Whisky Advocate: Scotch Producers

Brace For Brexit’s Final Act

2020 has pummeled businesses around the world, and the Scotch whisky industry is no exception. Adding to the onslaught of challenges caused by COVID-19 are the Brexit negotiations, which are now entering their final stages. As the clock ticks toward the end of the transition period on Dec. 31, there’s little certainty about what Britain’s departure from the European Union will mean.

For its part, the Scotch Whisky Association (SWA) has made its position clear. “UK and EU negotiators should intensify discussions to deliver a deal that allows for zero tariffs on all goods, protects UK and EU geographical indications, and puts in place governance structures to limit any new barriers to trade from forming,” an SWA spokesperson said in a statement to Whisky Advocate. “It’s a race against time for businesses to receive all the technical guidance they need.”

While it remains to be seen whether the SWA will have its way, scotch producers do see one certainty: The transition will cost money. “There’s no doubt that Brexit in any form will raise costs for our business, and all Scotch whisky businesses, due to new labeling requirements and paperwork,” says Compass Box Whisky Co. founder John Glaser.

David Keir, sales and marketing director at the GlenAllachie Distillers Co., says the unpredictability is hitting the bottom line. “It’s one thing knowing what to plan for and another thing planning for uncertainties,” he explains. “But we need to ensure that we’re fully prepared, and that’s costing money and eating up labor hours.” Whisky Advocate has more.

Diageo Unveils 10-Year Action Plan Emphasizing Sus

tainability, Inclusion, And Moderation

Diageo has announced an ambitious 10-year plan to bolster sustainability across its business, while empowering an ethnically diverse leadership team and encouraging moderation by consumers. Among the goals are achieving net zero carbon emissions across direct operations and working with suppliers to reduce indirect carbon emissions by 50%, while ensuring that every drink the company produces will take 30% less water to make than it does today.

Diageo also aims to have 45% representation of leaders from ethnically diverse backgrounds by 2030, as well as 50% of all leaders being women, and says it will “provide skills and training to over 1.7m people to help create an inclusive and thriving hospitality sector.”

In addition, the company plans to reach more than one billion people with messages of moderation from its brands over the next decade, change the attitudes of five million drivers towards drunk driving, and educate over 10 million people on the dangers of drinking underage through its “Smashed” alcohol awareness program, which is now operating across all continents.

Bruno Mars-backed Rum SelvaRey Positions For 2021

Panamanian rum SelvaRey has announced a packaging refresh among moves for 2021, with new expressions and expanded distribution on the way. The company and its owners—including singer and 11 time Grammy winner Bruno Mars—are aiming to raise their profile in the super-premium rum category. The new packaging is inspired by the 1970s and is meant to evoke luxurious tropical locales.

Currently, SelvaRey offers two releases, a white rum blended from 3- and 5-year old rums, and a chocolate rum made with a 5-year-old spirit. Brand founder Seth Gold told SND that new expressions are on the way for 2021. “The new package is just rolling out as we speak. We’re looking to exceed 30,000 9-liter cases next year,” said Gold.

With the brand previously focused mainly on-premise, it will mount an off-premise push next year. SelvaRey is available in 23 markets across the U.S. and has partnered with Southern Glazer’s, RNDC-Young's, Breakthru, Fedway, and other key wholesale players. Mars described the brand's revamp as “tropical luxury, vacation in a bottle. Everything we did—the bottle, photos, the videos—came from that place.”

News Briefs:

•Tennessee whiskey brand George Dickel, part of the Diageo portfolio, has introduced a new single barrel expression. The new whiskey is aged at least 15 years in new American oak casks, ranges in abv from 40%-52.3%, and will be available to purchase via the barrel or the bottle ($60 a 750-ml.). George Dickel Single Barrel is currently available in California, Delaware, Florida, Georgia, Tennessee, and Texas, with more markets to come in January.

•San Diego, California-based Cutwater Spirits, owned by Anheuser-Busch, has added a new Añejo Tequila to its spirits lineup. The Tequila is distilled at Tequila Orendain (NOM 1110) and, following distillation, matured for over a year in Cutwater’s whiskey barrels. Cutwater Añejo Tequila is bottled at 40% abv and packaged in a bottle made entirely from recycled glass. The spirit is now available at select retailers for around $50 a 750-ml.

•New York-based Regatta Craft Mixers has launched new 6-packs of 7.5-ounce cans for all five mixers in its range. The new format is rolling out now across the U.S. and offers consumers more convenient options for serving Regatta’s Bermuda Stone Ginger Beer, Light Ginger Beer, Dry Citrus Tonic, Royal Oak Ginger Ale, and Pacific Sea Salt Club Soda. Regatta’s new 6-packs will retail for around $7.