Bendigo MP Lisa Chesters is concerned the government's $1.5 billion Modern Manufacturing Strategy won't deliver funds to the sector fast enough.
Following a meeting with Industry Minister Karen Andrews' office last week, Ms Chesters said she is worried about the slow progress being made.
"It's a complicated process and our manufacturers' only involvement at this stage is to register and receive updates," Ms Chesters said.
The centrepiece of the strategy is a $1.3 billion Modern Manufacturing Initiative, which will see the government strategically invest in projects that help manufacturers scale up and create jobs.
The industries of resources technology and minerals processing, food and beverage, medical products, recycling and clean energy, defence and space have been identified as six priorities.
Last Sunday, Ms Andrews said about $40 million of the $1.5 billion allocated would be spent this financial year.
The 2020-21 Budget papers account for a spend of $79.1 million before June 30.
"Funding support is a long way away and our manufacturers need support now," Ms Chesters said.
Bendigo's manufacturing sector currently supported 5810 employees, or 9.2 per cent of Bendigo's total industry workforce, across 418 businesses.
In October, Senator for Victoria Sarah Henderson said manufacturers are central to our economic recovery from the COVID-19 pandemic.
"Manufacturers have capabilities that underpin so many other industries and support businesses in regional Victoria right along the supply chain," Senator Henderson said.
"The government is determined to play to our strengths and ensure we are strategically invested in Bendigo."
Bendigo manufacturers, including Thales and Australian Turntables, welcomed the government's initial announcement.
For more information, manufacturers can register for updates here.