Tasmanian butchers and farmers react to Woolworths halting local beef sales

Tasmanian butchers have backed their local suppliers following Woolworths's decision to stop selling Tasmanian beef.

Suppliers say they were told last week that Woolworths would stop selling Tasmanian beef in stores due to rising costs of production and shipping across the Bass Strait.

But one butcher is hopeful the move will lead to more Tasmanians buying Tasmanian produce.

Launceston butcher Rob Perry said that while he had never been "short of supply" of Tasmanian beef, his new-found focus was to buy and sell even more.

"I think other butchers and anyone in the meat game should be doing the same and promoting our local product," Mr Perry said.

"At the end of the day, we need to keep these producers alive."

The Casalinga Gourmet Meats owner said he wanted to offer more choice to consumers off the back of Woolworths's exit.

"We're looking for the top end market and we're prepared to pay for that so we can get that product on a consistent basis," Mr Perry said.

"I've been in the game for 47 years and I believe a butcher is someone who gets carcass meat, makes his own sausages and value adds all the product.

"We need to think where we were 30 or 40 years ago … let's get some meat carters out there and get the abattoirs working so we can get some product out the door."

Lack of service kill processing facilities

Agricultural non-profit Sprout Tasmania CEO Jennifer Robinson said she was "gutted" to hear about Woolworths's decision.

"When we see corporates making decisions like this purely based on focusing on their profits, it's really disappointing," Ms Robinson said.

"Farmers are being squeezed by many things at the moment.

"We really just need to be making sure in our community here in Tassie that farmers have choices, farmers have access to markets."

She said Tasmanian farmers who wanted to process their own animals to sell meat under their own brand could not, due to a lack of service kill processing facilities in the state.

She said if that were to change, local farmers would have "more choices and opportunities to diversify".

"There are not enough abattoirs out there of varying scales that enable farmers to take an animal to be processed and get their meat back," she said.

The Bass Strait barrier

Liberal MP Nick Duigan said Bass Strait freight was a "substantial barrier" for businesses in Tasmania.

"Obviously, we're disappointed to hear that decision by one of our big supermarkets," Mr Duigan said.

"Freight is an issue and I understand that, but again, we'd call on the federal government to release its review of the Freight Equalisation Scheme."

An independent review into the scheme commenced in October last year and was expected to be handed down mid-2026, though a formal release date has not yet been announced.

"We will make the appropriate approaches to those businesses that have made those decisions about having Tasmanian produce on their shelves," Mr Duigan said.

"There will be conversations happening with TasFarmers and how we frame our conversations with Woolies going forward."

The ABC understands Woolworths does not access the Tasmanian Freight Equalisation Scheme.

The ABC understands Woolworths will continue to sell Tasmanian beef until the end of the year.