867.69478.14,0907.8
6 weeks to 13 weeks6607326.96586.77036.88177.03,5706.8
13 weeks to 6 months1661941.81681.71951.92422.19651.8
Over 6 months64660.6670.7730.7860.73560.7
Total specified cases of temporary disability9,52810,36497.39,56197.510,03097.011,41697.750,89997.3
Cases where employee did not return or duration not stated170.130.050.040.0200.0
Permanent disability2402492.32122.22902.82352.01,2262.4
Fatality42300.3300.3210.2290.31520.3
Totals9,81110,650100.09,806100.010,346100.011,684100.052,297100.0

In many cases the injured employee did not cease work immediately, a considerable period intervening in some instances. The following table shows, for 6uch cases occurring during the year 1942, the length of time elapsing before the employee left work, and the final cause of cessation of work.

Factories.Public Works.Scaffolding.Railways.Post and Telegraph.
Period elapsing     
1 week or less1,2456913728110
Over 1 week and up to 2 weeks1662016810
Over 2 weeks7718 425
Final Cause     
Incipient septic poisoning71446111914
Strains33135231748
Other causes443261140263
Totals1,48810714838125
Percentage of all accidents19.98.69.833.442.4

The preceding table indicates that many employees suffering from minor injuries pay little attention to such injury, especially in the case of slight cuts, strains, or abrasions. This neglect often causes more severe pain (or with cuts and abrasions, septic poisoning), and the absence then enforced is usually longer than if the injury had received immediate attention. Lost time usually entails a reduction in wages, especially if the injury results in under three days’ absence, in which case no compensation is payable. Further, in the case of apprentices, lost time has to be made up at the termination of the period of apprenticeship, and these two considerations are likely to militate against the worker ceasing work immediately on account of a minor injury.

ACCIDENT SEVERITIES.

In view of the fact that the age of the individual is not particularly relevant to the character of the hazard from which the injury has occurred, for the purpose of calculating accident-severity rates a constant loss of 60,000 working-hours is counted for each fatality irrespective of the age of the person at the time of death. In respect of permanent partial disablement an international scheme for the apportionment of loss of earning-power caused by this type of accident has been drawn up by the International Labour Office. Under this scheme, which has been adopted with some slight modifications in the treatment of New Zealand statistics, time lost on account of permanent partial disability is assessed on the basis of a proportionate part of the time lost in connection with injuries resulting in death or permanent total disablement. For example, dismemberment or the loss of the use of a hand is regarded as a 50-per-cent. disability—that is, the time lost on account of impaired working capacity in this case is assessed as 50 per cent. of 60,000 working-hours—i.e., 30,000 working-hours.

The severity rate for all accidents during the period 1938–42 has varied between 1,305 (in 1939) and 1,653 (in 1938). The extent of the toll on industry exacted by industrial accidents is realized when it is considered that during the five years 1938–42 one hour was lost as a result of such accidents out of every sixty-eight hours worked in the industries covered by the following table. Reports on mining and scaffolding accidents do not provide the necessary data for inclusion in that portion of the table.

1938.1939.1940.1941.1942.
* Excluding mining accidents. † Excluding scaffolding and mining accidents.
Total cases in—     
Temporary disability12,21113,96213,23914,10215,711
Permanent disability287302269344282
Fatality5550402938
Total12,55314,31413,54814,47516,031
Calendar days lost per accident*9884878376
Hours lost per 100,000 man-hours worked (i.e, severity-rate)1,6531,3951,4071,4641,480

Comparison of the severity rates as between different industrial groups is affected by the varying proportions of serious accidents and fatalities in different industries in different years. In the main groups covered by the cumulative table for the five years 1938–42 shown below, the effect of this factor is minimized by the relatively large number of accidents classified.

 Number of Accidents resulting in  
Industrial Group.Temporary Disability.Permanent Disability.Fatality.Total.Calendar Days lost per Accident.Hours lost per 100,000 Man-hours worked (Severity Rate).

* Data on which to compute not available.

† Excluding mining accidents.

‡ Excluding scaffolding and mining accidents.

Provision of—      
Food, drink, &c.18,704266918,979411,679
Clothing, footwear, and textiles872652939124243
Building and construction—      
Public Works7,594168347,7961143,827
Scaffolding1,14253221,217291*
Power, heat, and light5241865482002,247
Communication and land transport—      
Post and Telegraph1,5251111,53735295
Railways12,4531565312,662862,846
Personal services184 22189114
Working in or on—      
Wood, seagrass, &c.1,986205102,2011811,699
Metal3,39515163,55292 832 
Stone, clay, glass, &c.2,0917592,1751111,594
Paper, printing, &c.45935 494126569
Skins, leather, &c.10614 120239692
Mines and quarries18,3062586018,624**
Miscellaneous505 55242522
All industries69,2251,48421270,921851,478

ACCIDENT PRONENESS.

In two consecutive years’ investigation was made as to the total number of individuals suffering accidents in mines as distinct from the total number of mining accidents. It was found that approximately 25 per cent. of those injured were involved in two or more accidents.

LOSS OF EARNING-POWER INVOLVED.

Provision is made in certain cases for the actual impairment of wage-earning capacity to be stated. Of the 282 cases of permanent partial incapacity in 1942, the question as to what wages the employee would earn on resumption was answered in 158 cases. In 145 cases it was reported that though dismemberment or disablement had occurred, no diminution of earning-power had taken place. In 13 cases, however, definite and serious impairment eventuated.

HOUR OF OCCURRENCE.

The following tabulation of industrial accidents, according to the hour of occurrence, shows the effects of fatigue during the working day.

 Year.Causes, 1938–12.
Time of Occurrence, to Nearest Hour.1938.1939.1940.1941.1942.Machinery.Falls of Persons.Handling Objects.Hand Tools.Other.
8 a.m.419452441441552227416590356716
9 a.m.1,1181,2161,1071,2261,3316307361,8371,1691,626
10 a.m.1,6441,9861,8542,0052,0839231,1272,7921,7672,963
11 a.m.1,7021,9741,9432,0412,1749371,1242,8701,8603,043
12 noon9001,0371,0211,0781,1355456791,3959321,620
1 p.m.443549514603642295389652422993
2 p.m.1,2771,6341,4341,6111,6817388442,0541,4672,534
3 p.m.1,5351,7851,6401,6811,9749251,1382,4191,4852,648
4 p.m.1,2411,4641,2991,3221,4007299972,0021,1041,894
5 p.m.449518470543748243417789412867
Other hours9621,3371,4381,5591,8036001,1001,6236923,084
Not stated817297292300301129164599245870
Not applicable466595652076129814159
Totals12,55314,31413,54814,47516,0316,9279,13219,92011,92523,017

This table indicates that accidents are definitely most numerous during the middle and later part of the morning; there is another peak in mid-afternoon, but this does not reach the same high point.

A more definite indication is given by considering the length of time the employee had worked on the day when the accident occurred. The following table is exclusive of accidents to Post and Telegraph employees, the information not being available for this group.

Number of Hours already worked.1938.1939.1940.1941.1942.Totals, 1938–42.
* Excluding accidents to Post and Telegraph employees.
Under 16497457087317993,632
1 and under 21,4141,6041,4811,6231,6857,807
2 and under 31,7152,0771,9371,9972,1079,833
3 and under 41,8092,1511,9982,1252,17710,260
4 and under 59631,0961,1041,0541,1875,404
5 and under 61,0551,3581,2851,3181,4186,434
6 and under 71,5942,0321,7791,8542,0409,299
7 and under 81,3971,6541,5951,4571,6457,748
8 or over5007827217501,2664,019
Not stated9994015778571,2134,047
Not applicable110639861199531
Totals*12,20513,96313,28313,82715,73669,014

The foregoing tabulation shows that the greatest number of accidents occurred during the third and fourth hours worked in the day.

Chapter 42. SECTION 42.—CONSUMPTION OF COMMODITIES

STATISTICS of consumption cannot, even in normal times, be compiled with absolute accuracy, owing to the impossibility of obtaining exact comparability in component statistics of production, exports, and imports. 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. There are several serious lacuna) in the available statistical data, the most serious deficiency being occasioned by the lack of statistics illustrating the distribution among individuals of the annual flow of commodities entering into consumption.

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 available for New Zealand consumption can normally 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 Dominion. Exports are valued on an f.o.b. basis, but an adjustment has been made in the export values used in this section to arrive at a basis of valuation similar to that used in the assessment of the value of production. Generally speaking, there is no serious lack of comparability between the bases of valuation of the three factors involved for the period under review. The import and export statistics used in the computations which follow relate to years ended 30th June, while the production statistics are for the production year, which, in most cases, approximates closely to a June year. No adjustment is made to the estimates for held-over stocks of commodities exported or consumed in years subsequent to the year in which they are produced, so that the figures illustrate the value of goods available for use, but not necessarily the amount actually used during each year, although the influence of held-over stocks in an index of aggregate Dominion consumption is normally insufficient to cause any material margin of error in the estimates shown. Dislocations due to the war have-now so materially affected the comparability of the component statistical series that it has been considered unwise at the present time to continue the estimates under this heading beyond the year 1939–40.

Some interesting facts are illustrated by the following table. Between 1928–29 and 1931–32 all values fell sharply, the greatest relative fall being shown in the value of imports, while values of production and of exports fell less than the value of goods available for use. A recovery in production and in exports is revealed by the 1933–34 figures, while the value of imports and of goods available for use increased but slightly. Statistics for the years 1934–35 to 1938–39 show considerable increases in the value of goods available for New Zealand consumption. Increased exports in 1939–40 disposed of almost the whole of the increase in the value of production shown for that year, and this, together with greatly reduced imports, resulted in a substantial fall in the value of goods available for consumption.

Year ended 30th June,Produced in Dominion.ImportedAvailable for use in Dominion.
Total.Exported.Available use in DominionTotal.Per Head.
VALUES (IN N.Z. CURRENCY)
 £(m.)£(m.)£(m.)£(m.)£(m.)£
1929126.253.972.346.5118.881.1
1930120.545.175.449.3124.784.1
193197.235.461.835.196.964.4
193283.333.350.024.774.749.1
193383.736.047.725.373.047.6
193498.447.151.326.778.050.5
193596.741.355.434.389.757.6
1936113.851.662.239.5101.764.8
1937135.962.073.950.1124.078.4
1938135.859.476.457.5133.983.8
1939136155.680.556.5137.084.7
1940144.863.381.546.1127.678.0
INDEX NUMBERS (1938–39 = 100)
1929939790828796
1930898194879199
1931716477627176
1932616062445558
1933616559455356
1934728564475760
1935717469616568
1936849377707477
193710011292899193
1938100107951029899
1939100100100100100100
1940106114101829392

It is interesting to compare the value of goods available for use with such data as are available for incomes. Estimates of aggregate private income have been made from 1931–32 onwards, principally from a consideration of taxation receipts of the Employment Promotion Fund and later the Social Security Fund. A comparison of the figures affords undeniable evidence of an increase in the “spread” between aggregate private income and the value of goods available for use. The movements recorded are the result of a variety of causes operating over a period marked by rapid economic changes.

 Goods available for Consumption.Aggregate Private Income.Excess of Income over Goods available for Consumption.
 £(m.)£(m.)£(m.)Per Cent.
1931–3274.799.725.033.5
1932–3373.091.818.825.8
1933–3478.0101.323.329.9
1934–3589.7106.616.918.8
1935–36101.7124.622.922.5
1936–37124.0157.533.527.0
1937–38133.9173.339.429.4
1938–39137.0185.848.835.6
1939–40127.6200.272.656.9

AGGREGATE VOLUME OF CONSUMPTION OF GOODS.

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 consumption are estimated. Quantitative figures of exports are readily available from the official statistics, and as the great bulk of the export trade is confined to a relatively small number of items it is a comparatively simple matter to compile an index number of volume for years ending with the month of June. A similar position does not hold in the case of imports, as they are far more diversified in nature, and full detail is not available for other than calendar years. Index numbers of volume of imports for calendar years are compiled, and an average of the indexes for two calendar years has been used to approximate years ending with the month of June. By the use of quantitative figures of production, exports, and imports, reasonably accurate figures of movements in volume may be ascertained, and figures indicating the volume of goods available for New Zealand consumption arrived at. In the process of ascertaining an index number of the volume of goods available for New Zealand consumption, figures of value based on unit values ruling in 1938–39 are used.

Figures of volume, in the form of values at 1938–39 prices, are shown for each of the years 1928–29 to 1939–40, and in total, in the following table.

VALUE, AT 1938–39 PRICES, OF GOODS AVAILABLE FOR USE IN DOMINION Produced in Dominion.

Year ended 30th June,Produced in Dominion.Imported.Available for use in Dominion.
Total.Exported.Available for use in Dominion.Total.Percentage locally produced.Percentage imported.
 £(m.)£(m.)£(m.)£(m.)£(m.)  
1929105.141.363.846.6110.45842
1930110.541.569.046.8115.86040
1931106.443.562.935.898.76436
1932102.4545.656.927.384.26832
1933113.154.059.127.186.26931
1934117.957.560.431.091.46634
1935118.853.165.737.3103.06436
1936127.057.469.644.4114.06139
1937134.158.076.153.4129.55941
1938136.157.079.159.5138.65743
1939136.155.680.556.5137.05941
1940142.255.986.347.9134.26436
Totals for 12 years1,449.8620.4829.4513.61,343.06238

An interesting feature brought out by the foregoing table is the assessment of the relative proportions of New Zealand produced goods and of imported goods in the total quantum of goods entering into consumption. Over the period of twelve years covered by the table the proportions were 62 per cent. of New Zealand produced goods and 38 per cent. of imported goods. While strict accuracy cannot be claimed for these figures—particularly in respect of single years—a definitely higher proportion of New Zealand produced goods in the total is observed from 1930–31 to 1934–35 and again in 1939–40 than in the other years covered. The falling-off in the quantum of imports during the depression years was considerably greater than that in the volume of locally produced goods consumed in the Dominion. The upward trend in the volume of imports following the depression was arrested in 1938–39, due to the policy of restriction of imports introduced in December, 1938. The continuation of import restrictions, and the dictates of a war economy, account for the striking decrease in the volume of imports in 1939–40.

Movements in the volume of goods available for use in the Dominion are indicated further in the following table of index numbers on the base 1938–39 (= 100).

INDEX NUMBERS OF VOLUME OF GOODS AVAILABLE FOR USE

Year ended 30th June,Produced in New Zealand.Imported.Total.Average Volume per Head.
192979838189
193086838592
193178637277
193271486165
193373486366
193475556770
193582667578
193686798386
193795959597
193898105101102
1939100100100100
1940107859897

The low points during the twelve years covered by the table were reached in the period 1931–32 to 1933–34. The figures for those years indicate a decrease, by comparison with 1929–30, of from 21 to 28 per cent. in the aggregate volume of goods-available for use and of from 24 to 29 per cent. in the volume per head. The year 1937–38 marked the peak level in volume of goods available for consumption—both total and per head of population. Imports were also at their highest level during that year. The volume of New Zealand produced goods for local consumption reached its highest level in 1939–40.

While, in the ultimate analysis, the rate of growth of the population is probably the most significant basic factor underlying the long-term movement in the flow of goods entering into consumption, the standard of living of the people as a whole is another factor of paramount importance. In the absence of a marked ingress or egress through migration movements, short-term population changes are relatively small; while, in periods of rapid economic change such as have occurred during the period under review, substantial changes in the standard of living of large sections of the community may and do occur. The marked movements in the index numbers of the aggregate volume of goods available for consumption are probably symptomatic of variations in the standard of living. A further factor of considerable importance is the fluctuation in the volume of consumption of capital goods, which, judging by the available statistics illustrating the volume of building activity, has been subject to very considerable movements during the period covered. Between 1930–31 and 1932–33 the fall in building activity was considerably greater than that in the total volume of production or of imports. It was evident that normal replacements of capital goods were not being carried out—in short, the volume of production of goods (for export and home consumption) was being maintained only at the expense of some depreciation of capital assets. An indication of changes in the volume of consumption of the more immediately consumable types of goods is afforded by the next table.

In periods of depression notable changes in the composition of goods produced or imported for use within the Dominion may be expected to occur. In particular, construction and other expenditure of a capital nature is severely restricted, despite governmental assistance towards the encouragement of building enterprise. With a view to throwing some fight on the changes in the volume of consumption of immediately consumable goods, the products of certain industries and some of the more durable imports have, in the next table, been excluded from the statistics of value of goods available for use. The classes excluded are—(1) Building and construction (including expenditure by the Public Works Department and local authorities on construction and maintenance); (2) imports of capital equipment; (3) value of products of general engineering, &c., works and agricultural and dairying machinery factories operating in the Dominion. The residuum approaches the total value of the less durable types of goods used in the Dominion. It has not been found possible to make a distinction between producers' goods and consumers' goods included in the remaining total. A difficulty exists in the fact that many commodities may be used either as material for further production or for final consumption.

INDEX NUMBERS OF VOLUME OF GOODS AVAILABLE FOR USE (BASE: 1938–39 = 100)

Year ended 30th June,All Goods.Goods other than Capital Goods.
Volume.Value.Volume.
Total.Per Head.Total.Per Head.Total.Per Head.
19208189941048493
193085921001098997
1931727778847985
1932616564687075
1933636663667276
1934677065687478
1935757873768184
1936838680828789
1937959796989799
1938101102100101103104
1939100100100100100100
19409897029010098

NEW ZEALAND PRODUCE CONSUMED IN THE DOMINION.

Statistics of the value of production are given in the Miscellaneous section of this Year-Book. From these and the export statistics it is possible to compute the ratio of internal consumption of New Zealand produce to exports, a feature which is of peculiar significance to New Zealand in view of its high per caput overseas trade and debt.

It is first necessary to deduct from the production totals (miscellaneous group) the value represented by buildings and by road and railway construction, &c., for these items are not capable of being exported. In order to avoid such fluctuations as are caused by the unequal incidence of price-changes or by the holding of wool stocks, &c., the aggregate of five years has been adopted. For production, figures have been taken for the production years (terminating at varying dates for different commodities) 1935–36 to 1939–40; for exports the calendar years 1936–40 have been adopted.

Produce.Consumed in New Zealand.Exported.
 Per Cent.Per Cent.
Agricultural and pastoral3169
Forest919
Mining6139
Factory and other982
Total5248

The term “Factory and other” includes fisheries, factory (added value), and other industrial production; but it should be noted that the output of butter and cheese factories and of meat-freezing works is treated herein under agricultural and pastoral, and not under factory production. Similarly, sawmill output is included with forest produce.

While the statistical data discussed in the foregoing pages afford an indication of movements in the value and volume of Dominion consumption of important classes of commodities in the aggregate, 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; and, indeed, a family budget collection on a very extensive scale would be necessary to provide such information. The aggregate Dominion consumption of each commodity has been arrived at by taking into consideration statistics of production, of exports, and of imports, having regard also to changes in held-over stocks—where such data are available.

Figures showing, for some of the more important food products of the Dominion in which an export trade is maintained, the respective proportions of the total production which are consumed in New Zealand and exported are as follows (for the three-yearly period ended 1939–40):—

 Consumed in New Zealand.Exported.
 Per Cent.Per Cent.
Butter1981
Cheese496
Beef6040
Mutton4753
Lamb496
Pig-meat4060

In view of the very high proportion which exports bear to total production in some cases—e.g., cheese and lamb—the percentages must be regarded as approximate only.

QUANTITIES OF PRINCIPAL FOODSTUFFS AVAILABLE FOR CONSUMPTION.

Estimates of animal consumption for the civilian population have been made for the principal items of foodstuffs for a pre-war period (yearly average for period 1934.–38 in most cases) and for the year 1943. The restrictions placed on the consumption of certain commodities since the outbreak of war, particulars of which are given later in this section, are of significance in this connection. Basic statistical data are rather scanty in the case of some items, and the estimates may be subject to correction as further information comes to hand.

Dairy-produce.

The proportion of New Zealand's total butterfat production which is utilized for human consumption within the Dominion in various forms is approximately 20 per cent. Estimated figures of annual civilian consumption levels for individual items of dairy-produce, pre-war and for 1943, are given below.

 Pre-war.1913.
Whole-milk (pint)219  307  
Cream (pint)6.98.0
Cheese (lb.)4.54.3
Butter (lb.)41  44  

Meats.

In estimating the average annual civilian consumption of meats an allowance has been made in the case of each item for killings on farms and for condemnations, both of which items are difficult to assess. The consumption levels for the various items are as follows, the weights in each case being on a bone-in basis.

 Pre-war.1913.
Beef (lb.)117  98  
Veal (lb.)10  7  
Mutton (lb.)67  88  
Lamb (lb.)5.63.0
Pork (lb.)8.84.5
Ham and bacon (lb.)12.015.5

Fresh Vegetables and Fruits.

Estimates under this heading have been made, particularly in the case of vegetables, with considerable difficulty owing to a combination of factors, not the least in importance being the fact that domestic garden production must of necessity be taken into account. In cases where there is no available substantive evidence as to changes in consumption or as to consumption habits, the estimates for both pre-war and 1943 have been treated as on an equality. Consumption levels for individual items are estimated as follows:—

 Pre-war.1913.
Potatoes (lb.)126  126  
Kumeras (lb.)7.57.5
Cabbages and greens (lb.)100  100  
Carrots (lb.)31  31  
Tomatoes (lb.)20  20  
Apples (lb.)44  50  
Pears and quinces (lb.)6  7  
Stone-fruits (lb.)12.514.4
Lemons (lb.)4  2  
Oranges and grapefruit (lb.)19  9  
Bananas (lb.)21  12  
Pineapples (lb.)1  0.07

Other Foodstuffs.

Estimated annual civilian consumption levels for other items of foodstuffs are given hereunder.

 Pre-war.1913.
Poultry (lb.)3.93.6
Fresh fish—edible portion (lb.)11.010.5
Shell-fish—edible portion (lb.)0.91.4
Eggs (dozen)20  22  
Honey (lb.)2.13.6
Refined sugar (lb.)106  89  
Dried peas and beans (lb.)1.61.2
Flour, including wholemeal, &c. (lb.)191.5196.9
Cornflour (lb.)2.42.4
Oatmeal, oaten products (lb.)9.85.4
Rice (lb.)5.33.8
Tea (lb.)6.757.0
Cocoa (lb.)1.01.4

Wartime Restrictions on Consumption.

Soon after the advent of war, stocks of many commodities in New Zealand became depleted, and shortages became apparent, particularly in the case of many non-essential commodities. Later, it was decided to increase the quantities of dairy-produce and meats available for export to the United Kingdom, and this entailed some measure of restriction of the quantities available for local consumption.

To ensure an equitable distribution in the consumption of the more essential commodities, rationing schemes were introduced, and these applied to the following list of commodities: Tea, sugar, butter, meat, household linen, blankets, clothing, and footwear. Eggs were subject to a preference rationing to children under five years of age, expectant mothers, and invalids suffering from specific ailments. Baby wool was reserved for, and rationed to, expectant mothers. The rationing scheme is still (October, 1945) in operation in regard to the principal items, but the position has eased in the case of eggs and baby wool.

Details of the rationing provisions and other restrictions, as they have applied to the various principal commodities, are as follows:—

Tea.

On 1st June, 1942, rationing of this item was introduced, the quantity permitted being 2 oz. per person per week. This basic rate was adjusted to 8 oz. per person per calendar month on 1st August, 1942, but was amended as from 1st November, 1943, to 8 oz. every four weeks. Children under the age of ten years are not entitled to a tea ration. Additional allowances of 8 oz. on each occasion have been granted in December, 1942; March, 1943; April, 1943; and December, 1943. Special provision exists for the supply of tea to restaurants, hotels, &c., in accordance with the number and class of meals served. The reduction in the quantity of tea consumed as the result of rationing amounts at the present time to a total of approximately 2,000,000 lb. per year.

Sugar.

Rationing of sugar was introduced as from 27th April, 1942, the quantity permitted being 12 oz. per person per week. The basic rate was adjusted to 3 lb. per person per calendar month as from 1st August, 1942; 2.½ lb. per person per calendar month as from 1st October, 1942; and back to 3 lb. per person per calendar month as from 1st December, 1942. From 1st November, 1943, to 18th March, 1945, the ration allowance was 3 lb. every four weeks (12 oz. per week), but from 19th March to 30th September, 1945, the ration allowance was reduced to 10 oz. per week, after winch the allowance of 12 oz. was reverted to. Additional allowances for jam-making of 3 lb. per person were permitted in each of the following months or periods: August, 1942; December, 1942; January, February, July, and December, 1943; January and February, 1944; 20th March to 11th June, 1944; 23rd November, 1944, to 31st January, 1945; and 1st February to 31st March, 1945. Special provision exists for the supply of sugar to collective consumers according to the number and class of meals served, and for additional allowances to certain classes of workers.

The industrial use of sugar has been restricted, and the quantities permitted vary from 50 to 75 per cent. of the quantities actually used during the year 1941. Industries engaged in production for the Armed Services are given adequate supplies, and minimum essential requirements are provided for in other cases.

The present reduction in the quantity of sugar consumed results in an annual saving of approximately 4,500,000 lb.

Butter.

Butter rationing was introduced as from 28th October, 1943, the quantity permitted being 8 oz. per person per week. A further reduction to 6 oz. per week came into operation as from 11th June, 1945, but provision was made whereby expectant mothers and persons over seventy years of age received 8 oz. per week. Additional allowances of 4 oz. per week have been granted to certain classes of workers on account of special working-conditions, and an extra ration allowance is permitted to persons suffering from certain ailments. Manufacturers using butter, and collective consumers, are allowed only two-thirds of the quantities previously used. As a result of the present (October, 1945) restrictions on the consumption of butter and cream, it is anticipated that an additional 15,000 tons of butter per year will be available for export as compared with the position obtaining before the restrictions were applied.

Cream.

The consumption of cream, as such, is now prohibited except in the case of persons suffering from certain ailments, while the quantity of cream used for ice-cream manufacture is limited to two-thirds of the quantity previously used.

Cheese.

The amount of cheese available for consumption within the Dominion is limited to the level existing in the 1942–43 season. Individual rationing has not been introduced.

Margarine,

No margarine is available for individual civilian consumption in the Dominion, the production being utilized for manufacturing purposes and for the needs of the Armed Services.

Meat.

Meat rationing was introduced as from the 6th March, 1944, but in this case rationing is based on value and not on quantity. The value of the weekly ration per person varied originally from 1s. 9d. to 1s. 11d. in the North Island, and from 1s. 9d. to 2s. in the South Island, on account of regional and seasonal changes in price-levels. An increase in ration value of 3d. per week was allowed for each of two weeks over the Christmas and New Year period of 1944–45. As from 11th June, 1945, the meat ration has been reduced to a basic value of 1s. 6d. per person per week. Children aged from six months to under five years are given approximately half the adult ration. Additional allowances have been granted to certain classes of workers on account of special working-conditions, and to persons suffering from certain ailments. It is anticipated that the present (October, 1945) scale of meat rationing in New Zealand will enable an additional 35,000 tons of meat (per year) to be exported as compared with the position before meat rationing was introduced.

Certain classes of meats, such as edible offal, canned meats, sausages, bacon and £am, rabbits, poultry, and fish, do not come within the scope of the rationing scheme, although the quantities of bacon and ham available for sale have been subject to control. The sale of pork, on the other hand, is completely prohibited.

Eggs.

A scheme of priority egg rationing was introduced in all the principal districts throughout the Dominion on 20th March, 1944. Basically, the scheme guarantees a minimum of three eggs per week to all children up to the age of five years, and six eggs per week to expectant and nursing mothers. In addition, quantities of eggs were available to persons suffering from certain ailments. Supplies of eggs are now (October, 1945) more plentiful, and the priority scheme is no longer in operation.

Clothing, Footwear, and Household Linen.

Rationing of these items was introduced on 29th May, 1942, on a coupon system. Each person is allowed a certain number of coupons for each rationing period, varying coupon values being assigned to the different articles. Subject to the availability of supplies, the individual may utilize his or her coupons according to personal wishes, except that in the case of hosiery special provision is made to enable all women sixteen years of age and over to procure two pairs per annum of fully-fashioned silk or artificial silk stockings. Special coupons are provided for household linen.

The items enumerated in this section are the more general items affecting all sections of the population. Numerous items (e.g., oil-fuel, tires, roofing-iron) not entering into individual consumption are subject to controls of various forms.

Chapter 43. SECTION 43.—RADIO BROADCASTING

DETAILS of the history and development of the radio broadcasting service in New Zealand are given in the 1942 and earlier issues of the Year-Book.

NATIONAL BROADCASTING SERVICE.

The Broadcasting Act of 1936 established the National Broadcasting Service as from the 1st 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 Broadcasting Board) were transferred to the Crown.

The administration of the 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 pre-existing Board became officers of the Public Service as from the 1st July, 1936, and the Act contains other provisions relating to the appointment to the Public Service of any other persons who are possessed of technical or other expert knowledge in relation to broadcasting.

Section 9 of the Act allows for the appointment of an advisory body, called the Broadcasting Advisory Council, to consist of not more than five members, to be appointed from time to time by the Governor-General on the recommendation of the Minister. Appointment to the Council is for a period of three years, except that members may be reappointed or removed from office by the Governor-General.

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. This provision was repealed by section 4 of the Statutes Amendment Act, 1943, and from the 26th August, 1943, the National Commercial Broadcasting Service became a division of the National Broadcasting Service.

Stations and Programmes.

There are twenty-three broadcasting-stations, of which two are privately owned (2ZM and 4ZD) and five are national advertising-stations— marked “a”—as follows:—

Station.Aerial Energy.Frequency.Normal Hours of Transmission per Week.
 Kilowatts.Kilocycles.Hr.Min.
1YA, Auckland10.0065012120
1ZB, Auckland (a)1.001,0701260
1ZM, Auckland0.751,250460
1YX, Auckland0.15880310
2ZJ, Gisborne0.10980160
2ZM, Gisborne0.0151,1801730
2YH, Napier5.00750680
2YB. New Plymouth0.03810210
2ZA, Palmerston North (a)0.251,4005645
2YA, Wellington60.0057012120
2YC, Wellington5.008403730
2ZB, Wellington (a)1.001,1301260
2YD, Wellington0.50990210
2YN, Nelson0.03920210
3ZR, Greymouth0.109408140
3YA, Christchurch10.0072012120
3ZB, Christchurch (a)1.001,4301260
3YL, Christchurch0.301,200370
4YA, Dunedin10.0079012120
4ZB, Dunedin (a)1.001,3101260
4YO, Dunedin0.151,140370
4ZD. Dunedin0.201,1101230
4YZ, Invercargill5.006807415

During the twelve months ended 31st March, 1944, transmission time of national and commercial stations in operation aggregated 80,483 hours, of which 53 hours were lost owing to technical faults and power-failures. At present (September. 1945). owing to the heavy demands made on the electric-power supplies, all stations are off the air for periods totalling two hours thirty minutes daily from Monday to Friday. In the summer months the amount of time involved is considerably less.

All programmes to be transmitted from the private broadcasting-stations are supervised, and the Minister has authority to prohibit the broadcasting of any programme or part of a programme which in his opinion is unsuitable for broadcasting.

The programmes of the various stations are published each week in the weekly journal, the New Zealand Listener which was first issued by the National Broadcasting Service on 30th June, 1939.

NATIONAL DIVISION.

An analysis of the combined programmes of the seven main stations for a sample week in March, 1941, showed that, of the total transmitting-time, 64 per cent. was devoted to music; 19.8 per cent. to news, parliamentary broadcasts, reports, and announcements, &c.; 3.9 per cent. to educative and general talks; 3.7 per cent. to children's sessions; 5 per cent. to plays and sketches; 3.2 per cent. to church and devotional services; and 0.4 per cent. to sporting commentaries and sporting talks. This allocation of time has remained substantially the same except for the provision of any additional time which may be necessary for broadcasts connected with matters arising out of the war.

Prior to the cessation of hostilities the dominant aim was to keep the people informed reliably and promptly on the progress of the war. From two and a half to three hours daily of the main National Stations were devoted to rebroadcasts of news bulletins, commentaries, and talks broadcast from London by the British Broadcasting Corporation. By arrangement with the United States Office of War Information, there were also regular rebroadcasts, or broadcasts from recordings, of United States news commentaries and other programmes associated with the war effort. In addition, there was broadcast daily a news summary prepared in New Zealand by the Service, and war effort appeals, announcements, and talks by representative citizens were also broadcast. At the same time there was available in the programmes normal broadcast fare of a cultural, entertaining, or informative nature. A similar schedule is being maintained, rebroadcasts of news, &c., from overseas being a prominent feature of each day's programme.

The practice is followed of giving broadcasting engagements to the best musical and other talent available in New Zealand. During the year ended 31st March, 1944, there were 2,404 broadcasts by local artists, and 590 by local musical societies, bands, and other musical combinations.

The writing and production of dramatic and other special features in which local actors and actresses are employed is carried out by the Productions Branch of the National Broadcasting Service, and encouragement is being given to New Zealand writers, 68 plays by such writers having been purchased during the year.

The recording facilities are a valuable adjunct and the studios are engaged daily in recording plays and programmes written by overseas and New Zealand authors; talks and news bulletins broadcast overseas which are rebroadcast in New Zealand at more convenient times; and historical talks, events, and other features.

Subject to some limitation in regard to matters not available for broadcasting in wartime, the proceedings of the House of Representatives are broadcast from. Station 2YA in order to acquaint the public with the provisions of the various Bills and the views of the representatives.

The National Broadcasting Service sent Broadcasting Units with complete mobile equipment to the Middle East and the Pacific with the New Zealand Expeditionary Forces. Material recorded by the Units, such as talks, commentaries, and personal messages spoken by members of the fighting services to relatives and friends in New Zealand, are sent regularly to New Zealand and broadcast each week from the National Stations. In the year ended 31st March, 1944, 6,750 greetings, talks, and commentaries from members of the New Zealand fighting services overseas were broadcast. A nightly digest of New Zealand news is broadcast to the New Zealand Forces in the Pacific area. The Broadcasting Service has also co-operated with the Army Education and Welfare Service in providing concerts and other forms of entertainment in camps and posts throughout New Zealand.

Time signals from the Dominion Observatory are broadcast through station 2YA four times each day. The signals take the form of a series of six “dots” at intervals of one second, the last “dot” being the exact minute. These series are broadcast at 28, 29, and 30 minutes of the hour.

The time signals are broadcast daily at—

1.10.28,10.29,and10.30a.m.
2.3.28,3.29,and3.30p.m.
3.7.28,7.29,and7.30p.m.
4.10.28,10.29,and10.30p.m.

In the event of the failure of any of the above time signals, the signals are broadcast half an hour later.

In addition to the above signals, a series of six “dots” is transmitted from Station 2YA on each hour from 7 a.m. to 7 p.m. inclusive.

Fuller details of this time service may be obtained from the article on time service arrangements published in the Miscellaneous section of this Year-Book (post).

The broadcasting of weather reports and forecasts, which had been discontinued for security reasons since 23rd December, 1940, was resumed on 2nd July, 1945.

Financial Statistics.

The following table shows the expenditure of the national stations for the last five financial years.

 1939–40.1940–41.1941–42.1942–43.1943–44.
 £££££
Programmes110,410121,955111,68889,345101,846
Maintenance of plant41,31848,05843,36847,04469,880
General administrative and running expenses33,72432,05132,81737,27144,864
Subsidies to private “B” stations203210210210210
Depreciation of assets47,76641,03035,78826,39129,082
Other expenses33,73136,27937,25930,78639,281
Total expenditure£267,152£279,583£261,130£231,047£285,163

Income during each of the years shown amounted to £407,992, £461,928, £460,689, £605,408, and £512,474, and the excess of income over expenditure to £140,840, £182,345, £199,559, £374,361, and £227,311 respectively.

COMMERCIAL DIVISION.

Following the coming into operation of the Broadcasting Act, 1936, the State purchased Station 1ZB, Auckland, which had previously operated as a “B” station, and commenced the broadcasting of programmes which included advertising-matter. Commercial stations were subsequently established at Wellington (2ZB), Christchurch (3ZB), and Dunedin (4ZB), all of which were opened in 1937, while Station 2ZA (Palmerston North) was opened in 1938.

Advertising constitutes the only source of revenue of the Commercial Division, no portion of the radio-receiving license fees being allocated to this section. For the year 1943–44 income totalled £262,900, and expenditure £166,228, making a net profit for the year of £96,672. Corresponding figures for the previous financial year were: Income, £234,923; expenditure, £165,416; net profit, £69,507.

The programmes of the commercial stations contain a high percentage of entertainment, as compared with commercial announcements or direct advertising.

Sessions of informative value and services such as the broadcasting for missing cars and persons are provided in addition to the normal programmes.

During the war period war news was broadcast at regular intervals throughout the day from British and American short-wave stations. The commercial stations were also a medium for the broadcasting of ministerial statements and other information connected with the war effort and publicity efforts have been undertaken in connection with the war savings, patriotic funds, and waste material campaigns.

STATISTICS OF RADIO LICENSES.

The growth in the number of radio-receiving licenses is apparent from the following table. The license fee for a receiving-station, which from 1st April, 1925, had been £1 10s. per annum, was reduced to £1 5s. per annum as from 1st April, 1935.

As at 31st March,Auckland.Wellington.Canterbury.Otago.Dominion Totals.*Licenses per Hundred of Population.
* Including free licenses.
193435,05446,35421,02815,650118,0867.62
193546,77657,18027,85021,002152,8089.79
193660,37871,15534,54126,191192,26512.22
193777,23486,79744,19833,068241,29715.20
193892,236101,71752,49338,549284,99517.76
1939101,721114,02058,52443,244317,50919.54
1940107,843127,11764,29446,428345,68221.07
1941116,454126,04665,32747,614355,44121.72
1942122,220131,38667,02850,577371,21122.71
1943121,194130,45365,93550,539368,12122.53
1944124,855133,84566,04650,666375,41222.84

A summary of all radio licenses issued in New Zealand as at the 31st March, 1944, follows.

District.Receiving-stations.Radio-dealers.Other.Total Licenses.
Auckland124,85525110125,116
Wellington133,8452869134,140
Canterbury66,0461302166,197
Otago50,666103350,772
Dominion375,41277043376,225

Licenses are issued free of charge to institutions for the blind and also to any blind person. In addition, public hospitals, benevolent and orphan institutions, and other charitable institutions are granted free license privileges, provided that the sets are used for the benefit of patients or inmates. Free license privileges have also been extended to the operation of receiving-sets in schools, where such sets are used for educational broadcast purposes. The number of free licenses as at the 31st March of each of the last five years was: 1940, 997; 1941, 1,379; 1942, 1,492: 1943, 1,507; and 1944, 1,585.

A penalty is attached to the operating of unlicensed radio apparatus, and convictions for this offence during the last five years numbered: 1940, 612: 1941. 991: 1942, 1,158; 1943, 1,464; and 1944, 361.

Chapter 44. SECTION 44.—ELECTRIC POWER

STATE DEVELOPMENT OF WATER-POWER.

New Zealand is well endowed with a plentiful supply of water-power, which is accordingly the principal agency used in the generation of electrical energy in the Dominion, fuel plants occupying a place of minor utility for stand-by or for peak-loading purposes. Although the first public hydro-electric supply plant (which is still in operation) was installed at Reefton in 1887, up to 1900 comparatively little development had taken place. By 1903, however, water-power to the extent of 9,911 horse-power was actually available. During the four following decades this figure was progressively increased to 34,956, 54,244, 328,708, and 553,763 horse-power respectively, and the total at 31st March, 1944, was 580,931. Of a total of 2,170,194,300 units generated for resale in 1943–44, hydro-electric installations accounted for 2,050,879,831 units, or 94.5 per cent.

The Public Works Act vests in the Crown the sole right to use the water-power of the Dominion, subject to any existing rights, and gives the Government the right to develop such power, or to delegate the right to any local authority, or, outside a mining district, to any person or company, subject to certain conditions.

The regulations covering the delegation of this right, which were amended in June, 1934, make it essential that permission be obtained from the Minister of Works by any person, &c., desiring to obtain a license to generate power By this means. The regulations provide for an annual rental to be paid to the Crown by the licensee, such rental, except in special cases, to be at the rate of £1 per kVA. of maximum demand per annum, with a minimum annual payment of £10. A number of local authorities and private concerns have taken advantage of this provision of the Act.

Persistent demands that the Government itself should develop the power resources of the Dominion for the benefit of the people generally culminated in the passing of the Aid to Water-power Works Act in 1910, and the Lake Coleridge scheme for the supply of electricity to Christchurch City and the Canterbury Provincial District was selected for development. Operations were commenced on these works in 1911 and completed in 1915, the station having a capacity of 4,500 kW., which was extended to 27,000 kW. in 1926, and to 34,500 kW. in 1930. After this successful development, plans for interconnected power systems in both the North and South Islands were drawn up.

In 1919 the Waihi Gold-mining Co.'s electric-power plant of 6,300 kW. at Horahora was acquired by the State, the capacity of the station being extended to 10,300 kW. in 1925. In 1925 also a commencement was made with the Arapuni development, the first unit being brought into operation in 1929, and the station linked up with Horahora. Seven units with a total capacity of 131,100 kW. are now in service at this station, which will be completed by the installation of one more unit, with a rating of 21,600 kW.

To ensure adequate water-supplies to these and future developments on the Waikato River during the periods of peak loading in the winter months, the heavy spring and summer run-off has, since 1941, been conserved by means of control works which regulate the level of Lake Taupo and its outflow into the river.

Another major generating station, Mangahao, was commenced in 1922, the full development of 19,200 kW. being completed in 1925.

Following the completion of the Mangahao station the development of the middle (or Tuai) station at Waikaremoana was commenced. This was opened in 1929 with a capacity of 32,700 kW., extended in 1939 to 52,000 kW. Work on the lower station at Piripaua was commenced in 1939 and by March, 1944, power to the capacity of 40,000 kW. was being generated. Work on the upper development at Kaitawa is now in hand, and in order to utilize to the best advantage the water storage available in Lake Waikaremoana, an intake tunnel in which control works are incorporated is being constructed.

These four North Island stations—viz., Horahora, Arapuni, Mangahao, and Waikaremoana—have been linked up and are operated as one system, while connections also exist with all the larger generating stations (hydro- or steam-driven) operated by supply authorities. Steam and Diesel standby plants are also maintained by the Government at Auckland, Huntly, and Penrose.

In the South Island, after the completion of the Lake Coleridge scheme, the Waitaki River was selected as the next source of power. This station was opened in 1934, and now comprises four units each of 15,000 kW. rating, with provision for a fifth of like capacity. Meantime, measures are being taken to raise the level of Lake Tekapo and to control its outflow in order to ensure an adequate supply of water to the Waitaki station during the winter months, and a single unit of 25,200 kW. is being incorporated in the control works. Another single unit of 25,200 kW. has been installed at Highbank to make use of the surplus water available in the winter months in the Rangitata irrigation race. This station was opened in June, 1945.

In 1936 the Government took over the Southland Electric-power Board's system including the generating station at Lake Monowai, and in 1938 acquired the Grey Electric-power Board's generating plant at Kaimata, on the Arnold River. During 1939 a grid system paralleling that in the North Island was established by linking these two stations with the Coleridge and Waitaki stations, already interconnected.

The Dunedin City Council's hydro-station at Waipori is also linked with the system, as are some local-authority steam stations and the small Government-owned Diesel plant at Dobson.

Construction of a generating station on the Cobb River with a capacity of 12,000 kW. was originally undertaken by a private enterprise, but the undertaking was acquired by the Government and has now been completed. This station commenced supplying power to the Nelson district in June, 1944, and to Marlborough in January, 1945. The station, which could be doubled in capacity, will also ultimately be linked with the main South Island grid.

The following table gives the present and ultimate installed capacity of each of the Government generating stations in operation or for which contracts for the supply of machinery have been let; the static head is also given.

Name of Station.Present Installed Capacity.Ultimate Installed Capacity.Static Head (Feet).
No. of Units.kW.kVA.No. or Units.kW.kVA.

*Installation of the last unit, which will complete the development of this station, is now in progress.

†Work is proceeding on these stations.

‡Access roads to this site are under construction.

§This scheme will lend itself to further development, if required.

Arapuni*7131,100150,0008152,700174,000175
Karapiro......390,000100,000100
Horahora810,30012,860......27
Maraetai......5180,000200,000200
Mangahao510,20024,000519,20024,000895
Waikaremoana—       
Kaitawa (upper station)......232,00038,000440
Tuai (middle station)352,00062,200352,00062,200675
Piripaua (lower station)240,00044,400240,00044,400370
Cobb River412,00015,0004§12,00015,0001,920
Arnold River (Kaimata)23,0603,60023,0603,60052
Lake Coleridge934,50040,640934,50040,640486
Highbank125,20028,000125,20028,000330
Waitaki460,00066,666575,00083,33370
Lake Tekapo......125,20028,00080–105
Lake Monowai36,0007,05036,0007,050154

The advances in installed capacity indicated above were no more than able to meet the increasing demands for power, and in 1941, through delays resulting from the war in the delivery of plant on order overseas, the demand in the North Island began to outstrip the capacity of the system. This necessitated the encouragement of economies and even the enforcement of restrictions in the use of electric-power. In order to meet future requirements a comprehensive scheme was announced in October, 1943, envisaging the ultimate development of ten large stations, including Arapuni, to utilize practically the whole of the fall in the Waikato River from Lake Taupo to Cambridge. The grand total of the power available from such a chain of stations would approximate 800,000 k\V. The scheme calls for the development of four new stations within the next seven or eight years. The construction of the first of these, that at Karapiro, which is to have a capacity of 90,000 k\V. is already well advanced. In the course of this development the site of the present station at Horahora will be submerged. Preliminary work has also been commenced on another large station at Maraetai, which will have a capacity of 180,000 kW. Contracts for the supply of machinery for both these stations have been placed.

The following table covers those State systems in actual operation in each of the last five years.

1930–40.11940–41.1941–42.1942–43.1943–44.
* includes fuel generation which amounted in 1943–44 to 48,189,800 units
 £££££
Capital outlay18,238,99019,784,15920,442,12821,573,431122,975,871
Total revenue1,932,2642,207,9972,294,9922,441,4552,579,880
Power purchased150,481351,278372,847171,145267,398
Working in management expenses375,827450,996481,503670,088712,918
Interest592,127590,142509,034662,608717,044
Sinking fund484,811217,929329,427144,440173,085
Depreciation141,22081,658104,799304,252207,320
Taxation..330,047338,900428,202440,921
Total costs1,931,7202,150,7002,294,9922,441,4552.579,886
 Number.Number.Number.Number.Number.
Units generated*1,396,940,3071,524,008,3701,574,032,1171,789,780,7801,907,005,941
Units purchased66,420,276141,822,038156,850,41268,166,15191,670,158
Totals1,463,300,6731,005,831,0081,731,488,5291,857,952,9311,998,786,099
Units sold1,292,522,6781,481,145,8251,551,254,9981,009,968,4681,777,987,362

ELECTRIC-POWER BOARDS.

The policy of the Government generally is to supply power in bulk, leaving the reticulation and retail supply in the hands of the local authorities. Initially the only local authorities available for this purpose were the cities, boroughs, counties, and town districts, but to facilitate the extension of electric supply into the country areas a wider organization became necessary. This was first provided under the Electric-power Boards Act of 1918, which provided for several local districts to combine for the purpose of electric-power distribution, and to set up a special Electric-power Board to carry out the work, with rating-powers over the district concerned. The legislation was consolidated and amended in the Electric-power Boards Act, 1925, amendments to which were enacted in 1927 and 1928. Forty-four Boards constituted under these enactments are in existence, and the total population included in all licensed areas—i.e., power districts, cities, boroughs, &c.—is approximately 97 per cent. of the population of the Dominion. An Act of 1930 established an Association of Electric-power Boards and municipal electric-lighting authorities.

So far only one of the four main cities—viz., Auckland—has been included in the reticulation area of a power district, but of the secondary centres the cities of Wanganui and Lower Hutt, and the boroughs of Gisborne, Hastings, Petone, Masterton, Blenheim, Greymouth, Ashburton, and Oamaru are so included.

Forty-one Boards were engaged in the distribution of electric power during 1943–44. Of these, twenty-five do not operate generating stations but are distributing power purchased in bulk, principally from Government stations. Nine Boards, although operating small generating stations, are also mainly dependent on Government stations for supplies. The remaining seven Boards operate their own water-power stations, but four of them find it necessary to make small bulk purchases. Three Boards were not actively functioning during 1943–44, while the area formerly administered by the Southland Electric-power Board now operates under Government control (since October, 1936).

The following is a summary of the financial operations of actively functioning Electric-power Boards.

Year ended 31st March,Capital Outlay as at End of Year.Revenue.Expenditure.
Sale of Electricity.Sale of Material (Profit).Totals.*Capital Charges.Operating Costs.Totals.*
* includes other items.
 £££££££
193414,226,2592,098,0884,5622,154,188981,196884,4602,066,683
193514,057,5142,198,4935,7232,252,187937,814937,0932,122,139
193614,319,4202,281,4877,8342,338,2211,003,6601,018,2722,275,941
193713,097,7272,361,67813,0812,411,878966,2551,098,4702,348,274
193813,722,2302,531,49618,5352,580,724904,7821,260,9592,490,311
193914,380,0812,789,26822,5442,846,052915,4141,469,5022,708,997
194015,038,9783,172,91423,4643,239,2601,087,7061,667,7453,140,742
194115,458,5053,555,49827,5753,660,5561,104,5071,944,0753,554,494
194216,041,6803,695,15718,7163,793,8081,126,4422,055,0563,695,145
194315,256,2473,674,55224,1883,739,5251,088,7051,964,6733,505,061
194415,517,3533,915,33219,3763,977,2991,095,8792,095,2103,702,791

Revenue in the foregoing table is exclusive of moneys derived from rates, which yielded £1,607 in 1943–44. Capital charges are inclusive of interest, sinking-fund, and depreciation payments, while operating charges include wages, stores, fuel, distribution, and street-lighting expenses.

