SHEEP sales have hit record levels as drought-affected farmers rush to cash in on high prices and reduce their stock numbers.

For an unprecedented third week in a row, saleyard figures in the NSW regional hub of Wagga Wagga reached 50,000 animals yesterday.

But Australian consumers are unlikely to benefit, because the bulk of the livestock is for export.

Australian sheepmeat exports have broken the $1billion barrier for the first time, hitting $1.1billion last financial year.

Sheepmeat exports have grown 400 per cent over the past decade.

Auctioneer Paul Cooper said the drought was affecting the quality and number of sheep being put up for sale.

Policy adviser for NSW Farmers Joe Lane said a worldwide shortage of sheepmeat and strong demand from the US and Middle East were keeping prices high.

He said sheep were being slaughtered earlier than usual, which could lead to shortages. “But with the drought, farmers can’t afford to hold on or miss the present good prices.”