Recently, a selection index called Valor Económico Lechero (VEL) was developed for Chilean dairy cattle under pasture. However, a specific selection scheme has not yet been implemented. This study aimed to estimate genetic progress from selection on the VEL selection index based on selection schemes using progeny testing (PT) and genomic selection (GS). Under a PT-scheme, estimated genetic progress was 41.50, 3.44, and 2.33 kg/year for milk, fat, and protein yield, respectively. The realised genetic gain takes eight-year after the PT-scheme implementation, which may be a disincentive for implementing a PT-scheme, suggesting that importing frozen semen of proven bulls could be a preferred alternative. In this case, an option may be to conduct the genetic evaluation of those bulls using their progeny in Chile for the traits included in VEL selection index. In the case of implementing a specific selection scheme, compared to PT, a more profitable alternative might be the implementation of a GS-scheme, that would result in a faster genetic gain in the aggregate breeding value or merit for all the traits included in the selection objective (0.323–0.371 vs. 0.194 σg/year).