Amid whisky's global gloom Tasmania is still seizing 'amazing opportunities'

Despite Tasmania being known for its whisky globally, the state's whisky industry has faced significant challenges recently. Once legal in Tasmania over 150 years before Scotland, the industry was declared illegal in 1839 by Governor John Franklin, leading to a dormant state of affairs for more than 150 years. The ban was only lifted in 1901, and it wasn't until the efforts of Bill Lark, who became known as Tasmania's whisky godfather, that the industry began to thrive again.

Lark founded Lark Distillery in 1998, following a campaign to allow small-scale spirit operations in Australia. His first batch sold out almost immediately, and the company continued to grow, winning several awards, including the prestigious title of best single malt whisky at the World Whisky Awards in 2014.

However, the current global whisky downturn has hit the Tasmanian whisky industry hard. Distilleries from Kentucky to Kilkenny have been forced to pause production and lay off staff as customers leave bottles on the shelves. While the industry's cyclical nature is familiar to most distillers, the current downturn represents the biggest challenge for Tasmania's whisky businesses since the colonial law that governed the state until 1992.

Many distilleries, like McHenry Distillery, have had to reduce production and lay off staff. The industry's growth has also been impacted by increased competition, persistently high inflation, and the availability of cheaper imported products. With the decision to slow down production, distilleries are worried about potential difficulties in meeting future demand, which could lead to some distilleries collapsing.