ALL STATIONS.

In addition to the Government undertakings controlled by the Public Works Department, the Tourist Department's station at Rotorua, and those undertakings operated by Electric-power Boards, there were, during 1943–44, forty-eight establishments operated by other organizations, six of which represented private enterprise, the rest being local authorities of various classes. A general summary covering all stations in operation for the last three years is given hereunder.

 Year ended 31st March,
1942.1943.1944.
StationsNo.989898
Persons engaged (both sexes)No.3,8813,0943,721
Salaries and wages£1,203,6011,247,8541,323,925
ConsumersNo.455,132460,866465,404
Number of—    
Ranges 116,775124,569128,439
Milking-machines 30,70330,82031,244
Water-heaters 130,681145,476149,875
Generators (capacity)—    
MainkW.341,191304,931384,854
 kVA.400,102426,853449,217
StandbykW99,58695,99095,861
 kVA.122,657118,400118,275
Route—miles of linesMiles29,03729,44929,595
Revenue—    
Current—    
Retail£5,533,5945,761,9326,122,113
Bulk£2,538,7042,479,2132,712,275
Other (including rates)£185,926157,580154,909
Total revenue£8,258,2248,398,7318,989,297
Expenditure—    
Working-expenses£4,605,4554,576,1004,952,010
Capital charges£2,469,0732,596,8802,023,837
Total expenditure£7,135,1287,172,9817,575,847
Appropriations (including taxation)£960,381910,2511,042,898
Capital outlay—    
Total expenditure to date£41,110,99244,510,47546,208,557
Depreciation£5,518,0535,683,1096,219,849
Net value at 31st March£38,502,93938,827,36639,988,708
Units—    
Generated(000)1,928,6462,030,3722,170,194
Per head of mean populationUnits1,1831,2421,325
Sold (retail)(000)1,540,2651,646,4681,737,616
Bulk sales(000)1,715,5021,749,8581,884,279

The figures given in respect of employees refer only to those whose salaries and wages are met out of revenue from the sale of energy.

Classification of Stations.

Since 1933–34 electric-supply stations have been classified as follows:—

  1. Generating stations:—

    1. Generating solely.

    2. Generating and purchasing, but generating bulk of supplies of power.

    3. Distributing stations:—

  2. Generating and purchasing, but purchasing bulk of supplies of power.

  3. Purchasing solely.

The following table sets out the main particulars of all stations, classified in this manner, for the year ended 31st March, 1944.

Generating only.Both Generating and Purchasing.Purchasing only.Totals.
Mainly Generating.Mainly Purchasing.
Stations No.1319194798
Capital outlay to date £743,85426,556,9315,727,92013,179,85246,208,557
Present net value £622,99023,357,9615,130,75510,877,00239,988,708
Revenue £112,7993,209,6981,844,6473,822,1538,989,297
Working-expenses £62,5531,263,4141,229,5222,396,5214,952,010
Capital charges and appropriations £46,2621,906,641540,5491,173,2833,666,735
Units generated (000)26,0312,061,63082,533..2,170,194
Units purchased (000)..162,041470,9101,253,1421,886,093
Units sold—     
Bulk sales (000)3,6851,708,19597,07275,3271,884,279
Retail sales (000)19,131265,748407,3041,045,4331,737,616

Employees and Wages.

The following summary, covering all stations, shows for the year ended 31st March, 1944, the principal details for employees, and for salaries and wages paid.

Class of Employment.Persons engaged.Salaries and Wages paid.
Males.Females.Totals.To Males.To Females.Totals.
(a) Salaries or Wages paid out of Revenue from Sale of Energy
    £££
Secretaries, managers, engineers2472249146,090628146,718
Clerical staff398507905131,50686,985218,491
Wage-earning employees2,525422,567953,3775,339958,716
Totals3,1705513,7211,230,97392,9521,323,925
(b) Salaries or Wages not paid directly out of Revenue from Sale of Energy
    £££
House-wiring142..14237,142..37,142
Trading departments61147518,8252,80021,625
New construction-works4252427151,730443152,173
Totals62816644207,6973,243210,940
Grand totals3,7985674,3651,438,67096,1951,534,865

Capital Outlay.

The following figures of capital expenditure during 1943–44 and of capital outlay to 31st March, 1944, do not include the outlay in stocks of materials and capital invested in trading departments. Expenditure on the Cobb River scheme is likewise omitted. The inclusion of the latter item would increase the totals by £274,047 and £854,606 respectively.

Class of Expenditure.Expenditure during Year ended 31st March, 1944.Total Expenditure to 31st March, 1944.
 ££
Land in connection with power-house, headworks, cottages, &c.218150,221
Power-house buildings, cottages, 'c.6,9281,984,266
Generating plant, headworks, 'c.305,03510,354,358
Special standby plantcr. 13,5201,438,358
Main transmission-line and main substations518,51910,408,5S2
Distribution system, substations, land, cottages, 'c.307,76413,803,084
Public (street) lighting2,551505,088
Office and store buildings, workshops, garages, houses, and service buildings14,3211,136,181
Loose tools, meters, instruments, furniture, trucks, motorcars, and equipment83,5551,754,917
Interest during constructioncr. 58,0471,915,264
Loan conversion premiumsCr. 7,19271,832
Miscellaneous (work under construction, cost of raising loans, law-costs, 'c, and other capital expenditure)462,8892,686,463
Totals1,739,71546,208,557

Additions to the capital value of all electrical systems during 1943–44 totalled £1,867,696, while deductions—i.e., sales and amounts written off—amounted to £127,981. The above table shows the net expenditure only.

Of the total gross expenditure of £1,867,696, £1,438,836 was contributed by the Government, £337,588 by Electric-power Boards, £89,253 by other local authorities, and the balance by companies. The chief items of Government expenditure were—£605,735 on additions to transmission and distribution systems (particularly the Arapuni-Ongarue-Bunnythorpe transmission line, the Central Park (Wellington) substation with high-tension connection from Khandallah, and the Highbank-Horarata link); £291,719 on new generating machinery at Piripaua, Highbank, and Arapuni; £282,080 on the Karapiro development, and £85,210 on works at Kaitawa. The balance included £27,127 on exploration surveys at Maraetai and elsewhere in the Waikato valley, and £25,250 on Lake Taupo control. Local-authority expenditure included £191,049 on distribution systems and £46,066 on transmission.

Assets and Liabilities.

The following statement of assets and liabilities summarizes the financial position of the industry as at 31st March, 1944, in addition to setting out the state of reserves and invested funds.

AssetsLiabilities
* includes £2,440,767 already utilized by government undertakings for redemption of loans.
 ££ ££
Capital expenditure40,208,55 Capital raised30,907,350 
Less amounts written off, &c.272,33 Less repaid3,778,705 
  45,930,225Balance owing 33,18S,555
Stocks and trading department capita 1,912,905Other liabilities (including sundry creditors) Reserves— 1,182,930
Reserve funds accrued (invested out side the undertakings)— 1,182,930Reserves—  
Sinking funds 1,930,532Sinking fund reserve *4,888,566
Depreciation funds 1,161,504Depreciation reserve 5,947,517
Renewal and other funds 1,567,863Renewal fund reserve 848,055
Cash in hand and bank, sundry debtors &c. 4,044,559Insurance fund reserve 117,762
  Other special reserves7,705,962  
   General reserve 902,329
   Credit balance, Revenue Account 1,711,972
  £50,553,048  £56,553,648

Power Plant.

Particulars relating to the power plant in use during the year ended 31st March, 1944, are set out hereunder.

Source of Power.Main Plant.Standby Plant.Totals.
 No.B.H.P.No.B.H.P.No.B.H.P.
Steam-engines21,66628100,43030102,102
Water-turbines101577,185133,810114581,001
Gas-engines....51,70351,703
Oil-engines111,7664527,1015328,927

Units.

The following table sets out the number of units generated and their disposal. It should be noted that the figures for units sold are, inclusive of both bulk sales and the ultimate retail sales of the same energy, the totals shown being paper figures only. Thus centralized generation has combined with increased retail consumption to swell the figures for sales of energy.

Year ended 31st March,Units (000 omitted).
Generated.Purchased.Totals.Sold.Lost in Transmission, &c.
19401,631,3321,373,6633,004,9952,652,109352,886
19411,829,7261,629,9583,459,6843,077,062382,622
19421,928,6461,716,9933,645,6393,261,767383,872
19432,036,3721,751,7233,788,0953,390,321391,769
19442,170,1941,886,0934,056,2873,621,895434,392

Revenue.

Revenue is derived chiefly from the sale of energy, and in 1943–44 this source was responsible for over 98 per cent. of the total. The amount of revenue derived from rates has shown a steady decrease, and during 1943–44 represented less than 0£03 per cent. of the total. The following table sets out the revenue of all stations.

Year ended 31st March,Sale of Energy.Profits, Sale of Apparatus.Miscellaneous.Interest.Rates.Totals.
 ££££££
19406,995,75546,03865,41112,0486,8007,126,052
19417,886,24944,938131,33511,3945,2978,079,213
19428,072,29834,850137,668S,9304,4788,258,224
19438,241,14543,287101,0909,1014,1088,398,731
19448,834,38837,263102,85012,2102,5868,9S9,297

Expenditure.

A study of the expenditure figures reveals that overhead coats, comprising management expenses and capital charges, have been until recent years slightly greater than prime costs, which may be taken as the operating-expenses. During the year ended 31st March, 1944, however, of the total expenditure recorded (£7,575,847), 42£3 per cent. represented overhead expenses, while operating-expenses or prime costs stood at 57£7 per cent.

Recent movements in the percentage of operating-expenses to total expenses have closely paralleled variations in the ratio of bulk sales to retail sales, a rise in which tends to inflate the figure for cost of power. Energy may be sold more than once in bulk before reaching the retailing authority. In this connection mention may be made of certain contracts existing between the Government and some local authorities, whereby the latter are required to maintain their standby plants and to operate them, whenever called upon, to supplement the State hydro-electric supply. The units so generated, chiefly by fuel plants, are purchased by the Government and resold, in most cases to the generating authority, for distribution. The increased demand made during the last four years upon this auxiliary supply accounts for the sharp rise since 1940 in costs of fuel and standby plant. Owing, however, to the transfer of the King's Wharf steam station on 1st April, 1942, from the Auckland Electric-power Board to the Government, the figures shown for cost of standby plant in the last two years are not strictly comparable with earlier figures.

The table following gives an analysis of expenditure.

Item.Year ended 31st March,
1940.1941.1942.1943.1944.
* include fuel used in standby plants.
Operating Expenditure
 £££££
Cost of power2,008,9892,446,2362,545,8412,488,1472,711,249
Coat of generation110,679139,751142,867182,393182,979
Fuel42,639310,922311,213272,615373,015
Stores4,7712,5713,5983,2362,909
Repairs40,23121,32816,92622,61523,972
Standby plant127,142*153,943176,500100,503142,700
Cost of transmission187,781206,498206,670269,240251,849
Cost of distribution659,950695,597657,349643,298658,461
Public (street) lighting31,16232,97925,66523,42026,138
Totals3,213,3444,009,8254,086,6294,005,4674,373,272
Miscellaneous Expenditure
 £££££
Cost of management468,832478,86518,445509,422520,458
Insurance27,48427,5530,61835,60835,236
Losses from trading9,6866,253,1181,2051,511
Other expenditure39,05025,08426,64524,33821,523
Totals545,052537,755578,826570,633578,738
Capital Charges
 £££££
Interest1,299,3581,302,2451,270,6791,304,0171,340,784
Sinking fund781,014520,682645,777473,964511,347
Depreciation reserve369,636262,466312,265559,728486,521
Loan repayment129,419164,081171,701197,942226,905
Exchange84,23472,19069,25161,2258,280
Totals2,663,6612,321,6642,469,6732,596,8802,623,837
Grand totals6,422,0576,869,2447,135,1287,172,987,575,847

The distribution of the expenditure per unit sold is given hereunder.

 Year ended 31st March,
1940.1941.1942.1943.1944.
 d.d.d.d.d.
Operating-expenses0.290.310.300.280.29
Capital charges and miscellaneous expenses0.290.220.230.230.21
Totals0.580.530.530.510.50

Appropriation of Surplus.

The following table shows the appropriations of net surplus for years ended 31st March.

 1940.1941.1942.1943.1944.
 £££££
Renewal Fund39,44582,62081,969105,71978,154
Reserve Fund223,827238,398240,921115,285148,487
Taxation..336,641343,923435,672451,378
Other246,345299,472293,568253,575264,879
Total appropriated509,617957,131960,381910,2511,042,898

HYDRO-ELECTRIC POWER IN USE.

The following table shows the hydroelectric horse-power actually in use in the various districts at the 31st March in each of the last five years. The figures cover all hydro-plants exceeding one horse-power, whether main or standby, with the exception of plants not exceeding six horse-power used exclusively for farming purposes.

District.1940.1941.1942.1943.1944
 H.P.H.P.H.P.H.P.H.P.
Auckland North3 0673 0674,0744 0744 074
Auckland     
Auckland South182,881182,881181,900131,950112,950
Gisborne84,03984,03984,027112,647140,028
Hawke's Bay     
Taranaki North15,06115,04114,60514,60514,605
Taranaki1,4951,4951,4861,4851,485
Wellington North32,034½32,03532,02032,03532,020
Wellington3,0953,0953,0353,0353,035
Marlborough     
Nelson1,4091,4091,3751,3751,375
Westland10,0008,9909,12010,14010,100
Canterbury59,81859,81859,60459,60450,604
Canterbury South     
Otago80,722½80,223116,367121,367121,209
Southland13,26912,81912,36612,04611,446
Totals486,891484,912519,978553,763580,931

The following table gives an analysis of the purposes for which plants were generating power as at the 31st March, 1944.

District.Mining.Electric Supply.Flax-mills.Sawmills.Farming.Construction Works.Freezingworks.Paper-mills.Miscellaneous.Totals.
H.P.H.P.H.P.H.P.H.P.H.P.H.P.H.P.H.P.H.P. 
Auckland North..4,070....4........4,074
Auckland          
Auckland South..181,950..............181,950
Gisborne..140,000....28........140,028
Hawke's Bay          
Taranaki North..14,600............514,605
Taranaki..1,485..............1,485
Wellington North..32,020..............32,020
Wellington..3,035..............3,035
Marlborough          
Nelson..1,375..............1,375
Westland6008,850..350........30010,100
Canterbury..59,595................
Canterbury South          
Otago..120,810....101......238121,209
Southland..9,6808......7501,000211,446
Totals600577,4708350202..7501,000545580,931

The figures shown in the above table do not, of course, indicate the purposes for which hydro-electric power was used, since by far the greatest proportion of the total horse-power used in industry would be drawn from the electric-supply stations and not generated in separate plants.

Chapter 45. SECTION 45.—MISCELLANEOUS

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 deaths often experienced difficulty in selecting a suitable person competent and willing to act as trustee. That difficulty was natural in a new country where the colonists were fully occupied with their own affairs, and were unable to give to the property or business of another the close attention that was demanded. Even if an otherwise suitable trustee could be found, his solvency—an essential element in a trustee—might be in doubt, particularly when the value of colonial property fluétuated considerably and the financial position of an individual could quickly change for the worse. Again, changes of residence were frequent, and the trustee appointed might have left the colony or have moved to another part of it just at the time when his presence and services were most required.

In these circumstances the Public Trust Office was established in 1872 (it is now constituted under the Public Trust Office Act, 1908), under the administration of the Public Trustee, who was constituted a corporation sole with perpetual succession and a seal of office. The main purpose of the original Act was to provide a means of overcoming the difficulties that have been mentioned and to make available to the public a trustworthy administration of the estates of deceased persons at a minimum cost, the integrity of the Public Trustee and his officers being guaranteed by the State. That continues to be the chief function of the Office, but since its establishment the range of service has been very considerably extended and the Public Trustee now acts in many diverse capacities—e.g., as administrator in intestate estates; executor and trustee under wills; trustee under marriage and other settlements; trustee of benefit or relief funds; agent or attorney for absentees: Sinking Fund Commissioner for local authorities; administrator of unclaimed lands and property; statutory administrator of the estates of mental patients (other than Natives) where no committee of the estate has been appointed by the Court; manager (when so appointed by the Court) of the estates of aged and infirm persons unable to administer their own affairs: administrator of compensation-moneys payable in respect of the death of a worker (unless the Court orders otherwise); statutory administrator of the estates of all convicts (other than Natives); and agent for the investment of the moneys of the National Provident Fund and certain State superannuation funds, together with the supervision of the investments made on behalf of these funds and those arranged by the Public Service Superannuation Board. 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.

The experiment of establishing the Public Trust Office—one of the earliest examples of a State service—has proved an unqualified success and a striking testimony to the foresight of the Hon. E. C. J. Stevens, who first suggested the appointment of a Public Trustee, and Sir Julius Vogel, who was largely responsible for legislative effect being given to the proposal. Ample evidence of this is to be found in the fact that 21,039 estates and funds of a total value of £66,788,292 were under the Public Trustee's administration at the 31st March, 1944, as compared with the 257 estates, of a total value of £17,500, that were under administration in 1873. The beneficial results achieved in the Dominion have not passed unnoticed outside New Zealand and have led to the establishment of similar offices in England and other parts of the Empire.

The progress that has been made in the present century is illustrated by the following table.

Year ended 31st March,Estates and Funds under Administration.Wills of Living Persons on Deposit.
Number.Value.
  £ 
19002,6672,192,594675
192014,67920,860,68625,792
193018,54953,049,43768,253
194019,46862,622,17597,675
194421,03966,788,292125,343

The following is a classification of the estates and funds that came tinder administration during the year ended 31st March, 1944, and of all estates and funds under administration on that date.

——New Estates and Funds during 1943–44.Estates and Funds under Administration at 31st March, 1944.
Number.Value.Number.Value.
  £ £
Wills estates2,1223,448,1058,90222,499,772
Trusts and agencies231398,5132,8198,020,470
Intestate estates633422,7832,6901,657,139
Mental patients' estates590675,5302,9403,461,148
Miscellaneous estates and funds1391,468,4333,68831,149,763
Totals3,7156,413,36421,03966,788,292

Capital moneys becoming available for investment either form part of the Common Fund of the Office or, at the option of the testator or settler, 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 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 settlers desire their funds to be placed in the Common Fund.

In the year ended 31st March, 1944, 7,358 wills were deposited with the Public Trustee, and 3,119 were withdrawn on account of the death of the testator or for other reasons, the net increase for the year being 4,239. The number of wills on deposit at the 31st March, 1924, appointing the Public Trustee executor was 39,682; by the 31st March, 1934, it had increased to 81,403; while at the 31st March, 1944, it had risen to 125,343. In addition to preparing the will of the testator in the first instance, the Office prepares any subsequent will or codicil that may be necessary to give effect to alterations desired by him. During the year ended 31st March, 1944, effect was given in 4,961 cases to changes desired by testators.

JOINT-STOCK COMPANIES.

For thirty years following the enactment of the Companies Act of 1903, no comprehensive revision of statute law relating to companies was made in New Zealand, and the essential provisions of company law remained substantially unaltered. In 1930 the Attorney-General appointed an advisory committee, including representatives of the business community and of the professions of law and accountancy, to act with the Law Draftsman in framing a new measure, which, in the form of the Companies Act, 1933, came into force on 1st April, 1934. In great part the measure is an adaptation of the Imperial Act of 1929 to suit the special conditions of Now Zealand.

A noteworthy step in the history of company legislation was taken by the Companies (Bondholders Incorporation) Act, 1934–35, which provided machinery for the incorporation of the holders of bonds issued by certain afforestation and other companies.

The position of certain investment companies in 1934 led to the appointment of a Commission of Inquiry and the passing of a novel series of legislative enactments designed to investigate their affairs and to protect the investors. The Acts passed comprised the Companies (Special Investigations) Act, 1934; the Companies (Special Liquidations) Act, 1934–35; and the Companies (Temporary Receivership) Act, 1935.

A company, to acquire legal entity, must be incorporated, and under the Companies Act, 1933, incorporation is granted after the registration of the memorandum of association with the Registrar of Companies. A company incorporated overseas is not required to re-register in New Zealand, but must deliver to the Registrar of Companies for registration a certified copy of its instrument of constitution, as well as a list of its directors and the name of its authorized representative in New Zealand.

During the year ended 31st December, 1944, 451 private and 13 public companies were registered. In the following table these companies are classified according to the amount of their nominal capital. No overseas companies filed documents during the year.

Amount.Private Companies.Public Companies.
Number.Aggregate Nominal Capital.Number.Aggregate Nominal Capital.
  £ £
Under £1,0008545,11621,000
£1,000 and under £2,000138163,96522,500
£2,000 and under £3,00084181,80012,000
£3,000 and under £4,00044138,91033,500
£4,000 and under £5,0001666,150....
£5,000 and under £6,00030150,60015,000
£6,000 and under £7,0001379,450....
£7,000 and under £8,000214,500....
£8,000 and under £9,000540,00018,000
£9,000 and under £10,000327,125....
£10,000 and under £15,00018193,500330,000
£15,000 and under £20,000346,000....
£20,000 and under £50,0009211,100130,000
£50,000 and over150,000....
Limited by guarantee....1..
Totals4511,408,2161382,000

The next table shows the number and aggregate nominal capital of each of the three classes of companies registered during the last five years.

Year.Private Companies.Public Companies.Overseas Companies.
Number.Aggregate Nominal Capital.Number.Aggregate Nominal Capital.Number.Aggregate Nominal Capital.
  £ £ £
19403631,832,527201,138,7508808,000
19412792,784,4747911,31527,550,000
1942190676,8977154,5001130,000
1943261881,284648,8803617,200
19444511,408,2161382,000....

In comparing one year with another, as in the following table, it should not be overlooked that re-registrations on account of reconstruction of companies or for other reasons are included. Such re-registrations may have a considerable effect on the year's total, where large companies are concerned.

Year.Number.Aggregate Nominal Capital.
* See letterpress.
  £
192562114,760,398
192665510,748,231
19276988,701,808
192873610,984,907
192990312,472,057
19308936,702,675
19317958,283,581
19328126,865,769
19338307,300,999
1934933200,739,139*
193581024,238,018
19369429,934,903
19378886,113,476
19388246,575,619
19396818,910,167
19403913,779,277
194128811,245,789
1942198961,397
19432701,547,364
19444641,490,216

Overseas companies which filed documents, as required by Part XII of the Companies Act, 1933, are included in the above table. The extraordinarily high figure for 1934 is due to the inclusion of overseas companies (numbering 187 and with an aggregate nominal capital of £193,023,363) which previous to 1934 had established places of business in New Zealand and which were required to deliver documents to the Registrar of Companies before 1st October, 1934.

Companies carrying on Business.

Statistics of companies carrying on business in New Zealand were first compiled for the year 1926, and a further tabulation on the same basis—i.e., classification according to the size of the capital—was made for 1932. For the third compilation, covering all companies functioning at the 31st December, 1938, an additional classification was made according to the type of business. A strictly accurate classification under this heading was not possible, as a company may be empowered by its memorandum of association to carry out a diversity of objects. In such circumstances a company was classified according to what appeared to be its principal activity.

Tables classifying public and private companies (separately) according to the amount of their nominal capital and the type of business in which they were engaged appeared in the 1940 and 1941 numbers of the Year-Book. A further table classifying overseas companies according to type of business also appeared in the 1941 number. A summary of the principal heads of information available in respect of public and private companies at 31st December, 1926, 1932, and 1938, is here given.

At 31st December,Number.Nominal Capital.Subscribed Capital.Paid-up Capital.Amount owing under Charges.
* Not available.
  ££££
Public Companies
19261,63089,544,85858,807,51949,982,59316,181,126
19321,73297,553,57871,021,73659,106,90215,453,164
19381,626100,172,97873,170,41164,932,44617,477,939
Private Companies
19263,43936,060,343***
19326,08348,363,106***
19387,39955,793,621*49,270,54420,460,066

The apparent decrease in the number of public companies between 1932 and 1938 is probably due to the fact that the figure for the earlier year included a number of companies in liquidation or otherwise in a more or less moribund state, while the number for 1938 referred only to companies actively functioning. Nevertheless, the effective capital employed by public companies (paid-up capital plus charges owing) shows an increase in 1938 of £7,850,000 over the 1932 amount and of £16,250,000 over the 1926 figure. These increases do not necessarily represent new money invested in industry or other activities, as increases due to the conversion of previously existing organizations into companies are also included.

The number of private companies more than doubled during the period 1926 to 1938, while the nominal capital increased by just under £20,000,000. The effective capital employed by private companies at the and of 1938 was approximately £69,750,000, which, added to that of public companies gives a total of £152,000,000. This amount, of course, is exclusive of company reserves.

In addition to the public and private companies covered above, there were 212 overseas companies operating in New Zealand at 31st December, 1938. These had a total nominal capital of £195,934,469, but there is no information showing the amount of capital employed in New Zealand, which obviously must be only a very small proportion of the amount shown.

There were, at the end of 1938, 29 companies limited by guarantee, 14 unlimited companies, 27 rural intermediate credit associations, and 5 companies of a miscellaneous character.

CINEMATOGRAPH THEATRES.

The statistics of cinematograph theatres shown hereunder relate only to picture-theatres, and do not purport to show employees, revenue, and expenditure of the motion-picture industry as a whole. In particular, the full revenue and expenditure in connection with screen advertising, and also head office expenses of controlling companies, 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 are leased or rented. The collection of statistics relating to cinematograph theatres was inaugurated in 1938–39. and the principal data for the last three years available are as follows:—

 1941–42.1942–43.1943–44.

* Adult admission charges (excluding amusements-tax).

† Including amusements-tax.

i.e., Shop rentals and rents received in respect of cinematograph theatres let for other purposes.

§ Representing rent paid; not including rental value of freehold premises.

Theatres (number)548523525
Persons engaged—   
    Male3 (number)1,4601,4421,495
    Females (number)1,5671,6721,705
    Total (number)3,0273,1143,200
Salaries and wages paid—   
    To males (£)249,874256,077280,980
    To females (£)129,170149,212165,724
    Total (£)379,044405,289446,704
Seating-accommodation—   
    Seats at under 1s. 6d.* (number)72,04967,351.71,690
    Seats at 1s. 6d.* (number)146,773147,275145,565
    Seats at 2s.* (number)37,90039,11540,333
    Seats at over 2s.* (number)10,93012,78312,328
    Total seats available (number)267,652266,524269,916
Paid admissions during year (number)31,218,47434,034,23238,256,659
Theatre revenue—   
    Admission receipts (£)2,133,5232,421,0582,803,086
    Screen advertising (£)36,51135,66042,961
    Rentals and other receipts (£)55,68953,35748,452
    Total theatre revenue (£)2,225,7232,510,0752,894,499
    Theatre expenditure—   
    Salaries and wages (£)379,044405,289446,704
    Film hire (£)622,302686,696806,322
    Freight (£)32,38134,90638,389
    Advertising (£)153,470146,863152,986
    Amusements-tax (£)69,79987,609121,169
    Rent£(£)285,524285,773289,303
    Other expenses (£)355,419397,583415,216
    Total theatre expenditure (£)1,897,9392,044,7192,270,089

The next table shows a classification of theatres, according to number of screening days per week, and of circuit operators.

Screening.Theatres.Persons engaged.Salaries and Wages.Seating-accommodation.Paid Admissions.Average Admission Charge.*
* Including amusements-tax.
 No.No.£No. of Seats.No.d.
Six days per week1932,328369,927168,26732,714,24518.2
Odd days per week19474163,55873,1804,649,71513.9
Circuit13813113,21928,469892,69915.3
Totals5253,200446,704269,91638,256,65917.6

A classification of theatre revenue and expenditure on a similar basis is now given.

Screening.Theatre Revenue.Theatre Expenditure.*
Admission Receipts.*Screen Advertising.Other.Total.
* Including amusements-tax.
 £££££
Six days per week2,476,78737,83741,9752,556,5991,986,514
Odd days per week269,4224,4185,645279,485232,006
Circuit56,87770683258,41551,569
Totals2,803,08642,96148,4522,894,4992,270,089

There were 30 circuit operators in the Dominion during 1943–44 and their operations covered 138 theatres or halls.

PATENTS, DESIGNS, AND TRADE-MARKS.

Proceedings instituted for the grant of letters patent, and for the registration of designs and trade-marks, reached a total of 2,121 in 1943, as compared with 1,562 in 1942 and 2,718 in 1933. The 1943 figure is the highest since the outbreak of war.

Of the 1,381 applications for letters patent during 1943, 526 were filed with provisional specifications and 855 with complete specifications. Patent fees for the year amounted to £10,371.

The total number of applications received up to 31st December, 1943, was 87,832, and the patents in force in New Zealand at that date numbered 8,694. The number of patent agents on the register was 14.

Of the applications for letters patent during 1943, 559 were received from residents of New Zealand, 315 came from Great Britain, 261 from Australia, 208 from the United States of America, and 38 from other countries.

The trend of invention in 1943 is indicated by the number of applications (the figures for 1942 being shown in parentheses) received in the following classes: electricity and magnetism, 92 (60); explosives and firearms, 74 (64); harvesting, 21 (5); medicines and surgical appliances, 39 (17); metal-working, 44 (26); telephony and telegraphy, 278 (227); and vehicles, 51(27).

The number of applications during 1943 in respect of trade-marks was 678, and the fees received totalled £3,072. Of the total applications, 258 were made by residents of New Zealand.

Applications during 1943 for registration of designs totalled 62, and the fees received amounted to £104.

The following table shows the number of applications for patents and for the registration of trade-marks and designs in each of the last eleven years.

Year.Patents.Trademarks.Designs.
19331,761814143
19341,766915146
19351,730943185
19361,8361,096124
19371,832889193
19381,960860160
19391,821694137
19401,277626108
19411,214534108
19421,10439860
19431,38167862

For the year 1943 the total receipts of the Patent Office were £13,657 and the payments £4,824, leaving a surplus of £8,833. Comparative figures for 1942 were: receipts, £11,668; payments, £5,900; surplus, £5,768.

INSPECTION OF MACHINERY.

The Inspection of Machinery Act 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 and power-driven machinery on land; and machinery used on vessels afloat that are not self-propelled. 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 horse-power. Machinery which is used exclusively for farming purposes and does not exceed six horse-power is also exempt from annual inspection.

Boilers, pressure-vessels, air-receivers, lifts, and cranes are required to be of approved design and workmanship, and the moving parts of machinery must be adequately guarded.

All boilers and machinery are inspected and certificated once per year and lifts twice per year. It is illegal to work a boiler or other pressure-vessel or any machinery, including a crane or a lift, which does not carry a current certificate of inspection issued by the Marine Department.

Particulars of inspections of boilers and machinery during the years ended 31st March, 1943 and 1944, were as follows:—

 1942–43.1943–44.
Boiler inspections—  
   Stationary, portable, and traction boilers4,3634,600
   Steam-pressure vessels5,3636,319
   Air-receivers2,7623,228
     Total boilers12,48814,147
Machinery inspections—  
   Lifts3,3643,470
   Cranes539545
   Hoists1,6751,768
   Machines driven by steam power9,3229,595
   Machines not driven by steam power77,75282,760
   Electric-power supply station units102109
   Tractors359353
     Total machinery93,11398,600
     Grand total105,601112,747

The Act provides 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 Inspector of Machinery. There were no boiler explosions during the year 1943–44. The number of accidents reported as caused by machinery were 6 fatal and 118 non-fatal, as compared with 9 fatal and 138 non-fatal accidents in 1942–43.

In 1943–44 new boilers, pressure vessels, and air receivers to the number of 1,034 were inspected and tested before being used. Of these, 957 were made in New Zealand.

Revenue and expenditure in connection with inspection of machinery for the last five years have been as follows:—

———1939–40.1940–41.1941–42.1942–43.1943–44.
Revenue—£££££
  Inspection fees, &.22,41821,73922,79722,19823,557
  Examination fees, &.547409596453419
   Totals22,96522,14823,39322,65123,976
Expenditure22,52322,65322,84422,93525,000

The Act also provides for the issue of certificates to those who pass the prescribed examinations for land engineers and engine-drivers in charge of boilers and machinery, for winding-engine drivers for mining purposes, for drivers employed on locomotives working on railway-lines not under the control of the Government Railways Department, and for the drivers of traction-engines on roads. Certificates are also issued to electric-tram drivers, as provided by the Tramways Amendment Act. 1910. The issue of these certificates is controlled by a Board of Examiners set up under the Act, the Chairman being the Chief Inspector of Machinery.

The total number of candidates examined during the year 1943–44 was 406, and of this number 310 were successful.

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, &.—must, in the aggregate, account for a considerable annual value, it is quite 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, live-stock 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 method of valuation of each individual item has remained substantially the same throughout 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 a close approximation only.

Since the basis of valuation is (as far as possible) at the point of production, transport costs are only partly represented in the values shown, while the accretions to the value of commodities caused by the services of retailers and other distributors of finished products are not included in the statistics.

In classifying the value of production into the principal groups care has been taken to avoid duplication, products of one group which constitute the raw material of another group being counted once only. For example, the gross value of agricultural products in 1942–43 is estimated at £32,900,000; but, as the major part of this was utilized for the purpose of adding value to live-stock, the net value-only (£12,600,000) is classified under the heading“Agricultural,”since live-stock and live-stock products are included in either the“Pastoral”or the“Dairying, &.,”group.

Products have been classified into the groups to which they most logically belong from a production point of view, butter and cheese, for example, being classified under“Dairying, &.,”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 saw-milling). The total value of output of factory industries is included in cases where the materials are produced in New Zealand and are not already included as production in some other group.

The estimates of value of production from the year 1900–01 onwards are quoted in the following table. It should be understood that all values are in terms of New Zealand currency, which since the latter portion of 1929–30 has been at a discount in terms of sterling. A global estimate such as this is, from its nature, subject to amendment from time to time as additional data on production become available, and improvements in technique are effected. Minor amendments in the estimates are incorporated in the figures appearing hereunder.

VALUE OF PRODUCTION

Year.Agricultural.Pastoral.Dairying, Poultry, and Bees.Mining.Fisheries.Forestry.Factory.Building and Miscellaneous.Totals.
 £(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)
1900–014.112.23.72.90.12.05.43.533.9
1905–064.317.35.34.20.12.66.85.245.8
1910–114.020.57.44.60.22.88.15.853.4
1915–167.631.211.54.80.31.99.75.372.3
1916–176.331.412.73.30.22.410.65.272.1
1917–187.332.913.83.50.22.611.55.377.1
1918–198.037.614.83.10.32.612.65.984.9
1919–208.837.218.03.40.43.115.16.492.4
1920–218.830.226.23.10.44.618.67.699.5
1921–229.528.821.82.90.54.517.28.293.4
1922–238.131.425.23.00.44.518.09.7100.3
1923–247.133.224.63.20.54.719.211.4103.9
1924–258.144.126.23.10.54.820.811.9119.5
1925–268.432.925.23.20.64.722.313.1110.4
1926–278.832.724.73.50.54.023.013.9111.1
1927–289.639.327.23.60.53.522.813.1119.6
1928–299.943.129.33.60.53.424.012.4126.2
1929–309.136.128.43.70.63.625.613.4120.5
1930–318.824.622.23.60.52.923.311.397.2
1931–328.019.321.93.40.41.718.610.083.3
1932–338.920.421.23.40.41.717.710.083.7
1933–348.732.122.53.50.42.018.610.698.4
1934–357.928.323.03.80.42.620.710.096.7
1935–369.234.528.84.00.43.023.210.7113.8
1936–378.847.133.34.00.53.626.711.9135.9
1937–388.640.735.14.20.64.130.012.5135.8
1938–399.237.436.04.40.64.030.514.0136.1
1939–4010.138.437.94.90.64.433.515.0144.8
1940–4110.148.540.85.00.64.537.113.7160.3
1941–4211.247.939.65.10.64.541.213.4163.5
1942–4312.648.738.24.90.65.045.214.6169.8

The total value of production reached a record level of £169,800,000 in 1942–43, and recorded an increase of £6,300,000, or 3£9 per cent., as compared with the previous year.

Compared with 1941–42, the total of the farming groups for 1942–43 (£99,500,000) showed the small increase of £800,000, the agricultural group being up by £1,400,000, and the pastoral group by £800,000, while the dairying, &., group showed a decline of £1,400,000. The increase in the agricultural group was due mainly to increased yields of wheat, potatoes, onions, tobacco, and linen flax, and an increase in the aggregate of market-garden production, together with higher wheat prices. Increased prices for wool accounted for the major part of the increase in the value of the pastoral group, while the decline in butterfat-production was mainly responsible for the decrease in the dairying, &., group.

The mining group showed a decrease of £200,000, mainly on account of a fall in gold-production, the forestry group increased by £200,000, while the value of fisheries production remained at the same level.

The factory group, which has recorded a series of successive increases since the year 1932–33, showed an increase in 1942–43 of £4,000,000 or 9£7 per cent. in value as compared with 1941–42. Of the total value of production, this group accounted for 21.1 per cent. in 1932–33 and 26£6 per cent. in 1942–43. It should be borne in mind that the amount shown as factory production in the value of production statistics does not include the value of production in the industries processing primary products. Production in such cases is credited to the appropriate primary-production group (dairying, pastoral, forestry. &.)

The building-and-miscellaneous group, which fell away in each of the two preceding years, showed an increase of £1,200,000 in 1942–43. This group has suffered severely from the impact of the demands of a war economy.

VOLUME OF PRODUCTION.

In connection with the annual estimate of value of production it has been customary to publish also an index number of the volume of production. Up till recently this index was arrived at by applying to the index of value of production a specially computed index of producers' prices.

A new system of computation of the index of the volume of production is now being used, and the new series of index numbers is given below.

The method of computation of the new volume series is somewhat involved and cannot be set out here in full detail. Where, however, figures of physical volume of output are available (as for practically all farm, mining, forestry, and fishery production) these figures have been used. For factory industries, quantity figures—either of products or of materials used—have been utilized where available, and in the case of other factory industries a figure closely indicative of volume movements has been arrived at by applying to the cost of materials used an index of wholesale prices of the principal materials used in the industry.

Information as to the number of dwellinghouses erected, classified according to number of rooms, is normally available, and from a consideration of this data, value figures for other classes of building activity have been converted into equivalent dwelling or room-units. The composite total of actual and equivalent dwelling- or room-units is a sufficiently reliable indicator of actual volume of building production to permit of its incorporation in an index measuring the year-to-year movement in the volume of total production. Similarly, for those physically productive occupations (representing only a small percentage of aggregate production) not included in any of the groups mentioned above, a reasonably close approximation of movement is afforded by a consideration of the numbers of men engaged, with allowance for changes in working-hours and also for the relative productive output of different classes of labour.

The following table gives figures of values, 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)

Year.Farm.Factory.*Total (including Other).
Value.Index Number of Volume.Value.Index Number of Volume.Value.Index Number of Volume.
Total.Index NumberTotal.Index NumberTotal.Index Number
* Excluding factory industries included In other groups.
 £(m.)  £(m.)  £(m.)  
1928–2982.31007924.07968126.29377
1929–3073.6898325.68472120.58981
1930–3155.6678423.3766597.27178
1931–3249.2608418.6615683.36175
1932–3350.5619617.7585783.76183
1933–3463.3779918.6615998.47287
1934–3559.2729620.7686996.77187
1935–3672.58810123.27676113.88493
1936–3789.210810426.78890135.910099
1937–3884.410210430.09895135.8100100
1938–3982.610010030.5100100136.1100100
1939–4086.410510233.5110110144.8106105
1940–4199.412011637.1122114160.3118112
1941–4298.711911141.2135117163.5120110
1942–4399.512010845.2148122169.8125109

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

Year.Mean Population, Year ended 30th June.Volume of Production.Volume of Production.
Total.Per Head.Index Numbers (1938–39 = 100).Index Numbers (1938–39 = 100).
Total.Per Head.Total.Per Head.
* Not available.
  £(m.)£    
1900–01812,01033.941.72550**
1905–06929,06645.849.33459**
1910–111,050,01453.450.93961**
1915–161,150,37272.362.85375**
1916–171,148,57872.162.85375**
1917–181,151,23577.167.05780**
1918–191,174,62884.972.36286**
1919–201,217,15092.475.96890**
1920–211,258,31399579.17394**
1921–221,291,37693.472.36986**
1922–231,317,154100.376.17490**
1923–241,339,786103.977.57692**
1924–251,367,978119.587.488104**
1925–261,399,583110.478.98194**
1926–271,427,569111.177.88293**
1927–281,447,657119.682.68898**
1928–291,464,582126.286.2931027785
1929–301,482,805120.581.389978189
1930–311,504,02297.264.671777884
1931–321,521,22883.354.861657580
1932–331,533,25283.754.661658388
1933–341,545,62898.463.772768791
1934–351,556,92396.762.171748791
1935–361,568,432113.872.684869396
1936–371,582,244135.985.910010299101
1937–381,598,570135.885.0100101100101
1938–391,616,650136.184.2100100100100
1939–401,636,680144.888.5106105105103
1940–411,634,238160.398.1118117112111
1941–421,631,375163.5100.2120119110109
1942–431,639,407169.8103.6125123109107

INDUSTRIAL EFFICIENCY.

In keeping with modern trends of industrial planning and organization in overseas countries, the Legislature of the Dominion introduced in 1936 a measure designed“to promote the economic welfare of Now Zealand by providing for the promotion of now industries in the most economic form and by so regulating the general organization, development, and operation of industries that a greater measure of industrial efficiency will be secured.”This legislation became operative as the Industrial Efficiency Act, 1936, and under it the Bureau of Industry was constituted.

The Bureau of Industry, which moots at frequent intervals, is comprised of both“ordinary”and“special”members, appointed by the Minister of Industries and Commerce. The“ordinary”members are Government officers who are appointed because of some special knowledge or qualifications appropriate to the administration of the Act.“Special”members are those who have been appointed to represent manufacturing industries and agricultural and pastoral industries.

The Industrial Efficiency Act charges the Bureau with a number of functions, the principal of which is the making of recommendations to the Minister for the administration of the Act. In addition to its advisory functions, the Bureau is the licensing authority under the Act, and besides preparing plans for industries it is charged with maintaining a continuous survey of industries, of industrial finance, and of industrial methods, as well as collaborating with the Department of Scientific and Industrial Research and the New Zealand Standards Institute.

The Act provides for the formulation of an industrial plan for the organization of any industry or of related industries. Prior to October, 1940, only two industrial plans, relating to the pharmacy and flax industries respectively, had been brought into operation. In that month, however, the Licensed Industries General Regulations were introduced, with a view to facilitating the preparation of plans and to serve as the basis for the plans. Since then plans for the footwear, electric range, and radio manufacturing industries have been brought into operation, while plans for a number of other industries have been provisionally formulated. These, however, have not been proceeded with owing to war conditions.

An industrial plan sets out, for the most part in general terms, what might be described as a code for the better organization of the industry, and defines the functions of the industrial committee, which is appointed in each case to administer the plan. Such a plan cannot be put into operation until a majority of those engaged in the industry indicate their acceptance, and where a plan is accepted the Act provides for the appointment of an industrial committee representing the employers, the workers, and the Government. When the licensees in the industry reject a plan, the industry is delicensed, which removes the industry from the operation of the Act.

It is, however, the portion of the Act relating to industrial licensing that has engaged the greater attention of the Bureau of Industry. Licensing is usually a prerequisite to planning, and involves control being exercised over the entry of new units into the respective industries, as well as the imposition of appropriate conditions on licenses in order to ensure that the industry is being carried on by licensees in a manner calculated to conform to industrial efficiency and national interest.

Provision is made in the Act for all decisions of the Bureau of Industry to be subject to appeal by persons who consider themselves aggrieved by the decisions, and this section of the Act has been availed of to a considerable extent. The appeals are hoard by an appeal authority appointed by the Governor-General. Although a number of appeals have been successful, the proportion of those to the total decisions of the Bureau is under 1 per cent.

As an indication of the extent to which businesses have become subject to the Industrial Efficiency Act, it may be mentioned that there are about 6,850 licensed units, made up mainly of the distributive or semi-distributive industries. There are licensed some 3,700 resellers of motor-spirits, 557 pharmacists, 650 fish-retailers, and 1,650 fishermen. In addition, there were at 31st March, 1945, 268 licensed fishermen serving with the Armed Forces, and on their return from service they may resume the licenses held by them should they so desire. So far as manufacturing industries are concerned, the total number of units is not large, many licensed industries having less than six units, while others range up to eighty.

In addition to the above functions, the Bureau of Industry is charged with making recommendations to the Government on applications made by industrial enterprises for financial assistance from the State.

On 31st March, 1945, the following thirty-six industries were subject to licensing under the Industrial Efficiency Act:—

  • Manufacture of agar for sale.

  • Manufacture of apple-juice for sale.

  • Manufacture of products consisting of a combination of asbestos and cement.

  • Manufacture of batteries or cells, commonly known as dry cells.

  • Manufacture of cement: Portland and other structural or building cement.

  • The business of any chemist or druggist carried on by the keeping of any open shop or place for the compounding or dispensing of prescriptions.

  • Manufacture of cigarette-papers.

  • Manufacture of colloidal sulphur.

  • Taking, by a fisherman, of fish for sale (not trout, whitebait, or oysters).

  • Export of fish (not salmon, trout, whitebait, or oysters).

  • Canning of fruit and vegetables.

  • Manufacture of footwear for sale.

  • Manufacture of gut from casings.

  • Manufacture, from linseed, of oil or oil cake for sale.

  • Manufacture of macaroni for sale.

  • Manufacture of malt-extract.

  • Importation and/or wholesale distribution of motor-spirits.

  • Retail sale and distribution of motor-spirits.

  • Manufacture of nails.

  • Extraction from fish-livers of nutritional or medicinal oils.

  • Taking of oysters from oyster-beds.

  • Manufacture of paper-pulp or paper products.

  • Milling of phormium products.

  • Dehydration of plants for medicinal purposes.

  • Preservation of fish for sale in hermetically sealed cans, jars, or other containers.

  • Manufacture of pumps or the assembly of parts thereof for the distribution of motor-spirits.

  • Sale by retail of fish (not trout or oysters).

  • Sale by wholesale of fish (not trout or oysters).

  • Manufacture of radio-receiving sets for sale.

  • Manufacture of electric ranges, including the assembly of parts thereof.

  • Manufacture of rennet.

  • Manufacture of bituminous roofing-material for sale.

  • Manufacture of rope and twine.

  • Manufacture of rubber tires and tubes for all typo3 of vehicles.

  • Manufacture of salt for sale.

  • Manufacture of wooden heels for footwear.

The descriptions of the industries listed above in many cases servo only in a general way to indicate the scope of the industries licensed, full details being available in the relevant licensing notices.

REHABILITATION.

The Rehabilitation Act, 1941, as amended in 1944, makes provision for the re-establishment in civil life of discharged servicemen and for the reconstitution of wartime industries on a peacetime basis. A Department of State, called the Rehabilitation Department, has been set up, under the control of the Minister of Rehabilitation, under the authority of the Act, which also provides for the constitution of a Rehabilitation Board and a National Rehabilitation Council. The principal function of the Council is to make recommendations to the Minister (after investigation) in relation to the re-establishment of discharged servicemen in civil life. Particular matters mentioned in the Act in this regard include the following:—

  1. The reinstatement of discharged servicemen in civil employment or occupation:

  2. The necessary training required to qualify them for entry into civil employment and the granting of financial assistance during such training:

  3. The making of special arrangements concerning the passing of examinations, the completion of apprenticeships, or the obtaining of practical experience, &.:

  4. The granting of financial assistance to discharged servicemen and to servicemen's widows to enable them to acquire homes and furniture, or to acquire land, stock, implements, tools of trade, &., to commence any employment or occupation.

The Council consists of the Minister of Rehabilitation as Chairman, the members of the Board, and such other persons as the Governor-General may from time to time appoint. At 31st March, 1945, the total number of members was twenty-three. The Board consists of the Minister as Chairman, the Director of Rehabilitation, the Secretary to the Treasury, one of the Joint Managing Directors of the State Advances Corporation, the Under-Secretary for Lands, the Under-Secretary of the Native Department, and five other persons appointed by the Governor-General. The general function of the Board is 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. These Committees investigate and make recommendations in regard to applications for financial assistance or loans, report on the suitability of the applicant for the trade or business for which the assistance is required, and other relevant matters. The Committees also have limited powers in regard to making grants of small sums for immediate assistance, and allocate State rental houses to discharged servicemen, 50 per cent. of all houses becoming available under the Government's housing scheme being allotted for this purpose.

Other legislative measures designed for the purpose of rehabilitating discharged servicemen are the Servicemen's Settlement and Land Sales Act, 1943, which provides machinery for the compulsory acquisition of land for the settlement of servicemen, and the Small Farms Amendment Act, 1940, which provides that applications of discharged servicemen shall have preference over the applications of all other classes of persons for any land made available for selection under the Small Farms Act, 1932–33. The Land Laws Amendment Act, 1944, contains a similar provision in respect of ballots for land under the Land Act, 1924, and also provides that a lease or license of any land administered by a Land Board may be granted without competition to a discharged serviceman. These matters are referred to in more detail in the section of this Year-Book dealing with land tenure and settlement.

Trade Training.

