Moyne Shire has said it was blindsided by plans to move the Sungold Field Days from its Allansford site.
The plans by the event's new organisers McPherson Media Group (MMG) were first reported in The Standard last week, taking Moyne Shire Council and ratepayers by surprise.
Councillor Daniel Meade raised the issue at the open council meeting on Tuesday.
"It was reported last week that there's potential the Sungold Field Days may be relocating to within the City of Warrnambool.
"I wondered whether it may be worth the events team... to follow up on that and maybe get in touch with the new facilitator and organiser to see what we can do to maintain that within Moyne Shire?"
Director of economic development and planning Brett Davis told Cr Meade he was "as surprised as you were to hear that and we are meeting next week."
"We have already reached out."
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MMG events manager Jamie Gilbert said he would have been happy to keep the event at its Allansford location, but the site was no longer fit for purpose.
"It was part of the contract that MMG signed with Saputo to take over the event that the site is no longer suitable and the event would have to move," he said.
Mr Gilbert said he had been "in discussions with Warrnambool City Council about suitable sites in Warrnambool, among other locations".
"The potential of moving the event into Warrnambool will give even more people access to the field days and the expanded range of activities and exhibitors we've got planned," he said.
But he stressed no decision had been made on the location of the new event.
Cr Meade appeared disappointed the council had to hear about the plans in the media.
"No doubt it would have been nice to be contacted to discuss it before the move was publicly mooted," he told The Standard.
"The field days won event of the year at our Australia Day awards last year, so its a significant event for the shire."
The Sungold Field Days runs in February each year but was cancelled in 2021 and won't run again until 2023. It has been held outside Allansford since 1981.
Mr Gilbert said MMG had no choice but to cancel the 2022 event, given the company was yet to choose a new location.
"We are less that four months out, so there was too much uncertainty and too much to do," he said.
Cr Meade questioned the logic of moving an agricultural event from a rural shire into a city.
"I couldn't see Warrnambool having a site large enough to hold it, it's really turned into a purpose built facility we've got out there (at the current site)," he said.
Mr Gilbert said it was crucial the eventual location had "the population density to support an event of the size of the Sungold Field Days".
"Our priority is to find the best site for the event and not limit our options," he said.
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