Livestock farming and cereal farming are both practised by people living in the grassland areas. Livestock farming such as dairy farming and cattle ranching are possible because there are sufficient and suitable grasses for herbivores. The leaves and stems of grasses dacay after they die and produce rich humus. This helps to create excellent agricultural lands so that cereals like wheat can be grown.

     Dairy farming can be found in New Zealand’s temperate grassland. It highly relies on technology and machines because New Zealand has a small population size. Also, fertilizers are very important to dairy farming for improving the soil fertility. Farmers usually divide their farms into paddocks in order to grow grass and fodder crops in different areas. The farms produce fresh milk, butter, cheese and milk powder, which are exported to other countries.

     Wheat-sheep farming is practised in the temperate grasslands of Australia because wheat and sheep can get benefits from each other: sheep feeds on the stalks of wheat and it provides manure for the wheat fields. However, farmers in the past had to face the problem of drought which was solved by the Snowy Mountains Scheme that diverts water from the Snowy River to the Murray-Darling Basin through tunnels later.

    Wheat farming is carried out in the temperate grasslands of South America because the warm temperate continental climate is suitable for growing wheat. Also, beef cattle rearing are practised there because the open grasslands provide good natural pastures for beef cattle.