Under the“A”Class training scheme discharged servicemen are given full-time training at training centres established by the Board in the case of building and allied trades, or at technical colleges in the case of engineering and welding. During the first eight months of the training period the trainee is paid by the Board at the rate of £5 15s. per week, increased to £5 17s. 6d. per week during the next four months. At the end of the training period the men are placed with employers and an“extension”period of twelve months training is embarked upon, during which award rates of wages apply. At 31st March, 1945, 542 men were in training under this scheme, and 616 had completed training and had been placed.

Under the “B” Class scheme of training the Board arranges contracts with the employer on the one hand and the trainee on the other hand, which provide for the employment and training of the ex-serviceman over a specified period at wages—provided for in the contract—which are subsidized by the Board at stated rates for stated periods. Where “A” Class training centre facilities in the trade concerned exist, single men are required to undertake training at such centres, and “B” Class training is confined, in such trades, to married men who would suffer inconvenience by being required to leave home to undertake “A” Class training. At 31st March, 1945, 768 applications for “B” Class training had been approved, 626 men were training, and 46 had completed training. The diversity of trades catered for, and the magnitude of the task accomplished by members of the Advisory Committees, will be appreciated when it is observed that no fewer than 150 trades or occupations are covered.

The “C” Class training scheme caters for the resumption of apprenticeships interrupted by war service. The Suspension of Apprenticeship Emergency Regulations 1944 provide that an apprentice on reviving his contract shall receive at least the apprenticeship rate of wages that he would then be receiving had his employment been continuous. If the expiry date of the contract has passed, or if the apprentice has reached the age of twenty-one years, the employer is called upon to pay him the final contract rate plus one-third of the difference between that rate and the relative journeyman rate. Where a contract is revived after the original expiry date has passed, or where the contract expires after revival, the wage payable is appreciably less than the journeyman's rate which would have been payable had the full contract term been served. As this is an obvious financial hardship arising directly from military service, the Board makes available a subsidy over and above the amount which the regulations require the employer to pay, in order to bring the apprentice's wage up to the journeyman rate. At 31st March, 1945, 318 ex-servicemen were in training under this scheme and 54 had completed their training.

Farm Training and Settlement.

Applications for assistance for the purpose of settling on the land are referred in the first place to the local Rehabilitation Committee, which considers whether the applicant is likely to prove successful as a farmer. If the Committee decides that the applicant merits establishment, he is referred to an appropriate Farming Sub-Committee, fifty-five of which have been set up throughout the Dominion. These sub-committees then grade the applicants into the following classes:—

  1. Fully experienced and qualified for immediate settlement:

  2. Partly experienced but in need of further training before settlement would be prudent:

  3. Inexperienced, but suitable for training with a view to ultimate settlement:

  4. Not suitable, for one or more reasons, for settlement.

Men graded “A” require no further training and are available for immediate assistance, but “B” and “C” Grade men must undergo prescribed training before they are regraded to “A”. Training measures include:—

  1. Subsidized training with approved private farmer employers:

  2. Training on blocks being developed by the Lands and Survey Department:

  3. Training on Rehabilitation Board training farms:

  4. Training at Agricultural Colleges.

The following wages and subsidy scale applies where trainees are engaged by approved farmers.

Period.Wage.Extra where Board and Lodging not provided.Total.Board Subsidy.Farmer's Share (including Board and Lodging).
 £s.d.£s.d£s.d.£s.d.£s.d.
First six months315015050021002100
Second six months31761505261150376
Third six months426150576176400
Fourth six months4501505100176426

The Farming Sub-committee is required to nominate the term of training, and the gross commencing wage and corresponding subsidy rate are fixed after reference to the farming experience, if any, of the trainee.

The training of applicants on blocks of land administered by the Lands and Survey Department is an alternative to training with private farmers, and the conditions of employment are the same, the Lands and (Survey Department being regarded for this purpose as the employer.

Trainees placed on one or other of the two training farms (Homewood, at Te Puke; and Wairarapa, near Masterton) administered on behalf of the Board are employed for as long as may be necessary on the indicated class of work, and are paid in full by the Board at rates comparable to those outlined in the preceding table.

Full-time tuition is provided for student-trainees placed at Canterbury and Massey Agricultural Colleges, single men being paid £2 per week and married men £4 per week, plus board and lodging in each case. In addition, the Board meets the college fees and expenses incurred in connection with books, instruments, &.

Up to 31st March, 1945, 734 men had been established on their own farms, and a further 1,136 who had been declared eligible for assistance under the Board's settlement scheme and who had been graded“A”were awaiting settlement.

The number of applicants approved for training to 31st March, 1945, was 903, of whom 35 failed to complete training, 131 had completed their training period, 342 were under training, and the remainder were awaiting placement. Of the 342 men under training at 31st March, 1945, 197 had been placed with private farmers, 20 were receiving training at Homewood and Wairarapa training farms, and 125 were at the agricultural colleges.

Education.

Educational facilities are also provided for ex-servicemen, and assistance is granted by the Board in the way of full-time bursaries, payment of fees, provision of text-books, &. Liaison is maintained with the education services in the Forces, so that the serviceman on his discharge may continue the course of study he has already pursued. The services of the Vocational Guidance Officers of the Department of Education are also at the disposal of ex-servicemen. Up to 31st March, 1945, 434 full-time bursaries had been granted in New Zealand, and 23 to men proceeding overseas for special courses of study. Assistance with payment of fees and books had been granted in 863 cases, and miscellaneous facilities in 66 other cases.

Financial.

The following is a summary of loan limits and interest rates applicable to the various types of loan granted by the Rehabilitation Board.

 Maximum Amount.Rate of interest.
 £Per Cent.
(a) Tools of trade50Free
(b) Furniture100Free
(c) Business5004
(d) Farms—  
  Going concerns—  
   Dairy5,0003
   Sheep6,2503
  Stock only1,5004
(e) House1,5003

In the case of business, farm, and house loans the interest rate for the first year is reduced to 2 per cent. per annum. In certain circumstances application for business loans in excess of £500 will be considered, particularly when the venture is regarded as of national value, and the finance required cannot be economically arranged on a partnership basis. Supplementary interest-free loans, which are repayable only in the event of sale of the security, are available in appropriate cases where in the acquisition of a farm or house property the price approved by the Land Sales Court exceeds normal lending values as determined by the Rehabilitation Loans Committee.

Special grants may be authorized in cases of hardship, and rehabilitation allowances may also be made.

Particulars of the numbers of the various classes of loans authorized to 31st March, 1945, and the amounts involved, are as follows:—

Class of Loan.Number.Amount.
* Excludes supplementary loans.
  £
Purchase of farm, &.7342,374,142
Residential—  
  Erection of houses782940,450
  Purchase, &.2,0181,886,872
  Supplementary1,285210,128
Tools of trade43312,908
Furniture5,589509,713
Businesses1,295564,854
Miscellaneous598,507
Totals10,910*6,507,574

The next table shows the expenditure of the Rehabilitation Department and loans authorized on rehabilitation for the year ended 31st March, 1945, and the total amount to 31st March, 1945.

Item.Year ended 31st March, 1945.Total to 31st March, 1945.
 ££
Administration expenses142,114268,057
Educational facilities28,34031,924
Farm training, including fees and subsistence allowances and subsidies to employers17,83118,168
Training of blinded servicemen869869
Grants to Disabled Servicemen's Re-establishment League4,27811,678
Land and buildings, Vocational Training Centres20,41270,207
Plant, machinery, and equipment1,5674,376
Purchase of artificial-limb factory2,4166,174
Special grants to ex-servicemen7,77710,155
Therapeutic employment for ex-servicemen4,41710,024
Trade training—  
  Centres operated by Rehabilitation Department (includes establishment and operational charges, wages, tools, plant, &.)185,484266,688
 Private firms, Disabled Servicemen's Re-establishment League (includes subsidies)72,44888,744
Travelling-expenses of ex-servicemen, including fares, furniture removals, and loss of earnings6,5258,304
Miscellaneous180668
Rehabilitation allowances110,745354,127
Loans (farms, business, housing, tools of trade, furniture, &.)4,534,8346,507,574
Purchase of land for settlement, development, and other expenses in connection therewith1,073,1191,543,125
    Totals6,213,3569,200,862

Housing.

In addition to the receipt of loans for the erection or purchase of homes, particulars of which have already been given, ex-servicemen receive a certain priority in the allocation of State rental houses. During the year ended 31st March, 1945, 1,507 of these houses were let to discharged servicemen, while the total number allocated to them by that date was 2,936. At the same time 5,860 applications from ex-servicemen were still pending.

Demobilization.

The number of personnel demobilized up to 31st March, 1945, was 68,675, of whom 41,009 had returned from overseas service, and the remainder had served with the home Forces. The rate of demobilization is shown in the following table, which gives the numbers at quarterly intervals from December, 1940, onwards.

ToEx Overseas.Ex Home Service.Total.
* Figures not available.
31st December. 1940141*141
31st March. 1941833*833
30th June, 19411,220*1,220
30th September, 19411,591*1,591
31st December, 19412,565*2,565
31st March, 19423,478*3,478
30th June, 19424,536*4,536
30th September, 19425,167*5,167
31st December, 19426,2469,22315,469
31st March. 19437,84711,44719,294
30th June, 19439,09313,51322,606
30th September, 194311,86615,79027,656
31st December, 194317,17317,47034,643
31st March, 194422,53520,12142,656
30th June, 194425,36421,76247,126
30th September, 194429,98623,94353,929
31st December, 194435,07925,46860,547
31st March, 194541,00927,66668,675

The next table shows the progress towards re-establishment of all ex-service men and ex-service women dealt with as at 31st March. 1945.

Ex Overseas.Ex Home Service.Total.
Men.Women.Men.Women.
Not yet discharged (remains on pay)4,11077618334,838
Retained on service strength1825....187
Returned to military service2,73365707113,516
Still on privilege leave8825131901
Serving civil sentences37..43..80
In mental institutions66125294
In hospitals, sanatoria, &.54741296686
Recuperating, but not as institution inmates1,27918692822,071
Intentions undecided, action pending4511015521637
Undergoing full-time training9211013811,070
Placed with pre-service employer1,0683603141,688
Placed with subsidy with pre-service employer125..76..201
Self-placed with pre-service employer8,206668,40514416,821
Placed with subsidy with other private employer70521201828
Placed without subsidy with other private employer5,49164,58718410,268
Self-placed with other private employer8,610465,79625114,703
Placed with subsidy in State employment6112183 
Placed without subsidy in State employment485131114811
Self-placed without subsidy in State employment401226813684
Placed with subsidy in Intermediate Scheme25..4..29
Returned to own business69211,18571,885
Returned to own farm634..68811,323
Acquired own business1,3983697102,108
Acquired own farm662..158..820
Depending on private means46421312275
Action closed as refusing help99322413339
Enrolled for placement (fully fit)28..634 
Enrolled for placement (light work only)19239812305
Left New Zealand1103402155
Unable to trace56 2622320
Temporarily lost contact803801164
Deceased16211345302
Established a home (women)..122..327449
    Totals40,54446526,4961,17068,675
Maoris included above1,3331674342,042

AUSTRALIAN - NEW ZEALAND AGREEMENT.

An event of considerable importance to the Commonwealth of Australia and the Dominion of New Zealand was a conference of representatives of the Governments of the two countries which was held at Canberra from the 17th to 21st January, 1944. Out of this conference emerged what is known as the Australian - New Zealand Agreement 1944, which provides for permanent machinery for collaboration and co-operation between the two countries in matters of mutual interest. The text of the agreement, which was ratified by the Commonwealth Government on 24th January, 1944, and by the New Zealand Government on 1st February, 1944, is contained in parliamentary paper A.-4, 1944, and defines the objectives of Australian - New Zealand co-operation as follows:—

  1. As a preliminary, provision is to be made for fuller exchange of information regarding both the views of each Government and the facts in the possession of either bearing on matters of common interest:

  2. On matters which appear to be of common interest, each Government will, so far as possible, be made acquainted with the mind of the other before views are expressed elsewhere by either:

  3. With respect to exchange of views and information there shall be a maximum degree of unity in the presentation, elsewhere, of the views of the two countries:

  4. The adoption of an expeditions and continuous means of consultation by which each Government will obtain directly the opinions of the other:

  5. Agreement to act together in matters of common concern in the South-west and South Pacific areas:

  6. So far as compatible with the existence of separate military commands, the two Governments agreed to co-ordinate their efforts for the purpose of prosecuting the war to a successful conclusion.

Particular matters covered by the agreement were as follows:—

  1. Armistice and subsequent arrangements following the cessation of hostilities:

  2. Security and defence, with particular reference to the South-west and South Pacific areas:

  3. Civil aviation:

  4. Dependencies and territories:

  5. Welfare and advancement of Native peoples of the Pacific:

  6. Migration:

  7. Proposed international conference relating to the South-west and South Pacific, with representatives from the United Kingdom, the United States of America, the Netherlands, the French Committee of National Liberation, and Portugal, as well as from Australia and New Zealand.

GENERAL ELECTIONS.

The 1943 general election of parliamentary representatives was held in September of that year, voting in New Zealand for Maori electorates taking place on the 24th, and for European electorates on the 25th. Voting by members of the Armed Forces, both in New Zealand and overseas, took place prior to 25th September and was spread over a period of several days. A summary of the European electorates for the 1943 and the two preceding elections is shown below. In the normal course a general election would have taken place in 1941, but on account of war conditions the life of Parliament was extended (see page 11).

1935.1938.1943.
* Including votes recorded by members of Armed Forces.
Number of votes recorded for candidates elected442,716550,121495,380*
Number of votes recorded for candidates defeated385,079367,563415,990*
Number of informal votes6,8876,3739,957*
Total number of votes recorded834,682924,057921,327*
Percentage of votes recorded for candidates elected, to total valid votes recorded53.4859.9554.35
Total number of electors on civilian roll (where contest)919,798995,1731,000,197
Number of districts where no contest....2
Percentage of civilian votes recorded to total number of civilian electors on roll90.7592.8582.82
Percentage of votes recorded for candidates elected to total number of electors on civilian roll48.1355.2849.53
Number of seamen's rights exercised1,2291,146452
Number of electors voting as absent voters38,77641,63335,898
Number of electors exercising postal votes9,79617,32418,128
Number of electors voting as members of the Armed Forces....92,934

Of the 828,393 civilian electors who recorded votes in 1943. 368,961 were men and 459,43,2 women, while the number of electors on the civilian roll totalled 1,000,197, of whom 475,126 were men and 525,071 women. It should be noted, however, that the names of a considerable but unknown proportion of the 92,934 electors—the great majority of whom were men—who exercised their votes as members of the Armed Forces were included in the civilian roll. This factor renders more or less invalid any comparison of the results of the 1943 figures with those of previous years. It is of interest to note, however, that the number of men who voted in 1938 was 469,285, 93.43 per cent. of the number on the roll, while comparative figures for women were 454,772 and 92.27 per cent. respectively.

A statement of the voting in individual electorates at the general election of 1943 is given in the 1944 Year-Book (pp. 606–610).

By-elections—Since the general election of 1943, by-elections have been necessitated in four electorates as follows, the cause of the vacancy being the death of the ticking member in each case.

Electorate.Sitting Member.Date of By-election.New Member.
AwaruaHargest, Brigadier J., C.B.E., D.S.O.,28/10/44Herron, G. R.
Western MaoriRatana. A. T.10/2/45Ratana, M.
HamiltonFinlay, F.26/5/43Ross, Mrs. G. H.
Dunedin NorthMunro, J. W.21/7/45Walls, R.

LICENSING.

According to a return compiled by the Department of Justice, the following are the licenses for the sale of intoxicating liquors:—

Publicans' licenses1,032
Accommodation licenses192
Wholesale licenses145
Packet licenses19
New Zealand wine licenses4
Total1,392

The date of the return is nominally 1st September, 1929, but the numbers quoted cannot be increased, and the figures may be accepted as approximately correct at the present time. In addition, there were, in 1944, 46 club charters.

The annual fees payable for licenses are:—

  1. For a publican's license—  £

    1. Within the limits of a borough or town district  40

    2. Outside the aforesaid limits  25

  2. For a New Zealand wine license  1

  3. For an accommodation license, a sum to be determined by the Licensing Committee, not exceeding  20

  4. For a packet license—

    1. For a vessel exceeding 50 tons register  10

    2. For a vessel not. exceeding 50 tons register  

  5. For a wholesale license  20

  6. For a conditional license, according to duration of license, a sum not exceeding  30

Fees form part of the revenue of the local authority of the district in which the license was issued.

National Licensing Polls.

The licensing poll of 25th September, 1943, held in conjunction with the parliamentary elections, was the sixth 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 1943 poll, together with those of the four preceding polls, are as follows:—

 1925.1928.1935.1938.1943.
For national continuance299,590373,692521,167546,995529,386
For State purchase and control56,03764,27657,49996,131123,701
For national prohibition319,450294,453243,091263,208269,800

NOTE.—There was no referendum taken in 1931, on grounds of economy.

The total number of valid votes recorded by members of the Forces at the national licensing poll of 1943 was 95,186, of which national continuance received 74,686 (78.5 per cent.); State purchase and control, 10,887 (11.4 per cent.); and national prohibition 9,613 (10.1 per cent.). The corresponding figures for civilian votes were: national continuance, 454,700 (55.0 per cent.); State purchase and control, 112,814 (13.6 per cent.); and national prohibition, 260,187 (31.4 per cent.).

Voting by members of the Forces as such also took place at a special licensing poll held on 10th April, 1919. On that occasion only two issues were submitted—national continuance and national prohibition. Civilian voting on that occasion resulted in a majority of 13,896 for national prohibition (246,104 votes to 232,208), but votes cast by members of the Forces—31,981 for national continuance and 7,723 for national prohibition—resulted in national continuance being carried by a majority of 10,362.

The voting results in each licensing district in 1943 are shown on page 612 of the 1944 Year-Book.

Local Option.

In the no-license districts, an additional issue is submitted to the electors—viz., restoration of licenses—three-fifths of the valid votes cast being required for the carrying of the proposal. The voting figures for each of twelve districts for 1943 are also shown on page 612 of the 1944 Year-Book.

In only one case—viz., Invercargill—was the majority sufficient (three-fifths of the valid votes cast) to carry the issue. As a result the sale of intoxicating liquor in hotel-bars became permissible in Invercargill as from 1st July, 1944, after a period of no-license lasting thirty-eight years. A new departure in regard to the conduct of the liquor trade in New Zealand was inaugurated by the Invercargill Licensing Trust Act, 1944. This Act established a trust of six members, to be appointed from time to time by the Governor-General. Two of the members are nominated by the Invercargill City Council, one by the South Invercargill Borough Council, and three by the Minister of Justice. The functions of the Trust according to the Act are to provide accommodation and other facilities for the travelling public within the Invercargill Licensing District, to establish and maintain hotels and suitable places within the district for the sale or supply of refreshments, to sell and supply intoxicating liquor within the district, and to establish and maintain premises for that purpose. The Trust is provided with all powers, rights, and privileges necessary for the carrying-out of its functions, including the right to decide on the number and situation of hotels to be established, the power to enter into contracts, &., and borrowing-powers. The net profits arising from the operations of the Trust may be expended or distributed by the Trust within the Southland Land District for the promotion, advancement, or encouragement of cultural and recreational or philanthropic purposes.

RELIGIOUS PROFESSIONS.

The following table presents a summary of the religious professions of the population as recorded at the general census of 1936, together with comparative figures for the preceding census of 1926. Detailed statistics are contained in a special census volume (Vol. VI.—Religious Professions).

The figures quoted below are exclusive of Maoris, but a summary of the religious professions recorded by the Maori population may be found in the census volume referred to in the previous paragraph, while much greater detail is given in the special volume devoted solely to Maoris (Vol. III.—Maori Census).

Religious Profession.Adherents.
1926 Census.1936 Census.
Church of England553,993600,786
Presbyterian330,731367,855
Roman Catholic (including Catholic undefined)173,364195,261
Methodist121,212121,012
Baptist21,95524,703
Brethren12,92417,086
Salvation Army12,24112,608
Church of Christ7,98411,197
Congregational7,2827,179
Christian Scientist1,3824,617
Seventh Day Adventist2,8733,825
Hebrew2,5912,653
Lutheran2,5172,537
Rationalist5572,066
Agnostic8041,499
Christadelphian1,0791,303
Spiritualist1,2711,201
Freethinker818925
Confucian1,194778
Latter-day Saints (Mormon)599745
British-Israelite39704
Unitarian1,024669
Other16,47724,268
Object to state62,58571,302
Not specified6,97314,705
   Totals1,344,4691,491,484

LOTTERIES.

Under section 42 of the Gaming Act, 1908, the Minister of Internal Affairs may 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. By the Stamp Duties Amendment Act, 1931, any such license granted for the raffling of mineral specimens in excess of £100 value is subject to a lottery duty of 10 per cent. of the nominal value of all tickets represented in the drawing of the lottery, whether such tickets have been disposed of by way of sale or otherwise. Information as to receipts from this source will be found in Section 23B—Taxation.

The Gaming Act also permits sweepstakes and art-unions (as defined) under certain specified conditions.

During the year ended 31st March, 1944, 158 licenses were issued under the authority of section 42 (above), of which 99 were for works of art, 47 for small amounts of alluvial gold, and 12 for larger amounts of alluvial gold (£5,000 each).

The following is a summary of large alluvial-gold lotteries subject to lottery duty during the last five years.

1938–39.1939–40.1940–41.1941–42.1942–43.1943–44.
Number of lotteries91313131112
Gross sales £182,109260,611220,960223,783204,750251,675
Commission on sales £27,31639,09233,14433,56730,71337,751
Expenses £26,36534,02232,83832,14827,64130,854
Prizes £45,00065,00065,00065,00055,00060,000
Net proceeds £83,428122,49789,97893,06891,396123,070
Lottery duty £18,21126,06122,09622,37820,47525,168
Net profit £65,21796,43667,88270,69070,92197,902

Of the net profits in 1943–44, £27,370 was distributed to the various mayoral or other recognized central funds established for the relief of distress, £20,340 to charitable and philanthropic organizations, £15,580 to patriotic funds, and £10,354 to children's health camps.

Under clause 38 of the Patriotic Purposes Emergency Regulations 1939, permission was given to raffle gifts of real or personal property for the funds of either the National or any Provincial Patriotic Council, and a special system of licensing of these raffles was instituted in May, 1940.

TIME-SERVICE ARRANGEMENTS.

The following article on the New Zealand time-service arrangements was prepared by Mr. R. C. Hayes, Acting Director of the Dominion Observatory.

One uniform time is kept throughout New Zealand. The following extract from the New Zealand Gazette of 31st October, 1868, contains the Government announcement regarding the standardizing of moan time.

“Colonial Secretary's Office,

“Wellington, 30th October, 1868.”

In accordance with a resolution of the House of Representatives to the effect that New Zealand Mean Time be adopted throughout the colony, it is hereby notified for public information that the time corresponding to the longitude 172° 30' east of Greenwich—which is exactly 11 1/2 hours in advance of Greenwich time—has been adopted as the mean time for the colony; and that from and after the second day of November the public offices of the General Government will be opened and closed in accordance therewith.

“E. W. STAFFORD.

New Zealand Mean Time (N.Z.M.T.), sometimes referred to as“Standard Time,”is normally observed during the winter months. It is 11 hours 30 minutes fast on Greenwich Mean Time (G.M.T.), and corresponds to the approximate mean longitude of the Islands of New Zealand (172° 30' east).

The use of Summer Time in New Zealand is governed by the Summer Time Act, 1929, and its amendment of 1933. For general purposes in New Zealand the clock is advanced thirty minutes during the period beginning at 2h., New Zealand Moan Time, on the last Sunday in September in any year, and ending at 2h., New Zealand Mean Time, or. the last Sunday in April in the following year. Nothing in the Summer Time Act shall affect the use of New Zealand Mean Time for purposes of astronomy, meteorology, or navigation, or affect the construction of any document mentioning or referring to a point of time in connection with any of those purposes.

As a war measure,* Daylight Saving Emergency Regulations have been made in recent years to ensure continuation of the observance of Summer Time throughout the whole year. The times mentioned in this article are New Zealand Summer Time, unless otherwise stated.

The time throughout New Zealand is controlled by the Dominion 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 WAVE-LENGTH 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.

* Made permanent by the Standard Time Act, 1945, which fixes New Zealand Standard Time as being twelve hours in advance of Greenwich Mean Time.

From 10h. 57m. 55s. to 10h. 58m. 00s., First Time Signal, consisting of six dote 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 Dominion Observatory signal clock, which is seldom more than a quarter 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 Dominion Observatory.

(2) RADIO TIME-SIGNALS TRANSMITTED THROUGH THE NATIONAL BROADCASTING SERVICE STATION 2YA.

Time-signals are supplied to the National Broadcasting Service for transmission through station 2YA. The signals consist of six dots, separated by intervals of one second, the last dot being the exact minute. Each transmission consists of a group of three signals at consecutive minutes, the scheduled times of transmission being as follows:—

  1. 10h. 28m.; 10h. 29m.; 10h. 30m. a.m.

  2. 3h. 28m.; 3h. 29m.; 3h. 30m. p.m.

  3. 7h. 28m.; 7h. 29m.; 7h. 30m. p.m.

  4. 10h. 28m.; 10h. 29m.; 10h. 30m. p.m.

In all cases the time-signals are superimposed on the station programmes, but, in the event of failure or suppression of signals at scheduled times, they are transmitted thirty minutes later if circumstances permit.

In addition to the above official time signals, the National Broadcasting Service transmits one series of six dots at each hour from 7 a.m. to 7 p.m.

(3) TIME-SIGNALS BY TELEGRAPH.

The Observatory sends time-signals by telegraph to the General Post Office and the Railways Department, Wellington, at 9h. a.m. daily. This signal is transmitted to all telegraph-offices in New Zealand and to all railway-stations in the North island.

(4) PUBLIC CLOCKS.

The Government Buildings clock (Wellington) is checked at 9h. a.m. daily by means of a special circuit between the clock and the Observatory. The error of this clock is usually less than 15 seconds.

An electric synchronous clock, installed at the Observatory, is checked twice daily. Observations show that the variation of the electric clocks amounts to a few seconds only.

TOURIST ATTRACTIONS.

Reference to pages 932–935 of the 1940 Year-Book, or pages 812–815 of the 1939 issue, will give a brief description of the main tourist attractions in New Zealand.

MINERAL WATERS AND SPAS.

For information concerning the mineral waters and spas of New Zealand reference should be made to the 1940 and earlier editions of the Year-Book, which contain a short description of the Rotorua and Te Aroha spas, together with analyses of the more important springs at the latter, while in the 1913 issue of the Year-Book will be found detailed analyses of the various mineral waters throughout New Zealand.

REVIEW OF LEGISLATION, 1944.

Acts passed: Public Acts, 35; local Acts, 13; private Acts, nil.

The following is a brief synopsis of the more important public Acts passed by the General Assembly during the 1944 session, which ended on 15th December.

The Invercargill Licensing Committee Act, 1944, postponed the election of a Licensing Committee for the Invercargill Licensing District until a date to be appointed by the Governor-General, being not later than 12th September, 1944. Before any date was appointed the Act was repealed (on 4th April, 1944) by the Invercargill Licensing Trust Act, 1944.

The Government Railways Amendment Act, 1944, established the Government Railways Industrial Tribunal of three members, with power to make orders prescribing the pay and allowances, hours of work, and conditions as to leave of absence, &., of Government Railways employees (other than administrative officers), and with power also to make recommendations to the Minister as to all other conditions of employment of those employees and as to the conditions of service of administrative officers. The appointment of assessors to represent the Minister and the service organizations, with power to sit with the Tribunal, but not to vote, is provided for.

The Act sets out the application of the Economic Stabilization Emergency Regutions 1942 to the powers of the Tribunal, and limits the power to amend orders. Annual determinations by the General Manager as to suitability for promotion, and as to appeals therefrom to the Appeal Board are provided for, and the Governor-General in Council is authorized to make regulations as to those conditions of employment that are within the scope of the advisory and not the mandatory powers of the Tribunal. The provisions under which all conditions of employment were formerly prescribed by regulations are repealed.

The Finance Act, 1944, extended for two months—to 31st August, 1944—the period of three months at the beginning of the current financial year during which a proportionate part of last year's appropriations of public moneys could be expended in anticipation of appropriation, and also made a similar temporary amendment in respect of transfers of moneys from the National Development Loans Account.

The Invercargill Licensing Trust Act, 1944, established a body corporate, known as the Invercargill Licensing Trust, for the purpose of providing for the establishment of model hotels in the Invercargill Licensing District to be conducted in conformity with the provisions of the Licensing Act, 1908, and in the interests of the public well-being. The Trust is given the exclusive right to sell intoxicating liquor in the district, and is empowered to establish and maintain hotels and also dining and refreshment rooms in which intoxicating liquor may be supplied. Provision is made for the distribution of the Trust's profits for public purposes within the Southland Land District.

The Annual Holidays Act, 1944, provides for an annual holiday of two weeks on ordinary pay for all workers, with proportionate holiday pay in cases where the employment is for less than one year. The proportionate holiday pay is to be paid in cash, except where the employment is for less than three months, in which case stamps are to be affixed to a worker's holiday card, to be cashed at a money-order office at the end of the year. The Act is not to apply to workers who are entitled to more favourable holiday benefits under their awards, agreements, or contracts of service, or to waterside workers, who are to be allowed holidays on a similar basis on terms approved by the Minister of Labour.

The Local Elections and Polls Amendment Act, 1944, provides for a residential qualification for electors of counties and road districts, on the same basis as in boroughs and town districts, and makes special provision to meet the ease of returned servicemen who do not possess the necessary residential qualifications. Provision is made for the compulsory enrolment of residential electors in boroughs and town districts, and employees of local authorities are no longer disqualified from becoming members thereof. The Act made special provisions for the year 1944—extending the dates for the closing of the rolls in counties and in the larger boroughs, and postponing the elections for one week.

The Finance Act (No. 2), 1944, relates to a variety of matters affecting public finance; provides for increased borrowing-powers for war expenses; validates excess unauthorized expenditure for the year ended 31st March, 1944; varies the appropriation to the Public Debt Repayment Account; abolishes the Electric Supply Sinking Fund Account; authorizes the Minister of Industries and Commerce to develop the New Zealand flax industry; provides for contributions from accounts under the Marketing Act, 1936, towards certain capital expenditure; provides for the recognition of illegitimate relationship for succession duty purposes; and states that gift duty is payable on voluntary discharges of debts.

Part II of the Act contains miscellaneous provisions as to the borrowing-powers of the Reserve Bank; makes provision for the payment of a cost-of-living bonus to superannuitants of local authorities; preserves the superannuation rights of teachers serving in Tonga; and validates expenditure of the Esk Valley Flood Relief Fund, and certain payments by the Auckland and Invercargill Savings-banks.

The Land and Income Tax (Annual) Act, 1944, fixes the rates of land-tax and income-tax for the year commencing on 1st April, 1944.

The Nurses and Midwives Registration Amendment Act, 1944, amends the Nurses and Midwives Registration Act, 1925; provides for the registration and training of psychiatric less; and increases the membership of the Nurses and Midwives Registration Board by adding thereto the Director-General of Mental Hospitals and a psychiatric nurse.

The Quarries Act, 1944, makes better provision for the regulation of quarries by consolidating (with amendments) the Stone-quarries Act, 1910, and its amending Acts. Provision is made as to Inspectors; the appointment, qualification, and duties of quarry-managers; the prevention of accidents and inquiries into accidents; safety rules and regulations; and the employment of females and boys in quarries. The definition of“quarry”is extended to cover excavations for any material and not merely“stone.”The Act has no application to workings for coal (including opencast mines), gold, scheelite, or petroleum (which are governed by the Coal-mines, Mining, and Petroleum Acts); to excavations, which are governed by the Scaffolding and Excavation Act, 1922; or to road-cuttings or railway-cuttings; or to tunnels less than 50 ft. long in which explosives are not used.

The Post and Telegraph Amendment Act, 1944, establishes the Post and Telegraph Staff Tribunal of three members, with power to make recommendations to the Minister upon matters referred to it by the Minister, the Post and Telegraph Employees' Association and Officers' Guild, or the Director-General, being matters upon which complete agreement has not been reached between the Association or the Joint Advisory Council and the Department, or matters which the Association or the Department has requested the Minister to refer to the Tribunal after consideration by the other party. Provision is made for the appointment of assessors to represent the Department and the Association, with power to sit with the Tribunal but not to vote; and the existing provisions for the appointment of advisory staff tribunals are repealed.

The Earthquake and War Damage Act, 1944, consolidates the War Damage Act, 1941, and the Earthquake Damage Emergency Regulations 1944; continues the existing scheme of insurance against earthquake damage and war damage; and provides for a complete State guarantee of the Earthquake and War Damage Fund.

The Clerks of Works Act, 1944, gives qualified clerks of works the right to be registered; establishes a Registration Board, which is given certain disciplinary powers over registered clerks of works; establishes a New Zealand Institute of Clerks of Works, the main functions of which are to promote the competent supervision of building operations, and to assist in the training of clerks of works and generally to promote their interests; and makes provision for unregistered clerks of works who have had certain experience to become associates of the Institute without enjoying full membership.

The Native Purposes Act, 1944, makes miscellaneous amendments to the laws relating to Natives and Native land, adjusts certain claims and disputes in relation to Native land, and confers on the Native Land Court jurisdiction in respect of certain matters.

The Law Reform Act, 1944, effects miscellaneous reforms in the law. Section 2 provides that damages may be recovered for injury suffered as a result of shock, although there may be no visible physical injury. Section 3 makes the estate of a deceased person liable for the promised, or a reasonable, amount of remuneration for work done under a promise that it will be remunerated by a provision in the deceased person's will. Section 4 provides that“month”in all documents is to mean a calendar month and not a lunar month, thus making the word have the same meaning as in statutes. Section 5 provides that superannuation funds are not to be affected by the rule against perpetuities (which renders illegal the holding in trust of property that does not definitely vest in beneficiaries within a limited period). Section 6 also relates to the rule against perpetuities, and provides that, where the rule would invalidate a gift because it does not vest until the beneficiaries reach an age exceeding twenty-one years, the will or other document is to be read as if it specified the age of twenty-one years, so as to make the gift valid. Section 7 provides that a will expressed to be made in contemplation of a marriage shall not be revoked by the marriage, although the general rule under the Wills Act is that the marriage of the testator revokes his will.

The Administration Amendment Act, 1944, makes new provision as to the distribution of the estates of persons who die without disposing of their property by will, and as to the balance of estates where part only is disposed by will; gives power to the administrator to sell the estate and convert it into money; and provides that, for the purposes of the Act, the relationship of a mother to her illegitimate child shall be treated as a legitimate relationship, except where the child has been adopted.

The Frustrated Contracts Act, 1944, makes definite provision for the adjustment by the Courts of the rights and liabilities of the parties to contracts which have become impossible of performance or otherwise frustrated.

The United Nations Relief and Rehabilitation Administration Act, 1944, approves the UNRRA Agreement entered into at Washington on 9th November, 1943, and authorizes the payment out of the War Expenses Account of New Zealand's contribution amounting to £2,600,000.

The Rehabilitation Amendment Act, 1944. Section 2 extends the definition of the term“serviceman”to include several classes of persons not covered by the principal Act, and the same term in the Small Farms Act, 1932–33, and in the Servicemen's Settlement and Land Sales Act, 1943, is similarly extended. The Rehabilitation Board's power to grant assistance is extended, the appointment of a Director of Rehabilitation is provided for, and provision is made for the Board to give effect to the policy of the Government in regard to rehabilitation.

The Statutes Amendment Act, 1944, contains various amendments of different Acts, the more important of which are here referred to. Section 9 empowers the Minister of Mines to require underground transport to be provided for workmen in a coal-mine where he considers it necessary. Section 20 authorizes the enrolment in special schools of deaf children under the age of six years. Section 23 alters the minimum age for employment in factories (under the Factories Act, 1921–22) from fourteen to fifteen. Section 31 prohibits (with certain exceptions) the giving by any employee of a Hospital Board of any medical information concerning a patient, unless the patient or his representative consents, but the prohibition does not apply to information for the purposes of the advancement of medical knowledge or research. Section 34 applies the Industrial Conciliation and Arbitration Act, 1925, to industrial life assurance agents. Section 57 provides, for the purposes of the Samoa Act, 1921, a new definition of the term“Samoan,”in order to bring the meaning of that term into accord with Native ideas. Section 69 extends section 9 of the Workers' Compensation Act, 1922 (which provides for compensation for apprentices or workers under twenty-one being based, in cases of permanent incapacity, on the adult rate of pay), to cover pupil nurses or other classes of trainees under twenty-one.

The Wool Industry Act, 1944, repeals the Wool Industry Promotion Act, 1936, and its amendments, and provides for the establishment of a New Zealand Wool Board to promote the use of New Zealand wool, to promote research in relation to sheep or wool, and to exercise certain functions relating to the production, distribution, and marketing of wool. The funds of the Board are to be provided by a levy on wool exported from New Zealand or delivered to wool-manufacturers for use in New Zealand.

The Land and Income Tax Amendment Act, 1944, extends the definition of the term“charitable purpose”to include, for the purposes of the Act, every charitable purpose, whether it relates to the relief of poverty, the advancement of education or religion, or any other matter beneficial to the community; increases the personal allowance of absentees from £50 to £200; provides that the Commissioner of Taxes may allow, as a deduction from the assessable income of a taxpayer, an amount in respect of deferred maintenance, meaning such maintenance of assets used in the production of assessable income as is necessary by reason of the fact that reasonable and proper maintenance has been prevented by conditions arising out of the war; provides that interest or discount on income-tax paid in advance is to be assessable income; and empowers the Commissioner, on application, to repay excess tax within four years after the year of assessment.

The Engineers Registration Amendment Act, 1944, provides that all engineers registered under the Engineers Registration Act, 1924, shall take out annual practising certificates, and makes it an offence for any person who does not hold a certificate to hold himself out as a registered engineer. The qualifications for registration of engineers are extended to cover the cases of persons who have been practising as engineers with local authorities. A local authority, unless exempted by the Minister of Works, must employ only a registered engineer as its engineer, or as its chief or principal engineer, or as a consulting engineer, except in any year where the local authority spends less than £10,000 on the construction and maintenance of its works. This does not apply to engineers employed in that capacity by local authorities on the passing of the Act.

The Milk Act, 1944, provides that the Governor-General may by Order in Council constitute and declare any part or parts of New Zealand to be a milk district for the purpose of ensuring to the inhabitants of that district an adequate supply of milk of a required standard of quality. The Act provides that for every milk district there shall be a Milk Authority, which may be a Borough Council or a Metropolitan Milk Board, as circumstances require. Milk Authorities are given power to carry on business and to prohibit the sale of milk by other persons except under license from the Milk Authority, and provision is made for a levy on milk to meet the expenditure of the Milk Authority. A Central Milk Council is established, its members including a representative of local bodies, representatives of producers, and a woman deemed to be representative of the interests of women and children. The Council has wide general functions directed at achieving the objects of providing an adequate supply of milk of good quality, with power to carry out research, guide and supervise the activities of Milk Authorities, and make recommendations to the Government. The Council is empowered, after local inquiry, to require a local authority to operate a pasteurization plant, and also has power to fix maximum prices for the goodwill of milk businesses in various districts.

The Finance Act (No. 3), 1944, relates to a variety of matters affecting public finance. It increases the rate of the family benefit under the Social Security Act, 1938, from 7s. 6d. to 10s. a week for each child; abolishes the special restrictions on the entry into New Zealand of Chinese immigrants; and provides for relief from successive death duties on estates of deceased servicemen. Part V of the Act (which remains in force until the 31st March next following the termination of the war) increases the honoraria of members of the House of Representatives to £500 a year, with an expense-allowance of £250 a year, and the honoraria of members of the Legislative Council to £375 a year. The salaries of the Speakers and Chairmen of Committees of both Houses, and of Parliamentary Under-Secretaries, are also increased, and the number of paid Ministers is increased to not more than twelve.

The Taranaki Maori Claims Settlement Act, 1944, provides for a final settlement of certain claims relating to the confiscation of Native lands in the Taranaki and Wellington Provincial Districts.

The Ngaitahu Claim Settlement Act, 1944, provides for a final settlement of certain claims in respect of the purchase by the Crown of the Ngaitahu Block in 1848.

The Land Laws Amendment Act, 1944, makes various amendments in the laws relating to Crown and other lands; gives discharged servicemen preference at ballots; empowers the granting of leases to discharged servicemen without competition; and empowers the disposal, by way of agreement for sale and purchase, of Crown land under the Small Farms Act, 1932–33, to discharged servicemen suitable for engagement in rural occupations.

The Emergency Regulations Amendment Act, 1944, extends the duration of the Emergency Regulations Act, 1939; extends the power to modify enactments; and validates regulations made under the principal Act.

Chapter 46. SECTION 46.—ISLAND TERRITORIES

THE Island Territories Act, 1943, provided for the appointment of a Minister of Island Territories, who is charged with the administration of the government of any territory out of New Zealand which may at any time be a dependency or mandated territory of New Zealand, or otherwise be under the jurisdiction of the Government or Parliament of New Zealand. The territories coming within that category are the “annexed” Cook Islands and Niue; the mandated territory of Western Samoa; the Tokelau or Union Islands, the administration of which is exercised by New Zealand on behalf of the United Kingdom Government; and the Ross Dependency, which although uninhabited is in a similar position to the Tokelau Group. Brief reference is also made in this section to Nauru, which is administered under a mandate held jointly by the Imperial Government, the Government of Australia, and the New Zealand Government.

The term “island territories” does not include Stewart Island and the Chatham Islands, which form part of the Dominion proper, nor the outlying islands included within the boundaries of New Zealand as proclaimed in 1847. These outlying islands, which are referred to on page 1 of this Year-Book, are Three Kings Islands, Auckland Islands, Campbell Island, Antipodes Islands, Bounty Islands, Snares Islands, and Solander Island. None of these outlying islands is regularly inhabited. The Kermadec Islands have also been excluded, for, although they are in the same category as the Cook Islands in that they rank as “annexed” islands, all New Zealand laws extend to them and there is no separate administration. For the benefit of the trans-oceanic air services a meteorological station and an aeradio station have been established on Sunday Island, and the population including the official staff at 1st April, 1915, numbered 15. 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 11th June, 1901, they were annexed and proclaimed part of New Zealand under the Colonial Boundaries Act, 1895. In considering the islands within the territory, a distinction can be made between the scattered islands in the north and the islands towards the south forming the Cook Group proper. 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, and extending from Penrhyn, situated 9 degrees south of the Equator, to Mangaia, which is just north of the Tropic of Capricorn. The total land area of the fifteen islands is a little under 100 square miles, while Niue has an area slightly in excess of that figure.

Of the islands of the Lower Group, Rarotonga, Aitutaki, Atiu, Mitiaro, Mauke, and Mangaia are elevated and fertile, while Manuae and Takutea and the islands of the Northern Group comprising Penrhyn, Manihiki, Rakahanga, Pukapuka, Palmerston, Nassau, and Suwarrow are sea-level coral atolls. As a consequence the southern islands support the greater population. With one exception, none of the islands possesses a good harbour.

The whole of the Group lies within the hurricane zone, and a number of destructive storms have been experienced, the most serious of which in recent years occurred in February, 1935, and March, 1943. From December to March the climate is warm and humid, and there is always the possibility of serious storms. In the remaining months of the year the climate of the Lower Group is mild and equable. The mean annual temperature in Rarotonga taken over the last thirty-four years was 74° Fahrenheit, and the average yearly rainfall over the same period was 83.5 inches.

There are several streams in Rarotonga, the water from which is distributed to all villages by the reticulation system; all the outer islands suffer from lack of streams and wells, but water is provided from public tanks, the number of which is being steadily increased.

Administration.

Laws governing the whole of the Cook Islands are made by Act of the Parliament of New Zealand or by Orders in Council and regulations issued thereunder. Ordinances, restricted in their application to the islands where they are made, are passed by local Island Councils. These require the assistant of the Resident Commissioner, or they may be reserved for the signification of the Governor-General's pleasure. The Resident Commissioner in Rarotonga and the Resident Agents in the outer islands are the Presidents of the respective Island Councils, which consist in each case of elected, nominated, or ex officio members or combinations of such classes of members. In practice nominations are made only upon evidence of public choice.

Following is a brief description of the individual islands.

LOWER GROUP.

Rarotonga (16,500 acres), the most fertile and valuable island of the territory, rises to a height of 2,100 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 1,634 nautical miles from Auckland. An airfield is in use.

Mangaia (17,500 acres, 110 miles from Rarotonga) is the south-easternmost of the Group. Mangaia is not as fertile as Rarotonga, but produces largo quantities of coconuts, bananas, oranges, limes, citrus, and other fruits. The most remarkable feature of Mangaia is the “makatea,” or raised coral wall, rising a few hundred yards inland from the beach, which surrounds and shuts off the whole interior of the island. Honey-combed with caverns, and its surface a mass of spear-like points, this wall is supposedly due to the original reef being raised by volcanic action. The island's greatest height is 656 ft.

Atiu (6,950 acres, 120 miles from Rarotonga) resembles Mangaia in formation. It is a raised mass of coral, steep and rugged, except where there are small sandy beaches and some clefts. On the highest point of the central ridge coconuts, bananas, oranges, and coffee grow with the utmost luxuriance; and the kumera, one of the most valuable of South Sea vegetables, yields large crops.

Mauke (4,600 acres, 151 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.

Aitutaki (3,900 acres, 140 miles from Rarotonga) is about eighteen miles in circuit and one of the most fertile of the islands forming the Lower Group. It now has an airfield.

Mitiaro (2,500 acres, 142 miles from Rarotonga) is a good example of an elevated coral reef, thinly coated with sand and gravel of the same material. The greater part of the surface is not more than 6 ft. above high-water mark.

Manuae (1,524 acres, 128 miles from Rarotonga), and its neighbouring islet, Te Au-o-Tu, are surrounded by a reef, which is about 10 miles in circumference.

Takutea (302 acres, 120 miles from Rarotonga) is a small coral island, moderately fertile.

NORTHERN ISLANDS.

Penrhyn (4,000 acres, 740 miles from Rarotonga) is also known as Tongareva. It is one of the most famous pearl-islands in the Pacific, but of recent years, owing to changes in world fashions and in the success of pearl-culture, exports of pearl-shell and pearls have fallen to low proportions. The large lagoon with its two entrances affords the only land-locked shelter within the proclaimed area for vessels other than fishing-boats, and it is the refuge of trading schooners during the hurricane season. As drought conditions sometimes exist, large concrete tanks have been built for the conservation of rain-water. Penrhyn also has now an airfield.

Manihiki (1,250 acres, 650 miles from Rarotonga) is an atoll about thirty miles in circumference, valuable for the extent of its coconut groves. It also suffers on occasions from droughts, and is equipped with concrete water-tanks.

Pukapuka (1,250 acres, 720 miles from Rarotonga) is a small solitary atoll, also known as Danger Island.

Rakahanga (1,250 acres, 670 miles from Rarotonga) is also an atoll, and shares its Resident Agent with Manihiki, from which it is only twenty miles distant.

Palmerston (1,000 acres, 277 miles from Rarotonga) consists of eight islets threaded along a reef.

Suwarrow (600 acres, 525 miles from Rarotonga) is a coral atoll of triangular form possessing a land-locked lagoon eight miles by six, which is capable of being made into an excellent harbour. The island, which has been much reduced in land area by storms, is a sanctuary for sea birds, and part of it is a naval reserve.

Nassau (300 acres, 670 miles from Rarotonga) is a small island well planted with coconuts.

Population and Vital Statistics.

A census of the Cook Islands taken as for 30th April, 1936, showed an increase in population of 2146 per cent. on the preceding census of 1926. The increase was restricted to the Native population, which numbered 11,991 (males 6,235, females 5,756) in 1936. The population other than Natives—255, comprising 141 males and 114 females—showed a decline of 26 in the ten years since 1926.

Island.Population,1026 Census.Population,1930 Census.
* Uninhabited at time of census.
Aitutaki1,4311,719
Atiu9331,086
Mangaia1,2491,459
Manihiki416487
Manuae238
Mauke511652
Mitiaro238265
Palmerston9790
Penrhyn395467
Pukapuka526651
Rakahanga327290
Rarotonga3,9365,054
Suwarrow**
Takutea**
Nassau*18
Totals10,08212,246

Each of the seven censuses taken since the annexation of the islands in 1901 has shown an increase of population. The estimated population of the Cook Islands at 31st March, 1945, was 14,506. During the year ended 31st March, 1945, registered births numbered 564 (males 286, females 278); deaths, 276 (males 144, females 132).

Health.

Under the provisions of the Cook Islands Act, 1915, all Natives are provided gratuitously with medical and surgical aid. As a result of this policy the population is particularly free from most of the usual tropical diseases. The principal serious diseases amongst the Native population are pulmonary tuberculosis, filariasis, and Weil's disease. Of recent years particular attention has been directed towards child-welfare, resulting in a marked lowering of the infant death-rate. The medical staff consists of two European Medical Officers and six Native medical practitioners; a Matron, three European nursing sisters, and twenty Native nurses and trainees; while the dental staff consists of a European Dental Officer and two Native dental assistants. Expenditure on health services in 1943–44 amounted to £10,116, which is equivalent to 14s. 4d. per head of population.

The manufacture or importation of intoxicating liquor is prohibited, except for medicinal, sacramental, or industrial purposes.

Education.

