Continuing its expansion in Tasmania, grocery giant Woolworths Ltd (ASX: WOW) on Friday said it now has a new distribution centre in the state.

The Australian retailer has opened an $84 million retail distribution centre near Launceston, which adds to the $100 million in capital spending planned for Tasmania.

Woolworths director of corporate and public affairs Andrew Hall said the company was planning an extensive range of major capital investments in the state over the next two years as part of its core retail and new business opportunities.

"The investment in this state-of-the-art facility adds to a range of other significant projects Woolworths has planned for its supermarkets, BIG W, Liquor, Dick Smith and new home improvement business," Mr Hall said in a statement.

"The Woolworths group has been a retail leader in Tasmania for many decades, our success built upon iconic local brands such as Purity and Roelf Vos, as well as our popular and trusted stores like BIG W.

"We see a strong future for Tasmania as it continues to grow, and our investments

now will underpin our capacity and plans for the future."

New investments planned for Tasmania include $30 million in supermarket refurbishments, including Sorell, Shoreline, Burnie and Sandy Bay.

It also includes a $20 million potential investment in home improvement and $50 million potential investment in BIG W Devonport Marketplace, plus a long-term plan to locate an additional BIG W in Launceston.

Mr Hall said "$100 million is our minimum projected spend as there will also be additional investment in new and refurbished liquor stores and Dick Smith stores over the next few years."

He said, "Tasmania has a growing and stable economy. We are confident these investment will in turn generate jobs and economic activity for all parts of the State."