Diageo’s decision to close its Crown Royal bottling plant in Amherstburg, Ont., has caused surprise in the region, but a Canadian whisky expert suggests the move was inevitable. Davin de Kergommeaux, with 25 years of whisky research under his belt and author of “Canadian Whisky: The Portable Expert,” notes a global decline in whisky consumption and overall spirits sales. Diageo’s struggles in Latin America led to cost-cutting measures, culminating in the closure of the Amherstburg facility, leaving 160 unionized workers unemployed.
While Crown Royal remains a top-selling brand for Diageo, particularly in the U.S., where it dominates the whisky market, the company has opted to streamline operations by shifting bottling closer to its key American consumer base. De Kergommeaux emphasizes that Canadian whisky production remains in Canada, with only the bottling process moving across the border to the U.S. Mayor Michael Prue of Amherstburg is focused on finding solutions to retain jobs in the region, exploring options to repurpose the plant for manufacturing or other uses.
Despite efforts by local unions and government officials to reverse the closure, de Kergommeaux believes the decision is final, citing market conditions. He acknowledges a slim chance of changing Diageo’s stance but holds out hope for a potential resurgence in demand that could bring new opportunities to Amherstburg in the future.