NSW Department of Primary Industries and Regional Development

Livestock

There was significant growth in the value of the livestock and livestock products industries in 2024-25, up 19% to $9.5 billion. Coming into the year, there was an elevated cattle herd and sheep flock, which set up these industries for record beef production and near-record sheepmeat and lamb production. Strong processor demand boosted prices across the sector, with beef demand from the US remaining strong as it commenced its own herd rebuild.

Poultry meat and pork industries both increased in value by around 12% in 2024–25, to $1.2 billion and $300 million respectively, supported in part by high red meat prices. The egg industry also lifted in value to $451 million, despite supply interruptions that contributed to higher egg prices.

Milk GVP reached a new high at $887 million, with good conditions supporting higher production, and relatively stable farmgate milk prices. NSW bucked the trend of other major dairy states, with production falling in all other states in 2024-25.

Wool was down 11% for the year, with a value of $922.7 million, due to lower production and steady prices. Subdued global economic growth dampened consumer demand for apparel in 2020, and trading conditions for wool have remained challenging since then. A reduction in volumes offered in 2025, along with an improvement in demand in export markets, provided support for prices over the year.

Production

Livestock production reached record levels for beef and milk production, and near-record levels for lamb production this year. The beef herd began the year at historically high levels, facilitating a high turnoff. Higher processor capacity, partly due to better labour availability, also supported record beef production.

Sheep and lamb production rose due to a higher sheep flock and strong processor competition. Processors also had greater labour availability, which supported high livestock turnoff. Pork production increased due to an increase in the number of animals processed and a lift in the average carcase weight. Chicken meat production continued its steady rise, driven by ongoing investment in the sector.

Chicken meat GVP reached a new record high of $1.2 billion, marking the second consecutive year above the $1 billion level. Egg production was disrupted by an outbreak of High Pathogenicity Avian Influenza (HPAI) across NSW, ACT and Victoria. The layer flock contracted as part of efforts to control the biosecurity outbreak, resulting in lower production. NSW milk production rose at the same time as Victoria and other states experienced production declines. The relatively higher milk prices experienced since 2022-23, combined with favourable seasonal conditions for most dairy regions, encouraged dairy producers to lift production. Wool production declined in 2024-25 as competing livestock systems, such as prime lambs, offered better returns for producers. 132

GVP and Change

  • GVP 2024-25
  • Change YOY
Download data (.XLSX)
Source: DPIRD (unpublished)

Price

There was a broad rebound in prices in 2024-25, particularly for red meat, underpinned by strong processor and export demand. Mutton was the standout, rising 74% in volume-weighted terms compared to 2023-24, while lamb rose 42% and beef rose 30%. Goat prices followed mutton and lamb higher, rising 61% in volume-weighted terms.

Among the livestock saleyard indicators, the National Mutton Indicator rose 76% and the Merino Lamb Indicator was up 61% over the previous year, highlighting the strength of the sheep and lamb markets. The Processor Cow Indicator was the best-performing cattle indicator, up 31% with an average value of 277c/kg lwt in 2024-25. The Heavy Steer Indicator also rose 27%, averaging 340c/kg lwt in 2024-25. The Eastern Young Cattle Indicator was 20% higher, with restockers paying the highest average compared to feeder buyers and processors. The indicator rose further in early 2025-26, with all buyers averaging considerably higher than the 2024-25 average.

Amongst the intensive livestock industries, pork prices strengthened in 2024–25, with porker prices averaging $4.52/kg and baconer prices $4.43/kg, up 7.5% and 12% respectively on the prior year. Chicken meat prices were also slightly firmer up an estimated 1%. At the same time, the reduced supply of eggs contributed to price increases, with the national average unit value up 12% to $3.94 per dozen.

For dairy, the 2024–25 milk price opened lower, however strong dairy markets and lower production in other states helped lift milk prices during the year so that average farmgate prices were only marginally down from the prior year.

Price Change

Download data (.XLSX)
Source: DPIRD (unpublished)

Outlook

Beef is expected to be supported by strong export demand in the near term. The US beef herd is at historically low levels and in the early stages of its herd rebuild. Demand for Australian beef is expected to remain strong as a result. NSW production is expected to be down on 2024-25 levels, with the female slaughter ratio reaching high levels in early 2025. The NSW herd is likely to be down on year-ago levels, but production is expected to remain above average.

MLA forecasts the sheep flock to recover in the next couple of financial years, which will reduce sheep and lamb slaughterings, with higher carcase weights expected to offset the decline. With seasonal conditions dry-to-neutral across southern NSW, the forecast remains highly contingent on rainfall.

The outlook for poultry continues to be positive. As a cheaper source of protein, domestic consumption of poultry has overtaken all red meat in recent years. Between 2018-19 and 2023-24, domestic consumption of poultry increased at 3.2% per annum, compared to 1.7% per annum for beef, sheep and pork (unprocessed). This growth is expected to continue, and domestic demand for poultry is expected to remain strong.

Pork output has benefited from higher red meat prices and reached its highest production level since 2017-18. The OECD forecasts Australian per capita pork consumption to increase slightly in 2026. 144 The steady growth in demand for pork in Australia underpins a positive outlook into 2026.

Milk production in NSW began the year positively, with the September quarter 1% higher than the same period a year ago. NSW, Queensland and Tasmania have all seen growth in milk production, supported by higher opening prices.

The wool market is expected to see lower production again in 2025-26, as high sheep and lamb slaughter reduces the sheep flock. There are some positive signs in the market, with the wool market recording its longest run of weekly price gains since 1987 early into the financial year. The Eastern Market Indicator surged following the Nanjing Wool Market Conference in late September, drawing wool from domestic inventories to the market. Reports indicate that wool inventories in China have fallen to low levels in recent years, driving demand to increase wool buying to replenish inventories.

www.dpi.nsw.gov.au