Ontario has confirmed that Crown Royal will continue to be available in the province’s liquor stores, following an agreement with Diageo, the parent company, involving nearly $23 million in investments in the alcohol and agriculture sectors. However, despite this deal, local officials expressed concerns that it would not prevent impending job losses. Last year, Diageo announced the closure of its bottling plant in Amherstburg, Ontario, leading to the displacement of almost 200 employees by the end of February.
Premier Doug Ford emphasized that the investment would enhance provincial supply chains and provide support to the Amherstburg community and its surroundings. The agreement ensures that Crown Royal products will still be sold through the LCBO. Diageo also expressed gratitude for the resolution, acknowledging Premier Ford and his team for their leadership.
The allocated funds will predominantly benefit the alcohol and agriculture sectors across Ontario, with a portion directed towards Amherstburg. Invest WindsorEssex will receive $500,000 for economic development initiatives in Amherstburg, in addition to $500,000 for community projects benefiting local residents. Gordon Orr, the chief executive officer, highlighted the significance of supporting Amherstburg’s economic growth and diversification efforts.
Furthermore, Diageo will invest $11 million in purchasing grain spirits from Greenfield in Johnstown to bolster local production in eastern Ontario. The company will also allocate substantial amounts for new packaging and Ontario-based marketing. Additionally, there are plans to explore establishing a new canning facility in Ontario, along with a $1 million commitment to organizations supporting the agriculture sector.
Mayor Michael Prue of Amherstburg expressed disappointment with the agreement, stating that he had hoped for more direct benefits for local workers. He found the lack of clarity on how the funds would be distributed concerning, emphasizing the urgency of supporting the town’s economy and preserving existing jobs. John D’Agnolo, the president of Unifor Local 200 representing plant workers, echoed similar sentiments, emphasizing the need for more substantial investments to safeguard local jobs.
Despite the allocated funds and investments, concerns remain about the economic impact of the plant closure on Amherstburg. Local officials are actively seeking opportunities to attract new businesses to the area and preserve employment opportunities for the community.