In 1886, the line was extended another 32 kilometres (20 mi) to Yarrawonga, on the southern bank of the Murray River,[1] which formed the colonial and, later, the state boundary between Victoria and New South Wales.

[3] The last regular passenger service on the line was between Benalla and Yarrawonga on Saturday 9 December 1978, operated by DERM 56RM.

[8] The local MP reported that the cost of converting the 125 km (77.7 mi) branch to standard gauge was just over $13m.

[11] Since then, the line has seen numerous grain trains run by both Pacific National and Southern Shorthaul Railroad, as well as very occasional services by QUBE.

In the 2000s, a potential new source of traffic on the line was noted, with the opening of coal mines in the area.