Diageo, province reach agreement to keep Crown Royal on LCBO shelves — but plant closure remains

Ontario will keep Crown Royal on the shelves in the province’s liquor stores, it says, after parent company Diageo agreed to almost $23 million in spending in the province’s alcohol and agriculture sectors. 

According to a statement Friday, the province said it had reached the agreement with the company after months of negotiations.

It comes after Diageo announced last year that it would be closing its Amherstburg bottling plant in southwestern Ontario, putting nearly 200 workers out of their jobs by the end of February. 

Ontario Premier Doug Ford said the money would help strengthen provincial supply chains and “support the local community in Amherstburg and the surrounding area.”

As a result of the agreement, the province said Crown Royal will remain available though the LCBO. 

WATCH | Mayor says there’s interest in Diageo bottling plant:

Alcohol company ‘very serious’ about buying Crown Royal plant, says Amherstburg mayor

Diageo workers in Amherstburg may have recently signed a closure agreement, but Amherstburg Mayor Michael Prue says the municipality has been focused on what happens next with the Crown Royal bottling plant that’s shutting down February 2026.

While some of the investment is going to Amherstburg, most of the money is earmarked for the alcohol and agriculture sectors elsewhere in the province.

According to the province, about $500,000 will come to the group Invest WindsorEssex for economic development in Amherstburg, while another $500,000 will be used for “community projects” for the residents of Amherstburg. 

Diageo will also spend $11 million to purchase grain spirits made by Greenfield in Johnstown, “supporting local production in eastern Ontario.”

Diageo will also spend millions on investments in new packaging, and $5 million on Ontario-based marketing. 

The agreement also includes a commitment to explore options for a new Ontario canning facility, and $1 million for organizations that support the agriculture sector. 

More to come…