Melbourne Cup 'will go ahead'

Racing Victoria says the Melbourne Cup will go ahead without horses from interstate if the equine influenza crisis continues to spread.

The claim came as agriculture minister Peter McGauran said it would be "a miracle" if races went ahead this weekend and suggested the iconic two-mile race — due to be held on November 6 — should be delayed.

But Racing Victoria chairman Graeme Duff immediately rejected the call, pointing out that the 'flu-free Victorian industry may start racing as early as Wednesday after closing its borders to horses from interstate.

"It will still be the carnival," he told News Limited.

"If there was a quality horse that was to come here (from interstate) that now can't come, you might say that affects the carnival.

"My view would be that there are always those sorts of things — horses that break down or are injured — but the carnival still goes on."

The 72-hour lockdown on the movement of horses throughout Australia appears to be containing the spread of Equine Influenza (EI), federal Agriculture Minister Peter McGauran said.

At least 50 horses across NSW and Queensland are suspected to have EI and a 72-hour order is in place banning the movement of horses around the nation.

That order lasts until Tuesday afternoon.

The first case of EI in Australia was found in a stallion at Sydney's Eastern Creek quarantine station which was immediately locked down on Thursday.

But on Friday recreational horses stabled at Centennial Park, in Sydney's east, were found to be suffering from clinical symptoms.

"The key is not so much the numbers of horses, it's the locations because obviously horses congregated in areas are going to spread it amongst themselves," Mr McGauran told the Seven Network this morning.

"If you look at the relatively few numbers of locations where it's been detected or highly suspected, then the strategy of containment may very well be working."

But he warned horse owners about getting complacent and urged them to adhere to the lockdown.

"It's going OK, but we're teetering on the edge. We should know within a few days whether or not the strategy of lockdown is working," Mr McGauran said.

"Because it's so virulent and so highly contagious - it can spread airborne or by human touch or by the sharing of equipment - you must stand still.

"The best way we can beat this, and there's every reason to confident we can, is for every horse - whether it's a pony, a hack or a racehorse - is to stand still.

"You therefore minimise the risk of the flu going from location to location."

Mr McGauran added an investigation is underway to determine if the 'flu had spread from the quarantine facility.

"There have been rumours involving a potential carrier by way of a vet and of a farrier as well as of a horse float but none of those inquiries have come to anything," the minister told ABC Radio.

Mr McGauran said there would be serious consideration before any decision was made to allow horse racing to resume mid-week.

"It's highly unlikely in some of the states, especially Queensland and NSW where there are very likely - if not certain - positives for equine influenza, to resume that early.

"However everyone is striving towards the same goal which is at the very least get racing back next weekend and resume this vital industry."