TTB - BourbonSphere

Dear TTB: What’s Taking So Long?

Two years ago, the Treasury Department’s Tax & Trade Bureau opened the bureaucratic process for issuing an official definition of American Single Malt Whisky. After… Read More

Two years ago, the Treasury Department’s Tax & Trade Bureau opened the bureaucratic process for issuing an official definition of American Single Malt Whisky. After a brief public comment period, the agency has yet to act on the proposal, and that has distillers of American Single Malts frustrated with the lack of action. We’ll talk with Steve Hawley, executive director of the American Single Malt Whiskey Commission, about a new campaign to put pressure on the TTB to act. In the news, Diageo reports a sales decline for its fiscal year, while Campari beat analyst forecasts despite economic headwinds. We’ll taste three American Single Malts in the What I’m Tasting This Week Department, and in our Behind the Label segment, we’ll explain why “bottled in bond” doesn’t just apply to Bourbons.

Episode 1068: August 4, 2024

2023: The Year in Whisky

A lot happened in the world of whisky during 2023, and with the help of WhiskyCast Community app members, we’ve identified the top ten whisky… Read More

A lot happened in the world of whisky during 2023, and with the help of WhiskyCast Community app members, we’ve identified the top ten whisky stories of the year. Join us as we count them down in the news, then listen as Milam & Greene’s Heather Greene shares her lessons on whisky entrepreneurship in WhiskyCast In-Depth. We’ll also have some of your year-end dramming choices in our Community segment, too.

Episode 1037: December 31, 2023

Links: Milam & Greene | Torabhaig Distillery | Smokehead | Lagavulin | Bruichladdich

The Spirited Chef Takes on Whisky & Food

One of the highlights of this week’s New Brunswick Spirits Festival was the food and whisky pairings created by The Spirited Chef, Taylore Darnell. She… Read More

One of the highlights of this week’s New Brunswick Spirits Festival was the food and whisky pairings created by The Spirited Chef, Taylore Darnell. She and the staff at the Delta Fredericton created spirited breakfasts, lunches, and dinners featuring unique combinations of food and whisky. We’ll talk with Chef Taylore about matching food to whisky and how our senses perceive those combinations on this week’s WhiskyCast In-Depth. In the news, there’s a new world record for the most expensive bottle of whisky ever sold at auction, and American single malt makers are still waiting for an official definition for their whiskies.

Episode 1031: November 19, 2023

Eight Special Single Malts…and a Cowboy Bourbon

We’ll have a double feature on this week’s WhiskyCast In-Depth, as Diageo’s Dr. Stuart Morrison joins us to detail this year’s Special Releases series –… Read More

We’ll have a double feature on this week’s WhiskyCast In-Depth, as Diageo’s Dr. Stuart Morrison joins us to detail this year’s Special Releases series – including a Lagavulin finished in tequila casks – and Donnis Todd of Texas’s Garrison Brothers Distillery gives us a preview of this year’s Cowboy Bourbon. It’s an uncut, unfiltered whopper of a Bourbon at 70.45% ABV! In the news, the TTB avoids being caught up in a U.S. government shutdown after Congress passed a short-term budget extension. Kentucky regulators want to shut down two of the state’s biggest buyers and sellers of vintage spirits over liquor law violations, and Scotch Whisky tourism has recovered from the pandemic.

Episode 1024: October 1, 2023

Catching Up with Ardbeg’s Colin Gordon

It’s been three years since Colin Gordon left Islay’s Lagavulin Distillery to move down the road and take over for the retiring Mickey Heads at… Read More

It’s been three years since Colin Gordon left Islay’s Lagavulin Distillery to move down the road and take over for the retiring Mickey Heads at Ardbeg. Since then, Ardbeg has commissioned a completely new stillhouse and visitor traffic has recovered from the pandemic. We’ll catch up with Colin Gordon on this week’s WhiskyCast In-Depth. In the news, the clock is ticking toward a partial U.S. government shutdown that could affect whisky makers and consumers, while Scotland’s government is debating an increase in the minimum unit price for whisky and other alcoholic beverages. We’ll also hear from Campari CEO Bob Kunce-Concewitz on his company’s expansion plans, check in with Wild Turkey’s Eddie Russell on the latest expansion of the Russell’s Reserve Single Rickhouse Series, and get a preview of this year’s Diageo Special Releases from master blender Stuart Morrison.

