The Regulatory Impact Statement is part of a State Government draft proposal on changes to firearm regulations recommending lowering some licence fees including rifles by 11 per cent, professional hand guns by 17 per cent, increasing others such as sporting hand guns by 97 per cent and firearm dealer licences by up to 647 per cent.

A & L Guns owner Rod Flower said his licence fee will increase from about $1380 to $7400 for a three-year period under the new price guidelines.

‘‘This will close down 80 per cent of the businesses and will affect country Victoria more than anywhere else,’’ Mr Flower said.

He said several hobby businesses in Bendigo would not be able to justify the costs and would shut, while Bendigo’s two main dealers would have to increase prices to cover fees and remain viable.

Hartley’s owner Lindsay Handley said the biggest impact would be felt by the small country businesses who sold guns and ammunition as a small part of their trade.

‘‘What will this mean for the small country towns that serve the local communities?’’

He said an increased fee would mean increased prices and would hit customers, particularly farmers who relied on reasonable ammunition costs to help in their vermin control programs.

Kerang Sports and Toys owner Michelle Dillon said they were the only retail gun and ammunition dealers in the area and would have few options but to top selling them.

‘‘This is a big part of our business,’’ Ms Dillon said.

‘‘It’s fishing shooting and a few toys, but it just wouldn’t be worth our while if increases of this nature were brought in.’’

Ms Dillon said farmers looking for ammunition would be put to the extra expense of driving to Bendigo, or worse to Melbourne, to purchase ammunition.

She said farmers would simply give up on the option of trying to kill vermin such as foxes or rabbits if the costs became prohibitive and it would undermine effective vermin control which requires baiting, den control and shooting.

Ms Dillon said increasing junior gun licences from $39 to $94 would also act as deterrent to many younger people who had taken up the sport since the last Olympics.

Public submissions to the draft must be made to the Senior Policy officer in the Department of Justice by March 17.