Malt Shovel Brewery, founded by Chuck Hahn and acquired by Lion in 1993, has announced its closure due to sustained declines in beer consumption, marking another setback for Australia’s beer industry.
Lion, the owner of Malt Shovel, described the decision as difficult but necessary in light of challenging market conditions. The brewery, known for its pioneering role in Australia’s craft beer movement and iconic James Squire range, will cease operations by the end of August 2024. Lion has assured affected team members of support, including efforts to facilitate alternative employment within the company and provisions for redundancy, outplacement assistance, and access to personal support services.
James Brindley, Managing Director of Lion Australia, attributed the closure to a combination of factors impacting the beer sector. “It’s been a tough time for all players in the Australian beer industry,” he stated, citing significant declines in beer consumption and escalating costs such as energy, labor, ingredients, and government excise, now among the world’s highest.
Reflecting on the closure, Allison Macdonald, current Head Brewer at Malt Shovel, expressed sadness while highlighting the brewery’s rich legacy. “As Head Brewer, I’ve cherished my role as a custodian of Malt Shovel,” Macdonald remarked. “While it’s disheartening to face its closure, I take pride in the brewery’s storied history and the countless brewers who have contributed to its legacy.”
Macdonald emphasized the brewery’s unique practice of maintaining an Honour Roll, commemorating all past brewers who have shaped its identity since Chuck Hahn’s founding in 1988. “From Chuck Hahn as brewer #1 to myself as #59, and a total of 65 brewers, Malt Shovel has fostered a community of talented brewers who have made significant contributions to Lion and the wider industry,” she added.
Brindley underscored Malt Shovel’s pivotal role in diversifying Australia’s beer landscape, introducing consumers to a range of styles including pale ales, porters, and stouts, alongside well-known brands like James Squire and Hahn.
Looking ahead, Lion plans to redistribute production of Malt Shovel’s portfolio, which includes James Squire, Eumundi, New Belgium, and Little Creatures products, to its other brewery facilities across Australia. Brindley reaffirmed Lion’s commitment to its craft brewing capabilities, noting ongoing operations at Fermentum breweries in Northern Rivers and Little Creatures breweries in Geelong and Fremantle as centers of craft excellence.
As Malt Shovel Brewery prepares to conclude its operations, its legacy in pioneering Australian craft beer remains a testament to its enduring impact on the industry.
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