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Inland Fisheries. Hatchery Operations. —Extensive work was carried out during April and May in preparing the new hatchery on the Tongariro River near Tokaanu, hatchery operations being commenced on the 10th June and continued until the 17th November. The season's operations were highly satisfactory, a total of 4,036,000 rainbow trout-ova being collected from fish in various tributaries of the Tongariro River. The ova taken was of excellent quality, and fully proved the value of the Department's action in establishing the new hatchery to enable the progeny of the magnificent Taupo trout to be made available for other waters in New Zealand, which should result in a great improvement of the stock of all waters where they are liberated. Of the above total 1,400,000 eyed ova were sold to acclimatization societies throughout New Zealand ; 1,000,000 to the State Fisheries Department, New South Wales ; 75,000 to the Salmon and Fresh-water Fisheries Commissioners of Tasmania ; 1,185,000 were sent to the Department's hatchery at Rotorua, to be reared and disposed of as fry ; and 376,000 were hatched at the Tongariro hatchery. 36-5,000 fry were reared from the 376,000 ova hatched at the Tongariro hatchery, 25,000 being liberated in the waters of the Tongariro National Park, and 340,000 in Taupo district waters. In addition 100,000 eyed ova were recived from Lake Hawea (Otago Acclimatization Society), from which 80,000 fry were reared and liberated in Taupo district waters. At the Rotorua hatchery, 912,500 fry were reared from the eyed ova received from the Tongariro hatchery, 386,500 being liberated in Rotorua district waters and the remainder sold to acclimatization societies. Arrangements are being made for the complete renovation of the Rotorua Hatchery. Trout Food-supply.—A commencement was made on extensive operations for augmenting the food-supply in Lake Taupo by the liberation of small indigenous fishes. 426,000 fresh-water shrimps taken from the Waikato River near Mercer were liberated, and arrangements were made for other fishes to be taken at suitable seasons. It must be realized that no immediate result can be expected in such a large area of water, but it is hoped to be able to establish the fresh-water shrimp, which should in the future provide a valuable addition to the existing food-supply. Scientific Researches.—Operations in connection with the collection of data with regard to scale-reading, determining of condition factor, propagation of weed-beds, marking of fish, analysis of waters, &c., were inaugurated, and much valuable knowledge is expected to be derived therefrom. It is believed that as a result of scientific researches it will be possible to deal adequately with many matters that are, unfortunately, at present not properly understood, on account of the fact that there have not been adequate records kept of the various matters necessary for research purposes ; but, acting in conjunction with the expert advisers, records are being kept of all such matters. Destruction of Shags.—Owing to damage done to the fisheries by shags, the payment of royalty, at the rate of 2s. 6d. per head for shags killed in the Rotorua and Taupo districts, was continued, and a total of 748 shags were thus paid for. There has been a good deal of comment in various quarters as to whether the shag is quite as bad as he is painted, it being argued in some directions that he is possibly of assistance to fisheries ; but there would not appear to be much doubt that as far as the thermal district at all events is concerned he would not be missed if he was to be entirely exterminated, as, among other things, the bird is known to be the intermediate host of the wireworm. Prosecutions for Breaches of Regulations. —During the year a number of persons were detected committing breaches of the regulations governing fishing in the Taupo district, and eighteen prosecutions were conducted against sixteen offenders. In all cases convictions were recorded and fines totalling £84 were imposed. The policy of the Department has in the past been not to administer the regulations too harshly until a reasonable opportunity has been given to persons to become acquainted with the different provisions. It may, however, be necessary to tighten matters up in the future in connection with any breaches that may occur. Smoking Trout.—For the convenience of anglers, arrangements were made by the Department for trout to be smoked by Mr. Crowt.her at Taupo, and Mr. Asher at Tokaanu, at a standard price of 10s. per dozen, the service given in each case proving entirely satisfactory and available to all anglers wishing to thus make full use of their catches. Provisions of Tracks and Camp-sites— The convenience of anglers visiting the Taupo district was further provided for by the clearing of foot-tracks along the Waitahanui, Tauranga-Taupo, and Tongariro Rivers, and of motor access to the mouths of the Hatepe, Waipehi, and Tauranga-Taupo Rivers, and to Motutere Point. Camp-sites were also prepared at the Hatepe and Tauranga-Taupo Rivers. The access for anglers' motor-cars along the bank of the Tongariro River down-stream from the Taupo-Tokaanu Road was further improved by grading, and the provision of cattle-stops at all cross-fences. There have been some articles published in the newspapers which appear to indicate that little or nothing has been done for anglers ; but, as against that, those anglers who have been regular visitors to the locality in past years recognize that a very considerable amount of work has been accomplished, and in this connection it must be realized that the Department's operations only commenced at a comparatively recent date. Buildings, Wharves, Notices, &c. —The buildings used in connection with the Royal camp at Kowhai Flat were moved to the Tongariro Hatchery, where they have been taken into use. One framework was taken to Waipehi (half-way between Taupo and Tokaanu), where it has been completed as a, hut for the use of rangers and other departmental officers. The Department took over certain property at Whakaipo Bay, and the house thereon has been renovated, and was rented by anglers.' The Department has under consideration the erection of huts for anglers in other localities. Notices have been erected at suitable places calling the attention of anglers to the fact that in certain waters they are restricted to the use of certain lures ; and notices have been placed at the mouths of the Tongariro River warning anglers of the danger on the edge of the deep water.

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