The Hon. Annabelle Cleeland, Nationals’ Member for Euroa, Media Release, 11 September 2025

The Nationals’ Member for Euroa, Annabelle Cleeland, has expressed frustration over the decision to abandon a major munitions manufacturing agreement in Benalla, labelling it a devastating blow for the local community.

The Department of Defence quietly scrapped its agreement with Thales Australia to manufacture 155-millimetre M795 artillery ammunition at the Benalla munitions facility.

The deal, first announced in October 2024, would have seen Thales produce 15,000 rounds of artillery ammunition annually by 2028, with the capacity to scale up to 100,000 rounds.

Ms Cleeland said the move robs Benalla and the broader north-east region of significant opportunities for jobs, infrastructure development, and long-term economic growth.

“This is yet another example of Labor abandoning regional Victoria – pulling vital investment and jobs from towns like Benalla while pouring billions into Melbourne projects.,” Ms Cleeland said.

“Benalla was set to become a national hub for advanced defence manufacturing, delivering up to 550 secure jobs.

“With the stroke of a pen Labor has torn that away, burying the decision in a vague media release that failed to even mention Benalla.”

Beyond the direct employment opportunities, the partnership promised major flow-on benefits to the community.

“During meetings with contractors we were told that a portion of investment would be returned directly to Benalla as a legacy project,” Ms Cleeland said.

“We identified urgent needs – housing to avoid pressure on the local rental market, relevant TAFE courses to upskill workers, and new accommodation for Benalla Health staff.

“These were real, tangible benefits that would have made a lasting difference for our community. They are now gone because of this decision.”