With the postponement of the country music festival, the rodeo was waiting in the wings to fill the entertainment void for locals and draw visitors to the region.

But in a statement on Tuesday Australian Bushmen's Campdraft and Rodeo Association (ABCRA) executive officer Craig Young said the event had been cancelled due to COVID-19 risks.

"Unfortunately, the growing number of COVID-19 cases impacting on many services and events state-wide, has also impacted the ABCRA," he said.

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"This was an extremely tough and difficult decision for the Board to make, we must prioritise the health and safety of our team, competitors, sponsors and spectators.

"The Board simply had no other option but to cancel this particular event."

Scheduled for January 21 and 22, the show had received more than 1,100 entries, and before the cancellation, Mr Young told The Leader he expected the event to inject a considerable amount of money into Tamworth's economy.

"They all drive a truck, they all bring a horse, they all eat, they all sleep, they all do something which is worthwhile for the town," he said.

"That will all bring money into the town."

Due to the recent spike in COVID-19 cases and the postponement of other major events Mr Young said there had been a significant impact on ticket sales.

While competitor entry fees and tickets are now being refunded Mr Young said ABCRA would work hard to reschedule the event in the coming months and would be assessing their eligibility for Event Saver funding from the NSW government.

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