King Island Dairy
| Company type | Private |
|---|---|
| Industry | Dairy manufacturing |
| Founded | 1902 |
| Headquarters | King Island , Australia |
| Products | Cheese (blue, cheddar, brie, camembert), butter, whole milk, dried milk powder |
| Owner | Nick Dobromilsky and Graeme Wilson (since 2025) |
King Island Dairy is a dairy manufacturing facility based on King Island in the Bass Strait, Australia, with operations dating back to 1902. Renowned for its specialty cheeses, the company produces award-winning varieties such as blue, cheddar, brie, and camembert. It stands as the island’s largest employer.
History
The inaugural dairy enterprise on King Island, known as King Island Dairy Factory Co. Ltd, was founded in 1892. A decade later, in 1902, the King Island Co-operative Dairy Factory Company Limited was proposed and construction commenced that same year at Loorana. The factory dispatched its first butter shipment in September 1902 and by 1904 was supported by milk from 900 cows. Expansion of the factory premises occurred in 1905.
In 1936, Archibald Gunn established A. E. Gunn Pty Ltd at Wickham, initiating cheese production on the island. This operation merged with the King Island Co-operative Dairy Factory two years later, in 1938.
A planned merger with Melbourne’s Kraft Walker Cheese Company in 1945 did not materialize. Cheese manufacturing ended in 1947, leading to the closure of the Wickham facility; however, the cooperative persisted in producing butter, whole milk, and dried milk powder.
By the mid-1970s, financial challenges plagued King Island Dairy, resulting in the cessation of butter production in 1975 and receivership by 1977. On 1 July 1978, William J. and Robyn Kirk of Interlandi Cheese (Tasmania) purchased the dairy for $180,000. Initially focusing on processed cheese for Kraft Foods’ Middle Eastern markets, they later pivoted towards premium cheeses, introducing a signature Brie in 1985. Nevertheless, due to unpaid loans, the Tasmanian government reclaimed ownership early in 1986 and subsequently sold it to Melbourne-based Transequity for $300,000; Transequity was eventually acquired by agribusiness consultancy Agricorp.
In 1992, investors from Melbourne bought Agricorp’s shares to form the unlisted Island Food Company. By 1998, milk supply on the island came from over 9,000 predominantly Friesian cows.
National Foods acquired King Island Dairy in 2002 for $77 million. Five years later, Japanese conglomerate Kirin purchased National Foods for $2.8 billion and merged it with Lion Nathan in 2009. In 2011, Lion Nathan National Foods divided into two entities: Lion and Lion Dairy & Drinks.
In 2019, Canadian multinational Saputo Inc acquired Lion Dairy & Drinks from Kirin, including ownership of King Island Dairy.
In March 2025, after reports surfaced about a possible shutdown scheduled for September 2024, Australian cheesemakers Nick Dobromilsky and Graeme Wilson purchased King Island Dairy from Saputo Inc for an undisclosed amount. This acquisition returns the company to Australian hands after a quarter-century of foreign ownership and secures its ongoing operations alongside plans to develop new product lines.
Products
- Soft white cheeses
- Washed rind varieties
- Blue vein cheeses
- Danish Blue
- Blue Brie
- Ash Blue
- Blue Cheshire
- Cheddar cheese
- Smoked Cheddar
- Blue Cheddar
- Bush Pepper Cheddar
See also
- Dairy production in Australia
- Compilation of cheesemakers
- Directory of Australia's oldest businesses