Spirits industry bucking weak global economy

 

NEW YORK -- A weak economy may be wreaking havoc on many industries, but the distilled spirits industry experienced growth in 2011 while taking more market share again from beer.

That was among findings released by Distilled Spirits Council President and CEO Peter Cressy at the industry’s annual briefing for Wall Street analysts and reporters on Tuesday. But, he warned, uncertainty about the economic recovery and the impact of new taxes could derail future growth.

Distilled spirits exports exceeded $1 billion for the fifth consecutive year, reaching a projected record $1.34 billion in 2011 (based on 11-month totals). Total spirits exports grew 16.5% over the preceding year, while American whiskey -- which constitutes 69% of total exports -- grew 13.6%.

An ongoing trend towards open markets and sensible transparent regulations, as well as a focus on communicating the heritage of the products in new markets, contributed to the trade growth. Among significant trade victories in 2011 were the passage of the U.S.- Korea Free Trade Agreement, which will eliminate the 20% tariff on bourbon/Tennessee whiskey upon implementation of the agreement, and the World Trade Organization’s final ruling that the Philippines’ excise tax on distilled spirits is discriminatory and in violation of WTO rules.

"As countries around the world lower tariffs and other barriers, American spirits products are finding new audiences fascinated by the rich heritage and unique character of these great brands," Cressy said.

He attributed the market share growth to industry innovation and the consumer return to a preference for premium-priced spirits. Other significant factors contributing to the positive outcome, he said, were ongoing national market modernization trends and a willingness by policymakers to hold the line on taxes.

In other points of the report:

• Federal government data showed that underage drinking and drunk driving fatalities are at historic low levels. 
• Industry suppliers saw year-to-year volume growth of 2.7% to 195.8 million 9-liter cases, and sales growth of approximately 4% to $19.9 billion, reflecting a consumer return to premium products.
• Vodka, which accounts for 32% of industry volume, was up 5.9% to 63 million 9-liter cases, but in the super premium category, volume rose 12.7% and revenue rose 15.9%, $160 million now totaling $1.16 billion.
• In the largest whiskey category, bourbon and Tennessee whiskey, overall volume was up 3.9% to 16 million 9-liter cases, and revenue was up 3.9% to $2.0 billion. But, again, the largest growth occurred in the super premium category where revenue was up 11.4% for a total of $180 million. "These results show that the hospitality industry is helping drive the national recovery and job creation, but it remains critical that legislators don’t derail future economic growth through higher taxes,” Cressy said. 

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Cutty Sark's limited new brand is truly poetic

Tam and his cronies drinking
in the opening scene of the poem.

Fans of Cutty Sark whisky who are interested in scoring a bottle of a new limited edition expression may have to go to unusual lengths to do so.

Adrington Group, which owns the Scotch whisky brand, has launched Tam o’Shanter blended whisky, but only 5,000 bottles and to be sold only in duty-free and travel-retail shops.

However, it may be well worth the effort.

Tam o'Shanter is the first expression created by Cutty Sark master blender Kirsteen Campbell and is a development of the Cutty Sark 25yo.

Tam o'Shanter takes its name from the poem written by Robert Burns, Scotland's immortal poet, in 1790.

The bottle features a scene from the poem etched around the bottle, and has a wax closure showing Tam’s face.

The bottle is presented in a premium bespoke oak gift box, decorated in the style of famous Scottish painter Alexander Goudie, with a 134-page book telling the story of Tam o’Shanter through more than 50 illustrated scenes by Goudie. The recommended retail price is $329.

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Pick up a pencil and take note

Bill Dowd graphic

Rats! All these years I've been making my martinis the wrong way.

No, not that endless and unwinnable argument over proportions of gin or vodka to dry vermouth. This is about stirring a martini.

No, not that endless and unwinnable argument over clockwise or counterclockwise.

I speak here of the latest piece of scientific research that has concluded that the best way to stir a martini, particularly a vodka one, is with a wooden spoon.

According to an item in New Scientist Magazine, using a conventional metal cocktail spoon is not suitable for cool drinks because it is a good heat conductor and, thus, will tend to warm the drink a bit, more-so as the size of the spoon increases.

Another suggestion is that you should avoid shaking potato-based because, goes the logic, vigorous shaking will result in an oily after-taste.

So, students, to sum up, use a narrow wooden spoon, or wooden coffee stirrer or even a No. 2 pencil to work out your perfect martini. I know I will.

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Celebri-quote: Pat Sajak

The game show host

• TV game show host Pat Sajak admitted in an interview with ESPN2 that he and longtime eye candy Vanna White used to knock back numerous drinks during breaks in taping their "Wheel of Fortune" show.

"Our dinner breaks would be 2½ hours long while they drove in new cars and boats and gazebos and stuff. So, at NBC in Burbank we had a place called Los Arcos across the street, and they served great margaritas.

