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JMac72
05-18-2009, 11:11
Just returned from visit to family in Arkansas. Brought back some 4 Roses SB, ORVW 10/90, GD 12, and Bookers. As stated in another thread the Van Winkles are almost impossible to get now according to the owner of Crossover Spirits in Fayetteville.

Anyway...when I purchased the GD 12 (1 litre bottles) I was also looking at the 375ml bottles. Lo and behold on the back it states that it was bottled in Canada. I was quite surprised to say the least. My obvious question is why distill a spirit in TN then ship to Canada to be bottled and re-shipped to the US? Surely there is an easier way logistically and financially....

Anyone know why its bottled in Canada???? Thanks....

cowdery
05-18-2009, 18:20
Because that's where Diageo has a bottling plant.

In international treaties, including NAFTA where it is contained WRT Canada, Tennessee Whiskey is accorded the same dignity as bourbon, in being regarded as a distinctive and, therefore, exclusive product of the USA, though apparently that doesn't extend to bottling.

Interesting, because I just read today that the Scotch Whiskey Association, concerned about counterfeiting and related abuses, is considering requiring that all single malts must be UK-bottled.

This is not so unusual. Canadian Mist, for example, is bottled in the USA. So are many of your lower-priced blended scotches and, apparently, some single malts as well. This is true of tequila too. Jim Beam bottles both its Canadian Club Canadian Whiskey and its Sauza Tequila at its bottling plants in Kentucky and Cincinnati.

JMac72
05-18-2009, 22:00
Thanks Chuck..I did not consider NAFTA as the reason. However treaty or not..I still don't see how it could be in Diageo's best interest to bottle in Canada then re-ship to the US. Unless the Canadian Government gives Diageo great tax incentives.....

Bourbon Geek
05-19-2009, 06:47
Thanks Chuck..I did not consider NAFTA as the reason. However treaty or not..I still don't see how it could be in Diageo's best interest to bottle in Canada then re-ship to the US. Unless the Canadian Government gives Diageo great tax incentives.....

There are a number of reasons why this particular bottling would be done in Canada ...

First, with all of the recent bottling plant rationalizations, it could be the only Diageo bottling facility in US / canada that has the proper equipment to bottle this particular size/shape bottle.

Second, this bottling plant could have a better overall cost structure ... labor, overheads, staffing ... tax incentives ... etc.

Third, this particular plant ... because of it's design, etc ... could be more efficient than other bottling facilities owned by Diageo, and therefore, worthy of keeping it as close to capacity as possible.

On the other hand, perhaps the other plants run more efficiently on certain other sizes/ shapes of bottles and this was moved to Canada to make room for other things.

Whatever the case, rest assured that a very extensive cost/ benefit analysis was done by Diageo before determining where best to bottle this product ... and it is somehow in their best overall cost advnatage to bottle it in Canada ...

JMac72
05-19-2009, 08:48
A large corporation like Diageo would have done extensive due diligence. It still was weird buying TN whiskey in Arkansas that was bottled in Canada though..:grin: