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A.—3.

Despite the low prices paid for this commodity, the export is the largest for some years past. A further recent reduction in price, however, will no doubt reflect seriously on the coming year's exports, growers preferring to use the copra for domestic purposes to offering it for sale at the extremely low prices offering. Exports.—The following table shows the quantities of main exports over the last seven years : —

Shipping. Overseas shipping at the Port of Avarua, Rarotonga, for the period under review comprised a total of twenty-six vessels, as follows : Union Steam Ship Co.'s cargo-vessels, 5 ; Union Steam Ship Co.'s m.v. " Matua," 12 ; American cargo-vessels, 1 ; cruising vessels, 5 ; local schooners, 3. Finance. For the financial year ended 31st March, 1938, income amounted to £56,598 12s. 4d., and expenditure to £47,207 ss. 9d., showing a surplus of income over expenditure of £9,391 6s. 7d. Subsidies from the New Zealand Treasury on account of medical, hospital, and educational services amounted to £11,000, this amount being included in the above figures. Assets, including cash in hand, as at 31st March, amounted to £121,841 os. 9d. This includes an amount of £30,000 made available by loan from the New Zealand Treasury as working-capital for the handling and exporting of oranges and bananas under Government control, and is shown in the balance-sheet as a loan to the Fruit Control Department. Detailed statements of income and expenditure and balance-sheet are printed on pages 15, and 16, Appendix A. Fruit-control Finance.—Government control of the handling, exporting, and marketing of all oranges from the Cook Islands came into operation from Ist May, 1937, under the authority of the Cook Islands Fruit Control Regulations 1937. The year's operations (as at 31st March, 1938) resulted in a surplus of £461 lis. 10d., in addition to which there is a Reserve Fund of £252 12s. 3d. and an amount standing to the credit of a Growers' Debt Redemption Fund of £936 Bs. The balance-sheet shows assets valued at £34,793 Is. 3d. Details of accounts and balance-sheet are printed on page 16, Appendix A. Medical. Hospital — In-patients .. .. .. .. .. .. .. 287 Out-patients .. .. .. .. .. .. .. 18,937 Treatment — (a) Injections — (1) Antitetanic serum .. .. .. .. .. 89 (2) Adrenalin (asthma) .. .. .. .. .. 15 (3) Colloidal calcium .. .. .. .. .. 76 (4) Gonococcol vaccine .. .. .. .. .. 90 (5) Novaisenobinzol .. .. .. .. .. 607 (6) Antityphoid bacillus .. .. .. .. .. 1,470 (7) Staphylococci vaccine .. .. .. .. 14 (b) Anaesthetics — (1) General .. .. .. .. .. .. 33 (2) Local .. .. .. .. .. .. 190 (c) Operations — (1) Major .. .. .. .. .. .. 15 (2) Minor .. .. .. .. .. .. 358 (d) Confinements .. .. .. .. .. .. 89 (e) Intestinal-worm treatment .. .. .. .. .. 236 (/) Anti-nasal examinations .. .. .. .. .. 61 (g) X-ray .. .. .. .. .. .. .. 22 (h) Visits .. .. .. .. .. .. 1,390

3

-— 1931. 1932. 1933. 1934. 1935. 1936. 1937. Citrus fruit .. (Cases) 82,740 85,593 92,752 78,099 48,268* 75,390 69,369 Bananas .. .. „ 55,769 62,390 47.494 52,314 22,539* 49,431 39,910 Tomatoes.. .. „ 34,750 54,218 17,737 34,545 62,383 38,546 34,390 Copra .. .. (Tons) 1,546 1,294 1,545 963 1,353 689 1,629 * Reduced exports due to the effect of hurricane.

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