There are concerns for dozens of Australian and New Zealander hikers on the Kokoda Track after local landowners set up a blockade, forcing authorities to suddenly close the famous route in Papua New Guinea.

Traditional owners at Nauro village have painted themselves with clay and used logs to construct a barrier, claiming they're owed over $15 million in unpaid compensation under a deal struck in 2010.

The Kokoda Track Authority yesterday advised tour operators that the track would be closed until further notice.

The Australian High Commission in Port Moresby is seeking advice on the number of Australians affected by the closure, but it is not aware of trekkers being harmed or facing danger.

PNG Commissioner of Police David Manning said his force was assisting about 64 hikers in total to exit safely.

But there are concerns for those who have already spent days on the trail and are at risk of running out of food.

Hikers 'exhausted'

Adventure Kokoda director Charlie Lynn, whose company runs tours of the World War II route, said the situation had caused chaos.

He said a group of 10 hikers from Australia and New Zealand was due to reach Nauro village today, after hiking for almost a week from Kokoda.

"You know, helicopters are ginormously expensive. We can't afford that."

The group is about three days away from finishing the 138-kilometre hike at Ower's Corner in Central Province, accompanied by experienced Papua New Guinean guides.

Mr Lynn said they were exhausted and did not have enough food to last them a week if they turned back.

"They're probably about 35 kilometres, 40 kilometres from the finish. And they've done the hard yards," he said.

"They've crossed the highest peak of the trail. They've survived everything, you know, the weather, the mountains, the jungle, the creek crossings, the lot.

"When you're two to three days out, all you can think of is crossing that finish line … cleaning your gear, having a good meal, and celebrating the success of your venture. And that moment has been shattered."

Landowners 'ignored'

In a notice to operators yesterday, the Kokoda Track Authority said the Mount Kodu Landowner Associate was demanding the government pay money promised to landowners.

Police added that the group claimed to be owed more than $15 million as part of a socio-economic development package offered by the PNG government in 2010 to prevent mining in the area.

Large gold deposits were discovered in an area adjacent to the Kokoda trail in 2006.

Around the same time, the Australian government committed to helping Papua New Guinea preserve the trail and seek a World Heritage Listing for the site instead.

In addition to the unpaid package, Mr Lynn said Kokoda landowners did not receive a fair share of benefits from the Kokoda Track Authority, which collects fees and manages the route.

"The entire Kokoda trail communities have been disenfranchised, disengaged and ignored. And this has now manifested itself in them taking the action they've taken," he said.

Treks shrouded in uncertainty

Mr Lynn said the track closures also threatened to affect hundreds of Australians who had planned to hike the gruelling track over the coming weeks — during the peak school holiday period.

"People have paid their money, they've trained for a year, they've taken time off work, they've got their tickets, and they'll be jumping on the planes next week, and they don't know now whether they can," he said.

A spokesperson for the Australian Department of Foreign Affairs said it was monitoring the situation closely.

"The Australian High Commission in Port Moresby is supporting relevant PNG authorities to work with communities on a resolution," they said.