Ontario Government Reaches $23M Agreement With Diageo

As a result of this agreement, Crown Royal products made by Diageo will continue to be available for purchase through the LCBO.

TORONTO — The Ontario government has reached an agreement with Diageo, the global spirits company that produces Crown Royal, for new investments across the province.

The agreement comes following months of reported discussions with Diageo after concerns were raised last year about the closure of its Amherstburg facility.

Per a Feb. 13 press release, Diageo has committed to nearly $23 million in new investments in Ontario. As a result of this agreement, Crown Royal products made by Diageo will continue to be available for purchase through the LCBO.

“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.”

Key elements of the agreement include:

$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 investment to purchase grain neutral spirits manufactured by Greenfield Global in Johnstown, supporting local production in eastern Ontario.

$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.

$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.

This agreement aims to strengthen Ontario’s end-to-end beverage alcohol supply chain from agriculture and manufacturing to packaging and distribution.

Source: www.canadianmanufacturing.com