Victorian Farmers Federation branches representing members selling cattle at Pakenham have written to the owners, requesting a meeting over its impending closure.
Branches with members on the Mornington Peninsula, in Cardinia, Bass Coast, Warragul and Whittlesea, have asked for the meeting to discuss options for the yards.
Victorian Livestock Exchange, which runs Pakenham have said it will close on June 30.
The branches have written to VLE chairman Christopher Sleigh and managing director Brian Paynter asking for a formal briefing to discuss the impending closure.
Peninsula branch president Stephen Todd, writing on behalf of the five branches, said members were "shocked and disappointed" to learn of the closure.
"After the closure of the Dandenong saleyards, this was to be the permanent home of livestock sales on the south-east side of Melbourne and remains a strategic asset for livestock agriculture," he said.
"It is an asset to Victoria, servicing the Yarra Valley, the Peninsula, Bass Coast, west and south Gippsland."
The centre also served as an important transit facility for the livestock transport industry and had served as a refuge centre, during natural disasters, most recently the Bunyip Complex fires, he said.
Mr Todd said livestock producers and processors would face greatly increased transport costs to Leongatha.
"It is acknowledged that VLE is a privately owned business that will make decisions on a commercial basis and aligned with its fiduciary, legal and social responsibilities," Mr Todd said.
"However, to assist producers and businesses better understand the rationale behind the proposed closure, there are a number of questions that should be addressed."
He asked whether the VLE had canvassed producers over an increase in yard duties, to cover increased land tax and shire rates.
"If we take the shire rates and land tax issues at face value, what steps have you taken?" Mr Todd said.
"Have you requested a differential (lower) rate from Cardinia shire council in an effort to keep the facility in the shire?
"Given the strategic significance to Victoria, have you contacted Treasurer Pallas to seek a land tax rebate?"
Cardinia VFF branch president Tony Morgan, Bayles, said the closure would be a big impost on Mornington Peninsula producers.
"I am really disappointed Pakenham is closing, because I think it's a great facility and I think it's a valuable piece of infrastructure, in the peri-urban area," he said.
"But I completely understand VLE is a private company, that needs to run their business they way they do, and they need to be able to make decisions and react to market forces."
He said those market forces had been driven by the state government and land tax.
Faye Tuchtan, Grantville, from the Bass branch of the VFF, said producers on the Mornington Peninsula and in the Whittlesea area would be most affected by the closure.
"We are closer to Koonwarra than they are, but it limits options and VLE haven't given the six years before closure, they initially said they would," she said.
"They didn't give the option of increasing prices, which most farmers would pay, so there is no option, just 'okay, we are closing in six months'," Ms Tuchtan said.
A forum or public meeting was required to fully explain the reasons behind the closure, she said.
Peter and Lorraine Burgi, Gruyere, turn off Charolais/Angus-cross weaners to Pakenham every year.
Mr Burgi said the closure of Pakenham would mean they would have to look to other yards, most likely Yea, to sell their cattle.
"The logical one to look at is Yea, because basically it's close to here as we are to Pakenham," he said.
"But I think there has to be a lot of work done up there to bring it up to standard, for the work they will get.
'"Leongatha (Koonwarra) is too far from us and the roads are nothing special."
He said farmers had a duty of care, in carting stock, as well.
Mr Burgi said he was concerned about a lack of buyers and competition.
"I've seen the closure of Newmarket, Croydon, Lilydale, Dandenong and now Pakenham - it's not good," he said.
It was probably true that land tax was an issue for VLE, Mr Burgi said.
"I'm sure the investor looked at what his return on investment would be but land tax is killing us farmers," he said.
"But, there again, we have a government that doesn't care."
He said a meeting would be an "excellent idea" but said he felt "the horse has bolted".
VLE's managing director Brian Paynter has been contacted for comment.