VRC Chief Executive Officer Neil Wilson said: "The VRC has learned that Taylor Swift is now unable to make the trip to Australia and therefore cannot be with us on Melbourne Cup Day.
"Obviously, this is disappointing for everyone. We understand how important the pre-Cup entertainment is and we look forward to providing an update shortly".
The star's decision to perform at the race that stops the nation caused outrage among animal activists, who took to social media in an attempt to have the performance cancelled.
Following the announcement, the Coalition for the Protection of Racehorses was quick to launch a social media campaign asking Swift to say #NupToTheCup.
"Taylor Swift has put money before compassion by agreeing to perform at the 2019 Melbourne Cup," the group posted.
"Horses are being killed for gambling profits and entertainment. If Taylor Swift cares at all about other animals the way she appears to care about cats, she will cancel her show and make a strong statement that animal abuse is unacceptable.
"Head on over to Twitter and politely ask @TaylorSwift13 to say #NupToTheCup," it read.
Swift had expressed her excitement over the big event in a statement published in the Herald Sun.
"I can't wait to come to Melbourne, and I can't wait to come to the Melbourne Cup," she said "I've heard so much about the race."
It was to be her only Australian performance.