C.—3.

Fig. 3.—Rough-sawn Timber: Total Reported Production and Cut from State Forests, 1924 to 1939.

commercial species will be achieved. Ultimately some measure of sustained yield may prove possible and tractor-arch logging lias been selected as the most promising medium of exploitation, minimizing as it will the danger to the remaining stand. To this end the first contract for the sale of indigenous forest logs was entered into in September, 1938, with a local sawmilling company. The total forest area is approximately 12,000 acres, and for the seven months ending 31st March last 1,669 trees, mainly kahikatea, rimu, and matai, with a sprinkling of miro and totara, containing a total volume of 418,563 cubic feet, were felled and delivered at the sawmill. The logging is done by modern 90 h.p. Diesel caterpillar tractor and arch equipment (vide photograph), and is not only the most modern but also the only one so far successfully demonstrated in the Dominion. Known as the Whirinaki logging project, the inaugural experiment is located about fifty-five miles from Rotorua in the basin of the Whirinaki River (Plates Nos. 14-15). The conversion of logs extracted from Dusky State Forest (Southland) in the course of thinning operations was continued. As has been explained in previous reports, this project was commenced some years ago; a contract was entered into with a sawmilling company who takes delivery of the logs at convenient points on the forest roads, the trees being felled and snigged to loading-banks by Forest Service employees. At the close of the year the quantity so delivered was 139,238 cubic feet. 7. West Taupo Lands. In accordance with the arrangements made with the Native and Lands and Survey Departments some four years ago this Service continued its regular patrol of these lands. It is satisfactory to report that no cases of trespass, vandalism, or fire were detected, as such misdemeanours were formerly fairly frequent owing to lack of regular official supervision. It may be repeated for general information that these lands carry the largest stand of virgin forest in the Dominion, and their protection is a matter of vital importance to the whole community. 8. Waitangi Endowment. In accordance with the provisions of the Waitangi Endowment Act, 1932-33, planting was continued on a small scale; 16 acres were planted, the predominating species used were Eucalyptus regnans, Pinus patula, and P. taeda.

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