The current trial is due to end this weekend and the Victorian Farmers Federation is pressuring the government for a commitment.
Livestock president Leonard Vallance wants Premier Daniel Andrews to nominate places where farmers can dump dead kangaroos.
"[We're] demanding that the Premier step in here and nominate places for farmers to dump their dead kangaroos, because if they leave them on their properties they become food sources for cats, foxes and wild dogs," he said.
He said it is extremely disappointing the Minister has been unable to make a rational decision on the issue.
"If the Government is not able to provide these locations which are convenient for farmers, then we'll be encouraging to dump roos on the side of the road in piles, so as to make a point to the Government that this is an absolute waste of protein which could be utilised and have [a] benefit to the environment."
The program was started in 2014, and Mr Vallance said up to 60 jobs will be lost if the program is not extended.