Distilled Spirits Council of the US Parts Ways With Top Member Diageo

Diageo has opted not to renew its partnership with the Distilled Spirits Council of the United States.

Global spirits giant Diageo has chosen not to renew its partnership with the Distilled Spirits Council of the United States, Politico reported Monday.

Diageo spokesperson Lorenzo Lopez described the split as amicable, telling Politico: “Like most companies, we periodically review our memberships in industry organizations, and we make decisions based on what we believe is in the best interest of our company. At this time, we have chosen to focus our resources on key strategic priorities which we would like to pursue, but we will remain an active and committed player in the industry.”

Diageo will continue to work with DISCUS on “areas of mutual interest” including the Foundation for Advancing Alcohol Responsibility, which DISCUS operates.

Lopez did not rule out Diageo’s eventual return to DISCUS, according to Politico.

“We acknowledge Diageo’s decision and express thanks and appreciation for their significant contributions over the years, working alongside DISCUS and their peers to help modernize the marketplace for the distilled spirits industry,” DISCUS president and CEO Chris Swonger said, according to Shanken News Daily.

This is a major loss for DISCUS, as rostering major conglomerates such as Diageo helps lobbying trade groups such as DISCUS recruit new brands into paying them and gives DISCUS an air of legitimacy.

It will be interesting to see whether or not this move from Diageo sparks the world’s other major spirits brands into going solo, as well.

DISCUS spent $4.6 million on federal lobbying last year, according to Politico, and enjoyed a major victory in March when the U.S. and U.K. reached a trade agreement that lifted retaliatory tariffs on American whiskeys.

Diageo’s portfolio of brands includes Johnnie Walker, Guinness, Tanqueray, Baileys, Smirnoff, Captain Morgan, Crown Royal, Don Julio, Ciroc and Casamigos.

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