Globalisation:WSTA, SWA and Diageo relations

Common Company Membership Between WSTA and SWA

Beam Global Spirits and Wine Inc, Berry Bros and Rudd Ltd, Chivas Brothers Ltd, Daigeo Plc, Diageo Ireland, Gordon and Macphail and Justerini & Brooks Ltd.

The majority of the SWA's members are typically smaller companies with production and distribution bases in Scotland. Any company which is present in both organisations tend to be larger in size, both in terms of product range and economic input/output. It must be noted that by definition, the SWA (Scottish Wiskey Association) only allows companies for members which manufacture wiskey, therefore, the WSTA (Wine and Spirits Trade Association) will naturally have a much larger pool of members, due to the more expansive nature of the organisation. As the member companies of the WSA are smaller in size, there influence in the organisation will be realively small, especially when one examines Diageo's stakehold in it.

Diageo's Infiltration of SWA and WSTA

The Chief Executive of Diageo, Paul Walsh is also the chair of the SWA . Furthermore, four out of sixteen SWA council members are employed by Diageo and the company is the largest financial sponsor . As employees of Diageo hold such powerful positions in the SWA and the company essentially funds the association, an educated conclusion can be made that the interests of Diageo will always be central to the SWA's actions and plans. Thus, it can be viewed a lobbing vehicle for Diageo's wants/needs. The companies membership to many of the WSTA committees strengthens its leveraging power with the organisation. Diageo sits on the: Imported Spirits Committee , the public Affairs Network , the Technical Committee and the Wine Importers Panel .

The aforementioned memberships and positions grant Diageo influence which a single company could not achieve alone. As the WSTA and the SWA are collectives of many beverage producers, these privileges afford Diageo the ability to influence companies attitudes and outlooks towards the minimum pricing debate. As these collectives represent a huge number of the UK's beverage producers, their stance on the issue hold considerable political clout, consequently facilitating the spread of Diageo's agenda.

Speaking Out: the SWA, WSTA Coalition

The arguments of the opposition to minimum pricing are usually coralated and on occacsions the WSTA and the SWA have made joint statements,

"Tackling Scotland's alcohol culture requires the fullest possible public and parliamentary debate"

This cohesion between the opposition has appeared in a number of articles and newspaper reports on the issue. At its most basic premise the WSTA and the SWA constantly promote the same objections to the implementation of the minimum pricing system. The best example of this synergy comes in the form of a press releases from the two organisation commenting on the secondary stage of the minimum pricing legislation, which bypassed the criminal justice and licensing bill. The proposed amendments gave the 'illustrative example' of 40p increase on a single unit of alcohol, 5p up from the previous years example. Both organisations picked up for the this increase and put forward the identical objections, in separate press releases;

"Look at the prices and taxation..... what direction do they go in? It could be 50p per unit in 6 months time, and 75p in a year which would make a bottle of Scotch £21 (Nearly double the current price" SWA Spokesperson David Williamson

"There may be some people who would be happy to vote for 40p (increase) but very unhappy at 80p" WSTA Chair Jeremy Beadles "[7]" accessed 22/4/2010 </ref>

The coalition between the SWA and the WSTA has also seen the widespread promotion of 'drink responsibility' campaigns . It has been stated in other sections of this report that these campaigns can be viewed as a means of the beverage producers shifting the responsibility onto the individual consumer and away from the seller/producer. These effective campaigns appear on all products and advertising of the member companies of the SWA and the WSTA and are one of their methods for tackling the social routes of alcohol miss use, ie 'Binge Britain'.