Diageo, the global drinks giant, has ceased production of Bushmills Irish Cream Liquor in Antrim following poor sales.

Production ceased before Christmas with the company now running down its stock.

No jobs were lost at the distillery in Northern Ireland. The company said staff have been reassigned to producing Bushmills whiskey.

Diageo has spent £5 million (€7.4 million) in expanding production and promoting the brand.

Diageo acquired Bushmills in 2005 from Pernod Ricard, which was merging with Allied Domecq. It was previously part of Irish Distillers, a Pernod Ricard company.

A spokeswoman for Bushmills said the decision was taken due to falling demand. "Only one significant order was placed last year," she said. "There was a great deal of stock in the market and our sales team is now working on moving that."

Bushmills Irish Cream Liquor was launched in 2003. It is believed to have had strong sales in airport duty free shops and in the US.

The liquor competed directly with Baileys, a key Diageo brand. Industry sources said the decision to close the Bushmills cream liquor operation was designed to reduce competition to Baileys.

The spokeswoman for Bushmills said that was not the case.