SWA Clarifications on EU Rulings

... A continuation to Clear And Legal - At Last!

A provisional version of the new European Spirit Drinks Regulation, adopted by the European Parliament on Tuesday, can be found at: http://www.europarl.europa.eu/sides/getDoc.do?type=TA&reference=P6-TA-2007-0259&language=EN&ring=A6-2007-0035

The EU definition of 'whisk(e)y' is in Annex II. The Regulation is expected to be formally endorsed by EU Member States after the summer recess and will enter into force shortly thereafter (when the final text is officially published by the EU).

Separately, the existing entry on the blog site on this subject seems to suggest that the EU Regulation 'approves' the industry's proposals for new Scotch Whisky legislation (on definition and presentation) in the UK.

Rather, the SWA is in discussions with UK government about the industry's package of proposals and how best to introduce the domestic legislation that will implement them. Once that domestic legislation is passed, there is an opportunity to take things forward at EU level. Under the new EU Regulation, there is a facility for individual Member States, such as the UK, to register their national rules on spirit drinks with geographical indications at EU level, and to have the rules enforced across the rest of the EU.

Q: "What is the SWA position on someone mixing Scotch Whisky (or any whisky which does/will meet the generally accepted definitions of whisky (i.e., grain; oak; maturation, etc.) with a drink that does not meet the definition (e.g., a molasses-based "whisky")."

If a Scotch Whisky, or any other whisky as defined under the EU Regulation, is mixed with any other spirit, e.g. a molasses-based spirit, then the final product cannot, under EU and UKlaw, be described as 'Scotch Whisky' or 'whisky'.

Under both current EU law and the new EU Regulation, such a product would have to be described as a 'spirit drink'. (There are fairly complicated rules as to what else could appear on the label depending on the circumstances.)

Both the current EU Regulation, and the new one, apply equally to spirits produced and sold in the EU, spirits imported into the EU, and spirits exported from the EU. In other words, the new text makes no change in this regard.

-David Williamson
Public Affairs Manager
Government & Consumer Affairs
Scotch Whisky Association

Source: The Scotch Blog

Scottish Victory?

THE Scotch whisky industry is poised to secure a victory in its long-running battle with the Indian government, which is expected to slash punitive duties on spirits early next month.

Industry sources say India is preparing legislation that will scrap the import duty that subjects all imported spirits to an additional duty of between 25% and 550%.
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The move would mark a significant turning point in the fortunes of Scotch whisky opening up one of the world's largest markets. The Scotch Whisky Association (SWA) has said that it expects to capture a 5% share of the Indian market by 2015 when the tariffs are removed.

Sources say legislation could come in as early as July 1 as ministers look to outflank any ruling made by the World Trade Organisation (WTO) disputes panel. The panel will meet next week to discuss complaints from the US and European Union about high duties on imported whisky.

If the panel rules against India, it will be told to slash its duties or face authorised retaliatory trade sanctions from US and EU member states.

But last night, one source said: "Everybody is now preparing for July 1 and expecting a positive announcement. We have been here before but it appears time has run out. There is a realisation in India that they have to comply with the WTO."

In the past few months, the SWA has made numerous representations to the Indian government, and both the Chancellor Gordon Brown and the Trade Secretary Alistair Darling have raised the issue during recent visits to India.

It is understood that under the new legislation the national duty would be scrapped, allowing individual states in India to set their own levels of taxation in line with the country's WTO commitment.

The move would be welcomed by Vijay Mallya, who last month paid South African entrepreneur Vivian Imerman £595m for Whyte & Mackay.

Mallya's United Breweries Group hopes to sell premium brands such as Isle of Jura, Dalmore, Whyte & Mackay 13-year-old blend and Glayva liqueur through upmarket hotels, which are allowed to import spirits duty free.

According to John Wakely, an independent drinks analyst, Mallya, having bought into the Scotch whisky industry, has to put his weight behind getting the Indian Scotch market to open up.

He said: "There needs to be quite a hurry on this, because unfortunately the flip-side of the Scotch whisky industry is that if there is a sustained boom over a number of years in prices and volume, they start cranking up production."

