Labour shortage blocks sheep flock rebuild despite strong prices
Australia's sheep flock sits near record lows. Labour shortages prevent expansion, even though global demand and prices are strong.
The nation's sheep flock sits near its lowest level in a century, second only to 2020. Global demand is strong and market conditions are among the best in years.
Producers are barely expanding because labour is the key constraint. Expanding flocks requires hiring more shearers, drench handlers, and lambing staff.
Other farming does not have this problem. Rabobank research says productivity gains, not expansion, will capture a potential 70,000-tonne boost in global demand.
Restocking costs jumped to over $250 per ewe. The 10-year average is $150.
This slower pace is slowing rebuilds. Analysts expect meaningful expansion to begin only from 2027 onwards.
- Second-lowest in past century
- Flock position
- 2027 onwards
- Expected expansion begins
Why it mattersSheep meat and wool are major Australian farm exports. Labour constraints cost producers billions in missed earnings.
AustraliaAustralian sheep producers supply India, the Middle East, and Africa, and could capture an extra 70,000 tonnes of this growing market if they can solve the labour problem.
✓ Claims checked against the source and corrected before publish. checked 1 h ago
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