Globalisation:WSTA, SWA and Diageo relations

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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. [1] [2]

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 [3] . Furthermore, four out of sixteen SWA council members are employed by Diageo and the company is the largest financial sponsor [4] . 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 [5], the public Affairs Network [6], the Technical Committee [7] and the Wine Importers Panel [8].

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

  1. WSTA membership list "[1]" accessed on 22/4/2010
  2. SWA membership list "[2]" accessed on 22/4/2010
  3. Glasgow Herald 10/11/2009, Paul Hutcheon, "Minimum pricing fightback by whiskey industry; plans for 'populist' campaign; EXCLUSIVE" accessed on 17/4/2010
  4. Glasgow Herald 10/11/2009, Paul Hutcheon, "Minimum pricing fightback by whiskey industry; plans for 'populist' campaign; EXCLUSIVE" accessed on 17/4/2010
  5. WSTA Import Spirits, "Imported Spirits Committee", accessed 27/02/10
  6. WSTA, "Public Affairs Network", accessed 2/03/10
  7. WSTA, "Technical Committee", accessed 2/03/10
  8. WSTA, "Wine Importers Panel", accessed 2/03/10