Myths & Misconceptions

February 19, 2023 – There are a lot of myths and misconceptions surrounding whisky, and every so often, we need to puncture those myths and shed some light on the facts… For instance, the common perception is that if a whiskey is labeled as “straight,” then it can’t have any coloring or flavoring materials added. This is where things get tricky…straight Bourbons, straight malt, straight rye, straight wheat, straight corn, and straight rye malt can’t have any coloring or flavorings added to them… However, according to the TTB’s Beverage Alcohol Manual, “blended” versions of those whiskies (such as “a blend of Read More »

February 19, 2023 – There are a lot of myths and misconceptions surrounding whisky, and every so often, we need to puncture those myths and shed some light on the facts…

For instance, the common perception is that if a whiskey is labeled as “straight,” then it can’t have any coloring or flavoring materials added.

This is where things get tricky…straight Bourbons, straight malt, straight rye, straight wheat, straight corn, and straight rye malt can’t have any coloring or flavorings added to them…

However, according to the TTB’s Beverage Alcohol Manual, “blended” versions of those whiskies (such as “a blend of Straight Bourbons”) can have so-called harmless coloring, flavoring, or blending materials added to them, as long as they don’t exceed two-point-five percent of the total volume. There’s no requirement to disclose that on the label.

Here’s another one: there’s a myth that Jameson sales in the U-S account for 70 percent of all Irish Whiskey sales worldwide.

Not quite…and we have data that proves that.

Irish Distillers reported its half-year-financial outlook this week, and said Jameson U-S sales accounted for two-point-five million cases sold during the period. Let’s assume that the second half of the year is just like the first, and about 5 million cases are sold in the U-S during the 2023 fiscal year. Irish Whiskey sales worldwide this year are forecast to reach 12-point-6 million cases according to Euromonitor. That would make Jameson’s U-S sales about 40 percent of all global Irish Whiskey sales.

A large market share, yes…but not 70 percent.

What are some of your favorite myths about whiskey…share them with us on social media or use our contact form, and we’ll do a truth test again on an upcoming episode.

Links: TTB Beverage Alcohol Manual

Islay Boys, Islay Whisky (Episode 964: August 7, 2022)

Scotland’s Isle of Islay is known for its distilleries, and construction will begin soon on the island’s 12th distillery near the shores of Laggan Bay. The Islay Boys, Donald MacKenzie and Mackay Smith, plan to build the new Laggan Bay Distillery across from Islay’s airport on the site of a former RAF World War II barracks. MacKenzie and Smith also own the island’s lone brewery, and plan to make Islay Ales part of the Laggan Bay development. We’ll catch up with Donald MacKenzie on this week’s WhiskyCast In-Depth. In the news, Kentucky’s Bourbon community is coming together again to help Read More »

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35 Years on Forty Creek (Episode 963: July 31, 2022)

Forty Creek master blender Bill Ashburn celebrated his 35th anniversary in the whisky business this week, and he’s one of those blenders content to stay out of the spotlight most of the time. Ashburn and John Hall put Canadian Whisky on a new course in 2000 when they released the Forty Creek Barrel Select and Three Grain whiskies, and Ashburn’s whiskies have won countless awards since then. He’ll join us on this week’s WhiskyCast In-Depth. In the news, we have details on the U.S. government’s proposal to create an official definition for American Single Malt whiskies, along with Beam Suntory’s Read More »

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TTB Issuing Proposed Standards for American Single Malts

July 28, 2022 – American single malt whisky distillers are finally getting the recognition they’ve sought from the U.S. government for the last six years. Tomorrow, the Alcohol and Tobacco Tax and Trade Bureau (TTB) will publish its proposed standards for American single malts in the Federal Register and open a 60-day public comment period. The proposed standard comes nearly 5 years after Seattle’s Westland Distillery and other members of the American Single Malt Whisky Commission filed petitions with the TTB to create a “standard of identity,” or official definition of American single malts. Westland co-founder Matt Hofmann told WhiskyCast the Read More »

July 28, 2022 – American single malt whisky distillers are finally getting the recognition they’ve sought from the U.S. government for the last six years. Tomorrow, the Alcohol and Tobacco Tax and Trade Bureau (TTB) will publish its proposed standards for American single malts in the Federal Register and open a 60-day public comment period.

