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Beam-Suntory, a Japanese company that took over US whiskey giant Jim Beam and produces some of Scotland’s most well-known whiskies, has scrapped its plans to build a new facility at South Drumboy farm in Kilmarnock.
Permission was granted last year for the site after Scottish Government ministers overruled environmental objections. Beam-Suntory said it would hold up to half a million barrels of spirits at any one time, and create around 45 jobs.
Suntory, which produces the likes of Laphroaig, Bowmore, Auchentoshan, Glen Garioch, Ardmore, and Ardray, was met with vehement criticism from locals over the plans.
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Residents raised fears over the potential impact on the health and amenity of those living in the vicinity, and the environment, including the impact on protected peatland.
In a statement, Suntory said it would instead focus its investment in Scotland on the “long-term sustainability” of its operations.
A spokesperson said: “While we are no longer progressing with the Kingswell project, we are redirecting investment to a local maturation facility.
“Our investment in Scotland will continue as we remain focused on the long-term sustainability of our operations, brands and contribution to the economy.”
According to BBC News, Suntory could not provide details yet of the redirected investment.
The firm previously estimated the new facility would invest about £150m into Ayrshire.
Last year, Scottish Government planning reporter David Buylla recommended that the proposed project should be abandoned as he was critical of the scale and design of the facility.
He added that he was not satisfied that a more suitable alternative site could not be found in Scotland.
However, ministers overruled Buylla’s recommendation, stating that Suntory had provided suitable reasons for why none of the proposed alternatives would have worked.
Adding that the design went “beyond a utilitarian warehousing development” and approved the plans.
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Locals had questioned the local authority over the assessment of the potential impact, particularly the issue of noise levels and the risk around ethanol released through the barrels of whisky into the surrounding area.
Objections included the potential for flooding in areas outside the site, concerns about the potential for disruption of residents’ water supply, and the potential hazard of “black mould” – a fungus that has been linked to the presence of ethanol.
However, officials said that they had looked and found little evidence that the mould was harmful, with both council planners and the applicant citing a Scottish Government report.
There were also concerns raised that the phased construction would see disruption for around a decade and that the area was a gateway to a popular visitor destination.