Perendale sheep on rural station near Goodwood, New Zealand.br/br/Sheep farming has been crucial in the development of New Zealand’s economy. The export returns from fine wool grown on the open grasslands of the South Island provided the initial impetus for economic growth. Sheep numbers peaked at 70.3 million in 1982, but have fallen since to around 39 million in the early 2000s since the increase in dairying inparticular. However, New Zealand remains the world’s largest exporter of meat and wool.