"So, Vanna and I would go across and have two or three or six and then come and do the last shows and have trouble recognizing the alphabet."

[Go here for an archive of celebri-quotes.]

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Happy 4709, now get your dragon on

Today is the start of the Asian lunar new year 4709, celebrated in China, Japan, Korean and Vietnam -- and by Asian Americans -- in anticipation of the coming spring.

Considering the surprisingly mild winter we're experiencing, looking ahead to spring seems rather simple.

During the 15-day celebration, we'll be seeing many dinner and drink specials at our local Asian restaurants. Chain-wise, P.F. Chang's will be handing out its version of hóng bāo, red envelopes traditionally containing money, but this time containing gift certificates.

Chang's also is also offering a promotional Dragon Punch cocktail featuring Chinese beer, vodka infused with dragon fruit and sriracha, a Thai hot sauce.

Here are a few more Asian cocktails you can easily whip up to join in the fun.

RED LOTUS
From About.com/cocktails

1½ ounce vodka
1½ ounce Lichido (lychee) liqueur
1 ounce cranberry juice

Pour the vodka, Lichido and cranberry juice into a cocktail shaker with ice. Shake well. Strain into a chilled old-fashioned glass filled with ice. Garnish with lotus flower or several peeled lychees on a skewer.

BEIJING BELLINI
From China 1 Antique Restaurant & Lounge, NYC

3 parts Champagne or dry Italian prosecco
1 part lychee wine or liquor
1 lychee nut dropped to bottom of glass

Served in a tall champagne flute. You also can blend peeled lychee nuts in their own sweet juice and use with the bubbly.

CHINESE MARY

From Bar None.com

1 ½ vodka
3 ounce sweet-and-sour sauce
Dash of lemon juice
½ teaspoon Worcestershire sauce
3 drops soy sauce
3 drops Tabasco sauce (optional)
Pineapple (juice or pulp)

Make like a Bloody Mary, improvising with ingredients until you find your preferred taste and texture. It may be helpful to Ken add extra vodka to thin out the sauce. Heated, this mixture also makes a good sauce for various foods.

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Plymouth repackages its iconic lineup of gins

The redesigned Plymouth lineup.

Plymouth, a perennial gold medal gin, takes extreme pride in its secret two-centuries-old recipe and its iconic Black Friars Distillery it has been using since the 1700s. But, now and then some things do change.

Pernod Ricard, the French owner of Plymouth, has just introduced new packaging for the Plymouth gin brand and is repositioning it above Beefeater 24 in the super premium-plus niche.

What generally is known about Plymouth's recipe is that it uses seven botanicals, with juniper berries and sweet orange peel as its two dominant items. It is bottled at 41.2% ABV (82.4 proof). However, in a private luncheon gin tasting several years ago, Plymouth master distiller Sean Harrison told me the other botanicals are angelica root, cardamom pods, coriander seeds, lemon peel and orris root. No revelations about proportions, though.

Closeup of the label.

Design Bridge, a brand design agency, told Design Week magazine it developed the new designs after exploring the Black Friar's Distillery, in Plymouth, and the bottle's squatter shape and tinted glass have been influenced by historic designs for Plymouth Gin. The oval label harkens to an earlier version, and it is brightened up by a touch of copper.

The new look is definitely new to the U.S., Japanese and other markets after a quiet rollout over the past few months in Spain and Australia.

When his feet are dry, time to buy.

Plymouth gin is protected by a European Union "protected geographical indication" that means it can be made only in Devon, England. No one else can claim the name.

Plymouth's heritage has given it a special place in British hearts and lore. When German bombs destroyed part of its Black Friars distillery during World War II, the Admiralty sent out a message to the British fleet which used Plymouth as its official gin. British officers on the Mediterranean island of Malta reacted, so the story goes, by offering any gunners who destroyed an enemy ship or plane a bottle of Plymouth Gin.

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Glenora named Canada's top distillery

VICTORIA, BC -- A distillery that endured years of legal battles with the Scotch Whisky Association over such things as its very name has emerged with top honors in the 2nd annual Canadian Whisky Awards revealed Thursday.

Glenora Distillery, which has been in operation for about two decades, won "Distillery of the Year" honors. (Go here for the background on the maker of Glen Breton whisky and its travails with the SWA.)

Masterson's Rye, a Canadian whisky sold only in the United States, was awarded a gold medal, along with Gibson's Finest Rare 18 year old, Wiser's Legacy, Wiser's Small Batch, and Forty Creek-John's Private Cask No. 1.

John's Private Cask was tops in three categories -- Whisky of the Year, Best New Whisky, and Connoisseur Whisky of the Year.

