H.—3o.

An advantageous feature of the season's operations has been the large increase in shipments to the ports of Cardiff, Hull, Newcastle-on-Tyne, and Southampton. The quantities shipped to these ports during the 1937-38 season, compared with the 1936-37 season, are as follows : —

Direct shipments to Avonmouth, Liverpool, Manchester, and Glasgow have also been well maintained, the comparative figures being :■ — Butter (Boxes). Cheese (Crates). L 937-38 .. .. 1,529,040 1937-38 .. .. ..319 720 1936-37 .. .. 1,513,640 1936-37 .. .. .. 292,250 Increase .. .. .. 15,400 Increase .. .. .. 27,470 In consequence of increased shipments to other United Kingdom ports, shipments to London show a corresponding decrease. The comparative figures are as follows: — Butter (Boxes). Cheese (Crates). 1937-38 .. .. .. 3,485,080 1937-38 .. .. 783 870 1936-37 .. .. .. 4,288,080 1936-37 .. .. .. 901|050 Decrease .. .. .. 803,000 Decrease .. .. .. 117,180 It is considered that increased shipments to United Kingdom ports other than London have improved the distribution of New Zealand dairy-produce, and that the decentralization during the past season has been an important factor in maintaining prices. The arrangements for allocation of vessels for shipment of dairy-produce have been satisfactorily carried out by the Overseas Shipowners' Allotment Committee. There is complete co-operation between the Committee and the Department in the settling of a shipping programme which will ensure the clearing of dairy-produce evenly at all ports according to grading date, and give regular arrivals in the United Kingdom in quantities to suit the market requirements. Seasonal conditions frequently upset the forward estimates of quantities of dairy-produce available for shipment, and thus necessitate variations in the shipping allotments. The Overseas Shipowners' Allotment Committee is always ready to meet, to the best of its ability, any such emergency, and the Department desires to record its appreciation of the full measure of co-operation given by the Committee. During the 1937-38 season there has been a further reduction in the average number of ports of loading for vessels sailing from the Dominion. The comparative figures are as follows

The average for last season is arrived at as follows : — 3 vessels loaded dairy-produce at 1 port only. 22 vessels loaded dairy-produce at 2 ports only. 38 vessels loaded dairy-produce at 3 ports only. 31 vessels loaded dairy-produce at 4 ports only. 15 vessels loaded dairy-produce at 5 ports only. 2 vessels loaded dairy-produce at 6 ports only. Total 111 vessels with 372 calls at ports for loading dairy-produce. The Department has had the co-operation of the dairy-factory companies and cool-store companies, particularly in regard to the despatch of increased quantities of butter and cheese to United Kingdom outports. Requests to dairy companies for the port-marking of produce for outports, and to coolstore companies for special storage facilities, have been willingly complied with. The Department wishes to thank the officials of dairy companies and cool-store companies for this valuable assistance.

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Butter Shipments. Cheese Shipments. 1937-38. 1936-37. 1937-38. 1936-37. Boxes. Boxes. Crates. Crates. To Cardiff .. .. .. .. 83,360 8,600 18,260 2,114 To Hull .. .. .. .. 95,150 8,640 14,960 2,200 To Newcastle-on-Tyne .. .. .. 85,920 5,560 17,526 1,862 To Southampton .. .. .. 91,240 43,000 17,344 5,614 355,670 65,800 68,090 11,790 Increase .. .. .. .. 289,870 .. 56,300

Season. Vessels loaded. Average Ports per Vessel. 1934-35 .. .. .. Ill 4-00 1935-36 .. .. .. 104 3-98 1936-37 .. .. .. 108 3-67 1937-38 .. .. .. Ill 3-35