Japan’s whisky industry ‘not affected’ by Suntory acquisition

Suntory’s acquisition of Beam Inc will not have a large impact on the Japanese whisky industry – though it could allow other producers to enhance their global presence, according to Nikka Japanese whisky.

The chief blender of Nikka whisky said that Suntory’s acquisition of Beam Inc “would not make much difference” to the Japanese whisky industry

Speaking to The Spirits Business, Nikka’s chief blender Tadashi Sakuma said that despite some controversy in the US over Suntory’s US$16 billion acquisition of Maker’s Mark producer Beam Inc, the move will “not make much difference to the Japanese whisky industry”.

“Japanese whisky is very different to Scotch and American whiskey because here, we do not share stocks, we are completely self-sufficient,” said Sakuma. “At Nikka, we will continue to go our own way.”

Hibiki and Yamazki whisky producer Suntory announced its proposed acquisition of Beam in January this year.

Since then numerous commentators have claimed this would give Suntory a competitive advantage against other Japanese whisky producers in terms of increased distribution abroad and gaining greater foothold in the coveted US market.

Upon revealing Suntory’s bid to buy Beam, Nobutada Saji, president and chairman of Suntory’s Board, said: “I believe this combination will create a spirits business with a product portfolio unmatched throughout the world and allow us to achieve further global growth.”

Yet members of rival Nikka whisky have claimed that as eyes turn towards Beam’s plans for its new American whiskey portfolio, other Japanese whisky companies have an opportunity to enhance their own reputations.

“Many people in the industry are now wondering how Suntory will change, and while there may be many changes ahead, the Japanese whisky industry will not change and neither will Nikka,” said Emijo Kaji, global marketing manager for Nikka.

She adds: “As Suntory’s focus moves towards Bourbon and Scotch, this might even open up further opportunities for consumers to increase their interest in other Japanese whisky brands.”