Hundreds of banner-waving protesters have warned of disastrous consequences for New South Wales if the premier, Mike Baird, pushes ahead with plans to shut down the industry.

Protesters turned out in force for a rally organised by the NSW Greyhound Racing Alliance at Sydney’s Hyde Park on Tuesday.

Several industry professionals spoke about the potential disastrous ripple effects a ban could have.

Pet meat producer Bec Pace said a ban could spell the end of her family’s business, which derives most of its earnings from the greyhound industry.

“My husband is a second-generation pet meat processor, she told the crowd. “His father started this business 50 years ago. We have sons that we were planning on handing that on to – that’s not going to happen.”

“My husband and I have never owned or trained a greyhound, but Mr Baird has decided that as of July next year he’s going to take away our family legacy and he’s going to put us on the unemployment line, along with all our staff.”

Pace mentioned other knock-on effects, including an overpopulation of kangaroos, normally destined for the pet meat industry, as well as rising unemployment across several associated industries.

The state’s opposition leader, Luke Foley, who wants to regulate the industry using a tough new watchdog, told the rally the ban would mean nothing less than a “mass slaughter” of greyhounds.

“This is not a manoeuvre that will enhance animal welfare,” he said. His words were met with thunderous applause from protesters amid cries of “shame”.

His comments were echoed by the Christian Democratic Party leader, Fred Nile, who promised to propose a parliamentary inquiry into the industry.

Baird and his deputy, Nationals leader Troy Grant, spent much of Monday trying to ease tensions within their parties over the ban as they prepare to introduce legislation outlawing the sport in coming days.

Several Nationals MPs have been furious with the pair over the lack of consultation over the ban, due to come into force in 2017.

One Liberal MP broke ranks with his party, publicly attacking Baird over the government’s plan.

Queanbeyan MP Peter Phelps was angry at a lack of internal consultation and said banning an entire industry because of the actions of a “small sector” was dangerous.

“It’s just become typical, unfortunately, of both this [Baird government] and the O’Farrell government to treat the backbenchers as a rubber stamp,” he told ABC radio on Tuesday.

On Tuesday, the government planned to formally table legislation in parliament to outlaw the sport from July 2017.

Baird announced the end of the sport last month following an inquiry that found mass slaughter and animal cruelty endemic in the industry.