Despite all the hype surrounding potentially enormous emerging markets in South America and the Far East, they still pale into insignificance compared with that of India. And a snapshot of emerging markets across the world shows that, even with India's exorbitant tariff barriers, the country still buys more Scotch whisky - one million cases in 2004, according to SWA - than either China (700,000 cases), Russia and Poland (600,000 each) or Turkey (200,000).

Source: Scotland On Sunday

Clear And Legal - At Last!

June 19th, 2007

The Scotch Whisky Association announced that the European Parliament voted and approved clearer EU rules on whisky production, which includes improved protection for Scotch Whisky. The approved regulations include a wide range of improvements to existing EU spirit drinks law, including a clearer legal definition of ‘whisky’, which will assist whisky distillers to tackle unfair and misleading practices overseas.

Nick Soper, the SWA’s European Affairs Director, commented:

"Improved EU protection for the traditional way of making Scotch Whisky is a significant step forward. It will be easier to protect Scotch from unfair practices, supporting export success and the jobs that depend on that continued success. Throughout our campaign, the SWA has welcomed the support of the European Commission, Scottish Executive, UK Government and MEPs. Working together, we have secured an important result for Scottish distillers and the highest level of protection for Scotch Whisky and consumers.”

So what are the potential future impacts of the new regulations?

While the actual final verbiage has not been released, David Williamson of SWA was happy that the SWA/UK proposed rules were approved which will make it easier to ensure national rules on Scotch whisky are enforced across the 27 EU Member States. Reflecting traditional practice, the new law, for example, makes it explicit that "whisky" cannot be flavoured or sweetened - this does not prevent the continued production of whisky liqueurs - it simply means that they can not be presented as "whisky" without a qualifier.

Stay tuned for more on the regulatory specifics in regards to labeling when a Scotch Whisky is theoretically mixed with an alcohol that may not meet the EU definition of whisky.

Source: The Scotch Blog

Making The Right Choice

It is a well known fact that a significant portion of the flavours of a malt are a part of the alcohol content rather than the water content. You can very well expect a malt with 40% ABV to have less intense flavours than a malt that has 46% ABV or more.

If you are to buy a malt thats 10 years old or less, I would suggest you try and stick with an ABV of 46% or more if available as they will have more intense flavour than a 40% ABV counterpart.

As a side note, I would like to point out that any malt in a bottle that is over 75-85% empty will probably change its character over a period of time due to exposure to air. Moreover if its exposed to air, light and heat for a relatively long period the change in the character is very distinct. It will not go bad like wine does but it will certainly change its character. In such cases its better to finish the bottle once it reaches the 75-85% mark rather than keep it in the bar.

Lismore "Pure Single Highland Malt"

On a random visit to Trader Joe's (in San Jose, California), I came across this bottle of Lismore labeled "Pure Single Highland Malt". My first surprise was the unbelievably low price of US $18. My second surprise was that it was actually not bad! Not to my personal choice of taste though.

Lismore is bottled by Wm Lundie & Company, and is available in a wide variety of bottlings, mainly blends. Unfortunately there is no indication of the source of this malt. Although this bottling was not that great, I have heard that there are 8, 12, 21 and 25-year-old bottlings of Lismore single malt that would be worth trying.

Tasting Notes

REGION: Highlands (Speyside)
COLOUR: Deep Gold
NOSE: Malt, Toffee
PALATE: Sweet, Lightly Floral
BODY: ?
FINISH: Abrupt, Rather Tarty
ABV: 40%

Whiskyfun.com's Peat & Jack

PETE McPEAT AND JACK WASHBACK - May 28, 2007

The Classic Malts

The Six Classic Malts of Scotland have been carefully selected to best represent the malt whisky producing regions of Scotland. Each is unique as a result of distinct water supplies, barley and distillery still formations and together they embrace the full diversity of regional tastes and styles.

