The management of Diageo has warned the company�s bottling operations could be moved abroad if Scotland does not remain a globally competitive place to operate from.

The management of Diageo has warned the company's bottling operations could be moved abroad if Scotland does not remain a globally competitive place to operate from.

The drinks company, which is facing a storm of criticism over its plans to close bottling facilities in Kilmarnock and Glasgow with the loss of 900 jobs, is hardening its stance as Scottish politicians and trade unions prepare to counter its proposals.

"For premium brands we recognise the importance of Scotland, but a large amount of whisky is not bottled in the country," said a company spokesman. "We are committed to the long-term sustainability of our business in Scotland. When it comes to premium brands we recognise the importance Scotland has, but we have to look at our cost base on a global basis."

The comments echo a trenchant statement by Brian Donaghey, the managing director of Diageo Scotland, who said that while Scottish whisky has to be distilled and matured in Scotland it does not have to be bottled there.

Some 30% of Diageo production in Scotland is white spirits and the economies of scale that provides currently make a bottling operation in Scotland viable. But the company points to Scottish Whisky Association figures that show 10-20% of Scottish whisky is bottled abroad.

Mr Donaghey said 85% of the company's Scottish-produced goods were exported and there were "various pressures" to export in bulk and bottle and package somewhere closer to the final market.

The warning that the global company could shift its operations elsewhere is being read as a signal Diageo is preparing to ride out a concerted campaign by politicians, trade unions and local people to reverse the decision to close packaging operations in Kilmarnock, where the firm is the largest private sector employer. It means 700 jobs there will be axed.

The Port Dundas distillery in Glasgow, which has been producing whisky since 1810, will also close, with the loss of 100 jobs. The cooperage will move to Alloa, leading to 40 posts being axed, and the Dundas House offices will be relocated, costing 80 jobs.

Diageo continued to insist yesterday that the job losses, which will be offset by the creation of 400 posts through the £86m expansion of a packaging plant at Leven, Fife, was in the long-term best interests of both Diageo and the 4000 remaining Scottish jobs.

"It's a very difficult message to get across but it is in the long term interest of the company and its Scottish operation," said its spokesman.

A spokesman for Scottish Finance Secretary John Swinney said the hard work of reversing the decision had just begun. "The only proposals from Diageo affecting jobs in Scotland are those announced last week - and the company has agreed to look again at those plans, which will involve a serious consideration of alternative proposals for all the workers concerned."

Des Browne, the Labour MP for Kilmarnock, who has been critical of the Scottish Government's lack of involvement in the review process, said the case for retaining the jobs in Kilmarnock was one that applied right across Scotland.

"If you break the link with the traditions of Scotch whisky and the marketing of it then you can bottle it anywhere. But no iconic global product, whether it be French champagne or French perfume, carries any authenticity without these links to its origins," said Mr Browne.

He said Diageo would have to be made a "very attractive offer" to counter the strong recommendation of its own review process. "I think it can be done but this is not going to be easy and I have seen no evidence to suggest Diageo is listening to the arguments yet."

Paul Walsh, Diageo's chief executive, is due to meet First Minister Alex Salmond on his return from a trip to China.