Craft Distilling on the Big Island – final thoughts

Finally at last I managed to track down one of the Liquor Distributors here on the Big Island. Now, I can piece together some rough numbers. Let’s suppose that with freight costs factored in, a 1000 L tote of NGS could be landed in Hilo for $6.60 per Liter. Let’s suppose that such a tote will generate 3100 bottles (750 ml size) of 40% Gin. Botanicals will cost $0.25 per bottle. Bottles, labels, caps will be a landed cost of $4 per bottle. Federal excise tax in America will be $2.15 per bottle. Summing up we have NGS at $2 per bottle, Botanicals at $0.25 per bottle, Bottles etc… at $4 per bottle, Excise Tax at $2.15. This gives $8.40 per bottle. Now add in fixed costs of Utilities, Rent, Insurance and possible bank loan payments all together totaling $3 per bottle. Let’s suppose I want a profit per bottle of $5. Now we are at $16.50. The Liquor Distributor will take a 30% cut so he will place bottles into grocery stores etc at $21.45. The store owner will add his margin of 30% which makes a bottle worth $28 to the retail consumer. More expensive than a lot of big commercial products on the shelf – but not at all unreasonable.

So, if my goal is to keep myself occupied (and having fun) while in Hawaii for several months each year, I would certainly make an economic argument for producing several thousand bottles of unique Gin in Hilo.

Do Your Due Diligence…First…

Thinking about starting a craft distillery can be chock full of emotion. Think about it – you…your own business…a gleaming Copper still…you making alcohol….

But, in my opinion, the emotion should be checked at the door. It is critical to keep your head screwed on while your fully contemplate a craft distillery.

As I pen these words, I am in Kona, Hawaii and yes the thought of a craft distillery here has got my mind racing. So, over the past couple days, I checked my emotion at the door. I screwed my head on and decided to take a trip to the local grocery store. There are some 2 million tourists that come to the Big Island every year. Surely the grocery store must be a treasure trove of valuable data, not to mention unique spirits?

But here is the reality that slapped me in the face.

Rum – surely the tourists must be drinking gallons of Rum? Maybe not. Sailor Jerry Rum (not made by a Sailor at all…but rather made by proofing down industrial Rum distillate in Edison, New Jersey) was on sale for $16 (all prices quoted herein are 750 mls), marked down from its regular $30. A Hawaiian craft distilled Rum was slashed to $11 from its regular $23. At a regular price of $23, I fail to see how the distiller is making money. Captain Morgan ($18), Don Cristal from Puerto Rico ($15),Whaler’s (made in Bardstown, Kentucky $18), Kraken ($20), Mt. Gay (Barbados $23) and Myers ($20).

Vodka – ahh yes that mixture of ethanol and water that is so highly over-rated. A craft Vodka made from pineapple slashed to $20 from its regular $26. At $26 – again after stripping out Federal Excise taxes, cost of bottles, labels, corks, boxes, materials, labor, debt payments, rent payments, profit margin for the distributor, profit for the grocery store – the poor craft distiller is sucking wind. Other Vodkas I saw were Stoli ($22), Tito’s ($22), Absolute ($26), Smirnoff ($18) New Amsterdam ($18), Grey Goose (slashed from $45 to $26). Not a pretty picture at all…

Whisky – maybe the tourists are drinking Whisky? At these prices, there should have been riots in the store as customers fought each other to get a bottle. Crown Royal (the pride of Canada $19.88), Dickel Whisky ($20), Jack Daniels ($20), Jim Beam ($17), Maker’s Mark ($34), Wild Turkey ($27). How would a craft distiller making whisky even compete at these price levels?

Gin – maybe that’s the answer? Ohhh here we go again….Bombay Dry ($23), Bombay Sapphire ($19), Sapphire East ($19), Tanqueray $33. How would a craft distiller making good Gin compete with prices at these levels?

But, then I noticed something. Beer….lots of it…lots of people buying it….and a typical 6-pak was $13-$15. Hawaii is a hot climate. People in hot climates drink beer. People might drink a mixed cocktail, but beer goes down cold and is refreshing.

Next, on my due diligence trip is to meet with the Hawaii Alcohol Commission next week. I plan to fully review with them the entire craft distilling landscape state-wide. I will post another blog next week with my findings.

Meantime, my emotion remains tucked away and my head remains screwed on.

Who Says Vodka isn’t Interesting ?

In my 5-day Workshops, I repeatedly mention that Vodka lends itself to some brief exposure to wood. I cite the example of the walnut rested Vodka I recently had from Poland.

