A fence worth $2.2 million has been built in western New South Wales to limit the kangaroo population and keep feral animals such as goats and wild dogs out of 22 farms.

The Gilgunnia Cluster Fence project is the first of its kind in the state and mirrors cluster fences built in Queensland that have been successful in keeping out wild dogs.

Dean Hague's property is one of those inside the fence, 80 kilometres west of Condobolin.

He said wild dogs are getting nearer to his area and he wanted to get ahead of the problem.

Mr Hague said he would have destocked already this season if not for the fence which has kept kangaroos off limited pasture. ( Supplied: Local Land Services )

Space to play or pause, M to mute, left and right arrows to seek, up and down arrows for volume. Listen Duration: 4 minutes 27 seconds 4 m 27 s Gilgunnia Cluster Fence keeping feral animals of western NSW properties ( ABC Rural: Sally Bryant ) Download 2 MB

But his main concern was keeping feral animals off his pasture.

"We adjoin a lot of rough country outside the fence, and as soon as the dry times come the kangaroos and feral goats eat us into drought," he said.

Mr Hague said he is not trying to eradicate kangaroos, just manage their numbers.

"We don't want to get rid of kangaroos totally ... we look after our country, but then we end up with everyone else's kangaroos as well," he said.

The biggest challenge in getting a project such as this done can be convincing the neighbours to join in.

The Federal Government contributed $584,000 in the 2016 Drought and Pest Weed program, but landholders had to find the rest.

Mr Hague said his neighbours wanted to know what they would get for their money.

"I suppose you can't guarantee 100 per cent, but we put a whole lot of things on paper ... and I think there are a lot of relieved people inside [the fence] now and very thankful it's gone ahead," he said.

The fence cost $2.2m to build with Government funding of $584,000. ( Supplied: Local Land Services )

The Queensland experience has been very positive for farmers like Will Roberts, who said the fence had just about paid for itself in its first year.

In 2014, he only marked 14 per cent of his lambs so his mortality rate was pretty high.

But in 2015 after the fence was built he marked 87 per cent.

Mr Hague was confident his fence would do the same.

"It's a pretty big investment but I think its going to pay off," he said.