Killarney Brewing & Distilling: Politicians urge Government to help after 'devastating blow'

All 55 staff are to lose their jobs as the €30m business is set to close

More than 50 staff at Killarney Brewing & Distilling Company have been told the company is to cease operations at both of its premises shortly with the loss of all jobs

The mayor of Killarney and fellow councillors have called on enterprise minister Peter Burke and the Government to push for every possible support after the 'devastating' news that a local brewery is set to close.

More than 50 staff at Killarney Brewing & Distilling Company have been told the company is to cease operations at both of its premises shortly with the loss of all jobs. 

The operation includes the plush multi-million euro brewery, whiskey distillery, and visitor centre overlooking the lakes of Killarney in Fossa.

Killarney Municipal District Cathaoirleach Martin Grady said the €30m-plus building “finished to a very high standard” cannot simply be left there. “My heart goes out to the 55 people losing their jobs,” he said. He has called for Mr Burke to intervene.

Killarney Municipal District Cathaoirleach Martin Grady called on enterprise minister Peter Burke to intervene after the news that the distillery and brewery is set to close. File picture

Tourist footfall in Killarney had been affected because so much accommodation was diverted towards international protection and refugee needs, Mr Grady also noted. 

Labour councillor and former senator Marie Moloney said four of Kerry’s five TDs are part of the Government and they must ensure everything possible is done. “It’s a devastating blow for the area,”  Ms Moloney said.

This was “a massive building”, with specialized vats and equipment to be allowed to stand idle, Ms Moloney said, and she called on the IDA and Enterprise Ireland to intervene.

The Killarney Chamber of Tourism Commerce has also called for supports from Government.

Multi-million euro investment

The large distillery opened in 2022, expanding on the operation which began in 2015 in Killarney town.

Millions of euro has been invested by the company in the Fossa premises and distillery,  which includes a restaurant, a number of bars, and large function rooms, all catering to leisure, tour, and corporate business.

The covid pandemic impacted its business potential, delaying the original opening. 

The original KBD brewery premises, in a former mineral water factory in the Muckross Rd, is also impacted.

All 55 staff are to lose their positions, it has been confirmed locally, after staff were called to meetings.

Merger plans fell through 

Plans to merge with a US strategic partner fell through earlier this year, and the company went into examinership in April. At the time, KBD remained hopeful the process would be a viable path to secure the company’s future.

“Like many in the drinks manufacturing industry, KBD has endured unprecedented challenges during and following the covid-19 pandemic,” the company stated in April

"These included surging raw material costs, significant supply chain disruptions, delays in opening the Fossa distillery, whiskey inventory supply gluts, and broader geopolitical uncertainties. 

"Collectively, these issues have placed significant pressure on the business and negatively impacted both revenue and profitability." 

The continuing threat and uncertainty over tariffs and a downturn in coach and other tourism locally also impacted the business.

A decision on the appointment of a liquidator has been postponed until Monday.