The top line: The export of live sheep by sea from Australia is set to be banned from May 2028, with a $107 million transition package to support the industry over the next five years.

The bigger picture: Labor pledged at the 2019 and 2022 federal elections, the latter of which it won, to end the live sheep export trade.

The commitment was made to abandon the trade after 2,400 sheep died of heat stress in 2017 while travelling on a ship from Australia to the Middle East.

But the announcement has been met with criticism from members of the livestock industry over the four-year timeline and concern over whether the ban will extend to other industries.

The industry has repeatedly maintained animal welfare concerns have been addressed.

Mark Harvey-Sutton from the Australian Livestock Exporters' Council told the Australian Associated Press the policy was "not based on evidence" but on "activism" and that the industry would challenge it.

Legislation for the phase-out will be enacted in this term of parliament.

The key quote: "This is a comprehensive package that will assist to strengthen supply chains, develop market opportunities and improve animal welfare." — Agriculture Minister Murray Watt.

What else to know: The live sheep export industry has been contracting for many years.

Government figures show its worth has declined from $415 million in 2002-03 to $77 million in 2022-23. The industry has put the value of the live sheep export trade at an estimated $143 million a year.

What happens now: Legislation for the phase-out will be enacted in this term of parliament.

More than half of the transition package money will be used to assist sheep producers and the supply chain, particularly in Western Australia, to build on existing and emerging opportunities.