Awards of Excellence also went to Highwood Distillers of High River, Alberta, for White Owl Whisky, Brown-Forman Corporation for Collingwood whisky, and Beam Inc. for Canadian Club. A full list of award winners is available online.

Masterson's Rye, released in the U.S. last summer, is made by Alberta Distillers Limited for the Sonoma, CA, firm. It will be made available in Canada sometime this year.

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1st Sirah-finished Irish whiskey comes to U.S.

A special U.S. market-only project teams up Concannon Vineyards of California and Cooley Distillery of Ireland to introduce a product being shipped to vendors this week.

It's Concannon Irish Whiskey, distilled in Ireland from a barley and corn mash, matured in bourbon barrels for a minimum of four years, then finished for four months in former Concannon Petite Sirah wine barrels, shipped in from California, before blending.

"The United States is presently the largest market for Irish whiskey and growing," said John Concannon, fourth generation vintner at Concannon. "We're thrilled to offer a unique take on the category to American consumers with Concannon, a fiercely independent spirit from Ireland's sole craft distillery that shares the heritage of both cultures as so many Irish-Americans do."

Concannon Irish Whiskey will sell at a suggested retail price of $24.99 for the 750ml bottle.

Concannon Vineyards began with its first planting in 1883 near Livermore, CA. Cooley Distillery was established in 1987. It also produces Kilbeggan, The Tyrconnell, Connemara and Greenore brands. The company is in the process of being purchased by Beam Brands.

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KS liquor stores want in-store tastings

• From the Topeka, KS, Capital-Journal:

TOPEKA, KS -- Liquor store clerk Shawn McKeever can taste the commercial appeal of serving customers a shot of Belgium's Corsendonk Brown Ale, Xingu Black of Brazil, Italy's Peroni or Old Speckled Hen Pub Draft from England.

It could be possible at Fleming Place Wine and Spirits, 4001 S.W. 10th, as well as at liquor stores across Kansas, if lawmakers adopt a bill introduced in the Senate allowing retailers to host in-store tastings for people interested in trying unfamiliar beers, wines or distilled spirits.

"We've talked about it," McKeever said. "We sell a lot of craft beer."

The legislation proposed by several liquor marketing associations is a byproduct of controversy that emerged after retailers started arranging tastings in direct proximity to their licensed liquor stores. It was common understanding state law blocked consumption of alcoholic beverages inside stores, so proprietors staged the events within close proximity.

Representatives of the Kansas Department of Revenue pulled the curtain on that setup. The revenue department's Alcoholic Beverage Control division issued a policy memorandum in August declaring the agency's interpretation of Kansas law prohibited samplings — free of charge or not — “in, on, or about the licensed premises.”

ABC concluded no tastings would be authorized for party or smoke shops, parking lots, sidewalks or alleys adjacent to liquor store property. The zone of prohibition extended in front, behind, above, below and to sides of stores, officials said.

R.E. "Tuck" Duncan, a Statehouse lobbyist working with organizations seeking passage of the bill, said the objective was to establish into statute the opportunity for liquor stores to host tastings in a manner reflecting events well known to wine-country enthusiasts. A Senate hearing on the bill is likely in a couple of weeks. The measure hasn't sparked an outpouring of criticism, he said.

"The prospects are very good, but being a liquor bill, I'm cautiously optimistic," Duncan said.

[Go here for the full story.]

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Very special Scotch coming to U.S.

Edinburgh bartender. (W.M. Dowd photo)

It's not exactly of the magnitude of the latest "Planet of the Apes" movie, but a simian-related marketing change may please Scotch drinkers.

Monkey Shoulder Triple Malt Scotch Whisky is coming to the U.S.

I first tasted this particular boutique brand while on a pub crawl in Edinburgh, Scotland, a few years ago, where it was all the rage. (You can read my take on it on my Dowd's Tasting Notes blog.)

The peculiar name comes from a common physical condition some distillery workers got from the labor-intensive handwork necessary before distilleries became so high-tech. Use that in your next bar chat.

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Historic whiskey site in controversy

Museum workers sort through artifacts.

SCOTTSDALE, PA -- West Overton Village and Museums, established as an agrarian museum, will have a new new mission when it reopens in 2013 after a renovation project.

At that time, it will refocus on the western Pennsylvania village's rye whiskey distilling history.

Meanwhile, however, a controversy has arisen over the sale by Executive Director Kelly Linn of numerous artifacts that are the property of the 18-building museum complex.

West Overton Museums operates on $80,000 a year from the Henry Clay Frick foundation and from public donations. It receives no state funds. It is listed on the National Register of Historic Places and is part of the American Whiskey Trail that includes museums, distilleries and visitors centers in five states.

