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INTERNAL ORGANIZATION The following technical and service divisions have been established : Agriculture ; Economics, Marketing, and Statistics ; Fisheries ; Forestry and Forest Products ; Nutrition ; the nucleus of a division of Rural Welfare; Common Program, Technical, and Administrative Services; and Information. The total number of permanent staff in all divisions is now 381 (30 June, 1947). The term of office of the present Director-General expires at the end of this year. His successor should be appointed by the Conference. STANDING ADVISORY COMMITTEES Six Standing Advisory Committees were appointed in 1946 to advise the Director-General on the work of the technical divisions. These committees have had a total of 11 meetings during the year. It has been decided to continue the present membership of these committees until the end of 1947 when new nominations will be submitted for the approval of the Executive Committee by the Director-General. PERMANENT SITE In Washington, the temporary site of the Organization, the staff is spread over six buildings. This dispersal of staff involves additional expense and difficulty in maintaining the necessary close co-ordination of the various divisions. It is desirable that a decision on the permanent site of FAO should be reached at this Conference. In accordance with the instructions of the Copenhagen Conference, a statement on the relative advantages and disadvantages of the various possible sites has been prepared and circulated to governments. ADMINISTRATION AND FINANCE The Executive Committee met five times. Summary reports of the meetings have been circulated. Of the assessments of member governments, 97 per cent, have been received for the first and only 'completed financial year; for the second financial period of 18 months, which terminates 31 December, 1947, 61 per cent, of the contributions have already been received. The Reserve Working Capital Fund, which the Quebec Conference decided should be set up, amounted at the close of the first financial period to $1,500,000. The Subcommittee on Finance, set up by the Copenhagen Conference, has proved of great value to the Organization. It is recommended that the forthcoming Conference should make this committee a permanent part of the administrative structure of the Organization. EXTERNAL ORGANIZATION The action needed to achieve the aims of FAO must be taken in the countries themselves. Governments have therefore been requested to establish National FAO Committees to consider the necessary development of agriculture, forestry, and fisheries in relation to the national nutritional needs and to the whole economic set-up of the countries. These committees provide for a rapid exchange of information between governments and the Organization. To date 34 governments have set up these committees.