The appointment of a senior medical academic to review the Australian Red Cross Blood Service's ban on sexually-active gay men from giving blood has been welcomed by Tasmanian gay rights campaigners.

Monash University dean of medicine Professor Steve Wesselingh has been chosen to chair the review into all its bans relating to sexual activity.

The review comes after an unsuccessful bid by Launceston man Michael Cain to have the ban reversed by Tasmania's anti-discrimination panel.

Mr Cain says he is pleased the blood service agreed to conduct an independent review of the policy.

"The fact that it's being done through an independent body gets away that focus that the Red Cross will try and manipulate its own outcome," he said.

"They are really putting this into the community's hands so that we can have a proper, transparent and inclusive review. It's a fantastic result."