The six main whisky producing areas which distil malt whisky are influenced by their specific location and traditions. The island malts from Skye, Jura, Mull and Orkney are characterised by a peaty, smoky nose and flavour. The island of Islay, off Scotland’s west coast, is home to many distinctive malts, with the sea air and peat combining to create the distinctive Islay tang found in many blended whiskies. The Highlands are the biggest malt whisky producing region and offers the widest variety of malts. Northern highland malts are generally sweeter and have more body than their lowland relations. The malt whisky produced in the Lowlands has always been lighter and drier in character than that from the Highlands, which is why these malts make such excellent aperitifs. Speyside malts are the sweetest whiskies, with a rich and complex flavour which, once recognised, is easy to identify. Formerly the home to nearly 30 distilleries in the past, the West Highland style of malts are generally mellow, un-peated and mostly fruity.

The Six Classic Malts of Scotland

Lowlands : Glenkinchie 10 Year Old

Western Highlands : Oban 14 Year Old

Speyside : Cragganmore 12 Years Old

Islands : Talksker 10 Year Old

Islay : Lagavulin 16 Year Old

Northern Highlands : Dalwhinnie 15 Years Old

If you are a seasoned malt whisky drinker or a first time taster on a voyage of discovery, the Classic Malts are the perfect entry to this wonderful world. It should come as no surprise to visitors to any of the distilleries that they are invariably set in some of the most spectacular scenery Scotland has to offer: it is only fitting, after all, that usige beath, the water of life, is made in God’s country.

A Matter Of Fact...

When at a bar or pub, whisky purists order their drinks "neat", meaning without a mixer such as soda, fruit juice, water or ice. Neat is the recommended way to order whisky, even if you simply prefer to add water yourself. "Straight up" can result in confusion since some bartenders may interpret it as shaken with ice which is a common martini technique. "On the rocks" refers to pouring the whisky over ice.

The use of a small amount of water is common to open up the flavors of the spirit. Most whiskies produce a deeper, buttery or otherwise more complex flavor with the addition of even tiny quantities of water. Bottled water is preferred since the chlorine in tapwater can potentially taint the flavor of the whisky.

Whisky drinkers disagree about whether one should add ice to the whisky. Most believe that chilling with ice can unfavorably subdue the complex flavors of single malts. Others believe the ice changes the entire dynamic of whisky in a positive way. Feel free to make your own judgment.

Experiment. Whisky tasting is a matter of practical wisdom and personal experience, not theory.

More expensive is not necessarily better. You can build an excellent Scotch collection with bottles that cost less than $70 each.

Older is not necessarily better. Aged whisky will mellow as it takes on more characteristics of the barrel and will concentrate over time as the alcohol evaporates.

Notice the relationship between the style of the whisky and the taste and complexity. Where is the distillery located (e.g. Islay, Speyside, Northern Highlands)? How old is it? Was it aged in a used Sherry or Bourbon cask? Was the malt peat-dried? Was it chill-filtered? Was spring water added or was it bottled at cask strength?

Whisky drinking is more enjoyable and more rewarding when you are relaxed and free of distractions.

Experiment with bigger and smaller sips to discover nuances to the taste.

Some whisky needs time to breathe. After opening a new bottle, have a glass and then let it sit for a week or two. Notice the increased complexity. This is especially true for cask-strength bottles and certain brands like The Balvenie and Glenfarclas.

Write your own tasting notes. It will motivate you to find more nuances. It is not necessary to attach concrete names to the flavors (e.g. smoke, peat, sherry, fruit, coconut, toffee). Everyone experiences something different. It may remind you of a forest after rain or of a campfire on the beach. You may also describe it as dignified, evil, luxurious, or, if you can't find any words, complex.

Enjoy it with a friend and compare experiences.

Also experiment with Non Scotch Single Malt Whiskeys if you get a chance.

Single malt whisky can be enjoyed on its own or paired with food. Some common suggestions are oysters, sushi and dark chocolate.

Whiskyfun.com's Pete & Jack

PETE McPEAT AND JACK WASHBACK - October 24, 2005

Charles MacLean's 9 Steps To A Tasting Note

First make a note of these...

• Distillery/Brand
• Age
• Strength
  

Then describe these...

