Victoria's racing minister says NSW's decision to ban greyhound racing without consultation could spark a "flight from NSW" to Queensland or Victoria.
Martin Pakula says other states will have to deal with the fallout of NSW's decision to ban the industry from 2017.
"It's probably a reason why having a state take a unilateral decision like this without any reference to or consultation with other state governments is such a difficult thing for other states and territories," he told SEN radio on Friday.
Mr Pakula said he spoke to his Queensland and South Australian counterparts on the issue and they were all surprised.
"I don't think anybody saw it coming," he said.
The minister said if people did move their operations into Victoria, he had confidence in Greyhound Racing Victoria to apply the tougher standards introduced under sweeping reforms to the industry.
Since GRV started reforming a year ago, there has been a 25 per cent drop in "wastage" dogs bred in Victoria.
Mr Pakula said GRV stopped financial incentives for breeding greyhounds leading to the reduction in over-breeding, and extra resources were put into adoption programs.
He said the next target would be breeders who continuously breed dogs that do not become racing dogs.
GRV senior integrity adviser Charlie Bezzina told 3AW the industry had become welfare driven and focused on banning trainers who dope their dogs.
He said the community and those in the industry needed to speak up when they saw something wrong.
"We need the assistance of the good people, and the good people outweigh the ratbags of the industry," Mr Bezzina said.
NSW will ban greyhound racing from July 1 next year in response to a report that found evidence of systemic animal cruelty within the industry.
A Special Commission of Inquiry report by former High Court judge Michael McHugh revealed, among other damning findings, that up to 68,000 greyhounds were killed in the past 12 years because they were deemed uncompetitive.
