Legumes have underpinned transformational change on New Zealand sheep and beef farms over the last 30 years. This was through an emphasis on ewe nutrition based on lucerne or red clover dominant pastures, and increased use of subterranean and white clovers on uncultivatable hill country. Pre- and post-weaning lamb growth rates have increased, and enabled earlier slaughter of heavier lambs. The farm systems results include greater numbers of hoggets mated, higher lambing percentages and greater ewe efficiency (kg lamb weaned/kg ewe mated). Extension packages to support legume use have compared growth rates of resident and legume-based pastures, economic analyses of successful farms and management packages for the most appropriate legume in different environments. Over the same period, the dairy industry rapidly expanded in cow numbers and area onto flat irrigated land on the Canterbury Plains. The nitrogen deficiency of perennial ryegrass was overcome by a linear increase in nitrogen fertiliser use. Environmental concerns from this intensification has led to a legislated nitrogen cap of 190 kg/ha.year. This, coupled with a recent trebling in urea price, has returned attention to increasing the white clover content of these pastures. Nitrogen applications can be minimised by using diverse pastures sown with a legume, herb and <8 kg/ha of perennial ryegrass. Work on other legumes, including annuals and those with condensed tannins, has to date failed to increase their use in most pastoral settings, with the exception of the perennial lupin which is adapted to high-aluminium soils in the South Island High Country.