Tasmania Police and Australian Defence Force personnel will oversee the operation which will see 450 "quarantine spaces" opened up in Hobart hotels.

The Tasmanian spaces will add to the 6315 spots throughout the country.

There are currently around 19,000 Australians stranded overseas who have registered for assistance with the Department of Foreign Affairs and Trade.

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Premier Peter Gutwein said travellers would need to return a negative COVID-19 test on or after day 10 of their quarantine period before they were allowed to enter the community.

Mr Gutwein also said all in-bound travellers would be tested prior to travel.

When asked whether overseas Tasmanians would be given priority for the spaces over interstate residents a government spokesperson said, "the details on who Tasmania accepts are still being worked through".

Negotiations were still underway about which hotels would take up the challenge and names of specific hotels were unable to be released.

Although, none of the eight hotels currently used for quarantine will be part of the deal.

"Specific hotels will be used for International quarantine purposes, separate from any domestic quarantine arrangements," the spokesperson said.

Mr Gutwein said the deal is expected to provide a boost to the Hobart hotel industry.

"This deal also means supporting our hotel industry which has seen a significant downturn in bookings this year," he said.

Prime Minster Scott Morrison said, "we thank Premier Gutwein and his government for their willingness to help us tackle the challenges our friends and family are facing overseas amidst the pandemic".

Federal Minister for Foreign Affairs Marise Payne said there had been 411,000 Australians who had returned to the country since May 13.

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