Recently whilst on the Queen Mary 2, I made another fortuitous discovery – Chase’s Vodka from Herefordshire, England that has been exposed to an ex-Islay Scotch cask. Not sure how long the Vodka rested in the cask, but the notes of the Islay Scotch sing through in beautiful harmony. Well done !

Craft distillers in Canada – take note. The market is being flooded with craft distilled Vodka. Craft distillers are resorting to utter nonsense in many cases by claiming their product is distilled 16 times etc….all in an effort to lure in the naive consumer. A perfect case in point, in my opinion, is that of Big Rig distilling in Alberta.

I say skip the nonsense. Get busy crafting some uniqueness into craft Vodka. How about exposing some Vodka to apple wood or cherry wood ? What about Pecan wood? Get ex-Scotch barrels from a few different regions of Scotland. Have a go at that. Think outside the box. Give the consumer something to really savor…..

Take a page from the team at Chase Distillery.

and the verdict on Monkey 47 Gin is….

UNBELIEVABLE GIN !

And I was in for an additional surprise after I left the liquor store in Red Hook. When I boarded the Queen Mary 2 the next day to sail to England, I was astounded to found a very good selection of Gins on board, including Monkey 47. Needless to say, I adopted a steady diet of Monkey 47 martinis for the duration of the trans-Atlantic crossing.

And for the record, here is a listing of the botanicals in Monkey 47 according to Dave Broom’s book “Gin-The Manual”.

Juniper, Angelica, Coriander, Orris, Liquorice Root, Nutmeg, Cubeb, Clove, Cardamom, Cassia bark, Cinnamon, Grains of Paradise, Almond, Ginger, Sage, Lavender, Acacia Flower, Hibiscus, Bee Balm, Honey Suckle, Jasmine, Chamomile, Bramble leaves, Ligonberries, Spruce shoots, Pepper (6 types), Acacia Root, Calamus Root, Lemon Verbena, Lemon Balm, LemonGrass, Pomelo, Bitter Orange Peel, Kafffir Lime Leaf, Blackberry, Cranberry, Dog Rose, Elderflower, Hawthorne, Rosehips, Sloe Berry, Purple Shamrock.

Count ’em. Yep – there are 47.

Somehow, magically, they all tie together and the end result is pure goodness. If you can find Monkey 47 where you live, get it. Savor every drop….

when in Red Hook, NY….

Going to New York? Tempted to stay in Manhattan? Why not try something different instead? I am currently in New York and this time I opted to stay in Brooklyn – which by the way is fast becoming gentrified. Old warehouses and old office buildings are being transformed into boutique hotels and chic condo residences. I decided to take a venture into the Red Hook part of Brooklyn to find the Six Points Brewery. Found it – but dammit! they don’t have a tasting room. That apparently is coming in 2017. I then back-tracked to my second destination, the Red Hook Lobster Pound – where the lobster rolls will elevate you to a state of nirvana! Long the way I stumbled onto the Dry Dock Wine & Spirits Co at the corner of Van Dyke and Van Brundt. Turns out the place is owned by an ex-pat Canadian.


The manager on duty was extremely friendly and accommodating to me, going so far as to offer me a wee sample of a couple different Gins. I was set to buy one of the Gins she was offering as samples….but then my eye spotted something that I cannot find in Canada…..

Yes…..Monkey 47. According to Dave Broom’s book “Gin – The Manual” which I use in my Gin Masterclasses, this Gin is supposed to be fantastic with its 47 botanicals and all. I will let you know in a future post on this site what my tastebuds have to say….

So, on your next trip to New York, stay at the Holiday Inn on Schermerhorn Street. Walk a few blocks to Smith Street and take bus B61 to Van Brundt and Van Dyke street where you will find this fabulous little liquor/wine store.

Cheers

Orris Root – The “Fixer”

Last year in London I attended a brief tasting event put on by David T. Smith on the subject of Gin. Coming away from this event, I was curiously intrigued by his remarks concerning Orris Root, which he dubbed “the fixer”. Over the past many months, I have started offering 1-day Gin Master Classes at the tail end of the 5-Day Master Distiller Workshops. I have now started experimenting with Orris Root and yes…there is something magical about this material which is the root bulb from the Iris flower, which I am sure many of you have seen (and maybe grow).

I cannot explain the science behind Orris, but it somehow marries the various botanicals together and essentially “fixes up” the Gin. I rely heavily on my dear wife’s taste palate when it comes to Gin recipes. To further test Orris, I recently did a small Gin run using our standard household Gin recipe. Except, this time I added some Orris. When I served her a sample of the Gin, she took her customary sip and immediately remarked – “there is something different about this Gin. I like it..”.