Eleven Government schools are established in six islands of the Lower Group and at Pukapuka, and the Administration subsidizes the London Missionary Society for its schools established in the northern islands. In addition, six Roman Catholic Mission schools are established on various islands within the Group.

The aim of the Administration is to educate the children up to the equivalent of Standard IV of the New Zealand school syllabus, with facilities at Rarotonga for advanced children to attain a level comparable to Standard VI in New Zealand. A system whereby the schools are staffed entirely by Native teachers is being gradually introduced.

Communication.

For trading connections with other countries the islands are mainly dependent on a steamer service to and from New Zealand. By this service regular calls are made at Rarotonga, and occasional calls, for purposes of loading cargoes in the orange season, at the larger and more productive of the southern islands. Transportation between the islands is mainly undertaken by schooners. Passenger and mail services by air serve three of the principal islands.

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.

Trade.

The figures of exports and imports for each of the years 1940–44 are:—

Year.Exports.Imports.Total Trade.
 £££
194090,39779,469169,866
194187,17787,068174,245
194269,30368,789138,092
194375,552107,205182,757
1944126,830155,230282,060

Details of the quantities and values of the principal commodities exported in 1943 and 1944 are as follows:—

  Quantity.Value.
Commodity.Unit.1943.1944.1943.1944.
    ££
Oranges and other citrus fruitsCase45,35245,22025,92526,152
Orange-juiceGal.4,2944,3651,4821,634
BananasCase4,8252,2982,2321,154
TomatoesBox23,48137,75122,18835,978
CopraTon52074710,41115,269
Native handwork   10,65141,756

Control of Trade and Finance.

The importation of goods into the Cook Islands from countries other than New Zealand is subject to license under the Cook Islands Import Control Regulations 1944. Similar action has been taken in regard to exports, permission being required before goods may be exported to a country other than New Zealand.

The Cook Islands Finance Emergency Regulations 1944 prohibit the transfer of money or securities from the Cook Islands without the permission of the Minister of Finance. An exception is made in the case of New Zealand currency being taken or sent to New Zealand. The regulations also make provision for the acquisition of foreign currency and foreign securities on behalf of the. New Zealand Government, and are similar in effect to measures in New Zealand as outlined on pages 429–30 of this Year-Book.

Revenue and Expenditure.

Revenue is derived principally from Customs duties, which, with minor exceptions, follow the New Zealand Customs tariff; from Court fees and fines, dog-tax, motor fees, road and water rates, stamp sales and duties, trading licenses, &c., and New Zealand Government subsidies. Excluding grants from the New Zealand Government (£27,000, including £3,000 for storm damage) the revenue of the Cook Islands for the year 1943–44 was £40,818. The expenditure was £59,797.

NIUE.

Descriptive.

Niue Island 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° south and longitude 169° 48" west, somewhat west of the centre of the irregular triangle formed by Samoa, Tonga, and the lower Cook Islands, and is 600 miles distant from the latter. The island, which has an area of 64,028 acres, is flat and nowhere exceeds an elevation of 200 ft. It consists of upheaved coral rock and is not very fertile owing to lack of soil, a deficiency which is aggravated by occasional dry periods. There are no running streams, and the water-supply depends on rain-water, which is stored in tanks. The climate is mild and equable; the mean annual temperature during the last thirty-three years was 76.8° Fahrenheit, and the average annual rain-fall for a similar period was 79.08 inches.

The port of Alofi has an open roadstead anchorage which is satisfactory in fair weather.

Administration.

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 Native members appointed by the Governor-General, and representing all villages.

Population.

Returns for the census taken on 30th April, 1936, disclosed the population as 4,104. Totals for the six preceding censuses taken since the annexation of Niue by New Zealand (11th June, 1901) are as follows:—

19024,079
19063,822
19113,943
19163,880
19213,750
19263,795

The following comparison with the census taken on 20th April, 1926, shows an increase of 309 (8.14 per cent.) in the ten years.

 Census, 1020.Census, 1936.
Native population—  
Males1,7631,980
Females2,0002,102
European population—  
Males1812
Females1410
Total population3,7954,104

The population was estimated by the Administration to be 4,200 at 31st December, 1944.

Health and Vital Statistics.

A Government hospital is established in Niue, the staff consisting of a European matron and nursing sister, and a number of Native nurses. The medical work of the island is under the control of a European medical officer, assisted by a Native medical practitioner and several Native trainees. Medical and surgical aid and attendance and dental treatment are given free of charge to all Natives. Expenditure on health services in 1943–44 amounted to £3,900, which is equivalent to 18s. 5d. per head of population.

During 1944 births registered in Niue numbered 118; deaths, 158.

Education.

There are three Government schools, where agriculture, handicraft, domestic art, and woodwork form part of the curriculum. The roll number of these three schools at 31st December, 1944, was 686. In addition, there are nine schools under the control of the London Missionary Society, which are subsidized by the Administration. The average roll number for these schools during 1944 was 427.

Trade.

Exports and imports for the last five years are given below. The greater part of the trade is with New Zealand.

Year.Exports.Imports.Total Trade.
 £££
194020,23819,73539,973
194111,17316,82728,000
194222,34126,44448,785
194330,73332,07062,803
194423,25130,05453,305

With a view to improving the marketing of bananas and kumeras in New Zealand, grading and packing for export are now done under the control and supervision of the Resident Commissioner and his inspectors.

Exports of principal commodities during 1943 and 1944 were:—

 1943. 1944. 
  Value. £Quantity.Value. £
Bananas15,473 cases8,0491,200 cases626
Kumeras113 tons1,363....
Copra422 tons8,543617 tons13,274
Native plaited    
ware 12,692 8,977

The measures in force in the Cook Islands in regard to control of trade and; finance apply equally in Niue.

Revenue and Expenditure.

Revenue of the Niue Island Administration for the year ended 31st March, 1944, was £22,096, including a grant of £10,000 from the New Zealand Government, and expenditure aggregated £18,900.

WESTERN SAMOA.

Geographical.

Western Samoa is comprised of the two large islands of Upolu and Savai'i and the islets of Apolima, Manono, Fanuatapu, Namua, Nu'utele, Nu'ulua, and Nu'usafe'e. The geographical boundaries are between latitudes 13 degrees and 15 degrees south and longitudes 171 degrees and 173 degrees west.

Savai'i is the larger of the two main islands, with a length of 46 miles, a breadth of 25 miles, and a total area of 703 square miles. The island is mountainous, rising to a height of 6,094 ft. Upolu, which extends some 45 miles in length and 13 in breadth, measures about 430 square miles in area, and rises to a height of 3,608 ft. Of the two, Upolu is the more fertile and populous, and contains the port and capital of Apia. 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 mild and equable, with a mean annual temperature of 79£3° F., and an average-annual rainfall of about 116 in.

Administration.

The territory of Western Samoa is administered pursuant to a mandate conferred upon His Britannic Majesty, to be exercised on his behalf by the Government of the Dominion of New Zealand, and confirmed by the Council of the League of Nations on 17th December, 1920.

An Administrator, appointed by the Governor-General, is charged with the administration of the Territory, subject to the control of the Minister of Island Territories for New Zealand.

The laws of the Territory are made by Act of the New Zealand Parliament or regulations issued thereunder, or by Ordnance passed by the local Legislative Council, which as at present constituted consists of the Administrator, six official members, two unofficial members elected by the adult European community, and four Samoan members who in practice are nominated by the Fono of Faipule.

The Native people of Western Samoa are described in documents of travel as “British protected persons, Natives of the Mandated Territory of Western Samoa.” The provisions of the British Nationality and Status of Aliens (in New Zealand) Act. 1928, allow individual inhabitants of the Territory voluntarily to obtain British nationalization. The law of the territory provides generally that all persons of one-quarter or more non-Polynesian blood have the racial status of Europeans, but changes may be made voluntarily by registration. By the Samoan Registration of Europeans Regulations 1920, any person of less than full Samoan blood may be granted the status of a European; and the Samoan Status Ordinance 1934, makes provision whereby a person of European status of not less than half-Samoan blood may be granted Samoan status.

Population.

A census of population was taken by the Administration on the night of 4th November, 1936. The following table shows the summarized results, together with corresponding figures for the 1926 census.

1926.1936.
Europeans and European-Samoans2,2703,075
Native Samoans (including other bland races)36,88052,266
Chinese—  
Contract labourers862502
Others6220
Melanesian or Polynesian contract labourers15583
Totals40,22955,946

Following are statistics of the age-constitution of the Native Samoan population as disclosed by the 1936 census.

Matai (heads of families ranking as chiefs or orators, usually thirty-five years of age)3,100
Taulele'a (untitled men, of any age over fourteen years)10,149
Tamaiti (boys, two to fourteen years)11,534
Tama meamea (infant boys, under two years)1,685
Total, males26,468
Fafine (all women who have been married, and all other women over twenty-five years of age)11,273
Teine muli (unmarried females, fifteen to twenty-five years)2,707
Teineiti (girls, two to fourteen years)10,457
Teine meamea (infant girls, under two years)1,361
Total, females25,798
Total of Samoan population, 4th November, 193652,266

An outstanding feature of Western Samoa is the rapid natural increase of the Native population, the numbers according to statistics compiled by the Administration as at 31st March, 1945, being as follows:—

Europeans and European-Samoans3,580
Native Samoans (including other island races)62,803
Chinese303
Melanesians75
Totals66,761

Health and Hospitals.

The Samoa Health Ordinance, 1921, is on the lines of the New Zealand Health Act, 1920, but remodelled to suit local conditions. A Government hospital is maintained at Apia, district hospitals have been established at seven villages in Upolu and six villages in Savai'i, with two additional out-stations in Upolu, each in charge of a trained nurse. The health service staff at 31st March, 1945, consisted of 18 Europeans, 3 of whom were Medical Officers, and 161 Samoans.

Of the more important tropical diseases, only three are prevalent in Western Samoa—viz., ankylostomiasis (or hookworm), frambœsia (yaws), and filariasis (elephantiasis). Every effort has been made to stamp out these diseases, particularly hookworm and yaws, and systematic campaigns to this end have been in progress since 1923, resulting in a marked improvement in the general health of the Natives. Emphasis has also been laid on infant-welfare, and success in this field is shown by the decline in the infant death-rate. The principal diseases now experienced are filarial, parasitic, typhoid, pneumonia, septic sores, and pulmonary tuberculosis. During 1944–45, 3,538 in-patients and 69,939 out-patients were treated at the hospitals and dispensaries.

Under the mandate administration the sanitation of Apia has been considerably improved, and the reticulation with a high-pressure water-supply system completed. Water has been piped into several villages from springs in the lulls, while in other villages where this is not possible large reinforced-concrete tanks have been erected to receive the rain-water from church buildings.

Education.

Originally education in Samoa was conducted solely by the missions, and, except where pupils were being trained as pastors, instruction was of an elementary nature. After the establishment of the mandate the Administration schools undertook more advanced teaching, involving the partial use of the English language, while not interfering with Samoan as the language of the people. At the same time several of the mission schools made available parallel facilities for pupils other than trainees.

As the education system now operates, three grades of schools are recognized. In Grade I are village schools conducted solely by the missions, and generally under the charge of Native pastors. In Grade II schools more advanced instruction is given, the arrangement being in most instances that the villages supply the buildings and the Administration pays, trains, and supplies the teachers, who are Samoans. In Grade III schools the standard that can be reached is equal to that of a completed primary course. A level of education comparable to Grade HI can also be obtained in the European primary school, in the resident mission colleges (where pastors are trained), and in one mission day school. For the training of teachers for Grade II schools there is a training-school at Apia, and in 1938 a post-primary school was opened for the purpose of providing secondary education suitable for employment in Samoa. Thorough inspection of Administration schools is carried out by the Superintendent of Schools, assisted by five Native Inspectors in Grade II schools. Shorter visits are periodically paid to mission schools.

For the year ended 31st March, 1945, there were 326 pastor or Grade I schools operated by the several missions, which, together with 61 other mission schools and colleges, had an attendance of 22,772, these pupils being taught by 33 European teachers, 86 Native teachers, and 351 pastor teachers.

For Administration schools the figures as at 31st March, 1945, were as follows:—

School.Number.School Population.Teaching Staff.
Grade II10711,803224
Grade III31900
Teachers' Training-school1502
European school160018
Post-primary school1201

Trade.—The exports and imports of Western Samoa for each of the last eleven years are:—

Year.Exports.Imports.
 ££
1934128,11792,784
1935189,298137,757
1936263,255167,020
1937352,436267,868
1938248,605196,272
1939220,409194,736
1940221,733165,453
1941242,881154,335
1942385,976299,664
1943278,213605,911
1944391,317460,764

Control of Trade and Finance.

Similar measures in regard to trade and finance to those described on page 650 in relation to the Cook Islands were brought into operation in Samoa by the Samoa Import Control Regulations 1944 and the Samoa Finance Emergency Regulations 1944. An important exception is that a license is necessary for all imports, whether obtained from New Zealand or not. These measures were introduced more particularly to ensure the supply of essential goods from exporting countries. There is no impairment of the authority of the local Administration to permit imports from any country from which they may be available.

Revenue and Expenditure.

The accounts for the year 1944–45 show that the territory has fully paid off all loan indebtedness, and surplus funds amounting to £236,550 are invested in New Zealand Government stock.

The figures of revenue and expenditure for each of the last five years are:—

Year ended 31st March,Revenue.Expenditure.
 ££
1940131,416135,648
1941107,980110,000
1942100,883101,492
1943212,996203,492
1944278,092227,220

The principal sources of revenue are import and export duties, which for the financial year 1943–44 returned £159,250 and £21,578 respectively. The principal direct taxes payable in the Territory are a graduated salary-tax, building-tax, and water rates, which produced £1,940, £2,813, and £1,354 respectively in the same year. A graduated store-tax is payable on business turnovers, and in 1943–44 produced £16,912.

The staff employed by the Administration at 31st March, 1945, numbered 639, of whom 71 were Europeans, 60 of part Samoan blood, and 508 Native Samoans, the great majority of the Native Samoans being employed in the education and health services. There were, in addition to the foregoing, 244 elective Native Samoan district and village officials.

TOKELAU OR UNION GROUP.

Situated between 8° and 10° of south latitude and between 170° and 173° of west longitude, the Group consists of three typical coral atolls—Atafu, Nukunono, and Fakaofo—the formation in each case being a string of sea-level islets enclosing a reef-bound lagoon. The maximum width of any of the islets does not exceed 300 yards, while the total area of all the islets is 2,550 acres.

A census of population in the Group was taken by the Western Samoan Administration on the night of 4th November, 1936. The total population was 1,170, as compared with l.,033 at the 1926 census. Figures for the three islands are as follows (1926 totals in parentheses): Fakaofo, 508 (444); Atafu, 378 (360); Nukunono, 284 (229). The population in November, 1944, was 1,379.

The only exportable products of the islands are copra, and good-quality reversible plaited floor mats. The total amount of copra available for export in a normal year is estimated to be 365 tons—viz., 65 from Atafu, 210 from Nukunono, and 90 from Fakaofo. Since 1923 Apia, Samoa, which is 270 miles distant, has been the port of entry for the Group, and since 1925 the islands have been under New Zealand administration, exercised from Western Samoa.

There is a radio station on each of the three islands.

NAURU.

Prior to its forcible occupation by Japan on or about 25th August, 1942, the Island of Nauru was administered under a mandate, dated 17th December, 1920, conferred upon the British Empire and approved by the League of Nations. This mandate was held jointly by the Imperial Government, the Government of Australia, and the New Zealand Government.

Nauru Island is barely 1/3 of a degree below the equator and lies 166° 56' east of Greenwich. It is an elevated island about three and a half miles long and two and a half miles wide, with a circumference of twelve miles and an area of 5,260 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 6urrounded 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.

The mining rights are vested in the British Phosphates Commission, subject to the rights of the Native landowners, and the deposits, as well as those on Ocean Island about 165 miles to the east of Nauru, were worked by the Commission.

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 fifty and ninety million tons of phosphatic rock available.

The shipments of phosphate from both Nauru and Ocean Islands, with deliveries to New Zealand, during each of the five years ended June, 1940, were as follows:—

 Exports.Shipments to New Zealand.
Year ended 3Oth June,Nauru Island.Ocean Island.Total Shipments.Quantity.Per Cent of Total.
*Estimate.
 Tons.Tons.Tons.Tons. 
1936506,600319,779826,379192,87923∙3
1937577,600429,0001,006,600243,40024∙2
1938836,250329,8501,166,100290,30024∙9
1939924,250300,2671,224,517293,04723∙9
1940*932,000315,0001,247,000404,00032∙4

At the 31st December, 1941, there were 1,827 Native inhabitants, who speak a language akin to that of the Gilbert Islanders. In addition, there were 193 Natives of other Pacific Islands, and 584 Chinese, who had been introduced for the working of the phosphate-deposits. Europeans numbered 08, the total population thus being 2,672.

Revenue and expenditure and trade of the Nauru Administration for each of the five years 1936–40 were:—

Year.Revenue. ∙Expenditure. ∙Exports. ∙Imports. ∙
193624,90623,989469,607154,940
193753,34329,311513,989144,454
193829,42830,827546,683272,256
193933,08429,391605,974170,624
194027,10426,223541,168192,749

Imports consist almost entirely of food-supplies, and of machinery for the working of the phosphate.

THE ROSS DEPENDENCY.

By Imperial Order in Council of 30th July, 1923, the coasts of the Ross Sea, with the adjacent islands and territories between the 160th degree of east longitude and the 150th degree of west longitude, and south of the 60th degree of south latitude, were proclaimed a British settlement, within the meaning of the British Settlements Act, 1887, under the name of the Ross Dependency, and the dependency was placed under the jurisdiction of the Governor-General of New Zealand.

It is estimated that the mainland area is about 175,000 square miles; but, being completely ice-covered, it is uninhabited. On various occasions bases have been established on the mainland by Antarctic expeditions, which have made extensive explorations within the territory and on contiguous portions of the continent. As yet no economic wealth has been won from the mainland, but the territorial waters, with, their large numbers of whales, have been the scene of operations for numerous factory whaling-ships. There has been, however, no New Zealand capital invested in these enterprises.

An article on the Ross Dependency, written by Mr. M. J. S. Nestor, appeared in the 1938 number of the Year-Book (pp. 900–903).

Whaling.

Regulations dated the 24th October, 1929, which supersede those of 1st November, 1926, prohibit whaling operations within the boundaries of the Ross Dependency without a license, for which the annual fee payable is £200, and in addition to which the Government requires a royalty of 2s. 6d. per barrel (40 gallons) of whale-oil. The owner or master of a vessel engaged in whaling or used as a floating whale-factory is liable to a fine not exceeding £1,000 for each day on which operations are carried on without a license. A penalty not exceeding £100 per day is provided for in cases of non-compliance with the terms of the license granted in respect of any vessel used for whaling or as a floating factory, and a similar penalty for failure to equip a floating factory in accordance with the requirements of the regulations, or for failure to convert a whale into commercial products within forty-eight hours after delivery at the factory. Provision is made for the arrest on warrant of any vessel in respect of which an offence against the regulations is committed.

The regulations apply, of course, only to territorial waters, and operations are carried on outside territorial waters by unlicensed expeditions. The great majority of whales are taken outside territorial waters.

The Whaling Industry Act, 1935, gives legislative effect, so far as New Zealand is concerned, to the International Whaling Convention signed at Geneva in 1931. The general principles of the Convention are in the direction of conservation of whales and regulation of the industry.

Chapter 47. SECTION 47.—STATISTICAL SUMMARY

STATISTICAL SUMMARY FOR NEW ZEALAND

POPULATION AND EXTERNAL MIGRATION (INCLUDING MAORIS)

Year.Population.Mean Population.Year ended 31st March.
At 31st December.At 31st March.Year ended Slat December.Year ended 31st March.Overseas Passenger Arrivals.*Overseas Passenger Departures.*
* Excluding “through” passengers and tourists on cruising liners; also members of the Armed Force, &c, 1939–40 to 1943–44.
1890667,477664,853662,749658,49116,29116,291
1895740,699731,468734,410725,10424,44923,398
1900808,132798,471802,246792,50118,43517,531
1905925,605908,116913,144895,10833,52422,582
19101,050,4101,035,2121,040,5341,025,63834,71532,854
19151,152,6381,150,3861,149,2381,145,02733,37727,254
19201,257,6111,236,9151,242,3961,207,66026,90023,990
19251,401,2301,379,4871,384,4281,359,99542,21129,913
19301,506,8091,489,2031,493,0191,478,02733,83931,454
19341,558,3731,550,1251,551,5321,542,65119,68722,022
19351,569,6891,560,9921,562,2331,554,29724,90128,051
19361,584,6171,573,9271,575,2311,565,26326,93628,050
19371,601,7581,587,2111,589,9721,578,75731,67032,023
19381,618,3131,604,4791,606,7631,594,27538,73836,352
19391,641,6391,624,7141,628,5121,611,36242,64837,685
19401,633,6451,640,9011,637,3051,633,44731,43225,404
19411,631,2761,636,2301,630,9481,635,71513,81413,100
19421,636,4031,634,3381,639,5721,630,4197,1026,893
19431,642,0411,634,0941,635,6351,640,1913,1332,592
19441,676,2861,643,9001,655,7951,637,5703,7473,640

VITAL STATISTICS

Year.Numbers.Hates per 1,000 of Mean Population.Deaths under 1 Year per 1,000 Live Births.
Live Births.Marriages.Deaths.Deaths under 1 Year.Live Births.Marriages.Deaths.
189018,2783,7975,9941,43829.446.129.6678.67
189518,5464,1106,8631,63726.785.949.9188.27
190019,5465,8607,2001,46925.607.679.4375.16
190523,6827,2008,0611,59927.228.289.2767.52
191025,9848,2369,6391,76026.178.309.7167.73
191527,85010,0289,9651,39425.339.129.0650.05
192029,92112,17512,1091,51325.0910.2110.1550.57
192528,15310,41911,0261,12521.207.858.3039.96
193026,79711,07512,19992418.837.788.5734.48
193424,32211,25612,52778116.517.648.5032.11
193523,96512,18712,21777316.178.238.2532.26
193624,83713,80813,05676916.649.258.7530.96
193726,01414,36413,65881217.299.559.0831.21
193827,24915,32814,75497117.9310.099.7135.63
193928,83317,11514,15889818.7311.129.2031.14
194032,77117,44814,28299021.1911.289.2430.21
194135,10013,31315,1461,04522.818.659.8429.77
194233,57412,21916,38596421.737.9110.6028.71
194330,31111,57915,44795119.707.5310.0431.37
194433,59913,12515,3631,01221.598439.8730.12

EDUCATION

Year.Number of Scholars receivingUniversity Students (excluding affiliated Agricultural Colleges).
Primary Education atSecondary Education at
Public Schools.Registered Private Schools.Native Village Schools.Secondary* (including Endowed) Schools.District High Schools.Technical* Schools.Registered Private Schools.
* Combined secondary and technical high schools. Instituted In 1931, included with secondary schools.
1890117,91213,6912,2592,117......596
1895129,85614,7042,6762,525......742
1900130,72415,6023,1092,792......805
1905137,62316,7383,8634,0602,872....1,153
1910156,59419,0524,2806,1761,9161,253..1,862
1915183,63122,4775,1916,4882,1021,9559922,039
1920198,46022,1935,5089,1962,1572,7661,4393,822
1925215,06325,9336,38612,6143,1365,1322,5114,442
1930219,23526,4517,07016,1494,2406,9533,8254,801
1934199,91326,6367,58715,9014,3657,1833,6514,721
1935197,52626,8697,87616,1624,5937,3233,9684,818
1936210,38627,7099,17516,5564,0707,4224,2414,967
1937207,87927,9319,64216,8114,3897,8334,6135,010
1938206,22027,6319,83217,7644,9058,1494,6625,219
1939205,26627,55810,40318,1766,4018,4814,9485,649
1940204,13727,71810,73017,7105,2538,0095,0235,198
1941204,20527,89410,91616,9865,0337,3715,1324,964
1942204,07227,82611,00916,7054,8527,9235,3574,292
1943204,24728,71411,27418,3246,1978,4366,0355,693

JUSTICE

Year.Summary Convictions In Magistrates'* Courts.*Total Convictions or Sentences in Superior Courts.Total Distinct Persona sentenced in Superior Courts.Prisoners In Gaol at End of Year (undergoing Sentence).
 Number.Rate per 1,000 of Mean Population.Number.Rate per 1,000 of Mean Population.Number.Rate per 1,000 of Mean Population.Number.Rate per 1,000 of Mean Population.

* Excluding Children's Court cases, from year 1914 onwards.

* Not available

189014,12821.322700.412270.345170.78
189513,38318.224070.553590.496310.72
190019,24223.994270.533910.495270.65
190525,37127.784490.494330.477600.82
191032,43531.174950.484940.478430.80
191538,44633.455090.444410.389410.82
192034,74027.961,0110.814590.379960.79
192543,40731.351,4651.065110.371,2840.92
193045,54430.501,5241.025380.361,5231.01
193240,59126.581,7101126360.421,5220.99
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
194139,63624.301,4960.926420.339880.61
19421,4600.894570.281,0340.63
19431,3780.844940.301,0240.63

AGRICULTURE

Season.Wheat for Threshing.Oats for Threshing.
 Area.Yield.Yield per Area.Ares.Yield.Yield per Acre.
 Acres.Bushels.Bushels.Acres.Bushels.Bushels.
1890–91301,4605,723,61018.99346,2249,947,03628.73
1895–96245,4416,843,76827.88364,78812,263,64033.62
1900–01206,4656,527,15431.61449,53419,085,83742.45
1905–06222,1836,798,93430.60354,29112,707,98235.86
1910–11322,1678,290,22125.73302,82710,118,91733.41
1915–16329,2077,108,36021.59212,6887,653,20836.98
1920–21219,9856,872,26231.24147,5596,225,11535.41
1925–26161,6734,617,04130.44102,4854,115,60640.14
1930–31249,0147,579,15330.4487,1523,376,60938.74
1932–33302,53111,054,97236.54116,2065,132,18344.16
1933–34286,2719,036,01731.5678,3433,242,50041.39
1934–35225,3895,933,245263252,5161,890,14536.99
1935–36248,6398,859,22335.6377,6023,302,64242.61
1936–37221,7907,168,96332.3274,7723,525,4304715
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
1940–41243,1978,305,865341571,7583,114,94643.41
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

LIVE-STOCK

Year.Horses.Total Cattle.Dairy Cows (in Milk).*Sheep.Pigs.

* Figures from 1891 to 1010 include dairy cows not in milk.

† Not available.

NOTE.—With the exception of sheep, figures from 1931 to 1944 exclude stock within boroughs.

1891211,040788,919206,90617,865,423222,553
1896237,4181,047,901276,21719,138,493239,778
1901260,2451,256,680372,41620,233,099250,975
1906326,5371,810,936517,72020,108,471249,727
1911404,2842,020,171633,73323,996,126348,754
1916371,3312,417,491750,32324,788,150297,501
1921337,2593,139,223890,22023,285,031349,892
1926314,8673,452,4801,181,44124,904,993472,534
1931282,7294,043,5601,478,94729,792,516468,533
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
1942248,5974,604,7491,756,654681,016
1943236,4554,447,5481,714,959604,574
1944225,8234,439,2581,647,92033,200,298573,362

TRADE

 Excluding Specie.*Specie
Year.Exports.Imports.Exports.Imports.
 Total.Per Head.Total.Per Head.    

* Figures are in terms of New Zealand currency.

† Specie exports and imports represent face value.

‡ Increases due mainly to high level of lend-lease supplies.

 ££S.d.££s.d.££
18909,569,31614895,928,89581811242,404331,630
18958,518,119111206,115,95386732,105284,176
190013,223,258169810,207,3261214622,903438,770
190515,642,069172712,481,1781313413,878347,679
191022,152,4732151016,748,2231611127,736303,360
191531,430,822277020,658,72017196318,0901,070,114
192046,405,366377061,553,85349101136,58041,975
192555,243,0473918152,425,7573717419,22530,650
193044,940,517302044,339,66429140175363,087
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
194167,479,413417649,167,01030211..205,409
194281,284,6374911653,856,01232161125,375147,010
194371,862,5984318995;242,33058471,240461,800
194477,786,9464619786,086,5315271400159,640
 Exports of New Zealand Produce.
Year.Wool.Frozen Meat.*;Tallow.
 Quantity.Value.Quantity.Value.Quantity.Value.
* Includes exports of chilled beef.
 Lb.£Cwt.£Cwt.£
1890102,817,0774,150,599898,8941,087,617173,300162,471
1895116,015,1703,662,1311,134,0971,262,711263,560260,999
1900140,706,4864,749,1961,844,8312,123,881367,780368,473
1905139,912,7375,381,3331,690,6842,694,432318,940347,888
1910204,368,9578,308,4102,654,1963,850,777520,180756,841
1915196,570,11410,387,8763,591,2607,794,395535,260780,828
1920162,327,17611,863,8274,629,28211,673,696540,8201,748,773
1925205,726,85617,739,7363,414,20511,174,567600,760895,061
1930197,239,6147,664,3624,036,63910,937,382492,560683,571
1934255,796,78312,516,4254,969,44711,886,955553,240480,354
1935222,661,4037,097,1335,206,51412,768,968505,540630,638
1936314,409,40213,293,7065,119,80413,239,414521,900628,310
1937282,339,14819,070,2405,410,91214,689,616518,800647,969
1938271,283,23312,185,4835,373,30815,092,059592,260524,775
1939277,391,71311,665,9095,906,25115,390,801582,740456,527
1940300,288,68716,875,4636,976,62519,681,343682,760707,721
1941215,743,29612,613,3715,284,84816,595,290786,560818,370
1942307,547,29618,336,5075,741,38917,777,4361,036,5801,143,879
1943206,822,34813,483,5444,412,65713,801,632879,1001,071,232
1944188,699,35912,711,4074,157,92712,488,458632,480608,263

TRADE

 Exports of New Zealand Produce.
Year.Cheese.Gold.Tallow.
Quantity.Value.Quantity.Value.Quantity.Value.
 Cwt.£Cwt.£Oz.£
189034,816122,70140,45184,986187,641751,360
189557,964227,60176,743150,909293,4931,162,181
1900172,583740,620102,849229,111373,6141,439,602
1905305,7221,408,55788,562205,171520,4852,093,936
1910356,5351,811,975451,9151,195,373478,2861,896,318
1915420,1442,700,625817,2582,730,211422,8251,694,553
1920312,0093,022,3351,222,0506,160,840212,973883,748
19251,245,32410,240,1321,376,7545,800,808114,696472,364
19301,884,23711,854,0561,812,9816,438,438133,749550,678
19322,185,54510,639,0531,790,4314,951,268200,6481,092,288
19332,635,24711,648,6991,982,9424,766,351177,2411,281,612
19342,614,51910,042,7761,984,4964,694,459162,4901,320,690
19352,789,29813,616,7401,727,5524,376,51217A.2831,441,790
19362,796,14515,317,5761,658,2065,122,438168,0731,398,656
19372,976,08516,986,4771,647,1605,371,878172,3171,435,216
19382,614,54916,520,2261,610,5235,935,061152,4871,296,839
19392,443,29716,111,2071,677,2575,869,890176,3701,628,526
19402,622,70018,228,0262,033,5068,233,486188,4591,948,280
19412,263,13515,777,8642,366,2359,833,861176,2421,830,365
19422,344,62216,477,9432,687,62111,860,471167,2461,726,540
19431,985,18714,392,7592,009,9479,125,958149,5011,542,158
19442,306,79818,553,4801,554,0537,443,632138,0481,423,556
Year.Cattle-hides and Calf-skins.Sheep-skins.
Cattle-hides.Calf-skins.Aggregate Value.With Wool.Without Wool.Aggregate Value.
* Figures not available.
 No.No.£No.No.£
1890***336,0691,956,452122,790
1895***429,3342,801,205180,905
1900***267,5454,401,885279,391
1905***657,6104,273,581500,744
1910***983,4926,827,094741,259
1915269,656234,164571,861499,0648,594,786826,507
1920284,666251,2571,125,811..9,221,5523,060,212
1925495,535702,029940,140471,1278,224,1851,989,289
1930290,964656,802510,6831,542,0259,477,5611,516,738
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
1944304,848888,250899,560818,34014,413,4202,386,648

FACTORY PRODUCTION

Year.Number of Establishments.Persons engaged.Salaries and Wages paid.Cost of Materials.Other Expenses.Value of Output.Added Value.

* Productive employees.

† Not available.

   £££££
1910–113,48345,924*4,786,698*18,782,92929,317,02310,534,094
1915–163,75548,744*5,791,704*30,197,78443,034,03312,836,249
1920–214,02269,68113,172,99652,933,49477,828,01324,894,519
1925–264,79478,70816,153,82251,668,1008,395,92182,358,85130,690,751
1930–315,19477,91415,617,05248,458,3569,388,62677,745,24929,286,893
1932–334,99368,92112,048,14842,726,0438,097,04266,109,45523,383,412
1933–345,02872,65112,106,50047,067,5648,108,89071,770,87224,703,308
1934–355,27079,35813,244,37352,277,2858,809,91279,324,47327,047,188
1935–365,53686,58814,844,36760,172,8489,374,36990,014,74829,841,900
1936–375,72896,40118,333,07770,938,16510,481,253105,941,72235,003,557
1937–385,924102,34420,981,58775,371,55810,540,208113,691,55638,319,998
1938–396,146102,53522,270,01075,634,90310,001,804114,447,42638,812,623
1939–406,342108,72224,460,54985,243,38311,043,557129,061,82643,818,443
1940–416,395113,99926,946,79998,547,80411,978,820147,153,55948,605,755
1941–426,367117,21429,504,299102,260,86012,812,901155,566,19553,305,335
1942–436,127114,59032,256,071107,447,79913,331,973165,936,28458,488,485
1943–446,202117,86434,433,075112,883,93214,516,235175,686,68962,802,757

INDEBTEDNESS OF GENERAL GOVERNMENT

AMOUNT OF DEBENTURES AND STOCK IN CIRCULATION

As at 31st March,Domiciled inTotal.Per Head of Population.
London.Australia.New Zealand.

* Not available.

† Increase due mainly to floating debt under Banks Indemnity (Exchange) Act, 1032—33. which was paid off in 1934–35.

‡ As from Slat March, 1044, statistics of public indebtedness are quoted in terms of New Zealand currency. Prior to that date the whole debt was shown at its nominal amount.

 £££££s.d.
1890***38,667,9505832
1895***40,386,9645543
190043,299,679181,6004,393,17347,874,45259192
190549,379,6191,209,5509,322,83159,912,00065196
191057,733,6584,113,98513,043,00274,890,64572610
191576,410,0013,979,00019,670,909100,059,91086197
192095,708,3293,385,650102,076,776201,170,755162129
1925120,818,4872,952,200104,043,960227,814,647165211
1930146,580,5024,276,750116,526,091267,383,343179110
1934160,908,1052,908,150138,975,741302,791,99619568
1935160,972,2302,183,550117,425,437280,581,2171791411
1936158,711,9301,592,650122,256,518282,561,098179106
1937156,737,016891,900130,041,284287,670,200181410
1938156,857,016882,600132,461,726290,201,342180175
1939156,853,016879,600146,237,656303,970,272187110
1940157,863,270879,600164,164,660322,907,536196159
1941158,371,589879,600190,176,386349,427,575213112
1942153,755,563862,300230,779,870385,397,733235163
1943158,274,298862,300304,688,774463,825,3722831610
 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
1944198,884,784862,300366,746,933566,494,017344121

REVENUE AND EXPENDITURE OF GENERAL GOVERNMENT

Year ended 3lst March,Consolidated Fund.Public Works Fund.
Receipts.Payments.Receipts.Payments.
From Taxation.From other Sources.Totals.

* Public Works Account.

NOTE.—Reference to section 23A will indicate that the figures shown in the above table are by no means on a comparable basis over the period.

 ££££££
18902,090,4052,176,7144,267,1194,256,92183,142482,464
18952,300,3502,147,5494,447,8994,352,185353,000504,486
19002,891,1262,808,4925,699,6185,140,1271,062,116993,223
19053,754,3793,592,8187,347,1976,635,9021,908,6831,354,158
19104,180,5165,058,4019,238,9178,990,9222,093,6972,216,397
19155,881,9056,570,04012,451,94512,379,8032,224,4912,737,364
192016,256,5279,824,81326,081,34023,781,5242,243,3892,232,815
192516,177,36112,465,63928,643,00027,399,2004,833,2805,482,069
193019,474,0915,875,77025,349,86125,200,8822,339,3586,237,585
193417,059,8296,432,92023,492,74924,202,0272,363,7752,572,415
193520,177,6075,948,48726,126,09424,499,5953,000,3722,714,210
193621,556,4154,615,95326,172,30825,890,5683,458,1252,863,643
193726,940,8454,206,34231,147,18730,675,1586,743,0406,601,091
193831,664,4304,395,01336,059,44335,248,6215,602,5027,647,246
193932,305,7724,276,27436,582,04635,772,67811,372,55511,145,029
194032,810,5995,163,56037,974,15937,654,82011,939,23811,216,834
194134,873,7325,564,19540,437,92738,711,5039,890,1239,445,824
194235,161,9466,079,01341,240,95939,568,4979,558,2247,357,429
194336,195,8656,165,14442,361,00938,206,43137,179*1,651,319*
194442,017,6206,810,65448,828,27446,595,6941,507,322*3,262,410*

LOCAL AUTHORITIES*

Year ended 31st March,Receipts.Payments.Total Gross Indebtedness
Revenue.Other Receipts.Totals.
From Rates.From other Sources.
* Exclusive of Hospital Boards.
 ££££££
1890460,303707,725206,6881,374,7161,476,5406,316,716
1895581,868683,857328,7981,594,5231,584,5187,422,306
1900714,151848,032372,0281,934,2111,960,0738,149,272
19051,019,4311,255,2221,350,6313,625,2843,497,32112,056,736
19101,526,3171,934,0342,362,1715,822,5224,898,48217,809,917
19152,140,0862,861,2972,595,7067,597,0896,806,56724,538,721
19203,144,2134,486,5823,329,00310,959,79810,883,58630,187,942
19254,668,8847,512,0807,613,39919,794,36319,422,83353,353,466
19306,010,98710,746,7315,495,42722,252,14522,061,08871,207,539
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
19396,971,65011,750,6266,254,79224,976,96825,078,93568,206,674
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
19447,823,72915,148,8492,053,62925,026,20723,801,19763,262,828

LOCAL AUTHORITIES.*—LOAN INDEBTEDNESS

(Exclusive of Inscribed Debt)

As at Slat March,Counties.Boroughs.Harbour Boards.Electric-power Districts.Other.Totals.

* Exclusive of Hospital Boards.

*Debt shown at its nominal amount, that portion domiciled overseas not being converted to its New Zealand currency equivalent.

 ££££££
18908,5052,541,4533,155,000..272,5015,978,059
189510,5102,757,3953,652,350..265,2556,685,510
19006,9002,939,0253,845,881..265,5447,057,350
19067,8004,863,9864,382,551..763,90510,018,242
191076,8777,687,2095,788,400..1,385,19914,937,685
19151,025,60111,352,8026,990,573..2,389,25321,758,229
19202,032,96015,295,9587,495,641..2,892,19227,716,751
19264,616,68825,882,8659,750,6606,514,7574,315,89851,080,868
19306,533,32231,621,14910,460,69212,636,3518,028,55569,180,069
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

TRADING BANKS (AVERAGE OF FOUR QUARTERS)

Year.Assets.Liabilities.
Advances.Coin and Bullion.Totals (all Assets).Notes in Circulation.Deposits.Totals (all Liabilities).

* Gold coin and bullion, and note-issuing functions, taken over by Reserve Bank (August, 1931).

† As at last Monday in December.

‡ The Reserve Bank assumed liability for the outstanding notes of the trading banks as from 1st August, 1086.

 ££££££
189013,996,0862,536,52917,735,259903,01012,368,61013,356,698
189511,600,0803,310,94318,159,781897,91913,544,41514,491,627
190011,343,4112,739,19717,314,5351,299,82515,570,61016,964,582
190515,496,3954,006,10821,770,5251,468,97720,545,60122,144,166
191018,439,9995,035,76426,398,9271,626,09424,968,76126,742,081
191523,638,9706,781,00633,209,4832,846,27531,433,65334,448,270
192038,241,9327,728,94256,111,4337,890,41859,405,34167,818,469
192545,298,9557,722,9i762,128,8086,775,47052,207,20260,219,697
193053,657,3976,798,55669,748,0716,255,71756,425,01463,984,419
193250,255,6745,957,94469,015,2095,958,26862,851,73660,649,208
193345,705,0445,105,84669,656,7006,205,42957,620,23365,281,375
193441,389,4573,477,248*73,509,1774,844,826*63,417,29969,259,271
193544,666,541767,589*83,008,626765,343*61,474,51165,981,411
193645,918,432720,317*83,865,50165,153,97265,939,649
193749,199,592742,500*85,822,90266,842,69267,842,240
193855,650,065875,825*85,072,32965,038,69066,820,736
193954,745,801746,801*96,108,63767,279,45175,978,460
194047,983,526718,208*101,496,18377,345,06382,032,696
194149,746,397761,914*105,291,60480,720,10184,073,585
194245,439,520686,902*118,948,66990,880,339100,768,355
194343,249,581643,614*132,941,786106,323,897114,628,316
194446,773,498713,076*140,938,803117,568,290122,214,224

POST OFFICE SAVINGS-BANK

Year.Number of Depositors at End of Year.Total Amount of Deposits during Year.Total Amount of Withdrawals during Year.Excess of Deposits over Withdrawals.Interest Credited to Depositors.Total Amount to Credit of Depositors at End of Year.

* Fifteen months 1st January, 1920, to 31st March, 1921.

† Excess of withdrawals over deposits.

  £££££
189097,2081,658,5431,500,437158,10692,3192,441,876
1895137,6832,794,5072,369,333425,174129,4903,895,543
1900197,4084,170,4293,827,416343,013146,1695,809,552
1905276,0666,625,7445,984,185641,559259,0818,662,023
1910380,58510,708,9399,695,5151,013,424424,66814,104,990
1915509,08513,706,05711,294,9732,411,084707,25222,166,365
1920–21*664,81944,302,85241,162,4863,140,3661,818,53543,352,031
1925–26758,15531,833,62232,602,506− 768,8841,731,57847,911,322
1930–31878,04324,531,56928,063,338−3,531,7691,763,82547,668,547
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
1042–431,086,99638,097,07026,889,33911,207,7311,816,82084,469,933
1943–441,128,93647,648,75435,580,16512,068,5892,075,67698,614,198

POSTAL

Year.Letters, Cards, &c, posted and delivered.Total Mail Matter (including Parcels) posted and delivered.Money-orders Issued.Postal Notes lssued.‡;Postal Revenue.‡;
Number.Amount.Number.Amount.

* Received and despatched.

†Counted once only.

‡Year ended 31st March following

§Not available.

    £ ££
189045,927,699*69,999,563*176,427602,077189,91568,395229,867
189530,788,58254,487,885243,497812,604349,627120,957242,615
190041,806,99476,801,567369,8341,214,853490,506151,180316,858
190574,767,288122,493,568417,4411,541,712875,324270,300410,967
1910210,450,636310,236,516569,6572,457,5231,666,959517,315603,150
1915251,790,651356,519,892664,8603,471,8182,370,079712,753858,583
1920266,680,788360,747,489699,6745,276,7762,280,219691,2011,352,677
1925303,737,841471,503,757766,6894,977,2303,040,722902,1191,320,277
1930322,732,067542,003,413833,5055,069,6293,907,2881,128,8071,582,650
1932253,222,142436,615,397648,9513,335,5522,686,648958,3731,393,655
1933269,032,940461,132,572635,6743,112,7292,883,070106,9461,294,757
1934282,563,434486,830,600654,6213,209,7133,325,6611,140,6951,384,265
1935296,974,198526,126,679673,0573,374,0293,827,4171,293,9551,466,867
1936299,763,764534,097,248733,9663,794,6483,833,2881,378,387l,628,868
1937310,084,924547,687,799784,4954,312,6293,746,5601,454,7931,822,308
1938325,822,120608,682,253848,0504,802,2933,835,4001,485,4262,033,488
1939321,114,532591,476,930911,4845,094,3643,374,8521,323,3981,938,607
1940296,684,295531,941,815812,6674,435,0072,568,9161,020,6302,084,351
1941291,794,405540,067,900751,7224,302,1262,408,020980,9522,194,042
1942§§817,3984,960,5612,242,031933,6342,283,847
1943§§786,5115,500,6872,215,572945,2932,464,304

GOVERNMENT RAILWAYS

Year ended 31st March.Miles Open for Traffic.Capital Cost of Open Lines.Train-mileage.Passengers carried, excluding Season ticket Holders.Goods and Live-stock.*RevenueExpenditure.

* Equivalent tonnage of live-stock.

† From 1925-26, figures relate to railway operation only.

‡ Capital cost written down by £10,400,000.

  £  Tons.££
18901,80913,899,9552,868,2033,376,4592,112,7341,095,569682,787
18951,99315,352,6133,221,6203,905,5782,123,3431,150,851732,160
19002,10416,703,8874,187,8935,468,2843,251,7161,623,8911,052,358
19052,37421,701,5726,107,0798,514,1124,185,4672,209,2311,492,900
19102,71728,513,4767,889,16611,141,1425,490,0183,249,7902,169,474
19152,94534,133,8259,383,42013,565,7726,453,4724,105,4572,920,455
19202,99636,390,1157,408,60812,760,8146,000,2795,752,4874,105,067
19253,08544,570,7469,083,62312,397,0797,025,3167,112,5245,545,416
19303,28757,787,67112,022,0438,466,7797,788,9737,473,9936,848,026
19323,31551,424,88310,168,7206,503,5665,824,8115,788,9655,301,653
19333,31551,480,9499,828,8536,870,5705,490,6865,339,0754,833,764
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

BANKRUPTCY

Year.Number of Bankruptcies.Debtors' Statements of Assets, excluding Amounts secured to Creditors.Amount realized by Official Assignees.Amount of Debts proved.Amount paid in Dividends and Preferential Claims.
  ££££
1890652262,733112,951381,124122,276
1895485133,60388,684239,66270,018
190030477,68953,415141,80037,411
1905304100,81347,798146,33228,150
1910393127,63479,100176,00147,796
191529492,87663,310153,92642,374
192014544,02647,89777,75245,227
1925653235,37798,648471,02880,187
1930780471,50283,308827,34568,611
1932661252,34875,657624,89255,940
1933450114,81761,723489,89547,884
193432672,57244,533258,92033,788
193525768,21641,037225,50823,142
193626040,55732,983169,86621,520
193722259,10055,970171,70626,700
1938267118,69864,511230,46330,793
193926782,31844,171225,49029,950
194021335,37242,418125,28930,288
194116524,53835,45371,01134,428
19428213,66529,75332,22719,429
1943456,14818,88320,05213,136
19445013,20913,46751,03516,742

Chapter 48. SECTION 48.—OFFICIAL

Table of Contents

GOVERNOR-GENERAL OF NEW ZEALAND

His Excellency Marshal of the Royal Air Force, Sir Cyril Louis Norton Newall, G.C.B., O.M., G.C.M.G., C.B.E., A.M.

Military Secretary and Comptroller of the Household—Major H. A. Jaffray, 11th Hussars.

Official Secretary—D. E. Fouhy, Esq.

Aide-de-Camp—Captain the Hon. D. E. A. Winn, King's Royal Rifle Corps.

Honorary Aides-de-Camp—Naval: Commodore W. K. D. Dowding, D.S.C., R.N.; Acting-Captain M. Taylor, O.B.E., R.N.; Acting-Captain A. D. Boyle, R.N. (Retired); Acting-Commander G. Bridson, D.S.O., D.S.C., V.D., R.N.Z.N.V.R. Military: Brigadier A. E. Conway, C.B., O.B.E., N.Z. Staff Corps; Colonel L. W. Andrew, V.C., D.S.O., N.Z. Staff Corps; Lieutenant-Colonel C. L. Walter, D.S.O., E.D., Reserve of Officers; Lieutenant-Colonel F. J. Gwilliam, E.D., Reserve of Officers; Lieutenant-Colonel D. S. Chisholm, V.D., Reserve of Officers. Air: Acting Air Commodore R. B. Bannerman, C.B.E., D.F.C., R.N.Z.A.F.; Group Captain C. E. Kay, O.B.E., D.F.C., R.N.Z.A.F.; Acting Group Captain C. C. Hunter, R.N.Z.A.F.

Honorary Physician—Acting Wing Commander J. E. Hardwick-Smith, M.B., Ch.B. (Cantab.), R.N.Z.A.F.

Honorary Surgeon—Colonel A. A. Tennent, E.D., M.B., Ch.B., F.R.C.S., N.Z. Medical Corps.

His Excellency assumed office on the 22nd February, 1941.

For details of previous vice-regal representatives reference should be made to various issues of the Year-Book, while a complete list of the earlier vice-regal representatives will be found in the 1931 issue (pp. 59–60).

