Historic Tasmanian Brewery to Close After 145 Years

Japanese-owned beverage giant Lion has announced a plan to close its James Boag’s Brewery in Launceston, Tasmania in November 2026.

The move would cut 42 jobs and end 145 years of brewing on the historic site.

Lion cited the “significant cost inflation” along with the long-term decline in the national beer market as reasons for the decision. The brewery is operating at only about one fifth of its capacity at the current time.

Lion Australian CEO Anubha Sahasrabuddhe described the news as difficult for the Boag’s Brewery team and Launceston community.

“I sincerely apologise for the negative impact this announcement will cause,” she said in a statement.

“This proposal is no reflection on the incredible capability, passion and commitment of our brewery team members and the many more who have come before them who have worked hard to operate the brewery as efficiently as possible despite decreasing volumes.”

Consultation with the team members is underway before a final decision is made. Lion, a subsidiary of the Japanese global food and beverage company Kirin Holdings, will explore redeployment options across its network and honour all entitlements, including redundancy payments if the proposal goes ahead.

Meanwhile, the James Boag’s brand will continue to be brewed at other Lion sites, while the recently reopened Boag’s Brewhouse will remain the brand’s home. A local sales and hospitality team will be retained.

Tasmanian Premier Expresses Disappointment

Following the announcement, Tasmanian Premier Jeremy Rockliff said the government was “extremely disappointed” with Lion’s decision.

“Today’s announcement by Lion of its proposal to close the historic James Boag’s Brewery in Launceston will be deeply concerning for the 42 workers affected, their families and the broader Northern Tasmanian community,” he said.

“The government has been a strong supporter of the business over a number of years.”

The state government has provided taxpayer-funded support to the brewery, including a grant that will be repaid.

Meanwhile, Labor MP for Bass Jess Greene described the decision as a “sad day” for the community.

“There are some names and businesses that are woven into the story of Launceston, and Boag’s is one of them,” she said on Facebook.

“Boag’s represents jobs, local pride, family connections and a piece of Launceston’s history.”

Lion has pledged a $500,000 (US$359,000) reskilling fund for displaced workers and a $500,000 community fund for northern Tasmanian organisations over five years.

The company will also repay a $1 million state government grant for Boag’s brewhouse redevelopment and work with the City of Launceston on the future of the brewery site.