Mr Murray said WA sheep farmers were being forced to destock and move towards crops, cattle or goats because of the escalating problems with wild dogs.

In last week's Farm Weekly, it was reported that the Queensland Government was offering concessional finance and other assistance packages to primary producers in an effort to entice them to get back into sheep production as the state's flock had fallen to below critical mass.

Mr Murray said the Government should follow suit and introduce the same finance strategy, as well as form a wild dog action group.

"The dog offensive group will oversee the implementation of the wild dog strategy including controlling wild dogs within the barrier fence and reducing the impact of the dogs outside the fence," Mr Murray said.

"Wild dogs cost WA industry and farmers millions of dollars every year.

"A similar program is desperately needed here, not just to eradicate wild dogs, but also to encourage farmers back to the sheep industry including offering financial assistance for low interest loans to help get their properties, equipment and machinery back up to a useable standard."

WA Stud Merino Breeders Association president Brett Jones said WA's sheep flock had also reached a critical stage, but he did not think financial assistance was the answer.

Mr Jones said WA still had a viable sheep industry and the Government should help support the industry, not necessarily individual businesses, before it was too late.

"We still have a viable industry and it should be incumbent on Government to help support industries that are viable," he said.

"Sometimes we find that Government support comes after the horse is bolted, so we would encourage action, particularly with the wild dog problem and the Department of Agriculture and Food research and extension, sooner rather than later."