By the time Victoria had been declared a colony in its own right, a great debate raged over the ownership of land. New arrivals to the colony wanted an end to the rights of squatters who had substantial claims to the best land, and in 1857 a Land Convention was held in Melbourne.

The Convention, and the passing of the Nicholson Land Act in 1860, were the beginnings of a deeply ingrained bitterness which was to mark battles between squatters and selectors for a number of decades.

Land battles also saw the rise of crime, particularly struggling selectors stealing horses and cattle from wealthy squatters. It was at this time that some of Australia's most infamous bushrangers came from the south; the most notorious being Ned Kelly, who after a colourful career in bushranging was shot, captured and later hanged in Melbourne gaol.

Agriculture developed over time in the colony. This is not surprising, after all it was people interested in acquiring pastureland who first came to Victoria in the 1830s. Most of the colony was divided into small farms and the work was hard, although the land and climate were very favourable. Livestock, vineyards, market gardening and dairying were all engaged in by the Victorian farmers.

The coming of the railways helped farmers and boosted the industry's profits. It was the farmers who helped keep things together in the depression years of the 1890s. They had become Australia's largest producer of wheat by this time, and whilst many others left Victoria in search of better work opportunities, as credit from English investors began to cease and the optimism turned sour, the farmers were one of the main groups to help the colony get back on its feet again.

Since then it has flourished and economically grown, with the pastoral, agricultural, mining and manufacturing industries all contributing to the overall well being of the State.

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