Artisan Spirit: Fall 2020

FALL 2020

flower POWER

MAKE THE MEDIA WORK FOR YOU THE ART OF THE CUT

INVESTING IN THE

GREATER GOOD

saké TO ME

Drink With Your Eyes™™ Drink With Your Eyes

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TABLE of CONTENTS A LETTER FROM THE EDITOR

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QUARTERLY GUILD & INDUSTRY REPORTS

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Updates from guilds and associations within states, across the nation, and beyond!

FLOWER POWER 83 Picking, drying, sourcing, and distilling for floral gins

THE CONSTANT EVOLUTION OF HOTALING & CO.

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How the craft gin pioneer got its start as a side project

CRAFT DISTILLING WILL SURVIVE THIS PANDEMIC

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SAKÉ

BUSINESS UNUSUAL

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NEWPORT CRAFT BREWING & DISTILLING CO.

100

COVID RULES EVERYTHING AROUND ME

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RUM AGING SCIENCE

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LOOKING FORWARD

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ONE YEAR LATER: NAVIGATING HELL, FINDING HOPE

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BATCH DISTILLATION FOR NEUTRAL SPIRIT

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Here’s how...

Spirits executives grapple with radical shifts in consumer behavior in the COVID-19 era

Coming back out of self isolation for a drink

Pandemic exit strategies for distilling industry-adjacent organizations

DISTILLERIES AS VIRTUAL EXPERIENCES

Part 2: Virtual Events (and Webinars) Quick Start Guide

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Part One: A cultural and scientific rice and alcoholic adventure

of Newport, Rhode Island

Part III (2020 Q3)

Revisiting Tattersall and the Twin Cities amid 2020’s quagmire

Distillation Chemistry 101

UPPING YOUR BRAND GAME & DTC SALES

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KEEPING NORTH CAROLINA’S MUDDY RIVER DISTILLERY ROLLING

IOWA AND MICHIGAN LEAD THE PARADE

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WATER IN THE DISTILLERY

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DISTILLING DISTINCTION

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Brand Buzz with David Schuemann

The first states to make “cocktails-to-go” more than an emergency rule

A TRADE PRACTICES PRIMER

Provisions that encompass a wide range of relationships and activities

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From the Good Guy Distillers

E-commerce solutions as direct shipping alternatives for spirits brands

NEW ENGLAND DISTILLING of Portland, Maine

A tale of people, potatoes, and perseverance at Grand Teton Distillery

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A Turkish spirit of grapes and aniseed

HOLDING THEM TO IT

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FROM BARTENDER TO BRAND TO RTD COCKTAILS

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SMALL BATCH LIQUEURS

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NORTHERN TROPICS

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How Rocker Spirits created a liquor bottle that rocks

From the bar to your backyard

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Let Me Tell You What I Wish I’d Known

LEADING BY EXAMPLE

A conversation with Chris Montana

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WHAT DO YOU STAND FOR? 74 Evolving trends in corporate purpose, impact investment, and entrepreneurism

BULLY FOR YOU

Why mineral composition matters

RAKI 124

THE ART OF THE CUT 58 ONLY A CLICK AWAY

of Belmont, North Carolina

Bully Boy Distillers of Roxbury, Massachusetts

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Two Michigan companies team up to legally deliver a unique small-batch Jamaican rum

ADDING PUBLIC RELATIONS TO YOUR MARKETING PLAN 136 Make the media work for you

ADVERTISER INDEX

from the COVER New England Distilling in Portland, Maine. Image by Amanda Joy Christensen. See their story on page 64.

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Issue 32 /// Fall 2020 PUBLISHER & EDITOR Brian Christensen CREATIVE DIRECTOR Amanda Joy Christensen SENIOR WRITERS George B. Catallo Devon Trevathan

Margarett Waterbury

CONTRIBUTORS

AlcoTest-RI

Alcohol Proof Measurement System

Luis Ayala Hilary Baumann Colin Blake Richard M. Blau John Carlson Brian B. DeFoe Carrie Dow P.M. Fadden Ashley Hanke Bethany K. Hatef Reade A. Huddleston

Paul Hughes, Ph.D. Courtney McKee Aaron Knoll Rich Manning Kara Pound Elizabeth Rhoades David Schuemann Gary Spedding, Ph.D. Matt Strickland Mark A. Vierthaler

PHOTOGRAPHERS Luis Ayala Katy Batdorff Amanda Joy Christensen

Carrie Dow P.M. Fadden Jacob Lewkow

SALES & MARKETING Ashley Monroe ARTISAN SPIRIT is a quarterly publication by Artisan Spirit Media. www.artisanspiritmag.com facebook.com/ArtisanSpiritMagazine ArtisanSpiritM

ArtisanSpiritM

General Inquiries (509) 944-5919 Advertising (509) 991-8112 PO Box 31494, Spokane, WA 99223

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TTB Approved Density Meter Easy to Use Measure Proof even for Obscured Sprits System meets TTB compliance requirements for % ABV measurements of obscured spirits while reducing up to 75-90% of lab distillations. · 3 Year Warranty Ask about a free on-site Demo · 20 Year Service Guarantee

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All contents ©2019. No portion of this magazine may be reproduced without the written consent of the publisher. Neither Artisan Spirit Media nor ARTISAN SPIRIT magazine assume responsibility for errors in content, photos or advertisements.

While ARTISAN SPIRIT makes every effort to ensure accuracy in our content, the information is deemed reliable but not guaranteed. We urge our readers to consult with professional service providers to meet their unique needs.

At ARTISAN SPIRIT, we take the opportunity to enjoy many different craft spirits and adult beverages. However, it’s also our responsibility, and yours, to always drink responsibly. Know your limit, and never drink and drive.

ARTISAN SPIRIT’s number one goal is to share and celebrate the art and science of artisan craft distilling. But please remember to follow all the laws, regulations, and safety procedures. Be safe, be legal and we can all be proud of the industry we love.

THANK YOU TO ALL OUR SPONSORS. Our mission at Artisan Spirit Magazine is to share and celebrate the art and science of artisan craft distilling.

We are humbled by the support of our sponsors. With their help, we can further our common goals of supporting creativity, innovation, and integrity within the industry we all love so much.

The American Spirits Exchange is a national importer and distributor serving the alcoholic beverage industry (spirits, wine and beer). We provide domestic and international companies with access and support to the U.S. market. Regardless of your size — from micro, craft distiller to publicly traded multinational — our focus fuels your growth. Our flagship Foundations™ program provides companies with access to the U.S. market. We handle your business-to-business functions from start to finish: permitting, brand approvals, purchase order processing, invoicing and compliance.

BSG is focused on supplying craft distillers with the best ingredients from around the world. The craft distilling market trusts BSG to deliver the finest ingredients at competitive prices, without sacrificing customer service. With distilling malts and grains from Rahr Malting Co., Weyermann®, Simpsons, Crisp and Malting Company of Ireland, as well as a full range of yeasts, yeast nutrients, enzymes, botanicals, and finishing products, we have a wide range of distilling ingredients to help you create high quality, artisanal spirits.

Cage and Sons Distilling Systems build premium distillation systems and equipment for premier distilleries.

Every element of Cage and Sons equipment is designed and crafted to provide you with the very best distilling experience at an affordable rate because we know that bottom line matters, but so does function. At Cage and Sons, adequate is never an option, and we continue to develop and design new high functioning, cutting-edge distillation systems that enhance the distillation industry. Cage and Sons works every day to bring you the very best distillation systems for the very best value.

Unlike other agencies that work within a blinding myriad of industries; our focus is 100% within the spirits, wine, beer and other alcohol sectors. This specialization has allowed us to become experts in the alcohol beverage category. We have an exceptional understanding of design that sells, complimented by professional project management and flawless production oversight. The result has been strategic solutions that consistently produce both critical acclaim and strong measurable return on investment for our clients.

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The Distilled Spirits Council of the United States (DISCUS) is the leading voice and advocate for distilled spirits in the United States. Representing producers and marketers of distilled spirits, DISCUS advocates on legislative, regulatory and public affairs issues impacting the distilled spirits sector at the local, state, federal and international levels; promotes the distilled spirits sector, raising awareness and opening markets in the United States and around the globe; and encourages responsible and moderate consumption of distilled spirits as part of a healthy adult lifestyle based on evidence-based research and policy. DISCUS also powers Spirits United, a grassroots platform for the distilled spirits industry. Spirits United is comprised of a community of advocates united with a common goal: to ensure adult consumers can enjoy distilled spirits where they want, how they want, and when they want. Learn more at distilledspirits.org and spiritsunited.org.

Decorative label solutions…we’ve got you covered. Fort Dearborn has the expertise and creative appreciation for development and application of labels for the spirits market. Whether your application needs cut & stack labels with specialty hot stamping and embossing, the “no label” look of pressure sensitive film labels or full body graphics using shrink sleeve labels, we have a product to meet your needs.

We service brands large and small. Contact us today to discuss your brand building objectives.

G&D Chillers is as committed to the cold as they are to their clients. They strive to build long lasting partnerships by offering on-going technical support from their team of engineers, all backed by their satisfaction guarantee. G&D Chillers offers a wide-range of options from small portable chillers and heaters, to large custom chilling units. All units are ETL approved in both the U.S. and Canada. Most of their standard package chiller designs have been tested for over 20 years in the field.

Trusted Oak Expertise Since 1912.

We’ve been in this industry for over 100 years, during which time we’ve learned a thing or two about what makes a great barrel to age great spirits. Our R&D team and account managers have hundreds of barrels currently in experimentation. Partnering with distillers, we think outside the box to develop new products that push your vision forward.

Our Mission: To craft world-class oak barrels and other cooperage products so our employees, customers and communities flourish.

Lallemand Biofuels & Distilled Spirits is the industry leader in supplying fermentation products and valueadded services to the distilled spirits industry. We specialize in the research, development, production and marketing of yeast and yeast nutrients as well as a solid belief in education of the distilled spirits industry.

A vital part of the alcohol production process, fermentation products from Lallemand Biofuels & Distilled Spirits have been designed and selected to create value by tailoring objective solutions to distillery needs.

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MGP is known for its mastery in formulating, fermenting, distilling and maturing world-class spirits. The company’s expertise in blending art and science to produce premium bourbons, whiskeys, gins and grain neutral spirits serves as the foundation of a lasting legacy steeped in know-how. Customers benefit from MGP’s in-depth experience, state-of-the-art capabilities, and strong penchant for developing tailored formulations and meeting precise product requirements. MGP’s entire team, with distilleries in Atchison, KS, and Lawrenceburg, IN, takes great pride in delivering the highest quality results with each and every product made. For details visit mgpingredients.com/alcohol.

Moonshine University is located in Louisville, Kentucky on the Beverage Campus with its sister company, Flavorman. Moonshine University offers a variety of classes for enthusiasts, entrepreneurs, industry professionals and those seeking careers in the distilling industry. Our distillery was designed as part of our classroom, and all classes incorporate hands-on learning and sensory evaluation in order to provide a complete and comprehensive education. In addition to its knowledgeable instructors, Moonshine University hosts a range of renowned industry experts for specialized instruction and training.

For over 60 years Tapi USA has produced cork stoppers and a wide variety of bottle closures.

Family-owned and operated since its inception, our company continues to develop new products and enter new markets. Tapi USA is proud to support the growth of the artisan distillery industry and is honored to be the Bottle Closure Sponsor for Artisan Spirit Magazine.

Total Wine & More is the country’s largest independent retailer of fine wine, beer and spirits. Our strength is our people.

We have over 5,000 associates, who must demonstrate comprehensive beverage knowledge before they are invited to join our team. After coming on board, all of our team members undergo an extensive initial training program.

We believe that an educated consumer is our best customer. We want to demystify the buying experience for our customers so they will feel confident in choosing the bottle that is perfect for them. Total Wine & More works closely with community and business leaders in each market it operates to support local causes and charitable efforts.

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Health Care For Distillers Health • Dental • Vision • Life Insurance Because the Distilled Spirits Council of the United States (DISCUS) is an affiliate member of the National Association of Manufacturers (NAM), DISCUS members now have access to NAM Health Care: a new benefits offering that simplifies the health care experience for both you and your employees through a convenient, easy-to-use web-based platform. NAM Health Care allows smaller member companies to band together to take advantage of the enrollment efficiencies, administrative cost savings and product flexibility previously only available to larger manufacturing companies.

Advantages include:

Access to more competitive product bundles.

Fully ACA-compliant.

Quicker & easier-to-use online enrollment process.

Simple & convenient ongoing benefits management & administration.

Reduced administrative costs.

Learn more at distilledspirits.org or joe@distilledspirits.org. It’s easy to get a quote and we’re here to help if you have any questions.

NAM Health Care is fully ACA-compliant, administered by Mercer and sponsored by the National Association of Manufacturers (NAM), of which DISCUS is an affiliate member. Plans are not available to member employers in all states.

Program Administered by Mercer Health & Benefits Administration LLC AR Insurance License #100102691 | CA Insurance License #0G39709 In CA d/b/a Mercer Health & Benefits Insurance Services LLC Copyright 2020 Mercer LLC. All rights reserved.

I am proud to say that the best letter from the editor we ever published was not one written by me. It was a collaboration between Artisan Spirit’s other two, quieter but arguably more important, owners: Amanda Christensen and Ashley Monroe. This will come as no surprise to anyone who is lucky enough to know them.

I am admittedly more than a little biased, but in August of 2020, Amanda wrote an exceptionally poignant and timely introduction to the ASM monthly newsletter. It says everything I had ever wanted to say in this Fall 2020 issue of Artisan Spirit, and far more eloquently than I could hope to. It is personal, revealing, and joyous. She speaks of resiliency and hope, and it is so good that I refuse to waste the opportunity of seeing it published in print (another one of my biases).

I hope as you hold these words that they reach you in the same way as they did me.

A LETTER FROM THE EDITOR: My favorite part of visiting distilleries and sitting down for an interview/conversation/interrogation is getting to ask any question I want. Some questions I ask because it's what our readers want to know and some are more for me — I'm 37 and have yet to complete my childhood quest to understand where resiliency comes from. I became obsessed with stories of survival at a young age and am not done seeking advice on how to cultivate the inner strength to thrive in adversity.

I've managed to twist every job I've ever had into service of my quest. When I worked at a breakfast diner in high school, I'd listen as our regulars told stories about being WWII fighter pilots, missionaries in the Amazon, or what it was like to watch their spouse of 60-odd years slip away with Alzheimers. When I worked in the funeral industry creating memorial videos, I poured over thousands of people's photographically curated lifetimes. So many babies grew up and grew old before my eyes. As I did my work, I'd glean what I could from the photos to cobble a sense of their stories. I watched and listened and learned and then I stumbled into the distilling industry and was given the chance to start asking real questions.

I start with the basics — questions about a distillery's beginnings, production, marketing, community interaction, sales goals, and dream products. Once all that's covered, if I've done my job right, and my interviewee is willing, we get to talk about the struggles and what it took to survive. We talk about bad batches, poorly-matched business partners, and ill-suited equipment. We talk about failed experiments, arguments with co-workers that are also spouses, and that time the hurricane tried to wipe their community out of existence.

There is so much wisdom about resilience within the hearts and minds of the people within the distilling industry. Not one facility I've set foot into found their stride without stumbling. Not one interviewee has claimed their job was simple or easy. Some stories I've heard are triumphs over tragedy and some are stories of determined perseverance through miles of thick mud.

Over the years you, the distilling industry, have shared your stories of resilience with me. My quest to understand where resiliency comes from is still far from over but goddamn 2020 is a real bastard. A flaming shot of resilience could do everyone some good right about now.

If I were to take every story of resilience this industry has shared and distill it into one succinct message it would be this...

Resilience is a product of grace. Specifically, grace for oneself in the midst of the struggle.

Every story of resilience the distilling industry has told me included some element of compassionate self-respect eventually reached by the story teller.

It's admittedly pretty sappy, but that's honestly what I've come up with. The byproduct of distilling all those stories of resilience was lots of laughing at oneself for taking everything so seriously in the moment. If you don’t laugh, you cry, but luckily both are damn useful.

2020 is testing and teaching us all in a multitude of ways. I'm buoyed by witnessing your efforts to provide for your communities, your employees, your co-workers, and your friends and families. The collective wisdom you've shared has taught me that hard times don't have to be end times.

Sending you all a virtual fist-bump,

Brian Christensen (509) 944-5919 brian@artisanspiritmag.com

Amanda Christensen,

CREATIVE DIRECTOR

amanda@artisanspiritmag.com /// PO Box 31494, Spokane, WA 99223

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Y R T S U D N I & D L S T R I U O P G E R Y L R E T R QUA

T

his time last year the majority of our guild and association updates

focused on the topic of Federal Excise Tax reduction. That issue still looms over the distilling community (a 400% tax increase is a terrifying prospect, pandemic or not), but 2020 is a different beast altogether. The fall edition of our Quarterly Guild and Association Updates is unsurprisingly directed toward issues of direct to consumer, online sales, and, in some cases, simple economic survival.

The following updates may not showcase a world returning to normal, but they do provide insight into the adaptability and resiliency of our industry.

— BRIAN CHRISTENSEN

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AMERICAN DISTILLING INSTITUTE The continuing pandemic-related economic uncertainties hobbling the US economy have spanned essentially every sector, and the craft distilling and hospitality industries are no exception. As states grapple to find the balance between public safety and economic immediacy, distilleries around the country continue to struggle, having collectively laid off nearly half of the overall workforce in March and April. With scant options for generating steady cash flow — in-person tastings and events are mostly off limits, and bars and restaurants operate at limited capacity — distilleries are facing the need to rapidly evolve business models to find new ways to

remain solvent.

In March of this year, as the crisis was unfolding, ADI found itself in the unfortunate company of most other trade organizations with impending large events.

Despite our conviction that hosting ADI’s Conference & Vendor Expo was more critical to our industry than ever, it became clear that we had no option but to postpone the event. The safety of our members and attendees is paramount. We put the event on hold and refunded attendees’ registration fees.

In July, after several hectic weeks of planning and coordination, we were finally able to conduct our 2020 conference virtually using a “pay what you can” model to help offset production costs. The outpour-

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ing of support and enthusiasm was enormously encouraging — more than 1,600 attendees signed up to participate in nearly 40 online sessions over five days.

Moving forward, as the industry adapts to new social and economic realities, and in the face of widespread emergency relaxation of local regulations around alcohol sales, we believe there is no better moment to advocate for broad regulatory reform. We share the belief that craft spirits producers deserve parity with the privileges enjoyed by the beer and wine industries. To that end we are aiming to partner with a wide variety of state guilds and national advocacy groups to promote a basic “Tasting Room Bill of Rights,”

which would include the following: 1. Sale of spirits by the glass (no limit

beyond responsible consumption) 2. Sale by the bottle (no limit from the

distillery premises) 3. Open hours 7 days a week 9 am to

12 am 4. Ability to obtain permits for farmers

markets, etc.

5. No restrictions on distillery ownership

structure

regulatory goals in every state, but it will take a concerted effort. As fraught with uncertainty as our current moment may seem, the silver lining could well be lasting change in how spirits producers can make and sell products for the benefit of both businesses and consumers.

Lastly, looking toward our 2021 conference scheduled for Louisville, Kentucky, we recently announced our decision to push the date out to August 23–25. More information will be available in the coming weeks through our website.

6. Satellite tasting room licenses for

beer, wine, and spirits Together we believe we can achieve these

Brad Plummer Director of Communications, ADI Editor in Chief, Distiller Magazine

DISTILLED SPIRITS COUNCIL OF THE UNITED STATES The Distilled Spirits Council of the United States (DISCUS) is very proud to represent this amazing industry as distillers continue to make hand sanitizer to help flatten the COVID-19 curve. We fully recognize that urgent action is needed to help craft distillers survive the current economic crisis caused by the pandemic and have been advocating for relief for distillers, as we know many of you have seen deep declines in revenue with the closures of tasting rooms, bars, and restaurants.

We are laser-focused on the passage on the Craft Beverage Modernization and Tax Reform Act (CBMTRA), which would make federal excise tax (FET) relief permanent and provide craft distillers with some added certainty during this tumultuous time. As you know, absent Congressional action, craft distillers face a scheduled 400 percent increase in their FET in 2021, creating further financial instability for distillers currently weathering significant challenges.

Over the summer, the DISCUS federal government relations team led an effort to

partner with state guilds to send letters to 18 states’ Congressional delegations, urging them to support craft distillers by enacting CBMTRA and providing other much-needed relief. These efforts led to great press coverage on CBMTRA in states like Florida,1 New Jersey,2 South Carolina,3 and Michigan.4 DISCUS has also taken the lead in creating a Spirits United5 CBMTRA Advocacy Toolkit to make your virtual advocacy efforts that much easier.

This toolkit will serve as a roadmap for you to engage your employees, consumers and supply chain partners to help us make CBMTRA permanent.

Be sure to also sign up for the DISCUS and ACSA Public Policy Conference, being held virtually September 15-16. The Public Policy Conference provides industry professionals like you with the opportunity to engage directly with lawmakers in the nation’s capital and advocate for issues vital to the industry, like CBMTRA. Given the unprecedented challenges affecting the

If your state guild or distillery is interested in joining our Craft Beverage Modernization and Tax Reform Act advocacy efforts, please contact Jessie Brady DIRECTOR OF FEDERAL GOVERNMENT RELATIONS

jessica.brady@distilledspirits.org or Hannah Cooper DIRECTOR OF GRASSROOTS

hannah.cooper@distilledspirits.org

country, there is no more important time for our voice to be heard in Washington D.C. We hope your distillery or guild will join us in this coordinated effort to get Congress’ attention and make sure that CBMTRA is passed this year, so that craft distillers across the country can have a more secure future and #StopCraftTaxIncreases.

Chris R. Swonger President & CEO Distilled Spirits Council of the United States and Responsibility.org

1 https://www.distilledspirits.org/wp-content/uploads/2020/06/WFLA_06-16-2020_16.34.221.mp4 2 https://nj1015.com/hand-sanitizer-wont-cut-it-nj-distilleries-ask-congress-for-help/ 3 https://www.distilledspirits.org/wp-content/uploads/2020/07/WYFF_07-30-2020_05.51.22.mp4 4 https://www.distilledspirits.org/wp-content/uploads/2020/08/WPBN_08-05-2020_18.06.09.mp4 5 https://www.spiritsunited.org/cbmtra_advocacy_toolkit

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Where Science Meets Art Yeasts, Nutrients, and Process Aids

At Lallemand Craft Distilling, our single source philosophy provides the highest quality ingredients, tailored technical service and education, and industry leading experience to support your needs. Your spirits are our passion, your needs are our motivation.

Contact us to learn more today. www.lallemandcraftdistilling.com

Š 2019

NORTH AMERICAN CRAFT MALTSTERS GUILD In early May, the Craft Maltsters Guild released the results of our second COVID-19 pandemic impact survey. At the start of the third quarter, results showed sales were down across the board for the 40 craft maltsters who responded. On average, malthouses experienced a 34 percent reduction in malt purchases from brewers and distillers.

Despite decreasing sales, however, craft maltsters continue to persist. This is in large part thanks to the many brewery and distillery clients that remain strongly committed to keeping their supply chain local. Combined with strong customer relationships, the widening emphasis on local is allowing maltsters to continue to be able to conduct business amid the public health crisis.

At the time of the survey, 80 percent of malthouses believed they could sustain their business for three months or longer if social distancing and/or stay-at-home orders continued. More than half of respondents projected their business could sustain operations for six months or longer, with 35 percent noting they could continue for a year or longer.

Along with malt sales, COVID-19 has also brought about changes to the guild’s upcoming events. On July 8th, we announced the board of directors’ decision to shift our annual conference to a virtual event. Craft Malt Con Online will be a multi-day, malt-centric online experience spanning three days from February 10-12, 2021.

Similar to past events, the online conference will include malthouse tours, valuable educational speaker sessions, and networking opportunities with individuals from across the craft malt supply chain. Additionally, we’ll be offering potential sponsors opportunities to participate in a virtual trade show, special Q&A sessions, demos, and more. All activities will be offered completely online ensuring everyone can participate regardless of location, COVID-19 travel restrictions, and health concerns. Sponsorship, registration, and agenda info will be available on the Guild website later this summer.

Along with the conference, the 2021 Malt Cup will also move to a virtual, satellite judging format. We are excited to announce we will again be accepting entries from Member

Malthouses, Allied Trade Members, and — new this year — we are opening up the competition to International Malthouses.

Lastly, we want to take this moment to remind you that Craft Malt Day will soon be upon us. It is set on the same day as the Harvest Moon, which falls on Thursday, October 1 this year. In an effort to build upon our first successful Craft Malt Day in 2019, we are launching the inaugural Craft Malt Week from September 27 to October 3.

Craft Malt Week will include a social media campaign to raise awareness and share knowledge of craft malt through Guild channels. This will be combined with local and regional events organized by Member Malthouses and Craft Malt Certified breweries and distilleries. If you are interested in getting involved with this year’s craft malt community festivities, feel free to reach out to the guild at director@craftmalting.com.

Jesse Bussard Executive Director North American Craft Maltsters Guild

AMERICAN STATE GUILDS CALIFORNIA CALIFORNIA ARTISANAL DISTILLERS GUILD The state’s DSP community continues to pivot, adapt, and weather the storm of COVID-19. The California Distillers’ Guild (CADG) has worked to gain expansion of the Type 74 license and supported the temporary ability to ship Direct to Consumer (DTC).

At the current time, it is anticipated that this DTC privilege will run at least until 12/31/20.

Many licensees have launched website stores and directed customers within the state to purchase and have bottles shipped directly to their door. The limits of the Craft

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Distillers License still apply (three bottles per person, per day) and must be shipped to an address within California, but those sales have had a very positive impact.

California Alcohol Beverage Control (ABC) has worked with all license types to assist in keeping our industry in business.

The hospitality industry has been one of the hardest-hit statewide, which impacts us all. These temporary license privileges have helped revenue, but the core of our business is on-premise, off-premise, and tasting rooms, which are all suffering. As the pandemic continues, having the ability to sell our product "remotely" is essential.

DTC has helped us keep in touch with our customer base and also reach potential new

business by using social media to drive traffic to our websites. CADG is now working to gather resources to convert this temporary benefit into a permanent part of the DSP licenses. We are looking for all California DSPs to join CADG, pay dues, consider contributions, and focus on a unified voice. Distribution consolidation and shrinking SKU counts for smaller brands continues to make the three-tier sales channel nearly impossible for many brands. DTC allows small brands to grow and develop a following, which then can be transferred to a larger distribution portfolio. This gives continued growth opportunities to brand owners and some measure of control over revenue.

CADG is also discussing the intrastate vs WWW.ART ISANSPI RI TMAG.CO M

interstate (reciprocal agreement) as a part of the bigger discussion. The liquor industry is experiencing rapid change and working together is critical. ACSA is working on DTC on behalf of all states on a national level. As

COLORADO COLORADO DISTILLERS GUILD As we can all attest to, 2020 has really turned our goals and agenda for the Colorado Distillers Guild upside down. That said, our board has been working diligently through Q2 and Q3 to ensure our members are up to date with the latest news and regional requirements for reopening. We have also been working with the other craft beverage manufacturing guilds on a united front in communicating our business models with our Liquor Enforcement Division and the governor’s office. This has allowed us to fully represent the entire craft beverage industry in Colorado on a more effective (read: louder) level.

Looking forward, our Colorado Spirits Trail Committee has recently started meeting again to determine a fun and innovative way to continue our Spirits Trail program. We are

ILLINOIS ILLINOIS CRAFT DISTILLERS ASSOCIATION The Illinois Craft Distillers Association is working on the ability to extend our delivery privileges by asking the governor and legisla-

MARYLAND MARYLAND DISTILLERS GUILD Maryland distillers continue to adapt to the ever-changing rules related to reopening under COVID-19 regulations. The ability to participate in, and sell products at, farmers markets throughout the state (allowed pre-

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more states allow intrastate shipping, the next question will be: What about out-ofstate sales? FET and DTC are the two biggest factors outside of the pandemic affecting all DSP’s nationwide. As always, please support

your local, state and national association and stay involved!

looking at different ways of going virtual, as many distillery activities have done already.

Tourism has changed for everyone this year, so we hope to continue to be able to engage with our communities and patrons through an online spirits trail.

On the legislative and government affairs front, our planned legislative agenda for 2020 was essentially shelved due to the COVID-19 crisis. In its place we’ve worked with the governor’s office, Liquor Enforcement Division, the other alcohol beverage manufacturing groups and other members of the alcohol beverage constituency here in Colorado to respond to the crisis. Our efforts have been directed at advocating for our distilleries and doing our best to make sure our voice is heard by our State’s policy makers.

As a result, we’ve had some success in being allowed to re-open our tasting rooms with social distancing and other limitations. We’ve also been able to get cocktails to go and delivery of both cocktails and bottles (by distillery employees directly to consumers, but

not my shippers/couriers) not only into our governor’s executive orders, but passed by the legislature into a temporary law. Lastly, while we still do not have direct-to-consumer shipping here in Colorado, we are in ongoing discussions with the Liquor Enforcement Division and the governor’s office. ACSA has also joined those discussions as of this week, along with UPS, so we may yet be successful in getting this into an Executive Order in the near future.

Many of our members were looking forward to spending time with you all at this year’s Public Policy Conference in Washington D.C., but we are just as excited that any more of our members can participate virtually this year!

Wishing everyone a safe and healthy remainder of 2020 and beyond.

tors to allow for intrastate shipping via UPS. Currently we are allowed to deliver locally using our own employees through Phase 4 of the Restore Illinois opening plan. This would allow our members to reach their customers safely during COVID-19 and maintain some of the gift shop sales we are losing due to

reduced capacity requirements. In the City of Chicago, we are not able to be open currently because we do not have any outdoor space and do not serve food.

COVID) as well as the new temporary authorization to offer door-to-door home delivery across Maryland has helped distillers stay connected with consumers and maintain retail sales opportunities. Many distilleries are also taking advantage of the temporary ability to sell cocktails to-go (where allowed, per local jurisdiction), and the majority of members have re-opened their tasting rooms.

A few distilleries remain closed by choice,

focusing instead on online sales, curbside pick-up, home delivery, farmers markets, and wholesale opportunities.

In May, the governor signed an executive order to allow distillers to ship DTC in Maryland, on a temporary basis, to further mitigate COVID-19 hardships. While logistics still prevent this from being a wild success, distillers are anxious to join neighboring states that have greatly increased sales through DTC.

Cris Steller Executive Director California Artisanal Distillers Guild

Meagan Miller Co-Founder, Vice President — Talnua Distillery President — Colorado Distillers Guild

Noelle DiPrizio Chicago Distilling

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The guild's Government Affairs Committee is developing goals for the 2021 legislative session, and is particularly focused on mak-

NEW YORK NEW YORK STATE DISTILLERS GUILD The members of the New York State Distillers Guild (NYSDG), like all distillers across the US, jumped into action to support our local communities and first responders. We couldn’t be more proud of the effort made by the entire community of distillers. As the need for sanitizer has been met and our

NORTH CAROLINA DISTILLERS ASSOCIATION OF NORTH CAROLINA The COVID-19 pandemic continues to affect North Carolina distillers. Bottle sales for many distilleries are still lower than 2019.

OHIO OHIO DISTILLER'S GUILD The Ohio Distilling community, both as individuals and as an industry, continues to navigate the uncertainty of the times we face, knowing that for many of our distilling businesses to be sustainable in the coming months, legislative changes in Ohio are imperative. Over the past few months, the Ohio Distiller’s Guild has been working in conjunction with legislators and lobbyists on House Bill (HB) 668 and HB 160.

HB 668 is a bill that, if passed, would allow direct-to-consumer shipping for distilleries, meaning we could retail our spirits online. It

OREGON OREGON DISTILLERS GUILD The Oregon Distillers Guild continues to

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ing many of the new sales opportunities permanent.

Jaime Windon CEO/Founder | LYON RUM Windon Distilling Company President | Maryland Distillers Guild

members attempt to get back to distilling and trying to adjust to the ever changing landscape. We are a resilient bunch.

At the outset of the shutdowns in New York, NYSDG worked with Governor Cuomo and the state Liquor Authority to keep our businesses going. The governor has allowed intrastate shipping as part of his executive order, which has been making a big impact for many of our craft distillers. Unfortunately, it was during this time that NYSDG gained

the support of Senator Jen Metzger and Assemblywoman Aileen Gunther to introduce both intra and interstate shipping bills. NY Senate Bill S08572 and Assembly Bill A 10448. As it is an election year, we will resume our pursuit following the elections and push hard through fierce resistance for these critical bills to pass.

North Carolina began easing restrictions in late May, which has allowed distilleries to reopen their tasting rooms and offer cocktails.

We are still concerned that some NC distilleries may close because of poor economic conditions.

The North Carolina General Assembly was focused on COVD-19 pandemic relief during their 2020 session and did not act on leg-

islation benefiting distillers. Distillers Association of North Carolina continues to work closely with the ABC Commission and other stakeholders to finalize rules for consumer tastings at ABC stores.

would also make the current to-go cocktail pandemic legislation for Ohio restaurants, bars, and distilleries with bars, permanent.

The final piece of this legislation would expand outdoor liquor licenses to extend to areas surrounding a distillery establishment, including parking lots and any other open spaces where people could safely and legally gather. HB 668 has passed through the Ohio House and is currently in the Senate for debate.

HB 160 is also currently in Ohio’s legislative process. This bill would allow distilleries to increase the bottle limit sold out of on-site bottle shops from two bottles of spirituous liquor per person per day to four bottles per person per day.

John Singleton, the lobbyist for the Ohio Distiller’s Guild, recently shared with guild members, “In the current climate, lawmakers are eager to work together to reach consensus and provide creative solutions to help businesses facing unprecedented circumstances.”

Though none of these legislative changes will ensure economic stability in a time of extreme uncertainty, all of these layered together will help Ohio distillers sustain this crisis and provide additional momentum for the modernization of Ohio’s liquor laws.

work to unite eries.

Oregon did itizer, totaling The Oregon

mately 33,000 gallons of hand sanitizer to local hospitals, police, fire, schools, homeless shelters and multiple non-profits. Many Oregon distilleries worked together to get the supplies they needed to keep producing.

and represent Oregon distillits part producing hand sanmore than 160,000 gallons. distilleries donated approxi-

Brian Facquet Vice President, NYSDG

Pete Barger President, Distillers Association of North Carolina, Principal Partner, Southern Distilling Company

Greg Lehman CEO, Watershed Distillery President, The Ohio Distiller’s Guild

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In June, the Guild sent out a survey to all Oregon distilleries to gauge how distilleries were doing. There were 42 completed surveys. Of those 42, 25 are down an average of 47 percent in overall spirit sales. Like the rest of the nation, the majority of distilleries have seen a decrease in tasting room, in-state and out-of-state sales. Oregon distilleries feel it is unlikely that business will return to normal, and forecast revenue to be down 35 percent in 2020. Of the 42 respondents, 77 percent feel confident about being in business by the end of the year. The main priority for the distilleries continues to be reducing the state

TENNESSEE TENNESSEE DISTILLERS GUILD SUPPORT EFFORTS In an effort to combat the spread of COVID-19, Tennessee Distillers Guild members pivoted their production efforts from distilled spirits to sanitizing products to help support essential workers throughout the state. Thus far, the distilleries have produced and provided hand sanitizer and sanitizing surface cleaning products to hundreds of hospitals, nursing homes, police and fire departments, EMS services, postal workers, food ministries, and health care facilities throughout Tennessee.

TENNESSEE WHISKEY TRAIL EVENTS Eight Tennessee Whiskey Trail distilleries

UTAH DISTILLERS GUILD OF UTAH Many Utah distillers are experiencing the common COVID-19 hardships, yet new dis-

VIRGINIA VIRGINIA DISTILLERS ASSOCIATION The past few months have been a rollercoaster here in Virginia as regulatory pri-

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tasting room taxes.

“This is a great start in terms of learning what is most important to all of us, and to creating momentum to work as a united group for positive change much like the Beer and Wine industry have done here in Oregon,” said Nicole Harrington, member of the Oregon distillery data gathering team.

The Guild held its annual meeting virtually on June 30. President Brad Irwin gave a year in review and elections were held.

Rick Molitor of New Basin Distilling and Emily Jensen from Thinking Tree Spirits, were elected to the board of directors. The 2020-

2021 board is Brad Irwin, Oregon Spirit Distillers, President; Tom Burkleaux, New Deal Distillery, Vice-President; Laura Baumann, Heritage Distilling, Secretary; Jamie Howard, Sinister Distilling, Treasurer; Christian Krogstad, House Spirits; Jill Kuehler, Freeland Spirits; Rick Molitor, New Basin Distilling; Emily Jensen, Thinking Tree Spirits; and Kyle Akin, Crescendo Spirits.

participated in the fourth annual Granville Cornbread & Moonshine Festival on June 13. During the event, attendees enjoyed a full day of live music, cornbread contests, Tennessee spirits samplings, moonshine storytelling, craftsmen demonstrations, live music performances and more at Pioneer Village in historic Granville, TN. The Tennessee Distillers Guild’s annual Grains and Grits Festival — co-hosted in partnership with Blount County Chamber of Commerce — is scheduled to take place on Saturday, Nov. 7 in Townsend, TN. The Grains and Grits Festival gives visitors the unique opportunity to taste craft spirits, sample gourmet food, and meet legendary distillers from across the state in an intimate setting at the foothills of the Smoky Mountains.

The Tennessee Whiskey Trail’s second annual Spirits & Soul Festival, which was

scheduled to take place on April 24-25, 2020, was cancelled.

Jamie Howard Co-founder/Marketing Deluxe Brewing Company & Sinister Distilling Company

LEGISLATIVE UPDATES The Tennessee Distillers Guild will elect new board members at its next virtual guild meeting on Aug. 6.

On July 15, Governor Bill Lee signed the Tennessee Distillers Guild’s transfer legislation, which allows distilled spirits transfers, retail sales, samplings, and sales for consumption on premises between commonly owned distilleries. Under the previous law, a manufacturer’s license only allowed the manufacturer to sell or serve samples at retail on the same licensed premises where the product was manufactured.

Mariko Hickerson Tennessee Whiskey Trail

tilleries are on the horizon. We are now up to 24 DSPs for the state of Utah, that's six new distilleries slated to open in the next year or so. We continue to press for change in the state to benefit small distillers, including

working closely with legislators to improve the distribution of local products.

orities have heightened in response to the COVID-19 public safety and economic crisis.

As the crisis began, many Virginia distilleries began producing sanitizers and antiseptics as a result of civic duties and to support breaks in the industrial supply chain. As the public safety crisis progressed, the state

mandated the closures of all distillery store tasting rooms, where more than 80 percent of all Virginia Spirits SKUs were/are sold, creating enormous economic strains on our industry members. In partnership with the Virginia Alcoholic Beverage Control Authority, Virginia General Assembly Leadership

Ethan S. Miller Head Distiller & Co-Owner Holystone Distilling

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and the Virginia Governor’s Office the state enacted several key emergency privileges to expand market access for our constituency, creating critical lifelines for distillery stores allowing our industry members to maintain income and employment throughout the pandemic. Emergency privileges included: Direct to Consumer (DTC) delivery and shipping privileges, as well as curbside pickup and to-go cocktails (in March/April 2020).

The privileges are set to expire in the weeks ahead;

however, the Virginia Distillers Association (VDA) is working with state government to build a path towards permanency for DTC delivery and shipping privileges prior to the expiration.

For promotional updates, the VDA is preparing to launch our September Virginia Spirits Month campaign which will promote consumer awareness of local-craft spirits, the recently enacted

DTC privilege, and this fall’s 400th Anniversary of Virginia as the Birthplace of American Spirits.

Amy Ciarametaro Executive Director Virginia Distillers Association

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19 E D- G VI R A COOVE C

Craft distilling will survive this pandemic.

Here is how...

In 2005, what some deem the “start” of the American craft distilling movement, there were less than 100 active craft distillers.

Today, that number has surpassed 2,000.

Over the years, I’ve watched in awe as the movement has grown exponentially, beating the odds time and time again.

For example, distilleries were once burdened by a steep federal excise tax prior to welcoming the Craft

WWW.ART ISANSP IRITMAG.COM

Written by Colin Blake

Beverage Modernization and Tax Reform Act of 2017. Since then, they’ve succeeded in the ongoing fight to keep it, though permanency has still eluded them. Craft has conquered and thrived against almost every obstacle thrown its way and throughout it all has become a collective force among a lineup of long-established brands. Now craft faces its biggest challenge yet, and one that none of us saw coming — a global pandemic.

In times of crisis, consumers often look to spirits for comfort. Though the “tried and true” brands belonging to the industry’s largest producers have been getting most of the love lately, they cannot replace the sense of adventure that craft spirits create. Craft distilleries have always served as pioneers in a tradition-bound industry, by necessity becoming innovators of the next generation of spirits. During a

time when many experiences are being taken away from us, that’s something the craft world can and should leverage.

Undoubtedly, the appeal of craft remains strong — but as consumers continue to tighten their belts, how do distilleries ride out the storm? Well, it depends largely on where you’re at in your business: Are you already open and operating? Are you halfway through construction or in the midst of your product’s preparation for market? Maybe you have yet to launch, and you’re now in the early stages of researching the prospect. Wherever you might be in this process, there are measures you can take to set yourself up to keep moving forward.

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According to the American Craft Spirits Association's 2017 annual report, nearly one-fifth of all craft spirits sales take place at the production facility. What happens when tasting rooms, tours, and on-site retail are forced to shut down? Or capacity is reduced to accommodate for social distancing and regular cleanings between guests? If your distillery is already open and operating, then obviously your goal is to keep it that way. Of course, that’s going to rely on your ability to cut costs and boost sales within these limitations.

A good first step will be to audit your Cost of Goods Sold (COGS). Do you know how much it really costs to produce your spirit? If not, then there’s no better time to find out. Knowing the true profit margins for your product allows you to make more informed decisions so you can optimize your business, maximize cash flow, and plan for the future.

Distribution is set to be a challenge for everyone in the industry right now, but particularly for craft distillers already in business. Craft spirits sales have slowed down in recent months and that’s a reality that existing distilleries need to deal with. Right now, distributors are less likely to take on line extensions or new products — and in fact, most still have an embargo on in-person meetings which takes tastings out of the equation. Without traditional outlets for pitching product to distributors, bartenders, and the like, you’re going to need to be thrifty and get creative.

Many existing distilleries have already had to furlough and lay off staff to stay open. That’s part of the reason why we haven’t seen an onslaught of distillery closures. So, what’s next? Well, does your state allow for curbside pickup or shipping? Can you sell spirits directly to the consumer? What about offering to-go cocktails? As tasting rooms and tours begin to open back up, what challenges will you need to plan for to safely accommodate guests, still turn a profit, and do so with far less staff? You might have found ways to make up for lost spirits sales by producing hand sanitizer, but as demand wanes, you’ll need to pivot back to promoting your spirits.

Now, more than ever, social media is going to be one of the most important platforms for you to engage consumers with your product. Pre-coronavirus, your distillery might have been exploring ways to expand and move into other states — put that idea to rest for now. Instead, go for a hyper-local approach. Focus on telling your story and engaging with your community.

Maybe conduct a virtual tasting. Consumers are spending a lot of time online and they’re eager to support local businesses right now. Leverage that.

Open and Operating

Evolve Your Business for a Socially Distanced World.

Preparing to Open

Know When to Pump the Brakes.

For those of you in the midst of preparations, how you respond to the current environment really depends on how far along into your process you are.

If you already have your capital secured, then great! There’s not a whole lot of adjustment necessary.

