German whisky distilleries ready to go global
(21 Mar 2019) Bastian Heuser swirls the snifter of deep amber whisky before taking a sip, noting its sweet caramel flavour at first that then opens up with hints of spices, nuts and dried fruits.
It's not a single malt from a verdant Scottish glen, nor a sour mash bourbon from the hills of Tennessee - this is an award winning German rye whisky produced by the tiny Spreewood Distillery, nestled in a small town among the fields and forests of Brandenburg about an hour's drive from Berlin.
More and more micro operations like Spreewood have been opening up in recent years, focusing on small batches of quality whisky made from ingredients primarily locally sourced.
German whisky production has increased massively, and already the number of distilleries outnumbers that of Scotland, according to Michaela Habbel, President of the German Whisky Distillers' Association.
However, German whisky distilleries have still produced too little to really look at the global market for themselves at this point in time, Habbel added.
Indeed, the nascent whisky industry in Germany is dwarfed by others.
For example, Scotland's scotch whisky exports alone in 2017 were worth some 4.4 billion pounds (5.8 billion US dollars/5.1 billion euros), whereas Germany's entire production was worth 11.6 million euros (13.1 billion US dollars), according to government statistics.
With such a small overall production of about six million litres (about 1.6 million gallons) in 2017, German whisky is mostly sold on the domestic market.
But that doesn't mean that distillers like Heuser and Habbel aren't watching international politics, with whisky featuring prominently in two major issues at the moment - Brexit and US President Donald Trump's protectionist tariffs.
With 90 percent of Scotland's whisky exported, accounting for 20 percent of all British food and beverage exports, the Scotch Whisky Association - which spells whisky the European style without an e - is increasingly concerned about the looming Brexit decision to leave the European Union, especially if there is no deal on future trade relations.
Across the Atlantic, when Trump imposed tariffs on European steel and aluminum, the EU retaliated last year targeting typically American products, including Harley-Davidson motorcycles and bourbon whisky.
With duties looming for Scotch and already on bourbon, Habbel sees opportunity for German distillers.
But if the whisky tariffs turn into a long-term issue, Heuster says it would be to nobody's benefit.
Right now Spreewood only exports small quantities of whisky to Britain but as it expands its stocks it's hoping to increase that, and is eyeing possible exports to the US down the road.
Despite being sold mostly domestically, German whiskys are gaining international recognition, with a single malt from Habbel's Hillock Park Distillery winning double gold and being named the best whisky in the world by the World Spirits Award in 2017.
Hillock Park is one of the oldest German distilleries producing whisky today, with Habbel's father starting small quantities in 1977.
She said the business grew out of the distillery's production of korn liquor - basically moonshine - to provide the daily 200 millilitres (about 7 ounces) ration for coal miners in the industrial Ruhr region.
Whisky can be made from many different grains, and has to be aged at least three years in either oak casks that have previously been used to mature other liquor, or virgin oak casks.
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