Record wool and meat returns are stunning industry pundits around the country, and prompting the question – ‘how much higher can prices go?’

Wool prices in  particular have risen sharply over the year, as global demand for fibre in carpets shows no sign of letting up.

Wool services international has described the price rises in recent weeks as “astronomical.”

On top of that, meat prices across all varieties are soaring, lambs in particular proving good value for their weights.

Federated Farmers meat and fibre chair Bruce Wills says even with all this money suddenly flowing on sheep farms, there’s still a long way to go.

“Although we welcome the turnaround, it’s been a long time in the dark.

“So it’s nice to see some sunshine at long last on the sheep and cattle industry.

“There’s still a lot of nervousness around though on how sustainable these prices are.”

Bruce Wills says the main problems lie in the fragmentation of both the wool and meat industries, and good returns alone won’t change things.

“This stuff is just supply and demand at the moment, and we really need some fundamental structural changes to cement it in.”