Just stay the course. In the best of times, opening a distillery is a twoyear process, so you have a while before you’d want to revisit the possibility of a slowdown. In the meantime, there are some opportunities to be explored here:

• As open and established craft

distilleries are letting people go, there is now experienced and trained staff on the market.

That might be something you want to consider taking advantage of, if you can afford it. If you already have staff on hand, maybe use this time to invest in training. By the time you’re ready to open, you’ll have a more efficient team.

Prairie Malt proudly supports and supplies distillers of all sizes and specialties. With an uncompromising commitment to quality and consistency, we use our global reach to help you craft world-class spirits.

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• Need

equipment? Under normal circumstances, buying up used equipment comes with some substantial risks; however, if it was being utilized by a distiller who knew what they were doing but just couldn’t survive the current climate, then that’s a different scenario than a year ago when someone would close in a booming craft market.

Of course, if you’re already close to opening your doors, then there are other factors to consider: You’ll be opening in a rough environment, won’t be able to depend on a distributor picking you up unless you already have a deal in place, and you’ll need to build loyalty in communities where people are not going out as much to take tours or visit tasting rooms — and even if they do, you’re still dealing with reduced capacity to accommodate social distancing and regular cleanings, likely with less staff.

Wherever you are in your preparations, think carefully and adjust accordingly. Your success will be determined by your ability to gauge when it’s time to speed up and when to pump the brakes.

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If you haven’t been deterred by the series of risks and hardships that you might face Aspiring as a craft distillery owner, then it probably Distillery Owner means you’re serious about the dream. It also means that you are in an ideal position to observe how the industry is adapting to this new normal and educate yourself on what you’ll need to do to prepare.

Securing capital is going to be the hardest it’s been in the last decade. Invest your time developing a solid business plan. Consider how you might uniquely position yourself to justify attention from an investor. You’ll need to think differently and make your business stand out against the rest if you’re to be successful in this current climate.

If you’re not tied to a specific community, then that’s a benefit for you. As distilleries close, there’s an opportunity to buy up a business, turn-key. That’s not to say it comes completely without risks, but it might be easier for you than starting from scratch — if you have the capital for it.

Pursue the Dream, But Plan Smarter.

As a member of the distilling community, there are a multitude of resources available to help you adapt your business to survive.

I say “community” because this is truly the friendliest, most open industry I've ever encountered — I say this all the time.

There aren't too many fields where you can call up nearly anyone in the business, introduce yourself, ask a question, and get the answer. The coronavirus may have upset the balance in a lot of ways, but it has not changed that.

Yes, times are tough for distilleries everywhere — but if you’re a part of this competitive industry, then chances are you’ve likely survived some difficult challenges already. In fact, thriving under seemingly impossible circumstances is the lifeblood of the craft distilling movement. It’s part of what has allowed this incredible community of craft producers to create such innovative, stand-out spirits, and it is also the reason why even in the face of this unique challenge, we will continue to survive.

We’re all in this together.Keep your spirits — and glasses — held high.

Take Advantage of Community Resources.

Colin Blake is the Director of Spirits Education at Moonshine University, the distilling industry’s foremost education provider located in Louisville, Kentucky. Visit www.moonshineuniversity.com for more information.

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emember 2019? It was a time when bars and tasting rooms were packed. Specialty bottle shops did brisk trade in oddities and one-offs bought by treasure-hunting enthusiasts on the hunt for the next, the best, the greatest. People even hopped on planes for reservations at the hottest new restaurants in booming big cities, where they sipped cocktails made with spirits none of them had ever heard of before.

Oh, how times have changed. The early days of the 2020 coronavirus pandemic saw consumers trade their obscure impulse purchases at local distilleries for 1.75 L bottles of Jack Daniels and Tito’s snagged at their monthly stock-up trip to the local big box store. Residents of an increasing number of states were even able to skip the trip altogether and order liquor shipped directly to their homes. They also swapped regular outings to bars and restaurants for yet another evening on the sofa or in the backyard.

As the pandemic evolves, some of those shifts look to be sticking around. According to a Nielsen report from August 11, 2020, just 15 percent of Americans went out for a drink in the past two weeks. Yet off-premise spirits sales are booming.

During the last week of July, spirits sales were up 29 percent over the same week one year prior, more than any other beverage alcohol category.

And it’s not all big-bottle bottom-shelf bottlings.

Cognac, Tequila, and whiskey are all seeing major growth, up 67.3 percent, 64.3 percent, and 32 percent, respectively, with particularly strong growth in the high end of all categories.

While every facet of the spirits industry has been impacted by COVID-19, opportunities still clearly exist for brands able to meet consumers in the strange new normal we all now inhabit. So we asked three industry executives about what consumers are buying, how brands are coping with the decimation of on-premise sales, the strange case of the shrinking SKUs, and what might lie ahead.

About the participants: Kevin O’Brien is a partner at Zepponi, one of the leading beverage alcohol-focused merger and acquisitions firms in the United States. Paul Hletko is the founder of FEW Spirits in Evanston, Illinois. Renato Reyes is the chief strategy and growth officer at Deutsch Family Wine & Spirits, which counts Redemption Rye, Gray Whale Gin, and Bib & Tucker Bourbon among its portfolio (as well as wine juggernauts Josh Cellars, Yellow Tail, and Layer Cake).

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Business

Unusual

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SPIRITS EXECUTIVES GRAPPLE WITH RADICAL SHIFTS IN CONSUMER BEHAVIOR IN THE COVID-19 ERA WRITTEN BY MARGARETT WATERBURY

It’s looking increasingly likely that on-premise accounts will be severely diminished for the foreseeable future. Rabobank recently said they don’t expect on-premise drinking and dining to recover to pre-COVID levels until after 2022. How is that influencing your strategy right now?

Kevin O’Brien: I think for craft brands in particular, it’s very difficult. If you talk to larger suppliers, they say that brands are built in the on-premise channel, because you get more consumer trial at bars and restaurants than in the off-premise channel. That’s very difficult for brands that were just launched, or want to launch. Bartenders are influencers. If they get behind a brand, that can really help accelerate it. You’ve lost those advocates for the foreseeable future. So what do you do? Buy ads in publications? Do a commercial? Having on-premise closed down is not only detrimental from a top-line sales aspect, but also in really getting your brand out there in front of consumers, into their hands. There’s very little substitute for that.

Renato Reyes: The whole industry is really in flux. The estimates are that anywhere from 33 percent to 50 percent of licensees will permanently close. Those that remain are likely to struggle with occupancy and face massive pressures on operating costs. Operators are probably going to be more tentative about expanding assortment and inventory, and I think that’s something that’s probably going to persist for the next 18 to 24 months. And it’s just a fact that distributors have fewer resources available to service accounts because of furloughs. There are some accounts that are doing more sales now than they were before the pandemic because they have outdoor seating. That’s going to change in the winter, depending on where you are in the country. 2022? That feels right to me.

When we wrote a five-year strategy two years ago, we said we were going to make a big investment into on-premise. It’s a very important channel, and we see it as a critical piece of brand building. That view hasn’t changed. We’re likely to maintain a view that we’re going to invest in this channel. We’re one of the few companies that did not furlough an employee in on-premise. We believe in the channel, and we believe in supporting the channel and the industry. Our short-term view is that we think we can grow share because we’re keeping those investments intact. We’re creating focused objectives, and prioritizing those to make sure the few opportunities that remain are directed towards the brands likely to fill those needs, but for the most part, we’re staying firm. It’s a brand-building channel for us.

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Despite the pandemic (or perhaps because of it) beverage alcohol sales figures are actually up. What trends are you seeing in your portfolios in terms of buying patterns and product choices? Where are people buying spirits, and what are they choosing?

KO: What we’re seeing across the board is an increase in purchasing of luxury-priced product, in particular whiskey and tequila. They were doing great pre-pandemic, and they continue to accelerate. It’s interesting to see some correlations to the last recession. I think they’re totally different animals, but there was a certain amount of people trading up in price point to have the comfort of treating themselves to something nice in a terrible situation.

What’s also been outperforming in general is big-box retail brands. We saw a lot of pantry loading. People are less inclined to make multiple stops when they’re out shopping. Instead, they go to a Costco, a Walmart, or a Safeway and buy everything they need. Those types of outlets tend to have the larger suppliers’ products. We’ve seen Tito’s continue to just grow like a monster, but the Jack Daniels and Jim Beams are doing well because it’s easy for consumers to find them. Anecdotally, we’re also seeing that people are less willing to trial new products. There’s a comfort factor. They want something they know, and that they’re familiar with. Or, they’re not going to spend the time browsing the aisles looking for something new when their objective is to get in and out as quickly as possible.

RR: In general, we’re seeing that brands with a chain presence benefit more than others. That’s especially true for wines. Spirits seem to be different.

Our small spirits brands are actually thriving. Gray Whale Gin, in particular, the excitement is amazing. Distributors are giddy about it. I think it boils down to how well your brand meets a consumer need, and are you investing in some form of communications that lets the consumer know that.

RTDs are definitely increasing quickly from a slow base. There are lots of folks who want to take their cocktail experience home. But there are a ton of brands that have jumped on the bandwagon, and very few actually have high velocity. I think there’s going to be a shakeout there, but the RTD trend is here to stay and I think it will get a permanent lift from people discovering it.

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Several states have relaxed rules around direct-to-consumer (DTC) liquor sales and liquor shipping. What impact has that had?

Might those relaxed rules continue after the pandemic ebbs?

KO: Once the toothpaste is out to the tube, it’s very difficult to put it back. Allowing DTC has allowed local and state governments to throw a bone to producers trying to stay in business any way they can. Some states will keep it. Other states, I can see it being turned back to as it was. Distributors have a lot of influence on those decisions.

Another thing that’s been interesting is the acceleration of the adoption of online purchasing. What we thought would happen in five years has happened in three months.

Numerous wine brands are over-indexing because they’re set up a little better for online sales. Spirits don’t have the same sort of footprint available to ship DTC that wine does.

There are a lot of rules and regulations that will need to get sorted out. I will say, there’s a time and a cost associated with being a DTC shipper. If you don’t have a guarantee that the rules are the same one year from now, what are you willing to invest?

Consumer product companies of all stripes, from toilet paper to soft drinks, have reported scaling down their SKUs and concentrating on their most popular products to accommodate shifts in consumer behavior, like stocking up, online shopping, and one-stop shopping at big box stores. How is that dynamic playing out in your sphere?

KO: Total SKU numbers are declining. I think that’s really driven by retailers, who are so much more data-driven than before. Out-of-stocks can be brutal for suppliers, because there are other brands waiting to take over that shelf space. If you’re a retailer choosing between a mom-and-pop vodka brand moving a case a week and Tito’s moving 100 cases a week, and you wonder if that mom-and-pop brand might not be around long term, it becomes a business decision. Getting back shelf space is a very, very tall task. If you’re expanding to different markets, you better be able to not just service those markets with sales people, but your supply chain needs to be buttoned up, because retailers and distributors are being less forgiving than they’ve ever been.

There have been a number of mergers and acquisitions over the past couple of years. What’s your prediction for this year and the year to come?

KO: We’ve been talking to a lot of large suppliers, and there’s definitely interest in fortifying their portfolios. Over the last couple of months there’s been a lot of internal focus on HR, shoring up distribution, and making sure the house is in order. Now people are looking around and seeing that there might be opportunities to capture more market share. The largest suppliers are doing well in this environment. They have excess cash flow, and they might be able to fill up a white space in their portfolio.

If you are a craft spirits brand that’s focused, with a small product portfolio, and you have a nice distribution footprint in place, you’re going to be attractive, because you’ve proven yourself in the off-premise channel. I think there will also be some distressed sales for those not able to sort out the sales channels, or too focused on on-premise at detriment of off-, or not able to shift to more DTC sales. We know there’s a faction of buyers out there that are waiting to see how this shakes out. They think they might be able to pick up some assets at a pretty attractive evaluation.

RR: I think transactions are going to go down. And I think the value of brands have gone down, whether people want to believe it or accept it. Value has gotten hit. I’m still in as

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many conversations as I was before the pandemic, but it’s very apparent that buyers are more cautious of the elevated risk, and the huge task of needing to rebuild the on-premise presence. On the seller side, they’re reluctant to let go of their pre-COVID valuation. I think people who can hold out will try to hold out as long as they can. Deutsch is unique in the sense that we offer different types of agreements, so in this environment we have a lot to offer potential sellers or craft brands willing to enter into a partnership. We’re picky, though!

What are you seeing play out in the export market?

Paul Hletko: It’s so all over the board. Every market is different. We’re in about 36 countries, so that’s 36 different markets at a minimum, with many of those countries realistically having two or three submarkets. Certainly, tariffs are having an effect, the virus is having an effect, but no matter where you are in the world people still want to drink, so it’s all about getting the message out.

Spirits businesses routinely forecast demand 10, 20, even 30 years into the future. Yet this moment has brought a higher level of uncertainty than any of us have likely experienced in our lifetimes.

How are you approaching long-term planning right now?

KO: It’s going to depend on your financing and what resources you have available to you.

If you’re focused on whiskey production, you have to make a decision: what can you afford to put down now? Inventory is often financed by cashflow, and if your cashflow dries up, you’re not worried about inventory, you’re worried about making payroll. It’s not necessarily business as usual. It’s surviving what is hopefully a blip, and getting back to normal.

That may lead to inventory issues down the road, which could take some time to catch up, but you’ve got to make payroll and rent and that’s going to be the priority. I would not be surprised to see craft spirits companies revising forecasted projections for aged spirits in particular.

RR: Very tactically. Because of the uncertainty, we haven’t really burdened ourselves with putting loads of work into creating forecasts. We’re more concerned with not running out of stock in the near and medium term, which means leaning forward on the higher estimates. In the fall, we’ll be in a better position to do long-term forecasts as the pandemic impacts stabilize.

But I don’t think we’re going to be able to really forecast what the pandemic impact is going to be until after the vaccine is introduced. There’s a big question mark. Alcohol consumption has grown over the pandemic, and we don’t know if that’s going to normalize.

Conventional wisdom would tell you that there’s a high likelihood it will go back down when people are not locked in their homes. Established brands have been disproportionate beneficiaries, and we have no idea whether that’s going to revert back to “normal” when treasure hunting behavior returns.

Where does this leave premium brands, especially small, premium craft brands?

KO: I think they have to be realistic about what the market looks like. You have to plan for the worst-case scenario. It’s about being realistic with yourself, your distributors, and your retail partners. If you know you have an order coming in you won’t be able to fill, tell them right away. Over-communicate with your partners to make sure you remain relevant.

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Any predictions about what the next year or two will bring to craft spirits?

PH: I think growth is going to continue. At the end of the day, people want what we have.

There are certainly lots of challenges out there, and there will be companies that don’t survive.

But in some respects, the virus is making people say, ‘It’s important to me to support these small businesses.’ Two years ago, maybe they didn’t want to spend an extra $10. Today, an awful lot of people are saying they don’t mind spending the extra money as long as I know it’s going to a small company. People want that connection with their products now, more than ever. I don’t want to say the virus is going to help craft spirits, because it’s not. But there’s good and bad that are going to come with this, just like everything.

From your perspective, how are these dynamics different from the last recession?

RR: I think it’s very different. Culture is shifting.

Technology adoption is accelerating in a way you did not see in the last recession. The regulatory environment is shifting, and I think some of those shifts will be permanent. Channel dynamics are shifting. If you look at the data on the percentage of wine business done in on-premise prior to 9/11, we haven’t gotten back to those levels. The cocooning impact on culture actually created a pretty big dent in consumption. I think you’re going to see something similar here, maybe even more pronounced, because the habit shift is so prolonged, and you have these operational issues impacting restaurants. It’s going to be a hard go for a while. People have been introduced to new routines, new regiments, and new rituals. I think the only thing that’s not going to be different is that the winners will always be the ones that meet consumer needs best, with a unique story.

Margarett Waterbury is a drinks writer who lives in Portland, Oregon. Her first book, Scotch: A Complete Introduction to Scotland’s Whiskies, will be released in fall 2020.

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COVID Rules Everything Around Me ///

COMING BACK OUT OF SELF ISOLATION FOR A DRINK WRITTEN BY GEORGE B. CATALLO

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e all deserve a little break from the stress of having to constantly hear about the worst that 2020 has to offer, and for that reason I promise a respite from it in this article. There will not be one word about murder hornets. We do however need to take a look at the return to operation of on-premise alcohol consumption. As some states ease restrictions and others tighten, there will be many different moving targets for bars, restaurants, and tasting rooms to be able to have patrons consume beverages in house.

Beyond safety, compliance, and logistics, people need to show up. How are we getting customers to venture back out?

“In these trying times, familiarity and comfort are what people lean towards” said Daniel Campbell, general manager and beverage director of Par 3 at Poplar Creek, in San Mateo, California.

“We redid our menu to have more comfort food and to be more family friendly.” Campbell also tailored the beverage menu to have a heavier leaning towards better-known craft producers while leaning out the more esoteric selections to remove another layer of minor stress for diners. This approach has certainly seemed to work. Most days Par 3 has a nearly constant presence in their now limited in-capacity outdoor dining area.

The restrictions are mirrored around most of the nation; greater than six feet of space between tables, universal masking policies for staff as well as non-seated customers, being limited to outdoor seating, rigorous cleaning, and excessive use of gloves.

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“It’s super f-----g wasteful from a glove standpoint.” said Campbell.

“Any time you touch something that anyone could have possibly touched you have to change gloves. [Thoroughly] washing and sanitizing your hands would accomplish the same thing. But it’s what we have to do, so we do it.” The glove changing isn’t the only thing that is rigorous at Par 3, their online presence is by no means lacking. Persistent use of social media and a coherent online reservation and takeout ordering system is worth its weight in gold. “With so many people out of work or working from home, the volume of people on those channels is huge,” he said. Such high rates of visibility definitely directly correlate to an increase in business. When asked about the health of the business in spite of the restrictions Campbell separated the success of the restaurant itself from the venue overall. While the restaurant is knocking it out of the park, given the capacity limitations, the banquet hall and event services that usually make up 60 percent of their revenue are dead in the water. Still, they persist in overcoming the obstacles in front of them both from a safety and compliance standpoint.

Another tried and true method of attracting customers is incentivizing the trip. According to W. Vito Montone the chief operations officer of ONUS Rides, the trip can be the incentive itself.

ONUS incentivises giving patronage to member establishments by means of free ride share credits to the end user with their choice between Uber and Lyft. These credits are accumulated either by spending money at participating establishments WWW.ART ISANSPI RI TMAG.CO M

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or gifted by sponsors. A sponsor being an advertiser. For example, “Big Brand Irish Beer wants to get you home safe this St. Patrick’s Day, have a ride on us!”

Digital advertising can often be affordable even for smaller companies. While my example is clearly an expensive national style campaign, smaller geographically targeted campaigns are much friendlier on the wallet.

Using ONUS’s pilot in Denver as an example, there were 1.2 million consumer impressions with almost 2800 engagements in only ten days. These numbers are from December 2019, with the immense increase in digital activity these types of platforms are potentially even more effective in garnering meaningful attention. With the level of worry about health and safety by the general public at an all time high, removing some of that worry as an incentive to consumers could be effective.

Jessica Stetson, tasting room supervisor of Black Button Distilling in Rochester, NY had another perspective to add. Black Button, like many other distilleries, transitioned to making hand sanitizer for a time. “So many people that I've talked to, who have learned about our hand sanitizer, didn't even know we existed. And it just boggles my mind to even think about people in Rochester not knowing that we're here.” Stetson said of Black Button’s growing visibility. “So it was really great to see that and not only did they purchase hand sanitizer, but they wanted to support us because we were doing this for the community, because we are giving so much back to the community. They wanted to support us and it was great to see them buying cocktail kits and purchasing bottles and just like super interested in our other products.”

When asked if the production of hand sanitizer puts consumer minds at ease about safety Stetson said, “Having our hand sanitizer throughout the room and on every table and in the bathroom and available for purchase. I think that just gives people... a little bit of perspective of how safe we're really being here.”

Beyond the publicity surrounding sanitizer, Black Button invested a significant amount of time and resources in their online presence including weekly Facebook live feeds, consistent social media posts, and more. Staying top-of-mind for consumers is absolutely vital to survival in this pandemic.

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Stetson also explained that Black Button’s tasting room operations have drastically changed to first and foremost be the safest possible, but also to keep within compliance. New York State is requiring that people be seated in order to take their masks off in any sort of hospitality environment. While Black Button has temporarily stopped offering flights, they have a designated tasting area where patrons can briefly sit and taste a couple of products if need be. Stetson also detailed the limitation of customer contact with products they are not purchasing. A tasting room employee will retrieve anything a customer would like to purchase for them.

In addition to all of the aforementioned strategies, New York State has allowed on-premise consumption sites to expand outdoor seating areas. Black Button in conjunction with their neighboring businesses that include a brewery, a Mezcal bar, and a Donut & Coffee shop have worked with the city of Rochester to block off half of the street in front of their shops to accommodate a large number of seats and tables. This expanded space also allows for Black Button to host live music to further attract a socially distant crowd.

The day after Jessica Stetson and I spoke New York State changed many guidelines for any on-premise business. These new restrictions require the purchase of a food item with the first ordered drink per person, as well as prohibiting any sort of walk-up service. While many bars, restaurants, and beyond quickly adapted to these regulations with bowls of chips named for the Governor, that solution was short lived. Days later further clarification of this ruling stated that only “substantial” food sufficed, barring even chicken wings from being considered food.

Yes, really. Chicken wings are not considered food, unless of course you place them inside two pieces of bread and call it a sandwich. As if 2020 hasn’t been weird enough, the 1896 Raines Sandwich may make a comeback.

(Note: upon further clarification from a state spokesperson, chicken wings are now once again legally considered food. This is how ridiculous, quickly, and arbitrarily the rules can change around us. It is important to be vigilant in staying on top of changing regulations. )

Taking these new rules in New York into consideration, I turned to Karl Neubauer the Owner and Head Distiller at Hollerhorn Distilling in Naples, NY as he reopens his tasting room and restaurant on July 24th to the public. “So as we began even the planning for our reopening of Hollerhorn we realized how much we would need to change our whole interface with our customers,” said Neubauer.

Hollerhorn is a farm distillery that also has a full on-premise license and operates a tasting room, a full bar, and a restaurant that also serves as a music venue. All of their spring, summer, and fall music events unfortunately had to be cancelled, leaving them to find creative new ways to utilize their space and continue to attract customers. Thankfully Neubauer’s customers have been immensely supportive over the last four months by purchasing spirits, cocktail kits, barware, and gift cards. Some customers even went as far as to donate to Hollerhorn’s hand sanitizer initiative where they were producing and donating hand sanitizer to their community.

Speaking to the importance of digital presence Neubauer said, “We have been working very hard from our inception to keep in touch with our audience through emails, and social media, and that has been crucial to help get word out about our reopening. Setting up our online store linked to our website was crucial in keeping us moving forward, and I personally did all to-go curbside pick ups here the last four months. I found it cathartic, and it was a great way to stay connected to people.

We would have conversations in the parking lot, and during those exchanges I got a real sense of what others were experiencing during the shut down.”

With the downturn in income and the heightened labor costs associated with keeping Hollerhorn clean, safe, and compliant, Neubauer is finding himself in the same situation that plagues many of his customers — budgets are very tight. In order to spur spending during these lean times Neubauer has offered discounts on spirits packages and is working out the details on meal discounts to leave room for bringing bottles of spirits home as well. Another plan on his radar is 35

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a loyalty program that ranges from a more basic frequent shopper discount to a ‘Society’ membership program for their most supportive customers.

On the rapid changes in regulations Neubauer said this, “[changes have] been interesting, and the latest from the Governor regarding food needing to be served with all alcohol sales seemed a bit extreme, but we realize this is serious. We are still trying to figure this new law out, because we walk the line between our farm distilling license, and our full on premise license. One allows popcorn and chips as ‘food’, and the other does not. I think we are going to have some good solutions to the challenge, but it is a scramble now.”

On an uplifting note, Neubauer lamented, “this time has actually spurred so much creativity for us, and we feel fortunate to be doing what we are doing.”

The biggest takeaway we have here in attracting clientele back into your tasting rooms, bars, and restaurants is simple. Visi-

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bility is key with safety being the second largest factor. Not only remind people that you are there, make them feel comfortable and welcome in, or outside of your business. But above all else, be adaptable. It may get much worse before it gets better.

Donny Clutterbuck of Cure Bar in Rochester, NY had this to say about drawing a crowd again, “We aren’t encouraging the masses to come out necessarily.” While not being overly encouraging, Cure is absolutely being welcoming. The two most important things that Clutterbuck makes sure people that are comfortable with heading out to their establishment are aware of are; that their offerings are unique and unattainable anywhere else, and that they are enforcing a strict distancing protocol and are as meticulous with cleaning and safety as they are with creating stellar cocktails and delicious food.

Clutterbuck explains his strategy when firmly but politely enforcing the rules of their safety precautions, “[we are] making people

aware very quickly and comfortably when they step out of our guidelines without hurting anyone’s feelings or deterring their feeling welcome.” Many people are not used to the new normal just yet and many people sincerely forget to wear their mask or stay far enough away from others.

Gentle reminders go a long way as to right the metaphorical ship without creating choppy waters. An honest mistake isn’t something that should cost you an honest customer.

That being said, don’t be afraid to remove the velvet glove to expose your iron first with overly defiant customers. People unwilling to follow guidelines can cost you a lot in fines if not your license.

George B. Catallo is the “Whiskey Guy” and Floor/Social Media Manager at Parkway Wine and Liquor in Rochester, NY. He has been in the beverage industry since he turned twenty-one and has worked as the Bar Operations Manager of a wine bar, an Assistant Distiller and Supplier Rep for a craft distillery, and has even hosted a spirits review web series on YouTube under the moniker 'Just One Dram.'

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LOOKING FORWARD Pandemic Exit Strategies for Distilling Industry-Adjacent Organizations Written by Rich Manning

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ne day, this unrelenting, maniacal nightmare we call the coronavirus pandemic will pass. We don’t know when that day will be exactly, nor do we know how its retreat will look. All we do know is when that day of unfettered joy arrives, we’re all going to need a drink.

In that vein, take cheer in some rare good news: Those attached and adjacent to the spirits industry in some way, shape, or form will be ready for us on the other side.

This doesn’t seem possible at times. Things are terrible, as the news and the average Facebook feed reminds us with perverse urgency. Every account of a lost business or opportunity in or around the distilling world threatens to be what finally breaks the fractured spirit. Yet despite the unfortunate slate of bar shutdowns, event postponements, and distillery closures, hope dares to persist.

Public yearning for gathering around alcohol tends to fuel such positivity. “People will need to get out and be together again,” explained Liz Edwards, founder of the San Diego Spirits Festival, whose 12th annual festival was wiped out in August. “The social aspect of enjoying good cocktails and spirits is dearly missed. It’s the reason why you saw so many people rush to bars the moment they were allowed in some states.”

“People crave experience,” stated Paul Finn, Beverage Manager for the Austin semi-speakeasy Garage and its neighboring restaurant Comedor. “I mean, thank God we can all make Manhattans at home, but it’s just not the same. It’s not experiential.”

This sentiment isn’t a mind-blowing reveal, of course. The liquor industry’s associative branches sustain on forging public connections, from the artisan distillery’s tasting room to the cozy craft cocktail bar.

Looking ahead to such reunions beats the alternative of wallowing in the quagmire of immediate despair. Still, the current landscape moves some in the industry to view the other side of the pandemic with a slightly more careful eye. “We try not to use the word ‘hope’ when we’re talking about the industry, but this doesn’t mean we have a sense of hopelessness in any way,” stated Brad Plummer, director of communications for the American Distilling Institute. “We prefer to say that we’re optimistic about what may come.”

There are sunnier days ahead. Yet those directly or peripherally related to the spirits industry can’t sit idly by and wait for the light to break through the clouds. Survival is front and center now, which has understandably caused a host of seismic strategy shifts. “Pretty much all of our guild’s original 2020 agenda has been paused,” explained Colorado Distillers Guild President Meagan Miller, who also serves as general manager at Denver’s Talnua Distillery. “Now, we’re mainly just making sure everyone’s okay and things are running as smoothly and as safely as possible.” In some cases, these shifts began moving well before coronavirus dominated the news cycle. “We held our first COVID meeting on January 7th,” Finn said. “We basically got together and started trying to figure out what to do in case the virus got here. We wanted to make sure we had a long-term strategy in place and not just a stop-gap solution.”

As the length of the pandemic stretches out, it’s become evident that some survival strategies have strong, if not game-changing, post-pandemic value. Garage compensated for its temporary closure by as-

(888) 384-4001 “People crave experience. I mean, thank God we can all make Manhattans at home, but it’s just notalcoholorders@cie.us the same.” www.cie.us

­– PAUL FINN, beverage manager for Garage and Comedor

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“We’ll resume in-person programming after the pandemic, but we’ll also continue doing these virtual programs which, prior to the pandemic, we thought we could never do. This will make our mission that much richer in the end.”

sembling shippable bar kits complete with spirits and Garage ephemera like Zoom-ready bar backgrounds, a practice they may not only continue, but also use to help promote craft spirits and smaller portfolios. ADI’s expanding the number of videos, webinars, and convention breakout sessions available through its ADI EDU video library, allowing its members to ­– PHILIP DOBARD, founder of Center for Culinary Culture and The Cocktail Collection have a variety of knowledge-building materials at their fingertips. The Los Angeles-based sister institutions Center for Culinary Culture and The Cocktail CollecIn some cases, this support comes from the simple act of a phone tion have also turned to producing video content to continue their miscall to check on a struggling distillery. Other times, it involves a few sion of promoting food and drink history and education. “In a sense, moving parts like coordinating live video segments with distillers and some of the ways we’ve had to pivot have been blessings in disguise,” their bottles. It can even resemble a pandemic-conscious version of the explained Philip Dobard, founder of both institutions. “We’ll resume status quo: The San Diego International Spirits Competition, an annuin-person programming after the pandemic, but we’ll also continue doal awards event traditionally held in conjunction with the San Diego ing these virtual programs which, prior to the pandemic, we thought Spirits Festival, will be held in a safe, socially distanced environment in we could never do. This will make our mission that much richer in the the fall. For Edwards, handing out bronze, silver, gold, and double gold end.” medals to craft brands helps to fill a critical gap created by the virus.

Survival during these times isn’t just a pragmatic affair for spirits-re- “Nobody can do festivals right now, and that can hurt brands that are lated organizations. It’s an extended concept charged by fierce support trying to get noticed,” Edwards explained. “By holding the competition, of craft labels so they can make it to the other side. “I’m happy that I’m we’re trying to give the participating brands some exposure. We can’t guild president. I feel fortunate that I’m in a position to help people,” keep our heads in the sand while the pandemic goes on. We’ve got to Miller stated. “Even if I would have known that COVID was coming, I do what we can to help make sure these brands get their name out there, still would have taken on the role for that reason.” so they’ll be around and grow on the other side.”

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It is futile to ask when this pandemic will end. Nobody knows, and that’s fine — obvious questions don’t always have obvious answers. In lieu of this, perhaps the more proper question to ask is: How quickly will the industry bounce back once we solve this?

The answer is a complex tangle poised to unwind at different speeds.

In the short-term, a pivot to the normalcy of fully embracing customers — figuratively and perhaps literally — may be swift once a reputable vaccine or treatment hits the populace. “Once the data says it’s safe to open, and we feel safe, we’ll be able to turn our space back into a bar in a few hours,” Finn stated.

The long-term prospects — the ones that move past the mere flipping of the window sign from closed to open — are murkier. “The full extent of recovery in the distilling industry won’t fully be known for one, two, or three years after the pandemic,” Plummer predicted.

“There are so many factors and disparate data points to consider, and the situation evolves daily, so one can only guess at this point.”

This doesn’t mean the guesses put forth can’t be educated. There is great optimism that gatherings like the San Diego Spirits Festival and big-ticket events that drive the booze industry by proxy like South by Southwest in Austin will return in 2021. The same can also be said for industry conventions, albeit with some flexibility involved: ADI’s 2021 Craft Spirits Conference and Vendor Expo originally set for Louisville, Kentucky, at the end of March has been moved to August 23-25 be-

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cause of the continuing uncertainty. When these events and get-togethers happen, the amount of gratitude felt over something as simple as seeing each other in the flesh once more will be stronger than the current grip of virus-induced fear. “I think people have realized the social importance of gatherings like festivals,” Edwards said. “I don’t think anyone will ever take that for granted ever again.”

There may even be something else waiting for us on the other side of the pandemic other than the much-desired array of handshakes and hugs. “There will be a renaissance in the industry, just like there has been after every calamity,” Dobard predicted. “There was one after 9/11. There was one after the Great Recession of 2008. There will be another one after all this is over.”

He has a point. It’s good to remember that the perpetual party that was the Roaring ‘20s occurred after the Spanish Flu of 1918-19, and that was with Prohibition on the books. It’s not a stretch to think the same overflow of mirth can happen some 100 years later. So be prepared — we may be in for one hell of a joyride after this mess.

NOTE: Artisan Spirit Magazine is a sponsor of the San Diego Spirits Festival

Rich Manning is a freelance food and drink writer based in Fountain Valley, CA. He lives about 15 minutes south of Disneyland, but he hasn’t gone there in ages — he’d rather visit the nearby breweries and distilleries instead. You can check out some of his other written hackery by visiting www.richmanning.com. He can be reached at richmanning72@gmail.com.

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D ISTILLERIES AS VIRTUAL EXPERIENCES P ART 2 : V IRTUAL EVENTS (AND WEBINARS) QUICK START GUIDE WRITTEN BY HILARY BAUMANN

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ith the unpredictability of events for the immediate future (this is 2020 after all), virtual events are becoming a vital part of our society and a key element in distillery marketing, much like tours and tastings have been over the years. These events are critical for maintaining existing customer bases and expanding into new markets. In Part 1, we covered The Social Media Quick Start basics which focused on just STARTing: choosing live or recorded video, figuring out what to talk about, equipment and lighting beginner basics as well as a social media cheatsheet.

To reiterate one key piece of info from that article, first you need to...

Define your goals for a virtual experience.

How do you engage with your customers without (or in addition to) in-person tours?

Maybe you’re hoping to:

Keep people engaged with your brand

PLANNING TO BE ENTERTAINING: By scripting (or semi-scripting) your talking points in advance, you can avoid creating the ‘long waffle’ videos that are ubiquitous right now. Remember that you want to ensure you create value for your audience in return for the gift of their time and attention.

Consider the stories you tell regularly; what new stories do you have? New products, new processes? Has COVID-19 caused changes that are surprising to you and might be interesting to your audience?

Work with your fan base and ask them for content suggestions, Q&A, Ask Me Anything (AMA), etc.

FOCUS ON INTERACTIVITY: Avoid talking head presentations, either solo or ‘two people chatting.’ Make it easier to keep the conversation going (no dead air) by partnering with someone who already has experience with live video, especially if you are uncomfortable on camera. Professionals can also help you develop the talking points and other planning tasks.

Video partners could be:

Stay visible in the marketplace

Interviewers (local news, on or off their primary program)

Create a desire to visit the distillery at a

Anonymous voice (staff or marketing agency) that can give you prompts

future date

Simply entice people to buy product Having a clear set of goals before you start filming will help shape what you’re doing in a way that it’s not a rambling mess.

Now that you have that in mind, here’s how to make your event more than a generic webinar (that everyone is not bored to death by)...

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Category experts (bar consultants, award winning bartenders, spirits writers who present well on video — and who can be anywhere!)

Top fan or someone who can give you outside perspective to help you figure out what’s interesting to talk about Be aware that many platforms have a chat feature that may need someone watching for questions. It helps to have someone dedicated to reading this while your presenter is presenting, especially with large groups and sometimes due to device placement. (Be mindful of moderator and host roles.)

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EVENT CHECKLIST CHEAT SHEET:

Planning:

Script/talking points Co-presenter/co-host

Preparation — immediately before:

Clean the space of any left over lunch, trash, Starbucks cups, etc.

Filming location

Turn off any loud equipment, fans, etc.

Technical needs

Set out glassware, water and all products

Event date selection Technical & key staff scheduling Marketing: Treat this like an event on your marketing calendar and make sure you reduce your barriers to entry.

Include as much of the following as possible.

Who What Where — if the link is difficult to find or registration is a challenge, fewer people will participate!

When Why How Cost/tickets?

Parking/curbside instructions/ delivery Advanced preparation:

Pull samples, bottles, glassware, etc. to a single location (even better in a single box) so you’re sure to have everything ready at the appropriate time

Prepare fresh juices, syrups or other mixology components prior to the event

Print the talking points, co-presenter bio and other reference materials (do this early! Printers like to die/run out of ink just when you need them)

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in the tasting or cocktail demo

Have a towel handy Everybody’s phones on silent Tech check:

Video camera/smartphone/laptop positioned correctly

Microphone works & settings are correct Lighting on and isn’t casting heavy shadows Performance:

Remember to breathe Speak like you’re talking with welcome guests — not delivering a speech Wrap-up:

Post event connection with audience • Sending an email, social ping, etc. to people who watched as a thank-you and/or bonus

• Sending an email, social ping, etc. to people who didn’t watch as an opportunity to participate with the recorded video

Evergreen content • Do you want to post this to a blog? ▶ Is it worth transcribing for SEO? • Repost on YouTube?

• On social media? (This will depend on your target audience)

▶ Twitter ▶ Facebook ▶ Instagram ▶ IGTV ▶ LinkedIn

CRAFT A SENSORY EXPERIENCE: Watching people talk competes with Netflix. Go one better (and more interesting) by enabling the audience to do something, not just sit there, by getting your product into their hands.

Types of tastings:

Portfolio tastings: Consider limited edition small-format bottlings specifically tied into virtual events to allow potential customers to engage with the full portfolio without having to buy multiple 750ml bottles.

New product tastings Exclusive product tastings (barrel picks, vintage, etc.)

Cocktail demos — not the basics! Be unique!

Look at ways to solve the legality of getting product into your viewer’s hands:

If you’re going to ship, you need to build in shipping time for the product to arrive to the audience by or before the event date.

If you can’t ship, partner with an entity that can or work with a restaurant that is currently allowed to sell product out the door possibly utilizing local temporary ‘cocktail to go’ laws (COVID-19 exemptions).

Thinking through a good virtual event is not enough — you need to plan for it and execute it, and more than that, get an audience to show up! On the left there’s a quick checklist to get you started.

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ADDITIONAL EQUIPMENT TO CONSIDER: Laptop stand: If you need to use your laptop as one of your devices but don’t want that horrible under chin camera angle.

Bluetooth keyboard: If you want to get a wider shot without leaning over to type in responses or move your slides along, you’ll want a keyboard / trackpad that works with your computer from about 2-5 feet away.

Lighting upgrade(s): Look for umbrella diffusers (soft lighting), softboxes, reflectors, just a lot of lighting. You would be surprised at how a bright room looks so much better on camera. Good lighting can even out your complexion and help you look more alive. Spend a few hours on YouTube or Lynda.com watching lighting tutorials. I can not over emphasize how important lighting is.

Just like I mentioned in the last article: START and learn. You won’t be perfect. No one expects you to be perfect. Learn and adjust. And don’t get discouraged if your first event isn’t quite what you expect. Sometimes you simply pick a date and time that competes with other things. Plan to do something, and keep doing (virtual) events!

Hilary Baumann is the owner of Fascination Design, a comprehensive marketing firm located in central KY. Since 2000 her company has been assisting clients with brand identity, graphic design and market positioning strategies, and currently is the content producer for Distilled Living, a specialty bourbon and spirits education and entertainment company.

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2021 45

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BRAND BUZZ

UPPING YOUR

BRAND GAME & DTC SALES WRITTEN BY

DAVID SCHUEMANN

Improving your craft brand’s online presence and the consumer’s virtual experience has never been more important.

W

ith COVID-19 lockdowns shutting down or at least severely reducing the number of visitors to distilleries, restaurants, and bars across the US, craft distillers have seen their ability to sell product plummet while consumers have flocked online to purchase their favorite libations.

There are now more than 40 states where consumers can purchase liquor online thanks to relaxing regulations for selling spirits direct-to-consumer (DTC), albeit temporarily in some cases.

DTC VS. ONLINE RETAILERS Often, websites that appear to be “retailers” are actually third-party services.

These companies place orders, on the consumer’s behalf, with a licensed retailer that is legally able to ship liquor to the buyer’s address. This generally relies on both parties (retailer and consumer) being located in the same state, though some retailers ship across state lines. In 15 states consumers can order and receive their favorite bottle within a matter of hours from the third-party online service Drizly.

Some states allow distilleries to ship directly to consumers within their home state. Others allow for shipping across state lines if they have reciprocity agreements between the state of origin and the ship-to state. DTC laws are a bit of a gray WWW.ART ISANSP IRITMAG.COM

area and, while many states have loosened their laws around DTC sales, the main shipping companies like UPS and FedEx have resisted shipping liquor directly to consumers due to liability concerns.

Answering the call, several new companies like Spirits360 have stepped in with their platform that integrates into a distillery’s current POS system, allowing them to ship directly to their consumers through UPS. In another example, Speakeasy Company’s solution can be integrated directly into a distillery’s existing or new website for a seamless, compliant checkout experience.

THE IMPORTANCE OF YOUR WEBSITE AND ONLINE BRAND PRESENCE Craft distilleries, like many start-ups, are often forced to bootstrap much of their marketing. Because of this, many craft distilleries were caught flat-footed by the shutdowns caused by COVID-19. With their tasting rooms and other in-person sales channels closed, along with restaurants and bars, they were left scrambling for new sales channels. Many found they had woefully inadequate websites that were developed more as “brochureware” afterthoughts vs. evocative frontline branding and a primary sales channel.

Whether your website has an online

store to sell directly or not, your website is a critical touch point with your consumers.

Now more than ever, online outlets such as social media and websites are where consumers form their first impressions of brands—think “winning hearts and minds.”

WEBSITE BRANDING RECOMMENDATIONS

1

INVEST IN A WELLDESIGNED WEBSITE

2

BUILD YOUR SITE ON AN OPEN-SOURCE CONTENT MANAGEMENT PLATFORM

developed by professionals to ensure your site has a well-considered structure, functionality, SEO plan, and well-crafted content.

like WordPress that allows brand owners the ability to make edits and updates to their site themselves.

3

MAKE SURE YOUR SITE IS PROGRAMMED TO BE RESPONSIVE so that it works

seamlessly across various devices including desktops, tablets, and smartphones. Smartphones now account for over half the traffic on the internet, so mobile can’t be an afterthought.

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4

MAKE SURE YOUR CONTENT IS AMAZING AND COMPELLING. Keep

your written content concise and your visuals stunning. Consider hiring a photographer and/or videographer to help develop the visual language of your brand.

5

DEVELOP YOUR SITE TO ALLOW FOR ONLINE SALES either immediately or

as a future add-on.

6

INTEGRATE YOUR SOCIAL SITES WITH YOUR WEBSITE and cultivate and

7

PROVIDE JOURNALISTS, RETAILERS, AND DISTRIBUTORS TOOLS TO SUPPORT YOUR BRAND such as PDF sales sheets and tasting notes that can be downloaded.

8

MAKE SURE YOUR SITE IS DEVELOPED TO BE ADA COMPLIANT or integrates

Accessibe, an industry standard, fully-automated web accessibility solution for ADA & WCAG compliance. This will help disabled people learn about your products and avoid lawsuits due to ADA non-compliance that have been sweeping the alcohol industry.

Your site should, of course, evocatively describe your products, but it’s also an amazing opportunity to tell your story and to connect with consumers. This opportunity to engage consumers visually through striking photography and engaging video is the next best thing to having them visit your distillery in person. Virtual tours and tastings, and live or recorded videos of guest bartender demonstrations creating your signature cocktails are just the beginning.

