He said police had a "tough" job but unless they knew what was going on in rural communities their hands were tied.
Mr Falloon urges farmers to report all crime and any suspicious activity. "It helps police build a picture. People need to report ... with stock theft, a farmer may be missing just one or two. They aren't sure if they have been stolen or they have written them off as having died. But there is more going on than some farmers know about ... if it's not reported to police then they won't get more resources to target the problem. The police do a good job but they are under resourced. Their hands are tied if they don't know what is happening."
Some farmers have cameras installed to help identify those who target them, which helped also to identify culprits caught by police, but it was a real challenge catching and prosecuting those who targeted rural areas - especially very isolated properties, Mr Falloon said.
Some farmers felt they placed themselves at risk confronting thieves and others had little faith those who were caught would be punished adequately, he said. "It can turn quite nasty for [farmers]."
Stock should not be left in roadside paddocks and everything else needed to be locked up, he said.
"We have to think different ... it's disappointing it has come to this."
He isn't alone in his observation.
Federated Farmers Meat and Fibre Industry Group chairman Rick Powdrell said farmers weren't diligent enough in reporting stock thefts from their properties.
"Unfortunately they might think the police aren't interested or are too hard pressed to investigate," he told the Meat and Fibre Council meeting in Wellington recently.
Federated Farmers surveyed members and farmers have said they don't bother to report almost two-thirds of stock thefts, he said.
"But a lack of police interest, or their failure to solve a crime, isn't the full story. Until rural people are prepared to report all the incidents, the police do not have an accurate knowledge of the size of the problem or where the bad hotspots are.
"Federated Farmers are working with Police on preventing rural crime and they are appealing to our members to provide information that gives them a bigger picture and better chance of apprehending the offender and put a break on that offender's operation.
"Every time you don't report a theft or vandalism on your property makes the next crime easier to commit for the same criminal or anyone else."
He told delegates that the estimated $120 million loss to the industry each year from stock thefts should be a significant enough incentive to change and improve farmers' reporting behaviour in this space.
Crimestoppers is proactive in helping rural communities, in recent years running the Stop Crime At The Gate campaign.
-If you see anything suspicious or know anything about rural crime, you can anonymously contacting the toll-free crime line on 0800 555 111.