A watch and act bushfire warning has been put in place for parts of the Otway Ranges in Victoria's south-west, as total fire bans remain for north-western areas of the state. 

Residents in Gellibrand and Kawarren have been urged to evacuate the area because of a bushfire along Railway Line Road in Kawarren. 

The Country Fire Authority (CFA) said the fire was not yet under control and was moving in a southerly direction towards Frys Road in Kawarren. 

There are 24 fire trucks responding to the bushfire, as well as two helicopters.

People in the area are being advised that leaving now is the safest option and to drive out of the area via Colac-Lavers Hill Road. 

Locals are also advised to closely monitor emergency information and if they are away from home, to not return.

Gellibrand River Hotel manager Dorthe Koorn said her business was about 4-5 kilometres from the blaze and she could see smoke.

She said about half-a-dozen local residents who had evacuated their homes had come to the Gellibrand River Hotel for refuge. 

"I had people for lunch and now they can't leave," Ms Koorn said. 

A medium-sized grassfire has also broken out in north-west Victoria. 

The CFA said five vehicles were on scene at Goschen, south of Swan Hill. 

The fire is believed to cover more than 200 hectares in crops and grass.

There is currently no threat to the communities of Goschen, Ultima or Ultima East, but residents in those towns are asked to stay informed via multiple sources. 

The fires come after a total fire ban was called for the Mallee and Wimmera districts in north-west Victoria.

The fire danger has been deemed extreme, with temperatures forecast to hit 37 degrees Celsius in Mildura and Swan Hill and 36C in Horsham.

Strong winds are expected to continue into the evening.

State Control Centre spokesperson Luke Hegarty said the entire state needed to remain alert.

"Because we've had such dry conditions for a number of months in a row, what we are anticipating is where there's strong winds, that can mean that a fire may spread or start in parts of the state where we haven't got the total fire ban," he said.

Mr Hegarty said the fire risk would ramp up towards the end of the day.

"Just keep your eye on the winds because they do have the potential to spread fires that start very quickly," he said.

Up-to-date fire information is published on the VicEmergency website, aired on ABC Radio and via the Country Fire Authority’s social media.