The White Dog Bourbon Sips blog has been going now for nearly a month. I’ve been curious about one area of the bourbon industry as I have read stories, press releases and other blogs.

Micro-distilling.

Back in the late 18th century President Washington riled up a bunch of folks up in Western Pennsylvania when a tax on whiskey was imposed. What came of that was the Whiskey Rebellion. That part of Pennsylvania was the frontier compared to the Philadelphia end of the state.  Those frontier distillers picked up their stills and moved to Kentucky.

Those early whiskey makers were micro-distillers. They were not making huge amounts of  shine, enough for themselves and to use to barter for other life essentials.

Those micro-distillers became the mega-distilleries in Kentucky today. The Makers Mark, Jim Beams, Early Times, Knob Creeks, Four Roses all have their history in the frontier micro-distillers.

Earlier this week The Lexington Herald Leader published an op-ed article written by officials from the Kentucky bourbon industry. In the article the distillery officials outlined the high taxes levied on bourbon manufacturing in Kentucky. The article also echoed a 2009 industry-sponsored economic impact report by the University of Louisville’s Paul Coomes, Ph.D. Professor of Economics and Barry Kornstein, Senior Research Associate.  Read the report

Bourbon is virtually synonymous with Kentucky: Bourbon County, Mint Julep at The Kentucky Derby, the Bourbon Trail.

The thing is, bourbon does not have to be distilled, aged or bottled in Kentucky. Bourbon just has to be 51 percent corn, aged in charred new oak barrels for at least two years and have a certain proof level. Nothing in the Federal regulation says it also needs to be made in Kentucky.

That brings me to the the title of this blog: Foreign bourbons – those bourbons being distilled, aged and bottled outside Kentucky. Across the country these small-batch bourbons are being produced.

In Texas there is a small-batch distiller turning out Garrison Brothers Texas bourbon. Up in Washington state Dry Fly Distilling is about to launch a bourbon product. From Georgia to Iowa (corn belt) there are small distillers producing distilled spirits that are, or could be, bourbons.

It wouldn’t be too difficult to turn a few good images from saloons in old Western movies into a bourbon marketing campaign for  bourbons produced elswhere.

It’s not easy for small white dogs to take on big white dogs. But tell that to Budweiser, Miller, and all the other big-dog beer brewers that are competing against the microbrews. Many start-up distillers begin producing vodka because no product aging is involved. They get the cash flow going with vodka bottling  while at the same time begin aging product to become whiskey — in some cases bourbon.

I am not here to argue or advocate tax policy. The distillery officials can handle that just fine, thank you very much.

Everyone who has a chip in the game needs to keep paying attention to all the competition and seize opportunities. Kentuckians may be partial to our home spirits, but as a consumer group, Kentucky is small. Do the Japanese, Canadian, New York or Illinois bourbon drinkers have the same kinship to Kentucky-produced bourbon?