SUCCESSIVE MINISTRIES AND PREMIERS

Since the Establishment of Responsible Government in New Zealand in 1858

Name of Ministry.Name of Premier.Assumed Office.Retired.
1. Bell-SewellHenry Sewell7 May, 185620 May, 1856.
2. FoxWilliam Fox20 May, 18562 June, 1856.
3. StaffordEdward William Stafford2 June, 185612 July, 1861.
4. FoxWilliam Fox12 July, 18616 Aug., 1862.
5. DomettAlfred Domett6 Aug., 186230 Oct., 1863.
6. Whitaker-FoxFrederick Whitaker30 Oct., 186324 Nov., 1864.
7. WeldFrederiok Aloysius Weld24 Nov., 186416 Oct., 1865.
8. StaffordEdward William Stafford16 Oct., 186528 June, 1869.
9. FoxWilliam Fox28 June, 186910 Sept., 1872.
10. StaffordEdward William Stafford10 Sept., 187211 Oct., 1872.
11. WaterhouseGeorge Marsden Waterhouse11 Oct., 18723 Mar., 1873.
12. FoxWilliam Fox3 Mar., 18738 April, 1873.
13. VogelJulius Vogel, C.M.G.8 April, 18736 July, 1875.
14. PollenDaniel Pollen, M.L.C.6 July, 187515 Feb., 1876.
15. VogelSir Julius Vogel, K.C.M.G.15 Feb., 18761 Sept., 1876.
16. AtkinsonHarry Albert Atkinson1 Sept., 187613 Sept., 1876.
17. Atkinson (reconstituted)Harry Albert Atkinson13 Sept., 187613 Oct., 1877.
18. GreySir George Grey, K.C.B.15 Oot., 18778 Oct., 1879.
19. HallJohn Hall8 Oct., 187921 April, 1882.
20. WhitakerFrederick Whitaker, M.L.C.21 April, 188225 Sept., 1883.
21. AtkinsonHarry Albert Atkinson25 Sept., 188316 Aug., 1884.
22. Stoat-VogelRobert Stout16 Aug., 188428 Aug., 1884.
23. AtkinsonHarry Albert Atkinson28 Aug., 18843 Sept., 1884.
24. Stout-VogelSir Robert Stout, K.C.M.G.3 Sept., 18848 Oct., 1887.
25. AtkinsonSir Harry Albert Atkinson, K.C.M.G.8 Oct., 188724 Jan., 1891.
26. BallanceJohn Ballance24 Jan., 18911 May, 1893.
27. SeddonRt. Hon. Richard John Seddon, P.C.1 May, 189321 June, 1906.
28. Hall-JonesWilliam Hall-Jones21 June, 19066 Aug., 1906.
29. WardRt. Hon. Sir Joseph George Ward. Bart., P.C., K.C.M.G.6 Aug., 190628 Mar., 1912.
30. MackenzieThomas Mackenzie28 Mar., 191210 July, 1912.
31. MasseyRt. Hon. William Ferguson Massey, P.C.10 July, 191212 Aug., 1915.
32. NationalRt. Hon. William Ferguson Massey, P.C.12 Aug., 191525 Aug., 1919.
33. MasseyRt. Hon. William Ferguson Massey, P.C.25 Aug., 191914 May, 1925.
34. BellHon. Sir Francis Henry Dillon Bell, G.C.M.G., K.C.14 May, 192530 May, 1925.
36. CoatesRt. Hon. Joseph Gordon Coates, P.C, M.C.30 May, 192510 Dec, 1928.
36. WardRt. Hon. Sir Joseph George Ward, Bart., P.O., G.C.M.G.10 Dec, 192828 May, 1930.
37. ForbesRt. Hon. George William Forbes, P.C.28 May, 193022 Sept., 1931.
38. CoalitionRt. Hon. George William Forbes, P.C.22 Sept., 19316 Dec, 1935.
39. LabourRt. Hon. Michael Joseph Savage, P.C.6 Dec, 19351 April, 1940.
40. LabourHon. Peter Fraser1 April, 194030 April, 1940.
o41. LabourRt. Hon. Peter Fraser, P.C.30 April, 1940 

EXECUTIVE COUNCIL, 1945

His Excellency the Governor-General

Right Hon. P. FRASER, P.O., Prime Minister, Minister of External Affairs, Minister of Island Territories, Minister in Charge of Organization of National Development, Police, Legislative, Electoral, Audit, and High Commissioner's Departments, and Maori War Effort.

Hon. W. NASH, Minister of Finance, Minister of Customs, Minister of Stamp Duties, and Minister in Charge of Land and Income Tax, State Advances, Public Service Superannuation, and Census and Statistics Departments.

Hon. D. G. SULLIVAN, Minister of Industries and Commerce, Minister of Supply and Munitions, and Minister in Charge of Scientific and Industrial Research Department.

Hon. H. G. R. MASON, Minister of Education, Attorney-General, Minister of Justice, Native Minister, and Minister in Charge of Prisons Department, and of Public Trust, Native Trust, and Patent Offices.

Hon. R. SEMPLE, Minister of Works, Minister of Railways, and Minister in Charge of Roads and Public Buildings.

Hon. W. E. PARRY, Minister of Internal Affairs, Minister of Social Security, and Minister in Charge of Registrar-General's Office and Tourist and Health Resorts.

Hon. P. C. WEBB, Minister of Labour, Minister of Mines, Postmaster-General and Minister of Telegraphs, and Minister of Immigration.

Hon. F. JONES, Minister of Defence, Minister in Charge of Broadcasting, and Minister in Charge of War Pensions.

Hon. A. H. NORDMEYER, Minister of Health, and Minister in Charge of Mental Hospitals, Friendly Societies and National Provident Fund, Government Life Insurance, and State Fire Insurance Departments.

Hon. J. O'BRIEN, Minister of Transport, Minister of Marine, and Minister in Charge of Inspection of Machinery and Printing and Stationery Departments.

Hon. A. MC LAGAN, M.L.C., Minister of National Service, and Minister of Industrial Man-power.

Hon. E. T. TIRIKATENE (representing the Native race).

Hon. A. HAMILTON,* Minister in Charge of War Expenditure.

HON. W. PERRY, M.L.C.,* Minister of Armed Forces and War Co-ordination, Minister in Charge of Aliens.

Hon. C. F. SKINNER, M.C., Minister of Rehabilitation, Minister of Lands, Commissioner of State Forests, Minister in Charge of Valuation, Land for Settlements, and Scenery Preservation.

Hon. B. ROBERTS, Minister of Agriculture, and Minister of Marketing.

Clerk of the Executive Council—C. A. Jeffery, C.M.G.

* Member of War Cabinet only, which was dissolved on 21st August, 1945.

LABOUR MINISTRY

(Assumed Office, 30th April, 1940)

Name and Office.FromTo

* Deceased.

Right Hon. Peter Fraser, P.c.—  
Prime Minister30 April, 1940..
Minister of External Affairs7 July, 1943..
Minister of Island Territories7 July, 1943..
Walter Nash—  
Minister of Finance30 April, 1940..
Minister of Customs30 April, 1940..
Minister of Stamp Duties30 April, 1940..
Minister of Marketing30 April, 194021 January, 1941
Daniel Giles Sullivan—  
Minister of Industries and Commerce30 April, 1940..
Minister of Railways30 April, 194021 January, 1941
Minister of Supply and Munitions30 April, 1940..
Henry Greathead Rex Mason—  
Minister of Education30 April, 1940..
Attorney-General30 April, 1940..
Minister of Justice30 April, 1940..
Native Minister7 July, 1943..
Hubert Thomas Armstrong*  
Minister of Health30 April, 194021 January, 1941.
Minister of Public Works21 January, 19418 November, 1942
Robert Semple—....
Minister of Public Works30 April, 194021 January, 1941.
Minister of Transport30 April, 19409 December, 1942.
Minister of Marine30 April, 194012 June, 1940.
Minister of National Service13 June, 194030 June, 1942.
Minister of Railways21 January, 1941..
Minister of Marine21 January, 19419 December, 1942.
Minister of Public Works9 December, 194216 April, 1943.
Minister of Works16 April, 1943..
William Edward Parry—  
Minister of Internal Affairs30 April, 1940..
Patrick Charles Webb—  
Minister of Mines30 April, 1940..
Minister of Labour30 April. 1940..
Postmaster-General and Minister of Telegraphs30 April, 1940..
Minister of Immigration12 April, 1944..
Frederick Jones—  
Minister of Defenco30 April, 1940..
William Lee Martin—  
Minister of Agriculture30 April, 194021 January, 1941.
Frank Langstone—  
Minister of Lands30 April, 194021 December, 1942.
Commissioner of State Forests30 April, 194021 December, 1942.
Minister of External Affairs30 April, 194021 December, 1942.
Native Minister30 April, 194021 December, 1942.
Minister for the Cook Islands30 April, 194021 December, 1942.
David Wilson, M.L.C.—  
Minister of Immigration30 April, 19408 April, 1944.
Dr. David Gervan McMillan—  
Minister of Marine12 June, 194021 January, 1941.
James Gillispie Barclay—  
Minister of Agriculture21 January, 194118 October, 1943.
Minister of Marketing21 January, 194118 October, 1943.
Minister of Lands7 July, 194318 October, 1943.
Commissioner of State Forests7 July, 194318 October, 1943.
Rev. Arnold Henry Nordmeyer—  
Minister of Health21 January, 1941..
Paraire Karaka Paikea*  
Member of Executive Council without portfolio21 January, 19416 April, 1943.
James O'Brien—  
Minister of Transport9 December, 1942..
Minister of Marine9 December, 1942..
Eruera Tihema Tirikatene—  
Member of Executive Council without portfolio26 May, 1943..
Angus McLagan, M.L.C.—  
Member of Executive Council without portfolio30 June, 1942..
Minister of National ServiceOctober, 1942..
Major Clarence Farringdon Skinner, M.C.—  
Minister of Rehabilitation24 July, 1943..
Minister of Lands26 Nov., 1943..
Commissioner of State Forests12 April, 1944..
Benjamin Roberts—....
Minister of Agriculture29 October, 1943..
Minister of Marketing29 October, 1943..

NOTE.—The first twelve of these Ministers were also members of the two previous Ministries, the first assuming office on 6th December, 1935, and the second on 1st April, 1940.

PARLIAMENTARY UNDER-SECRETARIES

APPOINTED UNDER CIVIL LIST AMENDMENT ACT, 1936

JAMES THORN, M.P., Parliamentary Under-Secretary in relation to the office of the Prime Minister. Appointed 14th January, 1943.

ARTHUR GEORGE OSBORNE, M.P., Parliamentary Under-Secretary in relation to the office of the Prime Minister. Appointed 15th February, 1943.

TERENCE HENDERSON MCCOMBS, M.P., Parliamentary Under-Secretary in relation to the office of the Minister of Finance. Appointed 23rd April, 1945.

EDWIN PURCELL MEACHEN, M.P., Parliamentary Under-Secretary in relation to the office of the Minister of Works. Appointed 1st August, 1945.

WAR CABINET

The War Cabinet, which was responsible for making all decisions in relation to war matters, was formed on 16th July, 1940, and was dissolved on 21st August, 1945. At the date of dissolution it consisted of the following: Right Hon. P. Fraser, P.C., Prime Minister; Hon. W. Nash, Minister of Finance; Hon. F. Jones, Minister of Defence; Hon. D. G. Sullivan, Minister of Supply and Munitions; Hon. A. Hamilton; and Hon. W. Perry, M.L.C.

The Right Hon. J. G. Coates, P.O., M.C., an original member of the War Cabinet, died on 27th May, 1943, and was replaced by Hon. W. Perry on 10th June, 1943. The Hon. S. G. Holland was appointed a member of the War Cabinet on 30th June, 1942, and resigned on 2nd October, 1942.

WAR ADMINISTRATION

The War Administration, which was formed on the 30th June, 1942, and was in being for several months, was charged with the responsibility for all matters connected with the war and with New Zealand's war effort. It was constituted as follows: Right Hon. P. Fraser, P.C., Prime Minister and Chairman of War Administration and of War Cabinet; Hon. S. G. Holland, Minister in Charge of War Expenditure and Deputy Chairman of War Administration and of War Cabinet; Hon. F. Jones, Minister of Defence; Right Hon. J. G. Coates, P.O., M.C., Minister of Armed Forces and War Coordination; Hon. D. G. Sullivan, Minister of Supply and Munitions and Deputy Prime Minister; Hon. A. Hamilton, Associate Minister of Supply and Munitions; Hon. R. Semple, Minister of Transport; Hon. W. J. Poison, Minister of Primary Production for War Purposes; Hon. P. K. Paikea, Minister in Charge of Maori War Effort; Hon. W. J. Broadfoot, Minister of National Service; Hon. A. McLagan, M.L.C., Minister of Industrial Man-power; Hon. W. A. Bodkin, Minister of Civil Defence; and Hon. A. H. Nordmeyer, Minister of Health.

The Hon. S. G. Holland, Hon. W. J. Poison, Hon. W. J. Broadfoot, and Hon. W. A. Bodkin resigned on 2nd October, 1942.

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.]

Parliament.Dates of Opening of Sessions.Dates of Prorogation.Dates of Dissolution.
Twenty-fourth23 Feb., 193211 May, 19321 Nov., 1935.
22 Sept., 193221 Mar., 1933
21 Sept., 193322 Dec, 1933
28 June, 193416 April, 1935
29 Aug., 193529 Oct., 1935
Twenty-fifth25 Mar., 193631 Oct., 193620 Sept., 1938.
9 Sept., 193716 Mar., 1938
28 June, 193819 Sept., 1938
Twenty-sixth27 June, 19391 Feb., 194030 Aug., 1943.
30 May, 194016 Dec, 1940
12 Mar., 194129 Oct., 1941
11 Dec., 194114 Dec, 1942
23 Feb., 194327 Aug., 1943
Twenty-seventh1 22 Feb., 19441 15 Dec, 1944..
 27 June, 1945  

LEGISLATIVE COUNCIL

ROLL OF MEMBERS OF THE LEGISLATIVE COUNCIL OF NEW ZEALAND, SEPTEMBER. 1945

Speaker—Hon. M. FAGAN. Chairman of Committees—Hon. B. MARTIN. Clerk of Parliaments and Clerk of the Legislative Council—C. M. BOTHAMLEY, J.P.

Name.Provincial District.Date of Appointment.
Archer, Hon. John KendrickCanterbury..22 Sept., 1944.
Bishop, Hon. Thorns OttoWellington9 Mar., 1943.
Black, Hon. WalterNelson8 Sept., 1941.
Bloodworth, Hon. ThomasAuckland8 Sept., 1941.
Briggs, Hon. MarkWellington9 Mar., 1943.
Brindle, Hon. ThomasWellington9 Mar., 1943.
Campbell, Hon. ArchibaldOtago15 Dec, 1939.
Connelly, Hon. MichaelOtago9 Mar., 1943.
Cotter, Hon. JamesAuckland9 Mar., 1943.
Cumming, Hon. JamesWellington23 June, 1941.
Davis, Hon. Eliot RypinskiAuckland8 Sept., 1941.
Doyle, Hon. Thomas FrancisSouthland9 Mar., 1943.
Duncan, Hon. John EdwardAuckland22 Sept., 1944.
Eddy, Hon. RichardWellington23 June, 1941.
Pagan, Hon. MarkWellington11 June, 1944.
Grounds, Hon. WilliamAuckland15 July, 1940.
Hanan, Hon. Josiah AlfredOtago15 July, 1940.
Hunter, Hon. George RobertCanterbury9 Mar., 1943.
Lark, Hon. Frank EdwinAuckland9 Mar., 1943.
McCullough, Hon. John AlexanderCanterbury9 Mar., 1943.
Mclntyre, Hon. William HendersonNelson10 Sept., 1942.
McLagan, Hon. AngusCanterbury30 June, 1942.
Martin, Hon. BernardAuckland9 Mar., 1943.
Mawhete, Hon. RangiWellington9 Mar., 1943.
O'Byrne, Hon. Thomas FrancisSouthland23 June, 1941.
O'Kane, Hon. Patrick JosephHawke's Bay8 Sept., 1941.
Perry, Hon. WilliamWellington23 June, 1941.
Robbins, Hon. Benjamin ConradAuckland9 Mar., 1943.
Rogers, Hon. William JamesWellington15 July, 1940.
Ryall, Hon. JohnWestland15 July, 1940.
Statham, Hon. Sir Charles Ernest, Kt.Wellington9 Mar., 1943.
Waite, Hon. Fred, D.S.O., O.B.E.Otago23 June, 1941.
Ward, Hon. Vincent AubreyWellington23 June, 1941.
Young, Hon. Frederick GeorgeAuckland8 Sept., 1941.

HOUSE OF REPRESENTATIVES

ROLL OF MEMBERS OF THE HOUSE OF REPRESENTATIVES, SEPTEMBER, 1945

Name.Electoral District.
For European Electorates 
Aoland, Hugh John DykeTemuka.
Aderman, Ernest PhilipNew Plymouth
Algie, Ronald MacmillanRemuera.
Anderton, William Theo-philusEden.
Armstrong, Arthur ErnestNapier.
Atmore, HarryNelson.
Bodkin, William AlexanderCentral Otago.
Bowden, Charles MooreWellington West
Broadfoot, Walter JamesWaitomo.
Carr, Rev. Clyde LeonardTirnaru.
Carr, PeterAuckland West.
Chapman, Charles HenryWellington North.
Coleman, David WilliamGisborne.
Combs, Harry ErnestWellington Suburbs.
Connolly, Philip George, D.S.C.Dunedin West.
Corbett, Ernest BowyerEgmont.
Cotterill, Joseph Bernard FrancisWanganui.
Coulter, RobertRaglan.
Cullen, Edward Lutterell, M.M.Hawke's Bay.
Denham, William Mortimer ClarenceInvercargill.
Doidge, Frederick Wid-dowsonTauranga.
Fraser, Rt. Hon. Peter, P.O.Wellington Central.
Gerard, Richard GeoffreyMid - Canter bury.
Giliespie, William HenryHurunui.
Goosman, William StanleyWaikato.
Gordon, Edward Brice KillenRangitikei.
Hackett, FrederickGrey Lynn.
Hamilton, Hon. AdamWallace.
Harker, Cyril Geoffrey EdmundWaipawa.
Herron, George RichardAwarua.
Hodgens, JosephPalmerston North.
Holland, Sidney GeorgeChristchurch North.
Holyoake, Keith JackaPahiatua.
Howard, Miss Mabel BowdenChristchurch East
Jones, Hon. FrederickDunedin South
Kidd, David CampbellWaitaki.
Langstone, FrankWaimarino.
Lowry, Leonard GeorgeOtaki.
McCombs, Terence HendersonLyttelton.
Macdonald, Thomas LachlanMatatira.
Macfarlane, Robert Mafe-kingChristchurch South
McKeen, RobertWellington South
Macklev, Garnet Hercules, C.M.G.Masterton.
Mason, Hon. Henry Great-head RexAuckland Suburbs
Massey, John NormanFranklin.
Meachen, Edwin PurcellMarlborough.
Morton, Henry Thorne.Waitemata.
Murdoch, Alfred JamesMarsden.
Nash, Hon. WalterHutt.
Neilson, PeterDunedin Central.
Nordmeyer, Hon. Arnold HenryOamaru.
O'Brien, Hon. JamesWestland.
Oram, Matthew HenryManawatu.
Osborne, Arthur GeorgeOnehunga.
Parry, Hon. William EdwardAuckland Central.
Petrie, Charles RobertOtahuhu.
Poison, William JohnStratford.
Richards, Arthur ShaptonRoskill.
Roberts, Hon. BenjaminWairarapa.
Ross, Grace HildaHamilton.
Roy, James Alexander McLean, M.C.Clutha.
Schramm, Hon. Frederick WilliamAuckland East.
Semple, Hon. RobertWellington East.
Sheat, William AlfredPatea.
Sim, Geoffrey FanthamRotorua.
Skinner, Major the Hon.Motueka.
Clarence Farringdon, M.C. 
Smith, Sidney WalterBay of Islands.
Sullivan, Hon. Daniel GilesAvon.
Sullivan, WilliamBay of Plenty.
Sutherland, Andrew SinclairHauraki.
Thorn, JamesThames.
Walls, RobertDunedin North.
Watts. Jack ThomasRiccarton.
Webb, Hon. Patrick CharlesBuller.
Webb, Thomas CliftonKaipara.
Williams, Charles MorganKaiapoi.
For Maori Electorates 
Omana, TiakiEastern Maori.
Paikea, Tapihana ParaireNorthern Maori.
Ratana, MatiuWestern Maori.
Tirikatene, Hon. Eruera TihemaSouthern Maori.

JUDICIARY

Judges of the Supreme Court and Court of Appeal. — Chief Justice: Right Hon. Sir Michael Myers, P.O., G.C.M.G. Puisne Judges: Hon. A. W. Blair; Hon. D. S. Smith; Hon. Robert Kennedy; Hon. H. F. Johnston; Hon. A. Fair; Hon. J. B. Callan; Hon. E. H. Northcroft; Hon. G. P. Finlay: Hon. H. H. Cornish.

Judge of Court of Review (Mortgagors and Lessees Rehabilitation Act, 1936).— Hon. H. F. Johnston.

Judges of the Arbitration Court.—Hon. A. Tyndall, C.M.G., Hon. W. J. Hunter.*

Judge of the Compensation Court.—Hon. F. W. Ongley.

* President of Price Tribunal.

HONOURS

It has been customary to include in this section a list of recipients of honours conferred by His Majesty the King. The list is not given on this occasion on account of its length, but a summary of honours, decorations, &c., for distinguished or gallant conduct, devotion to duty, &c., which have been awarded to New Zealand personnel serving with His Majesty's Forces from the outbreak of war up to 31st December, 1944, will be found on page 155 of this Year-Book. Issues of the New Zealand Gazette showing recipients of honours, awards, &c., subsequent to those included on pages 646–647 of the 1944 Year-Book have been as follows:—

Date of Gazette.Page.
20th January, 194435
27th January, 194460
10th February, 1944112
2nd March, 1944219
16th March, 1944259
20th March, 1944269–270
4th May, 1944431–432
1st June, 1944636–640
22nd June, 1944751
20th July, 1944902
3rd August, 1944946
10th August, 1944966
24th August, 19441,033–1,034
31st August, 19441,075
7th September, 19441,097
21st September, 19441,142
19th October, 19441,259
26th October, 19441,285
23rd November, 19441,429
14th December, 19441,513

GOVERNMENT DEPARTMENTS

LIST OF DEPARTMENTS OF THE NEW ZEALAND GOVERNMENT, WITH TITLES AND NAMES OF PERMANENT HEADS, SEPTEMBER, 1945

Department.Permanent Head.
Title.Name.
AgricultureDirector-GeneralE. J. Faweet, M.A. (Cantab.).
AirChief of Air Staff and First Air Force Member of the Air BoardAir Vice-Marshal L. M. Isitt, C.B.E.
 Air SecretaryT. A. Barrow.
MeteorologicalDirectorWing Commander M. A. F. Barnett, M.Sc., Ph.D., F.Inst.P.
ArmyChief of the General StaffLieutenant-General E. Puttick, C.B., D.S.O.
 Army SecretaryF. B. Dwyer.
AuditController and Auditor-GeneralJ. P. Rutherford.
BroadcastingDirectorJ. Shelley, M.A. (Cantab.).
Census and StatisticsGovernment StatisticianJ. W. Butcher.
Crown LawSolicitor-GeneralH. E. Evans, B.A., LL.M.
CustomsComptrollerE. D. Good.
EducationDirectorC. E. Beeby, M.A., Ph.D.
External AffairsSecretaryA. D. M. McIntosh, M.A.
Government Life InsuranceCommissionerJ. W. Macdonald.
HealthDirector-GeneralM. H. Watt, C.B.E., M.D. D.P.H.
Industries and Commerce, Tourist and PublicitySecretary for Industries and Commerce, and General Manager for Tourist and PublicityL. J. Schmitt.
 Commissioner of SupplyF. R. Picot.
Internal AffairsUnder-Secretary and Clerk of WritsJ. W. A. Heenan, C.B.E., LL.B.
ElectoralChief Electoral OfficerL. Irwin.
Island TerritoriesSecretaryC. G. R. McKay.
Justice and PrisonsUnder-Secretary of Justice, Controller-General of Prisons, Chief Probation Officer, and Registrar-General of Births, Deaths, and MarriagesB. L. Dallard.
Patent OfficeCommissionerA. H. Ihle.
LabourSecretaryH. E. Moston, C.B.E.
Land and Deeds and Stamp DutiesSecretary for Land and Deeds, and Commissioner of Stamp DutiesJ. Caradus.
Land and Income TaxCommissioner of TaxesF. G. Oborn.
Lands and SurveyUnder-Secretary and Land Purchase ControllerR. G. Macmorran.
Law DraftingLow DraftsmanH. D. C. Adams.
LegislativeClerk of Parliaments and Clerk of the Legislative CouncilC. M. Bothamley.
 Clerk of House of RepresentativesG. F. Bothamley.
MarineSecretaryW. C. Smith.
MarketingDirector, Export DivisionG. A. Duncan.
 Director, Internal Marketing DivisionR. P. Fraser.
Mental HospitalsDirector-GeneralT. G. Gray, C.M.G., M.B., Ch.B. (Aberd.), M.P.C.
MinesUnder-SecretaryC. H. Benney.
National Art Gallery and Dominion MuseumDirectorW. R. B. Oliver, D.Sc.
National Provident, and Friendly SocietiesSuperintendentR. M. Porteous.
National ServiceDirector, and Controller of Man-powerH. L. Bockett.
NativeUnder-Secretary, and Native TrusteeG. P. Shepherd.
NavyFirst Naval Member and Chief of the Naval StaffCommodore G. H. Faulkner, D.S.C., R.N.
 Naval SecretaryCaptain (S) W. J. G. Prophit, O.B.E., R.N.
PoliceCommissionerJ. Cummings.
Post and TelegraphDirector-GeneralH. M. Patrick.
Prime Minister&sPermanent Head, Chief Private Secretary, Secretary to Cabinet, and Clerk of the Executive CouncilC. A. Jeffery, C.M.G.
 Director, Organization for National DevelopmentJ. S. Hunter.
Printing and StationeryGovernment PrinterE. V. Paul.
Public Service Commissioner&s OfficeCommissionerJ. H. Boyes.
 Assistant Commissioners.G. T. Bolt. J. E. Engel.
Public TrustPublic TrusteeW. G. Baird.
Public WorksEngineer-in-ChiefW. L. Newnham, M.Inst.C.E.
 Under-SecretaryN. E. Hutchings.
Housing Construction DivisionDirectorG. W. Albertson.
Ministry of WorksCommissionerE. R. McKillop.
RailwaysGeneral ManagerJ. Sawers.
RehabilitationDirectorF. Baker.
Scientific and Industrial ResearchSecretaryE. Marsden, C.B.E., D.Sc.
Social SecurityChairman, Social Security CommissionH. Digby-Smith.
State Advances Corporation of New ZealandJoint Managing DirectorsA. D. Park, C.M.G.
T. N. Smallwood. 
ManagerG. E. Miller.
State Fire and Accident InsuranceGeneral ManagerR. H. Newbold.
State ForestDirector and SecretaryA. R. Entrican, A.M.Inst.C.E.
TransportCommissionerG. L. Laurenson, A.M.Inst.C.E.
TreasurySecretaryB. C. Ashwin, M.Com.
Government Actuary's BranchGovernment ActuaryS. Beckingsale, F.I.A.
Public Service Superannuation BranchSecretaryM. P. Finnigan (Actg.).
ValuationValuer-GeneralF. H. Waters.

THE PUBLIC SERVICE

The Public Service of New Zealand was placed under the Commissioner system of control by the Public Service Act, 1912. Except in the case of the Post and Telegraph Department, the Railways Service, the Teaching Service, the uniform branches of the Police, Air, Army, and Navy Departments, the Legislative Department, the Judiciary and the Magistracy, and in a few other instances, public servants are under Commissioner control.

Just prior to the passing of the Act, the Public Service had been investigated by the Hunt Royal Commission, which found that:—

  1. Persons were entering the Service without proper qualifications:

  2. There was no proper classification of positions, and no consistency in the salaries paid for different positions:

  3. Salary increases were not given in accordance with a defined scheme, and there was too much emphasis on seniority:

  4. Anomalies in salaries and working conditions arose through each Department tending to be a law unto itself. There was no system enabling men to transfer from one Department to another:

  5. Political influence was alleged to exist:

  6. Discontent existed within the Service with impairment of morale and efficiency.

In the view of the Hunt Commission the first essential was the appointment of a Board of Management to control the whole Service. Parliament accepted the principle that the Public Service should be controlled by an independent central agency, but provided for a single Public Service Commissioner instead of a Board of Management as recommended by the Royal Commission. The other provisions of the Act are designed to remedy the weaknesses pointed out by the Royal Commission. The functions of the Commissioner include:—

  1. Control of recruitment:

  2. The classification of jobs according to their importance and character:

  3. The maintenance of a fair and efficient system of promotion:

  4. The protection of the independence and integrity of the Service:

  5. The increase of efficiency in departmental organization and methods:

  6. The maintenance of discipline:

  7. The regulation of a variety of points connected with personnel control—? e.g., leave, hours of work, payment of allowances, &c.

To enable the Commissioner to discharge these functions, various powers have been conferred on him. For instance, he can order an inspection of any Department to ascertain whether there is a proper standard of efficiency and economy. He can transfer surplus staff to other Departments or dispense with their services. He has power in certain circumstances to reduce or to increase an officer's salary. Decisions as to promotions and transfers are made by the Commissioner and certain disciplinary powers are vested in him. To facilitate the administration of the Act, the Commissioner has power to make regulations with the approval of the Governor-General in Council. The Regulations made to date are comprehensive and form a code.

STATUS OF THE PUBLIC SERVICE COMMISSIONER

The Commissioner is appointed by the Governor-General. His appointment is for a period of seven years, but he is eligible for reappointment. His salary is fixed by statute and is paid out of the Consolidated Fund from year to year without any further authority being necessary. There is statutory power to appoint two joint Commissioners, but this power has been exercised on only one occasion in the past— viz., in 1936. Two Assistant Commissioners may be appointed to assist the Commissioner in his administration of the Public Service. Their term of office is seven years, but they are eligible for reappointment. They are under the control of the Commissioner, and may be suspended or removed by the Governor-General in Council on the recommendation of the Commissioner.

The Governor-General has power to suspend the Commissioner from office for misbehaviour or incompetence. A full statement of the grounds of suspension must be laid before Parliament, if in session, within seven days, or, if Parliament is not in session, within seven days after the beginning of the next session. A Commissioner suspended in this way is restored to office if Parliament, within twenty-one days from the time the statement is laid before it, does not pass a resolution to the effect that the Commissioner should be removed from office. The final decision as to the removal of a Commissioner therefore lies with Parliament. His office, however, terminates on the happening of certain other contingencies as set out in section 11 of the Public Service Act.

The Commissioner's status differs from that of the normal Permanent Head in that he is not controlled by any Minister of the Crown. The Act provides that a person is liable to a heavy penalty if he endeavours to influence the Commissioner in regard to another person's appointment, promotion, or salary. Within the limits defined by the Act, the Commissioner is supreme, but appeals against certain of his decisions can he made to the Board of Appeal, which was created by the Public Service Act, 1912. The Commissioner is required to furnish annually, for presentation to Parliament, a report on the condition and efficiency of the Public Service. In this report. he has to indicate any measures and changes which he considers are necessary for the efficient working of the whole or any part of the Service.

CLASSIFICATION

For the purposes of classification, five Divisions have been created by statute and these are:—

  1. Administrative.—Includes such positions as the Governor-General, by notification in the New Zealand Gazette, may declare to belong to this Division. Such positions are those of Permanent Heads and their Deputies. Officers in this Division are paid such emoluments as may be provided in the annual appropriations authorized by Parliament.

  2. Professional.—Includes officers whose duties involve special skill or technical knowledge usually acquired only in some profession, and whose positions the Commissioner directs to be included in this division. The schedule of salaries payable is as under:—

* Efficiency bar: Unless otherwise approved by the Commissioner, officers are required to remain two years on this step.

† This rate may be paid to employees with not less than twenty years' continuous service after completing eight years on the previous step.

 £
Class VI100
 125
 150
 180
 200
 245
 265
 290
 315
 340*
 360
 380
 400
Class V410
 435
Class IV460
 485
Class III510
 535
Class II565
 590
Class I615
 640
 665
 690
Class Sp., C740
B790
A840

Subject to good and diligent conduct, an officer in Class VI receives the amounts shown for that Class year by year, except that he remains for a period of two years on the salary step of £340 unless otherwise approved by the Commissioner. Promotion beyond Class VI depends mainly upon vacancies occurring in the higher grades, or on the growth and importance of the position held by the officer. In 6peoial cases, salaries in excess of the maximum for the division may be paid with the approval of the Commissioner, but in such cases provision must be made in the annual estimates of expenditure, and the amount of increase must be appropriated by Parliament.

  1. Clerical.—This includes such officers as the Commissioner may from time to time direct to be included in that division. It embraces jobs ranging from routine clerical work to work of a high executive character. Payment of salaries follows the scale set out for the Professional Division.

  2. Educational.—Includes teachers in Native schools in the Correspondence School, and in special institutions, but not the great body of primary and secondary school teachers who are servants of various Education Boards, Boards of Governors, &c. In this division officers are paid salaries in accordance with the fixed amount or scale determined by the Commissioner.

  3. General.—Includes positions not classified in any other division. Salary rates are on the basis of a fixed amount or on a scale determined by the Commissioner.

The Commissioner is required to grade officers in these divisions according to their fitness and the character and importance of the duties performed by them. The Act provides for a general regrading of the whole of the Service every five years. Under notice published in the New Zealand Gazette of 13th November, 1941, the live-year interval has been temporarily extended on account of war conditions to not later than two years after the termination of the present war.* Where, however, a position has grown in importance and responsibility, the Commissioner has power to alter the grading of that position at any time.

* The date of the next regrading has now been fixed as 1st April, 1946.

PROMOTION OF OFFICERS

Efficiency and suitability are the factors which determine promotion. Only where it is not possible to separate officers on these grounds is seniority relevant. Relative efficiency of officers is determined by reference to special qualifications and aptitude for discharge of duties of the office to be filled, together with merit, diligence, and good conduct. Vacancies are usually advertised in the Public Service Official Circular (a publication circulating throughout the Public Service) and, where necessary, in newspapers.

PUBLIC SERVICE BOARD OF APPEAL

Officers have the right of appeal concerning:—

  1. The gradings allotted by the Commissioner at the five-yearly regrading of the Service:

  2. Promotions approved by the Commissioner if the appellant had applied for the position or if applications were not called for the position and appellant's appointment thereto would have involved his promotion:

  3. Determinations and penalties imposed by the Commissioner in respect of charges made against officers.

The constitution of the Board of Appeal is as under:—

  1. Two persons, of whom at least one must be an officer of the Public Service, appointed by the Governor-General:

  2. Two persons, being officers of the Public Service, elected by officers of the Public Service.

One of the members appointed by the Governor-General is selected by him as Chairman. Only one of the elected members is entitled to sit at the hearing of any appeal. Decisions of the Board of Appeal are final, and no writ of mandamus, prohibition, or certiorari lies in respect thereof to any Court. For the year ended 31st March, 1945, the appeals lodged totalled 197, and these were dealt with as follows: allowed, 7; not allowed, 141; withdrawn, 48; did not lie, 1: total, 197.

An officer may lodge more than one appeal, and the appeals totalling 197 as above were received from 135 officers.

RECRUITMENT

Except with the permission of the Governor-General, no person is admitted to the New Zealand Public Service unless he is a natural-born or naturalized British subject. All admissions are, in the first instance, on probation, the usual probationary period being two years. An employee may be dispensed with at any time during this period. Entry to cadetships in the Clerical Division is determined by competitive examination. The competitive examination for entry to the Clerical Division is now the Public Service Entrance, but where applicants are available with higher qualifications— e.g., University Entrance, School-Leaving Certificate, &c.—they are given preference.

NUMBER OF PUBLIC SERVANTS

The total number of permanent and temporary employees (excluding casuals) in Departments under the control of the Commissioner as at 1st April, 1945, was approximately 30,500, including some 6,190 on military service.

Staffs on Railways, Post and Telegraph, and Police Departments will be found in appropriate sections elsewhere in this volume, as will also the number of schoolteachers. The number of workmen in the employ of the Public Works Department will be found in the section on Employment and Unemployment, and of miners, &c., in State coal-mines in the Mining Section. While not exhaustive, the foregoing cover substantially the whole of the employees of the State with the exception of the Defence Services. Civilian personnel of the Services are included in the figures shown in the preceding paragraph.

NEW ZEALAND DIPLOMATIC REPRESENTATIVES OVERSEAS

ENVOYS EXTRAORDINARY AND MINISTERS PLENIPOTENTIARY

United States of America.—C. A. Berendsen, C.M.G., LL.M., 19 Observatory Circle, Washington, D.C.

Union of Soviet Socialist Republics.—C. W. Boswell, N.Z. Legation, Moscow.

NEW ZEALAND GOVERNMENT REPRESENTATIVES IN BRITISH COMMONWEALTH

HIGH COMMISSIONERS

United Kingdom.—W. J. Jordan, N.Z. Government Offices, 416 Strand, London, W.C. 2

Canada.—Hon. D. Wilson, 105 Wurtemberg Street, Ottawa.

Australia.—J. G. Barclay, Canberra, A.C.T.

NEW ZEALAND TRADE AND TOURIST REPRESENTATIVES AND AGENTS OVERSEAS

United States of America.—R. W. Marshall, Director, D. W. Woodward, Deputy Director, New Zealand Supply Mission, 203 McGill Building, 908 G Street (Post address: P.O. Box 680, Benjamin Franklin Station), Washington. L. G. Scott, New York Office Manager, New Zealand Supply Mission, 15 Broad Street, New York. S. B. Pilcher, Hon. Agent for New Zealand, 230 California Street, San Francisco.

United Kingdom.—G. W. Clinkard, Supply Liaison Officer, care of High Commissioner for New Zealand, 415 Strand, London, W.C. 2.

Canada.—J. S. Scott, Supply Liaison Officer, New Zealand Supply Mission, 410 Victoria Building, 140 Wellington Street, Ottawa. P. B. Cooke, Hon. Representative, N.Z. Ministry of Supply, care of Canadian Australasian Line, 999 Hastings Street West, Vancouver, B.C. E. E. Auckland, New Zealand Agent, Canadian General Electric Co., Vancouver, B.C.

Australia.—W. Taylor, New Zealand Trade and Tourist Commissioner, 14 Martin Place (Box 365F), Sydney. J. A. Malcolm, New Zealand Supply Liaison Officer, 428 Collins Street (Box 2136), Melbourne. South Australia Intelligence and Tourist Bureau, Hon. New Zealand Agents, Adelaide. Dewar and Jones, Hon. New Zealand Agents, King's House, Queen Street, Brisbane. Western Australia Government Tourist Bureau, Hon. New Zealand Agents, Perth.

South Africa.—H. Middlebrook, Hon. New Zealand Agent, 3 Natal Bank Buildings, West Street, Durban. H. J. Constable, Hon. New Zealand Agent, P.O. Box 1909, Johannesburg.

India.—R. J. Inglis, New Zealand Supply Liaison Officer, New Zealand Government Office, P.O. Box 1194, Bombay. N.Z. Insurance Co. (C. R. C. Gardiner, J.P.), Hon. New Zealand Agents, Calcutta, Rangoon, and Bombay. Ceylon.—A. R. Hughes, Hon. New Zealand Agent, P.O. Box 328, Colombo.

Fiji.—W. R. Carpenter and Co., Ltd., Hon. New Zealand Agents, Suva.

CUSTOMS DEPARTMENT REPRESENTATIVES OVERSEAS

United Kingdom.—F. W. Lawrence, Official Representative of Now Zealand Customs Department, New Zealand Government Offices, 415 Strand, London, W.C. 2.

United States of America.—T. O. W. Brebner, Official Representative of New Zealand Customs Department, 44 Whitehall Street, New York, 4.

OFFICIAL REPRESENTATIVES OF BRITISH COUNTRIES IN NEW ZEALAND

SEPTEMBER, 1945

United Kingdom of Great Britain and Northern Ireland.—Sir Patrick Duff, K.C.B., K.C.V.O., High Commissioner, Government Life Insurance Building, Brandon Street, Wellington; N. E. Costar, Official Secretary. R. Boulter, C.M.G., His Majesty's Trade Commissioner, T. and G. Building, Grey Street, Wellington.

Canada.—Dr. W. A. Riddell, High Commissioner, Government Life Insurance Building, Customhouse Quay, Wellington. C. B. Birkett, Trade Commissioner, Yorkshire House, Shortland Street, Auckland.

Australia.—Hon. T. G. de L. D'Alton, High Commissioner, Government Life Insurance-Building, Customhouse Quay, Wellington; P. Shaw, Official Secretary.

India.—R. R. Saksena, Trade Commissioner for Australia and New Zealand, Prudential Building, 39–19 Martin Place, Sydney, N.S.W.

OFFICIAL REPRESENTATIVES OF THE UNITED STATES OF AMERICA IN NEW ZEALAND

LEGATION: WELLINGTON

Envoy Extraordinary and Minister Plenipotentiary—K. S. Patton; First Secretary, Consul.—Prescott Childs; Military Attaché—Colonel Harold A. Meyer; Naval Attaché and Naval Attaché for Air—Captain Lloyd R. Gray; Military Air Attaché—Major Richard A. Toole; Commercial Attaché—Osborne S. Watson; Agricultural Attaché—Gordon C. Laughlin; Second Secretary, Consul—Carl E. Christopherson; Second Secretary, Consul—Elvin Seibert; Assistant Naval Attaché and Assistant Naval Attaché for Air— Lieut. John M. Bowie; Third Secretary, Vice-Consul—J. Jefferson Jones, III; Special Assistant to the Minister—C. R. Daugherty; Special Assistant to the Minister—Walter C. Teagle; Economic Analyst—John B. Brockman; Vice-Consul—Normand W. Redden.

CONSULATE, AUCKLAND

Consul—John C. Fuess; Vice-Consul—James W. Boyd.

CONSULAR AGENCY, CHRISTCHURCH

Consular Agent—H. P. Bridge.

CONSULAR AGENCY, DUNEDIN

Consular Agent—Harman Reeves.

REPRESENTATIVE OF PROVISIONAL GOVERNMENT OF FRANCE

A. DE LA TRIBOUILLE, Delegate, Bank of New South Wales Chambers, Lambton Quay, Wellington.

FOREIGN CONSULS

CONSULS OF FOREIGN COUNTRIES RESIDING IN OR WITH JURISDICTION IN NEW ZEALAND, SEPTEMBER, 1945

Belgium.—Consul-General (with jurisdiction in New Zealand and the Mandated Territory of Western Samoa): Armand Nihotte, Wellington. Acting-Consul: J. B. Ferguson, Auckland. Consuls: Sir Joseph Ward, Bart., Christchurch; A. H. Allen, Dunedin.

Brazil.—Consul (with jurisdiction in New Zealand): Mario Santos, Sydney. Consul C. A. L. Treadwell, Wellington.

Chile.—Consul-General (with jurisdiction in New Zealand): R. Dundas Smith, Sydney. Consul: J. M. Wilson, Auckland.

China.—Consul-General: Wang Feng, Wellington. Consuls: Yu En-Ho, Wellington; Sze Zan Tsung, Wellington. Vice-Consul: Cheng Chia Hua, Asia, Western Samoa.

Cuba.—In New Zealand, Consular Officers of the United States of America act on behalf of the Cuban Government.

Czechoslovakia.—Consul-General (with jurisdiction in New Zealand): Dr. Adolph Solansky, Sydney. Consuls: R. M. Algie, M.P., Auckland; E. J. Hyams, Wellington.

Denmark.—Consul-General (with jurisdiction in New Zealand): Count E. H. Schack, Sydney. Consul: Stronach Paterson, Wellington. Acting-Consul: A. C Perry, Christchurch. Vice-Consuls: C. G. Macindoe, Auckland; W. Perry, Hokitika.

France.—Consular Agents: D. G. Sparks, Auckland; G. E. F. Kingscote, Christchurch; S. E. D. Neill, Dunedin.

Greece.—Consul-General: T. E. Y. Seddon, Wellington. Deputy Consul-General: S. Garland, Wellington.

Netherlands.—Consul (with jurisdiction in New Zealand and the Mandated Territory of Western Samoa): M. F. Vigeveno, Wellington. Consul: C. W. Heather, Auckland. Vice-Consuls: H. F. Van Eck, Auckland; G. N. Francis, Christchurch; G. R. Ritchie, Dunedin.

Nicaragua.—Consul-General (with jurisdiction in New Zealand): Don Rafael Medina, Sydney.

Norway.—Consul-General (with jurisdiction in New Zealand): F. S. Platou, Sydney Consul: J. Halligan, Wellington. Vice-Consuls: D. Millar, Auckland; V. E. Hamilton, Christchurch; W. F. Edmond, Dunedin; E. E. Broad, Invercargill.

Panama.—Consul: T. C. Webb, Auckland.

Poland.—Consul-General (with jurisdiction in New Zealand and the Mandated Territory of Western Samoa): Dr. K. Wodzicki, Wellington. Vice-Consul: Dr. J. K. Strzemienski.

Portugal.—Consul: W. S. Wheeler, Wellington. Vice-Consul: J. Elvidge, Dunedin.

Spain.—Vice-Consul (with jurisdiction in New Zealand): A. K. S. Mackenzie, Wellington.

Sweden.—Consul-General (with jurisdiction in New Zealand): 0. C. G. Lundquist, Sydney. Consul: J. T. Martin, Wellington. Vice-Consuls: C. M. Richwhite, Auckland; W. Machin, Christchurch; J. S. Ross, C.M.G., Dunedin;

Switzerland.—Consul (with jurisdiction in New Zealand, the Mandated Territory of Western Samoa, the Crown Colony of Fiji, and the British Protectorate of Tonga): Dr. W. Schmid, Wellington.

Turkey.—Consul-General (with jurisdiction in New Zealand and the Mandated Territory of Western Samoa): N. S. Akcer, London. Consul (with jurisdiction in New Zealand and the Mandated Territory of Western Samoa): E. G. Cowell, Auckland.

United States of America.—See Official Representatives, p. 682.

Uruguay.—In charge of Consulate: F. D. Burnett, Wellington.

MISCELLANEOUS AGENCIES OF FOREIGN GOVERNMENTS IN NEW ZEALAND

United States of America

United States Foreign Economic Administration: Walter C. Teagle, Jun., Acting Special Representative, Government Life Insurance Building, Wellington.

United States War Shipping Administration in New Zealand: Arthur E. Playle, Special Representative, Endean's Buildings, Queen Street, Auckland.

United States Library of Information: Miss Mary P. Parsons, Director, 7 Woodward Street, Wellington.

Appendix A. APPENDICES

(a) PRINCIPAL EVENTS

CHRONOLOGICAL LIST OF SOME NOTEWORTHY EVENTS IN THE HISTORY OF NEW ZEALAND

1642. Discovery of New Zealand by Tasman.

1765. Discovery of Pukapuka Island, in Cook Islands Territory.

1769. Captain Cook’s first visit to New Zealand.

1773. Captain Cook discovered Island of Manuae, in Cook Group.

1788. Discovery of Macaulay and Curtis Islands (Kermadec Group), and of Bounty Islands.

1791. Discovery of Snares and Chatham Islands.

1792. First sealing gang left on New Zealand coast.

1793. Discovery of Raoul or Sunday Island (Kermadec Group). Visit of Lieutenant Governor King, of Norfolk Island, to Doubtless Bay.

1800. Discovery of Antipodes Islands.

1806. Discovery of Auckland Islands.

1807. Defeat of Hongi and the Ngapuhi Tribe.

1810. Discovery of Campbell Island.

1814. Arrival of Rev. Samuel Marsden, and introduction of Christianity. Horses, cattle, sheep, and poultry first brought to New Zealand.

1818. Hongi’s and Te Morenga’s great expedition to East Cape.

1819–20. Raid on Taranaki and Port Nicholson by Patuone, Nene, and Te Rauparaha.

1820. Hongi’s visit to England. First vessel entered Auckland Harbour.

1821. Hongi’s capture of Mauinaina and To Totara Pas. Ngati-Toa migration from Kawhia to Otaki.

1822. Fall of Matakitaki Pa, Waikato, to Hongi.

1823. Fall of Mokoia Pa, Rotorua, to Hongi.

1823–28. Jurisdiction of Courts of Justice in New South Wales extended to British subjects in New Zealand.

1824. Fall of Te Whetumatarau Pa to Pomare.

1825. First attempt at colonization, by an expedition under Captain Herd. Great defeat of Ngati-Whatau by Hongi.

1827. Hongi’s forces destroyed mission station at Whangaroa.

1828. Death of Hongi.

1829. Brig “Hawes” captured by Maoris.

1830. Battles of Taumata-wiwi and Kororareka. Fall of Kaiapohia Pa, Canterbury, to Te Rauparaha.

1831. Tory Channel whaling-station established. Application of thirteen chiefs for the protection of King William IV. Capture of Pukerangiora Pa, Waitara, by Waikato.

1832. Repulse of Waikato at Nga-motu Pa.

1833. Mr. James Busby appointed British Resident at Bay of Islands.

1834. Battle near Otaki. Waimate Pa shelled and captured by British—first occasion on which H.M. troops employed in New Zealand.

1835. Declaration of independence of the whole of New Zealand as one nation, with title of “United Tribes of New Zealand.” Ngati-Awa tribes migrated to and conquered Chatham Islands.

1836. Battles between Waikato and Te Arawa.

1838. Pelorus Sound discovered. Arrival of Roman Catholic mission under Bishop Pompallier.

1839. Governor of New South Wales authorized to include within the limits of that colony any territory that might be acquired in sovereignty by Her Majesty in New Zealand. Preliminary expedition of New Zealand Company under Colonel Wakefield arrived at Port Nicholson.

