WELLARD Group CEO Fred Troncone has told producers they must boost livestock numbers now, or risk missing the boat in terms of higher prices.
Mr Troncone was speaking at last week's Pastoralists and Graziers Association convention and said unless producers start restocking now, they could miss out on livestock price increases.
"Because when China opens its doors it will be too late," he said.
Mr Troncone's message was clear, "jump in early, as Australia will not have enough stock to reach the predicted large demand of China".
Mr Troncone said sheep were the safest bet as previous evidence had shown when the price jumped at the re-opening of the Bahrain market.
But PGA vice president and Kojonup sheep farmer Digby Stretch said he would want to see long-term contracts before boosting his numbers.
"The discussion definitely boosts confidence, but real confidence is built up by contracts and cash in the bank," Mr Stretch said.
"I can't go to the bank and say, 'I would like to buy some more lambs because I think this red meat thing will be really good'.
"The bank will say it's a good idea too, but they will ask for a contract to prove that the business plan is as good as I think it is.
"I like the enthusiasm out there, but none of that enthusiasm has replaced my car, or put my kids through school yet nothing will do that except cash flow.
"Let's work hard in converting that enthusiasm into good solid business proposals."
Instilling confidence, Mr Troncone said the time was right, to take advantage of the good times ahead.
"We have the support from (Federal Agriculture Minister) Barnaby Joyce, he is committed to do right by us," Mr Troncone said.
"It's great to have him and the industry to manage these relationships.
"If China and Saudi open, prices will rise.
"I suggest to take advantage of these good times, don't wait because in five or six years you might miss the peak."
Although no one can predict the future, Mr Troncone believed the near future will be prosperous.
Mr Stretch said producers couldn't just switch lambing or calving on and off or the genetic quality of what they need to move and sell.
He said to make long-term decisions with the best of knowledge, producers needed long-term market arrangements with their suppliers and exporters.
"We will get a better result if we talk in longer time frames," Mr Stretch said.
"If we are going to pull this potential lift in market size and get the pull through from this demand all the way and make it work from the supply end, we are going to need a greater level in sophistication in how we deal between ourselves, at a farm production level and through the processors and exporters.
"Don't rock up on the day we are drafting to ask if we have a specific type, think about it around October to December, so we might be able to put it in the paddock for the following year."