5

a.—24

Dealing now more particularly with the several classes of articles purchased for the year 1916, I have to report as follows : — Khaki Cloths. Subsequent to the conference with the woollen-millers held on the 28th October, 1915, a further conference was held, at which it, was agreed to standardize the various weights of cloths, and the following weights were agreed upon : Tunic cloths, 22 oz. per yard; whipcord, 30 oz. per yard, overcoating, 28 oz. per yard; shirting, If oz. per yard. The total length of cloth required for the year 1916 and ordered for uniforms, overcoats, working-shirts, and pantaloons aggregated about 530 miles, or, in other words, would cover the distance from Wellington to Auckland and 100 miles to spare. The net prices fixed for these respective cloths were as follows : Tunic cloth (woollen), Bs. 6d. per yard; tunic cloth (worsted), 9s. per yard; whipcord, 9s. 6d. per yard; overcoating, 9s. per yard; shirting, Is. lOd. per yard. These prices were determined after costings had been submitted by the mills and adjudicated upon by experts. Taking into account the weights above mentioned and the rate of wages ruling in New Zealand, I find these prices favourably compare with Australian and English prices. Uniform Garments. Having secured certainty of supply for the quantity of khaki cloth required, tenders were invited from clothing-manufacturers for the making-up of garments only. These tenders having been received, the clothing-manufacturers were then asked to quote for the making-up of garments complete with cloths at the fixed prices, with certain additions thereto to meet usual trade terms. These prices, per yard, were (delivered): Tunic cloth, Bs. 10jd.; worsted, 9s. 4jd.; whipcord, 9s. 10|d.; overcoating, 9s. 4|d.; shirting, Is. lljd. —all being less 34 per cent, cash discount. Having received full information from these sources, orders were placed throughout the Dominion for the making-up of the garments required. The output of cloth for civilian clothing and garments being practically stopped, it was arranged with the three large woollen-mills of New Zealand that they should accept orders for the making-up of garments from the cloth produced by their mills. This was necessary in order that work might be found for the large stall's employed in the factories attached to these mills. It is estimated that between 80 and 90 per cent, of the combined output of the New Zealand woollen-mills will be absorbed by the production of goods for military purposes during the months of January-August this year-. From September to the end of tins year the reduction in the output of goods for military purposes will enable the w r oollen-mills to devote their attention to the execution of their ordinary trade orders. Denim Suits. As approximately the whole of the cloth required for denim suits made up during 1915 was obtained by merchants from America, and further supplies from that source appeared to be uncertain, I placed orders direct with English manufacturers for shipment through the High Commissioner for New Zealand in London, and so secured a supply of British-made material based on a sample which had the approval of our military authorities. A quantity of this material which has since come to hand has proved quite satisfactory, and contracts for the making-up of the cloth into denims have been let with various manufacturers. This has proved to be a more economical method of procuring these supplies than by securing tenders for the garments complete. Woollen Garments. The mills accepting orders for these articles were asked to furnish samples, which were on receipt submitted to military authorities for approval. The proper weight and texture in each case having been determined, orders were confirmed accordingly, at prices based on value to be supplied. I have no hesitation in saying that the quality of uniform materials and the quality of the underclothing is of a very superior kind, and, notwithstanding the considerable advances in the value of wool, the prices paid for socks —namely, Is. 3d., Is. Id., and Is. sd. per pair—compare well with the prices paid by the Department in the past for 1915 supplies—namely, Is. per pair, although towards the close of 1915 Is. 2|d. per pair was paid. In addition, the socks now obtained are two-ply socks instead of one-ply. Similarly, the prices paid for undershirts and underpants— namely, 4s. 6d. and ss. 3d.—contrast well with prices previously paid. Here again it is to be noted that the articles at ss. 3d. are two-ply yarn instead of single-ply, the wearing-qualities of which are much superior Orders for supplies of jerseys have been placed throughout the year at ss. 6d. each, thus securing jerseys for the calendar year 1916 equivalent to those offered in the October tenders at 6s. 3d. and 6s. 6d. each. Blankets. The prices now being paid for 9/4 blankets (5 lb. per pair) is 7s. IOJd. each, as compared with 6s. 6d. to 7s. 4|d. for August, and 6s. 9d. to 7s. for October and November last. Blankets (10/4 —71b. per pair): The price now being paid is 10s. 3d. each, as compared with Bs. 6d. to 9s. 3d. for August, and 9s. to 9s. 6d. for October last. If the blankets required for the year 1916 were all in one piece they wotdd cover an area of 134 1 acres. Footwear. In regard to boots and canvas shoes: lowards the close of the year 1915 there were two manufacturers supplying under contracts, and about seven others had orders for execution. The