1840. Arrival of Now 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 Natives at the Wairau.

1844. Royal flagstaff at Kororareka cut down by Heke.

1846. 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. Native hostilities near Wellington. Te Rauparaha captured and detained as a prisoner. New Zealand divided into two provinces, New Munster and New Ulster, and representative institutions conferred.

1847. Attack by Maoris on Wanganui.

1848. Suspension of that part of New Zealand Government Act which had conferred representative institutions. Severe earthquake at Wellington. Otago founded.

1850. Surrender of New Zealand Company’s charter, all its interests reverting to the Imperial Government. Canterbury founded.

1852. Discovery of gold at Coromandel. Constitution Act passed, granting representative institutions to New Zealand, and dividing country into six provinces.

1854. Opening at Auckland of first session of the General Assembly.

1855. First members elected to the House of Representatives under system of responsible Government. Very severe earthquake on both sides of Cook Strait.

1856. Appointment of first Ministry under system of responsible Government.

1857. Goldfield opened at Collingwood.

1858. New Provinces Act passed. Hawke’s Bay Province constituted.

1869. 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 Native affairs transferred to Colonial Government. Commencement of Waikato War. Defeat of Maoris at Rangiriri, and occupation of Ngarua-wahia. 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. Gold discovered 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 Natives defeated at Wairoa.

1866. Further defeats of rebel Natives. Commencement of Panama steam mail-service. Cook Strait submarine telegraph-cable laid.

1867. Opening of Thames Goldfield. Lyttelton Tunnel completed. Admission of four Maori members to House of Representatives as direct representatives of Maori people.

1868. Maori prisoners, under leadership of Te Kooti, seized schooner “Rifleman” and escaped from Chatham Islands to mainland, where they massacred Europeans. Considerable fighting with these and other rebel Natives.

1869. Continuation of fighting with rebels and of pursuit of Te Kooti. Termination of Panama mail-service. Visit of H.R.H. the Duke of Edinburgh. Government Life Insurance Office established.

1870. Further fighting with Te Kooti. Last of Imperial troops left New Zealand. Commencement of San Francisco mail-service. Bounty Island taken possession of. 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 introduced. Westland Province established.

1875. Resumption of amicable relations with Maori King. Establishment of Union Steam Ship Company. Abolition of Provinces Act passed.

1876. New Zealand connected by cable with Australia. Abolition of Provinces Act came into operation, provincial institutions being abolished and the country divided into counties and boroughs.

1877. Education Act passed, providing for free and compulsory education.

1878. Completion of the Christchurch-Invercargill railway.

1879. Trouble with Parihaka Natives, under Te Whiti, and imprisonment of 180 of these. Triennial Parliaments Act passed. Adult male suffrage introduced. Kaitangata coal-mine explosion, whereby thirty-four lives lost.

1880. Release of Parihaka prisoners.

1881. Wreck of s.s. “Tararua,” with loss of 130 lives. Severe earthquakes in Wellington. Arrest of Te Whiti and Tohu.

1882. First shipment of frozen meat from New Zealand.

1883. Amnesty to Maori political offenders proclaimed. Te Whiti and Tohu released. Direct steam communication inaugurated between New Zealand and England.

1885. New Zealand Industrial Exhibition at Wellington.

1886. Tarawera eruption, involving loss of 101 lives and destruction of Pink and White Terraces.

1887. Annexation of Kermadec Islands. Members of House of Representatives reduced to seventy-four, including four Maoris.

1888. British protectorate over Cook Islands proclaimed.

1889. South Seas Exhibition at Dunedin.

1890. Great maritime strike. First election of House of Representatives under one-man-one-vote principle.

1891. Inauguration of Liberal 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.

1895. Government assumed management of Midland Railway.

1896. Brunner Mine explosion, causing sixty-seven deaths. Abolition of non-residential or property qualification to vote. Government Valuation of Land Act passed.

1898. Old-age Pensions Act passed.

1899. Labour Day instituted. Now 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 Rt. 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.

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 Now Zealand coast, with loss of 26 lives. Otira Tunnel pierced. Great influenza epidemic, causing over five thousand deaths.

1919. Women made eligible for seats in Parliament. New Zealand represented at Peace Conference by Right Hon. W. F. Massey, P.O., 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, by Hon. Sir John Salmond.

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, and adopted by dairy producers.

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.

1925. Repayment of the Public Debt Act passed. New Zealand and South Seas International Exhibition at Dunedin. Death of Right Hon. W. F. Massey.

1926. Administration of Tokelau (Union) Islands transferred to New Zealand. Absolute control adopted by Dairy-produce Control Board. 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.

1930. Legislation providing for relief of unemployment first passed. Deaths of Sir Joseph Ward, Sir Robert Stout, and Sir Thomas Mackenzie, ex-Premiers.

1931. Worst earthquake in history of New Zealand occurred in Hawke’s Bay, resulting in the loss of 255 lives. General reduction of 10 per cent. in wages and salaries. Parliament approved draft Statute of Westminster. Mortgagors’ relief legislation passed.

1932. Industrial Conciliation and Arbitration Amendment Act made important changes in industrial legislation. National Expenditure Adjustment Act made reductions in old-age and other pensions, in salaries of State employees, and in rentals, interest rates, and other fixed charges. The historic Waitangi Estate presented to the nation by Their Excellencies Lord and Lady Bledisloe. New Zealand represented at Ottawa Conference.

1933. Exchange raised at instance of Government to £125 N.Z. for £100 London (telegraphic transfers). Sales tax of 5 per cent. on wholesale sales instituted. Conversion of internal public debt with reduction in interest rates, and provision made for local authorities’ interest reduction and loans conversion. Successful experimental shipments of chilled beef to England. First New Zealand silver coins in circulation.

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.

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 Arbitration Court 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. Death of Dr. Sir F. Truby King. Country library service inaugurated. “All-up” letter air-mail service to British countries brought into operation. Mr. W. J. Jordan, New Zealand’s representative on League of Nations, elected President of the League Assembly. Appointment of Sir H. Batterbee as first British High Commissioner in New Zealand. Social Security Act passed. General election: Labour Government returned for second term. Introduction of import control.

1939. Declaration of war with Germany. Recruitment for 2nd New Zealand Expeditionary Force. Formation of National Military Reserve. Visit of Hon. P. Fraser to London in connection with Empire war effort. Arrangements for purchase of primary products by Imperial Government. New Zealand Centennial Exhibition opened at Wellington. Appointment of Major-General Freyberg, V.C., as Commander of New Zealand Forces overseas. Issue of New Zealand bronze coinage. Naval engagement off River Plate, South America, in which H.M.S. “Achilles,” largely manned by New Zealand ratings, in action.

1940. Centennial celebrations. Departure of First Echelon of 2nd New Zealand Expeditionary Force, followed later by further echelons and reinforcements. Death of the Prime Minister, the Right Hon. M. J. Savage, P.C.; succeeded in office by Hon. P. Fraser. Universal superannuation became operative. Declaration of war with Italy. Special War Cabinet formed. Regulations gazetted providing for formation of Homo Guard and Emergency Precautions Organization. Proclamation of enrolment of First Division of the General Reserve under National Service Emergency Regulations. Economic conference called to consider stabilization of costs, wages, and prices. Departure of Now Zealand delegation for Empire Economic Conference at Delhi. Ballots for military service—territorial and overseas. National savings scheme inaugurated by opening of national savings accounts and issuing of national savings bonds. Island of Nauru bombarded by enemy raider.

1941. Formation of Women’s Auxiliary Air Force. Italian raider sunk by H.M.N.Z.S. “Leander” in Indian Ocean. Air Force Cadet Corps established. Daylight saving period extended to cover whole year. Minesweeper H.M.N.Z.S. “Puriri” sunk by mine in Hauraki Gulf, five fatalities. First enrolment of married men for military service. Death penalty abolished, also flogging and whipping. Declaration of war with Finland, Hungary, and Rumania. Declaration of war with Japan. Territorial forces mobilized. War Damage Act passed. Hon. W. Nash appointed as first Minister to Washington.

1942. Complete mobilization of Military Forces ordered. Introduction of control of industrial man-power—certain industries declared essential. Compulsory enrolment of all male British subjects between ages of eighteen and sixty-five, inclusive, in Emergency Reserve Corps. Brigadier Patrick J. Hurley appointed as first United States Minister to New Zealand. Lend-lease reciprocal aid extended to include Australia and New Zealand. Formation of Women’s Army Auxiliary Corps. Gold to value of £2,397,000 salvaged from R.M.S. “Niagara,” sunk off Now Zealand coast by enemy mine in 1940. Direct radio communication inaugurated with United States of America. Hon. F. Langstone appointed first High Commissioner for New Zealand in Canada. Rationing introduced, principal items being tea, sugar, clothing, footwear, and household linen. Formation of Women’s Royal New Zealand Naval Service. Severe earthquakes in Wairarapa and Wellington districts on 24th June and 2nd August. Mobilization of women for essential work. Prime Minister., Rt. Hon. P. Fraser, P.C., visited United States of America at the invitation of President Roosevelt. Strike in Waikato coal-mines—control of mines in that area taken over by the Government. Withdrawal of Opposition members from War Cabinet and War Administration. Thirty-seven lives lost in fire at Seacliff Mental Hospital. Economic Stabilization Emergency Regulations issued, and provision made for computation of special wartime price index.

1943. Modified University Entrance Examination and accrediting system adopted by Senate of New Zealand University. Mr. C. A. Berendsen, C.M.G., L.L.M., appointed as first High Commissioner for New Zealand in Australia. H.M.N.Z. Corvette “Moa” sunk by Japanese with loss of five lives. Death of Right Hon. J. G. Coates, P.O., M.C., member of War Cabinet and former Prime Minister. North African campaign brought to a successful conclusion. First furlough party consisting of members of First, Second, and Third Echelons of 2nd Division, 2nd N.Z.E.F., arrived back in New Zealand. New Zealand delegation attended United Nations Conference on Food and Agriculture at Hot Springs, United States of America. Serious railway accident near Hyde, Central Otago—twenty-one persons killed and thirty-eight injured. Servicemen’s Settlement and Land Sales Act passed. Mrs. Eleanor Roosevelt visited New Zealand. General election: Labour Government returned for third term; Hon. Sir Apirana Ngata defeated at the polls after thirty-eight years in the House of Representatives. 2nd N.Z.E.F. (3rd Division) took part in action against Japanese in the Pacific Area. Butter rationing introduced and retail sales of cream prohibited. Hon. T. G. do L. D’Alton appointed first Australian High Commissioner in New Zealand. 2nd Division, 2nd N.Z.E.F., rejoined 8th Army in Italy.

1944. Australian-New Zealand Agreement, 1944, providing for collaboration on matters of mutual interest. School-leaving age raised to fifteen years. Registration of women for essential work extended to forty years of age. Second furlough draft, consisting of the balance of First, Second, and Third Echelons of 2nd N.Z.E.F., arrived back in New Zealand. Meat rationing introduced, basic allowance 1s. 9d. worth weekly. Opening of twenty-seventh Parliament, Mr. F. W. Schramm elected Speaker of the House of Representatives. Death of Sir Hubert Ostler, former Judge of the Supreme Court. Hon. W. Nash, New Zealand Minister to the United Slates of America, visited London for discussions with United Kingdom Government. Reported torpedo attack on the inter-island steamer express “Rangatira”; sailings of Wellington-Picton, Wellington-Nelson, and Wellington-Lyttelton services suspended and a number of ports closed. Egg rationing introduced in certain areas. Government Railways Amendment Act, providing for tribunal to fix wages and conditions of railway employees, passed. Compulsory enrolment of residential electors in boroughs and town districts for local authority elections introduced. Right Hon. P. Fraser, P.C., attended Conference of Prime Ministers of British Commonwealth in London. Annual Holidays Act passed. Hon. W. Nash, New Zealand Minister at Washington, elected president of the International Labour Office Conference at Philadelphia. Mr. C. W. Boswell appointed first New Zealand Minister to U.S.S.R. Organization for National Development established. Right Hon. P. Fraser, P.C., visited 2nd N.Z.E.F. in Italy. Admiral W. F. Halsey, U.S.N., visited New Zealand. War Assets Realization Board established. Third Division, 2nd N.Z.E.F., returned to New Zealand from the Pacific Area. Invasion of France by Allied Forces commenced. Hotels reopened for sale of liquor in Invercargill after thirty-eight years. Mutual-aid Agreement between Canadian and New Zealand Governments signed. New Zealand delegation attended International Monetary Conference at Bretton Woods. United Kingdom and Canadian Parliamentary delegations visited New Zealand. Hon. W. Nash returned to New Zealand. Mr. K. S. Patton, Envoy Extraordinary and Minister Plenipotentiary of the United States of America, arrived in New Zealand to take up duty. Brigadier J. Hargest, D.S.O., M.C., M.P., killed in action in Normandy. Two R.N.Z.A.F. Lockheed Hudson bombers lost on flight from Fiji to New Zealand; crews numbering fifteen believed killed. Railway permit system for travellers discontinued. Replacement scheme for long-service men of 2nd N.Z.E.F. announced. Victory Loan of £40,000,000 oversubscribed. Australian-New Zealand civil aviation conference held in Wellington. First conference under terms of the Australian-New Zealand Agreement held in Wellington. Over 840 Polish refugees, mostly children, arrived in New Zealand. New Zealand delegation, headed by Hon. D. G. Sullivan, attended British Commonwealth Civil Aviation Conference at Montreal and International Civil Aviation Conference at Chicago. R.A.F. Lancaster bomber arrived in New Zealand on special navigation mission. H.M.N.Z.S. “Gambia,” 8,000 ton cruiser, made first visit to New Zealand. Sir Howard Florey, co-discoverer of penicillin, visited New Zealand. Milk Act, providing for local authority control of sale of milk passed. Mr. Donald Nelson, personal representative of President Roosevelt, visited New Zealand. Delegation from National Farmers' Union of England visited New Zealand. Salaries of members of Parliament increased. Admiral of the Fleet Baron Keyes of Zeebrugge and Lady Keyes visited New Zealand.

(b) GENERAL BIBLIOGRAPHY

Until recently, successive issues of the Year-Book contained a comprehensive list of New Zealand works, but considerations of space now prohibit the publication of such a list.

The following represents works later than those listed in the 1944 and earlier issues of the Year-Book, and has been prepared by Mr. C. R. H. Taylor (Librarian of the Alexander Turnbull Library, Wellington).

ECONOMICS

MOSTYN, Idris (pseud.). The Truth about Internal Marketing. Wellington. Progressive Publishing Society. 1944.

NASH, Hon. Walter; New Zealand, a Working Democracy. London. J. M. Dent and Sons. 1944.

SINCLAIR, H. I. Population: New Zealand's Problem. Dunedin. Gordon and Gotch (Australasia), Ltd. 1944.

WISE, Henry Leslie. Post-war Industrial Planning. Wellington. Butterworth and Co. 1944.

LAW

RHODES, Eric George. Practice Precedents, including Statements of Defence (second series). Wellington. Butterworth and Co. 1944.

EDUCATION

MASON, Hon. Henry Greathead Rex. Education To-day and To-morrow. Wellington. 1944.

NEW ZEALAND EDUCATIONAL INSTITUTE. Reconstruction in Primary Education. Wellington. The N.Z. Educational Institute. 1944.

NEW ZEALAND EDUCATIONAL INSTITUTE. Religious Institutions in Schools: The Viewpoint of the Primary Teachers. Wellington New Zealand Educational Institute. 1944.

OLIVER, W. R. B. New Zealand Museums: Present Establishment and Future Policy. Wellington. Dominion Museum. 1944.

WINTERBOURN, Ralph. Educating Backward Children in New Zealand. New Zealand Council for Educational Research. 1944.

ETHNOLOGY

GORDON, Mona Clifton. The Garden of Tane. Wellington. A. H. and A. W. Reed. 1944.

MITCHELL, John (Jacky) Hikawera. Takitimu. Wellington. A. H. and A. W. Reed. 1944.

TAYLOR, William Anderson. Waihora: Maori Associations with Lake Ellesmere. Ellesmere Guardian, Leeston. 1944.

GEOLOGY

COTTON, C. A. Volcanoes as Landscape Forms. Wellington. Whitcombe and Tombs. 1944.

POETRY

CARR, Clyde. Poems by Clyde Carr. Wellington. The Progressive Publishing Society.

MARRIS, Charles Allan. Lyric Poems, 1928–1942, chosen by C. A. Marris. Wellington. Harry H. Tombs, Ltd.

DRAMA

STEWART, Douglas. Ned Kelly: A play, by Douglas Stewart. Sydney. Angus and Robertson. 1943.

FICTION

ANDREWS, Isobel. Something to Tell. Wellington. Progressive Publishing Society. 1944.

COWAN, James. Tales of the Maori Border. Wellington. A. H. and A. W. Reed. 1944.

LEE, John Alexander. Shining with the Shiner. Hamilton. F. W. Mead. 1944.

WILSON, Helen M. Moonshine, a Story of the Eighties. Wellington. A. H. and A. W. Reed. 1944.

ESSAYS

FAIRBURN, Alan Rex Dugard. We New-Zealanders: An Informal Essay. Progressive Publishing Society.

PHILATELY

VERNE COLLINS AND CO. A Guide for Collectors of the Stamps of New Zealand. Christchurch. Verne Collins and Co. 1944.

WORLD WAR, 1939–45

ARMY DEPARTMENT, ARCHIVES SECTION, Return to the Attack. Wellington. Army Board. 1944.

HENDERSON, James H. Gunner Inglorious. Wellington. Harry H. Tombs. 1945.

BIOGRAPHY

CRUICKSHANK, George. Robert Graham, 1820–1885, an Auckland Pioneer. Wellington. A. H. and A. W. Reed. 1940.

HAYWARD, Henry John. Here's to Life! The Impressions, Expressions, and Garnered Thoughts of a Free-minded Showman. Auckland. Oswald Sealey. 1944.

HALL-JONES, Frederick George. Kelly of Inverkelly: The Story of Settlement in Southland, 1824–1860. Southland Historical Committee. 1944.

CLARKE, Isabel Constance. Katherine Mansfield: A Biography. Introduction by P. A. Lawlor. Wellington. The Beltane Book Bureau. 1944.

SMITH, Edmund. Early Adventures in Otago. Dunedin. Coulls, Somerville, Wilkie, Ltd. 1940.

HISTORY

BEAGLEHOLE, John Cawte, and Others. New Zealand and the Statute of Westminster. Wellington. Victoria University College. 1944.

CARTER, Ronald Frederic Vivian. Little Ships: The Story of the Birth and Growth of New Zealand's Yachting Fleet from the Earliest Recorded Events to the Year 1940. Wellington. A. H. and A. W. Reed. 1944.

HURST, Maurice. Music and the Stage in New Zealand; a Century of Entertainment, 1840–1943. Auckland. Charles Begg and Co. 1944.

MORRELL, William Parker. Britain and New Zealand. London. Longmans, Green, and Co. 1944.

MULGAN, Alan Edward. From Track to Highway: A Short History of New Zealand. Christchurch. Whitcombe and Tombs, Ltd. 1944.

NANKIVELL, Colonel John Henry. A Brief History of the New Zealand Military Forces, 1840–1940. Wellington. 1944.

PACIFIC ISLANDS

BEAGLEHOLE, Ernest. Islands of Danger. Wellington. Progressive Publishing Society. 1944.

PRIDAY, H. E. L. Cannibal Island: New Caledonia's Cannibal Coasts. Wellington. A. H. and A. W. Reed. 1944.

RAMSDEN, George Eric Oakes. Strange Stories From the South Seas. Wellington. A. H. and A. W. Reed. 1944.

(c) 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
Year.Page.
Acclimatization1894430
Agriculture in New Zealand (by M. Murphy, F.L.S.)1912809
“Britomart.” mission of, at Akaroa in August, 184019271012
Building-stones1892194
Cancer in New Zealand—a statistical study1926889
Chatham Islands, the1900531
Cheviot estate, the1895264
Christchurch to West Coast, journey from1899548
Coal-deposits of New Zealand, the1900479
Cook Islands, the laws of1902573
Co-operative system of constructing public works1894234
Dairy farm survey1938429
Education system of New Zealand, the1925816
Effect of nativity order on infant mortality1925835
Exotic trees in Canterbury1904569
External trade of Now Zealand, the1915858
Fauna, the194036
Forest-trees and the timber industry1899470
Frozen-meat trade, the1894311
Geology19407
Gold-dredging industry, the1899509
Government training-ship “Amokura”1913942
Hanmer thermal springs1905631
Hemp industry, the1900477
H.M.S. “ New Zealand ”1913932
Kauri-gum1900489
Labour in New Zealand1894362
Lakes of New Zealand193211
Land and income tax assessment1913884
Laws of England and New Zealand, difference between1896281
Libraries1940928
Live-stock production—A review based on standard values and units1929990
Local government in New Zealand1925845
Maori, ancient, his amusements, games, &c.1907707
Maori, ancient, his clothing1908734
Maori, chant (tangi)1907711
Maori, colour-sense of the1905637
Maori, marriage customs1906638
Maori, mythology1900536
Maori, neolithic, the1902578
Maori, religion1901530
Maori, sociology1903641
Maori, songs1908739
Maori, topographical nomenclature of the1919936
Marlborough Sounds, the1901517
Midland railway, the1894386
Mineral waters and spas1940935
Mineral waters of New Zealand1913896
Moa, heir of the1899517
Mortality rates, New Zealand1927995
Mount Cook, a night on1900525
Mount Cook, district, the1899554
Mount Cook, its glaciers, and the Hermitage1898552
Mount Sefton, ascent of1900519
New Zealand contingents for South Africa1900449
New Zealand international exhibition1907701
Otago lakes, the1901523
Patents, designs, and trade-marks1893350
Plants of New Zealand, the194028
Pumice-stone deposits of New Zealand1900486
Railways in New Zealand, their history and progress1894377
Rivers of New Zealand19326
Ross Dependency1938900
Scenic wonderland, a1898565
Sheep, crossbreeding of1894308
Sheep-farming1894302
Shipping companies—  
  New Zealand Shipping Company1895392
  Shaw, Savill, and Albion Company1895393
  Union Steam Ship Company of New Zealand1895389
Southern Alps, the1894474
State farms1894243
Sydney pageant, the1901527
Terman intelligence tests in New Zealand schools1925823
Thermal-springs district1905614
Timber-trees of the world1903605
Tokaanu to Raetihi1899539
Totalizator, the1926838
Tourist attractions1940932
Tree-planting1906611
Tuhoeland1899546
Varieties of soil1892193
Wages and working-hours in New Zealand1919860
Waihi Gold-mining Company1897432
Waikato district and through to Wanganui1899520
Waiouru to Mangaonoho1899543
Wanganui River, up the, to Tokaanu1900509
Wattle-growing in the Auckland Provincial District1897430
Wellington-Manawatu railway, the1895381
Wellington municipal milk supply1925777
West Coast Sounds, the1894482
White Island, a day on1906637

INDEX

A

Abattoirs, Slaughterings at, 249–251.
Abolition of Death Penalty, 133.
Abolition of Provinces, 391.
Aborigines (see Maoris).
Abortion, 67.
Accident Funds, 174, 280, 547.
Accident Insurance, 437–441.
State, 440.
Accidents—
Aircraft, 69.
Automobile, 63, 69, 128, 140, 185.
Cases treated in Hospitals, 79, 80, 81.
Causes of, 589.
Deaths from, 63, 69, 71, 72, 79, 80, 81, 128, 168, 185, 273, 278, 588–594, 625.
Frequency Rates, 587.
Industrial, 535, 563–566, 586–595, 625.
Mining, 68, 273, 278, 280, 547, 586–595.
Railway, 69, 128, 168, 586–595.
Time lost through, 592–594.
Traffic, 69, 128, 168, 185.
Tramway, 69.
Acclimatization of Fishes, 4, 268.
Accommodation Licenses, 638.
Accounts, Public, 322–363.
Acreage and Yield of Crops, 229–240, 660.
Acreage of Holdings, 199, 474, 487.
Acts passed in 1944, 643–646.
Actuarial Valuation of Superannuation Funds, 384, 386, 387.
Ad valorem Duties, 733.
Added Value in Manufacturing, 282, 290, 294, 295, 663.
Adjustment of Mortgages, 361, 461.
Administration, 9–12.
War, 9, 144, 672.
Adopted Children, 41.
Adult Education, 125.
Adulteration of Food, 87, 131.
Advances—
Bank, 412, 414, 415, 665.
Building Societies, 456–459.
State (see State Advances and State Aid).
Advertisements, Medical, 88.
Advertising by Radio, 607.
Aeradio Stations, 195, 647.
Aerated-water Factories, 283–293, 299, 302.
Aero Clubs, 151, 187, 189.
Aerodromes, 151, 187, 648.
Aeronautical Production, 187.
Aeronautical Radio Service, 195.
Afforestation, 254–256, 262–264.
Bondholders, 263, 620.
Companies, 263, 620.
After-lifetime, Average, 55.
Age Benefits, 366, 372, 376, 536.
Age Distribution, 29.
Age, Mean—
At Death, 55.
At Marriage, 46.
Agents Overseas, 681.
Ages—
Of Cancer Decedents, 66.
Of Hospital Patients, 78.
Of Infants dying, 59–61, 72.
Of Injured Employees, 590.
Of Inmates of Charitable Institutions, 99, 100.
Of Inmates of Mental Hospitals, 102.
Of Issue left, 57.
Of Maoris dying, 70, 72.
Of Migrants, 20.
Of Offenders probationed, 138.
Of Orphans, 57.
Of Parents, 36–40, 57.
Of Patients in Public Hospitals, 78.
Of Persons dying, 54–56, 70, 72, 481.
Of Persons marrying, 46–47.
Of Population, 29.
Of Prisoners, 136.
Of Public-school Pupils, 112, 113.
Of Tubercular Decedents, 64.
Aggregate Private Income, 502, 597.
Aggregate Wealth, 480.
Aggregation of Incomes, 495.
Agricultural and Pastoral Production, 212–254, 626–628, 660.
Value of, 216–221, 626–628.
Volume of, 218, 628.
Agricultural Bursaries, 124, 125.
Agricultural Clubs, 119.
Agricultural Colleges, 109, 123, 125, 213, 215, 633.
Agricultural Machinery, 227, 252, 283–293, 299, 305, 720.
Agricultural Policy, Developments in, 227.
Agricultural Produce—
Consumed locally, 220, 600–602.
Exported, 220, 600, 692–694, 701–703.
Gross Farming Income, 216–221.
Price Index Numbers, 514–516.
Agricultural Workers Act, 523, 525, 538, 550.
Agriculture, 212–240.
Department of, 213–216.
Research in, 213, 231, 239.
Aides-de-Camp, 668.
Air Force, 150–155.
Expenditure on, 333.
Air Mails, 188–191.
Air Training Corps, 92, 153.
Air Transport and Aviation, 187–191.
Aircraft, 187–191.
Accidents, 69.
Construction, 187.
Licensing and Control, 187–191.
Radio Communication, 195.
Aitutaki Island, 1, 195, 648.
Alcoholic Liquors—
Brewed, 302.
Duty on, 302, 334, 335, 726–730.
Sale of, 638, 639.
Alienation of Land, 199, 204–207, 210.
Aliens, Naturalization of, 20.
Alluvial-gold Mining, 4, 270.
Amalgamation of Local Authorities, 392.
Amortization of Debt, 327, 331, 333, 347, 349, 354–356, 400, 405.
Amputees, 379.
Amusements-tax, 342, 343, 623.
Anchorage (Suwarrow) Island, 1, 649.
Angling, 267.
Animal Life, 9.
Annexed Islands, 1, 2, 13, 647–652.
Annual Holidays Act, 539, 554, 643.
Annual Value Rating-system, 393, 394.
Annuities, 376, 383–389, 433, 436.
Ante-natal Services, 98.
Anthracite, 273.
Antimony-ore, 270.
Antipodes Islands, 1, 647.
Apiculture, 253.
Apolima Island, 652.
Apparel, Duty on, 726.
Appeal Court (see Courts).
Apples, 212, 238.
Consumption of, 602.
Exported, 692–703.
Fixation of Prices of, 505.
Issued to School-children, 91.
Marketing of, 215.
Apprentices, 534, 540, 543, 561–563, 632, 645.
Appropriations, Expenditure under, 327.
Arbitration (see Industrial Conciliation and Arbitration).
Arbitration Court (see Courts).
Award Wage-rates, 523–531.
Area—
Of Exotic Forests, 262, 264.
Of Indigenous Forests, 200, 255.
Of Island Territories, 1, 647–657.
Of Land Holdings, 199, 471–474, 486.
Of New Zealand, 1, 198.
Of Properties transferred, 202.
Of Provincial Districts, 22.
Top-dressed, 236.
Under Crops, 228–240, 660.
Under Cultivation, 199, 228–240.
Armed Forces—
Aliens serving in, 21.
Awards for Gallantry, &c., 155.
Casualties in, 147, 154.
Demobilization of, 635.
Patients in Mental Hospitals, 102.
Patients in Public Hospitals, 81.
Vegetables for, 237.
Voting by, 637, 639.
Army, 142–147, 154, 155.
Expenditure on, 333.
Arrivals, 15, 18–20, 658.
Arsenic, 269.
Articles on Special Subjects in Previous Issues, 746.
Art-unions, 342, 640.
Asbestos, 269, 272.
Assessable Income, 491–502.
Assessment Court, 407.
Assessment of—
Income-tax, 338, 491–502.
Land-tax, 337, 489.
Land Values, 407.
Assets—
Of Afforestation Companies, 263.
Of Bankrupts, 476, 478, 667.
Of Banks, 412, 414, 418, 665.
Of Building Societies, 459.
Of Electric-power Undertakings, 293, 614.
Of Factory Industries, 292, 295.
Of Fire-insurance Companies, 443.
Of Friendly Societies, 454.
Of Life-assurance Companies, 436.
Of Local Authorities, 401, 479.
Of Reserve Bank, 412.
State, 479
Assigned Estates, 474–478, 667.
Assisted Immigration, 20.
Assurance, Life, 430–437.
Asylums, 101–104.
Benevolent and Orphan, 98–100.
Atafu Island, 2, 195, 655.
Atiu Island, 1, 195, 648.
Atlantic Salmon, 268.
Auckland—
Broadcasting Stations, 605–608.
Building Values, 315.
Dwellings, 311, 316.
Fires, 447.
Population, 24, 25, 27.
Rainfall, 7, 8.
Retail Prices, 507–510.
Sales-tax Receipts, 345.
Shipping, 159.
Sunshine, 7, 8.
Temperature, 7, 8.
Tramways, 169–174.
Auckland Islands, 1, 647.
Audit of Expenditure, 323.
Auriferous Mining, 270.
Australia—
Debt domiciled in, 351–354, 404–406.
New Zealand Representatives in, 681.
Reciprocal Trade with, 735.
Representative in New Zealand, 682.
Social Security Reciprocity, 372.
Australian - New Zealand Agreement, 636.
Automatic Signalling, 161.
Automatic Telephones, 194.
Automobiles (see Motor-vehicles).
Autonomy, Local (see Local Authorities).
Auxiliary Workers Training, 543.
Avarau (Palmerston) Island, 1, 649.
Aviation and Air Transport, 150, 187–191.
Award Wage-rates (see Wage-rates).
Awards for Gallantry, &c., 155.

B

Bachelors marrying, 45, 47.
Backward Children, 110, 121.
Bacon and Ham, Consumption of, 601.
Bacon produced, 300.
Baconer Experts, 250.
Balance of Overseas Payments, 419, 688.
Balance of Trade, 685–688.
Balances of Public Accounts, 323.
Balance-sheet, State, 479.
Ballots for Military Service, 144.
Bananas, 504, 602, 650, 652.
Banking and Currency, 410–430, 655, 656.
Banking Companies, Taxation of, 337.
Bank-notes, 411, 412, 413, 414, 416, 427, 665.
Denominations of, 418, 428.
In Circulation, 413, 417, 665.
Bankruptcy, 474–478, 535, 554, 667.
Banks Indemnity (Exchange) Act, 347.
Banks, Overseas Funds of, 411, 414, 418, 688.
Banks, Savings—
Post Office, 419, 422, 423, 424, 535, 660.
School, 420, 423.
Trustee, 421, 422, 423, 424.
Barley, 228–231, 233, 235.
Varieties of, 233.
Barren Land, 198, 200.
Basic Wage, 531, 551, 567.
Beans, 231.
Beds, Hospital, 96, 97.
Beef—
Chilled, 226, 245, 249.
Consumption of, 601.
Exports of, 225, 249, 702, 703, 705.
Imperial Government Purchase, 225.
Slaughterings, 250.
Beer—
Duty on, 302, 334, 335, 726, 727–730.
Production of, 302.
Bees, 253.
Belgium, Trade Arrangement with, 737.
Benefit Societies, 453–455.
Benefits, Social Security, 93, 97, 98, 104, 331, 364–377, 536, 567, 573, 646.
Benevolent Asylums, 98–100.
Benevolent Societies, 453–455.
Bentonite, 269, 276.
Bibliography—
General, 744–745.
New Zealand Flora, 9.
Big-game Fishing, 267.
Bills, Treasury, 347, 352.
Births, 31–42, 658.
In Cook Islands, 649.
In Niue, 651.
In State Maternity Hospitals, 97.
Biscuit-factories, 283–293, 299, 301.
Bitumen-surfaced Roads, 176.
Bituminous Coal, 273, 274.
Blind, Benefits for the, 368, 372.
Blind, School for the, 110, 121.
Blocks of Flats, 312, 314, 316, 321.
Board of School-children, 117.
Boat-building Works, 283–293, 299, 306.
Bobby Calves, 251.
Boer War Pensioners, 377, 382.
Boilers, Inspection of, 624.
Boiling-down Works, 283–293, 299, 303.
Bond-issuing Companies, 263, 620.
Bonds, National Savings, 346, 422.
Bonuses, Cost-of-living, 552.
Boot and Shoe Factories, 283–293, 299, 306
Boroughs, 389–406.
Bridges in, 176.
Capital and Unimproved Values, 409.
Debts, 401, 404, 665.
Employees, 579.
Housing, 312–317, 396.
Mileage of Streets, 176.
Population, 27, 28.
Borrowing-powers of Local Authorities, 393.
Borstal Institutions, 134, 136.
Boundaries of New Zealand, 1, 2.
Bounty Islands, 1, 647.
Brass-foundries, 283–293, 299, 305.
Bread—
Consumption of, 602.
Fixed Prices for, 504.
Law re Sale of, 87.
Breeding Ewes, 240, 243.
Breeding Sows, 240, 248.
Breweries, 283–293, 299, 302.
Brickworks, 283–293, 299, 305.
Brides and Grooms, 43–47.
Bridges, 176, 320.
Bridle-tracks, 176.
Brigades, Fire, 453.
Briquetting and Carbonizing of Coal, 275.
British Children staying in New Zealand, 121.
British Countries, Representatives in New Zealand, 682.
British Nationality, 20.
British Phosphate Commission, 2, 656.
British Postal Orders, 193.
British Preference, 706, 713, 715, 733–737.
British Sovereignty, 2.
British Trade Representatives, 682.
Broadcasting, 604–608.
Commercial, 607.
For Schools, 122, 608.
Time Signals, 606, 642.
Bronze Coinage, 426.
Budgets, Household, 511.
Building and Construction, 308–322, 357–363, 540.
Building Costs, 318, 320, 322, 515.
Building Materials, 318, 320, 504, 515, 711.
Building Permits, 309, 312–317.
Building Societies, 456–459.
Deposits, 423, 425, 459.
Buildings, 308–322.
Building-stones, 269, 277.
Bullion, Exports of, 690–694, 702, 703.
Bullion Production, 269–271.
Bureau of Industry, 359, 629–631.
Burials, 51, 90.
Bursaries—
Agricultural, 124, 125.
Dental, 124.
Medical, 124.
Secondary Schools, 117.
Soldiers', 634.
Soldiers' Dependants, 116.
University, 124.
Bush, 200, 255.
Bushel Units, Weights of, 229.
Business Failures, 474–478, 667.
Business Loans, 634.
Business Premises erected, 321.
Butter (see Dairy-produce).
Butter-boxes, Subsidy on Manufacture of, 215.
Butterfat, Dehydrated, 224, 246.
Butterfat used in Factories, 301.
Butterfat Yields, 247.
By-elections, 638.

C

Cabinet, 9.
Members of, 669, 670.
War, 9, 672.
Cable Tramways, 175.
Cables, Ocean, 195.
Cadets, 143, 146, 149.
Calf-skins exported, 662, 691–705.
Call, Deposits at, 414, 423, 459.
Calves slaughtered, 251.
Campbell Island, 1, 647.
Camps, Health, 91.
For Women Industrial Workers, 92.
Canada—
New Zealand Representatives in, 681.
Reciprocal Trade with, 736.
Representatives in New Zealand, 682.
Cancer, 63, 64–66, 71, 79, 80, 81, 103.
Candle-factories, 283–293, 299, 303.
Canned Fish, 266.
Canned Fruits, 302.
Canned Meat exported, 702, 703, 705.
Canterbury Agricultural College, 109, 123, 125, 213, 633.
Capital—
Expenditure of Government, 328.
Invested in Electric-power Undertakings, 293, 610–614.
Invested in Factories, 292–294.
Invested in Railways, 162, 667.
Invested in Telegraph Construction, 193.
Invested in Telephone Construction, 194.
Invested in Tramways, 170, 173, 175.
National, 481.
Of Banks, 410, 411,413.
Of Joint-stock Companies, 621–622.
Capital Value of Land, 406–410.
Rating on, 393–394.
Capitation Scheme, Social Security, 373.
Carbonizing and Briquetting of Coal, 275.
Cargo handled at Ports, 688.
Car-miles run by Trams, 169, 171, 175.
Carnegie Corporation, 125.
Carrots, 235, 237.
Casein exported, 693, 694, 702, 703.
Cassiterite, 272.
Casualties in War, 146, 154.
Casualties, Shipping, 160.
Catchment Boards, 256, 389.
Cattle, 240, 245, 249, 660.
Cattle-hides exported, 662, 691–705.
Causes of—
Accidents, 589.
Deaths, 61, 63–72, 79, 80, 103.
Fires, 448.
Industrial Disputes, 583.
Insanity, 101.
Cement-concrete Roads, 176.
Cement-works, 283–293, 299, 305.
Cemeteries, 90.
Census, 13–16, 21–24, 30, 573.
Of Dwellings, 310.
Of Poultry, 252.
Of Religions, 639.
Unemployment Statistics, 573.
Central Reserve Bank (see Reserve Bank).
Cereals, 228–233, 660.
Consumption of, 602.
Certificated Teachers, 122.
Certificates—
Dentists' Practising, 85.
Engine-drivers', 626.
Land Titles, 202,
Marine Officers', 159.
Masseurs', 87.
Medical Practitioners', 85.
Mine Officials', 280, 547, 548.
Naturalization, 21.
Opticians', 87.
Certification of Seed, 214, 234.
Chaff, 229, 232, 235.
Charitable Aid, 93–95, 98–100.
Charitable Institutions, 93, 98–100.
Chatham Islands, 1, 242, 647.
Radio Station, 195.
Schools, 109, 118.
Cheese (see Dairy-produce).
Chemical Fertilizer Works, 283–293, 299, 306.
Chemists, Registration of, 89.
Chief Justice, 674.
Child Welfare, 58, 90, 91, 110, 119–121, 138, 561.
Childbirth, Accidents, &c., of, 63, 66–68, 73, 74, 79, 80, 82, 101.
Children—
Adopted, 41.
Affected by Divorce Proceedings, 50.
Allowances in respect of, 366–387.
Born, Sexes of, 34, 35, 42.
British, staying in Dominion, 121.
Dental Treatment of, 91.
Left by Parents dying, 57–58.
Medical Inspection of, 90.
Offences by, 119, 138.
Under One, Deaths of, 54, 58–62, 71–72, 658.
Children's Courts, 119, 138.
Children's Homes, 98–100, 119–121.
Chilled Beef, 226, 245, 249, 702, 703.
Chinese—
Immigration Restrictions, 646.
In Nauru, 656.
In Western Samoa, 653.
Chou Moellier, 229, 231, 235.
Christchurch—
Broadcasting Stations, 605–608.
Building Values, 315.
Dwellings, 311, 316.
Fires, 447.
Population, 24, 25, 28.
Rainfall, 7, 8.
Retail Prices, 507–510.
Sales-tax Receipts, 345.
Sunshine, 7, 8.
Temperature, 7, 8.
Tramways, 169–175.
Chronological List of Events, 738–744.
Cinematograph Film-hire Tax, 344, 823.
Cinematograph Theatres, 623.
Cinnabar, 272.
Cities, Population of, 23, 27, 28.
Citrus Fruits, 212, 227, 238, 504, 602, 650,
Civic Planning, 396.
Civil Aviation, 151, 187–191, 637.
Civil Law Cases, 127.
Civil List, 9, 327, 646, 671.
Civil Marriages, 43, 48.
Civil Service (see Public Service).
Claims, Insurance, 430–152.
Clays, 269, 278.
Clearings, Bank, 416.
Clergy of each Denomination, 48.
Marriages by, 48.
Clerks of Works, 540, 644.
Climate, 3, 6–8, 647, 651, 652.
Clinics—
Ante-natal, 98.
School Dental, 91.
Venereal Diseases, 84.
Clocks, Public, 642.
Closing-hours of Shops, 545.
Clothing, Rationing of, 604.
Clothing-factories, 283–293, 299, 307.
Clothing-prices, 511, 512.
Clover-seed (see Grass-seed).
Club Charters, 638.
Clubs, Aero, 151, 187, 189.
Clubs, Rifle, 146.
Clubs, Working-men's, 453.
Coachbuilding-works, 283–293, 299, 306.
Coal—
Carried on Railways, 167.
Consumption of, 274, 288, 304.
Exports of, 693, 702, 703.
Production of, 269, 273–276.
Resources, 273.
Used in Factories, 288.
Coal-miners' Relief Fund, 280, 547.
Coal-mines Act, 269, 546.
Coal-mining, 273–276, 279, 582, 583, 645.
Coastal Shipping, 156, 159.
Coastal Trade Tonnage, 689.
Coastal Vessels registered, 156.
Coast-line, 3.
Coin held by Banks, 412, 414, 665.
Coin imported and exported, 426, 661, 690.
Coinage, 426.
Coin-in-slot Telephones, 194.
Colleges—
Agricultural, 109, 123, 125, 213, 215.
Military, 145.
Naval, 149.
Pharmacy, 89.
Teachers Training, 121.
University, 109, 110, 123–125, 659.
Collieries, 273–276, 645.
State, 275.
Combined Schools, 109, 114, 118.
Commerce, Overseas, 661, 662, 684–737.
Commercial Afforestation, 263.
Commercial Air Transport, 187–191.
Radio Communication, 195.
Commercial Broadcasting, 607.
Commercial Failures, 474–478, 667.
Commercial Gardens, Registration of, 237.
Commodities—
Consumption of, 596–604.
Rationing of, 602.
Community Centre, 126.
Companies—
Bank Advances to, 415.
Bond-issuing, 263, 620.
Co-operative Dairy, 247.
Deposits with, 423, 425.
Income of, 492, 499–501, 503.
Joint-stock, 620–622.
In Manufacturing Industries, 294.
Land Holdings of, 484.
Private, 621–622.
In Manufacturing Industries, 294.
Share Price Indexes, 518–522.
Taxation of, 338, 339, 342, 344, 364, 492, 499–501, 503.
Comparisons with other Countries—
Health Insurance, 536.
Telephones to Population, 193.
Unemployment Insurance, 536.
Compassionate Allowances, 383.
Compensation Court (see Courts).
Compensation, Workers', 439, 535, 536, 539, 563–566, 587, 588, 645.
Compulsory Education, 105.
Compulsory Insurance, 439, 451, 539.
Compulsory Military Service, 143.
Compulsory Registration of Titles, 201.
Compulsory Unionism, 559.
Compulsory War Loan, 350.
Conciliation Councils, 522, 536, 558–560.
Concrete Products Works, 283–293, 299.
Concrete-surfaced Roads, 176.
Condensed-milk Factories, 283–293, 299, 301.
Conditional Licenses (Liquor), 638.
Confectionery-factories, 283–293, 299, 301.
Confinement—
Deaths, in, 63, 66–68, 79, 80, 97.
State Maternity Hospital Cases, 97.
Conflagrations, 446.
Conjugal Condition of Persons marrying, 45.
Conjugal Rights, Restitution of, 50.
Consent to Marriage, 43.
Conservation of Forests, 255–258.
Conservation of Soil, 256, 389.
Consolidated Fund, 322, 325–328, 334, 664.
Consolidation of Schools, 117.
Constitution, 9–12.
Of Local Districts, 391.
Construction and Building, 308–322, 357–363.
Construction of Aircraft, 187.
Construction of Railways, Cost of, 162, 328, 667.
Construction of Roads, 176–181, 328, 331, 336.
Consuls, Foreign, 682.
Consumers' Goods, Imports of, 711, 712.
Consumers' Goods, Wholesale Prices of, 515.
Consumption (see Tuberculosis).
Consumption of—
Coal, 274, 288, 304.
Commodities, 596–604.
Electricity, 174, 287, 610–615.
Farm-produce, 221, 600–602.
Timber, 260.
Wool, 244, 307.
Contagious Diseases, 63, 73, 80, 83.
Contingent Liabilities (State), 347.
Contractors' Liens, 539, 553.
Contracts, Frustrated, 645.
Control of—
Exports, 246, 249, 251, 276, 650, 655, 689.
Imports, 650, 655, 689, 706–708, 727.
Land Sales, 203, 539.
Man-power, 541, 575–577.
Prices, 504.
Rivers, 256, 389.
Conversion of Debt, 349, 406.
Conveyance of Children to School, 117.
Convictions in Magistrates' Courts, 130, 659.
Convictions in Supreme Court, 132, 659.
Convictions, Summary, 130, 659.
For Drunkenness, 131, 139, 140, 141.
For Radio Offences, 608.
For Traffic Offences, 131, 139, 140.
Of Juveniles, 138.
Of Maoris, 139.
Of Women, 139, 140.
Cook Islands, 1, 2, 13, 647–650.
Exports to, 705.
Imports from, 723.
Population, 13, 649.
Radio-stations, 195, 650.
Trade, 650.
Cooperages, 283–293, 299, 304.
Co-operative Credit Associations, 362.
Co-operative Dairy Companies, 247.
Co-operative Mining, 274.
Co-operative Public Works, 535, 537, 568.
Copper, 272.
Cordial-factories, 283–293, 299, 302.
Corn Crops, 228–233, 660.
Coroners' Inquests, 128, 448.
Correspondence Classes, 109, 115, 118.
Cost of Living, 504–513, 542.
Bonuses, 552.
Costs—
Building, 318, 320, 322.
Dwelling, 322.
Factory, 225, 282–307.
Farm, 219, 225, 518.
Railway Construction, 162, 328, 667.
Roading, 177–180, 328.
Council, Executive, 9.
Members of, 669.
Council for Educational Research, 125.
Council, Legislative, 10.
Members of, 673.
Council of Adult Education, 125.
Council of Legal Education, 123.
Council of Physical Welfare and Recreation, 92.
Counties, 389–406.
Bridges in, 176.
Capital and Unimproved Values, 409.
Co-operative Insurance, 441.
Debt, 401, 404, 665.
Employees of, 579.
Housing, 317.
Mileage of Roads, 176.
Population, 26.
Country Lands, Mortgages on, 359, 462, 466, 469–474, 483–189.
Country Library Service, 110, 126.
Country Quota, 11.
Courts—
Appeal, 134.
Arbitration, 523–533, 536–568, 674.
Assessment, 407.
Bankruptcy, 474.
Children's, 119, 138.
Compensation, 566, 674.
Divorce, 49–51.
Judges of, 674.
Land Sales, 203, 539, 634.
Magistrates', 127, 130–132, 139–141, 474, 566, 659.
Native Appellate, 209.
Native Land, 208.
Of Review, 462, 674.
Supreme, 49, 127, 132, 474, 659.
Cover, Fire, 444–450.
Cow-testing, 212, 214.
Cranes, Inspection of, 624.
Crayfish, 266.
Cream-separators on Farms, 227, 301.
Credit, Rural Intermediate, 362.
Creditors' Petitions, 474, 475.
Credits-in-aid, 323–325.
Crematoria, 90.
Crime, Law and, 127–142, 659.
Criminals, Habitual, 135, 137.
Crops, 199, 227–240, 660.
Crown Lands, 198, 204–207.
Rates paid to Local Authorities, 399.
Crown Tenants, 206.
Advances to, 205.
Cultivation, Area in, 199, 228–240.
Currency and Banking, 410–430, 665–666.
Curriculum, School, 111.
Customary Land, 208.
Customs Tariff and Revenue, 723–737.
Customs Taxation, 334, 335, 723–737.
Cycle-works, 283–293, 299, 306.