Orris is now a key ingredient in all Gins that I make – whether at home or at a Gin MasterClass.

Thank You David T. Smith.

To wrap up this blog post, I leave you with a recipe recently trialed (to great acclaim) by the participants at a recent MasterClass.

They took 500 mls of high proof alcohol from the distillery (just like the alcohol that you could easily make on your home distillation device)

They added, 27 g of Juniper, 7 g Coriander, 7 g grapefruit peel, 10 g dried lemon peel, 10 g dried Orange Peel, 2 g Lime Peel, 3 g Lavender, 4 g Ginger Root, 5 g Orris and 0.5 g hops.

They added this alcohol/botanical mixture to a small Al’Ambic pot still. They also added also 200 mls water.

They distilled low and slow over a propane burner.

They proofed the distillate to 43% (86 proof).

We all Enjoyed it !

A Visit to Eau Claire Distillery

This past week-end on my way home from my latest Kelowna workshop, I detoured through Turner Valley, Alberta where I stopped at Eau Claire Distillery. Some 25 years ago I used to live Okotoks, Alberta when it was a small town of 6000 people. I can recall back then taking the occasional drive to nearby Turner Valley and Black Diamond which really were nothing. Fast forward to today and these former dying villages have been “gentrified” and catapulted into the 21st century. Would have, could have, should have bought some real estate in these tiny villages back then…..

Eau Claire Distillery has set up shop in what used to be the old movie theatre. And a masterful job they have done, as the following pictures show.

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Eau Claire has also done a masterful marketing job of playing on the entire field to flask theme. In our 5-Day Workshops, I often use Eau Claire as an example of how to properly play on a theme. From their heavy horses to the interior western decor, Eau Claire scores top marks in the marketing category.

Eau Claire has also recently scored top marks on one of its products – Equinox. I use Equinox in the 5-day Workshops to illustrate what can be done with a grain spirit. Far too many craft distillers are releasing their White Whisky’s and Grain Spirits in plain format hoping and expecting that the consumer will start buying them in large quantity. I dare say, many of these craft distillers are probably less than happy with sales levels of their White products. With Equinox, Eau Claire has opted to macerate some prickly pear cactus and some citrus in its White spirit. Wow! With a bit of ice, Equinox is a true pleasure to sip. The prickly pear flavors keep your taste buds calling more more..more..more…

If in the area south of Calgary, a trip to Eau Claire should be top of your list. Just remember – take your time getting there. I was in a bit of a hurry and I ended up stopping along the way to make a donation to the local RCMP. Something about going 130 kms/hr in a 100 km/hr zone. My contention that I was in a hurry to get to Eau claire somehow did not earn me any sympathy from the officer…..

Cheers!!

The Perils of Using Grain from the Farm-gate

In our 5 Day Distillery Workshops we talk about the possibilities of going to the farm and sourcing different types of grains for use at a craft distillery. We caution to physically go to the farm to inspect the grain for evidence of molds or staining on the grain. Evidence of such should be reason not to purchase that particular grain as staining can be a result of fusarium molds which will be toxic to yeast during the fermentation.

I just had the week-end from hell and I am writing to share that experience.

I am assisting a small craft distillery start-up in Saskatchewan to formulate their recipes for their Moonshine. They are farmers and as such have ample access to plenty of grain. They recently provided me with 2 pails of grain ( winter wheat) and asked if I would mash it up, ferment it off and distill it into alcohol that was at or near 80%/volume. I agreed to do so.

As I was grinding the grain I could not help but notice the amount of weeds, seeds and chaff in the pails of grain. I thought to myself – this might make for some grassy type flavors, but for the purposes of this basic exercise I reckoned all would be fine.

I completed the mash, got a final Brix reading of 20 and was quite happy with the sweet goodness as I tasted the mash. I pitched my yeast and the ferment got off to a roaring start.

But, 3 days later, my ever observant wife ( who is now keenly aware of what a ferment should look like) alerted me that the ferments had stopped bubbling. I thought this rather odd, but decided to leave the fermenters alone for a few more days.

I have to sieve my fermented grain mashes though mesh so as not to introduce too many solids into my electrically heated Hillbilly still. As I was sieving the mash, I thought I could detect some occasional solvent odors. Nah!! …must be my imagination I thought to myself.

I loaded the still, turned on the heat and waited for the pot to warm up.

