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Royal Launceston Show chief executive officer Brian Bennett said show societies had many overhead costs throughout the year and this would help them stay afloat.
"It will allow show societies to survive," he said.
"In most cases agricultural shows in communities are the largest event of the year."
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Show societies will be able to apply for a share of $10 million for operational support.
They will be able to claim up to $10,000 if their attendance last year was less than 2000, up to $15,000 if their attendance was between 2000 and 4999 and up to $70,000 if their attendance was more than 5000.
Another about $26 million will be offered in operational support for Royal Agricultural Show societies which can additionally claim for unrecoverable costs associated with preparing for the cancelled show.
Despite the Royal Launceston Show being cancelled Mr Bennett said it would be back in 2021.
"We're still negotiating to find a new home but we'll certainly be running a show in some format in 2021 and we're certainly looking forward to that," he said.
The show's across Tasmania which have been cancelled in 2020 so far:
- Royal Launceston Show
- Royal Hobart Show
- Huon Agricultural Show
- Scottsdale Show (North Eastern Agricultural & Pastoral)
- Ulverstone Show
- Bream Creek Show
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