D

Daily Incidence of Fires, 450.
Dairy Cows, 240, 245, 660.
Dairy Industry, 212, 213, 216–221, 223, 240, 245–248, 283–293, 299, 301, 416, 550.
Dairying-machinery, 227, 283–293, 299, 305.
Dairy-produce, 245–248.
Consumption of, 221, 601, 603.
Export of, 221, 223, 601, 662, C91–705.
Export Price Indexes, 615, 516.
Factories, 214, 217, 245, 283–293, 299, 301, 415.
Fixation of Prices, 223–225, 504.
Grading of, 214, 246.
Gross Farming Income, 216–221.
Marketing of, 223, 248.
Processing of, 301.
Production of, 247, 301, 627.
Purchase for War Purposes, 223, 248, 505.
Rationing of, 603.
Retail Prices Indexes, 508, 510, 512.
Damage (Earthquake and War) Insurance, 322, 333, 451, 644.
Danger (Pukapuka) Island, 1, 649.
Dangerous Drugs, 89.
Dates of Maturity of Debt, 349–351, 352, 406.
Dates of Principal Events, 738–744.
Daylight Saving, 641.
Dead-births, 31, 42, 51, 62, 97.
Deaf, School for the, 110, 121, 645.
Dealing in Coin, Restriction on, 426.
Death Duties, 334, 339–342, 644, 646.
Estates certified for, 480.
Death Penalty abolished, 133.
Deaths, 51–72, 77–80, 103, 128, 658.
Accidental (see Accidents).
Distribution over Year, 53.
Due to Earthquakes, 6.
From Puerperal Causes, 63, 66–68, 79, 80, 97.
In Cook Islands, 649.
In Hospitals, 77–80.
In Mental Hospitals, 102–104.
In Niue, 651.
In State Maternity Hospitals, 97.
Inquests on, 128.
Of Friendly Society Members, 454.
Of Infants, £4, 58–62, 72, 658.
Of Insured Persons, 432, 434, 435.
Of Maoris, 32, 70–72, 128.
Of Servicemen Overseas, 52, 146, 154.
Debentures, 338, 346, 402, 663.
Debenture-tax, 338.
Debits, Bank, 416.
Debt, Conversion of, 349, 406.
Debt of Local Authorities, 95, 356, 401, 402–406, 664, 665.
Debt, Public, 346–357, 663.
Debtors' Petitions, 474, 475.
Deceased Persons, Estates of, 479–481, 483, 618–620, 644, 645.
Decrees in Divorce, 50.
Deeds Registration, 201.
Defaulters, Military, 12, 136, 541.
Defective Children, 110, 121.
Defectives, Mental, 101–104.
Defence, 142–155.
Expenditure on, 323, 332.
Deferred-maintenance Allowance, 646.
Deferred-payment Lands, 204–207.
Deficits, 326.
Degrees, University, 84, 110, 124.
Dehydrated Butterfat, 224, 246.
Demobilization of Servicemen, 635.
Demography, 13–31, 658.
Denominational Schools, 108, 114.
Denominations of Bank-notes, 418, 428.
Denominations of Coins, 426.
Denominations, Religious, 48, 639.
Density of Population, 30.
Dental Bursaries, 124.
Dental Nurses, 91.
Dental Treatment of School-children, 91.
Dentists, Registration of, 85.
Departments, Government, 675.
Departures, 15, 18–20, 658.
Dependants of Soldiers, 378–383.
Dependencies, 1, 13, 647–657.
Dependent Children, Care of, 110, 119–121, 138.
Deposits—
By Insurance Companies, 430, 442.
Interest-rates on, 424–426, 459.
With Building Societies, 423, 425, 459.
With Local Authorities, 425.
With Savings-banks, 419–423, 666.
With Trading Banks, 414, 415, 423, 424, 665.
With Trading Companies, 423, 425.
Depreciation Allowance, 338.
Depreciation of New Zealand Currency, 428.
Designs, Registration of, 624.
Destination—
Of Exports, 687, 694–701.
Of Shipping, 158.
Detention, Reformative, 120, 135, 136, 137.
Development Loans, 322, 323, 347, 349.
Development of Lands, 205, 210.
Diagnosis, X-ray, Services, 375, 377.
Diatomaceous Earth, 269.
Dietitians, Hospital, 86.
Diphtheria, 63, 70–72, 73, 74, 75, 80, 82, 91.
Diplomas, 84, 110.
Diplomatic Representatives, 681, 682.
Direction to Essential Industry, 575.
Disabilities from Industrial Accidents, 586–595.
Disabled Servicemen, 377–383.
Discharged Mortgagee, 460, 464, 468.
Discharged Patients, 76–81.
From Mental Hospitals, 103.
Discharged Soldiers (see Soldiers).
Discharged Soldiers Settlement, 203, 205, 207, 357, 361, 539, 543, 631–636.
Discount Rates, 424.
Diseases, Notification of, 73, 82.
Diseases, Principal, Deaths from, 63–72, 79, 80.
Diseases treated in Hospitals, 79–81.
Disputes, Industrial, 543, 557–561, 580–586.
Dissolution of Marriage, 49–51.
Dissolution of Parliament, Dates of, 672.
Distribution of Deaths over Year, 53.
Distribution of Population, 21–29.
District High Schools, 109, 114, 118, 659.
District Nurses, 86, 90, 98, 375.
Districts, Local, 389–406, 578, 664, 665.
Districts, Military, 144.
Dividend (Totalizator) Duty, 342.
Dividends, Bankruptcy, 476, 667.
Divorce, 49–51.
Divorced Persons remarrying, 45.
Dogs, Treatment of for Hydatid Prevention, 84.
Dolomite, 269, 278.
Domains, Public, 200, 204.
Domestic Assistance, 376.
Domicile of Debt, 346, 351–354, 404–406, 663.
Dominion of New Zealand, 1.
Drainage Districts, 389–406, 579.
Dredging, Gold, 270.
Drilling for Oil, 276.
Drills, Prospecting, 279.
Drivers' Licenses, 181.
Drowning Accidents, 68, 128.
Drugs, 87, 88, 373.
Drunkenness, 131, 136, 139, 140, 141.
Ducks, 252.
Dumping Duty, 730.
Dunedin—
Broadcasting Stations, 605–608.
Building Values, 315.
Dwellings, 311, 316.
Fires, 447.
Population, 24, 25, 28.
Rainfall, 7, 8.
Retail Prices, 507–510.
Sales-tax Receipts, 345.
Shipping, 159.
Sunshine, 7, 8.
Temperature, 7, 8.
Tramways, 169–175.
Duration of Marriage, 39, 51.
Duration of Strikes, 581.
Dutiable Imports, 723–737.
Duties—
Customs and Excise, 334, 335, 723–737.
Death, 334, 339–342, 644.
Export, 335, 655, 728.
On Lottery Tickets, 342, 640.
On Overseas Passenger-tickets, 342.
Stamp, 342.
Dwellings—
Advances for, 205, 211, 357–363, 396, 456–459, 634.
Census Enumerations, 310.
Costs of, 321.
Erected, 309, 311–317, 321–322.
Fire Losses on, 450.
Maori, 211, 316, 537.
Rents, 509–510, 512, 556.
Soldiers', 634.
State, 311, 315, 556.
Untenanted, 311.
Workers', 311, 315, 357–363, 396, 536, 556.

E

Earned Income, 491, 493, 497.
Earnings of Building Employees, 319.
Earnings of Factory Employees, 286.
Earthquake Insurance, 333, 451, 644.
Earthquakes, 5–6.
Deaths due to, 6.
Economic Pensions, 380.
Economic Stabilization, 504, 505, 510, 525, 542, 557, 560, 643.
Education, 105–126, 608, 659.
Boards, 105–108.
Endowments, 106, 110, 204, 206.
Expenditure on, 110, 118, 327.
Of Ex-Servicemen, 634.
Education Gazette, 123.
Educational Association, Workers', 125.
Educational Research, 125.
Eels, 267.
Effective Wage-rates, 530.
Eggs, 253, 504, 602, 604.
Elections, General, 11, 637.
Elections, Local, 643.
Electoral Districts, 11.
Electoral Qualifications, 12, 391.
Electors, Compulsory Registration of, 12, 391.
Electric—
Current, 174, 283–293, 299, 608–618.
Power Boards, 389–406, 611, 665.
Power in Factories, 281, 287.
Power on Farms, 212, 227.
Railways, 161, 162.
Signalling, 161.
Tramways, 169–174.
Electric Supply Accounts, 329, 644.
Electrical Engineering Works, 283–293, 299.
Electricity, Consumption of, 174, 287, 608–618.
By Tramways, 174.
Electricity Generation and Supply, 283–293, 299, 329, 608–618.
Emergency Benefits, 372, 376.
Emergency Reserve Corps, Pensions for, 378, 382.
Emigration, 15, 18–20, 658.
Empire Air Training Scheme, 151.
Employees—
Afforestation Companies, 264.
Building and Construction, 319.
Cinematograph-theatres, 623.
Electric-supply, 613.
Factory, 283–287, 294–298, 300–307, 577, 663.
Hospital Boards, 579.
Legislation affecting, 534–568
Local Authority, 578.
Mining, 273, 276, 278.
Postal, 197, 644.
Public Service, 680.
Public Works, 567, 578.
Railway, 167, 643.
State Coal Mines, 276.
Tramway, 169, 175.
Unions of, 535, 557–561, 568–572.
Wage-rates of (see Wage-rates).
Employers' Liability, 439, 535, 536, 539, 563–566, 645.
Insurance, 437, 439, 440, 539.
Employers' Unions, 569.
Employment and Unemployment, 566, 572–579.
Employment Bureaux, 566, 574.
Employment Placement Scheme, 574.
Employment Promotion, 567, 573, 574.
Fund, 567.
Taxation, 344, 530.
Employment, Seasonal Fluctuations in, 286, 319, 577–579.
Employment Service, National, 577.
Enactments affecting Labour, 534–568.
Enactments of 1944, 643–646.
Endowments, Education, 106, 110, 204, 206.
Endowments, National, 204, 255, 261.
Engine-drivers' Certificates, 626.
Engineering-works, 283–293, 299, 305.
Engineers, Registration of, 646.
Engines—
Employed in Factories, 287.
Employed on Farms, 227.
Inspection of, 624.
Railway, 162, 163.
Ensilage, 199, 229, 230, 232, 235.
Entertainments-tax, 342, 343, 623.
Entrepôt Trade, 703.
Entry, Ports of, 158.
Envoys Extraordinary, 681, 682.
Erosion, 256, 389.
Essential Undertakings, 541, 575.
Estate Duty, 340, 646.
Estates—
Acquired for Settlement, 207.
Administered by Public Trust Office, 618–620.
Assigned, 474–478.
Of Deceased Persons, 480, 644, 645, 646.
Evacuees, 19, 121.
Ewes, Breeding, 240, 243.
Examinations—
Education Department, 110.
Electric-tram Drivers', 626.
Engine-drivers', 626.
Marine Officers', 159.
Medical, of School Children, 90.
Medical Practitioners', 84.
Mining, 280, 547.
Navy, Candidates for, 110, 149.
Of Motor-vehicles, 182.
Public Service Entrance, 680.
Teachers', 110.
University, 84, 110, 149.
Excess-profits Tax, 335, 339.
Exchange (Currency), 411, 412, 414, 418, 428.
Banks Indemnity (Exchange) Act, 347.
Effect on Trade Statistics, 684–687.
Expenditure on, 326, 346.
New Zealand - London, 428.
Reserve, 411.
Exchanges, Telephone, 194.
Excise Duties, 334, 335, 727, 730.
Executive Council, 9.
Members of, 669.
Exemptions from Taxation—
Income-tax, 338, 491, 497.
Land-tax, 337, 469, 487–489.
Ex-nuptial Births, 38, 39.
Exotic Trees, Planting of, 262–264.
Expectation of Life, 55.
Expeditionary Forces, 142, 146, 154, 155, 741, 742.
Expenditure—
Audit of, 323.
Broadcasting, 607.
Cinematograph Theatres, 623.
Education, 110, 118, 328.
Electric-power Boards, 400, 615.
Farm, 219, 518.
Expenditure—continued.
Local Authority, 93–95, 179, 399, 615, 664.
Post and Telegraph, 196.
Public, 322–333, 664.
Railway, 162, 163, 165, 331, 667.
Rehabilitation, 635.
Tramway, 170–175.
War, 322, 332, 348, 349, 350.
Export Control, 689.
Dairy-produce, 246.
Honey, 254.
Kauri-gum, 276.
Meat, 251.
Export Duties, 335, 655, 728.
Export Licenses, 650, 655, 689.
Export Prices, 219, 222–226, 515–518, 521, 522, 598, 704.
Export Surplus, 685–687.
Exports, 596–601, 661, 662, 684–705,
Currency, Restrictions on, 427, 650, 655.
Dairy-produce, 220, 223, 245, 248, 601, 662, 691–705.
Excess over Imports, 685–687.
Fish, 266, 693, 702, 703.
Meat, 225, 245, 219–252, 661, 691–705.
Minerals, 270, 691–705.
Of Ports, 688.
Receipts from, 419.
Specie, 427, 661, 690.
Timber, 260, 692–705.
Valuation of, 684, 690.
Value in Sterling, 684, 688.
Value on Gold Basis, 688.
Values, Index Numbers, 597, 688.
Volume, Index Numbers, 688, 704.
Wool, 222, 244, 661, 691–705.
External Migration, 15, 18–20, 658.
External Trade, 661, 662, 684–737.
Extra-marital Conceptions, 38, 39.

F

Factories, 281–307.
Accidents in, 586–595.
Act, 535, 543, 645.
Dairy, 245–247, 283–293, 299, 301.
Employees, 283–287, 294–298, 300–307, 577, 645, 663.
Promotion of, 629–631.
Factory Production, 281–307, 627, 628, 663.
Fair Rents Act, 509, 538, 557.
Fakaofu Island, 2, 195, 655.
Fallow Land, 199, 230.
Family Benefits, 368, 376, 646.
Family Budgets, 511.
Family Homes Protection, 535, 555.
Farm Employees, Wage-rates, &c., 523–531, 537, 538, 540, 541, 550.
Farm Expenditure Indexes, 219, 518.
Farm Finance, Provision of, 205, 207, 357–363, 415, 537, 634.
Farm Holdings, 198, 470–474, 482–490.
Farm Implements, 227, 252.
Manufacture of, 283–293, 299, 305.
Farm Machinery, 227, 252, 283–293, 299, 305, 709, 711, 720.
Farm Produce—
Consumption of, 220, 600–604.
Export of, 220, 222–226, 240, 244, 248, 249–252, 254, 600, 661, 662, 691–705.
Marketing of, 222–226, 248, 251, 254.
Price Indexes, 514–518, 521, 522.
Purchase for War Purposes, 222–226, 245, 246, 505.
Farm Training of Discharged Servicemen, 633.
Farmers—
Advice for, 214.
Financial Assistance to, 205, 207, 357–363, 415, 537.
Mutual Fire Insurance, 442, 445, 450.
Farming, 212–254.
Farming Income, Gross, 216–221.
Farming Industry, Subsidies to, 214, 225.
Farming Lands, Mortgages on, 360, 462, 466, 469–474, 483–489.
Fathers—
Ages of, 36, 57.
Duration of Marriage of, 39.
Fauna, 9.
Feeble-minded, Schools for, 110, 119.
Feeder Stations, Radio, 195.
Feilding Community Centre, 126.
Fellmongering-works, 283–293, 299, 303.
Female Suffrage, 12, 740.
Female Wage-rates, 286, 525, 528, 530, 534.
Fern Lands, 200.
Fertilizer Factories, 283–293, 299, 306.
Fertilizer used, 236.
Fertilizers, Prices of, 215, 504.
Fertilizers, Subsidy on Manufacture of, 215.
Fertilizers, Subsidy on Transport of, 215.
Fibre—
Linen-flax (see linen-flax).
Phormium (see Phormium).
Field Crops, 227–240.
Fiji, Contribution to War Expenses, 332.
Film-hire Tax, 344.
Finance, Farm, 204–207, 357–363, 415, 537.
Finance of Local Authorities, 93–95, 397–406, 664, 665.
Hospital Boards, 93–95.
Finance, Public, 322–363, 663, 664.
Fire Brigades, 453.
Fire Districts, 255, 258, 389–406.
Fire Inquests, 128, 448.
Fire Insurance, 442–452.
State, 451.
Fire Losses, 444–151.
Fire-prevention in Forests, 255, 258.
Fires, Daily Incidence of, 450.
Fires on Vessels, 160.
Fires, Seasonal Incidence of, 449.
First Births, 35, 37.
First Offenders' Probation, 137.
Fish, 4, 265–269.
Consumption of, 602.
Exported, 266, 693, 702, 703.
Value of Production, 266, 627.
Fisheries, 265–269.
Fishermen, Licensing of, 630
Fishing, Big-game, 267.
Five-day Week on Public Works, 567.
Fixation of Prices, 504.
Fixed Deposits, 414, 423, 424, 459.
Flats erected, 312, 314, 316, 321.
Flax Lands, 200, 229, 239.
Flax, Linen, 213, 229, 230, 239, 329, 505.
Exports of, 692, 693, 694, 702, 703.
Flax, Phormium (see Phormium).
Floating Debt, 347, 352.
Flogging abolished, 133.
Flora, 9
Flotation of Loans, 346, 349.
Flour—
Consumption of, 602.
Fixed Prices for, 504, 505.
Production of, 301.
Restriction on Imports, 231.
Flour-mills, 283–293, 299, 301.
Flying, 150–154, 187–191.
Flying Clubs, 151, 187, 189.
Fodder Crops, 199, 228, 229, 230, 235.
Fog Signals, 160.
Food and Drugs, Sale of, 87.
Food Consumption, 601–604.
Food, Retail Prices of, 505–512, 521, 522.
Foodstuffs, Export Prices of, 515, 516.
Foodstuffs, Wholesale Prices of, 515.
Footwear Factories, 283–293, 299, 306.
Footwear, Rationing of, 604.
Foreign Consuls, 682.
Foreign Securities, Wartime Control, 429, 650, 655.
Foreign Vessels entered and cleared, 157.
Foreigners, Naturalization of, 20.
Forest Fire Prevention, 255, 258.
Forest Produce exported, 260, 600, 662, 692–694, 702, 703.
Forest Trees, 258.
Forestry, 254–264.
Value of Production, 627.
Forty-hour Week, 533, 544, 559, 567.
Foster-homes for Children, 120.
Foundries, 283–293, 299, 305.
Foveaux Strait Oysters, 266.
Fowls, 252.
Fractions, Totalizator, 343.
Franchise, General Government, 12.
Franchise, Local Government, 12, 391, 643.
Free and Dutiable Imports, 723–737.
Free Deposits, 414.
Free Education, 105–125.
Free Radio-licenses, 608.
Freehold, Crown Land made, 206.
Freehold Land, 199, 206.
Freezing-works, 283–293, 299, 300, 415.
Freight—
Curried by Air-transport, 188, 189.
Carried by Shipping, 688.
Carried by Trains, 164, 166, 167, 667.
Subsidy, 275.
Train-mileage, 167.
Frequency Rates of Accidents, 587.
Fresh-water Fisheries, 267–269.
Friendly Societies, 388, 453–455, 535.
Frosts, 8.
Frozen Meat exported, 225, 245, 249–252, 661, 691–705.
Fruit—
Consumption of, 602.
Export of, 692–694, 701–704.
Fixation of Prices of, 504, 505.
Imports of, 709, 716.
Industry, 199, 212, 215, 228, 230, 238.
Fruit-preserving Factories, 283–293, 299, 302.
Frustrated Contracts, 645.
Fuel and Light, Retail Prices of, 510–512.
Fuels and Lubricants, Imports, 711, 718.
Fuels, Substitute, 178, 275, 336.
Fuller's Earth, 269.
Funded Debt, 355.
Funds of Public Account, 322–333.
Funeral Funds, 454.
Furniture Loans, 634.
Furniture-making Works, 283–293, 299, 304.

G

Gaming Act, 640.
Gaols, Prisoners in, 134–137, 659.
Garden Tractors, 227.
Gardens, Acreage in, 199, 227, 237.
Gardens (Commercial), Registration of, 237.
Garrisons, Pacific Islands, 147.
Gas, Consumption of, 304.
Gas-driven Vehicles, 178, 336.
Gas-lighting District, 389–406, 579.
Gasworks, 283–293, 299, 304.
Gauge, Railway, 162.
Geese, 252.
General Assembly, 9–12, 673.
General Elections, 11, 637.
Generating Stations, 609, 613.
Geographical Features, 3–5.
Geological Survey, 277, 279.
Geology, 5.
Geysers, 3.
Gift Duty, 340, 342, 644.
Gilbert and Ellice Islands, 2.
Glaciers, 4.
Gold, Discovery of, 4, 21.
Gold exported, 270, 662, 690–694, 702, 703, 705.
Duty on, 335, 399, 728.
Gold Reserve, 412.
Goldfields, Subsidized Roads on, 280.
Gold-mining, 270, 279.
Gonorrhœa, 83.
Goods carried on Railways, 164, 166, 167, 667.
Goods-service Licenses, 184, 185.
Government Departments, 675.
Government Housing, 211, 311, 315, 363, 556.
Government Insurance, 436, 440, 451.
Government Railways, 161–168, 667.
Industrial Tribunal, 168, 540, 643.
Superannuation Fund, 168, 386.
Government Representatives Overseas, 681.
Government Roads, 177.
Government, System of, 9–12.
Government Valuations, 406–410.
Governor-General, 668.
Powers, Duties, &c., 9.
Grading—
Of Dairy-produce, 214, 246.
Of Honey, 214.
Of Phormium Fibre, 214.
Of Public Servants, 679.
Of School-teachers, 106.
Graduated Land-tax, 337.
Graduates, University, 123.
Grain Crops, 199, 227–233, 660.
Grain-mills, 283–293, 299, 301.
Granite, 277.
Grapes, 227, 238.
Grass Lands, 199, 200, 230, 236.
Grass-seed, 199, 229, 230, 236.
Certification of, 214.
Exported, 692–694, 701–703.
Varieties of, 236.
Green Crops, 199, 229, 230, 235.
Greenstone, 277.
Greenwich Mean Time, 641.
Groceries, Retail Prices of, 507, 510, 512.
Gross Farming Income, 216–221.
Gross Indebtedness, 347, 402–406, 663.
Mortgage, Indebtedness, 469.
Of Local Authorities, 402–406, 664, 665.
Grounds for Divorce, 49.
Grounds for War Pensions, 378.
Group Travel, 92.
Growth of Population, 14–18, 33.
Guaranteed Loans, 347, 403.
Guaranteed Prices, 224, 246.
Gum, Kauri, 276.
Exported, 270, 276, 692–694, 702, 703.

H

Habitual Criminals, 135, 137.
Habitual Drunkards, 140.
Half-castes, 14, 31.
Half-holiday, Weekly, 544–546.
Ham and Bacon, Consumption of, 601.
Ham and Bacon Curing, 283–293, 299, 300–
Harbour Boards, 389–406, 579, 665.
Harbours (see also Ports), 3.
Harness Works, 283–293, 299.
Harvests, 228–240, 660.
Hay, 199, 229, 230, 232, 235.
Heads of Government Departments, 675.
Health Camps, 91.
For Women Industrial Workers, 92.
Health Insurance, 363, 368, 371, 372–376, 536–
Health, Public, 82–104, 119.
Health Stamps, 91.
Heavy-traffic Fees, 179, 181, 183.
Herd Testing, 212, 214.
Hervey Islands, 1, 648.
Hides and Skins exported, 662, 691–705.
Hides, Levy on Exports, 728.
High Commissioners, 681, 682.
High Schools, 109, 110, 114–117, 118, 122, 659.
Higher Education, 123–125, 659.
Highway Districts, 177, 389.
Highways, 177–181.
Taxation, 178, 181, 183, 332, 336.
History, 738–744.
Hoarding prohibited, 505.
Hoes, Rotary, 227.
Holdings (see Land Holdings).
Holidays, 539, 541, 543, 544, 545, 550, 554, 568, 643.
Home Guard, 146.
Home-nursing Services, 375.
Homes, Benevolent, 98–100.
Homes, Children's, 98–100, 120, 138.
Homicide, 63, 68, 71, 128, 133, 142.
Honey, 253, 602.
Exported, 254, 693, 694, 702, 703.
Levy on Exports, 728.
Marketing of, 254, 504.
Honours conferred, 155, 675.
Hops, 199, 229, 238, 504.
Export of, 693, 694, 702, 703.
Horse-racing Taxation, 342.
Horses, 240, 252, 660.
Horticultural Station, 214.
Horticulture, 214, 237.
Hosiery-factories, 283–293, 299, 307.
Hospital Benefits, 93, 373–377.
Hospital Boards, 93–96, 373, 375, 389, 393, 645.
Employees of, 579, 645.
Employees' Retiring-allowances, 388.
Finances of, 93–95.
Levies on Local Authorities, 93–95, 399, 400.
Hospital Dietitians, 86.
Hospital Districts, 93, 389.
Hospitals, 75–81, 93–104, 373–377.
Maternity, 75, 96, 97, 374, 377.
Mental, 101–104, 374.
Military, 75.
Private, 96, 373, 374.
Private Mental, 101, 104, 374.
Public, 75–81, 96, 97, 373, 374.
St. Helens, 97, 374.
Hot Springs, 3, 642.
Hotels, Fire Losses on, 450.
Hotels, Licensed, 638.
Hourly Wage-rates, 527.
Hours of Labour, 297, 532–534, 541, 544–547, 551, 567.
House of Representatives, 11.
Members of, 673.
Household Budgets, 511.
House-rents, 505, 509–512, 556.
Houses (see Dwellings).
Housing, 308–322, 328, 348, 357–363, 396, 535, 537, 539, 555–557.
Of Ex-servicemen, 634, 635.
Of Maoris, 211, 316, 537, 556.
Of Miners, 547.
State, 211, 311, 315, 328, 348, 363, 556.
Survey, 309, 396, 556.
Humphrey (Manihiki) Island, 1, 648.
Husbands' Petitions in Divorce, 50.
Hydatids, 73, 80, 83, 84.
Hydro-electric Power, 4, 5, 608–618.
Used for Industrial Purposes, 281, 287, 617.
Hydrogenation of Coal, 275.
Hygiene, 82.
Dental, 91.
School, 90.
Social, 83.

I

Illegitimate Infants—
Births of, 38, 39, 42.
In Benevolent Institutions, 100.
Legitimation of, 40.
Protection of, 120, 644, 645.
Immigration, 15, 18–20, 658.
Assisted, 20.
Restriction on, 20, 567.
Imperial Airways, 188, 191.
Imperial Government Purchases, 222–226, 245, 246, 505.
Implements, Farm, 227, 252, 720.
Manufacture of, 283–293, 299, 305.
Import Licenses, 650, 655, 689, 706–708, 727.
Import Price Indexes, 516, 521.
Imported Commodities, Prices Indexes, 515, 517, 521, 522.
Importers, Bank Advances to, 415.
Imports, 661, 684–690, 706–723, 731–736.
Currency, Restrictions on, 426.
Excess of Exports over, 685–687.
Free and Dutiable, 723–737.
Of Ports, 688.
Payments on Account of, 419.
Purpose or Use of, 711.
Restrictions on, 649, 650, 655, 689, 706–708, 727.
Specie, 426, 661, 690.
Value in Sterling, 684, 688.
Value of, Index Numbers, 597, 688.
Value on Gold Basis, 688.
Volume of, Index Numbers, 599, 688.
Improved-farm Settlements, 204.
Improvements (Land), Value of, 406–410.
Incapacity from Industrial Accidents, 586–595.
Income, Aggregate Private, 502, 597.
Income, Gross Farming, 216–221.
Incomes, 491–503.
Income-tax, 334, 337, 338, 491–502, 645.
Increase in Population, 14–18, 33.
Indebtedness, Mortgage, 469.
Indebtedness of Local Authorities, 95, 356, 401, 402–406, 664, 665.
Indebtedness, Public, 346–357, 663.
Index Numbers—
Deaths, Sex-ratio, 53.
Export Prices, 219, 515–517, 518, 521, 522.
Farm Expenditure, 219, 518.
Farm Production Volume, 218, 628.
Gross Farming Income, 218, 219.
Hours of Labour, 532–534.
House-rent, 509, 510, 512.
Import Prices, 517, 521.
Marriage-rates, 44.
Prices of Consumers' Goods, 515.
Prices of Imported Commodities, 515, 517, 521, 522.
Prices of Locally-produced Commodities, 515, 517, 521, 522.
Production, 627–629.
Factory, Volume of, 296, 628.
Farm, Volume of, 218, 628.
Ratio of Customs Revenue to Imports, 731.
Retail Prices, 219, 507–512, 517, 518, 521, 522, 530.
Index Numbers—continued.
Share Prices, 518–522.
Value of Exports, 597, 688.
Value of Goods available for Use, 598, OCX).
Value of Imports, 597, 688.
Value of Production, 218, 627–629.
Volume of Exports, 688, 704.
Volume of Goods available for Use, 599, 600.
Volume of Imports, 688.
Volume of Production, 218, 296, 628, 629.
Volume of Trade, 688.
Wage-rates, 524–531, 534.
Wartime Price, 513.
Wholesale Prices, 514, 515, 517, 518, 521, 522.
Indigenous Forest, 200, 255–262.
Individuals, Incomes of, 492–499, 503.
Industrial Accidents, 535, 563–566, 586–595, 625.
Industrial Associations, 571.
Industrial Conciliation and Arbitration, 523–533, 536–561, 568–572, 581, 584, 645.
Industrial Disputes, 543, 557–561, 580–586.
Industrial Efficiency, 89, 265, 629–631.
Industrial Life Assurance, 431, 432–436, 645.
Industrial Mobilization, 541, 575–577.
Industrial Planning, 543, 629–631.
Industrial Share Prices, 518–522.
Industrial Unions, 535, 557–561, 568–572.
Industries—
Bank Advances to, 415.
Essential, 541, 575.
Licensing of, 629–631.
Manufacturing, 281–307, 415, 577, 626–631, 663.
Industry, Bureau of, 359, 629–631.
Industry, Organization of, 294, 629–631.
Industry, State Aid to, 358, 359, 360.
Inebriates, 131, 136, 139, 140, 141.
Infancy, Diseases of, 61, 63, 72.
Infant Mortality, 54, 58–62, 71, 658.
Maori, 71.
Infantile Paralysis, 73, 80, 83.
Infant-life Protection, 58, 98,119.
Infectious Diseases—
Control of, in Schools, 91.
Deaths from. 61, 62, 63, 71, 73–75, 79–81.
Hospital Cases, 79–82.
Notification of, 73, 82.
Injuries (see Accidents).
Inland Air Mails, 188–190.
Inland Fisheries, 267.
Inmates—
Of Charitable Institutions, 98–100.
Of Gaols, 134–137, 659.
Of Hospitals, 75–81, 96.
Of Mental Hospitals, 101–104.
Inquests, 128, 448.
Insanity, 101–104.
Insolvency, 474–478, 554, 667.
Inspection, Dairy, 214, 245.
Inspection, Medical, of Schools, 90.
Inspection of Machinery, 535, 540, 624.
Inspection of Meat, 213.
Instruments, Duty on, 342.
Instruments, Registration of, 201.
Insurance. 430–453.
Earthquake, 333, 451, 644.
State, 436, 440, 451.
War Damage, 322, 333, 451, 644.
Intercensal Population, 13, 17, 24–29, 658.
Interest—
Credited by Sayings-hanks, 420–421, 666.
On Local Authorities' Debt, 399, 400, 405, 406.
On Mortgages, 462, 467.
On Post and Telegraph Capital Liability, 324, 326.
On Public Debt, 327, 353.
On Railway Capital Liability, 163, 324, 326.
Payments Overseas, 354, 405, 688.
Rates (see Rates of Interest).
Recouped to Consolidated Fund, 324, 326.
Reduction of, 349, 406, 424, 425, 462, 467, 510.
Tax on (Debenture, &c., Interest), 349.
Inter-Island Passengers, 22.
Intermediate Credit, 362.
Intermediate Schools, 109, 113.
Internal Marketing, 504.
Internal Migration, 22.
International Comparisons (see Comparisons).
International Payments, 354, 405, 419, 688.
Intestate Estates, 618–620, 645.
Intoxicating Liquor—
Brewing of, 283–293, 299, 302.
Duty on, 302, 334, 335, 726–730.
Sale of, 638, 639.
Invalids' Benefits, 368, 376.
Invercargill Licensing Trust, 639, 643.
Investment Certificates, 346.
Investment Societies, 456–459.
Deposits, 423, 425, 459.
Investments, State, 348.
Investments, Totalizator, 343.
Invisible Imports and Exports, 419, 688.
Iron-foundries, 283–293, 299, 305.
Iron-ores, 269, 271.
Ironsands, 271.
Irrigation and Water-supply, 329.
Island Territories, 1, 13, 647–657.
Islands—
Administered on Mandate, 2, 13, 647, 652–657.
Annexed, 1, 2, 13, 647–652.
Outlying, 1, 647.
Issue of Bank-notes (see Bank-notes).
Issue of Deceased Parents, 57–58.
Issue, Previous, of Parents, 37.

J

Jam-factories, 283–293, 299, 302.
Joint-stock Companies, 620–622.
In Manufacturing Industries, 294.
Journal of Agriculture, 214.
Journal, School, 123.
Judicial Separation, 50.
Judiciary, Members of, 674.
June Year Exports, 684, 701–703, 705.
June Year Imports, 684.
Justice, 127–142, 659.
Juvenile Offenders, 119, 138.
Juvenile Wage-rates, 530, 534.

K

Kale, 229, 231, 235.
Kauri-gum, 276.
Exported, 270, 277, 692–694, 702, 703.
Kermadec Islands, 1, 2, 13, 195, 647.
Kindergarten Schools, 90, 107, 111.
King George V Memorial Fund, 91.
Knitted Goods Factories, 283–293, 299, 307.

L

Labour Department, 536, 550, 580.
Employment Bureaux, 566, 574.
Labour Disputes, 543, 557–561, 580–586.
Labour, Hours of, 297, 532–534, 541, 544–547, 551, 567.
Labour Laws and Allied Legislation, 534–568.
Labour Ministry, 669, 670.
Labour on Farms, State Assistance, 225, 245.
Labour Shares, 537.
Labour Unions, 535, 557–561, 568–572.
Lake Wakatipu Steamer Service, 162, 164.
Lakes, 4.
Lamb, Consumption of, 601.
Lamb exported, 249, 601, 702, 703, 705.
Lambs, 240, 243.
Slaughtered, 249, 300.
Land and Income Tax, 334, 337–339, 469, 482–490, 491–502, 645.
Land Boards, 204.
Maori, 209.
Land Development, 205, 210.
Land Districts, 204, 229, 241.
Land Drainage Districts, 389–406, 579.
Land for Ex-servicemen, 203, 205, 207, 361, 539, 633.
Land for Settlements, 204–207.
Land, Government Valuation of, 406–410.
Land Holdings, 198.
Mortgages on, 360, 462, 466, 469–474, 483–489.
Value of, 469–474, 482–490.
Land, Occupation of, 198–200.
Land Offices, 204.
Land, Purchase of, 204–207, 210, 632.
Land Sales, Control of, 203, 539, 632, 645.
Land Sales Court (see Courts).
Land Tenure and Settlement, 198–211.
Land Titles, Registration of, 200.
Land Transfer, 200, 201.
Land, Valuation of, 406–410.
Landing-grounds, 187, 648.
Lands open for Selection, 205.
Land-settlement Accounts, 330.
Land-tax, 334, 337–338, 469, 482–490, 645.
Lapsed Assurance Policies, 432, 434.
Late Night for Shops, 545.
Latest Statistical Information (see Forefront of Book).
Law and Crime, 127–142, 659.
Law, Mortgage, 460–463.
Laws affecting Labour, 534–568.
Laws enacted in 1944, 643–646.
League of Nations, 2, 89, 652, 656.
Lease, Renewable, 204–207.
Leasehold-landholdings, 199, 206.
Leather produced, 303.
Leather-goods Works, 283–293, 299.
Legacy Duty, 340, 341.
Legal Education, 123.
Legal Roads, Unformed, 176.
Legal Tender, 427–428.
Legislation—
Labour and Allied, 534–568.
Passed in 1944, 643–646.
Legislative Council, 10.
Members of, 616, 673.
Legitimation Act, 40.
Lend-lease, Reciprocal Aid, 332.
Lessees, Rehabilitation of, 461.
Letter-boxes, 191.
Letters Patent, 624.
Letters posted, 191, 666.
Letter-telegrams, 193.
Levies by Fire.
Hoards, 445, 446.
Levies by Hospital Boards, 93–95, 399, 400.
Levy—
Coal Production, 280, 547.
Dairy Research, 248.
Hide Export, 728.
Honey Export, 728.
Milk, 646.
Timber, 263.
Wool Research, 244, 645, 728.
Liabilities—
Mortgage, Adjustment of, 361, 461.
Of Afforestation Companies, 263.
Of Bankrupts, 476, 477, 478, 667.
Of Banks, 411, 413, 418, 665.
Of Building Societies, 459.
Of Electric-power Undertakings, 614.
Of Fire-insurance Companies, 443.
Of Friendly Societies, 454, 455.
Of Life-assurance Companies, 436.
Of Local Authorities, 95, 401.
Of Reserve Bank, 411.
Liberty Loans, 351.
Library Service, Country, 110, 126.
Licensed Houses, 638.
Licenses—
Aerodrome, 190.
Air Pilots', 190.
Aircraft Navigators', 190.
Anglers', 268.
By Local Authorities, 345, 397, 398, 638.
Companies', 342.
Export, 655, 655, 689.
Ground Engineers', 190.
Import, 650, 655, 689, 706–708, 727.
Motor-vehicle, 181–183.
Plumbers', 87.
Publicans', 638.
Radio, 196, 607.
Ross Sea Whaling, 657.
Sharebrokers', 342.
Transport, 181–183, 184, 185.
Licensing, 638.
Poll, 639.
Trust, 639, 643.
Licensing of—
Industries, 629–631.
Lotteries, 640.
Private Hospitals, 96.
Sale of Alcoholic Liquor, 638, 643.
Liens, Contractors', 553.
Life Assurance, 430–437.
Death-rates, 435.
State, 436.
Life, Expectation of, 55.
Life Table, 55.
Lifts, Inspection of, C24.
Light and Fuel, Retail Prices of, 510–512.
Light Dues, 160.
Lighthouses, 160, 195.
Lignite, 273, 274.
Lime and Cement Works, 283–293, 299, 305.
Lime for Top-dressing, 236.
Limestone, 277, 278.
Linen-flax, 213, 229, 230, 239, 329, 505.
Exports of, 692, 693, 694, 702, 703.
Linseed, 230, 231.
Liquidations of Companies, 620.
Literature, New Zealand, 744–745.
Live-stock, 240–254, 660.
Carried on Railways, 164, 166, 167, 667.
On Native Lands, 210.
Slaughterings of, 249–251.
Loans—
Allocation of, 348.
By Building Societies, 458.
Conversion of, 349, 406.
Dates of Maturity of, 349, 352, 406.
Domicile of, 346, 349, 351–354, 404–406, 663.
National Development, 322, 323, 347, 349.
Of Hospital Boards, 95.
Of Local Authorities, 95, 356, 358, 393, 401, 402–406, 664, 665.
On Assurance Policies, 436, 437.
Raised for War Purposes, 348, 350.
Redemption of, 323, 327, 329, 333, 347, 340, 354–356, 400, 405.
Rehabilitation, 543, 634.
Local Authorities, 93–95, 389–406, 664, 665.
Advances to, 180, 312, 358, 359, 396, 415.
Amalgamation of, 392.
Assets of, 401, 479.
Debt of, 95, 356, 401–406, 664, 665.
Deposits with, 425.
Employees of, 578.
Employment Subsidies, 573.
Expenditure of, 93–95, 179, 399, 615, 664.
History of, 390.
Levies on, by Hospital Boards, 93–95, 399, 400.
Liabilities of, 95, 401.
Receipts of, 94, 397–399, 664.
Subsidy from Main Highways Account, 180.
Superannuation, 387, 388.
Taxation by, 345, 393, 397–399.
Local Consumption of Produce, 220, 596–604.
Local Elections, 643.
Local Government (see Local Authorities).
Local Option, 639.
Local Railway District, 389–406, 579.
Local Taxation, 345, 393, 397–399.
Locally Produced Commodities, Price Indexes, 515, 517, 521, 522.
Location of Debt, 346, 351–354, 404–406, 663.
Location of New Zealand, 1.
Lockouts, 543, 557–561, 580–586.
Locomotives, 162, 163.
Lodges, Friendly Societies, 453–455.
London, Exchange on (see Exchange).
London Prices of New Zealand Stocks, 353.
Losses from Fires, 444–451.
In Forests, 258.
Lotteries, 640.
Duty on, 342, 640.
Lubricants and Fuels, Imports of, 711, 718.
Lucerne, 212, 229, 230, 235.
Lunacy, 101–104.
Lupins, 231.

M

Machinery—
Accidents, 589, 625.
Factory, 287, 292.
Farm, 227, 252, 283–293, 299, 305, 709, 720.
Imports of, 709, 720.
Inspection of, 535, 540, 624.
Magistrates' Courts (see Courts).
Magistrates, Superannuation of, 387.
Magnesite, 269, 278.
Mails, 191, 666.
Air, 188–191.
Road Services, 185.
Main Highways, 177–181.
Accounts, 178, 331.
Construction and Maintenance, 177, 179–181.
Districts, 177.
Expenditure on, 178–180, 332.
Finance, 178–180.
Standards, 180.
Taxation, 178, 181, 183, 332, 336.
Maize, 228–231, 235.
Malthouses, 283–293, 299, 302.
Malting Barley, 233.
Mandated Territories, 2, 13, 647, 652–657.
Mangaia Island, 1, 195, 648.
Manganese-ore, 269, 272, 279.
Mangolds, 212, 213, 230, 235.
Manihiki Island, 1, 195, 648.
Manono Island, 652.
Man-power Utilization, 541, 575–577.
Mantoux Tests, 75.
Manuac Island, 1, 648.
Manufacturing Production, 281–307, 626–631, 663.
Manure Works, 283–293, 299, 303.
Manures used for Top-dressing, 236.
Maori Electorates, 11, 637.
Maori Land Boards, 209.
Maori War Benefits, 370, 376.
Maoris—
Births of, 32, 42.
Children attending Schools, 90, 109, 112, 115, 116, 118.
Deaths of, 32, 70–72, 128.
Franchise, 12.
Half-castes, 15, 31.
In Mental Hospitals, 104.
In Prisons, 135, 140.
Infant Mortality of, 71.
Lands, 208–211.
Marriages of, 48.
Maoris—continued.
Members of Parliament, 11, 674.
Offences by, 133, 139.
Population, 13, 30.
Poultry kept by, 252.
Schools for, 108–116, 659.
Settlement of Land Claims, 646.
Map of New Zealand [End of Volume].
Marble, 277.
Marine Insurance, 451.
Marine Officers' Certificates, 159, 548.
Market Gardens, 199, 227, 237, 550, 551.
Registration of, 237.
Marketing of Primary Produce, 222–226, 248, 252, 254, 277, 504.
Marriages, 43–51, 658.
Masculinity Rate, 34, 53, 59.
Massage (Social Security) Benefits, 375, 377.
Masseurs, Registration of, 87.
Massey Agricultural College, 109, 123, 125, 213, 633.
Materials used in Factories, 282, 289, 294, 295, 299–307, 663.
Maternal Mortality, 63, 66–68, 79, 80, 97.
Maternity Allowances, 374, 388, 389.
Maternity Benefits, 97, 374, 376, 377.
Maternity Hospitals, 75, 96, 97, 374.
Maternity Nurses, 86, 97, 374.
District, 98.
Maternity Services, 97, 374, 376.
Matured Assurance Policies, 432, 434.
Maturity Dates of Loans, 349–351, 352, 406.
Mauke Island, 1, 195, 648.
Mean Population, 17, 18, 629, 658.
Mean Time, 641.
Measures and Weights, 88, 229.
Meat—
Consumption of, 601.
Export Control, 251.
Export of, 225, 245, 249–251, 601, 661, 691–705.
Export Price Index, 515, 516.
Freezing-works, 283–293, 299, 300, 415.
Inspection of, 213.
Production, 249–251.
Purchase for War Purposes, 225, 505.
Rationing of, 603.
Retail Prices of, 509, 510, 512.
Wholesale Prices of, 514.
Medical Advertisements, 88.
Medical Benefits, 372, 376, 377.
Medical Bursaries, 124.
Medical Inspection of Schools, 90.
Medical Practitioners, 84, 372, 579.
Medical Services, 82–98, 372–377.
In Cook Islands, 649.
In Niue, 651.
In Western Samoa, 653.
Members of Parliament, 10–12, 638, 646, 673.
Meningococcus Meningitis, 64, 73, 74, 80.
Mental Hospitals, 101–104, 374, 376.
Mercantile Marine, 156–160.
Pensions, 377, 382, 549.
Merchandise, Exports of, 661, 684–705.
Merchandise, Imports of, 661, 684–689, 706–723, 731–736.
Merchants, Bank Advances to, 415.
Mercury, 269, 270, 272, 279.
Metal Reserves of Banks, 412, 414, 428, 665.
Meteorology, 6–8, 190, 647.
Midwives, 86, 97, 374, 644.
Migration, External, 15, 18–20, 658.
Migration, Internal, 22.
Mileage of—
Commercial Air Services, 188, 189.
Main Highways, 177, 180.
Railways, 161, 166, 168, 667.
Roads, 176.
Tramway Routes, 169, 175.
Mileage-tax, 178, 179, 336.
Military Colleges, 145.
Military Defaulters, 12, 136, 541.
Military Districts, 144.
Military Establishments, 145.
Military Forces, 142–147.
Military Hospitals, 75.
Military Patients in Hospitals, 81.
Military Pensions, 370, 376, 377–382.
Milk—
Consumption of, 601.
Control of Prices of, 504.
Control of Sale of, 390, 504, 646.
Districts, 390, 646.
Examination and Testing of, 214, 245.
For School-children, 91, 119.
Used in Dairy Factories, 301.
Milking-machines, 227, 612.
Milk-products (see Dairy-produce).
Mills, 281–307.
Mineral Waters, 642.
Minerals, 269–280.
Miners' Benefits, 280, 369, 376.
Miner's Phthisis, 280, 369.
Minimum Wage-rates, 523–532, 534, 544–546. 551, 567.
Mining, 269–280.
Accidents, 68, 273, 278, 280, 547, 586–595.
Act, Examinations under, 280.
Acts, 269, 546.
Advances, 279.
Produce exported, 270, 600, 691–694, 702, 703.
Scholarships, 280.
Strikes, 582, 583.
Subsidies, 275, 279.
Subsidized Prospecting, 279.
Value of Production, 269, 627.
Ministers of each Denomination, 48.
Marriages by, 48.
Ministers Plenipotentiary, 681, 682.
Ministries, Successive, 668.
Ministry, Labour, 669, 670.
Minors, Marriages of, 43, 47.
Mission Schools, 108, 113, 649, 651, 654.
Mitiaro Island, 1, 648.
Mobilization of Industrial Man-power, 541, 575–577.
Modification of Labour Legislation, 540–543.
Monetary Benefits, Social Security, 365–372, 376.
Money-orders issued and paid, 192, 666.
Morbidity, 72–81, 454.
Mortality (see Deaths).
Of Insured Persons, 435.
Of Members of Friendly Societies, 454.
Mortgage Corporation, 357, 537.
Mortgage Exemption, 337, 469, 471, 477–489.
Mortgage Indebtedness, 469.
Mortgagee, Rights of, 461.
Mortgagees' Indemnity Insurance, 342, 439.
Mortgages, 460–474, 483–489.
Extension Emergency Regulations, 463.
State Advances, 357–363.
Mortgagors and Lessees Rehabilitation Act, 361, 461, 510, 538.
Mortgagors' Liabilities Adjustment Commissions, 462.
Mortgagors' Relief, 361, 461–463.
Mothers, Ages of, 36, 37, 38.
In Illegitimate Cases, 39.
Motion-picture Film-hire Tax, 344.
Motion-picture Theatres, 623.
Motive-power in Factories, 287.
Motor Traffic Offences, 131, 139, 140.
Motor Transport, 164, 174, 181–185.
Motor-engineering Works, 283–293, 299, 306.
Motor-omnibus Traffic, 164, 174, 181–185.
Motor-spirits—
Fixed Prices for, 504.
Resellers, Licensing of, 630.
Restrictions on Use of, 164, 178, 182, 183, 336, 437.
Taxation on, 178, 181, 183, 336, 727, 730.
Motor-vehicles—
Accidents, 63, 69, 128, 140, 185.
Dormant Registrations, 182, 183.
Drivers' Licenses, 181.
Duty on, 726, 737.
Examination of, 182.
Insurance, 437–439, 440, 442.
Licensing of, 181–183.
Operated by Tramway Authorities, 174.
Registration of, 181–183.
Speed Limit. 181.
Taxation, 178, 181, 183, 334, 336, 726, 737.
Traffic Offences, 131, 139, 140.
Motor-vessels registered, 156.
Motor-works, 283–293, 299, 306.
Mountains, 3.
Multiple Births, 35–36.
Municipal Tramways, 169–175.
Municipalities (see Boroughs).
Murder, 63, 69, 128, 133, 142.
Abolition of Death Penalty for, 133.
Museums, 125.
Mussels, 266.
Mutton, Consumption of, 601.
Mutton exported, 249, 601, 702, 703, 705.
Mutton produced, 249, 300.
Mutual Fire Insurance, 442, 445, 450.