Soon enough, the temperature of my column started to heat up and when I peered into the windows at each plate all I could see was a dense fog. How weird is that, I mumbled to myself…

Eventually the distillate started coming off the still and yikes !!! it was the color of a weak cup of tea. How is that possible, I thought?

Well, the brown liquid kept coming along with a solvent like aroma. When I tasted the distillate, I could detect a faint whisky flavor, but the solvent was predominant and my tongue tingled. I also noted the temperature at the dephlegmator to be about 68C, well below the boiling point of alcohol.

Here is what happened. Evidently, during the mashing process, the artificial enzymes broke down the weeds, seeds and chaff in the grain. The yeast in the fermenter pails started eating this foreign debris along with the sugars from the grains. Yes, alcohol (ethanol) was made, but the Embden Meyer Parnhas Glycolytic Pathway somehow also produced an alcoholic solvent type molecule too. This solvent was what halted the ferment after 3 days. The distillation process simply concentrated the solvent and the brown color emerging from the still was the result of this harsh solvent stripping buildup off the interior of the still column. In fact, the solvent molecules when combined with the alcohol molecules made a mutation that had a boiling point of 68C – well below the boiling point of ethanol.

When I removed the column from the pot, I rubbed a paper towel on the inside of the column and the paper towel turned black from the copper-sulfide type residue that had accumulated in the column.

The rest of the day was spent dismantling the entire still and all it parts. I heated up some water to 60 C and added citric acid. I scrubbed all the still parts in the citric, rinsed them and re-assembled the still.

So, lesson learned. While there are many farmers out there growing very exciting varietals of grain, DO NOT buy grain from the farm-gate unless it has first been passed through a state-of-the-art cleaning plant. There should be ZERO evidence of weeds, seeds or chaff in your grain.

My client has been advised of this bizarre situation and is now busy obtaining some more grain, this time from a seed provider whose seed is certified by the Canadian Food Inspection Agency to be free of foreign debris.

The following photos illustrate the color of the distillate, the dense fog in the column windows and the grime on the paper towels.

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What’s Steeping at Legend ?

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Spent some time this week at Legend Distilling on Naramata Road, just up the hill from Penticton, BC. The folks at Legend are gaining quite a reputation for their unique infusions and steeped concoctions. I sampled some of their newest creation – Manitou. There is quite a legendary story behind this product which in itself is intriguing. But, this spirit has been made by steeping orange peels and sumac berries in alcohol. The steeped batch is then slightly sweetened and proofed down and bottled.

Sumac shrubs grow in the Okanagan Valley in British Columbia and once a year the shrubs yield a crop of red berries. Visit some health websites on-line and you will soon learn that sumac berry hosts many health benefits. In fact, the sumac berry has been known to mankind since 1000 AD.

My initial reaction upon tasting this creation was – wow! this stuff is dangerous. I could easily lose myself and sip my way through a bottle of Manitou in an afternoon.

Well done you guys. Keep up the great work. Look forward to more unique creations…

What’s New at Dub’h Glas Distilling?

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Spent the morning at Dub’h Glas Distilling in Oliver, BC today. In case you have not heard of this small craft distillery, it is gaining a lot of popularity for its Noteworthy Gin.

I was very pleased today to learn that Dub’h Glas is now out with a new product. But – please note well – this is a product that is best appreciated if and only if you have a somewhat educated taste palate. There are plenty of craft distillers out there who have launched various versions of White Dawg, White Lightnin’, White Mongrel and what have you. These various products are simply their standard whisky type distillate that has never seen the inside of an oak cask.

Dub’h Glas has upped the game significantly with the creation of its Virgin Whisky. Virgin, so named because it is newly created, virgin whisky that has not seen an oak cask. I was able to piece together the subtle hints given to me by Owner/Distiller Stevely. What he seems to be doing is carefully regulating the fermentation temperature during the early stages of the ferment. He is also using a yeast that is not the standard type yeast many craft distillers are using.

The net result – would you believe fruity notes? At 50% alc, this product with its wonderful fruity notes was a real pleasure to sip. Many white whiskies are screaming out for something to be mixed into them. Virgin Whisky from Dub’h Glas is screaming – leave me alone…don’t mix me….sip me straight up and appreciate all that I have to offer.

If you are in or near Oliver, BC – take a swing by Dub’h Glas Distilling and indulge yourself with a bottle of Virgin Whisky. While you are there, ask very politely and Stevely might also let you taste his Navy Strength version of his Noteworthy Gin. This is another blog post for another time….if he chooses to release this Gin to the world…..