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There is activity in the coal industry, and prospecting of a very successful nature lias Ixfii a feature of the year. Considerable employment is also being provided in the development of lime-works. In all parts of the district the erection of schools, creameries, saleyards, &c., point to a greal development going on, and a visit to the pioneer settlements must convince any on? that there is very substantial activity in the industries of the Dominion. Rangers' Reports. The Ranger* Kgaio exceeded their previous returns of individual inspsotions made, the proportion of defaulters being almost the same as that of the previous year. Some arrears of inspections which had accumulated from earlier periods, owing to postponements on account of difficulties of OOOees and press of other work, were systematically taken in hand and brought up to date. Te Akau Block. The first statutory inspection of holdings in this block has now been made. The population consists of fifty-six persons. The improvements were in excess of requirements, reaching a total value of £9,456. There were 2,265 head of cattle, 5,085 sheep, mid L 62 horses. An area of 1,489 acres of bush was felled, and (i.'il acres were cleared of scrub. 'I'h, , access at present is from Ngaruawahia, which is distant about thirty miles by a fair road. A more important road to the settlers is being made to deep water at Raglan. When a school is erected there will lie a number of families, who are now living elsewhere, resilient on the block. Progress is very apparent, and the state of the settlement is exceedingly satisfactory. Iμ phovhd-farw Settlements. There were three new settlements established near Otorohanga just prior to the close of tho previous year, known respectively as Rangitoto Nos. 1 and '2 and Korakonui. The' tirst general inspection shows that in Rangitoto Xo. I. where thirty-eight selectors' holdings were inspected, thirty-five have fulfilled requirements. The total area under cultivation is 645 acres, and the value of improvements is £2,596. The establishment of a school will add very considerably to the welfare of the settlement. In Rangitoto No. 2 wry good progress has been made, ami some of the settlers will be in a position to milk a few cows next season. All the selectors are residing, and they have brought .120 acres under cultivation, the total value of their improvements being £I, ill (i. There is only one non-resident selector in Korakonui Settlement, and {here are indications that the selectors will make a success of their holdings. They have cultivated ■'!•")•") acres, and their improvements aie worth £1,379. It must, of course, l>o remembered that in all these settlements xi.'\-y liberal financial aid has lieen and is still being accorded to the settlers under the particular regulations which μ-ovein the allotment of sections. The crucial test will conic when cash advances and payment for improvements, and supply of grass-seed and fencing-wire, cease, and settlers are dependent entirely on their own resources. At present they ate not required to pay rent for the land nor interest on the money advanced. It will take the combined energy of the selectors to assure the future welfare and success of the settlements. In the interests of the many who have already proved them selves worthy of the assistance they have received, any that develop indolence will have to l>e removed from their holdings The Haukaki Plains Block. Xo statutory inspection of the holdings in tills block has yet fallen due, but from what can lx' gathered from corresp lence with selectors, and interviews with persons who have visited the locality with a view to applying for land to Ik- offered later, there are generally optimistic opinions on the future of the settlement. A feature of the first ballot for sections was the number of withdrawals by persons who, at the last minute, were influenced by the reports of people who were evidently quite ignorant of the conditions which prevailed and unfamiliar with the development of swamp lands. Those who had withdrawn were only too anxious to lodge applications for the second ballot, and since that ballot numerous inquiries have been received for particulars of a further area. This appears to l>e an ample refutation of the pessimistic views which had such an effect on the tirst ballot, and must have substantiated the confidence of those really competent to judge. FORFEITUI'iKS. Although the Land Hoard has persisted in its policy of getting rid of those selectors who are obviously undeserving, and who flagrantly make default in. or attempt to evade, the fulfilment of their obligations, it is a satisfactory indication of the conditions that prevail that there has been a falling-off in the number of forfeitures. The care taken to assist the energetic who may !><■ overtaken by misfortune, and the discretion exercised in dispensing leniency, have had the very best effect in the promotion of settlement. The task is not an easy one when it is considered lhat the interests of a non-resident selector who it is apparent to the Hoard has a legitimate reason for his absence clash with the interests of settlers living on their holdings, but who are prevented by absentees from securing schools and other necessaries of a civilized community. AnREARS of Rental. The number of selectors in arreir, the area that they hold, and the amount in arrear (exclusive of the current half-year's rent) are less in each case than those of last year, although there are more selectors now on the Imoks.

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