Breaking: Boag's to cease beer production in Tasmania

James Boag's, a brewery with a history in Tasmania dating back to 1881, has announced it will halt production in the state by November. The closure of its Launceston facility marks the end of an era for the iconic brand in its home state.

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It's such an iconic brand in Launceston, and it's going to be felt very deeply.

Parent company Lion Australia stated that while production for mainland Australian markets had already been shifted away from Tasmania, the local brewing operations were maintained for supply within the state. The company will also repay a $1 million loan from the Tasmanian government, which was provided in 2023 to support the brewery's visitor center and tours.

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It's really difficult news, and we're just processing it now.

Alina Bain, chief executive of the Launceston Chamber of Commerce, described the news as "devastating" for the northern region of Tasmania. She emphasized the brand's iconic status in Launceston and the significant impact the closure will have on the community.

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been in decline

The decision is attributed to challenging market conditions within the beer industry, which has seen a general decline. Coupled with rising operational costs, these factors have made it "incredibly challenging" to sustain the brewery's operations. The closure will directly affect the 42 individuals employed at the Launceston brewery, raising concerns about local employment and the economic impact on the region.

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increasing costs are causing difficulty