Cloudy Lagoon was the site of a small industry, collecting large quantities of small white shells for glass making. 35 tons per week werre contracted by Australian glass manufacturers in Hobart.
Cloudy Bay is part of the South Bruny Island National Park. Many rare and endangered species of birds nest in the dunes above the high-tide line.
The Bruny Island Surf Classic, held at Cloudy Bay, has become a prestigious event on the Tasmanian surfing calendar.