Building your brand online is no longer a luxury, it’s a necessity. With DTC sales becoming a reality, this new channel is an exciting new frontier for craft spirits.

harvest consumer information in order to build your list.

David Schuemann is the owner and creative director of CF Napa Brand Design. For more information, visit www.cfnapa.com or call (707) 265-1891.

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I

owa Governor Kim Reynolds signed legislation on June 29, 2020 that permanently allows cocktails-to-go, making it the first state to make permanent an emergency measure that was adopted in response to the coronavirus pandemic. The bill, which the Iowa state House and Senate passed in early June, became effective immediately upon enactment by the governor.

Only days later, Michigan Governor Gretchen Whitmer signed legislation on July 1 allowing restaurants, bars, and other on-premises licensees to sell cocktails togo in sealed containers through 2025. Like its Iowa counterpart, the new Michigan law takes effect immediately; unlike Iowa, the Michigan legislation automatically sunsets on December 31, 2025.

IOWA & MICHIGAN LEAD THE PARADE The First States to Make “Cocktails-To-Go” More Than an Emergency Rule WRITTEN BY RICH ARD M. BL AU

WHAT THE NEW LAWS DO Known legislatively as House File 2540, the new Iowa law changes the Iowa Code to allow bars and other on-premise alcohol retailers who obtain a new Class-C license to also sell any alcohol beverages, including mixed-drinks, in retailer-sealed containers for takeout and delivery. It makes permanent Governor Reynolds’s emergency proclamation when restaurants and bars closed this spring, allowing people to take out cocktails for off-premise consumption.

The same new law also extends the authority to sell cocktails to-go to Iowa distilleries producing less than 100,000 proof gallons of distilled spirits per year. The Distilled Spirits Council of the United States (DISCUS) praised the new legislation, noting that Iowa’s hospitality businesses have suffered greatly due to COVID-19.

In addition to dealing with mixed drinks, the new Iowa law also expands the law governing the sale of beer in growlers. Under the new law, growlers in Iowa now can be sold “by telephonic or other electronic means.”

In Michigan, newly enacted HB 5811 allows the on-premises licensees or their agents to fill and sell “qualified containers” so long as: (i) the containers are not pre-filled; and (ii) the containers are sealed in accordance with state regulations. AdWWW.ART ISANSP IRITMAG.COM

ditionally, the new law also allows for the licensed Michigan retailers to deliver their sealed to-go cocktails, so long as the sealed to-go container is properly labeled and existing state laws intended to avoid deliveries to minors are followed.

The new Michigan laws apply to “beer, wine, mixed spirit drink, a mixed drink, or spirits for consumption off the premises” so long as the sales are in compliance with the new law’s conditions. The new law also includes additional pandemic-specific measures. For example, a Michigan on-premises licensee who previously obtained approval from the Michigan Liquor Control Commission (MLCC) to have outdoor service in an outdoor service area now can add seating or a bar to that area without the approval of the MLCC or the governing body of the local unit of government in which the licensed premises was located — at least until December 31, 2021.

Here as well, DISCUS praised the state's action, noting that Michigan’s emergency order allowing cocktails to-go already had been “a crucial economic lifeline for hospitality businesses across the nation hit hard by the pandemic.” David Wojnar, DISCUS vice president of state government relations, thanked Whitmer for her support of the new law, emphasizing that “[c]ocktails to-go will

provide increased stability and cash flow to help offset these negative impacts.”

QUO VADIS? As Iowa and Michigan go, so goes the rest of the nation? That is the question on the minds of alcohol industry members and regulators alike.

Currently, more than 30 states plus the District of Columbia are allowing restaurants and/or bars to sell cocktails to-go, bottled spirits to-go or both. For example, Massachusetts Governor Charlie Backer signed a measure as late as July 20, 2020, allowing restaurants to sell cocktails-to-go with the purchase of food until February of 2021 or until the COVID-19 state of emergency is lifted, whichever is later.

Other states, including Maine, New York, Texas, Florida, Ohio, Oklahoma and the District of Columbia, are considering making their policies permanent or adopting long-term extensions. For example, the Maine Joint Committee on Veterans and Legal Affairs held hearings regarding LR 3333,1 legislation to extend through April 15, 2022, the existing emergency exception for off-premises sales of cocktails-

1 http://legislature.maine.gov/doc/4413

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to-go by on-premises licensees such as restaurants and bars.

For some in the retail tier, the prospect of a blurring between on-premises and off-premise offers a tantalizing prospect, especially to restaurants, hotels, and a wide variety of hospitality enterprises, including mass-audience venues. Suppliers and wholesalers also are interested to see if increased sales will mean expanded opportunities for the upper tiers of the industry as well.

However, not everyone sees the cocktails-to-go movement as a positive step forward. Licensed off-premises retailers question whether this liberalization of the laws will eat into their own profitability. Police and law enforcement officials responsible for executing DUI and DWI laws question whether the prospect of a carry-out cocktail, even if in a sealed container, will lead to an increase in drinking while driving.

52

And, not surprisingly, social policy advocates argue that society needs alcohol to be less accessible, not more.

Current data suggest that the pandemic will not be ending soon. In fact, news headlines portend that a new pandemic wave may be on its way. Consequently, the existing emergency measures may remain in place (or be reinstated) for an extended duration. At some point, though, a new normal will emerge.

The bigger question — whether emergency measures such as cocktails-to-go warrant a permanent place in the new normal? — warrants consideration now.

As a representative of the Distilled Spirits Council of the United States recently stated during legislative testimony regarding a proposed state law to extend cocktails-togo, “[t]he future of the hospitality industry will be dependent upon many factors out of the control of licensees, e.g. restricted capacity measures, the uncertainty of cus-

tomer comfort levels to return to eating and drinking establishments, or even weather.”

Differing viewpoints make clear that the issues are complicated. As recent legislative actions in Iowa, Michigan and a growing number of other jurisdictions now demonstrate, it is not too early for legislators, industry members, regulators, and policy experts to put their heads together regarding how best to structure the future of cocktails-to-go.

Richard M. Blau is a shareholder with the law firm of GrayRobinson, P.A. He is chairman of the law firm's Alcohol Beverage & Food Law Department, and heads up the firm’s Nationwide Alcohol Industry Team focusing on the rules and regulations that govern the production, importation, marketing, sale and consumption of distilled spirits, wine, beer, and other licensed beverages. Richard received his B.A. from Brandeis University and his J.D. from the Georgetown University Law Center, where he served as the Associate Editor for Topics of the Georgetown Law Journal.

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Award-winning, woman-owned branding & marketing agency for the craft spirits industry highproofcreative.com

KEY FEDERAL TRADE PRACTICE RESTRICTIONS

A TRADE PRACTICES PRIMER

BY BETHANY K. HATEF

A

s a craft distiller, you likely have some understanding of the federal and state alcohol regulatory schemes governing the distilled spirits industry. An important component of these schemes are the federal and state “trade practice” laws and regulations. These provisions are quite detailed and broad, encompassing a wide range of relationships and activities with which a craft distiller may be involved. They also vary largely jurisdiction by jurisdiction. We describe below, at a high level, the basics of the federal and state trade practice regulatory frameworks.

HISTORY OF THE FEDERAL TRADE PRACTICE LAWS The federal trade practice laws are part of the Federal Alcohol Administration Act (FAA Act). Enacted in 1935, shortly after the repeal of Prohibition, the FAA Act established what is today the federal scheme for regulating the production and sale of alcohol beverages in the U.S. At the time of the FAA Act’s enactment, legislators were concerned about keeping the Prohibition-era criminal elements out of the newly legalized industry. The FAA Act also reflected then-current views about alcohol control.

As the 21st Amendment to the U.S. Constitution, which repealed Prohibition, left the regulation of alcohol largely to the individual states, the federal government plays no role in regulating retail sales or the consumption of alcohol. Instead, the focus of the FAA Act was, and still is, on “interstate” activities by upper-tier “industry members” (i.e., suppliers and retailers), as well as excise taxation. There also was a perceived need at the time to separate the retail tier from the upper tiers.

In addition to the trade practice laws, the FAA Act also requires permitting for alcohol producers, importers, and wholesalers, and prescribes labeling and advertising requirements and restrictions for industry members. This article, though, focuses only on the FAA Act’s trade practice restrictions.

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The FAA Act regulates four key categories of trade practices in the alcohol beverage industry: (a) exclusive outlet; (b) tied-house; (c) commercial bribery; and (d) consignment sales.

a. EXCLUSIVE OUTLET The exclusive outlet provisions prohibit any agreement or understanding between an industry member and a retailer that would exclude, in whole or in part, products of another industry member by making the industry member’s product(s) the exclusive beverage for that retailer. The prohibition can apply to specific categories or brand families — for example, distilled spirits, white wine, or a particular brand of beer. The prohibition also can apply to specific areas of large venues (e.g., no exclusive vodka handles at a particular VIP lounge area).

A key feature of the exclusive outlet provisions AT THE is that they prohibit conduct that is commonTIME OF place in the non-alcohol beverage grocery and restaurant industries. For example, THE FAA ACT’S soft drink companies may (and do) have ENACTMENT, exclusive arrangements with restauLEGISLATORS rants. It is important to understand WERE CONCERNED that in the alcohol industry, such arrangements are unlawful under the ABOUT KEEPING THE exclusive outlet laws.

PROHIBITION-ERA CRIMINAL ELEMENTS b. TIED-HOUSE OUT OF THE NEWLY Probably the most talked about category of trade practice laws, the “tiedLEGALIZED house” laws, prohibit a supplier or wholesalINDUSTRY.

er from holding a (direct or indirect) ownership interest in, or providing any “thing of value,” to a retailer. Unlike the tied-house laws of many states, the federal tied-house law requires a combination of an inducement and exclusion to complete a tied-house violation. Inducements include, but are not limited to, an industry member:

> acquiring/holding

interest in a retailer’s license, business, or

property;

> providing equipment, supplies, money, services, or other things of value to a retailer;

> paying or crediting a retailer for any advertising, display, or distribution service

> guaranteeing a loan of the retailer; > extending credit in excess of usual and customary terms; or > requiring a retailer to take and sell a quota of product.

Where an inducement has occurred, the Alcohol and Tobacco Tax and Trade Bureau (TTB), must show that it led to the exclusion of competing

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products. In other words, TTB must show a real-world impact from the inducement (i.e., that it resulted in a retailer purchasing less than it otherwise would have of a competing product).

Moreover, the federal tied-house laws contain many exceptions.

For example, if an industry member wholly owns a retailer, that ownership interest does not represent a prohibited inducement.

Industry members also may provide certain items and services to retailers (e.g., point-of-sale advertising materials, samples, outside signs, educational seminars, etc.) without running afoul of the tiedhouse laws.

c. COMMERCIAL BRIBERY The commercial bribery provisions of the FAA Act prohibit an industry member from providing a bonus, premium, compensation, or other “thing of value” to any officer, employee, or representative of a “trade buyer” (i.e., a wholesaler or a retailer). Unlike the exclusive outlet and tied-house provisions discussed above, which address upper-tier industry members’ relationACTIONS ships with retailers, the commercial TO SUSPEND bribery prohibitions also govern OR REVOKE A supplier-wholesaler relationships.

Like the exclusive outlet and PERMIT MUST FIRST tied-house laws, to prove comBE HEARD BY AN mercial bribery, TTB must show ADMINISTRATIVE both a prohibited inducement (i.e., the unlawful bonus or othLAW JUDGE, AND TTB er thing of value) and exclusion.

MUST PROVE THAT There are limited workarounds to THE VIOLATION these provisions: TTB’s predecesWAS WILLFUL. sor agency created a policy to allow a supplier to make indirect payments to wholesaler employees by providing a lump sum payment to the wholesaler itself (commonly known as an “entity grant”), as long as the wholesaler makes the final decision on allocating the funds.

d. CONSIGNMENT SALES The FAA Act’s consignment sales prohibition prohibits an industry member from selling alcohol beverages to a trade buyer (again, a wholesaler or a retailer): (i) on consignment; (ii) under conditional sale or with the privilege of return; or (iii) on any basis other than a bona fide sale. As with commercial bribery (and unlike exclusive outlet and tied-house), a violation can occur between a supplier and a wholesaler, not just a supplier/wholesaler and a retailer. Moreover, unlike the other three categories of trade practice provisions, consignment sales do not require the element of exclusion. So, the consignment sale alone is enough to prove a violation.

The consignment sale laws recognize as an exception the return of merchandise “for ordinary and usual commercial reasons.” TTB regulations elaborate on this exception and allow returns for reasons like product defects, recalls, spoilage, and other similar rea-

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sons. Notably, returns of slow-moving or seasonal products do not constitute returns due to ordinary and usual commercial reasons.

ENFORCEMENT OF THE FEDERAL TRADE PRACTICE LAWS The FAA Act empowers US district courts to enjoin violations.

The Act also makes violations a misdemeanor criminal offense subject to a fine of up to $1,000 per violation. However, TTB does not have its own authority to pursue criminal matters on its own, and US attorney’s offices rarely use resources on FAA Act cases. As a practical matter, then, TTB primarily conducts FAA Act enforcement on its own under its administrative authority.

TTB has the power to suspend (upon a first offense) or revoke (upon a subsequent offense) basic permits. Actions to suspend or revoke a permit must first be heard by an administrative law judge, and TTB must prove that the violation was willful (i.e., deliberate and knowing).

TTB also has other enforcement tools besides the suspension and revocation of permits. Most notably, TTB’s status as a taxing agency within the U.S. Department of Treasury can provide substantial enforcement leverage over industry members through the ability to assess back taxes, interest, and impose tax penalties. TTB also can revoke Certificates of Label Approval.

In the last year or so, TTB has obtained several significant “offer-in-compromise” settlements for various trade practices, including:

> Anheuser-Busch InBev: In June 2020, TTB obtained a record $5 million settlement for alleged trade practice violations involving sponsorships.

> Stern

Beverage (an Illinois beer wholesaler): In December 2019, TTB obtained a settlement of $350,000 for alleged exclusive outlet and tied-house violations.

> Carisam

Samuel-Meisel (a ship chandler based in Florida): Also in December 2019, TTB obtained a settlement of $450,000 for alleged tied-house violations related to Heineken’s “BrewLock” draught system.

> Crown

Imports (Constellation Beer): In May 2019, TTB obtained a settlement of $420,000 for alleged tied-house violations involving payments to a third-party promotional company.

> Heineken USA: In March 2019, TTB obtained a settlement of $2.5 million for alleged exclusive outlet and tied-house violations involving payments to retailers and other factual allegations.

> TTB has also accepted one-day suspensions to settle alleged consignment sale violations by several small California wineries.

Notwithstanding several recent high-profile federal trade practice enforcement actions, though, TTB seems to be moving away from

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the rigorous trade practice enforcement of the last several years. In a recent report to Congress, TTB indicated that it plans to shift its enforcement resources away from trade practices and toward other areas, such as excise tax compliance. COVID-19 has also prompted TTB to relax its consignment sale prohibition.

STATE TRADE PRACTICE PROVISIONS Under the 21st Amendment, states have broad authority to regulate the sale of alcohol within their borders. (Some exceptions apply, for example, activities taking place in a “federal enclave” like a military facility or duty-free shop.)

Most states have adopted restrictions similar to some or all of the federal restrictions described above:

> Exclusive outlet arrangements are usually prohibited under state alcohol beverage laws.

> Tied-house

restrictions exist in every state. State tied-house laws tend to be far more detailed, and broader, than their federal counterparts.

> Commercial bribery is often addressed in state tiedhouse laws, which often prohibit payments and/or gifts to retailer employees, officers, etc., (rather than just the retailer entity).

> Consignment sales are less often prohibited by the states, but a fair number of states have these restrictions on the books.

State trade practice enforcement efforts and penalties vary widely. Some states rarely enforce their tied-house laws, while others (e.g., California, New York, and Texas) rigorously enforce them.

The trade practice laws are highly complex and subject to a wide range of exceptions, depending on the state. To minimize the risk of trade practice issues arising, we recommend exercising caution in your dealings with retailers (and to some extent, wholesalers) to avoid any action that gives the appearance of favoring a particular retailer, and/ or exercising control over any retailer. When in doubt about whether a particular activity or relationship is legal in a particular jurisdiction, we recommend seeking legal advice, as the trade practice laws can be tricky to understand, but violations can lead to significant consequences.

Bethany K. Hatef is a senior associate in the law firm of McDermott Will & Emery LLP, based in the Firm’s Washington, D.C. office. She is a member of the Firm’s Chambers-ranked Alcohol Regulatory & Distribution Group where she concentrates her practice on a wide variety of regulatory and distribution issues involving alcohol beverage suppliers.

Her practice includes counseling on distribution relationships, trade practice compliance, excise tax compliance, and alcohol regulatory and distribution risks associated with corporate transactions.

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GOOD GUY DISTILLERS

THE ART OF THE CUT WRITTEN BY ELIZABETH RHOADES

— JOHN McKEE & JOHNNY JEFFERY

H

eads, foreshots, tails, feints, low wine, high wine, hearts, and new make spirit (NMS). In the global domain of distilling, there is no shortage of vernacular (never mind the PG vs LPA issue). Ask any seasoned distiller and they will tell you this language is tightly woven into their lives.

Yes, the art of the cut. As the linguistic North Star, who wouldn’t scoff at phrases such as “cut to tail(s)” and “sniff my brouillis while you’re at it.” While seemingly instinctual, it’s fun to reflect and re-evaluate from time to time. What do these words mean?

What are they about … seriously though?!

CUTTING — GETTING THE SKINNY In the simplest terms, cutting is the act of selectively collecting distillate during batch distillation. This is necessary to produce a spirit that meets safety, quality, and efficiency standards, as the vaporizing and

58

FIGURE 1. SPIRIT RUN CHRONOLOGY AND VOLATILITY CHART 1 Heads

Hearts

Tails

90

Ethanol

80

1

70

ETHANOL %V/V

“Liz was asked to join the Good Guy Distillers for two reasons. One, because of her amazing depth and breadth of knowledge, based in science, on almost every aspect of distillation. The other because she was always willing to listen to issues people might be having and then share a solution based on her knowledge. We all need someone in our lives that can help us get back up off the mat when we’re down and Liz is that kind of person to so many people in our industry. The GGDs are lucky to have her in our ragtag group of weirdos.”

2 3a

60

3b

50 40 30 20 10 0

0

10

20

30

40

50

60

70

80

90

100

% OF RUN COMPLETED

condensing compounds change throughout the distillation process. Compositional changes are due to the varying volatility of the compounds within the matrix as compared to ethanol. Furthermore, compounds can be broken into loose congener classes: more volatile (1), similar volatility (2), less volatile (3a), much less volatile (3b).

Essentially describing the chronology of batch distillation, the inclusion of various compounds in the NMS is governed by cut-points. Of course, raw materials and upstream processing have a significant impact on the chemical makeup of the distillation matrix (i.e. the liquid being distilled), therefore, this is also considered in the cutting process.

VOLATILE CHRONOLOGY More Volatile: Batch distillate collection commences with the capture and concentration of the more volatile compounds (note — ethanol is in its highest concentration here as well, due to its high starting level within the distillation matrix). Examples of these compounds include acetaldehyde, hydrogen sulfide (H2S), dimethyl sulfide (DMS), acetone, and methanol. As the direct precursor to ethanol, acetaldehyde cannot be avoided but levels can be limited by minimizing dissolved oxygen levels after the start of fermentation and during storage. Having a solventy/green apple aroma is not a deWWW.ART ISANSPI RI TMAG.CO M

FIGURE 2. SIMPLIFICATION OF ETHYL ACETATE ESTERIFICATION REACTION

O H 3C

O OH + HO

Acetic Acid

CH 3

H 3C

Ethanol

sirable attribute in the NMS. Sulfur-containing compounds, such as H2S and DMS, can contribute unpleasant aromas to the NMS and ideally, their collection should be minimized. Some of these compounds are stripped from the matrix through natural CO2 evolution during fermentation or in the wash mixer. Additionally, sulfur-containing compounds can interact with the copper on the surface of the still to form non-volatile salts, such as copper sulfate, thus minimizing their inclusion.

Acetone and methanol are natural byproducts of fermentation, either via the cultured yeast strain or other microbes present in the ferment. However, at elevated levels these compounds can adversely impact consumer health and safety, thus underlining the criticality of a well-managed heads cut. Acetone imparts an undesirable solventy aroma familiar to many as it is a key ingredient in nail polish remover.

Methanol has little to no discernable aroma and therefore is harder to detect by sensory. However, this congener poses significant risk to the consumer as it can cause perma-

Ethyl Acetate

nent blindness and/or death at high levels.

Methanol levels are greatly impacted by raw material selection and fermentation parameters. Pectinaceous materials, such as pears, apples, grapes, agave, and potatoes, create a higher risk of methanol inclusion in the NMS. An enzyme, pectin methyl esterase (PME), transforms pectin into methanol and pectic acid. Transformation occurs either endogenously through post-harvest ripening,5 or during fermentation depending on the microorganisms involved and the level of PME activity.7 Low-molecular-weight esters are also typically included in the more volatile compound group. Esters are a combination of a carboxylic acid and an alcohol. Ethyl acetate is the most common ester in beverage alcohol due to the high prevalence of acetic acid and ethanol. While fermentation conditions largely dictate the amount of esters produced, raw materials selection also has an impact. At lower levels, ethyl acetate has a pleasant fruitiness; often described as pear, apple, or fruit cocktail. However, at higher levels, it can impart a solventy

10

Acetaldehyde Ethyl acetate

Acrolein 1

Methanol

Propanol 0

20

40

60

80

Isobutanol Isoamyl

0.1

FIGURE 3. RELATIVE VOLATILITY IN RESPECT TO ETHANOL CONCENTRATION 8 (PERMISSIONS FROM PIGGOT, ROBERT)

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CH 3 + H2O

O

100

Water

note like magic marker or nail polish remover. While there are other short-chain esters that can impact the flavor profile of the spirit, such as methyl acetate or ethyl formate, it all depends on their concentration and the cut-point.

Similar Volatility: Continuing into distillation, the similar volatility group begins to volatilize. However, as the ethanol concentration within the matrix decreases, the volatility of some of these compounds changes; this often creates confusion about congeners in this group. Higher alcohols, such as propanol and butanol, are prime examples of similar volatility compounds and are often described as alcoholic/ boozy, fermented, and/or slightly apple/ banana/pear-like.

While their inclusion in the final spirit can contribute characteristic attributes, such as whiskey- or tequila-like, levels should be moderated through cutting.

Mid-weight esters are in this group as well, such as ethyl hexanoate and isoamyl acetate, described as applesauce and banana/ bubblegum, respectively. Other compounds within this group, such as diacetyl, don’t deviate in relative volatility from ethanol. Generated at low levels as a natural product of Saccharomyces spp. fermentations, detection in the wash often signifies Lactic Acid Bacteria contamination and over-growth, commonly by Pediococcus spp. Having a buttered popcorn-like aroma, diacetyl is a serious quality defect and nearly impossible to remove due to its similar volatility.

Less and Much Less Volatile: As ethanol concentration declines, higher alcohol compounds (fusels) begin to rise (Figure 3). In a way, this serves as a subtle transition between similar volatility and the less volatile. High-molecular-weight

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esters and their corresponding fatty acids are key lower volatility examples. Aroma and flavor characteristics of these heavier esters vary, ranging from cognac and dried fruits to floral and honey to oily and soapy/waxy. Common examples of these compounds are ethyl decanoate, ethyl myristate, 2-phenylethyl acetate, and ethyl palmitate.

Not all of the fatty acids are esterified pre-distillation; some remain within the matrix as-is. These acids typically volatilize later in distillation and are described as semi-volatile. Acetic is a prime example.

When present in NMS, acetic acid can cause some sourness, but over time it will likely esterify, creating another layer of flavor.

As the distillation nears completion, the much less volatile compounds, like volatile phenols, become more prevalent in the vapor phase and therefore the distillate. Phenols can be broken into a few (oversimplified) modalities: smoky, medicinal/plastic, spicy, barnyard/leather, and acrid. Raw material selection and processing plays a vital role in the evolution of these compounds.

With respect to malt whisk(e)y, practices during malt kilning can impact phenol levels. For example, peat-smoking of malt creates compounds, such as ortho-, meta, and para-cresol, which are described as woody/leather, plastic/medicinal, and barnyard. Similar compounds can form during the preparation of piñas for agave-based spirit production,10 if cooking is conducted over wood-burning pits. Yeast strain and fermentation conditions also impact the level of phenols generated, such as 4-ethyl phenol (smoky/meaty) and in the case of rye, 4-vinyl guaiacol (clove). Phenols are lignin-derived compounds, so as lignin degradation proceeds, the concentration of phenolic compounds in the matrix will likely increase. While variables upstream can impact the level or presence of these compounds in the beer or wash, distillation and the cutting process dictate their fate in the final spirit.

CUTTING — ART + SCIENCE The decision of making cuts can be determined through a few factors: alcohol by volume (ABV), time or percent of run, vol-

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ume collected, and/or sensory. ABV is pretty standard and easy, hence the hydrometers in the spirit safe. Volume collected and time are other options, however this requires a testing and validation period.

Arguably though, sensory is the most valuable tool at the distillers’ disposal. A vast array of compounds is concentrated during beverage alcohol distillation; some are pleasant, some are pleasant at low levels, and some are unpleasant. The human olfactory is the most sensitive instrument for appraising aroma, and evaluation throughout the process provides the distiller with a more holistic understanding of the distillate. This allows for more informed decisions around cutting to be made, and ultimately, better control of the flavor profile.

However, sensory evaluation is a highly subjective form of analysis. Herein lies the craft of batch distillation — the art of the cut. As sexy as this seems, continual sniffing may not be practical as there are myriad issues that can complicate the evaluation; competing aromas in the stillhouse and sensory fatigue are prime examples.

This is why percent ABV, time, and/or volume are preferred as real-time tools, only after validation through safety and sensory exercises.

Yet another method within the distiller’s cutting toolkit is the Misting Test. Aiding with the transition from heads to hearts, this tool can be used to safeguard against louching (aka the Ouzo effect11), as this can be a risk to final product quality. Low volatility compounds, such as waxes and oils, can coat the still’s internal surface areas and contaminate subsequent batches.

Since they are readily soluble in high-proof, the heads-fraction can contain these residual compounds in addition to the expected high volatility compounds. The Misting Test takes advantage of this as these compounds aren’t soluble at lower proofs.

Cold water is added to the high proof spirit (~75-80% ABV range), reducing the strength to ~40%. Increasing the water content disrupts the stability of the solution causing a spontaneous emulsion to form. These small oil droplets scatter light causing the matrix to appear cloudy,3 which is often catalyzed by colder tem-

peratures.11 To further complicate matters, small droplets can aggregate to form larger droplets by the Ostwald Ripening effect.2 If any of those compounds are present, the liquid will become cloudy indicating to the distiller that it is not yet time to start hearts collection. Beyond being visually displeasing to the consumer, these oils can cause off-notes and taint the overall spirit quality.

CONCLUSION From sensory to Misting Test, there are a plethora of tools to aid in the cutting process. Method selection and a distiller’s interpretation of results can impact the quality and flavor profile of NMS. Not to diminish artistic liberties, but some examples and guidelines might include:

> ABV: heads-cut at 72-76% and tails-cut at 60% or even down to 50% for additional phenol capture

> % of Run Time: 10% and 50% respectively

> Sensory: “don’t feel like I’m at a nail salon” for heads, and the onset of “leathered-honey and ash trays” signifying a cut to tails The technical artistry of the cutting practice is impacted by several factors; from raw materials to maturation techniques, there is no shortage of considerations. However, it is these factors that come together to form the poetic journey of batch distillation, regardless of vernacular chosen.

Liz Rhoades is a technical distiller with over a decade of experience in beverage alcohol, working across a variety of substrates, spirits, and sites spanning the Americas and Europe. After spending the majority of her career at Diageo, she now is the Founder and Principal of Spirit Safe Consulting LLC, specializing in distillery technical process support, new product development, and spirit education. Liz holds her Diploma Distiller from the Institute of Brewing and Distilling and a Masters in Food Science from North Carolina State University.

Outside of making and writing about spirits, she enjoys yoga and Boulevardiers — but typically not at the same time.

The Good Guy Distillers are a ragtag group of distilling industry weirdos gathered by John McKee, founder of Headframe Spirits, and Johnny Jeffery, head distiller for Bently Heritage Estate Distillery.

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REFERENCES: 1. Campbell, Iain. “Chapter 6: Grain Whisky Distilla tion.” Whisky: Technology, Production and Market ing, by Inge Russell, Academic Press, 2003, pp.

202

2. Ferreira, A.C., Sullo, A., Winston, S., Norton, I.T. and Norton-Welch, A.B. (2020), Influence of Ethanol on Emulsions Stabilized by Low Molecular Weight Surfactants. Journal of Food Science, 85: 28-35. doi:10.1111/1750-3841.14947

3. Grillo, Isabelle. (2003). Small-angle neutron scat tering study of a world-wide known emulsion: Le Pastis. Colloids and Surfaces A-physicochemical and Engineering Aspects - COLLOID SURFACE A. 225. 10.1016/S0927-7757(03)00331-5.

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4. Lee, K.-Y.M., Paterson, A., Piggott, J.R. and Richardson, G.D. (2001), Origins of Flavour in Whiskies and a Revised Flavour Wheel: a Review.

Journal of the Institute of Brewing, 107: 287-313. doi:10.1002/j.2050-0416.2001.tb00099.x

5. Micheli F. Pectin methylesterases: cell wall enzymes with important roles in plant physi ology. Trends Plant Sci. 2001;6(9):414-419. doi:10.1016/s1360-1385(01)02045-3

6. Nicol, Dennis Arthur. “Chapter 5: Batch Distilla tion.” Whisky: Technology, Production and Market ing, by Inge Russell, Academic Press, 2003, pp.

153–176.

7. Ohimain EI. Methanol contamination in tradition ally fermented alcoholic beverages: the microbial dimension. Springerplus. 2016;5(1):1607. Pub lished 2016 Sep 20. doi:10.1186/s40064-0163303-1

8. Piggot, Robert. “Chapter 17: From Pot Stills to Continuous Stills: Flavor Modification by Distilla tion.” The Alcohol Textbook: 4th Edition: a Refer ence for the Beverage, Fuel and Industrial Alcohol Industries, by K. A. Jacques et al., Nottingham University Press, 2003, pp. 263.

9. The Good Scents Company, http://www.thegood scentscompany.com/index.html, © 1980-2018

10. Vera, Araceli & Guzman-Geronimo, Rosa & López, Mercedes G. & Chavez-Servia, Jose Luis. (2018).

Volatile Compound Profiles in Mezcal Spirits as Influenced by Agave Species and Production Processes. Beverages. 4. 10.3390/beverag es4010009.

11. Vitale, Steven & Katz, Joseph. (2003). Liquid Droplet Dispersions Formed by Homogeneous Liquid−Liquid Nucleation: “The Ouzo Effect”.

Langmuir. 19. 4105-4110. 10.1021/la026842o

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Only a Click Away

E -Commerce Solutions as Direct Shipping Alternatives for Spirits Brands

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f COVID-19 has shown us anything it’s that receiving alcohol at your doorstep without going to the store is more important than ever.

While it’s no secret that direct-to-consumer (DTC) shipping has proven to be a boon for the alcohol industry, namely wineries, spirits brands continue to face daunting legal and regulatory restrictions. Except for a handful of states, spirits brands must still sell their product through the three-tier distribution system and are currently limited when it comes to selling direct, unless the consumer is physically present at the distillery. However, distilleries do have options.

The Quasi Direct-to-Consumer Shipping Approach A growing number of spirits brands have decided to play the cards they were dealt and make the most of the resources available to them, while conducting business in a compliant manner, by turning to third party marketing companies for alternatives to getting products into consumers’ hands.

Most of us are familiar with some of the various online platforms that sell alcohol. There are local on-demand models like Saucey and Instacart, where consumers can order alcohol at the click of a button, which is then delivered by a local retailer within the hour. There are also marketplace platforms, such as Cask Cartel or Spirit Hub, which usually offer a curated selection of craft or specialty spirits sourced from a national network of retailers or local distillers who may legally deliver or ship into the purchaser’s state. Although these platforms are not truly “direct-to-consumer” since the sales must be made through the three-tier system, consumers have responded favorably to the convenience and accessibility afforded to them when making purchases.

The Embedded Shopping Cart In addition to the use of third-party platforms to advertise alcoholic beverage products, some spirits brands have been making the shift toward marketing strategies that bring them closer to their customers.

The benefits of this greater customer intimacy include a tailored marketing and advertising experience, as well as a greater adaptation of products to customer needs resulting in higher customer loyalty levels.

Adi Pal, founder and CEO of Mash & Grape, which started off as an online marketplace selling a variety of curated craft spirits, said he created the marketplace to “cut through the noise and introduce people to a burgeoning collection of spirits,” which he sourced through a national network of retailers and craft distillers. In addition to sales made on the 62

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platform, brands advertised would just link to the marketplace in the “Where to Purchase” section on their websites. But, over time, as brand sophistication increased, there became a demand from the suppliers using the platform to also sell online, or at least give the appearance of selling online, directly from the supplier’s own website, much like other marketing platforms were doing at the time. “Think about it,” saidPal. “When you are shopping and you see a Gucci advertisement, it’s a different feeling than when you see an advertisement from a retailer or Ebay selling Gucci.”

By taking a snippet of code, Pal created a “Purchase Now” shopping cart widget and Barcart, an e-commerce service, was born. “It was a no brainer,” said Pal. “We stumbled upon a service and experience that brands loved and although Mash & Grape was created for us, Barcart was a service that was created organically based on feedback from the brands we work with.”

The checkout widget allowed brands to copy and paste a customizable code directly into their existing webpage, which powers a checkout button enabling e-commerce sales through the supplier’s existing distribution networks across the U.S. The adaptation resulted in checkout conversion rates leaping to approximately four times what they were prior to installation of the widget.

Even though most spirits brands are limited in DTC, there is arguably still an advantage in the quasi DTC approach. Barcart and other similar e-commerce platforms facilitate sales from a supplier’s existing website so that the brand can maintain full control over the user experience, marketing presentation, and data collection. In most cases, no one can represent a brand better than the brand itself, so being able to market directly to the consumer is desirable.

Of course, the use of a shopping cart embedded in a brand’s website will not magically generate an influx of sales. As Pal stated, “In order to drive traffic to a supplier’s website, you need targeted marketing efforts.”

In the example of Barcart, traffic is driven to the brand’s website, either organically or through additional marketing efforts, which drives sales from the purchase widget. Then the brand’s products are listed on the marketplace, so orders are coming from both sources. A dashboard allows users to view detailed sales statistics, such as top selling products, location of sales, and the channels through which sales are made. From the brand’s dashboard statistics, users are able to determine which channel generates more sales. A critical factor in selecting any marketing platform is the availability of data and the extent to which that data is informative.

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Legal Considerations Whether you are an alcoholic beverage supplier or an unlicensed third-party marketing company, navigating the heavily regulated sales and shipment of alcohol across state lines requires many important legal and compliance considerations.

Marketing Fee: In most instances, the payment of a marketing fee to an unlicensed entity is permissible as long as the fee is not based on a percentage from the alcohol proceeds or creates the appearance that an unlicensed entity has the privileges of an alcoholic beverage licensee. Although a marketing fee may generally be paid to a marketing company, product prices must be independently set by each alcoholic beverage licensee in each of the three tiers.

Marketing Agreement: A comprehensive marketing agreement when utilizing e-commerce solutions is essential for both the brand and the marketer. The agreement should include compliance language stating that the fees paid by the supplier to the marketing company are not conditional upon any licensee’s purchase of any alcoholic beverage products offered for sale by the supplier and that no funds paid to the marketing company will be used to induce any retailer to purchase the supplier’s products to the exclusion of a competitor’s products.

Website Terms and Conditions, and Privacy Policy: Both the brand and the marketing company’s websites should include terms and conditions which make clear that sales are only lawfully fulfilled through the three-tier system. Purchases made through a third party marketing company’s website or through the “Purchase Now” button embedded on a supplier’s website are directly routed to an alcoholic beverage licensee and are pending until the order is accepted or rejected by that licensee. It should be clear that the marketing company does not sell or solicit sales of alcohol and the service is not meant to facilitate any improper furnishing of inter-tier inducements. Privacy policies should cover the usage of the platform user’s data and should provide the user with options to opt out of the platform’s standard data collection, if desired.

Payment Processing: While a marketing company may generally act as an agent for an alcoholic beverage licensee in the collection of funds (such as receiving credit card information and securing payment authorization), the full amount collected from the consumer must be handled in a manner that gives the licensee control over the ultimate distribution of funds.

As the spirits industry continues to shift into direct or quasi direct-to-consumer shipping, the complicated nature of alcoholic beverage compliance will remain challenging. Fortunately, industry members navigating the digital landscape have creative e-commerce and marketing solution options to leverage their brand and increase sales.

When you need high-purity

grain neutral spirits for

You’ve come to the right place. Since 1943 Grain Processing Corporation has supplied the beverage industry consistent, high-purity grain neutral spirits.

And of course we offer a full complement of sensory, analytical and customer service to back up every order. You can rely on GPC for quality and value with delivery that’s on time and hassle-free.

U.S. Produced | Gluten Free For more information, call 563.264.4265 or visit us at grainprocessing.com/alcohol © 2019 Grain Processing Corporation

Ashley Hanke is an attorney at Malkin Law, P.A., a law firm serving the alcohol beverage industry. For more information, visit www.malkin.law, email ashley@malkin.law, or call (860) 394-7012. Nothing in this article is intended to be and should not be construed as specific legal advice.

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NEW ENGLAND DISTILLING Written by Devon Trevathan /// Photography by Amanda Joy Christensen

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ed Wight, founder of New England Distilling in Portland, Maine, pointed to a remarkably sturdy-looking set of wooden racks, which currently housed three tiers of barrels each.

From the larger-than-average size to the stain of the wood, the racks looked exactly like old Lincoln logs. Wight had managed to salvage these old racks, which had once belonged to members of his family, when he traveled down to Maryland with his father.

They’d found the property that was once the original location of a distillery built by his great-great-great grandfather and used to produce Sherwood Rye Whiskey, a distinct Maryland rye that survived Prohibition. It was produced by the Wight family from the mid-19th century until 1943 when the brand and distillery were sold.

The building was dilapidated, caved in at its center, but still standing, and when both generations of Wights ventured around the property, a man working there was able to connect them with the current owner. By some miracle, he allowed them to go into the building and fish out some old racks that had been used to age his family’s rye whiskey nearly 200 years prior. “We went into this building that was just, it was a tumbledown building where there was a service elevator on one end of the building and an extension cord running from the building next door up to the roof, down through the hole in the roof to run the elevator,” Wight recalled. Their timing couldn’t have been better — two months later, a hurricane blew through the area, ripping the building in half and flinging its contents into massive heaps of rubble.

It’s rare to find a distillery owner with as rich a family history in distilling as Wight. After a century, his grandfather eventually sold the family’s distillery to the famous Hiram Walker, the American entrepreneur who formed Hiram Walker and Sons Ltd distillery, which still owns the majority of plastic bottled liqueurs and mixers that populate some of the lower shelves of every liquor store across the country. Rarer still is that same person not resting on the lore of the past for the current success of their business.

Wight is of course delighted to discuss his family’s distilling legacy, but the enthusiasm in his voice whenever the conversation turns to topics like yeast strains, direct-fire distillation, or different treatments in the malting process gives him away. Even with the chance encounter that allowed him to repossess his family’s old racks, Wight seems genuinely most interested in discussing how those racks have permitted him to create a flow of barrels that experience aging at different heights, and different temperatures, inside the distillery.

It seems that production is his happy place, which could be expected of someone who began brewing professionally in the 1990s and eventually transitioned to distilling over a decade later. It’s the reason Wight started his own distillery in the first place. Instead of reviving the old family brand, his focus was producing a distinctive whiskey he calls Gunpowder Rye. Gunpowder is a Maryland-style rye whiskey made from 70 percent rye grain and 30 percent malted barley, which is divvied up amongst different styles, including two-row, caramel, and pale chocolate.

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“Generally speaking, what we try to do is make familiar categories but unique interpretations,” said Wight.

He kept to that philosophy when New England Distilling made their genever-style gin called Ingenium. It begins with a base of 95 percent barley and 5 percent rye triple-distilled in house and is then flavored with 10 different botanicals, including makrut lime leaves and cubeb. Wight knew from the beginning that he wanted to make a gin using a flavorful base spirit, a departure from the neutral spirit used most often, and he designed the botanicals to pair with that initial character.

Many of the decisions New England Distilling has made since its inception in 2011 seem motivated in some part by Wight’s brewing background. For one thing, they use brewer’s yeast, as Wight is aware that there are more strains of beer yeast commercially available. Their decision to incorporate malts beyond the standard distiller’s malt is another, the idea being they could access flavors that might have been found in older Maryland ryes that way — a modern approach to achieving that historical connection. “They come through the still really nicely,” said Wight.

“This caramel malt here gives the bourbon a nice kind of cocoa, cracker jack-y toffee kind of character right in the mid-palate.”

But other choices seem to have occurred more organically as Wight began nurturing his interest in the distilling side of beverage alcohol production. He first looked into Christian Carl stills back in the 1990s but wasn’t ready then to pull the trigger on his own venture. When it finally came time to kit out his space in Portland, Maine, Wight decided, for both economic and brand reasons, to buy two 250-gallon direct-fire alembics. He’s found that the flavor profile he achieves with his equipment is particularly unique; it’s an element to his production he wouldn’t trade for anything.

New England Distilling has two thumpers connected to each of their alembic stills. This configuration is meant to approximate the Maryland charge still, which was a simple steam-heated still with three chambers. Much like their gin, once they decided to bring in the direct-fire stills, the remainder of their processes were designed to work with that setup in tandem. “All that ties into our maturation program as well because we get massive temperature fluctuations in here and stratification in the distillery, so we get a lot of movement of the spirit into and out of the wood,” explained Wight. “Brewer’s yeast leaving sugar behind for the direct fire to caramelize, heat from the direct fire promoting movement in the wood and stuff like that, so it’s all tied together.”

New England Distilling uses a combination of different-sized barrels for the maturation of their spirits. Their Tidewalker bourbon, a straight wheated bourbon with a healthy dose of caramel malt in the mash, is aged exclusively in 53-gallon barrels from Independent Stave, as is their Eight Bells Rum. The Gunpowder Rye began aging in 30-gallon barrels from the Barrel Mill, but they were eventually able to transition to 53s. However, they found that the rye coming out of the 30-gallon barrels had a distinct bergamot tea character that wasn’t achievable exclusively in 53s, and more importantly, the juice coming out wasn’t

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over-extracted, so Wight opted to age in both sizes and blend them together before bottling.

Wight has found operating in Maine, a control state, to have its challenges, but he is also quick to point out the ways in which the Maine ABC has worked with craft distillers. One part of the model that is especially taxing on small operations is the fact that on-premise accounts are made to pay full retail price at agency liquor stores for any products they want to serve. This means that the prices of cocktails using Maine-made spirits can become expensive very quickly, flirting with the cost of a drink in cities like Boston or New York. Like many distilleries around the country they serve their own cocktails through a tasting room.

New England Distilling does so until 5 p.m. most nights. This schedule works with bars in town, as Wight can encourage curious drinkers to visit his favorite spots after they’ve closed down for the night.

