# Bluetongue brewery to close



## Bribie G (23/1/14)

Just in from the ABC

Typical Fosters. If a brewery arises that threatens them, buy it out and close it down.


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## DU99 (23/1/14)

http://www.theaustralian.com.au/news/bluetongue-brewery-at-warnervale-to-close-64-jobs-lost/story-e6frg6n6-1226808535218


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## Lord Raja Goomba I (23/1/14)

SAB/Miller is now starting to make their ownership felt.

A bit like the old closures in the North of England, which seems to brew Tuborg, Carlsberg and other global beers, now.

A bit sad. Never had much use for their beers (a bit boring) but sad for the dudes losing work because of shareholders.


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## Liam_snorkel (23/1/14)

Sad for people getting the sack but that's where it ends, I don't give a rats arse otherwise. If the guys who started it were interested in making beer they wouldn't have sold it to pacific beverages (coke/SABmiller) in the first place.. they saw a gap in the market which is no longer there.


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## davedoran (23/1/14)

with a bit of luck this could mean a smaller brewer coming in and trying setting up in the central coast.
Company I work for built the new factory a few years back.


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## Lord Raja Goomba I (23/1/14)

I read one of the articles in question, where it was a case of "producing a premium Australian beer" - the trouble is, the premium Australian beer was just a knock off of Euroswill and/or Boags/Cascade Premium. 

Not saying they aren't adequate beers at all, but the reality is, you're producing something that's already been done, with smaller economies of scale and expecting the market to pay extra for it.

Plus, sometimes, when it comes to these new ventures, it's all about timing. They were after the Euro-craze and the start of BUL, but before craft beer took off in Australia. Sort of a no-man's land. If they'd hit early in the craft phase (and saw the future - and made beers accordingly) or early in the Euro-craze, they'd have smashed it, because they'd be brewing the right beer at the right time.

It's the other reason you need the tap contract situation sorted and excise situation for smaller breweries sorted. Otherwise you're going to get these startups which get big, give the big 2 a scare, get bought out and then shut down. By not giving _real_ excise relief to the smaller guys, you're reinforcing the big 2 duopoly. If the excise relief was better, there would be less incentive for smaller craft style breweries to sell out to the biggies - as the biggies cease getting that relief in taking it over. And you keep the tourist, craft, moderate element of the beers in place, plus the employment there.

Anywho, sorry about the thesis, I'm bored at work, not a great deal to do.


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## davedoran (23/1/14)

Liam_snorkel said:


> Sad for people getting the sack but that's where it ends, I don't give a rats arse otherwise. If the guys who started it were interested in making beer they wouldn't have sold it to pacific beverages (coke/SABmiller) in the first place.. they saw a gap in the market which is no longer there.


I heard a different story. The original owner was meant to be a character. In the original brewhouse he refused to knock the family house and a tree. Original house and tree surrounded by a tank farm.
Story goes Coca Cola knocked on his door and said we are buying they were buying his brewery. He said no they weren't. They showed him an obscene cheque and he said where do I sign.


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## Liam_snorkel (23/1/14)

I must admit that would be a test of character.

found this tidbit on another forum from 2007 (shortly before coke bought them out):



> I'll see if i can ask around regarding how the Old is made and get back to you.
> Yeah, its exactly what happened, we revived the name to get up Tooheys
> 
> There was a bit of an ownership bid, however we still have the original owners.
> ...


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## Mardoo (23/1/14)

Not boring at all. Changes to taxation are completely necessary if Australia is to have a thriving craft brewing and brewpub industry.


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## Ducatiboy stu (23/1/14)

dave doran said:


> I heard a different story. The original owner was meant to be a character. In the original brewhouse he refused to knock the family house and a tree. Original house and tree surrounded by a tank farm.
> .


Um...no. The brewery started at Cameron Park industrial precinct, just down the road from where my ex came from at West Walsend.

The beer was never really that great, in fact their ginger beer was absolute shit. Their head brewer even acknowledged that the lager was ordinary at best and the whole thing was basically a marketing thing. Hence John Singleton buying in. 

CCA bought in because they wanted an "in" on the beer market. They wanted to become Australia's 3rd biggest brewer and bigger than Coopers. They bought in and relocated the operation to Warners Bay.


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## GalBrew (23/1/14)

Yep, the one time I went there I paid cash money for the worst tasting paddle on the face of the planet. All their beer was shite except maybe for the pils which was tolerable.


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## Bridges (23/1/14)

On a fishing weekend once one of the boys "lashed out" on a slab of blue tongue, it quickly became known as "brown tongue" as the opinion of everyone there was that it tasted like arse.
Always a shame to hear of people losing jobs though. Not a nice position to be in at all.


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## Ducatiboy stu (23/1/14)

The Pilsner was at least drinkable.

I remember once staying at The Federal Hotel, Belingen ( where they have a localy brewed ale on tap ) and they had BT ginger beer on tap. I asked the barman what it was like and he said " here is a 7....tell me what you think"....I told him it tasted like I had eaten a cake of soap...his reply was " thats why I only gave you a 7 to try....yeah...it tastes like soap"......it was disgusting.


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## wide eyed and legless (24/1/14)

Lord Raja Goomba I said:


> A bit sad. Never had much use for their beers (a bit boring) but sad for the dudes losing work because of shareholders.


If we didn't have shareholders we wouldn't have industry, though one would think it may have crossed their minds to say lets make a decent beer from this brewery, and the answer would be sales, they wouldn't sell enough to make it worthwhile.
Down the track they may take notice if the sales of craft and imported beers keep rising.


