G.—lo.

The previous year's sowing (123 acres) has turned out excellent pasture, while the 336 acres sown during the year had to be heavily stocked during the spring months in order to check the growth. The scheme provided a livelihood for thirty-one workers, twenty-eight other adults, and seventyfour minors. These Natives, belonging principally to the Maetarangi and Ngatilie Hapu Tribes, are industrious and have displayed a keen interest in the work of the locality. Ngatiawa. This scheme takes its name from the tribe which occupies the territory between the Ohiwa Harbour, Whakatane, and the Rangitaiki River. It comprises an area of approximately 5,313 acres. There is a natural water-supply. The chief work has been confined to clearing up second growth on the area already grassed, 1,000 acres of which have been top-dressed ; in addition, the following work was carried out during the year : 270 acres of fern country burnt and sown, 160 chains of new fencing were erected, and repairs effected to 78 chains. Approximately eighteen miles of drain-cleaning was also undertaken. The following stock is carried : 222 beef cows and heifers, 140 beef yearlings, 2 bullocks, 8 beef bulls, 102 beef calves, 1,500 old ewes, 564 mixed-sex two-tooths, 56 rams, and 930 lambs. There is a three-roomed cottage, a three-stand shearing-shed, sheep yards and dip on the scheme. The state of the pasture on 500 acres is quite good, but the remaining 500 acres is in fair order only. There are two workers and three dependants, Ruatoki. Formerly partly developed, Ruatoki has a total area of 31,309 acres. Work done during the year comprised 941 chains of fencing and the erection of eighteen milkingsheds. Owing to the large area of river-bed and undeveloped country, both within and without the scheme, the growth of ragwort is becoming a very serious problem. Steps are being taken to prevent it from gaining ascendancy on the developed areas. This season has been a phenomenal one for the pastures, and never in the history of Ruatoki has so much winter feed been saved. In this respect the district was very fortunate in not experiencing the recent dry spell which was so prevalent throughout the country. The winter feed saved was mostly in first-class condition, but difficulty was experienced in getting the units to build stacks which would turn the water. As much instruction as possible was given in this direction, but stack-building is an art which cannot be easily taught. The beautiful dark colour of the pastures testify to the benefit of the top-dressing. Paspalum, which is finding its way into all the pastures, is becoming very thick, but so long as it can be prevented from becoming rank and root-bound it should prove beneficial. An area of 180 acres, which was left unsown last year on account of the lateness of the season, has been worked again and sown. The total number of cows milked during the season was 2,018. This represents an increase of 264 over last year's figures. There are also 487 heifers which will come into profit next season. The stock included 116 bulls, 273 heifer calves, 193 horses (working), and 3 bullocks (working). The health of the stock throughout the scheme is very good, and over 90 per cent, are m firstclass condition to start the winter. There are 122 units supplying the factory, and all work in well together. The scheme work, including sowing, top-dressing, fencing-repairs, and general cultivation, proved a great boon to those Natives who are not milking and to those whose returns from their herds are insufficient to support them and their families. > The question of an adequate water-supply for the whole of the scheme presents one of the area's greatest problems, a>nd the time has now arrived when a water-system will have to be installed to meeu the requirements of those properties not adjoining the river. Lack of an efficient water-supply is definitely one of the causes of the excessive amount of second-grade milk and cream being produced. The proximity of the dairy factory and markets is an asset to this scheme, and the outlook is promising. The 310 adults and 402 minors obtaining their livelihood on the area belong to the Tuhoe Tribe and are taking a great interest in all its operations. Ruatoki (Waiohau). The Waiohau blocks —a separate part of the Ruatoki scheme —are situated on the Rangitaiki River about twenty-eight miles from Whakatane. The area of the scheme is 7,425 acres, of which about 960 acres is ring-fenced and under development. During the year 297 acres were ploughed, 140 acres sown in turnips, and 157 acres sown for pasture. In order to divide the area at present under development into six blocks 614 chains of fences were erected. In addition to this work, 86 chains of drains were completed and a new store-shed was erected. Cutting and treatment with sodium is keeping ragwort in check. The health of the settlers appears to be quite good and their living-quarters are fair. The scheme provides a living for twenty-nine workers, nineteen other adults, and fifty-nine minors who belong to the Patuheuheu Tribe and who are industrious and keen. It is anticipated that the pastures will be ready for grazing sheep during the coming year,

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