Maine’s distilling guild has, for a while, been working on a distillery trail of its own, no doubt after witnessing the success other states have had since implementing one. It’s a good way to get more visitors to distilleries that exist outside of large cities or townships, and in Maine, there are a few of those. Most of the tourism tends to be clustered to the southeastern portion in towns like Portland, Brunswick, or Bangor; its 20-plus distilleries stay close to those areas, but some require a bit of a drive. The state of Maine is not actively working on its own regional classification of spirit, however, and neither is Wight. He’s happy continuing to revive a Maryland style of whiskey that he’s found to have been largely forgotten. New England Distilling’s Gunpowder Rye is distributed in Maryland, and Wight says that he’ll often go there to do a tasting and run into Maryland residents who’ve never heard of the regional take. “Because I think we’ve got — between really the last of the Maryland ryes — probably a generation or more removed, so folks just totally forgot,” said Wight.

“The last full distillery running down there was the Majestic, if I remember correctly, in Pikesville, but that was in the early 70s when they shut down.”

As Wight sees it, having worked in both the craft brewing and craft distilling industries during their respective booms, consumers are now in a position to be very accepting of what’s to come from small American producers, regardless of its historical roots. “The consumer now, they’ve had such a good experience with American made wines, craft beers — whatever new industry is taking off, they’ve had this good experience with flavor that they’re totally game to try something new.” He feels it’s made his job easier, or possible at least; there’s a market for distillers whose real interest is continuing to sustain a business where they make each product carefully by hand. It’s all Wight hopes for in his own business, and it seems he’s on the path to do just that.

New England Distilling is located in Portland, Maine. For more info visit www.newenglanddistilling.com or call (207) 878-9759.

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Leading by Example

A conversation with Chris Montana WRITTEN BY COURTNEY MCKEE

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hris Montana is an unassuming force of nature. I first met him the weekend after he quit working as an attorney as he was preparing to open his distillery. This was 2013 and he was determined. He visited our distillery and asked a ton of questions and we were clearly one stop of many on his journey. Montana took that determination and launched Du Nord Craft Spirits with a commitment “to diversifying the craft alcohol community and actively recruits the underrepresented communities of women and racial minorities to join the Du Nord family.”

On the night of May 29th 2020 my friend Chris Montana’s distillery in Minneapolis was damaged in the rioting following the killing of George Floyd. It made me angry and sad and I felt impotent to help. My gut instinct is to dive in and try to fix the problem, but instead, I’ve had to take a step back and wade into conversations about race and its impacts — past present, and future — on our country.

And who better to talk with than Montana, whose distillery sits literally in the epicenter of racial tensions in the heart of Minneapolis.

I appreciate writing about difficult moments and how we lean into them as a launch pad for something better. I was honored to be asked to write about Chris Montana and Du Nord Craft Spirits, and even more honored when Chris said yes.

It also set up a challenge for me. Like many in America, I’m working to relearn my re-

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lationship with racism. I have spent my life thinking I was doing my part by not being racist and it turns out I was wrong. I didn’t know what it meant to be anti-racist, I’d never heard the phrase and didn’t know what it meant but if there’s more work to do, I’m in. So I’ve been listening, learning and asking questions. This is the first time I’m confronting racism in such a public manner and it makes me uncomfortable, and isn’t that kind of the point?

The week of May 25, 2020, with all the energy and passion with which he launched Du Nord, and with no time for planning, Montana leaned into his values and launched himself into his most impactful role yet as a leader for change in Minneapolis following the killing of George Floyd and the protests that followed.

The remarkable timeline looks like this: George Floyd was killed Monday May 25. Tuesday May 26, the protests began.

Wednesday the rioting started and Thursday, May 28 was when the third precinct police station, just down the block from Du Nord, was destroyed. That day, Montana’s production manager and her girlfriend came back to the distillery to hang Black Owned business signs on Du Nord’s tasting room and production spaces. That night, Friday, May 29, Du Nord’s warehouse (not labeled Black Owned) was badly damaged in the rioting. Saturday the 30th, his nearby apartment building was lit on fire during the rioting. Sunday, May 31, Montana announced the Du Nord

Riot Recovery Fund which, to date, has raised over $750k and has received applications for assistance for over $1.6 million.

They began awarding grants on July 6. And Monday, June 1 Du Nord’s damaged warehouse opened as a food pantry and fed over 300 people their first day alone.

In the announcement of the launch of the fund, he shared: “It’s time to get to work. The events sparked by the murder of George Floyd have been beautiful and tragic. The reality is this: our city is devastated and many of the businesses owned by persons of color were destroyed or damaged in the process. At Du Nord, we have historically gone about our business quietly, but this is not a time to be shy about the situation we and so many others face every day.

Systemic racism is the ether within which we all live. The effects of that system are written on gravestones around our state and nation, but most of us will experience it in forms well short of a knee on our necks or bullets in our bodies. The most effective enduring barriers to true equality have been the restriction of access to electoral and economic power. Du Nord has always encouraged voting and electoral engagement but [has been] less vocal about economic development within marginalized communities.

We are establishing this fund to focus on the rebuild of black and brown businesses around the Twin Cities affected by the riots.

Again, this money is not for us, but to ensure that businesses most in need are able to reopen and grow.”

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Take a moment and think about this.

Montana is living alone in Minneapolis, his wife and three children are in California where Shanelle Montana has taken a position with a plan for Chris to split his time between the two cities. In the span of three days, his distillery is damaged, his apartment building is damaged and he’s made the decisions to open a food pantry and to start a riot recovery fund. Much of what defines the quality of our character is how we show up in difficult moments.

What we bring and what we leave behind and how we make those sometimes split-second decisions. In this case, Montana evolved from quiet business owner leading by example to an outspoken community leader with a three-part plan for the recovery of his community. Those three parts address: 1. The immediate need for food in a newly created food desert.

2. Financial assistance for undercapitalized black- and brownowned businesses impacted by the protests and riots.

3. A longer-term plan for rebuilding, including zoning and grant programs to support new models for business and property ownership.

Montana had developed this plan and implemented the first two parts in less than a week, while dealing with his own losses and concerns. When I asked him about it, he shared “There wasn’t time.

There were needs and they were very clear. We all needed to act and to be part of something.

You talk about the timeline, going from being a distillery to all these other things in less than a week and I suppose it is remarkable.

At the time, I felt frustrated by how slowly it felt. I felt like we weren’t moving fast enough.

You’re looking at these lines and there were families with kids. I saw myself in every single one of those kids. I remember being the kid who waited in those lines to get the free food.

We have to do better than this. You cannot be in this space and know that this is happening and not be part of it.”

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“But what if this is it, the start of real change? Then aren’t we lucky to have had fires set in our building, aren’t we lucky to be among those who paid some price to get this ball rolling?”

Montana continued, “My interest came from hearing the chants on Tuesday (May 26), ‘No Justice, No Peace. Prosecute the police.’ I remember being eight years old, marching even though I didn’t want to... I remember being that kid and then fast forwarding 29 years later to the same chant. Is this getting better? Rodney King got beat up.

George Floyd was killed. Slowly. It’s not getting better. It’s getting worse.”

“You’re either going to give up or you’re going to do anything else and I chose anything else. A lot of people did and that’s why we’re here. We’re getting credit for lots of things we didn’t entirely do.”

I want to understand what anchors amazing leaders like Montana and so often, I find it comes back to clarity of values and how those shape purpose. “Above damn near all, I value people and fairness.

And I’ve learned, over time, that there are way more shades of gray than there are things that are black and white. And I’ve learned that what I thought was true about people was almost entirely wrong. I grew up believing that Democrats, workers, unions and organizers were the good guys and that Republicans and most white folks were probably the bad guys. That they were all about money, money, money. Now, as an adult, I keep finding the counter-examples, so many of them. I grew up believing that fairness wasn’t possible. I worked on a campaign where our tagline was ‘Everybody counts. Everybody matters.’ and I believe that. And you can’t look at race relations in the United States and say that they’re fair. I grew up as broke as they come. I was homeless for a period of time, living off other people’s handouts. If you can go through

that and come out the other side, all of those people are you. You see yourself in them. If someone is suffering, you are suffering. I felt like I was every single one of those kids. There was nothing that any single one of those kids did to deserve what they were having to do. I think of my own kids and the world they’re going to inherit. There’s nothing they did that will justify someone looking at them and saying, ‘Well, you’ll probably be good at sports but probably not so good at thinking.’ You can’t do well while people are doing poorly.”

He also shared his favorite quote on leadership from Lao Tzu: “A leader is best when people barely know he exists, when his work is done, his aim fulfilled, they will say: We did it ourselves.” I saw this philosophy in action as Montana worked tirelessly to forge a deep and committed trajectory for the American Craft Spirits Association as president, a role he just completed at the end of July this year. His commitment to creating space for others to act and to own their successes is unwavering. Chris explains how the credit for the food pantry goes to the volunteers who had already been running food pantries and folks he knew who had been doing volunteer organizing with him earlier in his career. With 65 volunteers a day, it was run by them. He gives credit for the distillery’s damage stopping at the warehouse to his employee and her girlfriend. He gives credit for the Riot Recovery Fund to the 11,000 people who had donated by the time of this interview. And he gives credit for the publicity his work has received to his wife, who pushed him to take all the interviews, even the ones he was less than

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enthusiastic about. Shanelle argued that you have to speak to all sides if you want to be heard by all sides. He takes credit for assembling the infrastructure, not for any of the actual work. He went on to share an anecdote about a woman who mailed the Riot Recovery Fund a $5.00 bill, and contrasting it with Al Franken who donated $50,000. In his eyes, they are deserving of equal recognition, each giving at their capacity, each deserving equal acknowledgement for their commitment.

And when I feel brave enough in our discussion to really engage Montana about racism, he shares, “If you’re an American, this is one of the things we all have to work on. It’s our original sin. We’ve never confronted it and we have to do something about it and everyone isn’t going to come at it from the same place. There has to be a safe space for people to have conversations.”

He asks the question “What would it take for you to riot? How bad would things have to be and what would the central issue be?” He knows that many people can’t connect with any idea of how awful a situation would have to be to get them out in the streets. His response, “Yeah, that’s how bad it is. That’s the level of anger people have.

I don’t condone it but I do understand it.”

Montana shows up with gratitude that just the little bit of damage his building took was enough to get him set on this path. He had to sit down amidst the wreckage, watching the water pour out of his building, taking a literal step back, he went kitty-corner from his building, “watching the water and the smoke come out, and the building didn’t burn down, but even if it had, we can come back from this. But what if this is it, the start of real change? Then aren’t we lucky to have had fires set in our building, aren’t we lucky to be among those who paid some price to get this ball rolling? That thinking just changes everything for you.”

That thinking demonstrates content of character we should all aspire to. “I believe in the theory of balance and karma. It all gets paid back to you,” he shares.

“Everyone should have a place to fit in and I know that drives what I do on a daily basis.”

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“As a business owner, I think people don’t always recognize how much power they have and what they can accomplish with it.”

Montana describes himself growing up as an oddball and appreciates it, acknowledges that Du Nord now works for the oddballs. And those outliers are critical to his vision for rebuilding Minneapolis. This was his third action item, a longer-term plan for rebuilding, including zoning and grant programs to support new models for business and property ownership.

Chris shares that this was really his initial bullet point and that he’s spending half of his time on it. He’s set his sights on the big picture and he was seeing it even as Minneapolis was burning. “Business can be an extremely positive influence on society and is a multiplier of resources. They’re also good for building personal and generational wealth.” Chris wants to see a push for minority business ownership and he’s putting in the work to help achieve his vision.

“That’s what this country is built for. That’s why our bankruptcy laws are so revolutionary, it’s because we’re a country built around entrepreneurship and risk taking. Minorities need to take those risks, too, and see some of the benefits from it. Otherwise, we’re never going to get out from where we are, we’re always going to be this underclass within this country and that’s bullshit. So, you know, let’s get on it.”

“This morning, I was on a call with Twin Cities Federal Bank’s head of commercial lending and they’ve put up $1 billion to loan to black and brown owned businesses, which is just to say that they’re going to make money off of black and brown owned businesses.

So we had this call today to clarify what they mean. Is this for real? Do you want to put in the work? I’m the head of this group, the 2020 Group, and we’re a collection of business owners from the building trades, community leaders and developers who are all working around this 12-page document I created that

lays out how we can create a business district that can incubate new businesses.”

Montana lays out an example of a small restaurant that could be located inside to his distillery, paying little to nothing in rent at first. As it grew in popularity, it could eventually take on additional financial responsibilities and could ideally become successful enough that it could move out into its own space as a healthy, established business. Capital is a huge barrier to entry for minority business owners.

“Now Du Nord isn’t just a place where people can get a drink, it’s serving this other purpose that has to do with the next generation and that’s the important piece. That’s the only thing that’s going to make it any different for the next generation, for my kids, if the next generation has a leg up, something to balance things out. And the point isn’t to have it just be Du Nord. We’ve reached out to other businesses looking to create a critical mass that generates energy and inspires people to want to be there. Think about kitchen space or an architect who wants to hang a shingle or a small retailer or some office space. Those businesses will be in an already thriving business district and that’ll be the best shot they’ve got.

And some will fail anyway but the ones who make it through will do so because that district existed. That is having a real effect and putting generational wealth into more families so they can own their businesses, their buildings, and determine their own futures.

That’s what I want to do.”

We live in a country where the majority of business owners are white and the majority of the country’s wealth is owned by white people. The inequities exist throughout our systems, including homeownership, unemployment rates, access to healthcare and to quality education. And it permeates our distilling industry as well.

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Those inequalities do nothing to dissuade Montana from being an example we can all look to. He explained, “We’re in an odd space. There’s an unmoored feeling that many of us have. What’s supposed to happen, when things get really tough, a leader is supposed to reassure us that we’re going to figure this out and we’re going to get to the other side and that we’ll be better than we were before … As a business owner, I think people don’t always recognize how much power they have and what they can accomplish with it.”

Former President Barack Obama, in eulogizing US Representative John Lewis, referred to him as a “Founding father of that fuller, fairer, better America.” It is not a stretch to say that Montana has committed to the same work John Lewis committed to: identifying and eradicating racism. To that end, Montana is serving as a founding father of that fuller, fairer, better Minneapolis and through that work, a better America. Chris wants to live in a

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If you are interested in the work of the Du Nord Riot Recovery Fund, you can learn more about it, or make a donation at www.gofundme.com/f/minnesota-poc-business-support.

You can also follow Du Nord Craft Spirits on Facebook to stay current on the work Chris and his team are doing. world where his kids won’t be penalized for having a black dad. I want to live in that world with him and he is a powerful beacon lighting the way to that shared vision.

I asked Chris what he needs from the rest of us to support his efforts. “I hope people keep the conversation alive and continue to have the hard conversations we need to have to make progress. The conditions that sparked outrage over George Floyd were present for Eric Garner, Philando Castille, and countless others killed by police for little more than their bodies were the wrong color.

However we got here, my fear is that we will

turn the page as we have in the past. It is easy to put up a Facebook post and proclaim what should be an innocuous statement: ‘Black Lives Matter’ while the whole world is saying it; what's hard is continuing to talk about it until that statement is borne out by reality. We all have a voice and agency that we can use to do the hard thing: speak out when speaking up is no longer en vogue. Most communities don't have burned out buildings, memorials, or other reminders to keep the conversation alive, but those communities have us, and we can be the reminder that there is work still to be done.”

Courtney McKee is the co-owner and co-founder of Headframe Spirits and Headframe Spirits Manufacturing. Courtney is deeply passionate about education, including leadership development, for the distilled spirits industry. You can reach Courtney at courtney@headframespirits.com.

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U O Y O WHAT D ?

R O F D S TA N Evolving Trends in Corporate Purpose, Impact Investment, and Entrepreneurism

WRITTEN BY BRIAN B. DEFOE

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n prior articles, we’ve discussed the challenges that face spir its entrepreneurs seeking to launch and build their businesses.

The biggest of those hurdles — apart perhaps from summoning the courage necessary to start in the first place — is usually getting the cash in the bank necessary to make the business viable. And so in most cases our would-be founder will look close to home for the funds necessary to take her leap.

But after she’s managed to wring all the possible funding out of her friends, family, credit cards and 401(k) (please try to avoid those last two options), the entrepreneur whose business is not yet self-sustaining is faced with a bit of a dilemma. Namely, how best to attract the necessary capital to allow her business to grow and thrive? Historically, sourcing that cash required the entrepreneur to focus primarily on luring potential investors with bait consisting almost exclusively of the promise of profit. Sure, owning an interest in a distillery may be sexy (or at least I’ve always thought so) but profit was the primary driver. Slowly but surely, however, that ap pears to be changing — at least somewhat.

To explain how things are evolving, a bit of a history lesson may be helpful. For nearly the past five decades, investors, shareholders and boards of directors have generally held firm to the principle first espoused by economist Milton Friedman that the sole purpose of a corporation is to generate profits for its shareholders. This view is known as “shareholder primacy.” Friedman was a pretty sharp

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guy; among other things he won a Nobel prize, helped found the Chicago school of economics, and was awarded the Presidential Medal of Freedom. So, it isn’t necessarily surprising that his views on this topic — or anything else related to economics — would carry a lot of weight.

But as playwright George Bernard Shaw famously said: “If all the economists in the world were laid end to end, they would not reach a conclusion.” Economics is a field in which much is open to debate and there are many competing arguments. And so even within Friedman’s time there were those who criticized many of his views — including his views on the purpose of the corporation.

Those criticisms have continued to the present day, when socie tal events and stakeholder pronouncements have converged to form a potent and influential challenge to Friedman’s perspective: the release by the Business Roundtable in August 2019 of a paper in which they proposed to redefine the corporate purpose away from shareholder primacy toward one of promoting “An Economy that Serves All Americans.”

Hearing that title, the reader might naturally assume that the Roundtable consists of a wild rabble of progressive ideologues who are out of step with the mainstream of economic thought — socksand-sandals types who burn biodiesel in their VW microbuses and smell vaguely of patchouli. But that would be a mistake. The Roundtable, in fact, is a group largely made up of Wall Street mov WWW.ART ISANSPI RI TMAG.CO M

For nearly two decades, investing as a means to promote beneficial social change as well as profit has been steadily gaining traction among individual investors, family offices, and small institutions. ers and shakers — with members that include senior executives at the largest banks in the United States.

Understandably, the Roundtable’s declaration spurred vigorous debate among academics, the legal profession and corporate directors, and that debate continues to gain attention. Freidman himself has not responded to the Roundtable’s pronouncement — a fact which most economists agree is at least partially related to his demise in 2006.

So the basic underpinnings of the shareholder-primacy model of corporate purpose (and therefore corporate governance) are under attack from many of the same institutions that have so richly benefitted from that model. Why should that be? To what can we attribute Wall Street’s willingness to do something which, at first blush, doesn’t seem to be in its best interest?

Not surprisingly, it is their self-interest which is spurring the change of heart. In short, the move away from shareholder primacy is still tied to the profit motive. But rather than emphasizing shortterm profits, the shift reflected in the Roundtable’s announcement represents the view that unless certain aspects of the American economy change, what has worked in the past may not work in the future. Put another way, the Roundtable position is an acknowledgment that things like the ever-increasing income inequality in the United States pose a fundamental threat to the businesses that make up the economy. And the Roundtable — whose members after all have a vested interest in continuing to grow the economy and the businesses within it — would rather eat their own lunch (or at least part of it) than have it taken away from them. So better to slightly reform the system and move away from Friedman’s approach than risk wholesale regulatory reform or the collapse of capitalism itself.

But the Roundtable’s announcement did not arise without context. For the past several years, influential institutional shareholders have begun placing greater emphasis on environmental, social, and governance concerns (ESG) as part of their investment calculus. Perhaps the most notable of these is Blackrock CEO Larry Fink, who in his 2020 annual letters to CEOs and shareholders indicated that Blackrock will begin making investment decisions based, in part, on his firm’s assessment of the extent to which a company has articulated a clear strategy around sustainability concerns in its industry.

Note that this change in investment focus does not mean that these shareholders have moved away from seeking profit. After

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all, generating a profit for their clients is exactly the business that institutional investors are in. But, as with the Roundtable, these investors have reached the conclusion that the long-term success of their own business model requires them to consider ESG issues when evaluating current and potential investments. And so, to satisfy these investors, companies will need to be able to demonstrate not only that their businesses offer the prospect of profit in the near term, but also that they are thoughtfully considering and planning for the risks that climate change or other similar concerns may pose to their business.

Now you might rightly ask, how does any of this relate to the kind of small-scale investment most commonly sought by entrepreneurs — let alone spirits entrepreneurs — as opposed to the kind provided

by Wall Street elites?

A good and valid question. But the remarkable thing here is that in the case of the move away from shareholder primacy and the institutional embracing of ESG concerns, Wall Street is actually shifting its focus toward issues that have long been recognized as critical on Main Street. For nearly two decades, investing as a means to promote beneficial social change as well as profit has been steadily gaining traction among individual investors, family offices, and small institutions. This isn’t new and the investment thesis shouldn’t come as a surprise. It is, in essence, a variation on the “buy local” theme. Just as shopping at your local independent bookstore means that the bookstore will have a greater chance of surviving, investing in that same bookstore should offer the same benefit. And while the size and scale of impact investing has increased over time, the shift in the Wall Street perspective may reasonably be expected to accelerate that move. Put simply, if smaller-scale investors see Wall Street titans endorsing the use of investment dollars to try to achieve social aims, we should expect more smaller investors to become emboldened and begin following Wall Street’s lead. Which means that more investment dollars may be freed up to support businesses doing things that investors feel make the world a better place.

Of course some investors may believe that promoting the production of alcohol does not make the world a better place. Some investors may contend that by promoting distillation (or fermentation, for that

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matter) of alcohol, the industry is contributing to unhealthy behavior and societal ills. That is their right, and I would suggest that there is little that can be done to change those views.

At the same time, however, there is a great deal that can unfortunately be done to reinforce and strengthen those views, and to cause them to spread. In my home state of Washington, the distilling community has been working diligently to reform some outdated laws which have a very negative impact on the business prospects of small-scale distillers. Essentially all of those laws have their basis in prohibition-era fear and misgivings about alcohol and its effects.

Negative attitudes — especially once they are reflected in the institutions of our society — are very difficult to eliminate.

But those working to effect change know that their own businesses cannot be seen to reinforce the stereotypes that enable those attitudes; the distillery that is working to increase tasting room privileges cannot afford to be cited for serving minors.

And the same holds true with respect to a distillery seeking impact investment. If the fundamental premise of the investor is that by funding the business he will be making the world a better place in some fashion, then the distillery seeking that investment must not be obviously increasing the world’s (or the community’s) misery. Rather, the distillery must be doing things (in addition to providing employment and making tasty hooch) that allow the investor to feel good about writing the check. That could simply mean positive involvement in community affairs. Or it could mean a commitment to local agriculture or the use of heirloom grains. There are myriad options — pick one that works for you.

But the key here isn’t just that the distillery must be doing the good thing — the distillery must also be seen doing the good thing. To be effective in attracting impact investment, any business must keep at least part of its focus on the achievement of the desired social benefit. That focus must be genuine and it must be consistent if it is to have meaning — and it must have meaning if it is to be effective. So the business seeking that investment is well-advised to not only clearly identify and pursue its social objective, but also to broadly announce that objective to the world. By making a public commitment toward a particular aim, the business will find it easier to hold itself accountable toward that goal — especially since it knows that the investing public will be watching.

Brian B. DeFoe is a business lawyer, consultant to spirits brands, and distillery groupie — formerly in private practice and now in-house with a large retailer. Brian can be reached on Twitter @BrianBDeFoe, on Instagram @HoochLaw or via LinkedIn. Visit www.hoochlaw.com for more thoughts on sprits and the laws that govern them.

This is intended to be general information, not an opinion or legal advice on any specific situation, and does not create an attorney-client relationship with our readers.

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BULLY FOR YOU Bully Boy Distillers of Roxbury, Massachusetts W R I T T E N B Y D E V O N T R E VAT H A N / / / P H O TO G R A P H Y B Y A M A N D A J O Y C H R I S T E N S E N

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pend little more than 15 minutes with Dave and Will Willis, the co-founders of Bully Boy Distillers, and you will know that they are serious about their business and this industry as a whole. In fact, I timed it — it took exactly 15 minutes and 48 seconds from the moment I shook the Willis brothers’ hands for me to understand that the way in which they approach owning and operating a distillery matters as much to them as the distillery itself. These two do not suffer any delusions when it comes to the pitfalls inherent to the craft distilling industry.

The philosophical ideology commonly quoted by small operations has long been something about having a quality-over-quantity mentality. Dave Willis understands it’s a compelling storyline, but he also doesn’t shy away from the facts. “If you want to talk about quality ingredients, making the right cuts, doing it the right way, I think that is the territory of the larger players,” he said. “They have access to technology that craft players don’t. They’re doing things from a quality standpoint that I think craft players should emulate.”

Call the man a realist, but he’s not wrong, at least not entirely.

I know from speaking to scores of producers that they are genuine in their desire to make quality spirits, but Dave absolutely hits the nail on the head when he talks about equipment: massive corporations have better access to equipment that can both improve yields and ensure the best quality. They also have the means to access expertise on any subject that might be out of reach for a family-run operation, and collectively their experience far outweighs that of a first-time distiller and their handful of often fresh-faced production employees.

On its face, it sounds a bit subversive, but perhaps Dave is right — craft distillers shouldn’t define their brands so heavily by their promise of quality. In the chasmal marketing hole left by its absence, Dave suggests they highlight their true contribution. “I really do think that if a craft player is trying to sell themselves and sell their story, it has to be on the innovation side,” he said. “Because you’re not going to beat the big guys on the quality side.”

Bully Boy has embraced innovation, wielding it as a tool on

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their behalf. I don’t mean to imply that they’re only using alternative grains and yeast strains that they cultivated themselves on some faraway island; their innovation is more discreet than that. When the Willis brothers decided to make a bourbon, they knew that their product would not be the same as what you can find aging en masse in old rickhouses outside Louisville proper. They would forge their own identity, and that began with the mashbill. Will and Dave opted to pay attention to a grain that gets little fanfare for its participation in bourbon’s overall profile: malt. The distillers at Bully Boy selected different styles of malt that offered a distinctive character to incorporate at a higher-than-average percentage into their bourbon mash. They’ve created a bourbon that, while recognizable as being a member of its category, edges away from the center. It may not smash the boundaries of bourbon’s definition, but it will act as a reminder to consumers that other styles are out there, waiting to be sampled.

For a pair of owners that refuse to romanticize the industry too much, the story of their brand is about as bucolic as they come. The Willis brothers grew up on a farm 25 miles west of Boston, in a small town called Sherborn. “We started off as little kids making apple cider on my parent’s farm,” Will explained. “It captivated our imaginations, the fact that

as an eight or nine-year-old kid you could actually create your own food.” That early fascination in being a maker would eventually emerge as a lifelong passion. Their parents still own and operate Charlescote Farm, growing corn that makes its way into their bourbon mash. Not all of the corn they use is grown there — some they purchase from larger national purveyors — but Dave appreciates that he can contribute to the local economy and pay his father for grain. Beyond that, they say their decision to use local corn is an environmental one, as it reduces their carbon footprint. They don’t see the choice as something that has a heavy hand in the flavor of their final product.

Will and Dave described their family’s farm as more than just their introduction to agriculture; they said that in many ways it’s the spiritual center of the distillery itself. At the farm, there is a vault that was built decades ago. Behind a three-inch steel door reclaimed from a defunct bank, the Willis brothers’ grandfather assembled spirits from the Prohibition and pre-Prohibition era into his own personal basement speakeasy. Will and Dave discovered pictures of their great-grandfather inside that vault. Their grandfather had been a fan of Teddy Roosevelt and had named his draft horse after one of Teddy’s famous expressions: “Bully for you!”

Thus, Bully Boy Distillers was born, and photos of the epony-

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mous horse hang inside the distillery today.

It’s been nearly ten years since Bully Boy first set up shop in Roxbury, a diverse neighborhood in southern Boston. Their products can currently be found in five states in the Northeast: Maine, Massachusetts, Connecticut, Rhode Island, and New Hampshire. Slow and steady has been the name of their game for the better part of a decade, or as Will put it, “an inch-wide, mile-deep” approach. Will and Dave believe in the power of human capital, so much so that they consider that to be their most impactful investment. They have dedicated brand representatives in each of their markets, five in Massachusetts alone. The brothers feel that they are a story-driven brand and having individuals to share that story is an invaluable asset that has made all the difference in establishing them as the hometown spirit.

“The greatest decision we ever made was going all in on our sales force,” said Dave. “But I think it’s also, we don’t view ourselves as a brand that makes a bunch of different items.”

A distillery’s number of SKUs is yet another contentious talking point within the industry. It seems that each successful operation has different advice on the subject. Produce a lot of different products and your customers will never tire of your brand. Focus on a select few and you’ll have the appropriate resources to launch them into the public con-

science. You could forgive a new owner for not having a clue, but fortunately Will and Dave have given this decision a fair bit of thought. They’ve decided to not limit themselves to a handful of products, but they aren’t going to make something different just for the sake of being different. Each new SKU needs to have purpose and walk that line of subtle innovation and widespread mass appeal. It’s a difficult balance to strike.

Let’s take a minute to study the roster. Currently, Bully Boy Distillers has a vodka, two rums, two gins, a whiskey, two bottled cocktails, and an amaro. They also have a white whiskey that will soon be retired, and more than one aged whiskey poised for future release. Their aged rum, called Boston Rum, nods to their hometown in more than just name; it was distilled from molasses and aged in used barrels to pay homage to New England’s influential rum-making history. One of the bottled cocktails they offer is a straightforward Old Fashioned, simple in name yet complicated in execution, which started as a passion project. Their distributors expressed some doubt when the idea was first floated around, but it’s become a bit of a sleeper hit for the distillery, even at on-premise establishments where consistency in mixed drinks can be a struggle.

Will suggested anyone enjoying their Old Fashioned add the cube and orange peel themselves at home, but even without that extra step it’s a tasty sip.

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Another product they’ve used to scratch their creative itch is their American-made amaro. It features a neutral spirit and housemade white rum base infused with more than 25 botanicals, four of which are hops, that form a bitter backbone for the pastiche of other flavors. Adding hops was intentional — Will and Dave wanted to emphasize another uniquely American beverage. “You think about craft beer, which is really dominated by the United States and is defined by hops, and hops are bitter,” said Will. “Well, so is amaro.”

Bully Boy Distillers is not the only brand that the Willis brothers have initiated. A couple of years back, they decided to explore another category they feel passionately for — rums of the world.

When they launched the Rum Cooperative with its freshman effort, titled Volume 1, they decided that their greatest innovation in a sourced, blended dark rum was to be radically transparent, so the percentage and country of origin for each segment of the blend is written right on the side of the bottle. Recently, their second expression, Volume 2, was made available, and more information about the origins of both rums can be found on the brand’s website.

For Bully Boy, an upcoming expansion is less a want than a need at this point. They have come a long way from the 150-gallon pot still they first started distilling with nearly a decade ago; a place has already been picked out for the next 750-gallon Carl, a copy of their most recent acquisition, within the facility. Dave found that, despite a concerted effort to avoid all superfluous equipment purchases, whatever capacity they’d created with their latest scaleup was sopped up almost immediately. If they want to expand their product lineup to include other domestic favorites like a rye or a single malt, they have little choice but to bring another high-output piece of equipment on board.

But at Bully Boy, growth and success are not interchangeable.

The Willis brothers took care to walk well before they’d even considered bumping up to a light jog. However, the time has come where they feel comfortable expanding the size of their footprint.

Processes are locked in, consistency is more of a guarantee, and the quality of what they’re producing is at a place where they’re happy sharing it with a wider audience, though they look at the decision to explore bigger markets as an economic necessity more than anything. The distilling landscape has changed over the past 10 years; some early brands capitalized on their rising stars and the average funding for new operations has continuously ticked upward. The Willis brothers say that they would be happy to stay a local favorite, but it’s just not feasible for their business. “We’re doing really well, we’re growing at a very healthy clip, but every year there’s more and more folks so we’re at a point where we have to look to grow our business,” said Will.

Where exactly their products are headed next is still a mystery, but the commitment of Bully Boy to protecting the integrity of their output is assured.

Bully Boy Distillers is located in Roxbury, Massachusetts. For more info visit www.bullyboydistillers.com or call (617) 442-6000.

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Flower Power written by Aaron Knoll

T

he appeal of flowers likely predates civilized society itself. There’s the vibrant colors, the geometric arrangements and — of course — the aroma. As far back as the 13th century BCE, a woman named Tapputi worked as a perfumer and chemist in a Babylonian court, using equipment that we would recognize today to preserve the scent of flowers. Chronicled in cuneiform, recipes exist that talk of distilling flowers for use in perfumes. This is the oldest reference in writing to any type of still.

Now of course, Tapputi wasn’t distilling flowers with alcohol, nor was she intending her distillates for consumption. However, it’s clear to see flowers and their aroma drove people to innovate in different ways to capture them.

Flash forward to the modern era, flowers have again taken a central role among a slightly different group of distillers. Although it’s not a completely new concept, as domestic manuals throughout the 16th, 17th, and 18th centuries often included medicinal recipes that distilled locally grown flowers. There’s even been a resurgence of interest in many of these once obscure, medicinal flower liqueurs. For example, Golden Moon Distillery recently launched a génépi, a type of liqueur made from macerating wormwood flower heads in a spirit.

However, the primary driver of the increasing number of flowers in spirits has been innovation in gin. Hendrick’s may have paved the way for this with their bold-at-the-time inclusion of rose in their

Gordon's Spot of Elderflower

Elderflower, post distillation addition of flavor

Black Button Distillery Lilac Gin

Rose, lilac, distillation; hibiscus post-distillation maceration

gin. Since then, the growth in flower use accelerated throughout the 2010s.

This floral trend is driven by consumer interest. Since 2017, preference for floral flavors has been consistently high. A desire for gins with a floral facet has consistently ranked ahead of herbal and spiced flavor profiles.1 People who expressed interest in a botanical spirit with little to no juniper rank a floral flavor profile as their second most desired profile, just behind citrus.2 This trend seems to be driven by younger drinkers; people under 35 were significantly more likely to like floral facets in their gin than those over 35.

Despite the millennia that have passed since Tapputi’s time as a perfumer, distillers today are grappling with the same fundamental challenge: how do you capture the aroma of something so delicate as a flower?

Fortunately, there’s a variety of techniques distillers can utilize.

Year Some can be applied 1997 during ingredient 1999 sourcing, while others can be applied at the 2000 still. While this over2003 view of flowers can’t 2010 be exhaustive, given 2011 their sheer botanical 2011 diversity, it can help provide a starting 2013 point for distillers 2015 looking to dive in.

Pinckney Bend Hibiscus Gin

Yarrow, elderflower distilation; hibiscus, post-distillation maceration

2016

Dark Corner Distillery Jōcassee Gin

Magnolia, distillation

2016

Lockhouse Distillery Sakura Gin

Cherry blossom, distillation

2017

Table 1

NOTABLE FLORAL GIN LAUNCHES Ingredient and Technique Tanqueray Malacca

Rose, distillation

Hendrick's Gin

Rose, post distillation addition of flavor

Tanqueray No. 10

Chamomile flowers, distillation

Magellan Gin

Iris flower, post distillation infusion

Monkey 47 Schwarzwald Dry Gin

Elderflower, jasmine, bee balm distillation

St. George Terroir

Lily of the valley, distillation

New York Distilling Co. Dorothy Parker Gin

Hibiscus, distillation

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1 Knoll, p 29 2 Knoll, p 30

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Table 2

LIVING AND PICKED FLOWERS

It is the flower’s aroma on the vine that is often the reason we’re attracted to it in the first place. However, capturing that aroma is harder than it may appear at first glance. The mere act of picking a flower from its vine causes dramatic changes to its aromatic profile.

Perfumers have assumed this for centuries. In the 1980s, the maturation of a technique called “headspace analysis” allowed scientists to quantify this phenomenon at a chemical level. To analyze headspace, a person places an airtight dome of sorts over an object. Using a technique similar to gas chromatography, individual aromatic molecules or volatiles, can be identified.

For example, a study of jasmine found that while alive it has cis-jasmone, a low odor threshold molecule among the volatiles responsible for the distinctive aroma of jasmine, the analysis of the picked flower detected none. Similarly, the headspace analysis detected small amounts of linalool (3.0 percent) in live flowers, while the picked flowers had an order of magnitude more linalool (30 percent).3 In early summer, magnolias can be seen and smelled across the American Southeast. These flowers can even be found in gins, including Dark Corner Distilery’s Jōcassee Gin. On the tree, these bold flowers have large quantities of woody Germacrene-D (17 percent)4 and balsamic β-bisabolene (17 percent). The flower’s oils are quite different, dominated by the waxy, lily-like aroma of (E,E)-farnesol (18 percent).5

FLORAL PREFERENCE

BY AGE

Age

Mean floral score (from 0-3)

Under 25

1.61

26–34

1.46

35–49

1.15

50–65

0.98

65

1.12

Source: Excerpted from Knoll 2019

Table 3 VOLATILE COMPONENTS OF

JAMINE LIVING vs.

PICKED FLOWERS

Compound

Live

Picked

linalool

3.0%

30.0%

Benzyl acetate

60%

40.0%

cis-jasmone

3.0%

—

indole

11%

2.0%

Source: Mookherjee, 1990

Gerhard Buchbauer conducted several studies on linden trees and linden flowers, also known as lime flowers, a common floral tea in parts of Europe. While on the trees, limonene with its strong citrus and lemon flavor profile (22.2 percent) and coniferous p-cymene (21.7 percent) dominate. When the flowers are picked, those two molecules decrease by more than half. Further, indole — a molecule whose aroma is charitably described as animalic — increases to 0.7 percent.6 Detectable at a mere 140 parts per billion,7 indole is partially responsible for the tree’s “sultry” aroma.8 The harvesting effect is not just limited to flowers. Similar effects exist in herbs as well. Fresh spearmint shows some parity between the carvone and limonene ratios

5 Farag 2013

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DRYING AND STORING FLOWERS

Consultant and gin expert David T. Smith considers using dried vs. fresh as one of the most important decisions to make. “From a long-term point of view with dried, you’re going to get a more consistent quality.” While good from a product consistency standpoint, using dried does pose more challenges for a distiller looking to capture the essence of the flower.

Buchbauer’s work with linden also examined dried as compared to fresh, and fresh picked. His work discovered that the dried flowers boasted a large array of compounds not found, or only found in trace amounts, in live plants. For example, live plants had less than 1 percent camphor among their volatiles;10 dried flowers had nearly 9 percent camphor.11 Roses are complex flowers, containing nearly 400 different volatile compounds within their petals. One study of rose flavored drinks noted that four compounds comprised most of the typical “rose” flavor: phenylethyl alcohol, eugenol, geraniol, and linalool.12 Convective drying at temperatures of 40°C, 50°C and 60°C yielded dry rose samples absent of gerani-

9 Mookherjee 1989

3 Mookherjee, 1990 4 Aromas for various molecules through the paper are sourced from The Good Scents Company.

(24 percent to 18 percent), but once picked it dramatically shifts (70 percent to 2 percent, respectively).9 Given that distilling with a flower still on the vine is not a viable option, it’s more about being aware that the differences are present.

Simply having the flower is rarely sufficient to recreate the aroma of the living plant alone regardless of what techniques are used.

6 Buchbauer 1995

10 Buchbauer 1995

7 Buttery 1988

11 Buchbauer 1992

8 Buchbauer 1995

12 Zhao 2016

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Table 4 VOLATILE AROMATIC MOLECULES IN ol or eugenol.13 In other words, two key parts of the typical rose flavor in consumer-oriented drinks were absent.

The study also evaluated changes to fresh rose petals stored at different temperatures over the course of four days.

Refrigerated petals had higher quantities of citronellol (rosy, geranium) and phenylethyl alcohol (rosy, bready). Those same petals stored at ambient room temperature showed declines in those same volatiles, with an 8 percent rise in geraniol.14

SOURCING FLOWERS

LINDEN FLOWERS Fresh on tree

Fresh picked

Dried

p-cymene

21.7

9.3

11.18

fenchone

—

—

6.23

a-thujone

—

—

7.19

b-thujone

—

—

camphor

<.1

0.3

anethole

—

—

menthone

—

—

delta-3-carene

15.3

5.2

limonene

22.2

9.6

terpinolene

<1

7.6

trans-carveol

<1

12.6

Germacrene-D

8.7

11.7

Indole

0.2

0.7

2-phenylethyl acetate

2.2

1.3

Sources: Buchbauer 1995, Buchbauer 1992

While dried materials may afford convenience, year-round availability, and a relatively consistent product, many distillers opt for working with the freshly picked flowers. As shown in the previous section, even short term storage can change the source material you’re beginning with. Some distillers have opted for making their floral gins seasonal, others heed Smith’s advice and make a “bigger batch of it” while the flower is in season.

Jason Barrett, founder and president of Rochester, New York-based Black Button Distilling, describes the process of how they source two types of lilac for their seasonal Lilac Gin. “We get fresh lilac bush branches from a local greenhouse … We then get some five gallon buckets, good music and tweezers. We need to pick off just the flowers because the stamen and the leaves taste kind of like cabbage.” He added, “It’s not a mistake you want to make twice.”

Local relationships can be vital. Near13 Koksal 2015 14 Koksal 2015

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by Buffalo, New York-based Lockhouse Distillery has a relationship with their local park for sourcing cherry blossoms for their seasonal Sakura Gin. Cory Muscato described the team’s process: “Every morning at 6 a.m., before distillation, I would have to go pick them off the ground.”

Both Barrett and Muscato caution that you may need more flowers than you think when you get to the still. “You would be shocked how many flower petals it takes

to get a decent flavor to come over,” Barrett said.

DISTILLING FLOWERS

Smith said that when he talks to a distiller who 8.91 is considering working 5.02 with flowers, he explains that “there’s about a half 5.03 a dozen options.” He — acknowledges that vacu— um or low-temperature — distillation is an option — if you have access to the — right tool. New Hampshire-based Tamworth — Distilling uses a rotary 0.67 evaporator to individually distill many of the delicate floral botanicals in their line of New England-themed garden gins. However, a rotary evaporator is a significant capital expense, therefore Smith focuses on how to work in an environment where there will be heat.

Heat presents its own unique problems.

Barrett described the challenge they encountered making their lilac gin. “[Flowers] are very temperature sensitive. If they get too hot they just wilt and give off nasty aftertastes.”

Flowers differ based on their hardiness 5.01

Table 5

SOLUBILITY OF AROMA VOLATILES IN WATER Aroma Compound

Found in...

Aroma

Water

nerol

orange blossoms, rose

green, citrus

1.37 g/L

alpha-Ionone

violets

orris, woody

.05 g/ L

linalool

lavender

citrus, sweet, floral

.48 g/ L

Germacrene-D

honeysuckle, linden

woody, spicy

0.0022 g/L

eugenol

hyssop, violet

clove, woody

1.44 g/L

geraniol

geranium, rose

waxy, citrus, w/ peach facets

1.37 g/L

indole

linden, jasmine

floral, animal

5.31 g/L

Source: Solubilities from https://foodb.ca/, aroma descriptors from http://www.thegoodscentscompany.com/

85

SOURCES

Buchbauer, G., Jirovetz, L., Remberg, B., Remberg, G., &amp; Nikiforov, A. (1992). Headspace analysis of the dried herb of passion flower (Herba Passiflorae) and dried flowers of lime tree (Flores Tiliae). Flavour and fragrance journal, 7(6), 329-332.

