RURAL leaders have condemned Australian Wool Innovation following the Italy delegation scandal.

And Agriculture Minister Tony Burke says he is unhappy with AWI's "structure and the way it operates".

VFF Livestock Council wool spokesman Geoff Fisken said news of the Italy visit and subsequent letter of condemnation from Italian processors was "disturbing at the very least".

"To hear that they did that and to leave a bad impression, it's just totally unprofessional," Mr Fisken said.

"The chairman might go overseas, but for a group of three directors to go there and to put it bluntly they spoke bulls...t. It beggars belief.

"It's this ongoing problem AWI is having of board members involved in the day-to-day running of the company. It's just not on."

Mr Fisken said lines of corporate governance had been blurred at AWI and that chairman Wal Merriman needed to pull some board members into line.

Victorian Farmers Federation president Andrew Broad said AWI had to become "an industry body without politics".

"Dairy Australia and Meat and Livestock Australia seem to just get on with the job," he said.

"The AWI model hasn't been working and needs to change (and) get on with the job of restoring what was the great Australian wool industry."

Mr Burke said AWI's structure and operation were the subject of a review by the Productivity Commission.

"I'm convinced levy-payers can get better value for their money," Mr Burke told The Weekly Times.

Mr Burke has previously said a levy system required farmers receive "absolute efficiency" from their levy dollars.

The minister was unavailable to answer questions on the Government's funding agreement with AWI and whether AWI had stepped outside it.

National Farmers' Federation president David Crombie would only say: "You can't have anything but industry unity."

Asked what made MLA successful when he was at the helm, he said "good policy carried forward with a unity of purpose".