West Overton Village is the birthplace of industrialist Frick, who spent the first 30 years of his life here. The village was founded in 1800 by Abraham Overholt, Frick's grandfather. Overholt began making rye whiskey under the name Old Overholt, which now is distilled by Jim Beam.

TribLive.com has a thorough story on the controversial sales.

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Department of Stupid Drinking

Jimmy Fallon and politico Rachel Maddow do bad shots.

• From the HuffingtonPost.com

Nearly everyone has had -- or at least heard of -- a pickle, but not many have encountered the Pickleback. If you happen to be one of these people, don't feel bad, neither had Jimmy Fallon. That is until Rachel Maddow introduced it to him live on his show.

A Pickleback is a shot of whisky (on the show it was Jameson) followed by a shot of pickle brine. According to Maddow, it is best to take both the whiskey and pickle brine down in one swallow. If your mouth is not quite big enough for that, you can chase the whisky with the brine. Picklebacks are used mainly with inexpensive whiskey; the brine is said to neutralize the flavor and alcohol burn of the cheap booze.

The origin of the Pickleback is unknown. Some say it was first served to patrons at the Bushwick Country Club over five years ago. Among bartenders, it is considered a hangover cure because the pickle brine replaces the electrolytes lost in the night of debauchery.

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Sweet potato blend = vodka bragging rights

Distiller David Souza. (Sun-Star photo)

• From the Merced (CA) Sun-Star:

ATWATER, CA -- The only commercially distributed sweet potato vodka in the world is made in Atwater.

OK, before you get upset, yes, the Japanese spirit sochu is sometimes made from sweet potatoes. But David Souza's High Roller Vodka is something new.

Souza makes his vodka in small batches at a micro-distillery he assembled in his family's garage from a secret recipe that includes a blend of four types of sweet potatoes. The spuds are always fresh, as he and his family live and work on more than 1,000 acres of farmland.

[Go here for the full story.]

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New bag just what the doctor ordered

If you like packing your own drinks while traveling, a collaboration between Barking Irons and Bombay Sapphire may be right up your alley. If you have a spare $495, that is.

The Bombay Sapphire Bar Bag was modeled after antique medical kits from the long-ago age when doctors actually made house calls.

The marriage of design and drink is apropos in that gin once was a popular medicinal spirit as well as a leisure time beverage.

Barking Irons is a New York City company that designs and sells items "dedicated to the telling of American folklore and history through unique fashion products and multimedia design." 

The bag, which has a waxed-leather interior, contains a bar spoon, paring knife, muddler, ice pick, juicer, two different strainers, jigger, shaker and glass.

If you just have to have one, they're available online.

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Ever wonder about maraschino cherries?

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Sobieski Vodka hits million-case level

Actor Bruce Willis, Sobieskie spokesman

PALM BEACH GARDENS, FL -- Sobieski Vodka hit the U.S. market with quite a splash back in 2007. In my tasting notes entry at that time, I noted "Sobieski should have a market winner on its hands."

Apparently it does. Imperial Brands Inc. today announced it sold more than one million cases of its low-priced, high-quality Sobieski Vodka in the U.S. during the 2011 fiscal year.

That's quite an achievement given the crowded vodka niche that offers a dizzying array of spirits both domestic and imported, flavored and unflavored, grain and potato, and so forth.

"Our vision from day one was bold -- to be the vodka brand to reach 1 million cases faster than any other in history," said Chester Brandes, president and chief executive officer of Imperial Brands. "Thanks to the commitment and effort of a great team at Imperial Brands, I am proud to announce that we have accomplished this ambitious objective."

The Sobieski portfolio, including three new flavors launched in October 2011 -- Espresso, Cynamon and Bizon Grass -- are available nationwide at the suggested retail price of $10.99 for a 750ml bottle.

Sobieski is produced exclusively from the Dankowski rye at the Starogard Gdanski in Poland, a distillery dating to 1846.

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'Political bourbons' in time for presidential vote

Just in time for the presidential caucus in Iowa today, Heaven Hill Distilleries has released a clever marketing gimmick -- a pair of bourbons to mark the run-up to November's final national vote: Red State and Blue State bourbons.

Try as I may, I could discern no difference in taste between these two bourbons. However, that was OK with me, Both were quite nice, which is typical of products from the Bardstown, KY, distiller.

For those who may be confused by the promotion, states that tend to vote Republican in presidential elections are commonly known as "red states," and Democrat-leaning states are "blue." A nice shorthand for the political pundits and talking heads on TV.

Heaven Hill has wrapped a large marketing campaign around the idea, including Facebook pages for each of the two bourbons, carrying information and charitable giving opportunities. For every "like" on either Facebook page, Heaven Hill will donate $1 to the VFW Foundation, the charity arm of the Veterans of Foreign Wars organization.

The 80 proof bourbons sell for about $15 per 750ml bottle. Go here for my tasting notes.

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