Buchbauer, G., Remberg, B., Jirovetz, L. and Nikiforov, A. (1995), Comparative headspace analysis of living and fresh cut lime tree flowers (Tiliae flores). Flavour Fragr. J., 10: 221-224. doi:10.1002/ffj.2730100316 Buttery, R. G., Turnbaugh, J. G., &amp; Ling, L. C. (1988). Contribution of volatiles to rice aroma.

Journal of agricultural and food chemistry, 36(5), 1006-1009.

Farag, M. A., &amp; Al-Mahdy, D. A. (2013).

Comparative study of the chemical composition and biological activities of Magnolia grandiflora and Magnolia virginiana flower essential oils. Natural product research, 27(12), 1091-1097.

Knoll, Aaron. (2020) Consumer Taste Preference in Gin and Botanical Spirits: 2020 Report for Distillers and Spirit Creators.

Koksal, N., Aslancan, H., Sadighazadi, S., &amp; Kafkas, E. (2015). Chemical investigation on Rose damascena Mill. volatiles; effects of storage and drying conditions. Acta Sci. Pol. Hortorum Cultus, 14(1), 105-114.

Mookherjee, B. D., Trenkle, R. W., &amp; Wilson, R. A. (1990). The chemistry of flowers, fruits and spices: live vs. dead-a new dimension in fragrance research.

Pure and Applied Chemistry, 62(7), 1357-1364.

Mookherjee, B. D., Trenkle, R. W., &amp; Wilson, R. A. (1989). Live vs. dead. Part II. A comparative analysis of the headspace volatiles of some important fragrance and flavor raw materials. Journal of Essential Oil Research, 1(2), 85-90.

Toker, G., Baser, K. H. C., Kürkçüoglu, M., &amp; Özek, T. (1999). The composition of essential oils from Tilia L. species growing in Turkey. Journal of Essential Oil Research, 11(3), 369-374.

Zannou, O., Kelebek, H., Selli, S., Elucidation of key odorants in Beninese Roselle (Hibiscus sabdariffa L.) infusions prepared by hot and cold brewing, Food Research International (2020), doi: https://doi. org/10.1016/j.foodres.2020.109133 Zhao, C. Y., Xue, J., Cai, X. D., Guo, J., Li, B., &amp; Wu, S. (2016). Assessment of the key aroma compounds in rose-based products. Journal of food and drug analysis, 24(3), 471-476.

86

and flavor profile, therefore different techniques work best for different ingredients. Barrett works to mitigate the heat the lilacs are exposed to during distillation.

“We put the flowers in the top of the gin helmet ... we find that the lower temperatures and less reflux brings the floral notes over the way we are looking for,” he said.

Another method commonly used to avoid heating floral botanicals is to macerate them and remove the solids before adding the liquid to the still. However, the choice of liquid is critical.

Smith asks his clients, “Are the flavors that you’re extracting soluble in alcohol or water?” For the flavors soluble in alcohol he describes one approach as like making a “big chamomile tea bag.”

A higher ABV may yield a quick extraction, but Smith added, “ I don’t think the flavor will be fantastic, I would probably do it closer to 40 or 35,” especially if the floral botanicals have a strong water soluble component as well.

Alternatively, if you’re working with flowers with a strong water-soluble component (i.e. the flowers are often consumed in tea), water might be the best choice. A technique that Smith has been seeing more of recently is, “you do an infusion of the flowers in water and use that water to proof your charge.”

“There’s some potential to do some infusion stuff with the water post-distillation,” but Smith cautioned there may be flavor stability issues when using that approach.

Hybrid approaches such as distilling flowers in a separate batch and combining the distillates later can also be useful, especially in gins where (as Smith puts it) a distillery may want to “be more aggressive with the pot … get a good juniper and coriander.”

THE FUTURE OF FLORAL GIN

While it seems unlikely that floral gins will eclipse classic juniper-forward and London dry gins in overall popularity, consumer interest is there. Whether for the flavor or because of the evocative potential for distillers to tell a story about a place through flowers, the trend for floral ingredients in gin botanical bills is here to stay.

Although they can be finicky or even difficult to work with, there are a lot of techniques available for distillers. As Barrett notes, “I have gin projects I have been running trials on for six years, and I'm no closer to completion than the day I started.

You have to give yourself the time to do the R&D regularly if you want to get there.” Surely Tapputi knew this and spent a good part of her time doing her own R&D — a process that continues with this generation of distillers.

Aaron Knoll is a noted gin historian, critic, and consultant. He authored 2015's “Gin: The Art and Craft of the Artisan Revival,” which has since been translated into three languages, and additionally co-authored 2013's “The Craft of Gin.” He also founded leading gin website TheGinisIn.com in 2009.

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The Constant Evolution of Hotaling & Co. W R I T T E N B Y M A R G A R ET T WAT E R B U RY

I

f 2020 has taught us anything, it’s that change is the only constant. That lesson isn’t news to Hotaling & Co. Founded as Anchor Distilling Company in 1993, Hotaling & Co. has spent the last 27 years in a state of near-constant evolution. Today, it’s a leader in American craft distilling, one of the nation’s best wine and spirits importers, and a brand-builder piloting some of the most storied names in American whiskey. And it’s managed to pull it all off from a space where Anchor Brewing Company’s staff used to shoot hoops.

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///

P H O T O G R A P H Y P R O V I D E D B Y H O TA L I N G & C O.

Hotaling & Co.’s story begins in 1965, when Fritz Maytag decided to add a new industry — brewing — to his family’s legacy in home appliances and cheese. He purchased a majority share of the historic Anchor Brewing Company in San Francisco, California.

Originally founded in 1896, Anchor Brewing Company had endured two world wars and American Prohibition, but by the mid-1960s, dwindling demand for flavorful brews had left the brewery on its last legs.

Maytag had a vision: to revive the historic steam beer style of San Francisco, a

bottom-fermented lager made without true refrigeration. In a world of increasingly bland macro-lagers, this flavor-forward beer would later be seen as one of the opening salvos of the American craft brewing industry. That achievement only whet Maytag’s appetite for oddball flavors, forgotten styles, and old-fashioned recipes. So in 1993, he started another project dedicated to bringing flavor back to American drinks.

Maytag pulled aside a brewer named Bruce Joseph, who’d started at Anchor Brewing Company in 1980, and asked if he’d ever 87

been interested in distilling. “We’d done beer-related special projects before, and whenever we did things like that, they were always really fun and satisfying,” said Joseph. With Joseph onboard, the two repurposed a corner of the brewery warehouse that had previously been used as an informal basketball court, installed a couple of small stills, and set about learning how to make a spirit that had captured Maytag’s imagination: rye whiskey.

“Fritz didn’t like to do things that were already popular,” said Joseph, now the master distiller at Hotaling & Co., alongside lead distiller Kendra Scott. “And rye whiskey in the ‘70s and ‘80s certainly fit the bill.” The team didn’t tell anybody what they were up to at first, planning to only make the project public when they had a whiskey ready to release.

“Early on, we were just learning,” said Joseph. “As brewers, we felt comfortable with mashing and fermentation and yeast, so that was a big advantage. But distilling?

We’d distill stuff and just throw it away,” he said. “But we had Anchor Brewing supporting us. We didn’t have to bottle a mistake. What an advantage to be able to mess around until we got it right.”

Maytag was captivated by an 18th century American style of pot-distilled rye whiskey made from malted rye. From the beginning, he was convinced that whiskey deserved good barrels. “He had a background in wine, and he found a cooperage willing to experiment.”

With sparse footsteps to follow in — the first wave of craft distilling pioneers had only opened their doors a few years prior — there were few indications about what the right barrels might be. In those early years, Joseph says they experimented extensively with different kinds of casks, including new charred barrels, new toasted barrels, and ex-bourbon barrels. He says the whiskey aged in ex-bourbon barrels didn’t leave much of an impression at first, but after several years in cask, they began to blossom, much to the tasting panel’s chagrin, as they’d already mostly written off the potential of used barrels.

“That was really our inexperience showing,” said Joseph. “We weren’t really aware of what might happen, and we didn’t have faith in it 88

at first. We didn’t know of anyone doing rye whiskey in used barrels.” Today, Hotaling & Co. uses a wide range of casks, from custom 24-month air-cured fine-grain oak, deeply toasted before charring, to used bourbon casks and used dry and port-style wine casks.

“We think the barrels are a really important part of the whiskey,” said Bruce.

The first batch of Old Potrero 18th Century Style Whiskey was released in 1996, at a time when rye whiskey — let alone pot-distilled 100% malted rye whiskey — was an exotic oddity for American drinkers. “I still remember that there were 1,448 bottles,” said Joseph.

While its youthful age of 13 months raised

some eyebrows, positive coverage from whiskey writers like Michael Jackson, Jim Murray, and David Wondrich buoyed interest. Maytag was also devoted to hand-selling, selecting promising accounts throughout the Bay Area and sitting down with bartenders and store owners to talk about what Old Potrero was all about. “Everything was sold almost face-to-face,” said Joseph. “But Fritz could really tell a good story.”

After the launch of the Old Potrero family of whiskeys, Fritz turned his attention to gin — at the time, a niche category made up exclusively of global brands. “Fritz wanted to make gin that appealed to gin drinkers, not WWW.ART ISANSPI RI TMAG.CO M

vodka drinkers,” said Joseph. Again, with no path to follow, they began to bushwack their own trail, experimenting with different ratios of juniper, citrus, black pepper, and other botanicals. Joseph has fond memories of conducting gin tasting panels during the 10 a.m. brewery tour, where guides were instructed to tell curious visitors who inquired about the four people sipping clear liquid that they were witnessing a meeting of the “water committee,” noting that “a brewery is only as good as its water.”

Settling on the right combination of botanicals took many, many months, but eventually, the team reached the limits of their iteration tolerance. “I remember thinking, we could be doing this until we are all dead,” said Joseph.

Ultimately, they settled on a recipe — crisp, juniper-forward, and citrusy, with a spicy, tingly finish. Filtering made Junípero too soft and diminished the mouthfeel, so they left it unfiltered.

All of these things sound mainstream toWWW.ART ISANSP IRITMAG.COM

day, but when the first bottles of Junípero hit shelves in 1996, Anchor Distilling was once again staking out new territory. “At that time, $38 for a bottle of gin seemed insane,” noted Joseph. “We were out there all by ourselves.

Bombay was the competition.” Today, Junípero is widely credited as the very first American craft gin, the brisk face that launched a thousand evergreen-scented ships.

Forty years after picking up the mash paddle for the first time, Joseph has a reassuringly avuncular presence, complete with voluminous yet wispy gray hair, square glasses, a custom workshirt with his name embroidered on the chest, and a pencil tucked behind one year.

His unassuming persona — a combination of George Bluth and Steve Martin with a hint of Santa Claus — belies his foundational role in not one but two craft beverage industries. “I was in kind of a ringside seat for the whole craft beer thing,” said Joseph. “I certainly saw how craft brewing kind of started slowly, then gained momentum, and just got crazy. So it

didn’t surprise me that it would happen with craft distilling.”

When industry momentum did start to build, Anchor Distilling Company was poised to grow alongside it. In 2010, Maytag sold the distillery to a business partnership that included Tony Foglio, a beverage entrepreneur who owned Preiss Imports, as well as Berry Bros. & Rudd, England’s oldest wine and spirits merchant. Along with a fresh perspective, the partnership brought with it a collection of super-premium imported and independently bottled spirits, making a fusion of distilling and importing that has come to be Hotaling & Co.’s hallmark.

In 2017, Anchor Brewing Company was sold to Sapporo Holdings. As part of the sale, Anchor Distilling Company relinquished the right to use the Anchor name. The company chose a new name — Hotaling & Co — to mark the transformation. It’s inspired by A.P. Hotaling, a Gold Rush-era San Francisco spirits dealer. Morgan Robbat, chief market89

ing officer of Hotaling & Co., says that nod to merchant heritage is no accident. “The fact that we’re both a distiller and an importer gives us a unique perspective,” said Robbat.

“When you work so closely to production, there’s a passion, an almost visceral connection that’s different than when you’re just buying and selling something.”

Even a pandemic hasn’t stopped Hotaling & Co.’s continuous evolution. Earlier this summer, they launched a new whiskey, HIRSCH: The Horizon, as part of the storied Hirsch lineage. The original Hirsch whiskeys were distilled in the 1970s at the Michter’s Distillery in Pennsylvania, and were offered as merchant bottlings by an entrepreneur named Adolph Hirsch. The original A. H. Hirsch bottlings have since attained something of a mythical status among bourbon enthusiasts, even inspiring one of Chuck Cowdery’s books, The Best Bourbon You’ll Never Taste. Even now, the most sought-after Hirsch bottlings sell for thousands of dollars a bottle — if you can find them.

The new HIRSCH whiskey isn’t quite so rarified. Offered at an MSRP of $39.99, Rob-

bat said this particular bottling is designed to welcome consumers into the world of American whiskey. “People who want to learn more can potentially be intimidated by the category, or by the enthusiasts, so we really believe that by striking this balance between modernity and tradition, we could be a beacon to welcome people in,” said Robbat.

The sleek, modern packaging, designed

by Stranger & Stranger, who also revamped the Junipero bottle, is a key part of that story. The shape of the bottle is inspired by vintage flasks, evoking a sense of adventure.

That sense of journeying is carried through to the label, which shows off a nautical sextant and a horizontal line through the text inspired by the concept of horizons. “Even the name ‘The Horizon’ speaks to this place that you’re always striving to get to but never, ever achieve — that sense of the journey as the reward,” said Robbat. In a nod to spirits nerds, the back label displays a grid revealing the age, mash bill, and percentages of every whiskey in the blend, which Robbat says will change with each successive batch. “We just think it’s so fun for buyers and consumers alike to be

so clear on what they’re drinking and how it will evolve from batch to batch.”

Hotaling & Co.’s import portfolio includes many classic cocktail ingredients, like the Luxardo portfolio (including those delicious cherries), No. 3 London Dry Gin, and BarSol Pisco. Even though the COVID-19 pandemic has essentially shut down on-premise sales, Robbat said sales have been encouraging and Hotaling & Co. is still planning for growth.

“We’re always on the lookout for new and interesting brands to support our mission. For instance, we’re currently looking for a premium vermouth, tequila, additional world whiskeys, and Champagne,” she said. “We’re seeing a noticeable increase in people upgrading their at-home experience. If you’re somebody who appreciates a great cocktail or whiskey, you’re not going to stop because you can’t go out anymore. You’ll find a new way to have that experience.”

Hotaling & Co. is located in San Francisco, California. For more info visit www.hotalingandco.com or call (415) 630-5910.

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SAKÉ

Part One: A Cultural and Scientific Rice and Alcoholic Adventure WRITTEN BY G ARY SPEDDING, PH.D.

T

he vast and exciting cultural history and production of saké, along with its many types and varieties and labels, form a huge topic. One not easily covered in any one volume, nor by any one author and certainly not in any short article. An attempt will, however, be made to circumscribe the world of this famous beverage in short order and space — though in two parts — and in doing so to extract and reference key notes from many works, with some personal observations and reflections cast into the pot for good measure. Those wishing to fully appreciate the topic will need to delve into the references, as noted here and in Part Two. This first part covers an introduction to saké, a brief history, primarily aimed at uncovering its cultural and scientific development and process details, a brief overview of how it is made, and introduces its key grades, generally referred to as types. Part two will plunge further into the depths of how quality saké is made and appreciated from its sensory volatiles and non-volatiles component make up, flavor attributes, and sensory evaluation.

SAKÉ BRIEFLY DEFINED Saké (pronounced SAH-kee or SAK-ay, sounding a little like hockey) and written sake or as the French version saké, as simply defined, is a fermented beverage made from rice, koji (a molded rice), yeast and water, generally of ethanol content between 13 and 17 percent alcohol by volume and consumed as a hot or chilled beverage. The word “saké” (which many write without the acute accent over the “e”) or more honorifically “o-saké”, is in fact generic for any alcoholic beverage. More specifically fermented rice saké is correctly called Nihon-shu — “the wine of Japan” (3). Currently, the English word “sake” is considered a synonym for seishu. Liquor Tax Law actually defines seishu as an alcoholic beverage of more than one percent and less than 22 percent alcohol meeting certain specific conditions.However, the Japanese Liquor Tax Law does not use the term sake, defining matters only as relating to the word seishu. [Seishu, Nihon-shu — alternative names for saké.]

Saké will be the term largely used throughout this article, and is considered a rice wine. However, as an alcoholic beverage, similar to beer — in being a brewed beverage, but more wine-like in alcohol content and appearance — it is neither beer, wine, nor distilled spirit by virtue as to WWW.ART ISANSP IRITMAG.COM

how it is produced. It generally ranges in color from almost transparent to slightly yellow (except when shaken in the coarsely filtered nigori style, where it is a milky white-opaque to off-white color based on the residual rice particulates). Saké types also exhibit a wide range of aroma and taste characteristics (4, 5). Typically, a characteristically estery (fruity and/or solvent-like) aroma will be noted along with a slightly sweet and slightly acidic taste profile. Compared to wine and beer, saké contains a high content of amino acids which can add to the unique and nuanced flavor spectrum. How saké came to be and is produced is both intriguing and complex.

RAIDERS OF THE LOST SAKÉ A Brief History

In view of the vast expanse of history applies to the topic at hand.

Complete details can be found in several key references, including Ishige and Sato (17), Kohsaka (18), Driver (19), and with a general breakdown of the various periods of Japanese culture provided by Cioletti (20), and the eloquent history provided by Kondo (3). A brief timetable of events, primarily pertaining to developments in saké production, is also presented in Table 1. The Kojiki, one of the oldest of Japan’s historical records, suggests that saké originated in the age of the gods, with inherently mythological stories surrounding it (3). In reality, it was likely initially introduced around the third century with the birth of rice agriculture in Japan which stemmed from the influence of both the centuries-older Chinese and Korean expertise (3, 19). [Note: Some authors seem to illustrate the seventh century as being pivotal in the introduction of saké to the world — see below.] Regardless as to the true century of its origin, saké eventually became one of the most important products of the feudal period and became well integrated into Japanese daily life very early on in the country’s development (19).

The establishment of a rice-growing society is also detailed in Ishige (17) and the life cycle of rice in the WSET guide (4).

As seen for the history of production of many other alcoholic beverages, such as mead and fruit wines,the simplest brewing methods likely started with the use of high-concentration sugary liquids. However, the history seems to suggest that sake-making predates the use of fruit 91

or honey, etc by the Japanese for alcoholic beverage production (17) and that some form of saké called kuchikami no saké, “chewing in the mouth saké,” was being made in the so-called Nara period of Japanese history (ca. 710-795) (3). The making of liquor from grain requires the addition of enzymes such as from malt, animal saliva, or other sources as recorded for other regional and historical beverages (17, 19). In the early part of the eighth century it was written that “water and rice are prepared at one house in the village, (Kyushu) the entire village is notified, and men and women gather to chew the rice and spit it into a container for making liquor and then return home. When it starts to smell like alcohol (having picked up endogenous airborne microorganisms) they gather there again to drink it.” (17). It is probable that early forms of saké, based on low water usage, were more of a solid (porridge-like?) consistency and actually eaten rather than imbibed as a drink.

So, the above commentary may account, as for other Asian origins of alcoholic beverage production, for the beginning of saké production.

However, instead of malt enzymes being utilized for starch to sugar conversion — saccharification, as in beer brewing — the fermentation starter used in East Asian beverages relies on the placing of koji mold spores on a grain base. It has been argued that by the time agriculture in general had been introduced to Japan (ca. 400 BCE) the Chinese were already using a variety of fungi to produce rice-based alcohols (19). The mold that has come to be best known and widely used is Aspergillus oryzae ( Japanese koji-kin or simply koji, “mold of or for rice,” though other species will be covered briefly in Part Two) (19).

The culture finds use as the fermentation agent for many products from miso, soy sauce, to rice vinegar and sake, shochu and more (20).

Since koji is not cultivated in a closed system it is a mixture of several microorganisms, and it is both a saccharification and diastatic agent, itself contributing to the color, flavor, and aroma of the sake. Today, Saccharomyces yeast converts most of the glucose sugar to alcohol and, along with the koji, the processes of saccharification and fermentation occur simultaneously. Thus, in this respect, saké brewing is different from beer brewing (discussed more in Part Two). The historical context development of koji mold techniques are also explained briefly in the work of Ishige for example (17), and have been refined through the ages. With many methods developed for brewing alcohol with koji it is noted that 15 types of saké were made in the tenth century in the Japanese court [Kato, 1987 cited by Ishige (17), Shurtleff and Aoyagi (21), Driver (19)]. Further details of its cultural importance and rise, fall and rise again, can be found elsewhere (19). Note: Several different accounts of history have been presented, both by those academics and those who have, via travel and journalism, become perhaps current general experts, and a lot of individual preferences and speculation may come to bear upon the true understanding of events and when they occurred. The general details seem sound and this will have to suffice unless more serious academic works — perhaps already out there in Japanese — come to light. Though, for now, the works of Driver (19), Ishige (17), and the more story-like account of Kondo (3) might synthesize this history nicely enough (containing cross references to other important works).

As for many foods and beverages — especially alcoholic beverages throughout history — saké came under government control (detailed 92

by Driver, 19) in the form of guilds or brotherhoods known as “za.”

Over time the demand for saké grew to the point that independent establishments known as kura were allowed to form and the industry took on creative changes and saw turbulent times (see kura in the glossary — Table 2). It is suggested that around the year 1599 the “foundational principles of modern saké brewing were in place, with multi-stage operations leading to larger scale saké production.” Lactic acid fermentation was also used to protect the mash from bacterial contamination, and to thereby competitively promote koji mold growth (2, 19). Then, in the sixteenth century, a process akin to pasteurization was developed to halt fermentation and preserve saké for longer term storage (19). Even with these developments, the technology of the time was still in its infancy and saké was likely produced with immature flavors, thus it has been suggested that the evolution of saké was slow during the Christian missionary period from the sixteenth to the nineteenth century (18). The mid-seventeenth century saw a shift to seasonal production of saké (for complex reasons covered by Driver, 19). October to March became saké season and via this, seasonal and migratory employment came into play (mainly rice farmers and fishermen who were in the off-season) which led to expertise in saké production returning home with the seasonal workers and to home-saké production. The cooler months for seasonal saké production also led to better shelf-life of saké due to suppression of activity of unwanted microorganisms, and then filtration and clarification techniques were invented and introduced, further improving the quality.

The eighteenth century saw expansion in saké production, and around year 1871, regulatory changes led to the freer establishment of saké breweries with an estimated 30,000 kura reported in 1872. Then taxation reared its ugly head, as seen to occur in most major alcohol production centers, and a rapid decline in saké breweries was seen — 10,804 by 1900 and down to a count of 9,552 by 1920. Smaller operations failed faster, while larger ones on an economy of scale survived.

Driver tells us that beginning around 1868 many Japanese fled to Hawaii and to mainland USA, where some of them eventually established saké production in the Americas.

The consumption of saké had seen a gradual drop since the 1980s (after a reported peak in 1974) and the commodity had been undergoing gradual but steady change starting in the 1990s (22, 23). These changes impacted the brewing process (aided by beer brewing knowledge), distribution, and consumption (22), as well as a move to a more industrialized and ever-more efficient approach. Local breweries catering to the local consumer started to disappear. The report for the year 2000 indicated 2,000 existing saké breweries, and that number reportedly dropped to a mere 1,400 by 2009 (23).

Essentially two channels have emerged: mass production and cheaper pricing through mass distribution, and a group that focused on special marketing and events for their “higher quality” products. Saké became quantified and scientific and artisanal interests diverged. The current situation regarding modern approaches and perceptions of the saké business, from a craft or an industrial perspective and the new boom, including saké nouveau and ideas on saké terroir, being admirably covered in several recent works (18, 22-25). Part two will also have more to say on new and old flavors of saké — stay tuned. Finally, WWW.ART ISANSPI RI TMAG.CO M

Table 1: A Date 400 BCE

Brief Chronology

Historical note and/or saké process significance*

Date

Historical note and/or saké process significance*

Wet rice farming was introduced from China and Korea at the beginning of the so-called Yayoi period. Was alcohol introduced at the same time? See seventh century.

1900

Estimated 10,800 saké (kura) breweries in Japan at this time a fall (from ca. 30,000 around 1872) due to heavy taxation. Earlier saké had become Japan’s second most important commodity.

1901

Kozai Yoshinao – Lecture at Tokyo Chemical Society on the improvement of saké brewing. Encourages use of pure cultures of yeast for moto (yeast starter/starter seed mash) production.

1904

The National Research Institute of Brewing is formed leading to more scientific rigor applied to saké production and quality control.

1907

The first cultivated yeasts began to see use.

1910

The use of pure lactic acid added instead of its introduction via the so-called kimoto process to speed up the yeast starter activation. Kimoto school yeast starter – see Table 2.

1920

Only 9,522 kura (saké breweries) remain open in Japan.

1936

A champion and preferred rice was recommended and released – yamada-nishiki (brewer’s rice variety). Japan’s most famous sakamai (good saké rice), this strain grew up in tandem with nada saké to become the finest saké rice of all, and is used by brewers when aiming to make the finest saké. The strain created in 1923 at the Hyogo Prefectural Agricultural Research Institute was admitted as an officially “recommended” variety in 1936.

There seems to be some confusion in the literature and current thought on the origin of saké dating from either the third or the seventh century. Regardless, the general story and developments appear sound up to this time.

An approach by Japanese historians or texts in the Japanese language might give better insights here.

7th Century

Proposed arrival of brewing methods to Japan from China and Korea (kondō). Along with the implementation of agricultural practices in Japan, this would suggest developments in rice wine production. Though earlier periods in Japan’s history may have seen a more solid form of saké – kuchikami no saké – “chewing in the mouth saké” (prior to 500 BCE). An ancient Japanese history book, the Kojiki, notes that a man from Baekje taught how to make an alcoholic drink, saké. See text and references for more.

Early saké would have been unfiltered – cloudy and rough though with robust flavor. Around the tenth century saké was made via pressing the fermenting mass into bags and allowing 10th Century the liquid to drip through, thus leading to some clarification of the product (14). By the tenth century up to 15 types of rice liquor being produced.

1444-1445

Brewers start to make their own koji rather than obtaining it from Kitano saké-malt za at the shrine at Kitano.

1599

Suggested that foundational principles of saké brewing established – now a multistage larger-scale production process.

1603-1868

Milling and polishing of rice improves along with scale and efficiencies in production.

Mid-16th Century

According to a work known as the “ Tamon-in Diary” the heating of saké is thought to have been implemented around this time in order to remove bad odorous compounds prior to clarification (43). This is a pasteurization process invented long before Pasteur came up with the idea!

War years led to innovation, sometimes with a negative impact – added ingredients allowed which effectively “adulterated” the process and product with the era seeing ersatz saké – artificial saké with no rice used!

WWII

Saké being stored in pots. Aged three to five years have deep color, good aromas and flavors. Aged six to seven, or 10 years have deeper color, unique aromas and better quality.

1946

1953

Yeast number nine – which creates fragrant and fruity saké – popularized for ginjō. It was developed by Kumamoto Sake Institute in Kumamoto Prefecture.

1973

National saké production at an all-time high in Japan – then sales drop until ca. 2011.

1975

Japan Saké Brewers Association established. A self-regulatory body enforcing clearer labeling practices. Further strengthened in 1982.

Fall in the share of saké. Share of consumption of saké as an alcoholic beverage fell to below 30 percent for the first time. Beer, whiskey, wine, and even shochu (a traditional Japanese distilled liquor) gained a foothold.

The classifications of 1940 were abolished in 1992. New classifications added: ginjō, junmai and honjōzō (see text and Figures 3).

18th Century Government restrictions on saké production.

1780’s1850’s

From the 1780’s to the 1850’s mass production skills came into effect.

18681912

The yeast strain Kyokai-kobo was distributed by the Brewing Society of Japan during this time known as the Meiji era. The yeast strain improved the quality of saké considerably for many breweries.

1870’s1900’s

Scientific research comes to play. Important names: German Oskar Korschelt (an industrial chemist working in the brewing industry and brought expertise to the business) and Robert William Atkinson at the University of Tokyo wrote the first major work on saké brewing knowledge almost 140 years ago (7).

1940: The start of a classification system for saké; saké was classified as tokkyu (special class), ikkyu (first class) or nikyu (second class). It is suggested that events and the classification led to the near collapse of the saké industry with only 1500 brewers after WWII. Yeast number seven – still the most commonly used yeast in Japan – made available. Developed by Miyasaki brewery in Nagano. Saké brewers rely on this yeast for its consistency and stability in fermentation, as well as its production of components presenting as subdued, soft aromas. This yeast is commonly used in complex sakés like junmai and honjōzō. Several yeasts conveying different sensory characteristics are now used for saké production and these strains and sensory end results will be covered in more detail in Part Two.

17th Century Saké brewing limited to the colder months and based on ca. 1685 reduced yearly volume production. ca. 1697

1939: Government control of saké production.

1894

Jōkichi Takamine seeks a patent for the process he discovered in how to extract the diastase enzyme from the koji mold. Called Takadiastase.

1983

1899

Following a ban on the production of refined saké (seichu) in 1886, all homebrewing was outlawed in 1899. [The word seishu is written with characters meaning clear saké.]

1992 1992Present

Detailed in the present article and the associated references and an extensive web conversation.

*[Some notes may be anecdotal or partially apocryphal, and with occasional slight contradictions, by nature of unravelling a complex history, though largely seem to show the outline of the saké experience and a fairly complete picture overall.] Most of the general references cited herein touch upon the respective authors’ own versions and interpretations from their research of the historical records – though may all be obtained from the same, yet limited, number of sources. The most important accounts are likely those of Driver (19), Ishige (17) and perhaps Kondo (3). Additionally, see the Comprehensive Guide to Japanese Saké (5), the work of Kanauchi (2, and the citations contained therein), plus references 37 and 38.

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Figure 1: The

Shuzō-yō genmai

Saké Brewing Process

Brown Rice Rice Bran (powder)

Rice polishing

White Rice

Kome

Rice washing & steeping

After steaming, rice is cooled

Steamed Rice

Mushi-mai

Koji making

Koji (saké mold)

Shubo (yeast starter)

Water

Yeast

THREE STAGE MASHING: Hatsu-zoe (1st stage) Odori (rest day) Naka-zoe (2nd stage) Tome-zoe (3rd stage)

Moromi (main mash) Saké kasu (“cake”)

Fermentation pressing

Genshu (undiluted saké) Pasteurization (or heat sterilization) Storage (maturation) Filtration Roka Dilution Bottling & Packing

Saké (product) The figure (derived and adapted largely from the works of the Society for NADA Sake Research) should be used in conjunction with the glossary of terms in Table 2 and with the more detailed Figure 2 to build up a picture of saké raw materials processing and saké manufacture (2, 5, 16, 19, 29, 40-43, 47, 48). A neat set of videos conveying these stages is also found online (41).

for this history lesson, a brief date-by-date account of various developments in saké history, with emphasis on scientific and process developments and with much respect to yeast strain information, is presented in a summary format in Table 1.

THE TO JI

The Masters of Saké Brewing The master brewers of traditional saké kura are known as the Tōji.

A kura is a saké brewery, aka sagakura. As local heroes or experts they assumed the overarching role of supervising saké production. Local 94

flavors would have evolved with information passed down to the next generation. Other brewing workers are known as kurabito — literally “brewery person.” The Tōji is also called oyaji or oyassan (indicating a father figure) as a mark of respect by both the brewing staff and the brewery owner. Things changed with modernization, scientific advances, and consolidation so the Tōji now work full time in small-, medium-sized or even in larger industrial-sized companies (16, 18, 22-25).

A QUICK DIP INTO SAKÉ MAKING A brief outline is presented in this first part of the treatise. The next issue will cover much more detail on how saké is made (chemistry, microbiology, process) and sold. Further sensory discussion will also be presented in that second part.

Saké production in Japan is regulated under the jurisdiction of the National Tax Agency (26). It must have more than one percent and less than 22 percent alcohol and be produced in one of three ways: (a) rice, koji, and water are fermented and then filtered out, or (b) rice, koji, water and saké lees (sakékasu) or other items as specified by cabinet order are fermented and then filtered out. (The sum of the weights of other items being less than 50% of total fermentable material weight — including the koji.), or (c) saké lees are added to the saké , then filtered out. The laws used to define saké in Japan do not necessarily apply to saké made or sold in other countries (26).

Here a simplified account will suffice to introduce a few of the types or styles of saké and how they are made. The two Figures (1 and 2) have been designed to give a step-by-step guide to saké production, from raw materials to bottling. Taken together with the glossary of terms in Table 2, it is thus hoped that a fairly complete and emerging picture of saké production has been provided. This short account will be expanded upon in Part Two, so keep this issue of Artisan Spirit close by! The complete process, in all its glorious complexity, is covered in many of the works referenced in this article. See specific references noted in the legend to Figures 1 and 2.

SUPERIOR RAW MATERIALS AND PREPARATION The two raw materials for saké production are typically only water and rice — more specifically polished rice.

Water — Must be of high quality — colorless, tasteless, and free of odor and taints. The water must be free of iron and manganese, which can turn the product black and lend an unpleasant flavor to the finished saké. Potassium, magnesium and phosphate are beneficial as koji and yeast nutrients (27, 43).

Polished Rice — Brown rice of superior quality and now from modern selected varieties (covered in depth in Part Two) is the other starting material for saké. The peripheral layers of brown rice contain undesirable amounts of ash (minerals), vitamins, fats and proteins and are removed by polishing the rice in a mill. A polishing percentage is defined as the weight percentage of white rice obtained from the brown WWW.ART ISANSPI RI TMAG.CO M

Figure 2: A

Detailed Schematic of Sake Production

STAGE 1: PREPARING THE RICE 1

RICE HARVESTING:

Usually September to Mid-October. Rice is sourced and specific crop varieties sought out & the harvested saké rice delivered. Rice comes from local or longer distance rice fields.

2

STAGE 2: KOJI PRODUCTION, FERMENTATION & PRESSING

3

RICE POLISHING:

6

KOJI PRODUCTION: About 15-20% of the total RICE WASHING: Rice is polished in a roller rice is moved to the Koji Muro incubation room The rice is washed to remove mill shaving off the bran-containing and conidiospores of the A. oryzae koji surface parts/a powdery white residue proteins, lipids, and minerals that mold – produced over bran rice, called from polishing & then the rice is can impair the flavor of saké.

TANE-KOJI, are sprinkled and set to be soaked in water.

6-20 hrs. depending on inoculated on steamed rice, polishing ratio. and allowed to grow at SOAKING: YEAST 30-42 °C on the Rice is washed Typical STARTER: rice over 2-3 and steeped. Water THREE STEP polishing Generally, a fermentation days. is allowed to be absorbed ADDITIONS: For a ratios is starter MOTO is prepared by the rice, 1-20 hr, at a rate (ca.

MOROMI main mash increasing 50-70%. using steamed rice, malted rice/koji 25%-30% orig. grain weight) suitable amounts of water, koji rice & steamed rice, water & the cultivated Sacchafor an even and efficient steam70-75% for saké rice are added to the tanks romyces sake yeast. About 2 - 4 ing/gelatinization of the rice reasonably priced Most over 4 days – again under weeks needed to obtain to occur. saké brewing. saké temperature control. optimal yeast cell types MAIN FER60% for special brewing counts. use three Different types of MENTATION brands e.g., Ginjyo-shu. microbes: starter are prepared. For MASH: Aspergillus oryza, the most popular sokujo50% for Grand grade sake – Fermentation takes place Saccharomyces cerevitype, yeast & lactic acid bacteria Daiginjyo-shu! over 21-35 days. Multiple parallel siae, and Lactobacilli. are simultaneously added to avoid fermentations are involved whereby When fermentation is growth of contaminant bacteria.

STEAMING: simultaneous saccharification almost over, brewer’s (pure) Moto fermentation length An industrial-sized rice & fermentation occur alcohol may be added – aiming depends on Moto steamer cooks the rice via until about 20% ABV to smoothen the taste & to act type – see figure rising steam set at ca. 100 °C for time attained.

PRESSING: as an antimicrobial agent active footnotes. depending on amount and final use.

The removal of rice during saké storage. A final addition of The steamed rice is cooled to and yeast solids via bagging steamed rice may also be added to adjust 40 or 10 °C depending of the mash & “squeeze filtering” the sugar content of the saké. on subsequent under hydraulic pressure – divides processing. mash into saké and solids. The Today automatic accordion-like automatic presses slightly turbid saké is clarified are used – faster and less oxidative damage. Adding to separate lees via setjōzō alcohol after fermentation is complete, and prior tling 5-10 days. to pressing (max. 10% alcohol to total weight of rice used) aids in the extraction of volatiles from the rice mash-cake.

Filtered saké will be pale yellow-green or lemon yellow. Color may be removed via charcoal filtering.

4

7

8

9

5

10

STAGE 3: PROCESSING TO BOTTLING 11

12

FILTRATION & FIRST PASTEURIZATION (HI-IRE)*: Usually pasteurization

STORAGE MATURATION:

Maillard browning reactions affect the color of saké.

Long-aged saké shows sherry-like aroma possibly due to furfurals and related compounds.

Temperature controlled after filtration. Charcoal or plate filtration storage (13-18 °C) for maturation or occasionally membrane filtration (six months to a year or more) helps is used to remove color, remainto fully develop and mature the ing fines (saké kasu) & or saké flavor and stability trace microorganisms characteristics. from the saké.| SECOND

13

14

15

BLENDING DILUTION:

PASTEURIZA-

BOTTLING & PACKAGING: Bottling

TION: The heat steps were For a MOROMI main mash pioneered long before Pasteuriincreasing amounts of water, koji zation. [Process prevents further yeast rice & steamed saké rice are added enzymatic activity in the bottle/ to the tanks over 4 days – again helps extend shelf life of under temperature saké.] Done control.

Pasteurization at 62-68 °C. is optional for saké.

See Step 11 – filtration can replace pasteurization!

Black bottles best as impervious to short & medium wavelengths of sunlight help prevent color deterioration and unsightly precipitates.

of the saké either before or after Pasteurization. Arguably better for freshness & stability if heat treatment done after bottling.

ON TO MARKETING, SALES, AND CONSUMPTION

The figure should be used in conjunction with the glossary of terms in Table 2, and with the flow chart in Figure 1 to build up a picture of saké raw materials processing and manufacture. Adapted from a flow diagram outline in the Essential Guide to Sake (39), with technical notes from other cited references (esp. 2, 4, 5, 19, 29, 40, 42, 43, 47, 48), and definitions drawn from a complete Saké glossary (Society for NADA Saké Research) (16). Special thanks to T. Ueno for organizing the steps in a more authentic fashion. NOTES: STEP 7. Moto fermentation length depends on Moto style: Kimoto (Kimoto & Yamahai) takes four weeks, Sokujo takes two weeks, and a much shorter period of only one week is required for the Sokujo style known as Kouon-touka [Higher temperature saccharification starter (kouon- touka-moto or Kō-on tōka shubo)]. *STEPS 11-15 – Optional processes. Addition of alcohol for honjōzō before pressing. Filtration: no filter at all (for Muroka), no carbon filtration (Suroka). There are two main methods of Roka filtration (see Glossary – Table 2). In the first, powdered active charcoal is poured into the saké before it is passed through a filter (this method is referred to as charcoal filtering, carbon filtering or active carbon filtering).

The result of this type of filtering is clear saké absent notable off flavors or discoloration. The second method, Suroka, passes the saké through the filter substituting charcoal for either diatomite, filter paper, a filter with a cartridge, or cotton instead (see the text). Pasteurization is done twice, once – after filtration or before bottling – or not at all. Dilution – if not performed the saké is Genshu. Chozō or kakoi = Storage (maturation); these terms refer to the placing of seishu in tanks or other vessels for a certain length of time and are discussed in the text.

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rice. Generally, a 70% polishing rate is used, with superior saké brewed with rice at a 50% polishing rate. (27, and see Figure 3). The rice itself conveys only delicate nuances to aroma and flavor, but must be good quality and without off-notes or taints. Asian rice Oryzae sativa is a type of grass that contains two major subspecies: the sticky, short-grained japonica or sinica variety, and the non sticky, long-grained indica rice variety. Japonica varieties are usually cultivated in dry fields (it is cultivated mainly submerged — wetland cultivation — in Japan) and saké is brewed from japonica rice varieties which were bred to be essentially non sticky. No clumping during processing and an easier access of koji enzymes to allow efficient saccharification (starch to glucose sugar conversion) are desirable properties in non-sticky rice. As shown in Figures 1 and 2 (Steps 1-5) the polished rice is washed, steeped in water, then drained and steamed. Finally, the rice is cooled. Video clips of the process are also available online (16, 28).

KOJI, MOTO (SEED MASH), AND MOROMI (MAIN MASH) After the rice is prepared, as noted above, a portion is placed in trays

Table 2: Glossary

of Saké Brew Terms

Amira-ze: A collective term for enzymes that hydrolyze starch and glycogen.

Amylases are among the most important saccharifying enzymes, which act upon the seishu rice to liquefy solid rice, and to also degrade the starch into dextrin and other forms or carboh xydrate which are receptive to the action of the enzyme glucoamylase. Glucoamylase primarily uses the reaction products of α-amylase as the substrate for glucose production. Yeast ferments the glucose into alcohol. Furthermore, as amylase produces oligosaccharides and numerous other sugars, it is responsible for the complex sweet flavor characteristic of saké.

Assaku, jōsō: A form of filtration

A form of filtration in which moromi is pressed, separating it into saké and saké kasu (pressed saké “cake”). Known as assaku (“compression”), or joso – not to be confused with the subsequent filtration of the saké itself, which process is called roka. Formerly, the mash was poured into long cloth bags called sakabukuro, which were stacked in a rectangular wooden vat to be pressed. Today filtration is more mechanized.

Chozō - kakoi: Terms referring to

the placing of seishu in tanks or other vessels for a certain length of time.

Most saké (exceptions being nama-zake and shiboritate-style products) is stored following pasteurization and then adjusted to product specifications after a maturation period before being shipped. Maturation during storage leads to an increase in umami flavor notes and the depth of flavor of saké increases.

Futa-kōji-hō: The process of making koji in shallow tray-like boxes (koji buta or simply futa).

Until the introduction of “box” method koji, and machine-made koji, koji for seishu was all made by this method, which is sometimes consequently called the zairai-ho “standard (original) method.”

Genshu: Seishu which has not been diluted after pressing.

Saké (seishu) which has not been diluted after

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pressing. However, saké which has had water added within a range that reduces the alcohol content by less than 1% is also permitted to allow for small adjustments to the percentage of alcohol of products. In most cases (including where there has been an addition of brewer’s alcohol), genshu has an alcohol content of 1821%. Conventional saké products are usually made by diluting genshu to around 15%.

Ginjō-kōji: Koji used when making

ginjo saké.

The koji used when making ginjo saké. It is made with highly polished rice ko-sei-hakumai (long “o”) polished to at least 60%.

Ginjō-shu - daiginjō-shu - junmai ginjō-shu - junmai daiginjō-shu: The Ginjo-shu type of saké.

Ginjo-shu is saké made from white rice at a rice polishing ratio below 60% by the lowtemperature fermentation method known as ginjō zukuri (from tsukiji = making). Lowtemperature fermentation leads to a lighter, more delicate flavor. It is one of the Tokutei Meisho-shu (Special Designation Sakés). See Figures 3 and 4 for more on these terms.

Hi-ire: Pasteurization – “putting-in”

of fire.

Pasteurization – low temperature sterilization.

Literally signifying the “putting-in” of fire, this operation is carried out to heat and sterilize saké, thereby killing off micro-organisms and deactivating the enzymes amylase, protease and others to improve storage stability.

