It will be the first time the Australian titles have been held for four years and the first time in Orange.

Len Banks, secretary of the Orange Rotary Club, which organises the festival, said about 30-40 of the nation's best bush poets would compete in February.

He said the titles would be held at the Orange Ex-Services' Club and would complement the festival's existing poetry competitions.

Mr Banks said the Australian Bush Poets Association had approved Orange as the 2021 host city.

"We would expect the best of the bush poets from across Australia would come, all dependent on COVID," he said.

Mr Banks said it was expected competitors and spectators would also stay in Orange and visit local tourist attractions.

The festival has had top bush poets, including Robyn Sykes, as guests in previous years.

The club has sought $12,000 funding from Orange City Council to help host the event.

A staff report to council has recommended the money be allocated from council's Quick Response Fund.

It is used to fund new events.

"The National Bush Poetry Championships is an event development for the festival and will attract visitation from state and nationwide to visit the region," the report said.

"In line with policy, $12,000 is recommended."

The titles were last held in 2017 in Perth.

They are decided over four categories of bush poetry, original humourous, original serious, contemporary and traditional.