The National Tarkine Coalition is appealing a decision made in August last year by then Federal Environment Minister Mark Butler to approve a direct-shipping iron ore mine site.

The challenge is against the former Minister, the state government and mining company Venture Minerals.

The decision is being appealed on four grounds by barrister Emrys Nekvapil.

They include allegations of a failure to consider the "cumulative impact" of other industry in the area, the impact on threatened species including the Tasmanian devil, wedgetail eagle and spotted-tail quoll and whether the decision complied with a bi-lateral agreement on environmental assessments between state and federal governments.

The trial is expected to last two days.