Member for Wannon Dan Tehan made the announcement on Sunday night in the last day of his Canberra COVID-19 quarantine after a successful trade mission to Britain.

Mr Tehan said that in addition to the 50/50 federal and state contribution to the dairy supply chain $34.9 million package that there would be more money in the Budget for Green Triangle/Princes Highway West and for Green Triangle roads of strategic importance.

Those details are expected to be released in coming days.

"These announcements will all be dropped as part of the Budget," Mr Tehan said.

"Road funding is just so important for our region.

"It's great to see more funding coming into our roads through the federal budget.

"These announcements are something I've been working on with our local partners for many many months.

"Now we need to see action - bitumen being poured and roads being upgraded."

The federal government contribution to the $34.9 million package will be $17.5 million, with an additional $17.4 million from the state government.

The project will deliver upgrades to support the dairy industry supply chain in the south-west by providing improved access and safety for high productivity freight vehicles.

The upgrades will target key freight routes, including the Cobden to Warrnambool Road, the Cobden Stonyford Road, the Camperdown-Cobden Road and associated feeder roads.

The project is expected to support 80 jobs directly and indirectly based on government estimates.

The general benefits will be improved safety for all road users, as well as boosting freight productivity, efficiency, network reliability and improved accessibility and connectivity with the road network.

The project is expected to start construction late this year and be finished by mid next year.

In March this year Victorian Minister for Roads and Road Safety Ben Carroll said the state government's $17.4 million investment supported the growth and development of the farming and tourism industries in the south-west.

"These works will not only support local economies, but they'll also provide safer and more reliable journeys for local residents," he said.

Mr Carroll said crews had started work on the $17.4 million worth of upgrades.

He said the works would ensure the network is stronger for trucks and tractors travelling between local farms, depots and processing facilities.

The minister said crews were completing rebuilding and resurfacing upgrades to improve strength and longevity of the roads, while assessments will also be done to safeguard the integrity of bridges in the area.

He said the state government funded upgrades were expected to be completed by mid-2021 - weather permitting.

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