The proposed standard comes nearly 5 years after Seattle’s Westland Distillery and other members of the American Single Malt Whisky Commission filed petitions with the TTB to create a “standard of identity,” or official definition of American single malts. Westland co-founder Matt Hofmann told WhiskyCast the proposed definition is exactly what the Commission came up with. “For me, that is the first really big win,” he said in a telephone interview. “The second big thing is that it looks like there’s an accelerated public comment period…so it seems like we’ve got everything ready to go for the final act, and hopefully, we could have this thing done by the end of the year.”

The proposed definition reads:

“American Single Malt Whisky is whisky that is mashed, matured and distilled at a single United States distillery, is so distilled to a proof not exceeding 160° proof from a fermented mash of 100% malted barley, is stored in oak containers not exceeding a capacity of 700 liters, and is bottled at not less than 80° proof.”

That gives distillers the flexibility to use either used or new oak barrels to mature their whiskies, instead of the new charred oak barrels required for most other forms of American whiskies. It essentially mirrors the requirements Scotch Whisky distillers are held to under Scottish law, and would put American single malts on an equal footing. “To be able to use both used oak and new oak is consistent with what everybody expects of the single malt category at a global level,” Hofmann said. “What we wanted out of this definition was to have the structure of American Single Malts, for those words to have meaning that they should but still allow people to innovate, to be able to use both new oak and used oak, and actually non-oak casks as long as it goes into oak at some point…all of that stuff is doable,” he said.

The proposed American definition differs from the Scottish standard in one key fashion. While Scottish law decrees that single malts must be distilled in pot stills, the TTB’s proposal appears to give American Single Malt distillers the choice of using either pot or column stills. It should be noted that the proposed standard would not have any regulatory effect on single malts produced in Scotland or other countries.

Even without an official standard of identity, more than 100 distilleries have been producing American Single Malt whiskies, with many using the existing standards for “malt whisky.” That standard only requires the use of 50% malted barley in a mashbill, along with requiring the use of new barrels. The creation of an official standard is expected to lead to even more distilleries jumping into the segment, including some of the nation’s largest distillers.

“The formal establishment of standards of identity for American Single Malt Whisky is a clear recognition that this rapidly growing category is unique and deserves to be defined and protected as a distinctive product of the United States. Consumer fascination with American Single Malt Whisky is at an all‐time high and establishing a clear definition will drive innovation and help maintain the integrity of this category as more products enter the market,” Distilled Spirits Council CEO Chris Swonger said in a statement.

The public comment period will end on September 27, 2022, and agency officials are not bound by a timeline in issuing a final regulation.

This is a developing story, and will be updated with additional information.

Editor’s note: This story has been updated.

Links: Tax and Trade Bureau | American Single Malt Whiskey Commission

Private Barrel Kentucky Bourbons in Legal Jeopardy

January 29, 2022 – Sales of “private selection” barrels by distillers in Kentucky have become popular choices for retailers, bars, restaurants, and even whiskey clubs. However, it turns out that those sales actually violate state liquor regulations in Kentucky, and perhaps even at the federal level. It’s not because sales by the barrel are specifically banned, but because the process of selecting those barrels violates a number of state regulations. Kentucky’s Alcoholic Beverage Control Board enforces the state’s regulations, and has issued an advisory opinion to that effect, according to Kentucky Distillers Association president Eric Gregory. “Right now, the ABC Read More »

January 29, 2022 – Sales of “private selection” barrels by distillers in Kentucky have become popular choices for retailers, bars, restaurants, and even whiskey clubs. However, it turns out that those sales actually violate state liquor regulations in Kentucky, and perhaps even at the federal level. It’s not because sales by the barrel are specifically banned, but because the process of selecting those barrels violates a number of state regulations.

