SYDNEY, Sept 5 (Reuters) - Anti-war activists on Wednesday lost a bid to march through central Sydney during a meeting of 21 Asia-Pacific leaders when an Australian court backed police bans.

Anti-war demonstrators belonging to the "Stop Bush Coalition" had planned to march through a pedestrian square in the city heart on Saturday to demonstrate outside the U.S. Consulate as President George W. Bush joined 20 other APEC leaders for talks.

But the state Supreme Court backed a police order to move the route of the march, which activists predict will draw up to 20,000 people.

People had a right to protest, but it would be foolish to think everyone had peaceful intentions, the judge said.

"Mr Bush excites perhaps indifference in some, support in others and anger in others," he said.

"I don't have any doubt that the overwhelming majority of those attending the demonstration wish to exercise their democratic right of lawful assembly and freedom of expression. But I think it's Pollyanna-ish to think that everyone there will share that view."

New South Wales state Police Commissioner Andrew Scipione said the ruling was a victory for common sense because protesters may have been hurt in a confined area if violence broke out.

More than 5,000 soldiers and police are patrolling inside a steel-and-concrete fence built to protect the Asia-Pacific Economic Cooperation summit leaders, equipped for the first time in Australian history with water cannon in case of rioting.

Protesters said they would consider altering their march route to end near the security wall, where they would sit peacefully and listen to speeches.

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