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## TimT (24/1/14)

_If the excise relief was better, there would be less incentive for smaller craft style breweries to sell out to the biggies - as the biggies cease getting that relief in taking it over. _

I understand how the smallies get relief, obviously - the biggies are better able to pay large taxes and still make a profit. Not quite sure what you mean about 'the biggies cease getting that relief in taking it over', unless you mean that the smallies just wouldn't want to sell out in the first place?!?? (I guess you must mean that. Just trying to work it out.)

Your thesis sounds spot on though Lord Raja. Good luck changing excise laws in the current political environment though....!

Perhaps if craft brewers campaigned intelligently, even made links with wowser groups (like Drinkwise), and made their case sensibly, arguing that alcohol restrictions have benefited big brewers, and have alienated old, small-run brewers in pubs who are less likely to tolerate irresponsible drinking from people who are most likely their own patrons, a strong case for change could be made. Dunno about getting all craft brewers to agree on a strategy though.... do they have a lobby group?


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## Bribie G (24/1/14)

Apart from the excise thing, the other problem seems to be the taps contract rort. The only "craft like" beers you generally get outside of "precincts" like major city CBDs are owned by the duopoly anyway. For example in my area I can get a selection of JS, and White rabbit on tap and that's about it. Coopers are big enough to be able to get Pale Ale into many pubs but to get anything more crafty I've got to head to Newcastle or Sydney.

Even with Bluetongue beers, their tap offerings were pretty woeful. Anyone try that "Bruers Bright" concoction? My second schooner was VB to get some flavour :blink:

As a pom I don't really go for bottled beers and I must admit that apart from Coopers ales, Stouts and imported lagers I've hardly ever bought a six or four pack of any Australian craft beers. However I drink them on tap whenever I can.


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## Bribie G (24/1/14)

And I wonder what will happen to the site? Unless they dismantle the guts of it and ship it to Yatala there's a fully fledged brewhouse in mothballs, I wonder if any of the regionals such as Stone and Wood or Murrays are big enough yet to step up and expand?


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## GalBrew (24/1/14)

Bribie G said:


> Anyone try that "Bruers Bright" concoction?


That was one of the worst beers I have ever had the misfortune of drinking.


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## GalBrew (24/1/14)

Bribie G said:


> And I wonder what will happen to the site? Unless they dismantle the guts of it and ship it to Yatala there's a fully fledged brewhouse in mothballs, I wonder if any of the regionals such as Stone and Wood or Murrays are big enough yet to step up and expand?


Apparently CUB is keeping the brewing plant, but not the brewery site. I assume they plan to dismantle it and ship it off somewhere else. Some of it could probably fit at Matilda Bay at Port Melb, there is plenty of empty space there.


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## Ducatiboy stu (24/1/14)

Prob cheaper for CUB to buy an existing brewery then ship the equipment to another location rather than install new equipment. Plus a little extra from the land sale.


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## sp0rk (24/1/14)

TimT said:


> Dunno about getting all craft brewers to agree on a strategy though.... do they have a lobby group?


I believe that is part of what the Craft Beer Industry Association does


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## Bribie G (24/1/14)

That's what they did with Yatala.
Y was Powers Brewery and when Bernie Power scared the shyte out of them with that excellent Powers Bitter and associated brews, CUB bought him out and promptly shut down the old Bulimba Brewery site (Actually in Fortitude Valley not Bulimba) and sold it for unit development.

I'd guess they got Yatala for free at the end of the day. Bet they are kicking themselves however, the developers put up some shitbox ticky tacky fairly low rise 90s units that are already looking clapped out. If they had the bare land there nowadays it would probably be worth twenty times what they sold it for, it would be an absolute gem in modern Brisbane.


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## TimT (24/1/14)

_I believe that is part of what the Craft Beer Industry Association does_

Good point, Sp0rk. And their goals seem to be modest but sensible. The campaigns are dull (talking about excise tax and container size limits is enough to make almost anyone yawn) but they won't offend anyone and maybe they will make some good changes in the long run.


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## sp0rk (24/1/14)

TimT said:


> _I believe that is part of what the Craft Beer Industry Association does_
> 
> Good point, Sp0rk. And their goals seem to be modest but sensible. The campaigns are dull (talking about excise tax and container size limits is enough to make almost anyone yawn) but they won't offend anyone and maybe they will make some good changes in the long run.


The container sizes is actually a very good thing, it should hopefully see a rise in the adoption of growlers


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## TimT (24/1/14)

You sent me running to google to find out what growler meant which lead me to Urban Dictionary.


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## wide eyed and legless (24/1/14)

The excise tax has probably not been changed since it was established however many years ago, apart from indexing it with the strength of the beer, it is certainly a mill stone around a craft brewers neck, I can't understand why any government could not have in place some sort of tax exemption for any fledgling business.

I read years ago that one of the Nordic countries didn't start implementing tax on companies until they were showing a profit, what we get here is to much red tape and taxes, one can't help but wonder what is going to happen to this country 20 years from now.


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## Liam_snorkel (24/1/14)

wide eyed and legless said:


> one can't help but wonder what is going to happen to this country 20 years from now.


something like this


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## Bribie G (24/1/14)




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## TimT (24/1/14)

Carlton in the distance, craft brewers in the foreground?

I think I prefer the nightmarish-vision-of-the-future-that-has-Tina-Turner-in-it.


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## jyo (24/1/14)

Thunderdome really sucked. No Interceptor.

I just feel sorry for the workers in this situation.


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