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Clearing for farmland has greatly reduced the wombat's habitat, and this, together with competition for food from sheep and cattle, has created a critical situation for the survival of the species. The Northern Hairy-Nosed Wombat is Queensland's most endangered marsupial, having been reduced to just over 100 wombats in the wild, restricted to Epping Forest National Park near Clermont. Other wombat species are also subject to loss of habitat, mostly through agriculture, but also through the ever-increasing spread of city and town boundaries, and subsequent housing and industrial developments.

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