Launch of California wines and holiday spirits stuck amid government shutdown
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Launch of California wines and holiday spirits stuck amid government shutdown
"America will have to wait for the new creamy version of Magic Rabbit chocolate and peanut butter-flavored whiskey. The liquor's planned January debut is another casualty of the government shutdown, which has ground to a halt Treasury Department approvals alcoholic beverage makers must obtain before introducing a new product or making changes to their recipes or labels. The consequences extend from delays in the availability of some craft breweries' Christmas beers and new California wines to the forced postponement of new herb-flavored hard seltzers."
""It's huge," said Rob Pinson, who provides counsel to Tennessee distillers as well as other wineries and breweries as a partner with New Orleans-based law firm Adams & Reese. "If you can't get the product out into the market, you can't make money." The logjam holds back an industry already struggling. US spirits exports are sinking amid Trump's trade war, and overall alcohol sales are falling as younger consumers, women and health-minded drinkers cut back."
Federal government shutdown stopped Treasury Department approvals required for new alcoholic beverages and label or recipe changes, preventing planned product launches. The Alcohol and Tobacco Tax and Trade Bureau furloughed 86% of employees, creating a backlog that could last months. The pause delayed craft breweries' Christmas beers, new California wines, herb-flavored hard seltzers, and a creamy Magic Rabbit chocolate and peanut butter whiskey slated for January. Small distilleries face hundreds of thousands in lost sales during the industry's busiest quarter. US spirits exports are falling amid a trade war, and overall alcohol consumption has declined, with only 54% of adults reporting they drink.
Read at Los Angeles Times
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