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Homecoming bosses slap ban on whisky to keep major sponsor sweet

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Published Date: 14 May 2009
THE centrepiece event of Scotland's Homecoming celebrations is under fire after being forced to ban whisky products from its food and drink showcase.
Independent producers and distilleries have been frozen out of The Gathering, being held in Edinburgh in July, despite organisers promising to promote small companies and home-grown products.

But a sponsorship deal with the world's biggest whisky
company, Diageo, which is running its own showcase tent for its products, has led to the ban.

One whisky producer which had signed a deal to take space at the event has condemned the move as "a complete nonsense".

It has also been described as "unfortunate" by the leading industry body Scotland Food and Drink, which is helping to organise the Scottish Produce Market. Officials insisted it was unprecedented for whisky to be banned from such an event.

Organisers at The Gathering were last night forced to apologise after a number of whisky firms had to be turned away, but blamed a breakdown in communications. Instead, products like cheese, shortbread, ice cream, oysters and chocolate will be available to sample.

However, one firm forced out of The Gathering has accused Diageo of trying to "monopolise" the event. Alex Nicol, managing director of Spencerfield, an independent producer in Inverkeithing, Fife, whose brands include Sheep Dip and Pig's Nose, said: "It's a complete stitch-up. We are a small, independent company and now find we've been bulldozed out of one of the biggest cultural dates in Scotland's events calendar.

"We were recently informed by Scotland Food and Drink that our application to be part of the Scottish Produce Market had been rejected due to a conflict with Diageo, one of the event sponsors.

"But The Gathering's website clearly states that 'traders can sell a wide variety of high-quality Scottish fare produced by themselves'. We do not present any threat to Diageo, but this action is typical of big companies."

Fiona Richmond, project manager at Scotland Food and Drink, said: "We did have interest from a number of whisky companies in taking space, and although we wouldn't have been able to accommodate them all, it is a bit unfortunate that whisky products will not be available.

"It's a critical part of the food and drink industry and we need to keep alive small independent producers."

Diageo's sponsorship deal with The Gathering, which is understood to be worth up to £50,000, will see it run two days of taster sessions and master classes inside a huge marquee. People will be able to sample some of its best-known malt whisky brands, including Talisker, Dalwhinnie, Cragganmore and Glenkinchie.

Jamie Sempill, director of The Gathering, said: "There will not be any whisky products at all available at the Scottish Produce Market, simply because we will have a separate whisky fair.

"It would be completely going against the spirit of our agreement with Diageo, who have been superb sponsors, if we were to allow other whisky producers to take space."

No-one at Diageo was available to comment last night.

Exports hit £3bn for first time

WHISKY has long been one of the UK's leading exports, and overseas sales broke the £3 billion barrier for the first time last year.

In China alone, the whisky market is worth £44 million a year to Scottish distillers. It is one of the fastest growing in the world.

This month is seeing the biggest ever celebration of the national drink to coincide with the Year of Homecoming, with dozens of events being held all over the country.

Diageo, which sells about £8 billion worth of whisky every year, employs about 4,500 workers in Scotland alone.

The company, whose other brands include Guinness, Baileys, Smirnoff and Tanqueray, trades in some 180 countries. In contrast Spencerfield has three employees and a turnover of about £500,000.





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1

Am Fògarrach,

14/05/2009 01:51:44
Couldn't the independent producers and distilleries band together and organise a "fringe" event? They could get lots of publicity.
2

Am Fògarrach,

14/05/2009 01:56:45
On second reading of the article, Jamie Sempill, director of The Gathering, says a "separate whisky fair" has already been organised.
3

Gulfstream Flier,

BAFFIN BAY 14/05/2009 05:02:25
This "Whisky Fair" wouldn't happen to be sponsored by Diageo would it?
Can we have a little follow-up on this by the reporter?
Inquiring minds want to know all about this whisky fair especially whether it will "allow" a proper representation of the industry and not another closed corporate event.
4

weeshooie1,

Wollongong 14/05/2009 05:30:07
Time for a 'Gathering o' the Brands' :0)
5

Jeeemy,

St Andrews 14/05/2009 08:39:45
Sponsorship,
There are many needs in Scotland that sponsorship from the Whisky industry could support.
I for one could nominate sport; yes they could sponsor grass roots facilities in time for training in 2012 and 2014, in doing so they would provide legacy which is more that the Politian’s are doing.
6

Jambo-ree,

14/05/2009 08:51:55
Like Intel, couldn't Diageo be reported to the EU for anti-competitive actions?

