The Tasmanian government is proposing to purchase the Boag’s Brewery site in Launceston and says it has in-principle support from its overseas owner to explore the idea.
Premier Jeremy Rockliff met with representatives from Kirin — the parent company of brewer Lion Australia, which owns Boag’s — in Japan earlier this week.
Last month, Lion announced it would close its 145-year-old Launceston Boag’s site by November and complete a shift of all production of the iconic Tasmanian beer to its mainland breweries.
On Wednesday morning, Mr Rockliff wrote in a press release that Kirin had “provided in-principle support to explore in good faith the state’s proposal to purchase the site”.
Until then, there had been no indication from the government that it would want to purchase the site.
“Kirin reiterated it and Lion’s commitment to working closely and collaboratively with the Tasmanian government and City of Launceston in relation to the future use of the site,” Mr Rockliff said.
The government did not release any further details of its proposal and it remains unclear what it would use the site for or how it would finance any deal.
The government is holding a Northern Tasmanian Economic Summit today.
In June, Boag’s said it will cease Tasmanian operations in Launceston in November after 145 years of local operation. (ABC News: Emily Smith)
Mr Rockliff said the government and Kirin had agreed to pursue enabling legislation in parliament to support future redevelopment opportunities across the precinct in a timely way, noting the complexities of the site.
“Any future planning framework must strike the right balance between preserving the site’s heritage, unlocking investment, creating jobs and ensuring the precinct can evolve to meet the needs of future generations,” he said.
Kirin agrees to consider ‘further requests’ on worker support: Rockliff
Mr Rockliff said he had put the concerns of Boag’s workers directly to parent company Kirin during his trip to Japan.
“I heard clearly from the workers about how this unexpected decision [to close the site] has impacted them and their families, and the need for more clarity from Kirin and Lion,” Mr Rockliff said.
“Kirin has agreed to genuinely consider the further requests in relation to the worker support package.“
“I will meet with Lion’s CEO next week to progress discussions on workforce support ahead of the brewery’s closure.
“Workers have always been our priority throughout this process, and we will continue fighting for them.”
It is understood the brewery’s closure will impact 42 local jobs.
The brewery is responsible for 42 local jobs. (ABC News: Andre Leslie)
In rationalising the decision to close the site, the brewer said it had been grappling with high costs and a “long-term decline in the national beer market”.
The premier also said Kirin had reinforced its commitment to “explore small batch opportunities” with Tasmanian brewers, but he did not provide any further details.
“The Boag’s site is part of Tasmania’s industrial and cultural heritage, and any transition must be managed responsibly and with a focus on future economic opportunities,” he said.
