The production of a pure lucerne (Medicago sativa) pasture, two lucerne‐grass pastures and two red clover (Trifolium pratense)‐grass pastures was compared at two grazing pressures (3.5 and 4.0 kg DM per small stock unit d‐1) in the Outeniqua area, using Mutton Merino sheep in a put‐and‐take system of grazing. The four legume‐grass pastures consisted of mixtures of the two legumes with combinations of tall fescue (Festuca arundinacea), phalaris (Phalaris aquatica) and brome grass (Bromus unioloides). The average production in terms of dry matter, stocking rate, average daily gain and total live weight gain of the three lucerne‐based pastures was higher and more constant than that of pastures based on red clover. Lucerne was also a more persistent legume component than red clover. Choice of grass species had very little influence on production and the inclusion of grass in both lucerne‐ and clover‐based pastures did not improve production. Pastures with a brome grass component, however, tended to be higher‐producing than the other legume‐grass mixtures. It is concluded that pure lucerne or legume‐grass pastures based on lucerne are the most productive dryland pastures for this area.