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The arid rangelands (veld) of Australia which comprise almost 75 per cent of Australia are described in terms of area occupied, climate, topography, vegetation types, and history of settlement by man. The effect of climatic constraints on economic factors is considered and the various alternatives to the predominantly livestock usage are discussed on the basis of relative areas occupied and economic value to the nation. The sheep and cattle industries are described in terms of livestock types, variability of production in space and time, management and labour inputs, and the constraints of the leasehold land tenure system. The need for research is highlighted, and the research approach in terms of philosophy, organisation and implementation of findings is discussed. It is shown that the approach needed for resource management in the arid rangelands is radically different from that used in the more humid regions. The scale of operation (ranches measured in thousands of Km2 rather than thousands of hectares), and the reliance in Australia on market forces external to the country make for sharp contrast with the situation in southern Africa.