11

C—3

At Whakarewarewa, Plantation red deer have been responsible for a very considerable amount of destruction to the young trees, and it, was necessary to take steps to thin out these animals. Since they were liberated some years ago the herd has increased very considerably, and it is feared that it will be impossible to entirely rid the plantation of them, because fresh animals keep coming in from the adjacent country around Lake Okareka. One has only to see the damage that these animals are capable of to realize that their liberation should be more strictly controlled than it apparently is at present. Survey Work. A surveyor and parly commenced work in October upon the Kaingaroa end of (he Reparoa Block, where '2,320 acres were subdivided and the necessary tire-breaks laid off to connect with the Waireka, and'Kaingaroa systems. The work was then continued on the eastern end of Hie Kaingaroa, Itlock, where 6,291 acres were subdivided. The reading system was also extended, levels being run for a distance of three miles and a, quarter, the heaviest gradient being I. in 22. This end of the Kaingaroa Block will probably be completed in three months' time, when the party will continue the work on the southern end of the reserve. Revenue. The amount passed through the Receiver's Account, during the year is detailed hereunder. The total shows an increase over last year's receipts of about £116, which is accounted for to a great extent by increases in the quantity of tree-seeds and thinnings sold. Receipts for the year were as follows: — £ s. d. Sales of trees (185,890) ... ... ... ... ... 339 9 3 Sales of tree-seeds (130 lb.) ... ... ... ... 114 17 11 Sales of poles (4,200) ... ... ... ... ... 210 15 0 Sales of firewood (238 cords) ... ... ... ... 331 II 0 Grazing ... ... ... ... ... ... 144 8 !) Royalty on sulphur ... ... ... ... ... 16 14 II Sundry recoveries ... ... ... ... ... 192 I(i 0 £1,350 12 10 INTERIM,ANTING EXOTIC TREES IN NATIVE FORESTS. Two areas in the native forest on the Mamaku Plateau, one of 10 acres in the mixed forest and one of 15 acres in the beech forest, were selected for experimental purposes and ring-fenced. A selection of shade-enduring exotic trees were planted in each, which, on the whole, have done very well. It is yet too soon to comment upon the suitability of the various species tried, because the trees are barely established, and the subsequent behaviour of the various kinds is yet conjectural. The work cost close on ,£l2 per acre, but this expenditure included many items which would be non-recurrent if a much larger area had been dealt with. A reliable estimate, based upon the above expenditure, shows that such work, if done on an extensive scale, would not exceed ,£<S per acre. The most expensive item is the disposal of the undergrowth and debris, which is very heavy in parts of the forest. Exotic trees could, however, be planted in the open parts of a, forest; at a comparatively small cost, and, although a full crop would not be obtained in the first rotation, they would eventually spread and fully stock the land. The damp conditions of tin: mixed forest in this locality show that the danger of fire spreading is practically non-existent, ami that fire-protection measures would not involve a great expenditure. In the beech forest, however, where the conditions are more open, fire-protection work would entail a more elaborate organization. The regeneration of miro is good in the mixed forest, while in the beech forest tanekaha is very plentiful. In both forests rimu is very sparse. General. Preparations for planting about two million trees during the coming winter are well forward. The bulk of this work will be done at the two stations at Kaingaroa Plains, while a smaller area will be undertaken at Puhipuhi Plantation. T wish to here place on record my appreciation of the loyal and efficient assistance received by me from all officers during the year. Herewith are balance-sheets showing the financial position of the several slat ions in the North Island, followed by reports upon each of the stations :— Balance-sheets. Boiorua Nursery, from 1808 to 81st March, 1920 — Twenty-two Years. Dr. £ s. d. £ s. d. Or. £ s. d. £ s. d. Actual expenditure .. 82,205 t2 8 j Actual receipts .. .. 3,242 14 7 Interest, compound, at 4 i Interest, compound, at 4 per cent. ".. .. 39,351 5 2 percent. .. .. 1172 10 3 121,556 17 10 3,015 10 10 Land rental: Accumulated rental com- Trees to plantations .. 77,169 9 1 pounded for twenty-two years at 4 per Interest, compound, at 4 cent, of cost '.. .. .. 115 3 0 percent. .. .. 20,036 0 9 103,205 9 10 J Present value of— Buildings, fencing, &c... 3,340 12 0 Departmental property 2,737 5 3 0,077 17 3 Trees in stock (at valuation) .. 8,773 3 5 £.121,672 1.4 £121,672 1 4