Ontario Secures Deal with Diageo, Keeping Crown Royal at LCBO and Investing $23M
Ontario Deal with Diageo Saves Crown Royal at LCBO

Ontario Government and Diageo Forge Agreement to Preserve Jobs and Products

The Ontario government has successfully negotiated a pivotal agreement with Diageo, the global producer of Crown Royal whisky, following months of intense discussions. This deal comes in response to concerns raised last year over the planned closure of Diageo's Amherstburg bottling facility, a move that threatened local employment and economic stability.

Premier Ford's Firm Stance Pays Off

Premier Doug Ford, who famously poured out a bottle of Crown Royal during a press conference in Kitchener on September 2, 2025, to protest the closure, emphasized the government's commitment to safeguarding Ontario workers. In a statement released on Friday, Ford announced, "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." He highlighted that these investments are designed to keep workers employed, strengthen provincial supply chains, and support the Amherstburg community and its surrounding areas.

Key Investments and Community Benefits

As part of the agreement, Diageo has committed to a series of strategic investments totaling nearly $23 million. These include:

  • $500,000 allocated to Invest WindsorEssex for economic development, with a focus on Amherstburg.
  • $500,000 directed toward other community projects to benefit Amherstburg residents.
  • $11 million invested in purchasing grain neutral spirits from Greenfield Global in Johnstown, bolstering local production in eastern Ontario.
  • $3 million dedicated to developing new ready-to-drink beverages, such as Crown Royal, Smirnoff, and Captain Morgan canned drinks, through a Toronto-based co-packer.
  • $1 million provided to organizations supporting the growth and sustainability of Ontario's agricultural sector.
  • $2 million invested in new packaging for pre-mixed beverages via a new co-manufacturer in Scarborough.
  • $5 million in funding for Ontario-based marketing and promotion initiatives.

Additionally, Diageo has pledged to explore options for establishing a new canning facility in Ontario, further enhancing local manufacturing capabilities.

Ensuring Product Availability and Economic Resilience

As a direct result of this agreement, Crown Royal products manufactured by Diageo will continue to be available for purchase through the LCBO, ensuring consumers maintain access to this popular whisky. Minister of Finance Peter Bethlenfalvy underscored the significance of the deal, stating, "This agreement with Diageo reflects the strength of our agri-food and manufacturing sectors, and the value of standing up for workers. 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."

This comprehensive arrangement not only protects jobs but also fosters economic growth, reinforcing Ontario's commitment to a thriving and sustainable industrial landscape.