Poor show from them - or are they afraid their products might compare unfavourably with the smaller concerns'?
7

Yonthing!,

14/05/2009 09:39:36
"simply because we will have a separate whisky fair"

Hopefully someone at Diageo will have the good sense to open the whisky fair to all small producers of whisky goods - as has been commented, small producers are of no threat to their market dominance, and it would only enhance Diageo's market away from Scotland.
8

Alternative (High-Octane) Fuel Head,

Edinburgh 14/05/2009 10:21:52
gone are the days when producers just turned up, set up stall and did what they liked.

Maybe we ought to see a return to that? To hell with the rules. If everyone ignores them, what are they going to do? Close the whole event down?

It's about time people started standing up for themselves.
9

Duncan in Edinburgh,

14/05/2009 10:43:22
#2 No, the separate whisky fair is the Diageo-sponsored tent; the argument being made is that they cannot have whisky producers at the Scottish Produce Market under the terms of the Diageo sponsorship.

I completely agree with your point at #1, echoed in a slightly more radical form in #8. The first Edinburgh Festival was an exclusive event and spawned a set of "Fringe" events which has since become the biggest arts festival in the world.
10

Inverdivit Debbie,

Glasgow 14/05/2009 11:24:29
....did I hear on radio that James Anderson who actually left Scotland for the USA and then started George Washington's distillery was from Spencerfield?
I went to school in Spencerfield - oh the memories are flooding back?




11

Scotster Jason,

Edinburgh 14/05/2009 11:41:16
This is utterly unbelievable. I've started a Bring Back Scotch Whisky page on Facebook for people to show their support to Scotland's independent producers and distilleries - I'm also looking at organising an event on the Saturday night of The Gathering here in Edinburgh to showcase these fine products. Stuff Homecoming and The Gathering - it's all about big money, nothing about Scotland. Please click http://www.facebook.com/pages/Bring-Back-Scotch-Whisky/91560251659 and become a supporter :)
12

Duncan in Edinburgh,

14/05/2009 12:02:09
#11 You are a little misguided in my view.

First of all, "Bring Back Scotch Whisky" suggests that it has somehow been taken away - in reality people coming to Scotland will still be able to sample and purchase any whiskies they like. The complaint of the other distillers (not just independents - everyone apart from Diageo) is simply that they can't promote their product at a specific event because a competitor has been given exclusive rights. Turning it into an emotional appeal will likely end in tears - all the distillers want is to sell more whisky at the end of the day.

I suggest you leave to these companies to sort out their own promotional fringe event. This isn't a cultural or an emotional thing - it's merely a business dispute.
13

SandyBottoms,

Edinburgh 14/05/2009 12:03:28
#8 You're not advocating libertarianism, rebellion and/or anarchy, are you? Orare you just asking people to grow some cahones?
14

Spencerfield Spirit ,

Inverkeithing 14/05/2009 12:16:43
#1 This is a great idea and there seems to be a lot of support for it from other independent producers. We have been chatting to our friends who put on the Whisky Picnic event last year so watch this space!

#10 I think you're referring to the BBC Radio Scotland interview with Professor Michael Moss from Glasgow University who was supporting Spencerfield's link to America's whisky. Basically James Anderson farmed the land at Spencerfield in the late 1700s before emigrating to the States where he advised George Washington to get into the whisky distilling business and helped America’s first President become the country’s biggest producer of whisky. And we are carrying on the whisky tradition today on Spencerfield Farm today with Pig's Nose and Sheep Dip!

Out of interest, what school did you go to?
15

Inverdivit Debbie,

Glasgow 14/05/2009 12:23:37
Inverkeithing High - I was in Steven Hendry's year ...
16

Iain Mac,

Tocasaid 14/05/2009 12:36:32
A whisky fair should be open to all however, if the 'Gathering' itself is sponsored by Diageo then i can understand them being miffed at others cashing in when they've stumped up 50K.

It's good to get Scots produce at all at Scottish events! The St. Andrew's day ceilidh in Princes ST Gardens had no Scottish beer or whisky there. Why is this still happening under the SNP?
17

AonghasR,

Alba 14/05/2009 13:19:26
I would encourage a national boycott of all Diageo brands, a full list is available here
http://www.diageo.com/en-row/OurBrands/ourbrandsA-Z/

We cannot be seen to condoning or encouraging corporate bullying of this nature.
18

Brodric,

14/05/2009 14:05:43
Find another sponsor. This big company monopoly bullying is shameful.
19

Duncan in Edinburgh,

14/05/2009 14:13:37
#17 Why on earth would you suggest that? Diageo is doing nothing wrong here. You are confusing business with culture.
20

Andy the Fifer,

14/05/2009 15:20:19
Way I see it theyre being a bit cheeky. Diageo pay the money to help the event run but they want to get the benefit!

