Jack Daniel's Opposes Changing Tennessee Whiskey Law

In order to brand your beverage as Tennessee whiskey, it must fit certain criteria. It has to be aged in new charred oak barrels,  filtered through maple charcoal" and finally "bottled at a minimum of 80 proof." These requirements are why Jack Daniel's is the world's best-known Tennessee whiskey.

But now, state lawmakers are reportedly considering changing an existing law that would further scale back some of the requirements that make it difficult for other distilleries to market their products as Tennessee whiskey, according to the Associated Press.

Tennessee whiskey is "a distinctive and popular draw in the booming American liquor business," leading to more upstart companies in the state wanting to brand themselves with the title. 

But there is an even bigger player in this whiskey rebellion - Diageo PLC, the British conglomerate that owns George Dickel, another Tennessee whiskey, wants the whiskey law changed as well. The change would allow them to brand their drink with the official Tennessee whiskey label.

However, Jack Daniel's is telling Dickel, whose whiskey is made about 15 miles up the road, to back off because interfering with the current law would reportedly weaken the entire Tennessee whiskey brand.

"It's really more to weaken a title on a label that we've worked very hard for," said Jeff Arnett, the master distiller at the Jack Daniel's distillery in Lynchburg, Tenn. "As a state, I don't think Tennessee should be bashful about being protective of Tennessee whiskey over say bourbon or scotch or any of the other products that we compete with."

The AP reported that Republican state Rep. Bill Sanderson, who acknowledges that he introduced the measure at Diageo's urging, "emphasized that this bill wouldn't do away with last year's law" requested by Jack Daniel's. The bill would allow Tennessee whiskey makers to reuse barrels, which would mean a savings over new ones that cost approximately $600 each.

"There are a lot of ways to make high-quality whiskey, even if it's not necessarily the way Jack Daniel's does it," Sanderson said. "What gives them the right to call theirs Tennessee whiskey, and not others?"

Besides reusing barrels, other distillers might also use artificial flavorings and colorings. Diageo executive vice president Guy L. Smith IV said the change is not about Diageo, but about "Brown-Forman trying to stifle competition and the entrepreneurial spirit of micro distillers."

"We are not sure what they are afraid of, as we feel new innovative products from a new breed of distillers is healthy for the entire industry," he said.

Jack Daniel's is made up of 80 percent corn, eight percent malt and 12 percent rye. It is filtered through 10 feet of sugar maple charcoal in new charred oak casks, and is bottled at a minimum of 80 proof. During the aging process, the whiskey acquires its flavors and color.

Charles Nelson, the CEO of Nelson's Green Brier Distillery in Nashville, stated that he supports tighter regulation.

"Holding ourselves to a higher standard will ultimately be better for all the people in the category," he said, according to the AP. "If we lower the standards, it could lead to more products and brands that could lower the reputation of Tennessee whiskey."

Real Time Analytics