Abstract: MTDFREML software was used to estimate the genetic parameters of main economic traits of high quality merino sheep in the natural ecological conditions of Xinjiang. The estimated values of heritability were 0.56±0.07，0.16±0.06，0.33±0.08，0.20±0.08，and 0.31±0.08 for staple length, fineness, total fleece grade, greasy weight and live weight after shearing respectively. Large positive genetic correlation estimates were obtained between greasy weight and live weight after shearing(0.77±0.11) , greasy weight and staple length(0.80±0.12); there was a negative genetic correlation (-0.45±0.15) between staple length and fineness. This suggests the attention should been paid to greasy weight and body weight when selection for fineness.