• Appearance (Colour; Texture; Clarity)
• Aroma (Straight) (Intensity on a scale of 1-5; Nose-feel; Cardinal aromas)
• Aroma (diluted) (Primary aromas; Secondary aromas; Development)
• Flavour (Mouth-feel; Primary taste; Overall flavour; Finish)
• Comments
• Score (1-10)

Experts Crown Talisker The Worlds Best Single Malt

April 2007

Talisker 18 Year Old is World's Best Single Malt Whiskey, say Experts

Talisker 18 year old was declared the world's Best Single Malt Whisky by a panel of whisky experts yesterday in Glasgow.

The famous single malt whisky distilled on the remote island of Skye emerged as overall winner in the World Whiskies Awards, who announced their results after three rounds of blind tasting by independent whisky experts. Chaired by whisky expert Dave Broom, the World Whiskies Awards are organized by Whisky Magazine, the leading specialist publication on world whiskies.

One judge commented: "Whisky doesn't get much finer than this".

In the latest World Whiskies Awards rankings, Talisker 18 year old was also declared Best Island (non-Islay) single malt whisky. The award for Best Islay (peated) single malt whisky went to another Classic Malts Selection™ single malt whisky, Lagavulin™ Distillers Edition.

Among the sub-category winners, Talisker 10 year old was awarded Best Island (non-Islay) single malt whisky under 12 Years Old. Caol Ila™ 8 year old was declared Best Islay (unpeated) single malt whisky under 12 Years Old.

This latest accolade follows last year’s announcement that the International Wine & Spirit Competition had awarded Talisker 18 year old the Trophy for the Single Malt Scotch Whisky over 15 years old.

Talisker™The distillery was built in 1830 by Hugh and Kenneth MacAskill, beside Loch Harport. The name comes from the Norse, “Thalas Gair”, meaning "Sloping Rock". The whisky was already famous by 1880 as "The king o'drinks..." (R. L. Stevenson). The 10 year old expression of Talisker is the most award winning single malt in its class. It is the only single malt Scotch Whisky made on the island of Skye. Talisker forms part of the Classic Malts Selection - see www.malts.com. The 18 year old expression was added to the Talisker family in 2004.

Judges comments include:

"Elegant with fascinating balance between smoke and subtle sweet fruit. Ever changing in the glass and on the palate. Gentle waves of flavour, superb balance and a classic peppery finish. Seamless." Dave Broom

"Baked orange pudding sprinkled with cinnamon, pomanders and a trace of manila envelope. A silky mouth feel and develops into richer orange marmalade with burnt edges" Annabel Meikle

"Toffee and rich peat smoke on the nose. The alcohol bite on the palate gives way to rich sweet peat smoke, some sea notes and plenty of peppery spice. Nicely rounded and complete. Some wood, too, suggesting its age. Like chewing honeycomb and smoky bacon at the same time. Long, spicy and peaty finish. Whisky doesn’t get much finer than this." Dominic Roskrow

"Warm, rich and attractive. Leather, pipe-tobacco, sweet sherry and polished oak on the nose, followed by a good creamy texture and a warming finish. A very attractive dram." Keir Sword

Source: Diageo

Vijay Mallya Finally Buys Whyte & Mackay

March 2007

After months of speculation and acres of reportage, liquor baron Vijay Mallya is acquiring the Glasgow based scotch maker Whyte & Mackay. A K Ravi Nedungadi, United Breweries Group chief financial officer, told DNA Money, "Yes, we will close the deal in some days". Mallya will be buying out the Scottish whisky firm in an all-cash deal, the valuation of which has been a contentious issue for both the buyer and the seller since months.

The due-diligence is over, and we have pretty much arrived at a price. We cannot disclose it now due to confidentiality clauses in the deal. Also, the figure keeps moving, said Nedungadi. Whatever be the valuation (reported at around 550 million/Rs.4600 Crores), Nedungadi said more than half would be for W&M's inventory of scotch. Currently, UB imports 12 million litres of scotch to meet its blending requirements. Besides the scotch inventory, Mallya would also be getting the Scottish firm's manufacturing assets and brands which include Whyte & Mackay scotch whisky, Dalmore Single Highland Malt, Vladivar vodka and Jura single malt.

