Crown Royal whisky will remain on the shelves of Ontario liquor stores after spirits company Diageo reached a deal with the provincial government to invest millions of dollars in the province.
Diageo has committed almost $23 million in new investments in Ontario to support local producers, and create new opportunities for farmers, manufactures and communities across Ontario, the premier’s office said in a release Friday.
“By standing firm in our plan to protect Ontario workers, we’ve secured nearly $23 million in investments that Ontario would not otherwise have seen,” said Premier Doug Ford. “These investments will help keep Ontario workers on the job, strengthen provincial supply chains and support the local community in Amherstburg and the surrounding area.”
On Sept. 2, Ford poured out a bottle of Crown Royal whisky during a press conference to protest global alcohol company Diageo’s decision to close its bottling plant in Amherstburg and shift some production to the United States, costing about local 200 jobs.
Ford called the company executives “dumb as a bag of hammers” and promised to remove Crown Royal from the LCBO.
Manitoba Premier Wab Kinew later appealed to Ford to keep Crown Royal on LCBO shelves since it is distilled and aged at a plant in Gimli.
Diageo’s financial commitment to Ontario includes:
- $500,000 to Invest WindsorEssex for economic development with a focus on Amherstburg and the surrounding area, and $500,000 to other community projects to support residents of Amherstburg;
- $11 million to purchase grain-neutral spirits manufactured by Greenfield Global in Johnstown, supporting local production in eastern Ontario;
- A $3 million investment in new ready-to-drink beverages such as Crown Royal, Smirnoff and Captain Morgan canned beverages through a Toronto-based co-packer to supply the Canadian market;
- $1 million in direct funding to organizations that support the growth and sustainability of Ontario’s agricultural sector;
- A $2 million investment in new packaging for pre-mixed beverages through a new co-manufacturer in Scarborough;
- $5 million in Ontario-based marketing and promotion;
- A commitment to explore options to establish a new Ontario canning facility.
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“This agreement with Diageo reflects the strength of our agri food and manufacturing sectors, and the value of standing up for workers,” Ontario Finance Minister Peter Bethlenfalvy said in a release. “By working collaboratively with industry, we are building a stronger, more resilient supply chain while ensuring that companies benefiting from Ontario’s marketplace invest back into our people and our communities.”
In an emailed statement, A Diageo spokesperson said it’s pleased Crown Royal will remain on LCBO shelves.
“We thank premier Ford and his team for their exceptional leadership and collaboration in reaching this resolution. Diageo is pleased that Crown Royal, an iconic Canadian Whisky, will remain on the shelves of the LCBO, and we remain committed to Ontario through our significant investment in the province,” Diageo said.
Diageo Canada’s headquarters is located in Toronto. The company has a warehouse in Mississauga, and has paused a planned $245-million carbon neutral Crown Royal distillery in St. Clair Township.