Kentucky’s Alcoholic Beverage Control Board enforces the state’s regulations, and has issued an advisory opinion to that effect, according to Kentucky Distillers Association president Eric Gregory. “Right now, the ABC has given us a grace period, if you will, to work with us while the Legislature is in session to get that fixed,” he said in a telephone interview. “That’s not a want…that’s a need, and we’ve gotta get that done,” he said, citing support from the groups representing liquor wholesalers and retailers for reforms.

The process of selecting a barrel usually involves tasting samples from multiple barrels during a customer’s visit to a distillery, and that is where the legal issues begin to build up. State regulations do not make any difference between “trade” visitors to a distillery and consumer visitors to that distillery’s visitors center, and the regulations limit the amount of samples to 1.75 ounces per visitor per day. In addition, regulations also limit the amount of whiskey an individual customer can buy at a distillery to one nine-liter case per day. Once again, that doesn’t allow for the sale of an entire barrel of whiskey to a single customer, since that barrel could yield 200 bottles or more in what would be counted as a single purchase.

Private barrel selections can be critical for retailers trying to set themselves apart from their competitors. Westport Whiskey & Wine in Louisville has been among the most active participants in private barrel programs with more than 60 barrel picks, and owner Chris Zaborowski says the loss of that opportunity would have a critical impact on his business. “Just to use a conservative number, if that’s around $8,000 a barrel, that’s a fairly impactful number, almost half a million dollars in sales.”

While the Kentucky ABC’s opinion applies only within the Commonwealth, it could have nationwide implications. Not only do Kentucky distillers sell private barrels to customers in other states, but similar restrictions on sampling and sales exist in most of the states with craft distillers. As of now, regulators in other states have not moved to block private barrel selections, but the Kentucky decision could set a precedent.

There is also a potential issue at the federal level as well. Kentucky’s opinion also cited the potential violation of the state’s “tied house” regulations banning distillers from offering anything of value to retailers, based on the exclusive nature of a private selection barrel not available to other retail competitors. In addition, when consumers purchase an entire barrel of whiskey from a distillery, the bottles are shipped through a wholesale distributor to the retailer of the consumer’s choice, and Gregory says that compliance with the “three-tier system” also is seen as a violation of tied house restrictions. Similar bans exist in federal regulations enacted after the end of Prohibition to keep distillers from having undue influence over the retail sector. Gregory indicated that the KDA is working with federal regulators to address the issue.

“It’s not quite a problem in search of a solution, or a solution in search of a problem, it’s just a case of getting the language cleaned up so no one can create a problem,” Zaborowski said. “It’s a point of distinction for us, and to turn that switch off would be devastating for our business,” he said in a telephone interview.

State lawmakers are currently in session at the state Capitol in Frankfort, with the current legislative session scheduled to run through mid-April. “We’re urgently seeking a resolution in the Legislature, and it’s going to have to have an emergency so as soon as it’s signed by the Governor — if we’re fortunate enough to get it passed — it would take effect immediately and we wouldn’t miss a beat on private barrel sales,” Gregory said.

Gregory doesn’t want to think about the alternative.

“It would be a big impact on the distillers, but more importantly, it would be a big impact on retailers and consumers,” he said.

While the needed changes appear to have strong support and would be relatively simple to enact, Zaborowski is reminded of the constant threat that hangs over any piece of proposed legislation: the so-called “Christmas Tree” effect.

“It’s what gets tacked on to an easy bill that could make the bill more difficult,” he said with a laugh. “That’s the only real fear that I have, because Kentucky still has a large percentage of dry counties and a lot of these legislators don’t like dealing with alcohol bills because, you know…it’s sinful.”

Kentucky ABC executive director Allyson Taylor could not be reached for comment. This story will be updated with more information as necessary.

Links: Kentucky Distillers Association | Kentucky Alcoholic Beverage Control Board | Westport Whiskey & Wine