If it wasnt for the big companies there wouldn't be a world wide whisky industry, it just be a cottage industry.
21

richardkiwi,

gala 14/05/2009 15:46:21
#17 - you are a narrow minded little man. Should we cancel the football world cup or the olympics because you want daves corner store in airdrie to be the offical sponsor but he doesn't want to pay for it!

Why didn't these firms take out a £50k bank loan and buy the rights to be there? No one was stopping them.
22

AonghasR,

14/05/2009 15:54:15
#19. I was under the impression that homecoming was about culture and promoting the good things about Scotland to a wider audience. Not just about business.

#21. There is no need to be insulting because someone holds a differing opinion than yourself, the fact that you open your comment with an insulting remark proves beyond reasonable doubt that you are in no way fit to hold an considered discussion with. Goodbye.
23

,

14/05/2009 16:14:22
Comment Removed By Administrator
Reason:
24

Andy the Fifer,

14/05/2009 16:32:52
#22 Surely business is one of the good things about Scotland? And don't get The Gathering and Homecoming confused....one is owned by this bloke Sempill and the other is Big Eck's...
25

AonghasR,

14/05/2009 17:42:48
#24 fair comment, i was not aware of that, however i would have expected business and government to be working slighlty closer than it currently seems they are. I would agree that business is one of our strong points and should be encouraged at all levels, but we cannot allow a multinational conglomerate to dictate whether local business can or cannot sell their wares, I fail to understand how Diageo would see the independants as a threat to their business, unless this is a backhanded admission from them that they acknowledge the independants produce a better product.
26

Duncan in Edinburgh,

14/05/2009 17:54:50
#25 This is a money-making venture on a single weekend in a single location in Edinburgh. Nobody is stopping the other major and minor whisky producers from selling their wares, nor are they stopping them from setting up their own whisky promotion event, either on the same or a different day.
27

Amanda from ScotClans,

Edinburgh 14/05/2009 19:53:54
I find this all very sad. I've been chatting with visitors to our website www.scotclans.com who are desperately looking forward to The Gathering, for many it is their first time in Scotland. Homecoming and The Gathering are supposed to be showcasing all that is great about Scotland. Whisky is definitely something we can be proud of, we have such a great selection of small distilleries. This monopolization is wrong and now giving visitors a bad impression of Scotland. They're all going to be leaving thinking we all drink Bells! Such a shame.
28

Duncan in Edinburgh,

14/05/2009 21:04:39
#27 An over-reaction from your visitors I think. Presumably you are in a position to reassure them that the gathering is just one of over 300 different events in the year of homecoming; many of these events will be sponsored, or focused on specific aspects of Scottish life, but none of them will take visitors captive or prevent them from enjoying other aspects of Scotland on their visit.

You can also tell visitors that within 500 yards of the gathering site Cadenheads whisky shop will sell them any brand they desire; that there are another dozen whisky specialists in the capital alone; and that if they truly like a dram, they should venture out to Pencaitland, Speyside, the Highlands, Islay or even Campbelltown and experience them for themselves.
29

It's heading straight for us!,

Edinburgh 15/05/2009 09:39:05
Duncan you are completely missing the point.
1. The gathering have clearly signed an exclusivity deal with Diageo which is totally wrong because this is a rare opportunity from small independant suppliers to showcase their products to a group of people who may be visiting for the first and only time.

2. If you think that visitors coming to the gathering are 'over reacting' about their excitement than you have no concept of the expat psyche. if you could spend just an hour in a US highland gathering you will see more passion for Scotland than you will see in a year here, sadly (perhaps) many Americans are much more proud of their Scottish heritage than we are.

Of course the event is one of many but for many it is THE ONE and of course other retailers can sell up and down the high street - the issue (if you take time to read the article rather than crawling through the comments to find someone to harrass with your opinion) is about small manufacturers having their brands excluded from an event because of a sponsors inability to embrace even small competition.

This story is just the tip of the iceberg - there will be many more in coming weeks about the gathering just wait and see.
30

murren59,

Isle of Arran 16/05/2009 02:12:34
They knew that this event was scheduled, so why did the 'wee distillers' not band together and pony up the £50,000 between them to be [collective] official sponsors?

Much more important dram-atic news is the £3B+ from whisky export sales that helps bail out the stinking rotten mess that is wasteminster...
31

Tu Tangata ,

Christchurch 21/05/2009 13:33:42
From tiny tadpoles....."Leaping Frog" grows - before it is swallowed up by a large predatory, transnational beastie. Support your small distillers while you can afford to! Talking of swallowing, its time for a wee nippy sweetie of the aforementioned. Slàinte!

 

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