Gardeners know it is ideal for making compost but now a company in Snowdonia has won an award for being even more innovative with sheep droppings.
Sheep Poo Paper is hung to dry
Creative Paper Wales has produced greetings cards and gifts made from the by-products of its woolly neighbours.
Its Sheep Poo Paper products have won a £20,000 Millennium Award for "social entrepreneurship".
After the sheep droppings are collected, they are sterilised, washed and mixed with other recycled paper.
This is then turned into the finished paper and cardboard while the washing water is distributed to local growers as concentrated fertiliser.
Founders Lawrence Toms, 38, from Rhondda and Lez Paylor, 38, from Caerphilly, said they had been keen to develop an idea which would create a manufacturing company which would be uniquely Welsh and could produce a product that foreign imports could not compete with.
They also wanted to set up a low-tech company with minimal capital which was also environmentally friendly.
The company was recommended for the Millennium Award by a former winner.
Mr Toms said: "We were delighted because it enabled the project. £20,000 isn't a very large amount of money [in business terms] but we were keen to prove that it was possible."
The company's plant at a former quarry building at Aberllefenni near the Centre for Alternative Technology near Machynlleth will be able to produce one to two tonnes of paper a year.
The award was made by UnLtd, a charity which supports social entrepeneurship.