Papua and New Guinea have the makings of a sizeable skin industry based on the two native crocodiles. But the industry today is in danger of collapse as a result of overhunting in the accessible crocodile areas. The best hope for conserving the crocodile is to build up the numbers to enable the industry to thrive on a sustained yield basis, so that the people will accept crocodile conservation as sensible, practicable and profitable. Dr. Bustard has made an extensive survey and study of the problem in the Territory, and here describes the situation and the recommendations he has made to the Government.