Suntory Expands Osaka Plant with US$43 Million Investment to Strengthen Gin Market Position

Tokyo, Japan – Suntory Spirits, a powerhouse in Japan’s alcoholic beverage scene, is pouring 6.5 billion yen—roughly US$43 million—into its Suntory Osaka Plant to sharpen its edge in the booming gin market. This hefty investment builds on a prior 5.5 billion yen commitment, with an extra 1 billion yen now set aside to elevate the visitor experience. The goal? A major boost in production capacity, especially for spirits and liqueurs like the celebrated Japanese craft gin, ROKU. With the new Osaka Spirits & Liqueurs Craft Distillery, complete with additional maceration tanks and distillation pot stills, Suntory is set to increase its overall output by 2.6 times—doubling the production of gin and liqueurs alone. It’s a clear move to keep pace with surging demand.

The gin market in Japan has taken off, growing about 3.5 times since 2019 to an estimated 25 billion yen in 2024. With Japanese gin winning fans both at home and abroad, Suntory sees room to push the industry further, aiming for a 45 billion yen market by 2030. This expansion taps into a wider wave of enthusiasm for craft spirits across Asia, hinting at even bigger opportunities beyond Japan’s borders. And Suntory isn’t just scaling up production—it’s opening its doors. Come spring 2026, the Osaka distillery will welcome the public with a 360-degree theater, an indoor deck overlooking the distillation magic, and a pathway spotlighting the botanicals behind its gin. It’s a page out of the playbook of distilleries in Scotland and the U.S., where immersive experiences deepen consumer ties. For Suntory, this marks a fresh approach to branding in Japan’s spirits world, drawing people closer to the craft.

This investment might be a stepping stone to bigger things. Japanese gin is steadily earning global cred, and Suntory’s upgrades could position it to take on Western heavyweights. With craft gin gaining traction in places like the U.S. and Europe, this move hints at Suntory’s ambitions to boost exports and cement its status as a top name in Japanese gin worldwide. Naturally, Suntory’s bold step has others in the industry taking note. Domestic rival Nikka is also honing its gin game, while a wave of indie Japanese distilleries churns out creative small-batch offerings. Suntory’s play underscores how big players are muscling into a space once ruled by boutique producers, potentially tilting the market’s balance.

The strategic push shines a light on the intensifying race in the premium gin arena, where Japanese craft gin is stepping up alongside Europe’s classics. It also reflects how major beverage brands are banking on distillery tourism and storytelling to win over consumers and claim a bigger slice of the market. With premium and craft spirits only growing in appeal, Suntory’s latest move signals its dedication to staying ahead of the curve. By ramping up production, deepening brand connections through visitor experiences, and setting its sights on the global gin scene, Suntory is carving out a defining role in the future of Japanese gin—both at home and far beyond.

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