Hi-ochi - hi-ochi-kin: Bacterial spoilage of sake (by hi-ochi lactic acid bacteria); hi-ochi lactic acid bacteria.

The growth of a particular lactic acid bacteria in seishu is called hi-ochi, and the bacteria responsible hi-ochi kin. Infected saké becomes cloudy, and this is usually accompanied by an increase in acidity and a characteristically unpleasant smell (“hi-ochi stink”), making the saké undrinkable. Hi-ochi kin are alcohol-resistant, and can thus grow in contaminated saké. The optimal temperature for growth being 82 to 86° F.

Honjōzō-shu - honjōzō: “Truebrew” saké: honjōzō.

and the koji mold is applied. Saccharification (starch to glucose conversion) begins and then the koji mold preparation along with Saccharomyces strains of yeast and batches of steamed non-koji-treated rice are allowed to undergo fermentation. Note saccharification and fermentation occur together — this is called parallel fermentation — and roughly 20 percent ABV will be produced (27). These activities are outlined in the mid-sections of Figures 1 and 2 (Steps 6-10). The processing of the saké then continues on to pressing and filtration, etc., (Steps 11-15).

PRESSING (JOSO), FINING (ORI-BIKI), FILTRATION (ROKA), PASTEURIZATION (HI-IRE), STORAGE, AND BOTTLING The separation of saké liquid from solids (by pressing and fining/ filtration steps), then storage/maturation, pasteurization and bottling processes, with several variations or options on a theme, are employed.

Things have changed over the millennia and specifically in the last few decades with modernization and improved efficiency. In brief outline, the final stages to bottling and distribution are well represented in Figures 1 and 2 (Steps 11-15). Remember to refer to terms in the glossary

One from within the group of Tokutei Meisho-shu (Special Designation Sakés), it is defined as saké made from rice polished to 70% or less of its original size, kome-koji, water and brewer’s alcohol. See Figures 3 and 4.

Jōzo arukōru, arukōru tenka (aruten): Brewer’s alcohol; (process

of) alcohol addition.

Under Japanese Liquor Tax Law, refined alcohol is one of the additive ingredients whose use is permitted when making seishu.

The total weight of alcohol and other additive ingredients is limited to below 50% of the weight of the white rice used. Jozo-alcohol is distilled alcohol, usually from sugar cane fermentation and used to adjust the composition and flavor of saké.

Jukusei moromi: Mature moromi

End-stage moromi in which saccharification and alcoholic fermentation have both effectively taken place, and which has reached the desired balance of components.

Junmai-shu: The junmai type of saké.

A kind of saké made using only rice, kome-koji and water: one of the broad categories of Tokutei Meisho-shu (Special Designation Sakés), the others being ginjo-shu and honjōzō-shu.

See Figure 3.

Kijō-shu: “Noble brewed” saké.

“Noble brewed” saké (saké brewed using saké instead of water). A kind of seishu distinguished by the replacement of the mashing water with saké, giving a sweet saké with extremely deep flavor and distinct viscosity.

See text.

Kimoto-kei shubo - kimoto: Kimoto yeast starter. Orthodox method. One of three methods of making a saké starter mash.

Kimoto school yeast starter; kimoto (referring to both the starter and the resulting saké made in that style). Also known as sodate moto, written with a character indicating raising or bringing up. The growth of unwanted micro-organisms inhibited by the accumulation in the mash of lactic acid produced by lactic acid bacteria. In the kimoto method a process known as yama-oroshi is a laborious process of grinding raw materials into a paste,

10-12 hours after they have been mashed in a number of hangiri tubs (a tub used at various stages of the saké-making process).

Kimoto-kei (kimoto school) is the collective name for the varieties of yeast starter whose production relies on the principle of a complex transition of microorganisms involved in the overall production of saké. Rare today, though used for top end saké. Slowest of all the starter methods.

Kobo: Yeast – S. cerevisiae.

The yeast Saccharomyces cerevisiae specific strains – “Japanese yeast strains.” As with other alcoholic fermentations, converts the sugar in saké mashes – mostly glucose from the koji saccharification – to alcohol. Translates as sugar mold or sugar fungus of beer. Or from Japanese kobo to “mother of fermentation” Various strains have been selected for or developed mainly by the Brewing Society of Japan.

Kōji muro (muro) - sei-kiku-shitsu: Kōji-making room.

Kōji-making room (muro); also called kōji culture room. The room in which koji is made – muro meaning a room.

Koji-kin: Saké mold (fungus), Aspergillus oryzae.

Saké mold (fungus), Aspergillus oryzae.

Koji-kin is the generic name for those members of the group of ascomycetes of the genus Aspergillus included in the family of koji molds which are used in Japan’s brewing and fermented food industries.

Kōjimai - kake-mai (mi-mai) -shubomai: Rice for kōji.

Rice for kōji; rice for kake; rice for shubo.

White rice used as a raw material for brewing is divided into koji mai (that is made into koji) and kake-mai, which is used directly after steaming. (Mai = rice.) Shubo-mai: rice used to make the yeast starter (shubo), accounting for about 7% of all the rice used. [Kakemai: Steamed rice used for moto making or added to the main mash.]

Kōji - kome kōji: Kōji (saké mold); rice koji.

Koji is used in the production of various fermented drinks and foodstuffs, and is made by growing the mold koji-kin (Aspergillus oryzae – pronounced ass-per-JIL-us oh-RAI-zee) on

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(Table 2) to get a clear picture of the overall scheme. Some saké (see below) will not be pasteurized, some will or will not be aged/matured.

In seishu production, the process of separating liquid saké and saké kasu from moromi (see also Figure 1) is the first example of filtration to occur. The filtration of moromi is not completed without compression (assaku). Therefore, the first filtration is distinguished from the later roka filtration of saké itself by that term assaku. The saké resulting from this preliminary filtration (pressing), however, still contains some sediment (starch, fiber, proteins, yeast, and enzymes). A second filtration (ori-biki) is therefore carried out to give as clear a saké as possible.

It is at this stage that filter aids such as fibrous materials like pulp, or mineral materials such as diatomaceous earth may be used to increase filtration efficiency. Sediment settles during storage, so a third filtration takes place after storage or prior to bottling. Roka is used to refer to the second and third filtrations, not to the initial pressing of the moromi, though this is in fact also a form of filtration.

Pasteurization is done twice — once after filtration or before bottling — or not at all. If dilution is not performed, the saké is known as genshu. Storage and maturation (chozō or kakoi, these terms refer to the placing of seishu in tanks or other vessels for a certain length of time).

rice, barley, soy beans or other grains. Koji can be called after the cereals used, e.g., kome (rice) koji, or according to the colors of the spores or pigments produced by the cultivated molds such as ki-koji (yellow) for that cultured by A. oryzae, or the end use such as saké koji. In the context of saké brewing, the word koji is generally used to indicate kome-koji (that made with rice): steamed rice covered with the koji mold. Koji serves as a source of enzymes that break down (or hydrolyze/digest/ split) natural plant constituents into simpler compounds when making miso, soy sauce, saké, amazake, and other fermented foods. The enzymes that are released thus partially hydrolyzes the rice, yielding sugars, amino acids and peptides. The mold’s fragrant whiteish mycelium, which looks somewhat like the surface of a tennis ball, has a delightful aroma resembling that of mushrooms.

Kō-on tōka shubo: High-temperature-

saccharification shubo.

A method of making shubo in which mashing is carried out at 131 to 136° F with the aim of achieving rapid yet efficient saccharification, while also killing off unwanted micro-organisms in order to grow a pure shubo.

Moromi: Saké mash (main mash).

This is the name for the fermenting mass made by mashing shubo (or just yeast in the case of kobo-jikomi), steamed rice, koji and water together. Also refers to the fermentation stage.

Moto-tate: Shubo mashing.

The mixing of steamed rice, koji and water to begin the making of yeast starter is called shikomi (mashing) or mototate.

Muroka: Japanese characters – nothing; and filtering.

Muroka sake is often referred to as ”unfiltered sake.”

Mushi (mushi-mai) - jō-mai: Steamed rice (rice steaming).

The rice-steaming process is called jo-mai, and the term is also applied to the steamed rice itself.

Nama-zake: Unpasteurized saké.

After pressing and until heat-treating (hi-ire), the unpasteurized saké is called nama (indicating live or raw). Until pasteurization, the new saké has a characteristic freshness of taste and aroma.

Nihonshu seizō kōtei: Saké brewing processes.

Saké brewing processes. The standard process for making seishu is shown in Figure 1.

Roka: Filtration

The process of passing a cloudy liquid through a filtration medium in order to remove fine solids in suspension to yield a clear liquid. In seishu production, the process of separating liquid saké and saké kasu from moromi is the first example of

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With the exception of nama-zake and shiboritate-style products (see A Few Other Types of Saké below), most saké is stored after pasteurization and is adjusted to product specifications after a maturation period before it is shipped. Careful control of temperature during storage allows for regulation of the degree of maturation and for flavor balance.

For this reason, it is necessary to supervise the level of maturation in accordance with the style of saké required. In the case of unpasteurized saké, the activity of yeast and enzymes has not completely ceased and for this reason, changes in quality can be swift and deterioration is common. Consequently, some breweries, depending on desired final saké quality and method of storage, will place the unpasteurized saké in refrigerated warehouses. More detail will be presented on these stages in Part Two, along with normal and abnormal flavor development and, in the interim, qualifying information can be found in numerous works (see Table 2, Figure 2, and references cited here (esp. 3, 14, 19, 27)).

TYPES OR GRADES OF SAKÉ

Saké consists of two basic types, Futsu-shu and Tokutei meisho-shu.

Futsu-shu (aka ippan-shu) is the ordinary or normal saké, comparable to table wine and makes up the biggest production amounts. Tokutei

filtration to occur. The filtration of moromi cannot be completed without compression (assaku). For this reason, this first filtration is distinguished from the later roka filtration of saké itself by the term assaku, and is also known as joso or shibori.

Sandan shikomi – shikomi: Three-stage mashing; mashing.

The mixing of the raw materials (water and rice) for seishu in tanks or other vessels is called shikomi (mashing). If large quantities of raw materials were added to shubo simultaneously, the yeast, acid and other components would be greatly diluted. As a consequence, yeast growth would not be efficient, and contaminating microorganisms may gain advantage. Thus, in saké brewing the mashing is carried out in several stages, over a number of days to allow optimal yeast growth. This will be detailed in part two.

Sei-kiku - sei-kiku kōtei: Kōji making; kōji- making process(es).

The process of production of koji for seishu is properly known as sei-kiku.

Sei-mai: Rice polishing.

Whether as a food staple or a brewing material, brown rice (genmai) is generally not used as is, but after having the brown outer portion polished (milled) away to give white rice.

Shubo kōji: Kōji for shubo.

The term for the koji used when making shubo (yeast starter).

It is customary to use a strain of high-enzyme-yielding koji-kin for this purpose. The different styles of sake use koji prepared in different ways – to be discussed further in Part 2.

Shubo, aka., moto: Yeast starter, starter (seed)

mash.

The initial stage of brewing, dedicated to the growth of the yeast fungi that produce the alcohol which is the objective of moromi fermentation. As saké quality is closely related to yeast quality, the handling of the yeast starter has long been considered to be a foundation of saké brewing, and great attention has been paid to the propagation of large quantities of good, pure saké yeast in shubo. Shubo is produced typically by either the ki-moto, the yamahai-moto, or the sokujo-moto methods (more on this in part two).

ganisms, and (2) repressing the growth of any entrants by the addition of lactic acid and maintaining a high level of yeast purity in the starter. The latter done by adding large amounts of pure yeast cultures in the early stages. Compared to the kimoto school, it offers the following advantages; (1) yeast starter can be made safely with little influence from temperature fluctuations, (2) taking only a few short days to produce, it offers large economies of labor, producing good quality saké yeast of known provenance and (3) handling characteristics mean it can be propagated at high levels of purity. Sokujo saké tends to have a lighter flavor than kimoto or yamahai saké.

Taru-zake: Cask saké.

The name for seishu shipped and sold in wooden taru casks. As a result, the smell of the Japanese cedar wood of the container, is transferred to the saké, and this is primarily responsible for the style’s particular flavor and aromatic characteristics. Taru = barrel or cask.

Tokutei Meishō-shu: Special designation saké.

Ginjō-shu, junmai-shu, and honjōzō-shu are called Special Designation Sakés (see Figures 3 and 4). Only seishu meeting the requirements of the Standard for Seishu Production, Quality and Labeling can be so labeled. These include the rice polishing ratio of the white rice, the ratio of the koji-mai to the total white rice used (it must be more than 15%), and the quantity of brewer’s alcohol used (less than 10% of the weight of the white rice). See Figures 1 and 2.

Umami: One of the basic tastes. The Japanese “tastiness factor.”

Umami is one of the “five basic tastes,” along with sweetness, sourness, saltiness and bitterness. The primary contributors to umami in saké include amino acids, succinic acid and nucleotides, however, it is also constituted to some extent by the complex products of the breakdown of rice and their associated flavors.

Yamahai - yama-oroshi-haishi-moto: Simplified

version of the kimoto method. One of three methods of making a saké starter mash.

Sokujō-kei shubo - sokujō shubo: Yeast starter of

A method invented by Kagi and others in 1909. A derivation of kimoto in which the moto suri (“grinding the moto”) stage is omitted (the paste out of the starter mash is not made).

[Moto suri is also called yama-oroshi, and omission is haishi.

Yamahai combines the first character of both, so literally means “omission (or cessation, or discontinuation) of yama-oroshi”].

Used for specialty saké. See also under Kimoto.

Sokujo is known as the “quick-fermenting” school of making yeast starter, invented in the late Meiji Period (around 1900)

by Eda Kenjirō . It consists of standard sokujo, ko-on toka shubo (“high temperature saccharification shubo”) and variants. Such do not rely on the production of acid by lactic acid bacteria as for the kimoto school, but are based on two principles; (1) aiming to eliminate or prevent the entry of unwanted micro-or-

A few key terms to assist in understanding some of the main aspects of saké production and styles. Relate terms to the text and to the outline of processing of saké in Figures 1 and 2 and saké types in Figures 3 and 4. These terms have been researched online and gleaned from many of the references noted herein (e.g., 4, 15, 29), but specifically the most detailed source is the Society for NADA Saké Research (16).

the sokujō (“quick-fermenting”) school; sokujō yeast starter. Modern method of preparing starter mash.

One of three methods of making a saké starter mash.

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meisho-shu, on the other hand, is a special designation saké or a premium saké which is distinguished by factors like the finesse with which polishing of rice has been accomplished, percentage of brewer’s alcohol added or the complete absence of brewer’s alcohol. Rice has to be

graded, certified and given a stamp of approval, otherwise the sake will not be Tokutei meisho and becomes Futsu-shu. The basic family tree classification (with ingredient and process details) is shown in Figure 3. According to the National Tax Agency of Japan, the group that mandates saké quality labeling, premium sakés, or Tokutei meisho-shu, are divided into eight type cateFigure 3: The Family Classification of Key Saké Styles gories. These varieties are noted Adapted and extended largely from the works of Buglass (29), in Figure 3. These eight categories Furukawa (30) and from online materials, with updates to are, however, contained within the reflect a 2004 loosening of Japanese government regulations on (Premium Sake Designation) framework of two parent Junmai polishing ratio specifications (see below). Introducing Futsu-shu – ordinary or table saké (approx., 75% of sales) types: Honjōzō-shu and - and the special designation saké Tokutei mesho-shu (approx., HONJOZO-SHU JUNMAI-SHU Junmai-shu (see Figure 25% of sales). Also showing the relationships of Junmai-shu 3) (3, 29, 30). Addition(left), Honjōzō-shu (right) and eight varieties of the premium Junmai Aruten or special designation saké: Junmai Daigingo-shu, Junmai % al details are presented Pure Rice Alcohol Added Junmai Gingo-shu, Tokubetsu Junmai-shu, Junmai-shu, Daigingo-shu, below and, in the flowDaigingo Daigingo Ginjo-shu, Tokubetsu Honjōzō-shu and Honjōzō-shu. The chart-family-tree diagram relationships to the amount of rice grain remaining after % (Figure 3). polishing are shown and the addition or not of aruten.

Junmai [Aruten – Jōzo arukōru/arukōru tenka: sake that has been In quick summary: Gingo fortified with brewer’s alcohol – in other words aruten being Gingo Futsu-shu (Ippan-shu) is sake that is not junmai-shu.] The term junmai refers to saké Tokubetsu Junmai Tokubetsu Honjōzō normal saké with no spemade from only rice, koji-kin, Saccharomyces yeast and water (see Figures 1 and 2). Junmai, with no specification, means it cial grade; Ginjō-shu is Junmai Honjozo can be made using rice milled to any percentage, though some special grade saké brewed suggestions are that it is typically milled to nearly the same No Specification ~100% % with rice milled down level as honjōzō-shu. The term Tokubetsu (special) implies better attention to detail or to the quality of the raw ma to 60% or less of the terials or the polishing ratio and generally less fragrant original grain (saké overall. Futsu-shu is the least expensive based on the made from rice facts that no polishing is required and that the polished to brewer uses basically a food-grade, rather than

TOKUTEI MEISHO-SHU

~50

~60

~70

a saké-grade rice. At the other extreme, Daigingo saké is the most expensive based on production costs with the need for much more rice (saké grade) to attain desired alcohol yield.

REFERENCES 1) Textbook of Saké Brewing. [Translated by Takashi Inoue.]

Brewing Society of Japan. (1999, English version 2016).

2) Kanauchi, M. SAKÉ Alcoholic Beverage Production in Japanese Food Industry. In: Food Industry. (Innocenzo Muzzalupo, Ed.) Intech Open (2013).

3) Kondō, H. SAKÉ A Drinker’s Guide. Kodansha International, Ltd. (1984).

FUTSU-SHU

% Values = Percentage of Rice Grain Remaining kamura and CreateSpace. (2018).

Japan’s Traditional Beverage. Turner Publishing. (2019).

10) Auld, W. G. Brewing Saké: Release the Toji Within. William G. Auld (2012).

21) Shurtleff, W. and Aoyagi, A. History of Koji - Grains and/ or Soybeans Enrobed with a Mold Culture (300 BCE to 2012).

Soyinfo Center. (2012). Accessible on line: https://www.soyinfocenter.com/pdf/154/Koji.pdf Accessed July 9 2020.

11) Roussille, G. Nihonshu Japanese saké. Gautier Roussille (2017).

12) Gauntner, J. The Saké Handbook. (Rev Second Edition).

Tuttle Publishing (2002).

13) Gauntner, J. Saké Confidential. Stone Bridge Press (2014).

4) WSET. Understanding saké: Explaining style and quality.

Wine and Spirit Education Trust (2016).

14) Rose, A. Saké and the Wines of Japan. Infinite Ideas Limited. (2018).

5) A Comprehensive Guide to Japanese Sake. Japan Sake and Shochu Makers Association (2011). Accessible on line: https://www.nrib.go.jp/English/saké/pdf/guidesse01.pdf.

Accessed July 9 2020.

15) Sake Glossary. https://sake-world.com/about-sake/sakefaq/sake-glossary/ Accessed July 9 2020.

6) Akiyama, H. Saké: The Essence of 2000 Years of Japanese Wisdom gained from Brewing Alcoholic Beverages from Rice.

[Translated by Takashi Inoue.] International Edition. Brewing Society of Japan. (2010).

17) Ishige, N. The History and Culture of Japanese Food.

Routledge. (2011).

7) Atkinson, R.W. The Chemistry of Saké Brewing. Memoirs of the Science Department, University of Tokyo. (1881) [Published by VintReads in 2017].

8) Matsuzaki, H. The SAKÉ BOOK (In Japanese and English Text). Haruo Matsuzaki. (2018).

9) Nakamura, S. Handbook of Making Saké, Shochu, Koji, Amazake, Miso, Natto, Mirin and More. (Revision 2). S. Na-

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16) Major Sake Glossary. http://www.nada-ken.com/main/en/ Accessed July 9 2020.

18) Sato, J. and Kohsaka, R. Japanese saké and evolution of technology: A comparative view with wine and its implications for regional branding and tourism. Journal of Ethnic Foods. 4: 88-93 (2017).

19) Driver, C.A. Brewing Behind Barbed Wire; An Archaeology of Saké at Amache. M.A. Thesis, University of Denver. (2015).

Accessible on line: https://digitalcommons.du.edu/etd/1022/ Accessed July 9 2020.

20) Cioletti, J. SAKÉPEDIA: A Non-traditional Guide to

22) Hori, K. Hoshino, Y. and Shimizu, H. Which Do You Prefer, Artisanal or Laboratory Made?: Quantification in Traditional Japanese Saké Brewing. Hitotsubashi Journal of Commerce and Management. 51; 1-16. (2017).

23) Bouzdine-Chameeva, T. and Ninomiya, M. The Japanese “drink of the Gods”: economic and managerial challenges of saké production in the recent decades. 5th International Academy of Wine Business Research Conference, Auckland, NZ. (2010).

24) Bouzdine-Chameeva, T., Ninomiya, M. and Iida, T. A Japanese Saké Brewery Making Decisions. Supply Chain Forum. 10 (1): 108-116. (2009).

25) Wang, C. Old Saké in New Glasses: Reframing Japan’s National Drink through Global Wine Culture. Gastronomica, 19 (1): 79-90. (2019).

26) Akaike, M., Miyagawa, H., Kimura, Y., Terasaki, M., Kusaba, Y., Kitagaki, H and Nishida, H. Chemical and Bacterial Components in Saké and Saké Production. Current Microbiology. Published online 27 June 2019.

27. Ohba, T. and Sato M. SAKÉ. In: Handbook of Food and Beverage Stability: Chemical, Biochemical, Microbiological, and Nutritional Aspects. George Charalambous (Ed). Academ-

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50% or lower is called daiginjō-shu); Junmai-shu is made with only rice, koji, yeast and water. No brewers alcohol is added. Honjōzō-shu is saké that is at least Junmai-shu grade and has a small amount of brewer’s alcohol added to open up the flavor and aroma (30). The term junmai can be added to ginjō or daiginjō, resulting in junmai ginjō and Junmai daigingō (Refer again to Figures 3, 29). Generally, more highly polished rice can yield fruitier saké, whereas less polished or unpolished rice produces saké with more umami, earthy and grainy flavors — flavors of the rice itself. More on this in Part Two.

amino acids will be richer than those lighter-tasting examples with less.

Does the saké exhibit light or strong aromatics and have light or pronounced flavor (taste)? Thinking about this, four generalized combinations are possible here and are covered in the literature (30) and especially in marketing materials. Flavor evaluation along with the saké flavor wheel will feature heavily in Part Two.

IT’S ALL IN THE LABEL

So Japanese saké is a traditional “rice-wine” beverage (though, as noted above it IS NOT a wine, nor a beer). It is made simply with rice, water, Aspergillus mold (koji) and Saccharomyces yeast,though, as seen the process is quite complex, requiring attention to detail from production of raw materials through to bottling and beyond. A more detailed examination of flavor and sensory evaluation will be presented in Part Two. The saké flavor wheel will also be covered in that next installment.

For those wanting to explore a few saké examples, see the SAKÉ Book (8) and also, as an example, the Institute for Asian Studies booklet on Akita Saké Breweries (34) and enjoy. Till next time, kanpai.

Even though it is now produced in the US and other countries, saké is quintessentially Japanese. The labels and terms on Japanese saké bottles, even though sometimes translated into English, can still be quite vague or misunderstood by those in the West. But help is at hand in the glossary here (Table 2), in many of the cited references, and in a handy little package on the web (31). The raw ingredients used, the degree of rice polishing and the specific designation and characteristics will be noted on bottle labels (See Table 2 for terminology). Is it plain old futsu-shu (“foo – tsoo – shoe”) or the higher grade ginjo (“geen – joe”), daiginjo (“die – geen – joe”) junmai (“June – my”) or honjōzō (“hone – joe – zo”)? (See Figure 3). Is it genshu, namazake, nama-chozu-shu, ki-ippon or taruzake (see listing of types below)?

Is it classed as dry or sweet? A complex value known as the saké meter value (SMV) provides an indicator of the overall sweetness or dryness of the saké (29). Acidity (masking sweetness) and alcohol content, sugar and other components all play a role here and the effect these components have on the density (specific gravity) of the saké. Positive numbers illustrate dry and negative numbers refer to the sweetness factor (again more on this in Part Two). Amino acids play a role in the Japanese savoriness concept — umami: the fifth taste sensation after bitter, sour, salty and sweet — and saké with higher levels of

ic Press. (1986).

28) Process Video Clips: http://japansaké.or.jp/saké/english/ howto/process.html Accessed July 9 2020.

29) Buglass, A. J. (Editor) Handbook of Alcoholic Beverages.

Wiley (2011).

30) Furukawa, S. Saké: quality characteristics, flavor chemistry and sensory analysis. In: Alcoholic Beverages – Sensory evaluation and consumer research. Woodhead Publishing. (2012).

31) https://www.nrib.go.jp/saké/pdf/nlziten_e.pdf.

32) Batista, C. Saké Guidance in Mixology, Pairings & Enjoying Life’s Finer Things. Smashwords Edition. (2014).

33) Tsutsumi, S., Mochizuki, M., Sakai, K., Ieda, A., Ohara, R., Mitsui, S., Ito, A., Hirano, T., Shimizu, M. and Kato, M. Ability of Saccharomyces cerevisiae MC87-46 to assimilate isomaltose and its effects on saké taste. Open access – Nature Research Scientific Reports. 9: 13908 (2019).

34) Institute for Asian Studies. Akita Saké Breweries and Their Stories. Akita International University (2016). https://web.aiu. ac.jp/iasrc/doc/books/Akita_Sak%C3%A9_Breweries_and_ Their_Stories.pdf 35) Japanese Immigration. https://americanhistory.si.edu/ righting-wrong-japanese-americans-and-world-war-ii/japanese-immigration#:~:text=Japanese%20Immigration,primarily%20as%20farmers%20and%20fishermen. Accessed July 9 2020.

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SUMMARY

Saké Flavor Development and preparing for Part Two

“The simplest way to say cheers is “kanpai” (or kampai).

Translated as “cheers” — the literal meaning being “dry cup.”

The cheering being done with small cups of saké — so dry cup means “bottoms up” or “drink it up.”

—Japan Talk: japan-talk.com (34)

Gary Spedding, Ph.D. is a brewing and distilling analytical chemist with special interest in the origins and development of beverage flavor and in the sensory evaluation of beer and distilled spirits. Gary recently became a certified sake advisor.

He owns and operates Brewing and Distilling Analytical Services, LLC and the new division—Brewing and Distilling Educational Services in Lexington, KY.

36) Kita Sangyo Co. LTD. Saké manufacturers in North America & a glimpse into the 100 Year history. http://www. kitasangyo.com/Archive/Data/Sake_US_history.pdf Accessed July 9 2020.

37) https://www.japantimes.co.jp/life/2013/10/12/general/ kanpai-sake-through-the-ages/ Accessed July 9 2020.

38) https://sakeassociation.org/2019/07/an-expanded-history-of-sake-brewing-in-the-us/ Accessed July 9 2020.

39) Vine connections. The Essential Guide to Saké. https:// www.vineconnections.com/media/2845/saké-essential-guide_20.pdf (2016) Accessed July 9 2020.

40) The Story of Sake – Part 1. https://www.nrib.go.jp/English/sake/pdf/SakeNo01_en.pdf Accessed July 9 2020.

41) Process Videos. http://japansake.or.jp/sake/english/howto/process.html Accessed July 9 2020.

42) Kodama, K. Sake- Brewing Yeasts. In: The Yeasts, Vol. 5 (2nd Edition) A.H. Rose and J.S. Harrison, (Editors). Academic Press. (1993).

43) Hardwick, W. A., van Oevelen, D.E.J., Novellie, L., and Yoshizawa, K. Kinds of Beer and Beerlike Beverages. In: Handbook of Brewing. William A. Hardwick (Editor). Marcel Dekker, Inc. (1995).

44) Taru-zake – Cask Sake. https://www.hakushika.co.jp/en/ products/p14.html Accessed July 19 2020.

45) Choki Jukusei-shu Kenkyukai (the promotional association

for aged sake) http://www.vintagesake.gr.jp/aboutvintagesake Accessed July 19 2020.

46) Kita, T. Sake Brewing History in North America – Complete List of Sake Breweries existed/existing in the US and Canada. The Japanese Journal of the History of Brewing, No. 32: 17-43. (2017). Abstract in English – Text in Japanese.

47). Murakami, H. Some Problems in Sake Brewing. In: Fermentation Technology Today. Proceedings of the IVth International Fermentation Symposium, Kyoto 1972. Gyozo Terui. (editor). Society of Fermentation Technology Japan. pp.

639-643. (1972).

48). Hayashida, S., Kamachi, T. and Hongo, M. Semi-continuous Sake Fermentation. In: Fermentation Technology Today. Proceedings of the IVth International Fermentation Symposium, Kyoto 1972. Gyozo Terui. (editor). Society of Fermentation Technology Japan. pp. 645-649. (1972).

Acknowledgments: I thank my friend, brewer Taiki Hashimoto in Japan, and Toshio Ueno, the executive instructor and vice president of the Saké School of America and saké expert (Samurai) for locating sources of key information and thereby providing me a greater insight into the world of saké. For Toshio another huge call-out for his reviewing the manuscript and figures, and pointing out inconsistencies or adding a bit of color to the story that I might otherwise have missed. That all said, any errors, omissions, misinterpretations or misrepresentations of any details of the fantastic saké story bear my full responsibility.

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NEWPORT CR AFT BREWING & DISTILLING CO. WRITTEN BY DEVON TREVATHAN PHOTOGRAPHY BY AMANDA JOY CHRISTENSEN

I

t’s no surprise brewing/distilling operations are picking up steam.

After all, a brewery already has much of the equipment that a distillery needs to get started and vice versa, so a combination of the two does make sense. Many examples of these hybrid businesses, however, tend to favor one side over the other, but to hear Brent Ryan tell it, that’s not the case at Newport Craft Brewing & Distilling Co. in Newport, Rhode Island. The separate arms of their businesses certainly support one another, but the founders seem to have taken genuine care to build them up equally.

Newport Craft Brewing began just before the turn of this century.

Cast your mind back to 1999 and think about the brewing industry then: The craft movement was already underway, with small operations that had some financial muscle behind them. More importantly, there had been an explosion of homebrewers. Many of the professional brewers who would go on to start successful beer brands started out that way, and the market was already beginning to feel saturated in just about every sense of the word.

As they picked up momentum brewing in Newport, Ryan and his partners heard tall tales of the area’s distilling history. They began looking into it further and found that many of these stories held water: There were 22 operating distilleries inside city limits in 1789, making some of the best rum in the world at that time. By 2006,

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Ryan and the rest at Newport Craft were convinced — they had to bring the distilling tradition back to the city of Newport.

One of the key differences between starting a brewery and starting a distillery, however, is access to information. As homebrewers themselves, the founders of Newport Craft Brewing had a bedrock of knowledge to work off of when they decided to get into the commercial production of beer, as well as a pretty developed information flow elsewhere. The same could not be said for distilling. Back in 2006, there weren’t many forums online that could answer their questions. Still, they persevered with the idea and were eventually granted a distilling license, the first in Newport in 135 years.

Ryan said that they knew right away what spirit they would begin distilling.

“One of the reasons we actually started the distillery, probably the biggest reason we started the distillery, is because in the seven years of brewing beer here in Newport, Rhode Island, we started to hear more and more about the history of rum,” he explained. Naming their brand Thomas Tew after the famed pirate who originally hailed from Newport was one way of honoring the traditional roots of distillation. Newport Craft also chose blackstrap molasses from Florida as their base product, and aged their rum in once-used bourbon barrels as similar nods to past practices.

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They use the area’s history in rum-making to inform their current methods, but at the same time, the primary focus is always going to be on making the best spirits they can. To that end, they purchased a Christian Carl 105-gallon still with a four-plate column and helmet on top back when the distillery first got underway. “Yes, they were not using that when they were making rum here, but what that allows me to do is make much better cuts to distinguish between the different parts of the spirit for me so I get consistency and I’m really driving out the things that I don’t want in there,” Ryan said. It’s one thing to look to the past for guidance on a general profile of a spirit, but to ignore the technological advances of the last 300 years is not very sensible, and Ryan understands that.

But inaccessible information was not their only hurdle. When they started a distillery back in the late aughts, Rhode Island had not done much to make itself hospitable to their business. Ryan and other producers in the area had to fight for legislative changes that might seem meager to some, but had a noticeable impact on their businesses.

They first secured a victory when they were granted the right to sell a six-pack of beer and one 375 ml of spirit to each visitor; in 2016 they managed to get that allowance up to a full case and one standard 750 ml bottle. This change brought in much-needed cash flow that made investing in a tasting room and outdoor patio possible, and it also allowed Ryan to be more creative with their products. “If this doesn’t work at wholesale, we can probably make it work in the tasting room, so it’s not a total loss, so let’s take a shot,” Ryan said. Distilleries in the state are also restricted to serving three drinks per person per day, but Ryan does not dwell on the restrictions. Instead, he chooses to be appreciative of the changes that have been made and the legislators who helped pass them through.

Thanks to the state’s legislative changes, Newport Craft was able to approach its distilling business in a different way than they did with brewing. For the first decade or so, their business model was reliant on the wholesale tier and retail — they made beer, then they sold beer.

It was how the industry operated, and it could be a challenge for small producers or recent upstarts. With the new rules around visitor sales, Ryan saw a novel path to market open up around him. Producers could get more creative with what they were making since they did not have to fear that product dying on the shelf. Visitors also had more of an incentive to buy something. Newport Craft has installed a tour deck so that visitors can see, smell, and hear everything that happens inside the facility without impeding production. By the time they finish out their tour in the tasting room, after hearing the history of Newport rum, and all that this modern facility is doing to re-establish that product, a bottle might suddenly seem all the more appealing. Producers suddenly had control over the narrative surrounding their products. Ryan has also noticed that the supplier side of the industry has changed since the early 2000s. Back when they were first looking into buying a still, a large American equipment manufacturer (who shall remain nameless) essentially told them to “pound sand” when they found out what kind of scale Newport would be working on. Suppliers might not have seen the craft revolution coming, but they’ve since changed their tune.

Newport Craft is in the process of expanding their facility. They’ve got a building that they’re looking into, as well as an adjacent plot of

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land. Space is currently limited, especially for the distilling side of the operation. A lot of their space is taken up by barrel storage, which is a reality that any growing business must contend with eventually. “The ones in the front of the vanguard are mainly whiskey and malt whiskey at that. We’ve got a handful of rye barrels, but the vast majority of whiskey we make here is malt whiskey,” Ryan said. Their malt whiskeys are made in the same style as Scotch, including lautering prior to fermentation, though Ryan says that the profile is far more barrel-forward than traditional Scottish single malts.

A defining feature of Newport Craft’s spirits lineup is the average age of all their products, which is certainly higher than most small distilleries. All of their Thomas Tew rums are between three and six years old, with most of them in the four- to five-year range. Their single barrel expressions are between seven and nine years old, and Ryan’s got a rye whiskey that he made as a lark six years ago that he still hasn’t bottled, though he is happy with how it’s developing. Again, this is all thanks to the initial setup of their company, which has aided them in more ways than one, though the patience they’ve been afforded with their aged spirits is really worth mentioning.

The Thomas Tew rum brand is certainly the spirit that Newport Craft is best known for, which is just as well since rum is what drew them to distilling in the first place, but Ryan recognizes the challenges of this category. Thomas Tew is aged exclusively in used Woodford Reserve barrels. Ryan met Dave Scheurich at the American Distilling Institute’s

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annual conference 15 years ago and was able to form a relationship with one of their barrel managers. He appreciates the consistency of the barrels that he gets from them since they have become an integral part of the final flavor profile of Thomas Tew. Ryan said that nothing that they make at Newport Craft is supposed to be subtle, from their peated malt whiskey down to the rum, and he wasn’t exaggerating.

Thomas Tew has a very distinct, barrel-forward flavor profile, but it’s also recognizable as rum to anyone who’s ventured beyond Bacardi.

The problem that Ryan’s found is that some people still haven’t ventured much, and many of the world’s largest producers aren’t doing much to encourage their curiosity.

Newport Craft is in a unique position as a craft distillery. They have a couple of successfully branded products (Thomas Tew was named the official rum of the New York Mets, and their Sea Fog whiskeys became available for purchase in 2018), their space seems as though it will soon be expanding to keep up with demand, and they’ve got the added asset of a functional brewery that’s doing well. In 2017, their hard work paid off when a local investor group purchased 70 percent controlling interest in their company. It seems as though the long history of Newport’s local spirits will now need to add a new chapter, because Newport Craft has proven it’s here to stay.

Newport Craft Brewing & Distilling Co. is located in Newport, Rhode Island. For more information visit www.newportcraft.com or call (401) 849-5232.

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RUM AGING SCIENCE

PART III (2020 Q3)

WRITTEN & PHOTOGRAPHED BY LUIS AYALA

I

n previous installments (Artisan Spirit Spring and Summer 2020 issues) we covered the experimental design aspect of this study, the environmental parameters, and the equipment involved in gathering the data.

In addition, we presented and discussed the data recorded from January through May of this year.

In this third installment of the series we observe the rum’s progressing transformation inside the barrel. We will continue our efforts to record and report the transformation and environmental conditions at play.

HUMIDITY IN THE CELLAR* As shown in the graph to the right, the humidity inside the cellar can change quite drastically from one day to the next, and also during each 24-hour period. Some days the change in humidity is as little as 15 percent and others it is as much as 60 percent from the previous day.

TEMPERATURE IN THE CELLAR* Just like with humidity, the temperature can change drastically from one day to the next and also within the same day. The average temperatures continue to inch their way up, resulting in higher evaporation losses in the barrels, along with faster maturation.

THE RUM After eight months, the transformation of the rum in the barrel is quite evident, not just in color, but also in aroma, taste, and complexity.

COLOR: The color is intensely golden and shimmering. The spec-

trophotometer confirms that it is darker than the sample from the

previous month. One hundred percent of the color is attributable to oak extractives from the barrel; we have not added any caramel or other colorings to the rum. This is important to keep in mind, because in the USA, TTB allows for rum to be colored with caramel, without having to declare that addition on the label (the same is true in many other countries).

*

AROMA : The aroma has a definite “cask” personality to it and is

quite enjoyable despite its young age. It is easy to see how similar it is to some “aged” commercial rums from large distilleries in the Caribbean and Central America. If we chose to add spirits caramel we could match the appearance and profile of a few of them.

* OBSERVATIONS AND PATTERNS FROM PART II CONTINUE TO HOLD. 106

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FLAVOR: The rum continues to increase in complexity and

depth, especially the oak and esters dimensions. The oak finish (the lingering notes after swallowing) is still composed of a combination of harsh and slightly-softened tannins. Over time, more of the tannins will become softer, as they are reduced by ambient oxygen.

PH: The rum that went into the barrel had a pH of 7.04. This number is now 4.95.

ABV: The ABV went down slightly from 63.42 percent to 63.39

percent. The 2020 year-to-date pH and ABV readings, as recorded on the first day of each month: MONTH

pH

ABV

January (fill)

7.04

63.43

February

567

63.42

March

5.23

63.42

April

5.23

63.41

May

5.10

63.40

June

5.03

63.40

July

4.96

64.39

August

4.95

63.39

WHY ISN’T THE CHANGE IN pH LINEAR? Please refer to Part II of this series for an explanation of the pH scale and its logarithmic (instead of linear) nature.

WHY IS THE ABV DECREASING EVERY MONTH? The esterification of the rum inside the barrel is a chemical process in which alcohol reacts with oxygen to produce aldehydes.

The aldehydes react further with the oxygen to produce acids.

When the acids react with the original alcohol still in the barrel, the reaction produces esters and releases water. So, the more esters are produced, the more water will be inside the barrel (more water and less alcohol = reduced ABV).

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WHAT’S NEXT? August is historically the hottest month in our part of the world.

The temperature inside the cellar during June and July was almost unbearable in the afternoons and we expect things to get a bit worse before the cooler temperatures of September arrive.

Tropical storms and hurricanes are also starting to form and some of those rains will inevitably reach us, increasing the humidity inside the cellar. In the meantime, we continue to monitor the barrel, patiently waiting for the rum inside to reach its first birthday.

Luis Ayala is an international rum consultant and broker of specialty aged rums. He is founder of The Rum University, Rum Central and Got Rum? magazine. For more information visit www.gotrum.com or email luis@gotrum.com.

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ONE YEAR LATER:

NAVIGATING HELL, FINDING HOPE

REVISITING TATTERSALL DISTILLING AND THE TWIN CITIES AMID 2020’S QUAGMIRE WRITTEN BY RICH MANNING /// PHOTOS PROVIDED BY TATTERSALL DISTILLING

The previous Tattersall article was written in the summer of 2019. One year later paints a vastly different picture.

We caught up with Jon Kriedler at Tattersall to see how they’ve been impacted by 2020’s pandemic.

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here’s no celebrations at Tattersall Distilling in 2020. No horseshoe-shaped bar to sit at and raise a glass, no crowd of happy people engaged in conversation, no indie rockers jamming away on an outdoor stage. There are thunderclouds, but they rolled in around March and dropped this vicious, unrelenting bastard known as coronavirus on everyone. The joy and excitement felt in the summer of 2019 is gone, replaced by a grim reality that’s forced paradigm shifts in every business strategy

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imaginable.

“It’s been a rough go,” Jon Kriedler, Tattersall’s founder and chief officer stated.

“We shut down the bar in March, and it won’t be open for a long time, probably not until next spring at the earliest. We’ve had to lay off staff and cut back to the bare bone. Our retail channels are holding up, but they only account for so much of our revenue. We’re still figuring out what to do as this situation evolves.”

This is a familiar story for those tracking

the distilling industry’s pandemic-induced struggles. What often goes unmentioned — or at the very least, underreported — is how the depth of derailment can go well beyond the shuttering of a distillery’s bar or tasting room. During our interview, Kreidler reveals that Tattersall achieved their goal of landing New York and California distribution and were about to roll out in both places, along with a few new mid-Atlantic states, in March. In fact, they were about to have their entire catalogue of spirit available in WWW.ART ISANSPI RI TMAG.CO M

the Golden State. The pandemic had other ideas.

The roll out has been put on hold indefinitely, replaced by on-the-fly stability strategies. I wish I could say I handled this information with unbiased journalistic integrity, but screw that.

As a California resident who’s spent months jonesing for their bottles to be on the shelves of my local independent liquor store, the news makes my lower lip quiver for a beat. This expression of sadness doesn’t just happen because Tattersall’s spirits are excellent. Their forced recalibration is a perfect example of passionate people making wonderful products and having their dreams dashed by an invisible predator that doesn’t give a damn about anybody’s hope.

Before the coronavirus began its relentless sweep, Tattersall was building an internship program that focused on working with individuals from Minneapolis’ inner city. “We wanted to figure out ways that we could be more diverse, but we also wanted to provide access to people that may not otherwise have the opportunity to get involved with the industry,” Kreidler said. “We weren’t looking for something superficial like a pat on the back. This just felt like an

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especially important thing for us to do.”

Tattersall paused this plan due to the coronavirus. While they and other distilleries sought shelter from the viral maelstrom, the killing of George Floyd boomed a thunderclap that shook Minneapolis to its foundations. Several days of intense civil unrest ensued, and it had a visceral impact on the Twin Cities’ distilling scene, most notably Du Nord Craft Spirits, a Black-owned distillery whose Minneapolis warehouse was set ablaze by rioters (see sidebar).

