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He also inspected commodity supplies and prices at a local supermarket before visiting seniors and orphans at local welfare houses.
Wen conveyed New Year greetings to local residents.
Wen made the trip less than two months after the Chinese government announced financial assistance for herders in eight provincial-level regions including Inner Mongolia, Xinjiang and Tibet.
The government will give 90 yuan (about 13 U.S. dollars) per year per hectare to herders living in severely damaged grassland areas where herding has been banned.
Outside of these herding-banned regions, residents will receive 22.5 yuan per hectare per year if they keep a herd of sustainable size.
The government will also give 150 yuan per hectare to farmers to grow grass of better quality. It will also give 500 yuan per year as general assistance to each of 2 million herder households.
More money will also be spent on the education and training of herders.
The central government will allocate 13.4 billion yuan every year for the measures.
"Due to excessive herding and low investment in grassland conservation, grasslands areas in China have shrunk dramatically and their environment has deteriorated. However, local herders lack new ways to make a living," said a State Council circular in October.
The policy is designed to conserve the natural environment and improve locals' livelihoods.