N

Nassau Island, 1, 649.
National Broadcasting Services, 122, 604–608.
National Development Loans, 322, 323, 347, 349.
National Employment Service, 577.
National Endowments, 204, 255, 261.
National Expenditure Adjustment Act, 406, 425, 459, 461, 468, 510, 556.
National Licensing Polls, 639.
National Military Reserve, 146.
National Parks, 200, 204.
National Provident Fund, 387, 536.
National Savings, 346, 422.
National Security Taxation, 332, 334, 344.
National Service, 144, 541, 575–577.
National Wealth, 481.
Nationality, 20.
Of Naturalized Persons, 21.
Of Vessels, 157.
Native Affairs, Board of, 208.
Native Appellate Court, 209.
Native Bush, 200, 255.
Native Constables, 129.
Native Fresh-water Fishes, 267.
Native Grasses, 200, 230, 236.
Native Housing, 211, 312, 537, 556.
Native Land Court, 208, 644.
Native Lands, 198, 208–211, 483, 644.
Native Population, 13, 30.
Native Schools, 108–116, 659.
Native Succession Duty, 341.
Native Trust Office, 211.
Native-land Purchase, 210.
Natives (see Maoris).
Nativity, Order of, 35, 42.
Natural Increase of Population, 15, 33.
Naturalization, 20.
Nauru Island, 2, 237, 656.
Naval Cadetship Examinations, 110, 140.
Naval Defence, 147–150, 154, 155.
Naval Expenditure, 333.
Naval Reserve, 150.
Naval Station, 148.
Navigators Islands (see Western Samoa).
Neo-natal Deaths, 58–62, 71.
Nephrite, 277.
Net Indebtedness—
Local Authority, 401, 403.
State, 356.
New Zealand Mean Time, 641.
New Zealand Representatives Abroad, 681.
New Zealand University, 109, 110, 123–125.
New Zealand-Australian Agreement, 636.
Newspapers—
Posted, 191, 666.
Registered, 192.
Revenue from, 304.
Nisi Decrees in Divorce, 50.
Niue Island, 1, 13, 647, 651, 705, 723.
Radio Communication, 195.
No-license Issue, 639.
Non-resident Traders, Incomes of, 492, 501.
Note-issue, 411, 412, 413, 414, 416, 427.
Notes in Circulation, 411, 413, 416, 665.
Notification of Births, 32.
Notification of Diseases, 73, 82.
Noxious Weeds Eradication, 215.
Nukunono Island, 2, 655.
Radio Station, 195.
Nullity of Marriage, 50.
Nurseries and Plantations, 199, 237, 262–264.
State, 262.
Nurses—
Dental, 91.
District, 86, 90, 98.
In Public Hospitals, 579.
Maternity, 86, 97, 374.
Pensions for, 379, 388.
Plunket, 98.
Psychiatric, 86, 644.
Pupil, 645.
Registration of, 85, 644.
Retiring-allowances for, 388.
School, 90.

O

Oatmeal, Consumption of, 602.
Oatmeal, Production of, 301.
Oats, 212, 228–231, 232, 235, 660.
Varieties of, 232.
Observatory, Time Signals from, 606, 641.
Occupation of Land, 198–200.
Occupation with Right of Purchase, 204, 206.
Occupational Re-establishment, 543, 632, 636.
Occupational Training of Discharged Service men, 632–635, 636.
Occupations, Essential, 541, 575.
Occupations of Bankrupts, 477, 478.
Ocean Cables, 195.
Ocean Island, 237, 656.
Offences, 130–142.
By Children, 120, 138.
By Maoris, 133, 139.
By Women, 130, 132, 139, 140.
Reported to Police, 141.
Offenders Probation Act, 137.
Officers' Certificates (Marine), 159, 548.
Officers' Training Corps, 145.
Offices Act, Shops and, 544–546.
Official Assignees, 474–477, 667.
Official Representatives, 681–683.
Officiating Ministers, 48.
Oil, Production from Coal, 275.
Oil-wells, 276.
Old-age Pensions, 363, 536.
Old-peoples' Homes, 98–100.
Omnibus Traffic, 164, 174, 181–185.
Omnibuses licensed, 182.
Onekaka Iron-ore, 271.
Onions, 230, 234, 693, 694.
Opencast Mining, 274, 644.
Opium, Prohibition of, 89.
Opossum-skins exported, 693, 694, 700, 702, 703.
Opticians, Registration of, 87.
Orchards, 199, 212, 215, 228, 230, 238, 550.
Ordinary Life Assurance, 431–433, 435–437.
Organization of Industry, 294, 629–631.
Origin of Imports, 709, 713–723.
Ornamental Stones, 277.
Orphanages, 98–100.
Orphanhood, 57–58.
Orphans' Benefits, 368, 376.
Ottawa Agreement, 715, 723, 733.
Outlying Islands, 1, 647.
Out-patients, 94, 95, 96.
Maternity Hospitals, 98.
Output of Factories, 282–307, 663.
Overcrowding in Dwellings, 310, 311.
Overdraft Authorities, 416.
Overdraft Rates, 424.
Overseas Air Services, 188, 190.
Overseas Air-mails, 189, 190.
Overseas Companies, 621–622.
Overseas Funds of Banks, 412, 414, 418.
Overseas Parcel-post, 192.
Overseas Passenger Duty, 342.
Overseas Payments, 354, 405, 419, 688.
Overseas Receipts, 419.
Overseas Representatives, 681–683.
Overseas Shipping, 157–159, 548, 549.
Overseas Trade, 661, 662, 684–737.
Overtime in Factories, 286, 297, 544.
Overtime Legislation Modification, 541.
Oysters, 266, 693.

P

Pacific Cable, 195.
Pacific Island Garrisons, 147.
Pacific Islands, Annexed, 1, 13, 647–652.
Radio Communication, 195, 650.
Packet Licenses, 638.
Packing-case Factories, 283–293, 299, 304.
Paid Holidays, 539, 541, 543, 544, 545, 550, 554, 568, 643.
Paint Works, 283–293, 299.
Palmerston Island, 1, 195, 649.
Pan-American Airways, 189, 190.
Panel Scheme, Social Security, 372.
Paper Bag and Box Factories, 283–293, 299.
Paralysis, Infantile, 73, 80, 83.
Parcel-post, 191, 192.
Parents—
Ages of, 36–40, 57.
Duration of Marriage of, 39.
Issue left by, 57–58.
Previous Issue of, 37.
Parks, National, 200, 204.
Parliament, 10–12.
Members of, 638, 646, 673.
Parliamentary Elections, 11, 637.
Parliamentary Under-Secretaries, 10, 646, 671.
Parliaments, Successive, 672.
Parry (Mauke) Island, 1, 195, 648.
Party-line Telephones, 194.
Passenger-mileage—
Air Services, 188, 189.
Railways, 166.
Tramways, 169, 171, 175.
Passengers—
Commercial Aircraft, 188, 189.
Inter-Island, 22.
Motor-vehicle, 166, 175, 185.
Overseas, 18–20, 658.
Railway, 166, 667.
Tramway, 169, 171, 175.
Passenger-service Licenses, 185.
Passenger-tickets, Duty on, 342.
Passion-fruit, 229.
Passports, 20.
Pastoral and Agricultural Production, 212–254, 626–628, 660.
Value of, 216–221, 626–628.
Volume of, 218, 628.
Pastoral Produce—
Consumed locally, 220, 600–603.
Export of, 220, 222–226, 244, 245, 249–251, 600, 661, 662, 691–705.
Export Prices Indexes, 219, 515–518, 521, 522.
Gross Farming Income, 216–221.
Purchase for War Purposes, 222–226, 505.
Wholesale Prices Indexes, 514.
Pasture Grasses, 199, 212, 227, 230, 236.
Patents, Designs, and Trade-marks, 624.
Patients in Mental Hospitals, 101–104.
Patients in Public Hospitals, 75–81, 96, 645.
Payments Overseas, 354, 405, 419, 688.
Peaks, Altitude of, 3.
Pears, 212, 215, 238, 692–694, 702, 703.
Peas, 228–231, 237.
Export of, 692–694, 701–703, 705.
Pelts, Export of, 662, 691–705.
Penal Institutions, 134–137, 659.
Penalty on Unpaid Rates, 398.
Penrhyn (Tongareva) Island, 1, 195, 648.
Pensions, 363–389, 503, 536.
Permanent Building Societies, 456–459.
Permanent Heads of Departments, 675.
Permanent Military Forces, 142, 144.
Permits and Passports, 20.
Permits, Building, 309, 312–317.
Personal Accident Insurance, 437, 439.
Petitions—
Bankruptcy, 474, 475.
Divorce, 49–51.
Petrol (see Motor-spirits).
Petroleum, 276.
Pharmaceutical Benefits, 373, 376.
Pharmacy, 89.
College of, 89.
Plan, 89, 630.
Phormium, 200, 229, 239, 630, 644.
Fibre exported, 693, 694, 702, 703.
Grading of Fibre, 214.
Mills, 239.
Phosphate Rock, 269, 277, 278, 306.
From Nauru Island, 2, 237, 656.
Phthisis (see Tuberculosis).
Miner's, 280, 369.
Physical Education, 92, 110, 119.
Physical Welfare, 92.
Physiography, 1–5.
Pickle-factories, 302.
Picture-theatres, 623.
Pig-meats, 250, 601.
Pigs, 240, 248, 660.
Slaughtered, 250, 300.
Pilots, Air, 190.
Pisciculture, 268.
Placement Service, 542, 567, 574.
Plaints, 127.
Planning, Industrial, 543, 629–631.
Plantations, 199, 230, 237, 262, 263.
State, 262.
Plants, New Zealand, 9.
Platinum, 269, 272.
Pleasant (Nauru) Island, 2, 237, 656.
Plumbers, Registration of, 87.
Plunket System, 58, 98.
Plural Births, 35.
Plural Voting Abolition, 12, 535.
Poisoning, 68.
Poisons, 89.
Police Force, 128.
Offences reported to, 141.
Superannuation, 383.
Policies, Insurance, 430–452.
Poliomyelitis, 73, 80, 83.
Political Disabilities Removal, 11.
Polling—
At General Elections, 637.
At Licensing Polls, 639.
Polls, Local, 643.
Population, 13–31, 629, 658.
Age Distribution, 29.
Of Cook Islands, 13, 649.
Of Kermadec Islands, 13, 647.
Of Nauru Island, 656.
Of Niue Island, 13, 651.
Of Tokelau Islands, 13, 655.
Of Western Samoa, 13, 653.
Pork consumed, 601.
Pork exported, 250, 601, 702, 703, 705.
Portfolios of Ministers, 669, 670.
Ports—
Fishing, 265.
Of Entry, 158.
Of Registry, 156.
Shipping of, 159.
Trade of, 688.
Post Office Employees, 197.
Accidents to, 586–595.
Superannuation of, 383–385.
Tribunal for, 644.
Post Office Investment Certificates, 346.
Post Office Savings-bank, 419, 422, 423, 424, 535, 666.
Postal and Telegraphic, 191–197, 326, 328, 666.
Postal Notes, 193, 666.
Postponement of Census, 13.
Post-primary Education, 109, 110, 114–117, 118, 659.
Potatoes, 227–230, 233, 504.
Consumption of, 602.
Export of, 233, 693, 694, 702, 703.
Varieties of, 234.
Pottery-works, 283–293, 299, 305.
Poultry, 252.
Poultry-runs Registration, 253.
Pounamu, 277.
Power Boards, 389–406, 611, 665.
Power, Electric (see Electric).
Power used in Factories, 287.
Preferential Tariff, 715, 723–727, 733–737.
Pregnancy, Diseases, &c., of, 63, 66–68, 73, 74, 79, 80, 82, 101.
Premiers, Successive, 668.
Premium Income, 430–452.
Prevention of Crime Act, 136.
Prevention of Forest-fires, 255, 258.
Prevention of Hydatids, 84.
Prevention of Profiteering, 504.
Prevention of Quackery, 88.
Previous Issue of Parents, 37.
Price Levels, Spread in, 219.
Price Tribunal, 275, 505, 674.
Prices, 504–522.
Effect on Exports, 688, 704.
Effect on Farm Expenditure, 219, 518.
Effect on Imports, 688.
Fixation of, 504.
Of New Zealand Stocks, 353.
Regulation of, 504.
Stabilization of, 215, 275, 505, 542.
Wartime Index, 506, 512, 542.
Primage Duty, 724, 730.
Primary Products—
Consumption of, 220, 600–604.
Export of, 220, 222–226, 244, 245, 249–251, 691–705.
Marketing of, 222–226, 248, 252, 254, 504.
Purchase for War Purposes, 222–226, 505.
Primary Schools, 109, 110, 111–114, 118, 659.
Prime Ministers, Successive, 668.
Principal Events, 738–744.
Printing Establishments, 283–293, 299, 304.
Prisoners of War, 154.
Prisons and Prisoners, 134–137, 659.
Prisons Board, 134, 137.
Private Assignments, 478.
Private Companies, 294, 621–622.
Private Gardens, 237.
Private Hospitals, 96, 373, 374.
Private Income, Aggregate, 502, 597.
Private Mental Hospital, 101, 104, 374.
Private Radio-stations, 196.
Private Railways, 168.
Private Savings-banks, 421–424, 430.
Private Schools, 108, 109, 114, 118, 659.
Private Wealth, 479–481.
Probation, 137.
Probationer Teachers, 121.
Producer-gas, 178, 336.
Producers' Equipment, Imports of, 711, 712.
Producers' Materials, Imports of, 711, 712.
Producers' Materials, Wholesale Prices of, 515.
Production—
Aeronautical, 187.
Agricultural and Pastoral, 212–254, 626–628, 660.
Dairy, 247, 283–293, 299, 301, 627.
Factory, 281–307, 626–628, 663.
Fisheries, 265–269, 627.
Local Consumption of, 220, 596–604.
Meat, 249–251.
Mineral, 269–280, 627.
Timber, 259, 627.
Value of, 216–220, 503, 626–629.
Volume of, 218, 296, 628.
Wool, 244.
Professors, University, 123, 125.
Profiteering, Prevention of, 504.
Profit-sharing, 537.
Programmes, Radio, 605.
Prohibited Immigrants, 20.
Prohibited Imports, 706–708, 727.
Prohibition Issue, 639.
Prohibition Orders, 140.
Prolongation of Parliament, 11.
Promotion of Employment, 344, 567, 573, 574.
Promotion of Industries, 543, 629–631.
Properties Transferred, 202.
Proprietary Income, Taxation of, 491, 494, 500.
Prorogation of Parliament, Dates of, 672.
Prospecting, State Aid to, 279.
Prospecting-drills, 279.
Protection of Wages, 539, 553.
Provident Fund, National, 387, 536.
Provincial Districts, 390.
Area and Population of, 22.
Factory Production in, 283.
Stone-quarries in, 278.
Provincial Education Boards, 105.
Provincial Governments, 105, 161, 390.
Provisional State Forests, 255.
Provisional War Deaths Register, 52.
Psychiatric Nurses, 86, 644.
Public Buildings, Expenditure on, 328, 348.
Public Clocks, 642.
Public Companies, 294, 620–622.
Public Debt, 346–357, 663.
Repayment of, 323, 327, 329, 333, 347, 349, 354–356.
Public Domains, 200, 204.
Public Finance, 322–363, 663, 664.
Public Health, 82–104, 119.
Diplomas, 84.
Public Hospitals (see Hospitals).
Public Reserves, 198, 200, 204.
Public Schools, 105–122, 659.
Public Service, 677–680.
Board of Appeal, 680.
Civil Service Act Pensions, 376, 383.
Commissioner, 676, 678.
Cost-of-living Bonuses, 552.
Employees, 680.
Entrance Examination, 110, 680.
Superannuation, 383–385.
Public Trust Office, 425, 430, 450, 618–620.
Public Wealth, 479.
Public Works—
Accidents, 586–595.
Account, 177, 322, 328, 664.
Co-operative System, 535, 537, 568.
Employees, 567, 578.
Five-day Week on, 567.
Housing Construction, 311, 315, 363, 555.
Programme, 567.
Railway Construction, 161, 328.
Road Construction, 176, 328.
Publicans' Licenses, 638.
Publications—
Agriculture Department, 214.
Census and Statistics Department [facing p. 1].
Education Department, 123.
General Bibliography, 744–745.
Mines Department, 280.
New Zealand Flora, 9.
Register of, 192.
Publishing Works, 283–293, 299, 304.
Puerperal Accidents, &c., 63, 66–68, 73, 74, 79, 80, 82, 101.
Puisne Judges, 674.
Pukapuka (Danger) Island, 1, 195, 649.
Pulmonary Tuberculosis (see Tuberculosis).
Pumice, 269, 283–293, 299.
Pumpkins, 235.
Punishments by Courts, 130–141.
Pupil Nurses, 645.
Pupils, School, 109–118, 659.
Purchase of Land for Settlement, 207.
Pure Food Laws, 87.
Purpose or Use of Imports, 711.

Q

Quackery-prevention, 88.
Quadruplets born, 36.
Quarries, 277, 548, 644.
Accidents at, 278, 586–595, 644.
Quartzite, 269.
Quartz-mining, 270.
Quicksilver, 269, 270, 272, 279.
Quinnat Salmon, 266, 268.
Quinquennial Census, 13–16, 21–24, 30, 572, 573, 639.
Quorum—
Executive Council, 9.
House of Representatives, 12.
Quota, Country, 11.
Quotations, New Zealand Stocks, 353.

R

Rabbit Districts, 215, 389–406, 579.
Rabbit-skins exported, 693, 694, 700, 702, 703, 705.
Racing, Tax on, 342.
Radio Advertising, 607.
Radio Beacons, 160, 195.
Radio Broadcasting, 122, 604–608, 641.
Radio Communication, 195, 196, 650.
Radio Engineering, 283–293, 299.
Radio Licenses, 607.
Radio Stations, 195, 604–608, 650, 656.
Radio Time-signals, 606, 641.
Radiologists, 375.
Raffle Tickets, Duty on, 342, 640.
Rail Cars, 162.
Rails, Weight of, 162.
Railway Accidents, 69, 128, 168, 186, 586–595.
Railway District, 389–406, 579.
Railway Equipment, Imports of, 711.
Railway Fares, School-children's, 117.
Railways, 161–168, 540, 667.
Private, 168.
Revenue and Expenditure, 163–167, 323, 326, 328, 330, 667.
Superannuation Fund, 168, 386.
Tribunal, 168, 540, 643.
Rain Forests, 258.
Rainfall, 7, 8.
Rakahanga (Reirson) Island, 1, 649.
Rape, 228–231, 235.
Rarotonga Island, 1, 195, 648.
Rateable Value of Land, 409.
Rates collected by Local Authorities, 345, 397–398, 615, 664.
Rates of Exchange, 428.
Rates of Interest—
On Building Societies' Deposits, 423, 425, 459.
On Company Deposits, 423, 425.
On Fixed Deposits, 423–425.
On Local Authorities' Debt, 405.
On Mortgages, 358, 360, 461, 467.
On Public Debt, 349–351, 353.
Paid by Savings-banks, 419, 424, 425.
Reduction of, 349, 406, 424, 425, 461, 467, 510.
Rates of Wages, 286, 319, 505, 523–532, 534, 542, 544, 545, 551, 567.
Emergency Regulations, 525, 542, 552.
Rating by Local Authorities, 93, 393–395.
On Unimproved Value, 394.
On Urban Farm Lands, 394, 407.
Rationing, 602–604.
“Real” or Effective Wage-rates, 530.
Receipts, Overseas, Balance of, 419.
Receiving-homes, 98–100, 120.
Receiving-stations, Radio, 196.
Reciprocal Aid, Lend-lease, 332.
Reciprocal Tariff and Trade, 733–737.
Recreation and Physical Welfare, 92, 119.
Recruiting—
Air Force, 152.
Army, 142–144.
Navy, 149–150.
Police, 129.
Redemption of Loans, 323, 327, 329, 333, 346, 347, 349, 350, 354–356, 400, 405.
Redemption of Mortgages, 460.
Reduction of Interest, 349, 406, 424, 425, 461, 467, 510.
Reduction of Mortgages, 361, 461.
Reduction of Rent, 462, 510, 556.
Reduction of Wages, 524, 537, 552.
Re-exports, 703.
Reformative Detention, 121, 135, 136, 137.
Refuge Homes, 98–100, 120.
Refunds to Racing Clubs, 342.
Regional Planning, 396.
Registered Articles posted, 191.
Registered Companies, 620–622.
Registered Factories, 282.
Registered Mortgages, 464–468.
Registered Vessels, 156.
Registrars, Marriages before, 43, 48.
Registration—
Of Adopted Children, 41.
Of Apiaries, 253.
Of Applicants for Employment, 574.
Of Apprenticeships, 562.
Of Births, 31.
Of Building Societies, 456.
Of Chemists, 89.
Of Clerks of Works, 540, 644.
Of Companies, 620.
Of Dairy Companies, 246.
Of Deaths, 51.
Of Soldiers, &c., 52.
Of Deeds, 201.
Of Dentists, 85.
Registration—continued.
Of Designs, 624.
Of Electors, 12, 391.
Of Friendly Societies, 453.
Of Industrial Unions, 568.
Of Land Titles, 201.
Of Maori Births, 32.
Of Market Gardens, 237.
Of Marriages, 43.
Of Masseurs, 87.
Of Maternity Nurses, 86.
Of Medical Practitioners, 84.
Of Midwives, 86, 644.
Of Mortgages, 464.
Of Motor-vehicles, 181–183.
Of Newspapers, 192.
Of Nurses, 86, 644.
Of Opticians, 87.
Of Orchards, 238.
Of Patents, 624.
Of Pharmaceutical Chemists, 89.
Of Plumbers, 87.
Of Poultry-runs, 253.
Of Private Schools, 114.
Of Psychiatric Nurses, 86, 644.
Of Soldiers killed or missing, 52.
Of Still-births, 31, 42.
Of Trade-marks, 624.
Of Trade-unions, 568.
Of Unemployed, 574.
Of Vessels, 156.
Registration Fee, Social Security, 331, 334, 344, 364.
Registration for National Service, 575.
Registry, Ports of, 156.
Regulation of Prices, 504.
Regulation of Wages, 523–526.
Rehabilitation, 333, 359, 361, 461, 539, 543, 563, 631–636, 645.
Reirson (Rakahanga) Island, 1, 649.
Relief, Charitable, 93–95, 98–100.
Relief Fund, Coal-miners', 280, 547.
Relief of Mortgagors, 361, 461–463.
Relief of Unemployment, 205, 370, 376, 536, 566, 572–574.
Religious Denominations, 639.
Marriages by Ministers of, 48.
Officiating Ministers, 48.
Religious Professions, 639.
Renewable Leases, 204–207.
Rent Reduction, 462, 510, 556.
Rent Restriction, 510, 538, 556.
Renters, Film, Taxation of, 344.
Rents, House, 509–512, 556.
Rents, Stabilization of, 505, 510, 542, 557.
Repatriation, 631–636.
Repayment of Public Debt, 323, 327, 329, 333, 346, 347, 349, 350, 354–356.
Representatives Abroad, 681.
Representatives, House of, 11.
Election of, 12, 637.
Members of, 673.
Reproduction Rate, 16.
Research, Agricultural, 213, 231, 239.
Research, Coal, 273.
Research, Educational, 125.
Research Institute, Wheat, 231.
Research, Mining, 279–280.
Research Scholarships, 124.
Research, Wood-utilization, 257.
Reserve Bank, 346, 410–412, 413, 416, 418, 419, 423, 424, 427–430, 644, 688, 690.
Reserves, Air Force, 151.
Reserves, Military, 142–146.
Reserves, Naval, 150.
Reserves, Public, 198, 200, 204.
Restitution of Conjugal Rights, 50.
Restoration, Salary and Wage cuts, 525, 552.
Restriction, Immigration, 20, 567.
Restrictions on Imports, 231, 426, 650, 655, 689, 706–708, 727.
Retail Prices, 219, 504–513, 517, 518, 521, 522, 530.
Retailers, Bank Advances to, 415.
Retardate Children, 108, 110, 120.
Returnable Income, 491–501.
Revaluations, Land, 407.
Revenue, 322–333, 664.
Cinematograph Theatres, 623.
Customs, 334, 335, 728–732.
Electric-power Boards, 400, 615.
Local Authority, 94, 397–399, 615, 664.
Postal, 196, 666.
Railway, 163–165, 330, 667.
Social Security Fund, 331, 334, 344, 364.
Tramway, 170–173, 175.
Reverse Lend-lease, 333.
Reverted Securities, 361.
Review, Court of, 462, 674.
Review of Legislation, 643–646.
Rhodes Scholarships, 124.
Rifle Clubs, 146.
River Districts, 389–406, 579.
Rivers, 4.
Control of, 256, 369.
Road Accidents, 69, 185.
Road Districts, 389–406, 579.
Bridges in, 176.
Debt of, 401, 404.
Mileage of Roads, 176.
Road Transport, 164, 174, 183–186.
Roading Costs, 179, 328, 332.
Roads, 176–186.
Expenditure on, 179, 280, 328.
On Goldfields, Subsidized, 280.
Taxation, 178, 181, 183, 334, 336, 727.
Rock Oysters, 266.
Rolling-stock—
Railway, 162.
Tramway, 169.
Roman Catholic Schools, 108, 114, 649.
Root Crops, 199, 212, 228–230, 235.
Rosa Dependency, 2, 657.
Whaling, 657.
Rotary Hoes, 227.
Rotorua Thermal Springs, 642.
Royal Naval Reserves, 150.
Royal New Zealand Air Force, 150–155.
Royal New Zealand Navy, 147–150, 154, 155.
Rural Advances, 205, 207, 357–363, 537.
Rural Education, 117.
Rural Housing, 312, 316, 317, 397, 539, 556.
Shares, Labour, 537.
Shearers' Wage-rates, 553.
Shearing-machines on Farms, 227.
Sheep, 240–244, 660, 693, 694.
Sheep and Lambs slaughtered, 249, 300.
Sheep-skins and Pelts exported, 662, 691–705.
Sheep-skins, Purchase for War Purposes, 222, 505.
Sheet-metal Works, 283–293, 299, 305.
Shipbuilding Works, 283–293, 299, 306.
Shipping, 156–160, 415.
Shipping and Seamen Act, 534, 548.
Ships (see Vessels).
Shoe-factories, 283–293, 299, 306.
Shops and Offices Act, 544–546.
Short-time in Factories, 286, 297.
Sick Funds, 168, 280, 330, 454, 547.
Sickness, 73–80, 371–376, 454.
Benefits, 371, 376.
Insurance, 437, 439, 454, 536.
Signalling, Railway, 161.
Signals, Time, 606, 642.
Silica Sand, 269.
Silver, 269, 271.
Coins, New Zealand, 426.
Exported, 270, 690–694, 702, 703.
Silviculture, 256.
Sinking Funds, 174, 329, 356, 401–403.
Skins and Hides, Export of, 662, 691–705.
Slaughter of Animals for Food, 249–251.
Slaughterhouses, 213, 249–251.
Sleepers, Railway, 162, 260.
Sleeping-cars, 162.
Slot Telephones, 194.
Small Farms Act, 205–207, 539, 550, 632, 645, 646.
Snares Islands, 1, 647.
Snow, 8.
Soap-factories, 283–293, 299, 303.
Social Hygiene, 83.
Social Security, 363–377, 502, 536.
Benefits, 93, 97, 98, 104, 331, 365–377, 503, 536, 567, 573.
Fund, 331, 344, 364.
Reciprocity with Australia, 372.
Registration Fee, 331, 334, 344, 364.
Taxation, 331, 334, 344, 364, 502.
Social Welfare, 93–96, 98–100.
Soil Erosion, 256, 389.
Solander Island, 1, 647.
Soldiers, 142–147, 154, 155.
Sources of Income, 496.
South Africa, Reciprocity with, 735.
South African War Pensions, 377, 382.
Southern Alps, 3.
Sown Grasses, 199, 212, 227, 230, 236.
Spas, 642.
Special Articles in Previous Issues, 746.
Special Rates, 393.
Special Schools, 120, 645.
Specialist Services, 375.
Specie, Movement of, 661, 690.
Specific Customs Duties, 725–728, 733.
Speed Limit, 181.
Spinsters marrying, 45, 47.
Spirits, Duty on, 726, 728, 730.
Sports Councils, 92.
Spread in Price Levels, 219.
Stabilization of—
Prices, 215, 275, 505, 542.
Rents, 505, 510, 542, 556.
Wages, 505, 522, 542, 643.
Staff College, 145.
Staff Corps, 144.
Stakes, Tax on, 343.
Stamp Duties, 334, 342.
Estates certified for, 479–481.
Standard Time, 641.
Standardized Death-rates, 56.
For Cancer, 65.
Standardized Marriage-rates, 44.
State Advances, 312, 357–363, 396, 535, 537, 555.
Corporation, 311, 348, 357, 537.
Reverted Securities, 361.
State Afforestation, 254–257, 262.
State Aid to—
Afforestation, 262.
Building, 205, 211, 311, 315, 357–363, 396, 555.
Cook Islands, 650.
Crown Tenants, 205.
Discharged Servicemen, 207, 361, 539, 543, 631–636.
Farming Industry, 204–207, 210, 213–216, 248, 537.
Hospital Boards, 93–95.
Housing, 205, 211, 311, 315, 357–363, 396, 399, 537, 555.
Immigrants, 20.
Kauri-gum Industry, 277.
Local Authorities, 93–95, 180, 396, 573.
Manufacturing, 358, 359, 360, 629–631.
Mining, 275, 279–280.
Niue, 652.
Prospecting, 279.
Purchases of Private Land, 207.
Reconstruction after War, 543.
Settlers, 204–207, 357–363, 555.
Superannuation Funds, 384, 386, 387.
Unemployed, 370, 376, 536, 572–574.
Water-power Development, 608–610.
Wheat-growing, 231.
Workers, 357–363.
State Assets and Liabilities, 479.
State Coal-mines, 275, 330.
State Departments, 675.
State Employment Bureaux, 566, 574.
State Finance, 322–363, 663, 664.
State Forests, 254–262, 330.
State Highways, 177.
State Housing, 211, 311, 315, 363, 537, 555, 635.
State Indebtedness, 346–357, 663.
State Insurance—
Accident, 440.
Fire, 451.
Life, 436.
War Damage, 322, 333, 451.
State Lands (see Crown Lands).
State Maternity Hospitals, 97, 374.
State Placement Service, 542, 567, 574.
State Railways, 161–168, 540, 643, 667.
State Schools, 105–122, 659.
State Water-power Supply, 608–610.
State-guaranteed Loans, 347, 403.
Stations—
Aeradio, 195, 647.
Air Force, 153.
Hydro-electric, 609–610.
Meteorological, 7, 8, 647.
Naval, 148.
Radio, 195, 604–608, 650, 656.
Statistical Information, Latest [see Forefront of Book].
Statistical Publications [facing p.1].
Statistical Summary, 658–667.
Status of Aliens, 20.
Statutes of 1944, 643–646.
Steam-vessels registered, 156.
Sterling Exchange—
Holdings of, 412, 414, 418.
Rates, 428.
Sterling Values of Currency, 428.
Sterling Values of Trade, 684, 688.
Stewart Island, 1, 2, 647.
Oysters, 266.
Population, 27.
Still-births, 42, 62, 97.
Registration of, 31, 42, 51.
Stipendiary Magistrates' Courts (see Courts).
Stock and Station Agents—
Advances to, 415.
Deposits with, 425.
Stock, Live (see Live-stock).
Stock, Quotations for, 353.
Stone-quarries, 277, 548, 644.
Stones, Building and Ornamental, 269, 277.
Stranding of Vessels, 160.
Street-cars, 169–175.
Streets and Roads, Length of, 176.
Strikes, 543, 557–561, 580–586.
Students, University, 109, 123–125, 659.
Submarine Cable, 195.
Subscribers, Telephone, 194.
Subsidies—
Main Highways, 180, 332, 399.
On Coal-production, 275, 279.
On Rates, 399.
To Farming Industry, 214.
To Hospital Boards, 93–95.
To Miners, 279–280.
To Superannuation Funds, 384, 386, 387.
Subsidized Employment, 573, 574.
Subsidized Prospecting, 279.
Subsidized Roads on Goldfields, 280.
Substitute Fuels, 178, 275, 336.
Succession Duty, 340, 341, 644.
Suffrage, 12, 391.
Sugar—
Consumption of, 602.
Duty on, 725, 728, 730.
Fixed Price for, 504, 505.
Imports of, 709, 716.
Rationing of, 603.
Retail Prices of, 508.
Suicide, 63, 69, 71, 128.
Sulphur, 272, 306.
Summary Convictions, 130, 139, 140, 141, 659.
Summer Time (Daylight Saving), 641.
Sunday Island, 647.
Sunday Work, 544, 547, 551.
Sunshine, 7, 8.
Superannuation, 383–387.
Benefits, Social Security, 365, 376.
Superphosphate and Fertilizer Factories, 283–293, 299, 306.
Superphosphate, Fixed Prices for, 215, 504.
Superphosphate, Subsidy on Manufacture, 215.
Supplementary Medical, &c., Benefits, 375, 376, 377.
Supreme Court (see Courts).
Surpluses, Consolidated Fund, 326.
Surrenders, Life Assurance, 432, 434.
Surtax, 724, 730.
Surveys, 203.
Of Coal Resources, 273, 279.
Of Housing, 309, 396, 537, 556.
Of Ships, 160.
Suspension of Legislation, 541, 543, 563, 568, 632.
Sustenance Allowances, 567, 573.
Suwarrow (Anchorage) Island, 1, 649.
Swedes, 229–231, 235.
Sweepstakes, 640.
Swordfish, 267.
Sympathetic Strikes, 580–586.
Syphilis, 63, 80, 83, 101.

T

Table Mortgages, 358, 464, 469.
Takutea Island, 1, 648.
Talc, 269, 278.
Tallow exported, 661, 691–694, 699, 702, 703, 705.
Tallow, Purchase for War Purposes, 222, 505.
Tanneries, 283–293, 299, 303.
Taranaki Ironsands, 271.
Tariff, Customs, 723–737.
Tasman Empire Airways, 188.
Tax, Land and Income, 334, 337–339, 469, 482–490, 491–502.
Taxation, 333–345, 664.
Customs, 334, 335, 723–737.
Employment Promotion, 344, 530.
Film-hire, 344, 623.
Local, 345, 393–395, 397–398.
Main Highways, 178, 181, 183, 332, 336.
Motor-spirits, 178, 181, 183, 336, 727, 730
National Security, 332, 334, 344, 530.
Orchard, 238.
Racing, 342.
Sales, 334, 344.
Social Security, 331, 334, 344, 364, 502.
War, 332, 333–345, 530, 726–728.
Taxis, 182.
Taxpayers, Income, 491–502.
Taxpayers, Land, 483–490.
Tea—
Consumption of, 602.
Duty on, 725, 730.
Imports of, 709, 716.
Rationing of, 602.
Teachers' Examinations, 110.
Teachers' Superannuation Fund, 385.
Teachers' Training Colleges, 121.
Teaching Aids, 122.
Teaching Profession, 121.
Technical Education, 109, 110, 114–116, 118, 122, 659.
Telegraph Services, 193, 195.
Telegraph, Time Signals by, 642.
Telephones, 193.
Temperature Records, 7, 8.
Tenants, Relief of, 207, 461.
Tenure of Occupied Land, 199.
Tenures, Selection Lands, 204–207.
Terminating Building Societies, 456–459.
Territorial Air Force, 151.
Territorial Forces, 142–145.
Pensions for, 376, 377–382.
Theatres, Cinematograph, 623.
Theatres, Fire Losses on, 450.
Third-party Risks Insurance, 437, 439, 440, 442.
Three Kings Islands, 1, 647.
Tile-making, 283–293, 299, 305.
Timber—
Carried on Railways, 167.
Consumption of, 259.
Export Duty on, 728.
Exports of, 260, 692–694, 701–703.
Import Duty on, 726, 737.
Imports of, 260, 709, 710, 721.
Output, 259, 304.
Plantations, 199, 230, 237, 262–264.
Resources, 255.
Royalties, 261, 399.
Sales, 261.
Trees, 258, 259, 262, 264.
Time lost—
In Factories, 297.
Through Industrial Accidents, 592–594.
Through Industrial Disputes, 580–586.
Time Service, 606, 641.
Tin, 272.
Tinware-works, 283–293, 299, 305.
Tire-tax, 178, 183, 336, 727.
Title, Certificates of, issued, 202.
Titles, Compulsory Registration of, 201.
Tobacco, 213, 228–230, 239.
Duty on, 726, 727, 730.
Excise Duty on, 727, 730.
Exports of, 692.
Factories, 283–293, 299.
Imports of, 709–711, 716.
Toheroa, 266.
Tokelau (Union) Islands, 2, 13, 655.
Radio Stations, 195, 656.
Toll Communications, 193.
Tongareva (Penrhyn) Island, 1, 648.
Ton-miles, Railway, 167.
Tonnage of Cargo, 688.
Tonnage of Registered Vessels, 156.
Tonnage of Shipping, 156–160.
Top-dressing, 236.
Total Returnable Income, 491, 494–497 501.
Totalizator Investments, 343.
Totalizator Taxation, 342.
Tourist Agents Abroad, 681.
Tourist Attractions, 642.
Tourists, 19.
Tourists' Rail Tickets issued, 166.
Town Districts, 389–406.
Bridges in, 176.
Capital and Unimproved Values, 409.
Debt, 401, 404.
Employees of, 579.
Mileage of Streets, 176.
Population, 28, 29.
Town Land, Mortgages on, 360, 462, 466, 469–474, 483–489.
Town-planning, 396, 556.
Trackless Trams, 169.
Tractors on Farms, 227, 252.
Trade, 661, 662, 684–737.
Agreements, 733–737.
Balance of, 685–688.
Cook Islands, 650, 705, 723.
Nauru, 657.
Niue Island, 652, 705, 723.
Of Ports, 688.
Representatives, 681.
Volume of, 688.
Western Samoa, 655.
Trade Training of Discharged Servicemen, 632.
Trade-marks, 624.
Trade-unions, 535, 557–561, 568–572.
Trading Accounts, State, 330.
Trading Banks, 412–118, 423, 424, 665.
Trading Companies' Deposits, 423, 425.
Traffic—
Accidents, 69, 128, 168, 185.
Air, 187–191.
Motor, 164, 174, 183–185.
Offences, 131, 133, 139, 140, 142.
Railway, 164–167, 667.
Tramway, 169–175.
Training Farms, 121, 633.
Training of—
Auxiliary Workers, 543.
Defence Forces, 142–154.
Discharged Servicemen, 543, 632.
Nurses, 86.
Police Recruits, 129.
Teachers, 121.
Train-miles run, 166, 167, 667.
Tramway District, 389–406.
Tramways, 169–175, 398.
Accidents, 69.
Cable, 175.
Transfer, Land, 200, 201.
Transhipments of Cargo, 689.
Transit Trade, 703.
Trans-Pacific Air Service, 189, 190.
Transport, 161–191, 415.
Co-ordination Board, 184.
Districts, Urban, 389–406, 579.
Equipment, Imports, 711.
Licensing Act, 184.
Trans-Tasman Air Service, 188, 190.
Trawling, 265.
Treasury Bills, 347, 352.
Treaty of Waitangi, 208.
Tree-planting, 262–264.
Trees, Indigenous, 258.
Trend of Population, 15.
Triennial Parliaments, 11.
Triplets born, 35.
Tropical Diseases in Samoa, 654.
Trout, Acclimatization of, 268.
Trust, Invercargill Licensing, 639, 643.
Trustee, Native, 211.
Trustee, Public, 618–620.
Trustee Savings-banks, 421, 422, 423, 424, 430.
Tuberculosis, 60, 63, 64, 65, 70–72, 73, 74, 75, 80, 81, 83, 96, 103, 369.
Maori Deaths from, 70–72.
Tungsten-ore, 269, 270, 271.
Turkeys, 252.
Turnery Factories, 283–293, 299.
Turnips, 212, 213, 228–231, 235.
Tussock Land, 200, 230, 236.
Twins and Triplets born, 35.

U

Unclaimed Moneys, 427.
Undergraduates, 123.
Under-Secretaries, Parliamentary, 10, 646, 671.
Undesirable Immigrants, Exclusion of, 20.
Undeveloped Land, Settlement of, 205.
Undischarged Bankrupts, 475.
Unemployment, 536, 566, 572–574.
Benefits, 370, 376, 567, 573.
Small Farms Scheme, 205.
Taxation, 344, 530.
Unexercised Overdraft, Authorities, 416.
Unformed Roads, 176.
Unimproved Occupied Land, 199.
Unimproved Value of Land, 406–410.
Holdings, 469–474, 483–490.
Land-tax assessed on, 337, 483, 485, 489, 490.
Rating on, 393, 394.
Union (Tokelau) Islands, 2, 13, 655.
Radio Stations, 195, 656.
Unions, Trade, 535, 557–561, 568–572.
United Kingdom—
Debt domiciled in, 346, 351, 353, 404–406.
New Zealand Representatives in, 681.
Purchase of Primary Produce, 222–226, 245, 246, 505.
Representatives in New Zealand, 682.
United Nations Relief and Rehabilitation Administration, 645.
United States of America—
New Zealand Representatives in, 681.
Representatives in New Zealand, 682.
Universal Superannuation, 365, 376.
University Education, 109, 123–125, 659.
University Examinations, 84, 110, 149.
University Professors, 123, 125.
University Scholarships, 124.
Unpaid Bates, Penalty on, 398.
Unproductive Land, 198, 200.
Untenanted Houses, 311.
Upolu Island, 652.
Urban Areas—
Dwellings, 311.
Fire Losses, 447.
Population, 24, 25.
Urban; Drainage Districts, 389–406, 579.
Urban Drift, 23.
Urban Farm Lands, Rating on, 394, 407.
Urban Population, 22–24.
Urban Security, Mortgages on, 360, 462, 466, 469–474, 483–489.
Urban Transport Districts, 389–406, 579.
Use or Purpose of Imports, 711.

V

Valuation—
Of Exports, 686, 690.
Of Imports, 686, 706.
Of Land, 406–410.
Of Superannuation Funds, 384, 386, 387.
Value added in Manufacturing, 282, 290, 294, 295, 663.
Value of—
Currency, 428.
Exports, Effects of Prices on, 704.
Factory Production, 282, 290, 294–296, 299–307, 626–628, 663.
Farm Production, 216–221, 626–628.
Goods available for Use, 596.
Land Holdings, 469–474, 482–490.
Materials used in Factories, 282, 289, 294, 295, 299–307, 663.
Production, 626–629.
State Property, 479.
Veal, 251.
Consumption of, 601.
Export of, 702, 703, 705.
Vegetable Gardens, 227, 237.
Vegetable-preserving Factories, 283–293, 299, 302.
Vegetables, Consumption of, 602.
Vegetables for the Armed Forces, 237.
Vegetables, Price Fixation, 505.
Vegetation, 9.
Vehicles—
Motor (see Motor-vehicles).
Railway, 162.
Tramway, 169.
Venereal Diseases, 63, 80, 83, 101, 372.
Vessels—
Entered and cleared, 157–159.
Insurance of, 451.
Nationality of, 157.
Radio Communication with, 195.
Registered, 156.
Survey of, 160.
War, 147–150.
Wrecked, 160.
Veterans' Allowances, 377, 381.
Victory Loans, 351.
Village-settlements, Tenures, 204.
Vinegar-factories, 302.
Vineyards, 199, 227–229, 238.
Violent Deaths, 63, 68–70, 71, 72, 79–81, 128, 186, 273, 278.
Virgin Bush, Area of, 200, 255.
Visible Trade-balance, 685–687.
Visitors to New Zealand, 18–20.
Visual Aids in Teaching, 122.
Vital Statistics, 31–81, 658.
Cook Islands, 649.
Niue Island, 651.
Viticulture, 199, 227–229, 238.
Vocational Guidance, 117, 574, 634.
Volcanoes, 3.
Volume of—
Exports, 688, 704.
Factory Production, 296, 628.
Farm Production, 218, 219, 628.
Goods available for Use, 598–600.
Imports, 598, 599, 688,
Production, 218, 219, 296, 628.
Trade, 598, 688.
Voluntary Contributions to Hospitals, 94.
Voluntary Discharge of Debt, 644.
Voluntary Enlistment, 144.
Voluntary Mental Patients, 102.
Voting—
At General Elections, 637.
At Licensing Polls, 639.
Qualifications, 12, 391, 643.
Vouchers, Audit of, 323.

W

Wage, Basic, 531, 551, 567.
Wage-earners, 284, 572.
Wage-rates, 286, 319, 523–532, 534, 542, 544, 545, 551, 567.
Wages—
And Working Conditions, 540–555, 557–561, 567.
Estimate of, 503.
Increases in, 524–526, 542, 544, 545, 568.
Legislative Changes in, 551.
Lost through Industrial Accidents, 594.
Lost through Industrial Disputes, 580–585.
Of Afforestation Employees, 264.
Of Building Employees, 318–320.
Of Cinematograph Theatre Employees, 623.
Of Electric-supply Employees, 613.
Of Factory Employees, 282, 283, 284–287, 295, 299–307, 663.
Protection of, 539, 553.
Reduction of, 524, 537, 552.
Restoration of Cuts in, 525, 552.
Shearers', 553.
Stabilization of, 505, 525, 542, 643.
Tax on, 331, 344, 364, 503, 530.
Waitangi, Treaty of, 208.
Waitangi Treaty Site, Gift of, 262.
Wakari Private Mental Hospital, 101, 104.
War, 142–155.
Administration, 9, 144, 672.
Bursaries for Soldiers' Dependants, 116.
Cabinet, 9, 144, 672.
Damage Insurance, 322, 333, 451, 644.
Deaths Register, 52.
Debt, 348, 349, 350.
Expenditure, 322, 323, 332.
Measures affecting—
Consumption of Commodities, 602.
Farm Produce, 222–226, 246.
Financial Transactions, 429.
Labour Legislation, 540–543, 560, 563.
Mortgages, 462.
Prices, 215, 275, 504, 505.
Service in the Armed Forces, 143, 144.
War—continued.
Pensions, 377–383, 539, 549.
Purchases of Produce, 222–226, 246, 271, 505.
Risks, Mamie Insurance, 451.
Taxation, 323–345, 530, 726–728.
Veterans' Allowances, 377, 381.
Warships, 147–150.
Wartime Price Index, 500, 512, 542.
Waterfront Control, 542.
Water-power, 287, 608–618.
Water-supply Districts, 389–406, 579.
Wealth, 479–190.
Weather, 6–8.
Weights and Measures, 88, 229.
Wellington—
Broadcasting Stations, 605–608.
Building Values, 315.
Dwellings, 311, 316.
Fires, 447.
Population, 24, 25, 27.
Rainfall, 7, 8.
Retail Prices, 507–510.
Sales-tax Receipts, 345.
Shipping, 159.
Sunshine, 7, 8.
Temperature, 7, 8.
Tramways, 169–175.
Western Samoa, 2, 645, 652–655.
Population of, 13, 653.
Radio Communication, 195.
Trade, 655.
Whale-oil, 266, 267, 657, 693.
Whales and Whaling, 267, 657.
Wheat, 213, 227, 228, 229, 231, 660.
Fixed Prices for, 231, 504.
Milled, 301.
Research Institute, 231.
Restriction on Imports, 231.
Varieties of, 232.
Whey Butter, 247.
Whipping abolished, 133.
White Island Sulphur, 272.
Whitebait, 266, 267.
Wholesale Licenses, 638.
Wholesale Prices, 513–515, 517, 518, 521, 522.
Whooping-cough, 63, 71, 80, 91.
Widowers, Remarriages of, 45.
Widows—
And Orphans, 58.
Benefits, 367, 372, 376.
Remarriages of, 45.
War Pensions, 378–383.
Wills administered by Public Trust Office, 618–620.
Wills, New Provisions re, 645.
Wine, Duty on, 726, 730.
Wine Licenses, 638.
Wireless (see Radio).
Withdrawals from Savings-banks, 420, 421, 666.
Wives, Aggregation of Income, 495.
Wives, Allowances in respect of, 365–387.
Wives' Petitions in Divorce, 50.
Women—
Army Auxiliary Corps, 146.
Auxiliary Air Force, 154.
Deaths of, in Childbirth, 63, 66–68, 79, 80, 97.
Eligible for Parliament, 10, 11.
Employed in Factories, 285.
Industrial Workers, Camps for, 92.
Nationality Laws re, 21.
Naval Service, 150.
Offences by, 130, 132, 139, 140.
Police, 130.
Suffrage for, 12, 535, 740.
Wage-rates of, 286, 525, 528, 530, 534.
Working-conditions of, 535, 544, 546, 547, 550.
Working-hours of, 532–534.
Woodware Factories, 283–293, 299.
Wool, 244.
Export Price Index, 515, 516.
Exported, 244, 661, 691–694, 698, 702, 703, 705.
Levy, 645, 728.
Purchase for War Purposes, 222, 505.
Used at Local Mills, 244, 307.
Woollen-mills, 283–293, 299, 307, 415.
Wool-scouring Works, 283–293, 299, 303.
Workers, Advances to, 357–363.
Workers' Compensation, 439, 535, 536, 539, 563–566, 587, 588, 645.
Insurance, 437, 439, 440, 539.
Workers' Dwellings, 311, 315, 357–363, 396, 556.
Workers' Educational Association, 125.
Workers' Unions, 535, 557–561, 568–572.
Workers' Weekly Railway Tickets, 166.
Working Conditions, Wages and, 540–555, 557–561, 567.
Working Railways Account, 163–165, 330, 667.
Working-days lost through Industrial Disputes, 580–586.
Working-hours, 297, 532–534, 541, 544–547, 551, 567.
Working-men's Clubs, 453.
World Comparisons (see Comparisons).
Wrecks, 160, 549.

X

X-ray—
Diagnostic Services, 375, 377.
Examinations, 74, 375.
Of School-children, 74, 90.

Y

Yields of Butterfat, 247.
Yields of Crops, 213, 228–240, 660.
Youth Centres, 574.
Youths—
Wage-rates of 530, 534.
Working-conditions of, 544, 546, 547, 550.

Z

Zoology, 9.

Chapter 49.