A sense of being overwhelmed beyond the virus’ parameters threatened to take hold. Rather than sinking into despair, Tattersall and the rest of the Twin Cities’ distilling community rallied around each other, not just to keep everyone afloat during 2020’s hellscape but to also make sure they’re able to be part of the Twin Cities’ post-pandemic, socially conscious evolution. “The best way we can help tell the story of Minneapolis and St. Paul is to keep supporting each other as much as possible,” Kreidler stated. “Serious situations reveal character, so it’s been great to see that so many people have each other’s back.”

The word “survival” comes up a few times during my phone conversation with Kreidler. This would be weird if it

Trying to find a silver lining to 2020 can seem more futile than trying to locate a corner in a circle, especially in the Twin Cities. But take heart: There is one, and the wonderful souls within the city’s distilling industry are adding the gleaming streaks of promise to the otherwise gloomy landscape.

TWIN SPIRITS DISTILLING By her own admission, Twin Spirits Owner/Distiller Michelle Winchester is “a little mouthy on social issues.” Her advocacy on social justice issues like the Black Lives Matter movement comes from a desire to embrace the entire Twin Cities community. This unabashed appreciation for the community isn’t a one-sided affair. “As soon as we started offering cocktail kits to go, there was a line across the street,” Winchester said. “I had so many people tell me, ‘We don’t want you to disappear!’”

While there’s been a need for constant pivoting and flexibility to combat the coronavirus, there’s no chance of Twin Spirits pulling a vanishing act. They mean too much to too many people.

Besides, Winchester’s a lifer. “We’re already in the business,” she said. “You may as well do what you can to keep going.”

DU NORD CRAFT SPIRITS On May 29, Du Nord became the face of the Twin Cities distilling scene in the worst way possible.

The act of arson that burned down the distillery’s warehouse may have defeated the average individual. Not Du Nord owner Chris Montana.

Instead, he did something remarkable. He turned the remnants of his space into a food bank, established a fundraising effort to support fellow entrepreneurs of color whose businesses were damaged in their neighborhood, and provided help to other Twin Cities distilleries. “Chris has lent his support to us during this time, even as he’s dealing with what he’s going through,” explained Winchester. “That’s what makes this industry so great. Nobody ever looks at each other as competitors. We always have each other’s back.”

A GoFundMe page set up by the American Craft Spirits Association blew by its original goal within hours of setup and has raised over $750,000 as of this writing. As a Black-owned distillery, Du Nord’s return to production sends a powerful message of resiliency that needs to be heard, both inside and outside the industry.

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CROOKED WATER Crooked Water owner Heather Manley builds her business strategy around the principles of communal support. When the coronavirus began its cruel throttle on bars and restaurants, she wasted no time putting these principles in action. One hundred percent of Crooked Water’s March profits were poured back into the local hospitality industry, and they’ve since held weekly fundraisers backing Twin Cities’ bars and bartenders. When they’re not providing financial assistance, they’re also simply touching base, which can be just as crucial. “I’ve reached out to a ton of people in the industry during the pandemic, just to check in with them to make sure they’re okay,” Manley said. “COVID’s affected everybody, and everyone’s had to pivot. It’s important that we lean into each other and make sure we’re all getting through this.”

This manner of leaning in expands past the industry. Shortly after the Minneapolis protests began, Manley and her team visited the movement’s Lake Street epicenter, a trip that wasn’t just about helping to clean up leftover debris. “While we walked through the neighborhood, we kept asking ourselves what we can learn from each other to help us evolve our mindset,” Manley said. “We’ve been woken out of complacency, and now’s the time to get together as a community and move forward in the right direction.”

were still 2019. It’s justifiable, if not expected, in 2020. Yet its usage is never used self-referentially. It’s not necessarily needed: They’re hanging tough, thanks in part to retail sales and innovations of necessity like to-go cocktails. Kreidler exclusively uses “survival” in the context of helping others, which is something Tattersall has been doing since events started cancelling and non-essential businesses shut down. The distillery partnered with Du Nord to produce hand sanitizer. They also partnered with a local grocery store to donate their sanitizer proceeds to Minnesota’s Second Harvest Heartland Food Bank, an act that

yielded one million meals for people in need. These acts provide comforting proof that goodness can still happen during chaos.

These partnerships and acts of kindness connect to a sense of community that remains intact despite COVID-19’s potential to sever it. In a weird way, it’s not too dissimilar to the connection I picked up on when I crashed Tattersall’s fourth birthday party in 2019. It doesn’t look the same, of course. It won’t until people can safely gather at the bar and raise a glass once more. But it’s there, and it will be realized in full on the other side of this pandemic.

Tattersall Distilling is located in Minneapolis, Minnesota. For more information visit www.tattersalldistilling.com or call (612) 584-4152.

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Nov 30-Dec 2, 2020 | Expo: Dec 1-2 Louisville, KENTUCKY 110

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distillation chemistry 101

BATCH DISTILLATION

for neutral spirit

WRITTEN BY MATT STRICKLAND

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HEST FR

.K. E U

From early on in our education we learn that water boils at 100°C (212°F). That’s true when the atmospheric pressure is 1.0 atm (760 mm Hg). If the pressure deviates from this value, then so does the boiling point. The lower the pressure, then the lower the boiling point. On the summit of Mt. Everest (8848

U N TA I N

the vapor pressure of a substance is equal to atmospheric pressure.

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BOILING POINT : the temperature at which

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separation of a mixture through the exploitation of differing boiling points and then condensing the individual compounds.

Great. But what if we don’t understand the term boiling point? (Hint: it’s not quite as simple as heating a liquid until it goes into a gas phase.)

LD'S H IG H T

DISTILLATION : the physical (not chemical)

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ometimes going back to the basics is the best way forward. In our industry, it can be easy to get caught up in the daily grind of mashing, fermenting, and distilling without really thinking much about the underlying theories and science that make it all happen. Sure, human intervention is important for quality spirit production, but without the intricate natural laws of chemistry, physics, and biology, we’d all be lost in the woods.

The world is a mighty big place, with a Jackson Pollock-like tapestry of cultures and ideas interwoven with threads of history, immigration, and conceptual evolution. So, there are naturally a lot of different spirit styles out there and they all use different distillation techniques to varying degrees. But though their production methods may differ, the underlying and foundational chemistry is immutable and understanding it is what will help us put a lot of these techniques into practice.

Let’s start with the basics. How about a few definitions?

ES

S

ELEVATION: -427m WATER BOILS: BOILS : 101.4°C

figure 1: BOILING POINT OF WATER AT DIFFERENT ELEVATIONS m) water boils at a “cool” 70°C (158°F).

But what does atmospheric pressure have to do with boiling point? The answer is vapor pressure. Liquids (and some solids) have a tendency to evaporate, meaning that small amounts of the substance are moving into a gaseous state at the liquid surface. These evaporated vapors exert pressure back onto the liquid. The vapor pressure of a substance increases as the temperature goes up because more molecules are entering the gas state and exerting pressure back onto the liquid.

When the vapor pressure reaches that of the surrounding atmospheric pressure, we have reached the boiling temperature of our liquid. (It’s a bit more complicated than this but that’s the distiller’s gist.)

Well, that’s all nice and good, but what happens when we have a mixture of two liquids, say ethanol and water? As you might expect, things get more complicated. You see,

how easily a liquid goes into a vapor state is referred to as its “volatility.” More volatile substances exert a greater vapor pressure at lower temperatures and thus have lower boiling points. Ethanol boils at 78.4°C (173.1°F) and is subsequently more volatile than water.

This is where we get to the tour guide’s explanation of distillation (no offense to any distillery tour guides reading this). Far too often on distillery tours I’ll hear guides give an explanation for distillation that goes something like this: Hypothetical Tour Guide: “The still heats up and since ethanol has a lower boiling point than water, we can boil off all that alcohol and make our spirit.”

Me: No. If this version of distillation were true then making 100 percent ethanol would be easy, which we know it’s not, but I’m getting ahead 111

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of myself. The actual chemistry behind a basic binary ethanol and water distillation is far too complicated to get into here. However, it should be understood that you can’t simply boil all the alcohol away. It should also be understood at this point that with our binary system, we have two substances with relatively different boiling points and volatilities.

If their volatilities were the same, then we would not be able to separate them through distillation.

The above figure is what we call a “VLE Diagram.” It illustrates the vapor and liquid state equilibriums of ethanol in our binary mixture. (For those who need some brushing up on their chemistry, “mole fraction” is just a way to say the percentage of molecules in a particular physical phase. A mole fraction of 0.4 in the liquid means that 40 percent of the molecules are in the liquid phase.) So, let’s say that we have a mole fraction of 0.5 of ethanol where half the molecules in our mixture are ethanol and the other half are water molecules. If we look upwards on the y-axis to the point on the curve that corresponds to 0.5 mole fraction (76.4% alcohol by volume (ABV)…the calculations for this are beyond the scope of this piece) on our x-axis then we’ll see that the corresponding vapor above the liquid is composed roughly of 0.65 mole fraction (85.8% ABV). We’ve got more ethanol in our vapor than water because ethanol has a higher volatility than water.

A few other important features of our VLE diagram are worth noting. First, is the dotted diagonal line. This line is where all the x-values equal the y-values. If our VLE curve touches that line (which it clearly does) then no separation can occur at that value. It can be hard to make out in our diagram, but our curve crosses the diagonal line where x and y both equal 0.89 mole fraction (97.17% ABV).

Astute readers will notice that this is the azeotrope of a binary ethanol and water solution, meaning that no matter how much energy we throw at it, we will never reach 100 percent ethanol in the vapor through simple distillation. There are ways to “break” the azeotrope, but these methods are rarely if ever employed in beverage alcohol production.

We generally don’t talk about alcohol concentrations of 97 percent when we discuss batch distillation unless we’re working with

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neutral spirit production. Neutral spirit requires its own article; we’ll tackle that in due time. For now, we can just talk about how to increase alcohol concentration using distillation.

Most batch distillation starts out with a fermented wash that contains five to 12 percent alcohol by volume. It is then distilled to concentrate the alcohol and congeners to obtain “low wine.” The low wine is then distilled to further increase the alcohol concentration and possibly remove unwanted congeners through selective distillate fractioning. Figure 3 shows a classic vaporization and condensation diagram for a simple malt whiskey distillation. At Point ‘A’ we start with a wash of eight percent ABV. It is heated to its boiling point (Point ‘B’), condensed (Point ‘C’), and the resulting distillate has a concentration of 45 percent ABV. In practice most folks will realize pretty quickly that distilling an 8 percent ABV wash

does not actually yield a 45 percent ABV distillate. This is because as the distillation process proceeds, we are constantly removing alcohol from our pot and thus lowering the wash’s alcohol concentration. As the wash alcohol concentration goes down, the resulting vapors and condensed distillate also have lower alcohol concentrations. The steadily lowering alcohol concentrations in the emerging distillate effectively lower the average alcohol concentration in our total distillate so that an 8 percent wash yields a low wine of roughly 25 percent ABV. As we know, a 25 percent ABV low wine isn’t really a finished product and so we need to further rectify the spirit to increase the alcohol concentration and remove unwanted congeners in the process. For your standard pot still, this requires a second distillation where our 25 percent ABV low wine is heated to its boiling point. If we look back at Figure 3, we’ll see that our theoretical distillate WWW.ART ISANSPI RI TMAG.CO M

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bient air circulating Dew Point Curve around the still neck Boiling Point Curve B C with higher temperatures being closer to the pot and cooler temperatures nearer the condenser. The VAPOR temperature differen90 tial will cause some of the vapors to reflux and enrich which will give us a higher ABV LIQUID in our distillate.

The effect of neck height can’t be underestimated. Corsair 80 Distillery in Nashville, Tennessee, bought a A D pre-Prohibition era E still many years ago for their whiskey 50 100 0 production. When ETHANOL CONCENTRATION (%V/V) they purchased the figure 3: VAPORIZATION & CONDENSATION DIAGRAM still, the neck was so tall and narrow that the entire still height reach our desired 95 percent ABV, we would was in excess of 20 feet. This became a bit of need a neck so tall that Superman himself a problem when they tried to move the still would take one look and say, “Single bound, into their Nashville facility which had commy ass.” So, what are we to do? paratively low ceilings. Their only recourse This is where we get into the idea of physwas to cut several feet out of the neck and reical trays or plates inside the still. Certainly, duce the overall height. It turns out that this many folks reading this will know what I’m was a blessing in disguise, as the reduced still talking about here. Many still manufacturers height also reduced the amount of available promote the use of stills with plates as a funcreflux which helped them produce a fuller flational cross between basic pot still design vored spirit off the still. and more complicated continuous column Another method to increase pot still reflux systems. These stills are often referred to as is to slope the lyne arm upwards towards the “hybrid stills,” and there are many excellent condenser. The increased slope once again manufacturers out there who currently make provides some increased “resistance” to them. vapor flow along with a temperature differA plate/tray apparatus in conjunction with ential from the stillhouse environment and the use of “pre-condensers” will provide varyreflux increases. If you slope the lyne arm ing levels of reflux to our pot still system so downwards towards the condenser reflux in that we can achieve higher ABVs and lighter the lyne arm is largely eliminated. In generspirits more easily than would otherwise be al (there are tons of exceptions), stills with possible on a basic pot still. There are four upward sloped lyne arms are used to distill main functions of distillation plates: low wine into spirit, while stills with down1. Provide a surface for the mixing of ward sloping lyne arms are used to distill fervapors and liquid to exchange heat mented wash into low wine. energy Of course, simply increasing the height of 2. Provide an area for vapor and liquid your still has its practical limits when it comes to separate from each other after heat to increasing the ABV of your distillate. To LOW WINES 45%

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strength from a 25 percent ABV starting point should yield 75 percent ABV. After taking the appropriate fractions from our distillation (subtracting our “heads” and “tails”) we will wind up with a distillate of approximately 68-70 percent ABV. But what if we want to increase our alcohol concentration further? Well, we can simply distill our 70 percent ABV spirit and get something stronger. From our vaporization and condensation diagram, the first distillate to come off the still from a 70 percent ABV starting point should be about 85 percent (give or take). That’s not really as big of a jump as we got going from 25 percent to 70 percent.

In fact, if we carried such a distillation out to its conclusion, we would likely only have a modest 5-10 percent ABV increase from our 70 percent ABV starting point.

Now, what if we really need our spirit to reach an ABV of 95 percent? I suppose we could just distill and redistill over and over again until we get there, but there are quite a few problems with this approach. First, it sounds like an awful lot of work to me. Not to mention the amount of utilities required to pull it off. Then there’s the fact that with each distillation, the rate of return on your ABV investment gets less and less to the point that you’d need to start with a strength of 94.5 percent ABV or more to reach the final 95 percent ABV distillate. By starting out with that much alcohol in your system, the amount of liquid left over in the still is tiny, and potentially causes a serious safety issue for your still and stillhouse as a result. All in all, doing a dozen distillations to reach a neutral spirit is not the brightest idea, so what can we do?

Well, we need to find a way to increase the reflux inside the still. Reflux is the distillation, condensation, and redistillation of vapors inside the still before the primary condenser.

The redistilled vapors are more enriched in high volatility components, which includes our ethanol. Reflux is caused by anything that slows or otherwise impedes the flow of alcohol vapors in the still through premature condensation. The simplest form of this is by using tall still necks. The extra height of the still neck increases the distance the vapors must travel to the condenser. On the way to their ultimate destination, they are exposed to a temperature differential caused by am-

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DOWNCOMER and condensing them back BUBBLE CAPS into liquid which falls on 3. Provide a route for condensed liquid the tray below.

If we dial to fall below the plate our heating and cooling sysLIQUID 4. Provide a route for enriched vapors tems in just right, we should to rise above the plate be able to quickly build up TRAY a nice temperature differenDOWNCOMER There are several plate designs that wind up PANEL tial throughout the column. in beverage alcohol stills these days. The most VAPOR Vapors rise upwards and common ones are sieve trays, “disc and donut” are condensed back into trays, and bubble cap trays. Each comes with WEIR ACTIVE TRAY AREA liquid based on their comits own set of advantages and disadvantages. position. Obviously vapors Sieve trays are cheap to produce and great LIQUID with higher amounts of for feeds with high solids, but are not the best volatile compounds such as at enriching vapors to higher alcohol levels. our ethanol will make it farDisc and donut trays are better at enrichment ther up the column while and can handle high solids, but they are more heavier compounds will expensive to produce and are still not as effigure 4: BUBBLE CAP TRAYS fall back down the column. ficient as bubble caps. Bubble caps cost the As the vapors rise, they hit most of the three main designs and clog easiprogressively cooler spots ly from solid content, but are easily the most ing too hard and fast through our trays. This in the column, condense, and fall back onto efficient of the three primary tray designs means they are not shedding their heat or the tray below where the liquid will mix with when it comes to enriching vapors. mixing with descending liquid in an efficient the continuously rising vapors, exchanging How exactly do these trays enrich our vamanner. In extreme cases, the vapors can heat in the process. The upward moving vapor with more alcohol? Well, like most things push so hard through the column tray syspors will provide heat energy to vaporize in life, there’s the long story and the short stotem that they can push liquid on trays back more volatile compounds in the condensed ry and because things like word counts matter up the column. We call this “entrainment.” liquid on the tray which in turn will continto editors, we’ll stick with the short version.

When this happens, we wind up with poorue upwards until those vapors too reach a Imagine a straight column with multiple ly enriched vapors and possible fouling from point where they are condensed back into trays built throughout. The column itself has solids or liquid frothing up from our wash. liquid and the process starts anew. Nothing a temperature differential from its environThe opposite of this phenomenon is not ideal during this whole process happens discreetly. ment due solely to its height. However, at the either. When the vapors don’t have enough Instead we’re watching a constant stream of very top of the column we’ve added a series force or velocity, the descending liquid can interactions between vapor and liquid phases of tubes that have coolant passing through fall down the column faster than desired. We unfold. them carrying away heat at a rapid clip. This call this weeping.

If we’ve done our jobs right as distillers, “pre-condenser” helps to increase the temFancy trays and toys are great and all, but there will eventually be a flow rate equilibperature differential, by cooling the hot vanone of this really answers our original quesrium. What we don’t want are vapors pushpors that make it to the top of the column tion of how to reach 95 percent ABV on a pot still. We’ve established that trays can figure 5: SIEVE TRAY DESIGN help and how they can help, but how many do we need? There are quite a few ways to answer this question, the DOWNCOMER simplest of which is to talk with our DOWNCOMER WEIR engineer and still manufacturer. But CLEARANCE WEIR you’re a curious cookie and you want to know more. That’s what I thought.

DOWNCOMER FROTH The method that is most commonly APRON referenced in beverage alcohol circles is called the McCabe-Thiele Method, named for the two scientists who FROTH came up with it in the 1920s. This is CLEAR an interesting technique to study colLIQUID DOWNCOMER umn design for binary systems, which LIQUID

energy has been exchanged

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1. Define the required rectifying conditions in our column including what our desired product parameters should be (i.e. distillate ABV).

2. Define the parameters around our feed, which is effectively the distilled wash or liquid in the pot.

3. Define the stripping section conditions in our column, which is really just our pot.

4. Once the rectifying and stripping conditions have been calculated, representative lines are then drawn on our VLE diagram and we can then “step off ” the lines to count the necessary number of plates.

I realize that little of that likely made sense if you’ve never spent time with McCabe-Thiele diagrams, and honestly, the method works better for continuous columns anyway. I spoke with Mike Jackman, an engineer for Specific Mechanical in Canada. He confirmed my suspicions. “The McCabe-Thiele method isn’t ideal for batch columns, but we do use it as a basis or at the very least as an illustration of what’s happening further up in the column. Our starting point of 20 trays for a neutral spirit is largely based on experience, but it really depends on how the still is run and where the cuts are made. Since there’s no feed point in the columns, it’s all rectifying and the stripping section would essentially be the potstill as you mentioned. Therefore, the operating line ends up being the 45-degree line representing full reflux which isn’t the case. So again, it’s good for illustration purposes, but the data needs to be taken with a grain of salt.”

Looking at Figure 6 we can see what a McCabe-Thiele plot looks like. Here we see a red WWW.ART ISANSP IRITMAG.COM

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is what we generally consider our beverage alcohol distillations to be. Unfortunately, the calculations themselves are well beyond the scope that we’re discussing here, though honestly, they aren’t terribly difficult to learn so I encourage you to stumble down Google’s informational rabbit hole if you’re at all curious.

We’ll just stick to the basics here.

The McCabe-Thiele Method for deciding on the necessary number of plates in a distillation column is:

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figure 6: McCABE-THIELE DIAGRAM FOR EtOH:WATER line that serves as the operating line for our rectifying column, a blue line for our stripping section, and the green line for our feed stock parameters. The 19 “steps” in the plot identify our plates. Note that in this plot the feedstock enters the system on the 18th plate and that there are only two plates in our stripping section while there are 17 plates in the rectifying section.

In real life distillery practice these systems vary extensively depending on the type of product being distilled. In bourbon production, it is common to see 19 or 20 plates in the column. The bottom 16 or so plates will be sieve trays to handle the large amounts of solids in the wash. The feed will enter on the top sieve tray and there will usually be a few bubble cap trays at the top of the column which serve as the rectifying section.

Many folks reading this may already be familiar with some or even all of these concepts.

I must admit a certain level of frustration on my part in that I haven’t been able to go into the depth that these subjects really deserve

due simply to space constraints. But that’s ok.

I’m just laying the groundwork here for the techniques we’ll be discussing in upcoming issues. To truly understand why a distiller might opt to cut their ‘hearts’ fraction at a low ABV or why someone would want to use a retort still, or why some Irish whiskey is distilled using a seemingly convoluted “triple distillation” technique, you really need to understand some of the basics we’ve laid bare here. As we progress throughout this series it will all make more sense, I assure you. Until then, happy distilling!

Matt Strickland is the Master Distiller (he hates that title) for Distillerie Cote des Saints in Quebec where he focuses on single malt production. He has a Master's in Oeonology and Viticulture from Oregon State, is a faculty member at Moonshine University, and is the only American to sit on the Board of Examiners for the Institute of Brewing and Distilling in the UK. His spirit spirit is Peruvian pisco and he does not believe that listening to Journey has to be done ironically.

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KEEPING NORTH CAROLINA’S

MUDDY RIVER DISTILLERY ROLLING

Left a good job in the city…

Years ago, Robbie Delaney was on a return flight from his construction job in Texas to his home in Charlotte, North Carolina, when he read an inflight magazine article proclaiming that craft spirits in the US were going to be the Next. Big. Thing. That got the gears in his head turning. When he got home, he told Caroline, his girlfriend at the time (now wife) that he had an idea.

Things moved quickly from there.

“He found this old textile mill in Belmont (across the Catawba River from Charlotte), just 500 square feet,” Caroline recalled.

“By November 2011, he found the space, filed the permits, and we got them back in January. It only took two months.”

With a desire to make superior rum, a newly minted federal distilling permit, and

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a shiny 35-gal Craigslist still named Freedom, Robbie launched Muddy River Distillery. In the eight years since, the Delaney’s have expanded Muddy River into a 6,100 sq. ft. distillery, tasting room, and 140-barrel warehouse. Robbie now has three stills — 150-gallon Democracy, 200-gallon Liberty, and the 450-gallon semi-custom Independence — that he runs simultaneously producing around 1,200 bottles of rum a day. Caroline is still slightly shocked by the whole thing.

“He saw the opportunity and went for it,” she smiled, “He thought something was going to stop him along the way somehow, like not getting the permit, but it all worked out.”

“Ignorance got us here,” joked Robbie. “If

WRITTEN & PHOTOGR APHED

BY CARRIE DOW

I had known everything then that I know now I might have talked myself out of it.” However, no one could have foreseen what would happen in 2020.

People on the river are happy to give…

Muddy River made the switch to hand sanitizer early in the pandemic shutdown, selling bottles to the public and discounting or donating bulk containers to first responders. There isn’t a business in downtown Belmont where you can’t get a squirt of Muddy River sanitizer after making a transaction. It has kept them afloat, but there has also been a learning curve.

“Our costs went up 60 percent,” Robbie noted. “Yeast is near impossible to find. To scale up the sanitizer has been intense. We went from distilling two days a week to seven days a week and for us we ferment three weeks in advance so I had to figure out how to ferment in two weeks. I came to work on March 28 and I haven’t left. But it’s better than a lot of businesses. We’re fortunate that we can work.”

When asked why they didn't source alcohol for their sanitizer, Caroline provided a detailed explanation, "We got plenty of calls and emails from bigger companies selling alcohol and hand sanitizer so we did look into it. It was definitely cheaper.

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We got a sample from a company and had it tested and it was trash with methanol... like these huge recalls are saying so we decided to not do it and we kept our employees all on and even working extra to cover running the still seven days a week in the beginning and we were still selling out. So we knew we were making the product in house, making it correctly and safely and keeping our company alive and working."

As sustaining as sanitizer has been, the Delaneys look forward to making rum again, including their popular Carolina Spiced Rum (ADI Bronze 2017) and their flagship Queen Charlotte’s Reserve (ADI Silver 2017), which Robbie ages in virgin American white oak barrels.

“Rum traditionally uses second-use barrels,” he explained. “We use virgin oak because we want to appeal to the American whiskey drinker, the drinker who thinks rum isn’t any good.”

“Queen Charlotte is why I do this,” he added, “the magic of this whole thing. It’s something that money can’t buy. It has to be lived through. The older that Queen Charlotte gets the more I love it.” Muddy River has released a one-year and a fouryear version, and year eight is around the corner. Robbie plans to release Queen Charlotte’s Reserve in four-year increments up until 20 years.

A river boat queen…

While Robbie is the distillery’s heart and soul, Caroline, you could say, is the brains.

As an accountant she keeps Muddy River’s finances in line.

“And not letting me spend all our money,” laughed Robbie. Caroline’s taste buds, however, perform the distillery’s most critical role.

“She’s the reason that our rum is what it is,” insisted Robbie on Caroline’s quality control skills. He trusts her palate to raise the distillery’s rum above other brands because rum is one of the more difficult spirits to make.

“The hard part with rum is the flavor profile coming off the still at high proof takes a more refined palate to distinguish,” he said. “You can get off flavors at random WWW.ART ISANSP IRITMAG.COM

Robbie Delaney, Carolina Delaney, and Jake Friday in front of their new fermenter. times and without Caroline to point those out, I would never catch them.”

Big wheel keep on turning…

Growing a craft distillery has many challenges, like getting into North Carolina’s state-controlled liquor stores. One would think making home-grown products would help, but Caroline says it can be a struggle.

“At first [being local] was helpful,” she said. “We were one of the first distilleries in the state. As we made more products and [as] there’s more distilleries in North Carolina, it’s getting harder to get on the shelf.”

Then the shutdown happened.

“We were really building momentum this year,” said Caroline. “We were getting a lot of people [on distillery tours] every weekend and having good sales. We were excited to see where that was going.” With North Carolina pausing at Phase 2 and not projected to reopen until September 11, bars are still closed and restaurants only at half capacity. Caroline speculates those sales have dropped 25-30 percent

Rolling on the river…

Much like the river running by their front door, the Delaney’s continue to surge forward.

“Our overall objective is to make sure people know we exist,” said Robbie. “To make sure we grow this place and allow employees to have careers. We were thinking about opening a second location, but that’s way down the road now.” Fortunately, Robbie and Caroline have Muddy River on solid footing and can prepare for a postCOVID-19 future.

“We’re 100 percent owners of our business,” Robbie said emphatically. “We have no debt. We take a lot of pride in the fact that it’s our customer that’s built us to where we’re at and not our bank roll. We are entirely a cash positive business. It gives us flexibility when times are tough.” And we all know how tough 2020 has been.

Muddy River Distillery is located in Belmont, North Carolina. For more info call (704) 860-8389 or visit www.muddyriverdistillery.com.

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WATER in the DISTILLERY Part I – Mineral Composition

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or anyone wanting to establish a distillery and looking for a suitable site, they have one essential first question: Is there sufficient water and, if so, is it available in the quantities that might be required? Quite simply, without sufficient water it is not possible to make the product. Out-of-specification water can be treated, but the cost and inconvenience of this has to be weighed against choosing a more suitable site.

Water is utilized in drinks manufacturing, both as a raw material and as an integral part of the product, in addition to being used for cleaning and cooling. It is estimated that around 70 percent of water used in most drinks sectors is for cleaning, whereas in the distilled spirits industry the water burden is higher: 75 to 85 percent including condensation and cooling. In 2011, the scotch whisky industry estimated that it required 61.5 million m3/year, or around 47 liters of water per liter of product. However, it is important to remember that the term “water usage” is often ambiguous as the processes that are or are not included in water inventory can vary substantially. For instance, one estimate of water required to make beer is around 298 liters/liter beer, but this includes water usage for growing and malting barley, including production of any agrochemicals used.

Specifically for water usage in a distillery, we can think of four applications: product water, water in process, water for general utility and additional water to pack lines, filters, etc., each having their own requirements.

Process water is required for condensation and cooling duties and, as such, has no contact with the product. However, its pH is of importance, especially in copper condensers as higher acidities accelerate copper corrosion. Similarly, water for boiler feed to create steam should be substantially free of dissolved solids, which tend to concentrate during boiler operation, and be free of

WRITTEN BY PAUL HUGHES, PH.D.

It is estimated that around 70% of water used in most drinks sectors is for cleaning, whereas in the distilled spirits industry the water burden is higher: 75 to 85% including condensation and cooling. dissolved gases such as carbon dioxide and oxygen, which give rise to boiler corrosion. The quality of water for the product is more exacting and beyond the obvious potability criterion, product water requires deaeration and carbon filtration to remove chlorine and flavor-active contaminants. For final dilution low mineral content is preferred, especially for wood-matured spirits as long-chained fatty acids extracted from the wood can form insoluble precipitates with calcium.

Both the European Union (EU) and the US Environmental Protection Agency (EPA) legislate for potable water. An EU directive in November 1998 set 62 measurable parameters, based on organoleptic, physicochemical, microbiological, toxic, and generally undesirable components.1 The EPA list is more comprehensive and includes disinfectant-derived components, inorganic and organic chemicals, micro-organisms and radionuclides.2 Whilst these legislative lists seem onerous, it is important to look at water from a positive perspective. For instance, most Scottish distillers rely on soft groundwater from springs, rivers, and lochs, with mains or well-water sources being less common.3

1 https://eur-lex. europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:31998L0083 &from=EN 2 (see https://www.epa.gov/sites/production/files/2016-06/documen ts/npwdr_complete_table.pdf) 3 https://www.alcademics.com/2013/ 04/tasting-the-regional-waters-of-scotland.html

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Recalling that the availability and quality of water is a major prerequisite for producing distilled spirits, it is not surprising that early breweries and distilleries were established where water of appropriate quality could be readily sourced. The presence of minerals and water pH affect various operations in the distillery.

Calcium is one of the most important ions for distilling purposes.

For spirits that require mashing, calcium effectively reduces the pH of the mash by precipitating phosphate and polypeptides as salts, releasing protons in the process. Phosphate exists as various species, and which ones exist depends on pH. At mashing pH (typically 5.2 – 5.6), the predominant species of phosphate is a mixture of hydrogen phosphate (HPO42-) and dihydrogen phosphate (H2PO4-). The resulting “calcium phosphate” can be complex but one outcome is the formation of Ca3(PO4)2, a highly insoluble salt that makes the precipitated phosphate and calcium unavailable.

A rule of thumb is that the addition of 100 mg/l (2.5 mM) of calcium to a grain mash results in a pH drop of around 0.4. If spirit production requires saccharification of starch, the presence of calcium ions increases the stability and activity of α-amylase, and therefore can enhance the rate of saccharification. A very important plant-based phosphorus sink is phytic acid, a sugar that bears six hydrogen phosphate residues. It has a high affinity for a range of minerals including calcium and can be 1 percent dry weight or more in common cereals. In a mash phytic acid can reduce pH, again by calcium ion chelation.

The exact levels of calcium required depends on the spirit being produced, but anything around 1 – 2 mM (40 – 70 mg/l) is effective for mashing and fermentation performance. Too high levels of calcium (> 5 mM) can reduce phosphate levels to such a degree that fermentation performance can be impaired.

Magnesium is in the same group of the periodic table as calcium, which helps to explain why the two have similar properties. Magnesium phosphate is, though, more soluble than calcium phosphate, and so it is less efficient at reducing pH on a molar equivalent basis. More generally, magnesium can compete with calcium and interfere with the latter’s effects. It also acts as a cofactor for ki-

Four applications for water usage in a distillery each have their own requirements: • product water • water in process • water for general utility • additional water to pack lines, filters, etc.

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nase enzymes and therefore the production of pyruvate, a direct precursor of ethanol, and therefore of vital importance for fermentation performance. In the case of malted barley, the magnesium levels are around 1300 mg/kg or ca 200 mg/l mash and, in that case, a modest 10 to 50 mg/l of magnesium ions in mashing water is usually sufficient.

Generally, salts of monovalent cations such as sodium and potassium are much more soluble than salts of divalent cations. Their main contribution to spirits is in terms of their sensory impact and confer taste attributes such as sweet, salty, and palate fullness.

Iron, manganese, and copper (together with molybdenum) are the classical redox metals in biological systems. As is the case for many transition metal elements, iron, copper and manganese can variously act to redox cycle, stimulate oxidation, chelate a wide variety of ligands, and are involved as cofactors for a wide range of enzymes. They can also be responsible for water coloration. During mashing, the presence of iron can result in lipid oxidation and the potential off-flavors that result. Iron and copper are also considered to be detrimental to yeast health and performance, although soluble copper from copper stills has been shown to clearly increase ester levels during distillation, which can be desirable in a spirit that benefits from congeners, such as whiskies and brandies.

Zinc ions have been shown to accelerate yeast growth and thus can be expected to accelerate fermentation, at least up to a point.

Typical supplementation levels for fermentation are around 0.2 mg/l, but can depend on the concentration of zinc in the raw materials. Its roles include acting as a cofactor for a huge range of enzymes, acting as a Lewis acid but, with a full d-orbital of 10 electrons, is unable to undergo realistic redox reactions that can be seen with other common metal cofactors such as iron, copper, and molybdenum. Of course in the solid state zinc ions do not exist as-is, but are typically added as hydrated salts such as zinc sulfate.

The presence of cations necessarily means that there must be charge-balancing anions present. Several are of prime importance here. The presence of chloride in the final product at up to 300 mg/l can give rise to palate fullness and mellow flavor, and some recent research reports indicate that chloride can also affect vodka flavor. Indeed, some Russian vodka producers contend that sodium improves vodka flavor quality.

There are some negative attributes associated with high levels of chloride. It can slow fermentations. Also, the flocculation of yeast towards the end of fermentation involves cross-linking yeast cells with calcium ions, and this can be disturbed by high levels of chloride as it competes with negatively-charged calcium binding sites on yeast cell walls and therefore interferes with flocculation. Finally, chloride can promote stress corrosion cracking (SCC) of some stainless steel stills and/or equipment. A combination of significant levels of chloride, above-ambient temperatures, and alkalinity can cause SCC in austenitic stainless steels and result in unexpected failure in mild and stainless steel stills and/or equipment.

Sulfate can have a significant impact on final spirit flavor and mouthfeel, imparting a drier and slightly bitter flavor and mouthfeel to a final product. However, if the activity of sulfur-containing

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Understanding the ionic composition of water is essential for reliable production and product performance.

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amino acids is low in fermentations, yeast may be forced to reduce sulfate (S(VI)) to sulfide (S(-II)) via sulfite/sulfur dioxide (SO2, S(IV)) and can result in excessive accumulation of sulfite. From our research at Oregon State University (OSU), sulfur dioxide can be removed but requires careful distillation for effective removal.

Of the two species carbonate and hydrogen-carbonate (also known as bicarbonate), it is the latter that is the more relevant, at least during brewhouse processes where the pH is distinctly acidic. In any case both reduce the activity of free protons, thus opposing the proton release induced by calcium: 2H+ + CO32- ⇌ H+ + HCO3-

H2O + CO2

Carbonates are twice as effective at sequestering protons as calcium ions are at releasing them. So an excess of (hydrogen) carbonate in water will result in elevated pH and can adversely affect both amylase activity (essential for starch conversion to fermentable sugars) and consequently the separation of the fermentable extract from the unsolubilized grains. So in practice, for spirits based on starch hydrolysis, it is advisable to keep total carbonates below 20 mg/l.

Phosphates are at the heart of all living organisms, being constituents of DNA, RNAs, ATP, ADP, etc. It therefore occurs naturally in all organic raw materials and they have outstanding buffering qualities. At typical mashing pH values (pH 5.2 – 5.6) phosphate is present mainly as H2PO4- with typical levels of phosphate in clear wort of the order of 700 – 900 mg/l (ie ca 10 mM).

Nitrate is found in water and in itself is relatively harmless.

However, it can be readily reduced to nitrite in water and by spoilage organisms. Nitrite is considered a likely carcinogen to humans and can also react with amines to form carcinogenic compounds such as N-nitrosodimethylamine. More generally, the presence of nitrites in water indicates pollution and can be toxic to yeast.

Understanding the ionic composition of water is essential for reliable production and product performance. Today, there is less need to co-locate production facilities at sites of acceptable water quality and quantity and in the second part of this article we will discuss water treatment in the context of its use.

Paul Hughes, Ph.D. is assistant professor of food science and technology at Oregon State University in Corvallis, OR. For more information visit www.oregonstate.edu or call (541) 737-4595.

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DISTILLING DISTINCTION

T

his story begins, as the best usually do, with good company kicked-back over a refreshing beverage.

Lea and Bill Beckett, love birds with the good taste to adore the Tetons while sampling fine spirit, were looking out across one of the West’s most striking geographies when they wondered how best to develop a parcel of that beautiful, potato-rich land.

They were sipping vodka at the time. Don’t potatoes make good vodka?

Sometimes that’s all it takes.

Launched in 2011, family-owned and -operated Grand Teton Distillery in Driggs, Idaho crafts beverage that has earned international acclaim, piqued the interest of Tinsel Town and, despite the pandemic-stricken landscape, continues to pop the bottle to new possibilities in craft distilling.

Grand Teton Distillery, located on North Highway 33, is the 6,000 square-foot re-

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A tale of people, potatoes, and perseverance at Grand Teton Distillery.

WRITTEN & PHOTOGRAPHED BY P.M. FADDEN

sult of dedication, “green” industry and, of course, good spirit. Today it is steered

by Lea and Bill’s sons, Andrew and John Boczar.

“Here we produce the quality of spirit that, personally, we would want to drink,” said Andrew, vice president of Grand Teton Distillery, as he pointed toward the production facility where his brother John holds court as head distiller. “The goal here is a product as full-bodied as it is full-tasting.” The process behind achieving that goal is a dance, with steps both exacting and uninhibited. From the starting line of careful ingredient selection to the ac-

claimed finish of a beverage bottled by hand, the brothers Boczar and the Grand Teton family administer an operation which focuses upon local sourcing to form their mash, emphasizes patience for fermentation, trusts in meticulous distillation, and prizes purification through filtration, all to achieve calling-card personalization in the form of a final product.

Said simply, solid lab technique peppered with “why not give it a shot” trial and error.

“At our core we’re inspired by our environment,” Andrew said. “On top of that, experimenting together as a staff is fun.”

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LEFT:

John(L) beside Andrew; the brothers Boczar hard at work.

RIGHT: Generational branding; classic labeling stands beside the more modern version of Grand Teton branding.

Environment is an undeniable asset to the distillery; there’s no need to truck potatoes into this valley. Adding to home-grown produce and a mineral-rich water supply, the distillery uses a variety of Champagne yeast that’s allowed to ferment at 30 degrees Celsius for seven days rather than the standard four. The Driggs operation adheres to the adage: Best results begin with the best ingredients.

Operating a distillery they themselves own grants the Boczar family freedom to play with the production process, to tinker and taste what happens. However, it’s far from child’s play for John. As head distiller he’s an amalgam of views on distilling. He digs the magic behind his craft yet errs to the side of rigorous technique, reviewing industry forums, reading books, and making informed, unapologetic decisions.

“I'm forever chasing that balance of yield versus taste,” said John, his demeanor casual, but his word selection reveals clarity of focus. “You hear about those old set-instone recipes handed down from someone’s great grandpappy. They’re the final result of trial and error over years of experience that I didn’t have.”

What John does have is a surplus of motivation to make a quality product. So if that means placing taste before yield — or tooling personalized production gear — so be it.

Taking a proactive stance when it came to production cost, John took it upon him-

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self to “cobble together” several pieces of the company’s production equipment, namely a personalized computer-controlled fermentation cooling system alongside a still cooling and polishing-filtration system.

“My mother jokes that I’m a bit of a MacGyver,” John admitted. “I just look for unusual ingredients or equipment and mash it all together to get a result.”

Grand Teton doesn’t shy from going to lengths to achieve results. The distillery utilizes packed column stills common to Asian producers of soju, a clear low-alcohol concoction. As far as Andrew knows, they just might be the first distillery to use a soju still to make vodka in North America. They even go a step further with a finish still that for a brief spell transitions the condensate from the column into a metered and buffered liquid condensate system. It’s a clever method for making more amiable the relationship between federal proofing guidelines and attractive take-off rate.

Prior to all this tech-talk, there was a down-to-earth family with a desire to distill, and they began with small batch production. From batch number one, the Boczar’s mitigated variables by notating everything and taste-testing with relish. The payoff was a big industry splash very early on.

Only three months into its first production year, Grand Teton received Double Gold at the San Francisco World Spirits Competition, the first of what would be many accolades. Suddenly, it was time to

reexamine the company’s scope.

Subsequent expansion put Grand Teton into new territories before new judges and the exposure resulted in further praise.

USA Today listed the company among its Top 10 Best Craft Vodka Distilleries of 2019. In the International Review of Spirits by Tastings.com, Director Jerald O’Kennard lavishly described Grand Teton’s Ultra Premium Vodka as “fresh aromas of spring rain, banana taffy, and coconut water with glycerous bright, dry medium-to-full body and a warming, interesting, medium-long marshmallow fluff, peanut butter, Wonder Bread, and clarified butter finish.” No fluid ounce had ever been such a mouthful.

By now, the grand distillery had the attention of the world, and a new, intriguing co-owner.

The wires lit up when actor/producer Channing Tatum joined the company’s ownership. The heartthrob had a soft spot for US-made spirit and collaborated with Grand Teton to create Born and Bred, a potato vodka exemplifying Tatum’s keen eye for “local legends.” According to Andrew, the goal with Born and Bred is to present clean, sweet-tasting vodka, often associated with the American style.

Whereas Grand Teton’s namesake vodka exhibits the viscous and earthy undertones befitting a spirit of the Old World, Born and Bred derives its inspiration from the Atlantic’s opposite shore. The result is an softmeets-coy spirit, which Andrew reports to WWW.ART ISANSPI RI TMAG.CO M

be the company’s highest seller, accounting for approximately half of total production volume, and the sole Grand Teton product represented in the California market.

However,it is conscious evolution that continues to pave the company’s way forward. Even with all that’s grown to fruition (including an 80,000 bottle annual production volume) the company keeps true to its locally-sourced, light-on-waste roots.

Grand Teton’s vodka range now includes eight-week infusions of wild huckleberry and sour cherry. The distillery has also undertaken the aging and bottling of double gold medal whiskey labels such as Colter’s Run, Catamount, and Gamekeeper. “We wanted to see how whiskey would age in our unique environment,” Andrew said of the distillery’s spacious interior and temperate exterior environment. “As it turns out whiskey ages very well here.”

For the past four years, the company has been patiently barrel-aging a malt whiskey for which it holds very high hopes. Andrew explains the company’s approach, using 100 percent Idaho malted barley, to be in keeping with the style of the Scots. He speculates that Grand Teton Distillery may be unique in the state of Idaho for its methodology. The libation produced thanks to that labor of love is described succinctly as American single malt whiskey, born of a local family farm which grows as well as malts its own 2-row barley.

