Warrnambool Racing Club chief Peter Downs said the event was worth around $30 million to the region and the study would provide “an accurate figure on the overall benefit of the carnival to the local economy.”

In 2013 then-premier Dennis Napthine said the carnival was worth $70 million to the region.

Consultancy firm IER is undertaking the study in conjunction with the Warrnambool City Council. Findings will be released after the May carnival.

IER has completed recent assessments at events including the Victorian Spring Racing Carnival, the national impact of the Melbourne Cup and the Australia v England Ashes Test Match. 

Mr Downs said the three-day carnival attracted patrons from overseas and across Australia. Prize money at this year’s event is $1.4 million.

More than 27,000 people attended last year’s carnival, with Thursday’s program attracting 15,000 patrons.

Warrnambool City Council city growth director Andrew Paton said it was “one of the jewels in the city’s crown” and visitor spend was high. 

About 70 per cent of people attending the carnival are from outside Warrnambool, boosting accommodation occupancy and increasing patronage at hotels and restaurants. 

Mr Paton said in past years dry cleaners, hairdressers and clothing retailers had recognised it as their busiest period.

The racing club employs 500 staff and contractors, including bar and catering staff, security and ground staff.

Best Western Olde Maritime owner Raj Patel is fully booked and has increased staffing to cater for the influx. “Warrnambool is renowned for jumps racing,” Mr Patel said. “To have that come to Warrnambool is just brilliant. Everybody thrives on it.” 

He said restaurant staff doubled from five to 10 and housekeeping staff hours doubled from 12 per week to 24 during the carnival. “It helps all the retailers,” he said.

“Everybody’s buying. I’ve just bought $4,000 worth of wine. That’s just me, as well as everyone else who is buying. That’s just the wine. Imagine the food.

“They’re having staff working extra shifts for that week. There’s more money in everybody’s pockets.”