Crown Royal whisky will remain available on the shelves of Ontario liquor stores after spirits giant Diageo reached an agreement with the provincial government to invest millions of dollars in the province. The deal, announced by Premier Doug Ford's office, includes a commitment of almost $23 million in new investments aimed at supporting local producers and creating opportunities across Ontario.
Investment Details and Community Impact
Diageo's financial commitment encompasses several key areas designed to bolster Ontario's economy. The investment includes $500,000 for economic development in Amherstburg and surrounding regions through Invest WindsorEssex, along with an additional $500,000 for community projects to assist residents. Furthermore, $11 million will be allocated to purchase grain neutral spirits from Greenfield Global in Johnstown, enhancing local production in eastern Ontario.
Support for Manufacturing and Agriculture
A significant portion of the funds, $3 million, is earmarked for developing new ready-to-drink beverages such as Crown Royal, Smirnoff, and Captain Morgan canned beverages through a Toronto-based co-packer. This initiative aims to supply the Canadian market with innovative products. Additionally, $1 million in direct funding will support organizations focused on the growth and sustainability of Ontario's agricultural sector.
The investment also includes $2 million for new packaging for pre-mixed beverages via a co-manufacturer in Scarborough, $5 million for Ontario-based marketing and promotion, and a commitment to explore options for establishing a new canning facility in the province.
Background of the Dispute
The agreement comes after a public dispute between Premier Doug Ford and Diageo. In September 2025, Ford poured out a bottle of Crown Royal during a press conference to protest Diageo's decision to close its bottling plant in Amherstburg and shift production to the United States, resulting in the loss of approximately 200 jobs. Ford criticized the company executives, calling them "dumb as a bag of hammers" and vowed to remove Crown Royal from the LCBO.
Political and Economic Implications
Ontario Finance Minister Peter Bethlenfalvy highlighted 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." He emphasized that the collaboration with industry helps build a stronger, more resilient supply chain while ensuring companies reinvest in Ontario's communities.
Manitoba Premier Wab Kinew had previously appealed to Ford to keep Crown Royal on LCBO shelves, noting that the whisky is distilled and aged at a plant in Gimli, Manitoba. The resolution of this issue underscores the interconnected nature of provincial economies and the importance of cross-border cooperation in the spirits industry.