As for the whiskey itself, it is double-distilled in a hybrid copper pot still before maturing in Colter’s Run bourbon barrels and then double-barrel finished in red wine barrels from nearby Jackson Hole Winery. Expect the American single malt, which is milled, mashed, fermented, distilled, and matured in-house at Grand Teton, to pack a taste profile noted for rich, fruity complexity.

That aspiration to expand product lines parallels a general company push to revamp Grand Teton’s labeling. The new branding brings forward the talents of Joshua Jevons at Denver-based Jevons Design Co. and Andrew describes the project as a unification of art to represent the company’s true spirit.

“It’s great how multifaceted and dynamic we are,” Andrew said.

“It’s about owning that thing that you do, while working with people to create something fresh.”

The heightened bio-climate of recent months is a prime stage to showcase Grand Teton’s motivation to keep it fresh. The distillery changed production gears to combat the pandemic by providing hand sanitizer. The shift is a partnership with fellow valley business New West Knife Works and Wildrye Distilling of Bozeman, Montana, to make over 12,000 2- to 4-oz bottles of degerming juice donated throughout the respective communities. It’s a big shift, but with the same bottom line. The crew at Grand Teton Distillery loves where they’re at and what they do, so they’re willing to work (and rework) to prove it. It’s a palpable passion for excellence that’s leaving a pleasant finish on the palates of craft connoisseurs.

Grand Teton Distillery is located in Driggs Idaho. For more information call (208)354-7263 or visit www.tetondistillery.com.

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Raki T

here are few foods that are as polarizing as licorice candy. Offer a few friends a piece of dark licorice, and you are almost guaranteed to have one comment that they wouldnâ&#x20AC;&#x2122;t be caught dead eating the stuff while another one asks for more.

This divide is not just limited to candy; it also tends to spill over into the drinkâ&#x20AC;&#x2122;s world, with some of the most controversial spirits being those that primarily taste of licorice. Think absinthe, for one. Regardless of the debates, the fact is licorice-flavored liquors are some of the most popular liquors in the world; from Italian sambuca, to Finnish salmiakki vodka, it seems that almost every country has their own unique licorice flavored spirit.1 However, there is one member spirit whose popularity is only just now beginning to emerge from its birthplace. I am, of course, referring to the national drink of Turkey: Raki.

So, what is raki, how did it come about and why have so few people in the West heard of it? The answer to these questions is a little more complicated than one might expect. Before we begin, though, there is one important item that needs to be clarified. Anyone that has spent time in the eastern regions of the Mediterranean and the Balkans will undoubtedly have been exposed to a drink the locals call raki.

However, dependent on where you are and who you are with, the term raki can mean anything from homemade fruit distillate to spiced liqueur. Furthermore, there are a number of other beverages produced around the Mediterranean that are created in very similar fashions and go by names similar to raki that are sometimes misidentified as being raki.1 Arak is one example

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A Turkish spirit of grapes and aniseed Written by Reade A. Huddleston

The history of

raki

is both long and clouded with mystery.

that quickly comes to mind. This can cause some confusion and makes writing about raki a complicated task. In order to simplify matters, for the purposes of this article we will only be focusing on the Turkish version of raki, which is geographically protected and understood to be a spirit produced primarily from grapes that has had aniseed (Pimpinella anisum) added during some part of the distillation process.2 To fully understand raki, we must first look at its history. Like many alcohols, the history of raki is both long and clouded with mystery. No one exactly knows who first began producing raki, however, a raki-like drink was recorded as being widely produced and consumed in the Eastern Roman Empire as early as the fifth century.3 After the fall of the Byzantine Empire and the rise of the Ottoman Empire in the late 13th century, raki production was restricted to only Greek and other non-Muslim members of the kingdom.4 Despite this limitation, raki consumption continued.

Special taverns called Meyhanes, which served raki and specific dishes known as meze, were developed.5 These establishments were mostly run by Greek Christians

and although they were meant to sell only to other non-Muslims, they often catered to both legal and illegal drinkers. Eventually, the Ottoman government realized the futility of trying to limit raki consumption, and during the Tanzimat reforms in the 19th century, they began allowing Muslims to also consume alcohol.4 With the liberalization of the laws, raki production skyrocketed, and it quickly became the national drink of choice for both Muslim and non-muslims. Unfortunately, this golden period did not last, and with the dissolution of the Ottoman empire and the creation of the Turkish state in the 1920s, the laws were again changed.3 Initially the Turkish government outlawed the production of all spirits, but in 1926 they reversed their decision and decided to nationalize spirit production. Control over the production of raki was given to the newly formed state-company, Tekel, which officially became the sole producer of raki in 1944.5 Although this move was devastating to small and independent producers, it did help to bring uniformity and definition to raki. Before nationalization there was a high degree of difference between the many small producers, and customers were never certain what they were buying.2 After nationalization this uncertainty went away, and the definition of raki solidified in the minds of customers. Tekel continued to be the sole producer of raki until 2004, when the government again opened up its production to the private sector. Since then, a number of independent raki producers have begun to emerge.3 Now that we understand the history of raki, it is time to learn how it is produced.

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As mentioned previously, the main fermentable in raki production is grapes. The grapes must come from Turkey, and can either be freshly pressed and their juices fermented, or they can be turned into raisins and later reconstituted with water.6 Once fermentation has been completed, the liquid is then distilled. The first distillation is often conducted on a continuous column still, and great care is taken to keep the grape aroma and flavor intact.7 The distillate, which can only have a maximum concentration of 94.5 percent ABV, is known as suma.8 At this point the distiller can choose to mix the suma with up to 35 percent v/v alcohol from other agricultural sources, however, many Raki producers choose not to because the raki cannot be labelled as fresh-grape raki.6,3 Once the suma is ready, it is then mixed directly with aniseed. This mixture is then distilled in an alembic still with a maximum volume of 5,000 liters.6 Most distillers only distill Raki once using the alembic still; however, a number of producers have begun distilling it multiple times, claiming that it produces a cleaner, more enjoyable spirit.7 Regardless of the number of distillations, the resulting spirit is required to

have a minimum content of 800mg/L of trans-anethol, the major flavor component of aniseeds. It is also required to have no more than 150mg/L of methanol and a minimum of 100g/L of other volatile substances.6 After distillation, most raki is mixed with a small amount of white sugar — no more than 10g/L — before it is proofed to 40 percent ABV or higher.9 Legally, all raki must be allowed to rest for at least thirty days before being bottled; that said, some distillers allow it to rest for longer.6 Furthermore, distillers have also begun aging their raki in oak casks. This has created a new subset of raki, known as aged raki, that has almost whiskey-like qualities.3 Perhaps one of the most unique and enjoyable parts of raki is the way it is traditionally consumed. Like many other anise-based liquors, raki is often mixed with water, which produces louching and turns the normally clear liquid milky white; this has earned raki the nickname lions milk.

Raki is normally served in a kadeh, a unique highball glass.10 It is essential that when you cheers your partners, you clink the bottoms of the glass together, otherwise you may be seen as rude.5 Addition-

References 1) Anli, E., Bayram, M. 2010. Traditional Aniseed-Flavored Spirit Drinks. Food Reviews International. Vol. (26)3. Pp. 246-269.

2) Anli, E., et. al. 2007. Determination of the Principal Volatile Compounds of Turkish Raki. Journal of The Institute of Brewing. Vol. (113)3. Pp. 302-309.

3) Traditional Spirit Producers Association. The History of Raki. Available from <http://www.gis-der.org/tarih_en.html> [July 31, 2020] 4) Association of Turkish Travel Agents. 2020. Turkish Alcohols. Available from <https://www.tooistanbul.com/en/turkish-alcohols/> [July 30, 2020] 5) Saucy Dressings. 2020. A Briefing on Raki: What it’s Made of and How to Drink It. Available from <https://triedandsupplied.com/saucydressings/all-about-raki/> [July 30, 2020] 6) Turkish Food Codex. 2005. Distilled Alcoholic Beverages. Available from <https://www.resmigazete.gov.tr/eskiler/2005/03/20050316-3.htm> [July 30, 2020] 7) Darici, M., et. al. 2019. Effects of Triple Pot Still Distillation on the Volatile Compositions During the Raki Production.

Journal of Food Processing and Preservation. Vol. (43)6.

8) Cabaroglu, T., Yilmatztekin, M., 2011. Methanol and Major Volatile Compounds of Turkish Raki and Effect of Distillate Source. Journal of The Institute of Brewing. Vol. (117)1. Pp. 98-105.

9) Gueven, A., 2013. Chemical Fingerprints of Raki: A Traditional Distilled Alcoholic Beverage. Journal of The Institute of Brewing. Vol. (119)3. Pp. 126-132.

10) Arditi, T., 2015. How To Drink Raki: A Crash Course in Turkey’s Signature Drink. CNN. Available from <https://www.cnn.com/travel/article/turkey-signature-drink-raki/index.html> [July 27, 2020] 11) Lodge, A., 2011. Diageo Prepares Global Raki Roll-out. The Drinks Business. Avalaible from <https://www.thedrinksbusiness.com/2011/12/diageo-prepares-global-raki-roll-out/> [July 31, 2020]

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Raki is often mixed with water, which produces louching and turns the normally clear liquid milky white; this has earned raki the nickname

lions milk.

ally, a serving of raki in a restaurant or bar is almost always accompanied with food.

As mentioned earlier, meze is a mixture of dishes that have been developed specifically to complement raki. There are many different meze; however, the most common first dish is that of melon and feta.10 Finally, Raki consumption has always been seen as a way to get in touch with your more thoughtful side. When sitting at a table of raki drinkers, do not be surprised if the conversation turns to politics or philosophy. Indeed, Mustafa Kemal Atatürk, the founder of the modern Turkish state, was known to be a great lover of raki, and he often invited friends and advisors over for long evening discussions over a bottle.4 Although raki has traditionally been a product only enjoyed by those in Turkey, It has begun to be seen as a potentially global spirit. In 2011, distilled spirits powerhouse Diageo bought the brand Yeni Raki, one of the most popular raki brands in Turkey and have since begun launching the brand around the world.11 Who knows, perhaps one day raki will become the next hot spirit.

Reade A. Huddleston is Head of Production at Headframe Spirits in Butte, Montana. He received his Masters Degree in Brewing and Distilling Sciences from Heriot-Watt University, and is fascinated with all things drinkable.

If you would like to contact him about any strange and forgotten spirit, please email him at ReadeHuddleston@gmail.com.

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HOLDING THEM TO IT

How Rocker Spirits created a liquor bottle that rocks.

WRITTEN BY CARRIE DOW /// PHOTOS PROVIDED BY ROCKER SPIRITS

“It can be done.”­­ — Michael J. Owens, Inventor /Founder, Owens Bottling Company, 1903

W

hen Duston Evans, founder of Rocker Spirits of Littleton, Colorado, decided to enter the distilling industry several years ago, he didn’t start with a still or a recipe. He began with a bottle.

He wanted his bottle to make an immediate impact on people before they even tried the liquid inside.

“I make the joke that our whiskey bottle is the Volkswagen of whiskey bottles,” Evans explained with a chuckle. “Remember the game ‘slug bug?’ You can see a Volkswagen coming from miles away whereas if it’s a pickup or a car, they all look the same.

That’s the way I looked at it. Those generational brands out there you recognized by its shape. Crown Royal. Patron. You can see it from across the room.”

Rocker Spirits’ unique round bottle is designed so that after it’s poured, you can let go and the bottle will rock itself upright.

Evans got the idea from a 1930s oil can he bought at an Arizona junk yard for only five dollars. A collector of vintage Americana, he knew this was no ordinary container. It was a giant five-gallon metal oil can with a rounded bottom, an off-center spout, and a counterweight handle. A mechanic would tip the can on the rounded edge instead of picking it up. After pouring oil into the engine, he could let go of the handle and the

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counterweight would roll it upright. Today these antique cans sell on eBay for hundreds of dollars. Evans’ can, which guests can view in the distillery’s cocktail bar, became the inspiration not just for his bottle, but his whole brand.

“I’m a big fan of the industrial era of our country,” Evans stated. “I love the industrial look and feel of things. We used to make things here. It speaks to work ethic.

It speaks to innovation. I wasn’t going to get into this business unless I could create a bottle that evoked what I wanted in a brand.”

With innovation and generational branding in mind, Evans took his idea to the 2013 ADI Conference in Denver.

“I took some CAD drawings and some NDA (non-disclosure agreement) letters and met different glass manufacturers.”

Several took one look and said no way will a round bottle survive the manufacturing process. Then he met an engineer from Owens-Illinois Glass (O-I) of Perrysburg, OH. “I happen to meet with their head design guy,” he explained. “He looked at the bottle, took his glasses off and slid them up on his forehead and said, ‘How can we do this?’ That’s what I wanted to hear!”

“Once they said they could do this, I went out to Perrysburg,” Evans continued, “and when I walked in their facility, they had a big quote up on the wall from their founder that says, ‘It can be done.’ I said, ‘I’m goWWW.ART ISANSPI RI TMAG.CO M

ing to hold you to that.’”

“He held [us to] that each and every time,” laughed Colleen Hanley, sales account manager for O-I’s custom portfolio division, Covet. “Were there doubts? Oh yeah! There were doubts along the way, but we never said no.”

Hanley oversaw the team that worked on Evans’ project. The team included designers and engineers as well as plant managers at their manufacturing facility in Soacha, Columbia. Hanley estimated 12 people worked on the project from start to finish with others brought in as needed.

The bottle’s two biggest obstacles were the two things Evans could not do without: The off-center spout and the heavy counterweight. Both posed significant challenges to the manufacturing process. When a bottle mold filled with molten glass comes off the manufacturing line, a claw comes down and plucks the bottle by the spout from the top and sets it on an air table to take it to a kiln. After the glass is fired in the kiln, it then goes on a cooling air table.

Like a giant air hockey game, the cooling table has tiny holes that air flows through to gently bring down the temperature of the hot glass. Once the glass has cooled — a process called annealing — it becomes incredibly strong, but until then, the glass is fragile and can shatter with the flick of a finger. The first issue was getting the claw to pick up the bottle without the spout directly on top. Second, setting the bottle on the air table before it cooled would cause the round bottom to roll forward hitting the table and breaking into a million pieces.

Hanley’s team spent nine months working together with Evans making suggestions that the team would execute. One of these suggestions involved the spout.

“I said let’s build a mold and put a shim in it,” said Evans, “so when it comes out of the mold, it comes out straight up and the claw can grab it.” Evans then suggested turning the force of the air on the air tables as high as possible to cushion the bottles and hold them upright as they were set. In theory, that would also work. Once the team finalized these and many other details, they traveled to Columbia.

Evans, Hanley, and several other team members were there when the first bottles came off the production line. Everyone immediately felt this was something special, enough so that the company entered Rocker’s bottle in the 2017 PAC global

leadership awards. The bottle won gold in the luxury new brand category, beating out a perfume bottle by Victoria Beckham.

“We pushed the envelope on Rocker,” said Hanley. “It was challenging our internal mindset and Duston kept holding us to a higher level. He’s passionate about his distillery, his brand, and his vision.”

“O-I just embraced it,” said Evans gratefully. “They really loved the challenge. The people there I look at as friends because they circled around a crazy guy with a crazy idea.”

Like Mr. Owens said, it can be done.

Rocker Spirits is located in Littleton, Colorado. For more info visit www. rockerspirits.com or call (303) 795-7928. Owens-Illinois Glass is headquartered in Perrysburg, Ohio. Visit www.o-i.com for more information.

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from

BARTENDER to BRAND to RTD COCKTAILS WRITTEN BY G E O R G E B . C ATA L L O PHOTOS PROVIDED BY S O C I A L H O U R C O C K TA I L S

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T

om Macy got his start as many do, behind a bar. He started as a barback in 2009 at the Clover Club Cocktail Bar in Brooklyn, the same year the establishment won American Bar of the Year at Tales of the Cocktail. He learned from some of the best, and quickly earned a spot making drinks and honing his craft. As time progressed he worked his way up to becoming a partner in Clover Club alongside owner and bartending legend Julie Reiner, who also partnered with Macy on his next dream, a canned cocktail project years in the making.

“We're a social society and alcohol has kind of been there from the very beginning, and I think that there's something special about that.” Macy said. His family always placed a great value around cocktail hour, or as they called it: social hour. As, if not more, important than the drinks themselves are the times and conversations you have with them, and Macy carries that philosophy into everything he does. In his quest to continue WWW.ART ISANSPI RI TMAG.CO M

to guide people to having the best social experiences they can, by means of the social lubricant that is alcohol, he has grown his personal brand into a canned cocktail line — Social Hour Cocktails. “Our North Star of what we stand for at the company is that at the end of the day... connection is everything,” he said. “It's about drinks, but it's about what drinks do, or what you know what they can provide.”

His meticulous approach has made for scores of versions of each product before getting it just right. “I'd be so excited. I would want to taste them in a natural setting,” said Macy, “I [would] taste them in the lab, or I’d taste them while I was working on it, but I'd want to be home on like a Friday and crack a gin and tonic and drink it.” Macy continued, “I felt so often I'd be like, this isn't right... and it just is so deflating. It'd be good but it just wouldn't be perfect. And that happened time after time after time. And now I feel like yes, these are awesome. And it's just such a relief to be there.”

This dedication to his craft has paid off.

Macy proudly claims that his canned cocktails are better than cocktails he is able to make at home or at the bar. He credits the intense level of control over each individual component. For example, he can control the exact amount of acidity in a canned gin & tonic. A squeeze of lime into a conventional cocktail imparts a varying level of acidity depending on the ripeness of that lime, how juicy that lime is, and how hard it is squeezed. The precision of flavor from using so many individual ingredients from a flavor house, and spirits from New York Distilling Company, makes for a more controlled experience.

The journey to the release of his products is a very familiar one for many. It started with a crazy idea and led to working for years with lawyers, consultants, agencies, accountants, distillers, flavor houses, and countless other suppliers, capped off with presenting arguments to the TTB about formula and label. Getting the label to say exactly what Macy wanted it to was a struggle, but he prevailed and is pleased with the result.

The inaugural line of canned carbonatWWW.ART ISANSP IRITMAG.COM

ed products includes a straight rye whiskey mule, a gin and tonic, and what Macy called a Pacific spritz, which is essentially a riff on the classic Aperol spritz. Macy’s version consists of an aperitivo, rosé wine, passionfruit, and grapefruit. Macy looks towards the future with plans for line extensions. “We definitely wanted to do a paloma, but the whole thing with sourcing tequila just seemed like a little bit of an overreach for the first round.”

Macy has other dreams for the future as well. “You know, I don't want to get too far ahead of myself, but I'm really interested in doing spirit forward cocktails as well. Manhattans, old fashioneds, negronis, boulevardiers.” Macy continues, “I particularly enjoy or just am really drawn to classic drinks and trying to make them as perfect as possible.” In Macy’s pursuit of perfection, he is also very aware of his limitations.

“The dream is really to offer a full menu of drinks that are shelf stable,” he said, “[but] we'll never have an interest in doing

margaritas or daiquiris or anything like that, because they have juice and you can’t replicate how good fresh juice is.”

Macy’s dedication to providing the marketbar quality, ready-to-drink cocktails is becoming a reality at an idealtime. The current popularity of RTDs is at an all time high. Macy plans to launch Social Hour first in New York City, and then slowly expand distribution outward into immediate surrounding areas. While there is no upper limit to where he would like to go, a slow and controlled release into the market is the wisest course of action Macy found he could take. Walking before you run is a valuable approach for any brand.

Thankfully for Macy the pandemic didn’t hinder his launch too severely and he is on course to bring Social Hour Cocktails to the public starting in August 2020. His journey from barback to CEO of his own brand, working alongside spirits producers, is an absolutely inspiring one, and is proof positive that a combination of talent and hard work pays off.

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Allen Katz, Co-founder of New York Distilling Company, met Macy as a “devotee of Clover Club.” Over time Katz developed a relationship with Macy and Reiner which led to a request to use his gin and rye for experimentation in canned cocktail prototypes. “We were, of course, enthusiastic to see what they would come up with and to learn about the intricacies of getting carbonation ‘just right’.” said Katz.

Katz went on to explain that the products used for Social Hour’s cocktails are NYDC’s Perry’s Tot Navy Strength Gin as well as their Ragtime Rye Whiskey. How does Katz differentiate his selection of barrels between bottled spirits and canned cocktails? Katz explains, “In fact, it does not differ. We are crafting blends for Social Hour that match the hallmarks of Ragtime Rye.” These hallmarks of course being the trademark bold spicy notes of any classic American rye whiskey. “We really designed our spirits with cocktails in mind.”

Katz and NYDC is more than just the provider of the spirits for Social Hour, they were also involved with the collective evaluation of each sample during the development process as well as “a sounding board for any manner of business logistics as Social Hour comes to market.”

Katz is confident his relationship with Social Hour is replicable for other producers, “On our end, as a distillery, we are pretty efficient, and understand route to market opportunities and challenges. The relationship can certainly be mutually beneficial.” With the explosion of RTD popularity, especially this year, many people are asking if it is the next logical step for brands and distilleries to pursue. Of this Katz says, “Time will tell.” Katz continued, “RTD’s are certainly a hot commodity but to do them well takes some technical expertise to ensure quality and consistency, particularly at the higher end of the category.”

Many distillers, or creative minds in general, can find it difficult to let their creations be associated with another’s vision. This is not the case for Katz, “It is exciting to be able to participate in someone else’s creative process, both [in] production and business development.” After nine years in operation at NYDC Katz clearly enjoyed seeing something new develop. “It is refreshing and inspiring to see someone’s new idea being brought [to] fruition.” said Katz. And finally, what is likely the most important aspect of this symbiotic relationship, “Most of all, without any exaggeration, Social Hour’s canned cocktails are fantastic and we are proud to be associated.”

For more information on Social Hour Cocktails visit www.socialhourcocktails.com.

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KNOWN: W H AT I W I S H I ’ D LET ME TELL YOU

S M A L L B A T C H S R U E U Q I L K A . V I E RT H A L E R WRITTEN BY MAR

the inauguet me welcome you to at I Wish ral “Let Me Tell You Wh ies will break I’d Known.” This ser ally wish I’d down things that I person e a distiller. am known when I first bec ore I was a A lifetime ago — bef estigative redistiller — I was an inv and magazines. porter for newspapers ngs to do was One of my favorite thi if I didn’t know invite questions, even often didn’t/ the answer (which I nce to track don’t). It gave me the cha y reb expanding down the answers, the of readers but not only the knowledge also of myself. purpose is So, this column’s entire rs we that have to track down the ans sistently work eluded us as we con base of our to further the knowledge industry. still-fledgling craft spirits wers, but ans I don’t have all the to find those I will do my damndest who do.

L

SO , W H AT ’S FI RS T?

ch thought, After most likely too mu column should I decided that the first duction of liactually focus on the pro queurs. t initially atOne of the things tha rd Distilling tracted me to Tenth Wa on seasonal Company was the focus on developing products. The focus al spirit that and evolving a season WWW.ART ISANSP IRITMAG.COM

the local flounabashedly embraced I immediately ra was so enticing that (palate-first?) had to dive face-first into production. ft distilling For too long the cra occupied with industry has been pre ilar products the idea of creating sim le in the dothat are already availab the point of a mestic market. What’s if we’re simcraft spirits movement what the big ply trying to recreate tidal wave boys do? Much like the al and regional that has overtaken loc nt to forge our wine and beer, we wa ough the junown path by slicing thr spirits industry. gle that is the modern focus on Specifically, how do you brand? n ow r creating terroir for you n the rabbit Going even further dow ided upon a hole, once you’ve dec you then craft flavor profile, how do o something that final product int pleasing to that looks aesthetically while trying to the average consumer ing a regular entice them into becom customer? selves comThe answer we find our steady. ing back to is slow and

SL OW AN D ST EA DY W IN S TH E RA CE

your friend.

Pilot batches are time to be Start small and take the to your es thoughtful when it com extra so you infusion. Make

ducts through can put your final pro r flavor first their paces. Develop you why people are — I mean, isn’t that Flavor should buying your products? one concern. always be your numbertics. People the After that, it’s aes ce you’ve dieat with their eyes. On s you want to aled in the flavor profile rt thinking of showcase; you can sta le colors can how the more shelf-stab profiles. (You’ll tie in with those flavor with the fact also want to make peace — especially that natural coloration change over l reds and purples — wil ecially as it the life of the spirit, esp h UV light.) comes into contact wit years to deIt took us almost two tion, and ora velop an infusion, col created a crysbottling process that orful product tal clear(-ish) yet col either on the that could spend time cktail Lab’s Co liquor shelf or on our ntly adjusting barback. We are consta tions, botanthe infusion times, por eetness of our ical sourcing and sw seasonal liqueurs. at our SumLet’s specifically look mertime Liqueur. ying around We spent two years pla d the lemon with how we wante hin the final peel to come across wit sh lemon peel product. We tried fre y we use as our straight into the brand oleo. We tried base. We tried a lemon ls in the highinfusing the lemon pee then blending proof base spirit and

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AY S O N S , T H E R E ’ S A LW I AT R O L O C D N A S FUSION H, SO YOU W I T H N AT U R A L I N M B AT C H T O B AT C O R F S N O I AT I R VA INFUSIONS GOING TO BE ADJUST SPECIFIC O T W O H F O E R A CHES. H AV E T O B E AW C T P R E V I O U S B AT E L F E R O T S E M I T AND INFUSION infusion. We’re with the lower-proof infusion times also always looking at leave fruits in for — you’ll often want to something like days at a time, while n five minutes Angelica root in for eve ole thing off. wh too long can throw the timelines down We track each of these h infusion and to the minute with eac stantly. then refer to them con Channel, you Much like the Weather nt updates. As should perform consta end of your inyou get close to the l. You can alfusions, be extra carefu re. You can’t mo ways infuse a little bit de-infuse. a tiered apThe final solution was e to figure out proach. We were abl ted at the levwhich botanicals extrac were at high el we wanted when we d down and inproof. Then, we proofe t have an affused the botanicals tha anol and higher fection for a lower eth we could do a water mixture. Finally, botanicals that third infusion for the re pronounced extracted at even mo mixture. low ethanol/high water ect infusions We stagger these dir eral weeks. As over the course of sev ting close to you feel like you’re get g samples llin completion, begin pu g down to your and proofing/sweetenin an idea of what bottle proof so you get . Remember, it will actually taste like ke your palnu ethanol burns and can to actually end ate, so you may want l of your botanup over-infusing severa nd up in your icals to ensure they sta final product.

LI QU EU RS U N FI LT ER ED

Y (W EL L… MI NI MA LL FI LT ER ED )

proofing proWe then begin the before finally cess over another week do this to We r. sweetening the liqueu the conversion avoid saponification —

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p within your of fat, oil or lipid into soa is its own colalcohol. (Saponification umn for another day.) ened liqueur The proofed and sweet one more week is allowed to rest for through a 10 and then racked off ered product is micron filter. This filt rnight before then allowed to sit ove ick aside: Rebottling. (Another qu about over-inmember how we talked anicals above? fusion of specific bot during this proThis will also pay off flavors will dicess as some of those minish with filtration.) time to rack You want to take the er, because an off and (minimally) filt racked natuimproperly filtered and going to have rally-infused liqueur is the final prodtoo much particulate in r-maceration uct. This will lead to ove your bright, in the finish bottle, and t going to becomplex liqueur is jus ss. come a muddy-ass me re thoughtful mo r, we slo s Taking thi filtering, and approach to infusion, create a natproofing, we’re able to eetened liqueur urally flavored and sw to color once with minimal changes as significantly in the bottle, as well ent. This is a reducing natural sedim e with our absimilar process we tak a consistent, sinthe in order to create pleasing final stable, and visually product.

NG N EV ER ST OP AS KI QU ES TI ON S

things we’ve This is one of the many asking others learned by reading, d in adjacent within our industry (an

e, bartending industries like beer, win error and a and cooking), trial and k. Consistently whole lot of dumb luc run your rectake notes every time you e and contrast ipe so you can compar ensure consisfrom batch to batch to tomers, liquor tency. Lean on your cus rants for feedstores, bars and restau back as well. ure that your Take extra care to ens sending you botanical suppliers are lot number e ingredients from the sam cy. Don’t forto help ensure consisten ality with your get to consider season you don’t want suppliers as well — r specific herb them to run out of you production run halfway through your e, it’s gone. We because once it’s gon anical panels, also routinely do bot h botanical inwhere we infuse eac ount of base dividually in a small am file and avoid spirit to test flavor pro ients into the adding any flawed ingred mix. taste! With Finally taste, taste, colorations, natural infusions and be variations there’s always going to so you have to from batch to batch, ust specific inbe aware of how to adj times to reflect fusions and infusion also important previous batches. It’s other people to bring in at least two g. After tastto sample before bottlin over and over ing the product over and develop palate again, you eventually y to miss someblindness and it’s eas in the entire thing. I prefer to bring Lab staff. (Well distillery and Cocktail pandemic.) the … you know … before What was Lastly, I’ll ask you all: ’d known? something you wish you

pany in Frederick, Maryland, Tenth Ward Distilling Com at r ille dist d e Jenn, hea is aler rth Mark A. Vie made. He lives with his wif tional awards for spirits he’s rna inte Tenth en rd. doz kya a r bac ove his won into and has skunk that wanders and hog und gro nal asio occ onv illing unusual, unc ensilver lab Moose, and the ed distillery, dedicated to dist own anwom @ a is y pan follow Mark on Instagram Ward Distilling Com rding Off Ordinary. You can Wa by its spir g nin win rdtional and awa projects and experiments. whiskyicarus to see current WWW.ART ISANSPI RI TMAG.CO M

NORTHERN TROPICS

TWO MICHIGAN COMPANIES TEAM UP TO LEGALLY DELIVER A UNIQUE SMALL-BATCH JAMAICAN RUM WRITTEN BY RICH MANNING

Not all food and drink pairings happen at a table. In this ongoing series, we explore how the collaborative efforts of an artisan food producer and a craft distillery can not only yield unique, remarkable products, but also bring passionate, creative minds together for the purpose of producing something special. In this issue, we explore how a craft distillery and a groundbreaking food ingredient company in Michigan got together to produce a unique Jamaican rum.

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he year is 2019, and BLiS Gourmet has a problem to solve. It’s not a make-orbreak problem; The Grand Rapids, Michigan food company has plenty of recognition for their award-winning specialty ingredients and barrel-aged sauces and liquids of varying viscosity. They also have a superfan in Grant Achatz, culinary mastermind of Chicago’s Michelin three-star restaurant Alinea, who annually snaps up the company’s entire allotment of brook trout roe. The problem they’re facing, in fact, is a nice one to have: They’ve been playing around with a small allotment of Jamaican rum in bourbon barrels that previously held their own maple syrup. Everything’s on the up-and-up — they purchased the six-year-old rum in 2015 via an importer and moved the juice to a small distillery in Bardstown, Kentucky to age

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PHOTO BY JOHN CARLSON

an additional four years — but they don’t have a liquor license to bottle and sell the finished product, hence the problem.

Their solution? Join forces with a like-minded Michigan distillery.

Mammoth Distilling’s name doesn’t match its location. They’re headquartered in the tiny northern Michigan town of Central Lake, population 952. They make up for this seeming misnomer by being a big deal within the region, boasting three tasting rooms within the Wolverine State and a robust on- and off-premise presence in and around Chicago. They also know a thing

or two about unique collaborations: Their ongoing Borrowed Time project features small-batch creations built around spirits sourced from other distilleries, resulting in limited-run goodness like a six-barrel blend of 12-year Canadian rye or a four-barrel blend of 10-year-old Tennessee bourbons. “The project’s called Borrowed Time because they’re essentially products living on borrowed time,” explained Phil Attee, Mammoth’s sales manager and distillation consultant. “They’re extremely limited bottles, and once they’re gone, they’re gone.”

The collaborative spirit of Mammoth’s Borrowed Time project seemed to make

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it the perfect distillery to bottle BLiS’ rum unicorn.

All they needed was to connect. Fortunately, they had a mutual matchmaker. “There’s a distillery in Grand Rapids called Eastern Kille Distillery that we’d worked with before, and they recommended Mammoth to us,” said Sarah Sherman, BLiS’ vice president and director of operations. “When we saw what they were doing with Borrowed Time, we thought they were exactly what we were looking for.”

“I’ve been a fan of BLiS from afar for a long time,” Attee added. “I love pretty much everything they produce.

So, when Eastern Kille told us that BLiS needed help for this maple syrup-finished rum project they were working on, we jumped at the chance.”

It’s fair to call Attee’s admiration justified. Barrel-aged experimentation has been embedded in BLiS’ DNA since TOP Steve Stallard, BLiS Gourmet Chef Owner Chef Owner Steve Stallard launched the company in 2005, PHOTO BY JACOB LEWKOW resulting in myriad products finished in barrels influenced by booze ranging from beer to bourbon (or, in some cases, beer and bourbon).

BOTTOM Sarah Sherman, “We’ll experiment with a barrel until its rings fall off,” Stallard said.

BLiS Gourmet Vice President and Director of Operations “At the same time, we won’t throw something in a barrel just to fit a PHOTO BY KATY BATDORFF niche. We’re all chefs that have been eating and drinking for a long time, so we have discerning tastes.” This is an understatement in Stallard’s case — he made his bones at prestigious restaurants like Michelin two-star Taillevent in Paris before building his saucy empire. His palate carries gravitas, and his company’s partnership with Mammoth clearly indicates the distillery possesses high standards.

This mutual respect has since coalesced into a rather exciting partnership. Mammoth has bourbon hanging out in BLiS maple syrup barrels. BLiS will age a to-be-determined sauce in the rum barrels after drainage and is also planning on playing with the barrels Mammoth uses for their tart and funky Cherry Bounce liqueur. All these items were made possible because of a few barrels of rum.

Like any good rum-soaked journey should, the BLiS/Mammoth partnership PHOTO BY JACOB LEWKOW kicked off in the Caribbean. “We had a friend in Jamaica that was connected to their legal system, and she knew her way around there very well,” Stallard said. “She tipped us off to a place that had some barrels of rum available, so we went down there to check them out.” The intel led Stallard to Hampden Estate, a 260-plus-year-old Jamaican property noted for being one of the country’s oldest sugar plantations. The dunder-style rum, which had already been aging for six years, immediately impressed.

“There’s a sour, fruity note that came through on the rum due to its high ester count,” Stallard explained. “It was intense, and we thought it would work well in a barrel-aging project.” The subsequent deal to acquire the rum involved lots of moving parts: BLiS got a Florida importer and a Kentucky distiller involved to legally buy

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the rum and start the process of aging the juice in maple syrup bourbon barrels — a process that Mammoth agreed to finish off at their facility four years later. “There was a certain amount of trust needed because of all the parties involved,” Sherman said, “but we were very cautious throughout the whole thing.”

There’s not a whole lot of inventory anticipated for the rum, which will be sold as part of Mammoth’s Borrowed Time project under the name XO Jamaican Rum Reserve. Sherman estimates around 1,200 to 2,000 bottles will be produced. Attee narrows this number to around 1,500. “When we mean small batch, we mean it’s really small,” Attee states. It may seem like a small payoff for all the hoop-jumping endured, but quantity isn’t the point of the exercise.

“We’re okay with it being a ‘one and done’ type of product because it tells a unique story that way, one that fits the context of, ‘Oh my God — let me tell you about this one rum I had,’” Sherman explained. “We’re hoping that the bottles go to people that will appreciate the moment in time it will create.”

Although it’s not technically ready as of this writing — it will be by the time you read this — sample sips suggest plenty to appreciate. “The high ester content pushes the envelope in the rum category,” Stallard said. “It’s intense in the way that something like a Laphroig 10 is intense, with a distinct maple kick. People will say, it doesn’t taste like rum, but it does.’”

“All you want to do is sip it and dissect it,” Sherman added.

BLiS’ name isn’t on the rum’s label — that’s all Mammoth’s jam. However, each bottle will feature a BLiS neck tag complete with a QR code that leads the customer to a page on BLiS’ website that shares the rum’s story. It’s a subtle touch of cross-marketing that provides a broader experience for the intrigued consumer, one that in a way mirrors the project’s own journey. “This rum made it to Michigan via Jamaica, Florida, and Kentucky over several years,” Attee said.

“That’s one heck of a long chain.”

Visit www.blisgourmet.com or www.mammothdistilling.com for more information.

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Adding Public Relations to Your Marketing Plan

WRITTEN BY D KARA POUN

F

or craft distillers — small, budget-conscious businesses, in many cases still in startup mode — understanding the value of investing in public relations can be a crucial lesson. Compared to spending money on advertising, you can get a lot more bang for your buck with a successful PR campaign.

My foray into the distillery world began with a director of communications position at a startup distillery in St. Augustine, Florida appropriately named St. Augustine Distillery. This was in 2015, about two years after the distillery opened and we were just getting our feet wet. Startups mean lean teams and the absence of protocols and processes.

As a young distillery that produced vodka, gin, rum, and had hundreds of barrels of aging bourbon, we relied almost as much on public relations as we did marketing. If you spend five hours creating a connection with a spirits writer for Forbes and secure an earned media placement in a top-tier media outlet, that’s often time better spent than ponying up thousands of dollars for an advertisement.

When it comes to promoting spirits, there are dozens of newsworthy topics that the media would be interested in covering. Essentially, give them the hook that they’re looking for. You need to present more to them than simply existing. Here are some story ideas to keep in mind:

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Do you have a new product coming out?

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What philanthropic work are you doing?

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Can you think of any commonalities?

If so, start putting public relations initiatives together as soon as possible. You’ll need high-resolution photos of the bottles (preferably filled with product) in both a journalistic setting (the tasting room, on top of barrels, next to distillation equipment, being held prominently by the owner(s) or head distiller) as well as cutouts on a white background. You’ll also need tasting notes and any other pertinent information including, “What makes this spirit different from others in the market?,” “Why did you choose to age it in port barrels from the local winery?,” etc. When we launched our first bourbon at St. Augustine Distillery, I created a Q&A with the owners to send along with the press release I had prepared.

What community outreach are you involved in? Owning a distillery is more than just selling bottles of booze. You need to own your backyard and become a pillar of your community. Pay your staff to help clean up a neighborhood park, compost your spent grains at a nearby farm, or donate funds to help a struggling cultural center. It’s kind of how life works; do good and good will come back to you. Make sure you educate the media about the great things you’re doing for the community and capitalize on positive PR. Send out a blurb and photo or full-blown press release about what your distillery has been up to.

When I worked at St. Augustine Distillery, I loved how some of our distillers would go out fishing together. They talked about it all the time and it really brought them together like brothers. I pitched a story to a local magazine about the guys’ bonding while fishing and it became this great piece called, “The Tide: Casts and Casks.” Not only was it five pages of organic “advertising” for the distillery, it made me pretty popular with the distillers.

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What else do you have going on that’s interesting?

Is there something unique about your building?

Did a staff member just climb Mount Everest? Is the owner of your distillery also an infectious disease physician who volunteers with Doctors Without Borders? Did you just reach 50,000 Yelp reviews? Are you number one on TripAdvisor? Do you offer free tours of your facility and just welcomed your one millionth guest? Think outside the box.

Now that you’ve identified newsworthy items to pitch to the media, you need to figure out who to reach out to. Aside from Artisan Spirit Magazine, there are dozens of outlets focused on the distillation process, spirits, and cocktails. Some big ones that you need to make sure are on your media list include Liquor.com, Imbibe, Chilled, Wine Enthusiast, Whisky Advocate, Bar Magazine, and Distiller Magazine. Bloggers and social media influencers are also a great way to increase brand awareness and ensure that your brand stays front of mind.

Keep in mind that if a media outlet comes a-callin’, you’ll need to task someone within your organization to respond to inquiries. The media won’t wait for days to find out if you’re checking your email. You need to get back to them ASAP and make yourself available for any interviews, additional photo requests, sample bottles, and more.

Media folks receive hundreds if not thousands of press releases a day. Make their job as easy as possible if they’re interested in giving you free press.

Once you’ve started securing impressive PR, what do you do with it? Shout it from the rooftops! Post it on your social media, link it to your blog, and if it’s impressive enough (say The New York Times), share it with your local media. If you haven’t already, create a local media list composed of daily papers, regional business journals, city bloggers, TV stations, radio stations, and more. That way, when you’re got big news to share, you're only a few clicks away from dominating the headlines.

Kara Pound is the owner and founder of Old City Public Relations, a public relations and marketing firm located in St. Augustine, Florida, the nation’s oldest city. To learn more, visit oldcitypr.com, contact Kara at kara@oldcitypr.com, and follow along on social media @oldcitypr.

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ADVERTISER index AGAVE RESOURCES The Tierra Group

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CF Napa Brand Design

Briess Malt & Ingredients Co.

EBBING + Branding

BARREL WAREHOUSING White Dog Trading & Storage, LLC

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Independent Stave Co.

105 7 & 11

West Virginia Great Barrel Company

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Grandstand

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High-Proof Creative

54

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DISTILLING EQUIPMENT ARCHON Industries, Inc. Bavarian Breweries & Distilleries Cage & Sons Distilling Systems Prospero Equipment Corp.

BARWARE Boelter Thousand Oaks Barrel Co.

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Flowdesign

123 6 & 17 57

PACKAGING Liquor Bottle Packaging

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PUMPS

Vendome Copper & Brass Works

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McFinn Technologies

61

Bavarian Breweries & Distilleries

8 & 24

Still Talking Podcast

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ENZYMES & YEAST

76

Ferm Solutions

Phoenix Packaging

29

Fermentis

American Distilling Institute

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EQUIPMENT LEASING 120

InLine Filling Systems, LLC 53

GNS & BULK SPIRITS SUPPLIERS

Supercap

42

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Tapi USA

8 & 139

Grain Processing Corporation MGP Ingredients Rum Central

36

TRADE EXPOS American Distilling Institute Craft Beverage Expo

FILLING EQUIPMENT 90

82

TOTES & TANKS Spokane Industries

CORKS & CLOSURES

CREAM LIQUEURS

8

48

CONTRACT DISTILLATION 49

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SPIRITS COMPETITIONS

COMPLIANCE & BACK OFFICE MANAGEMENT North Star Leasing

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4&7

127

Lallemand 7 & 15 White Star Yeast by Winemakeri Inc.

6

G&D Chillers

Total Wine & More

73

140

50

Moonshine University

O. Berk Kols Containers

41

REFRIGERATION & CHILLERS

EDUCATION

Imperial Packaging

Creamy Creation

120

4

30

NimbleJack Partners

Niagara Label

25

50

12

Brad-Pak Enterprises

Southern Distilling Co.

7

Specific Mechanical Systems

BOTTLE MANUFACTURERS & SUPPLIERS

American Spirits Exchange Ltd.

LABELS

Rudolph Research Analytical

SRI Ohio

Saverglass

28

137

135

26 5&6

Prairie Malt

Multi-Color Corp Global Solutions

BOTTLE & GLASS DECORATING Loggerhead Deco

BSG Distilling

Fort Dearborn

BARRELS The Barrel Mill

2&6

45 110

TRADE ORGANIZATIONS Distilled Spirits Council

7&9

38 63 8 & 19 123

137

ARTISAN SPIRIT sponsors 138â&#x20AC;

WWW.ART ISANSPI RI TMAG.CO M

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Saverglass Inc. | www.saverglass.com | Haute Couture Glass Napa (CA) : (707) 259-2930 | East Coast (NJ) : (201) 825-7100 Pacific North West (OR) : (707) 337-1479 | Mid West (KY): (502) 365-2333