Most rodeos have complied with the law in recent years, the Ministry for Primary Industries (MPI) says, despite some breaches of the code outlining rules around the controversial activity.
Anyone responsible for the welfare of animals used in rodeos is bound by an MPI code of welfare which outlines the standards they have to achieve to meet their obligations under the Animal Welfare Act 1999.
This outlines minimum standards of care across eight areas - ranging from stockmanship, food and water, equipment, to "emergency humane destruction".
When this code was revised in 2014, it included several new requirements to better protect animal welfare, an MPI spokesman said.
"This includes minimum standards that prevent the use of pyrotechnic displays and sheep riding events at rodeos, and strengthened standards for some equipment.
"It also requires all rodeos to have a veterinarian and an animal welfare officer present. More broadly, the code requires that animals must be handled at all times in such a way to minimise the risk of pain, injury or distress, and only fit and well animals may be used."
Failing to meet a minimum standard of the code may be used as evidence to support a prosecution for an offence under the act.
Since 2014, he said there had been no prosecutions for offences.
"MPI has had a regular presence at most rodeo events for the last two years. There have been some minor breaches of the code of welfare, dealt with through education, but most rodeos have been compliant with the law.
"The rodeo industry to date has been very proactive around their obligations under the Animal Welfare Act."
Any alleged breaches of code needed to be raised on the day with the rodeo animal welfare officer or the veterinarian, he said.
"If a breach has been committed the most appropriate action is taken to achieve a change in behaviour. This may range from education, warnings all the way up to prosecution for serious breaches under the Animal Welfare Act."
He said MPI did not differentiate between companion animals and farm animals in terms of cruelty thresholds.
This code of welfare applies to anyone responsible for the welfare of all animals being used in rodeos and includes animals used in rodeo training, and animals used in rodeo schools. This includes New Zealand-based rodeos and visiting international rodeos.
There are also codes of welfare for sheep and beef cattle, dairy cattle, and for the transport of animals in New Zealand.