The national livestock survey showed flock numbers dropped to 29.6 million, down 3.2% but still outnumbering people six to one.

Sheep numbers in the country have declined for many years following their peak of 70.3 million in 1982.

Demand from China for mutton and constant increases in dairy farming are said to be the reason the national flock has declined. Overall, the sheep industry in New Zealand is doing well and whilst numbers of stock have declined, the value of the industry hasn’t.

Exports of sheep meat reached a record high last year totalling $5.3bn – a decline of 3% in quantity but a 9.5% rise in returns, to level $NZ2.52bn. The average price per ton of lamb exported rose from $7400 to $8300, up 13% on the year.

It could be an important sign for the UK market as with falling breeding ewes and strong demand coming from China, there may be less sheep meat on the market from NZ in the UK. Similarly, demand from China, which is likely to increase, could give more opportunities for UK exports.