Mallya Closing In On The Whyte & Mackay Deal

February 2007

The protracted takeover of Whyte & Mackay appeared to be drawing to a close last night after reports that a price had been agreed for the Glasgow-based company. Vijay Mallya, the Indian billionaire who has been in negotiations to buy the company for several months, is understood to have raised his offer to around £550m, a price acceptable to Whyte & Mackay's boss, Vivian Imerman. Mallya initially offered £475m for the firm in November, a price that was a long way off Imerman's value of £600m.

Imerman declined to comment, saying that he was in hospital undergoing a minor operation. But Mallya told Scotland on Sunday that the gap between the two parties had narrowed. He said: "Negotiations on Whyte & Mackay continue in a positive sense. Progress is being made and the gap between the previous positions of both parties is narrowing." A final deal will be subject to a process of due diligence, but it is believed it could be wrapped up by the end of March.

By acquiring Whyte & Mackay, which owns Isle of Jura single malt and Dalmore Scotch, Mallya would have two premium Scotch brands that could be distributed through his UB Group in India. He also wants to buy a UK distiller to use its distribution network to sell his whiskies in Europe.

Source: Scotland On Sunday

The Difference Between Scotch, Irish, Rye and Bourbon Whiskies

Scotch whisky is whisky which has been distilled and matured in Scotland. Irish whiskey means whiskey distilled and matured in Ireland. Whisky is distilled in Scotland from malted barley in pot stills and from malted and unmalted barley or other cereals in patent stills. The well-known brands of Scotch whisky are blends of a number of pot still and patent still whiskies. Irish whiskey distillers tend to favour three distillations rather than two, as is
general in Scotland in the case of pot still whiskies, and the range of cereals used is wider.

As regards Bourbon whiskey, the United States regulations provide:

• That Bourbon whiskey must be produced from a mash of not less than 51% corn grain.
• That the word Bourbon shall not be used to describe any whiskey or whiskey-based distilled spirits not produced in the United States.

Rye whiskey is produced both in the United States and Canada but the name has no geographical significance. In the United States, rye whiskey by definition must be produced from a grain mash of which not less than 51% is rye grain.

In Canada, there is no similar restriction. The relevant Canadian regulation states:
Canadian Whisky (Canadian Rye Whisky, Rye Whisky) shall be whisky distilled in Canada, and shall possess the aroma, taste and character generally attributed to Canadian Whisky. Canadian whisky is in fact often referred to simply as rye whisky or rye.

The Legal Definition Of Scotch Whisky

Scotch whisky has been defined in United Kingdom (UK) law since 1909 and recognised in European Community legislation since 1989. The current UK legislation relating specifically to Scotch whisky is The Scotch Whisky Act 1988 and the Orders made under it, which came into effect in June 1990 and superseded that part of the Finance Act 1969, as subsequently amended, defining Scotch whisky. For the purposes of The Scotch Whisky Act 1988 "Scotch Whisky" means whisky:

• Which has been produced at a distillery in Scotland from water and malted barley (to which only whole grains of other cereals may be added) all of which have been: (a) processed at that distillery into a mash (b) converted to a fermentable substrate only by endogenous enzyme systems and (c) fermented only by the addition of yeast.
• Which has been distilled at an alcoholic strength by volume of less than 94.8 per cent so that the distillate has an aroma and taste derived from the raw materials used in, and the method of, its production.
• Which has been matured in an excise warehouse in Scotland in oak casks of a capacity not exceeding 700 litres, the period of that maturation being not less than 3 years.
• Which retains the colour, aroma and taste derived from the raw materials used in, and the method of, its production and maturation, and to which no substance other than water and spirit caramel has been added.

The Scotch Whisky Act 1988 prohibits inter alia the production in Scotland of whisky other than Scotch whisky. The Scotch Whisky Act 1988 and The European Spirits Definition Regulation both specify a minimum alcoholic strength of 40 per cent by volume, which applies to all Scotch whisky bottled and/or put up for sale within or exported from the EU.