A lack of front-rowers has killed off any chance of having a team from Clyde-Earnscleugh although the club is determined to bounce back next year.
The Otago Country board has been informed and the draw has been changed.
Club rugby starts in Central Otago this Saturday.
Clyde-Earnscleugh president Bill Ussher said the club had found itself unable to field the required five front-row forwards at the start of the season and that has been the primary reason for the decision to withdraw.
It had looked round for players and advertised but he said it was difficult to find props.
Prop was a position not everyone could play and it was hard to convert players to the position.
The side had placed in the top six last year after celebrating its 125th anniversary.
It also had two officials banned for lengthy periods for fielding an ineligible players, though this was reduced on appeal.
Ussher said the club was committed to returning to the competition next year and would continue to field several junior teams.
The loss of Clyde-Earnscleugh will eliminate the bye in the Central Otago competition.
Defending country club champion Lawrence is the other club to pull out of premier rugby in the southern region.
It won the title last season, beating Maniototo in the final, but it could not find the numbers to field a team this year.
It withdrew last month, causing a bye in southern region rugby.
Otago Country board chairman Geoff McPhee said it was disappointing to lose Clyde-Earnscleugh.
Unfortunately, it was a sign of the times in the rural community, where there were not as many people as previously.
Clyde-Earnscleugh, Alexandra and Matakanui Combined were all drawing players from the same area, which made it difficult to field three complete sides.