A.—6

epidemic referred to in the health section of this report increased the difficulties of the teachers. In addition to the usual school-work, a great deal of attention has been given to Native handicraft, sewing, &c. The technical-school instruction carried out by the headmaster personally is splendid. It is realized that this subject is of the utmost importance, and will prove of great practical benefit to the people generally. The efficiency and keenness of the headmaster is much appreciated by all concerned. Refresher courses for teachers are carried out regularly and do much good, as also does a special class for teaching adult Niueans English and other subjects which will be of assistance to them in their everyday life. Seventy-one adults attend this weekly class. The ten London Missionary Society subsidized schools have 011 their roll 506 pupils, with an average attendance of 477, the absences being accounted for_ by the typhoid epidemic. The missionary in charge of these schools has experienced considerable difficulty owing to the lack of finance, the subsidy, as an economy measure, having been reduced from £500 to £225. He cannot, therefore, visit his schools as often as is necessary, nor can he offer a salary which will induce the best talent available to become ieachers. The sewing classes are doing excellent work, and will be of considerable assistance in the future. This work has been greatly assisted by friends of the Mission in New Zealand. Public Works and Transport. Owing to restricted finances and the urgent need for avoiding all expenditure possible, the activities of this Department have been greatly curtailed, even to delaying work which should have been performed. Every endeavour has been made to maintain Administration buildings in a proper state of repair, but even this has not always been possible. Roads.—There are about eighty miles of roading, on which was expended the sum of £300 during the year. This sum is quite inadequate to either place the roads in a satisfactory condition or to maintain them. Several villages have assisted in repairing their roads without payment. The Administration supplies about £1 10s. for food for each day on which all the men of the village work. This is economical but not very satisfactory, as those concerned naturally consider that they should be paid for their labour. In view of the present financial position, however, it is not possible to make payment. During the year a 30 cwt, tip-lorry was acquired, and has proved to be extremely useful in road work. No stone-crushers are available, so the rocks have to be broken with hammers. Water-supply.—There are 110 streams or rivers. Rain is relied upon to supply necessary water. The annual rainfall during . 1935 totalled 99-77 in., the heaviest fall in one month, 22-84 in., occurring in January. There are a few places where slightly brackish water can be obtained. This was used prior to the installation of concrete tanks in the villages, but, as the people are now used to rain-water, the brackish water has .an injurious effect if consumed. The water-supply is inadequate, but each year more concrete tanks are being constructed. The liquid from coconuts is largely used for drinking purposes. It is pure and refreshing, but extravagant. Transport.—Everything possible is being done to maintain motor-vehicles in good condition, but owing to the financial stringency, the necessity of relying solely on insufficiently trained drivers and mechanics, and to the state of the roads the cars and trucks are not in very satisfactory order. Agriculture. A great deal of practical instruction has been carried out in this subject, which is one of the most important duties of this Administration. The people of Niue depend entirely upon the land for their sources of food-supply, as only approximately twenty have permanent employment, and even these few depend on their plantations for food. There is practically 110 soil of any value. Approximately three-quarters of the 64,000 acres is in bush growing amongst solid coral rock, nourishment being obtained from decaying fallen vegetation. About half of the area remaining is waste land, being almost devoid of those requirements in the soil necessary to produce satisfactory growth. It is really amazing that anything grows at all. There is not an acre in the whole island of what can be considered good soil, yet the food-supply for 4,000 people is produced. This indicates that food-supplies are meagre and their cultivation entails much labour. The very limited water-supply is another factor which has to be considered when dealing with this subject. Lack of soil and the porous nature of the coral rock permits the rain-water to seep away as though passed through a sieve. In addition, the island is visited by severe blows, as it' is situated on the fringe of the hurricane belt. The maltreatment of the soil and of the natural forests which has been the custom in the past, with the increase of population, will, unless it ceases, be a serious matter for the indigenous population and one requiring the careful consideration of the New Zealand Government. Either large-scale emigration or the importation and free supply of foodstuffs to the people must occur in the not very distant future. Until recently there were 110 Administration Experimental and Demonstration Plantations to show European methods, and even now there are no European planters to show the people what can be accomplished, and to provide employment. Quite naturally the methods employed by the Niueans are

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