Edrington Korea confirms closure in March

15th January, 2020 by Melita Kiely

The Macallan Scotch whisky owner Edrington has confirmed it will close its Korea operations at the end of March.

Macallan-Dram

Edrington’s portfolio includes Scotch whisky brand The Macallan

Edrington Korea was based in Seoul. Further details regarding Edrington Korea’s closure are not yet being revealed.

A spokesperson for Edrington said: “After a review of our business model in the Korean market, it is our intention that Edrington Korea will cease operations by 31 March 2020.

“We have entered into consultation with our people to ensure that we provide support during this period.

“A decision on the route to market for Edrington’s portfolio of brands in Korea will be made in the coming months.”

Last year, Edrington reported a 9% sales increase to £679.8 million (US$864.3m) for the year ending 31 March 2019, boosted by Scotch brands Highland Park and The Glenrothes, and Brugal rum.

In August 2019, Diageo revealed plans to close its whisky plant in Icheon, South Korea, in 2020. Announced in August last year, the decision came about due to “low” utilisation of the facility and “cost competitiveness”.

One Response to “Edrington Korea confirms closure in March”

  1. Mark Patton says:

    Local rumor in Korea has it that Beam Suntory, which established its own corporate presence in Korea in October of 2018, and which distributes Macallan in Japan, is a favored choice for picking up Edrinton’s whisky brands in Korea. Sales of Japanese brands in Korea fell off sharply in 2019 due to widespread boycotts of Japanese products in Korea. Acquisition of the distribution rights for Macallan and Glenrothes, both with significant brand power, by Beam Suntory Korea, would help offset the dip in revenues caused by the boycotts. With an already established distribution chain, Beam Suntory Korea would be able to handle two more brands with little or no increase in current headcount.

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