The organisation is renewing a push for federal funding to begin construction, having already secured the land and funds for ancillary works, fit-out and equipment.

FermenTasmania chief executive officer Karina Dambergs said the construction phase would provide much-needed stimulus during the economic downturn, while the finalised hub would help producers recover post-COVID.

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"What we really need is a stimulus package coming out of this - one that creates work for people. Our proposal has the potential for construction work initially, and then ongoing work," she said.

"It's an opportunity not only for wineries in West Tamar, but all of the other foods coming out of Northern Tasmania to reach new markets through access to fermentation technology and our expertise.

"This is something that could shape the future of the region."

FermenTasmania applied for $6 million under the Building Better Regions Fund, which it hoped could be matched as part of the Launceston City Deal.

Bass Liberal MHR Bridget Archer said she would advocate for a range of projects as the government considers stimulus measures.

"As I work with the government in regards to stimulus measures to support our local economy as we come out of COVID-19, I'll be advocating for a wide variety of businesses including FermenTasmania," she said.

"No specific stimulus package has been finalised as yet, however, my advocacy for FermenTas is ongoing."