Abstract Consumers have become increasingly demanding about the quality of products of animal origin, particularly regarding animal welfare during production, transport, and slaughter. The aim of the present study was to review the factors affecting the welfare of lambs for slaughter in Chile and show the implications on meat quality. Rounding up and driving the lambs from the fields in large extensive production systems and long distance transport through difficult geographical routes affect the blood variable indicators of stress and reduces muscle glycogen reserves, increasing the risk of high pH of meat. In small farmer sheep production conditions there is a lack of appropriate installations for loading/unloading and deficiencies in vehicle structure specific for lambs; this together with the work of untrained handlers results in a high percentage of mortality and bruised carcasses, compared to European studies. These problems are common for other South American countries and should be addressed firstly by educating and training all the people involved in the lamb meat chain regarding animal welfare. In Chile there is legislation, ongoing since 2013, regarding the protection of animals during production, transport, and slaughter, including compulsory training of animal handlers and livestock transporters, which should improve animal welfare and meat quality.