We've been the butt of sheep jokes for generations, but New Zealand's flock is in decline.
Dry conditions in the northern North Island and changes in land use in the South Island saw sheep numbers fall by 3.2 per cent over the 2013-14 season, Beef and Lamb New Zealand said.
Our total flock dropped to 29.8 million in the year to June 30, 2014, continuing a trend that started in 1982, when the sheep population peaked at 70.3 million.
The declining trend in sheep numbers has been mirrored in Australia, where the sheep population declined from 170 million in 1990 to an estimated 72.2 million this year.
Beef and Lamb's chief economist Andrew Burtt said the New Zealand decline since the 1980s had been driven by several factors, including conversions to dairying.