Update, 4.00pm:
The fire has now been deemed safe and people are able to return to the area.
Update, 2.10pm:
The fire is now under control.
Firefighters will remain on scene and ask that people and traffic avoid the area.
Earlier, 1.20pm:
Emergency services are currently responding to a structure fire on Archer St at Shepparton Wreckers.
Toxic smoke is currently coming from the blaze and the area is being evacuated.
Emergency services have issued a watch and act warning for Orrvale, Shepparton, Shepparton East and Kialla.
People are asked to avoid the area, particularly Archer St and Percival St, to allow emergency vehicle access.
Those in residential areas around and to the east of the fire are advised to close all doors and windows.