If you check the FAQ, it specifies that it’s sheered wool, as the sheep are not kept for meat or wool production but but for grassland maintenance.
They caveat that males need to be culled as only one can live in a herd, otherwise sheep get culled once they become unable to feed by themselves.
So the wool is a byproduct of sheep that would be kept anyway.
If you check the FAQ, it specifies that it’s sheered wool, as the sheep are not kept for meat or wool production but but for grassland maintenance.
They caveat that males need to be culled as only one can live in a herd, otherwise sheep get culled once they become unable to feed by themselves.
So the wool is a byproduct of sheep that would be kept anyway.