Can Independent Bottlers Transform Rum?

According to The Spirit Business Magazine, independent bottlers may revolutionize the rum industry by focusing on rare and exceptional worldwide expressions.

Independent Bottlers’ Growing Influence

Independent bottlers and blenders have always played a role in rum, but their influence is now more visible than ever. As rum consumption increases, more of these third-party players are entering the scene. Large blenders are facing high demand, and independent bottlers are sourcing rare casks in small quantities to meet market needs.

Peter Holland, UK brand ambassador for Foursquare Distillery, notes the rum market’s growth but warns against a bubble. “Consumers are becoming aware, and more independent bottlers will enter the market, but getting the quality in front of people is the real challenge,” Holland explains in an interview for The Spirit Business.

Rum’s Steady Growth

While rumors of a “rum boom” have circulated for years, the growth has been steady. In the UK, rum sales surpassed £1 billion (US$1.2 billion) in 2022, overtaking whiskey in market share. This momentum continued in 2023, with new and established distilleries entering the rum space, many of which come from the world of Scotch whiskey bottling.

Dawn Davies, head buyer of Specialty Drinks, highlights that independent Scotch whiskey bottlers are expanding into rum. “These bottlers open up a new market for rum, but we must be cautious to maintain quality,” says Davies.

Expanding Rum’s Availability

Independent bottlers have been instrumental in showcasing the diverse world of rum. Joe Wilson, head curator and spirits specialist at Rum Auctioneer, points out that bottlers have brought attention to distilleries like Long Pond and New Yarmouth, which were previously known only for their contributions to large rum blends like Captain Morgan and Wray & Nephew.

The success of distilleries like Long Pond and Hampden Estate has led to the release of their own official bottling, driven in part by independent bottlers’ efforts.

The Role of Boutique Bottlers

That Boutique-y Rum Company has played a significant role in highlighting lesser-known producers, including Issan Distillery in Thailand and O Reizinho Distillery in Madeira. Dave Worthington, the company’s global brand ambassador, explains that their goal is to bring “pure rum” to the world, focusing on rare and untouched spirits. “We find abandoned barrels, bottles from shuttered distilleries, and unique rums that might have never been discovered,” he says.

These bottles often come with a higher price tag, challenging the notion that rum should be inexpensive. Lisa Halstead, a buyer at Master of Malt, notes a rise in premium rum sales, with 14% of all rum sales in 2023 coming from bottles priced over £100. This reflects the growing demand for high-quality rum.

Blending and Bottling: A Balancing Act

While independent bottlers have diversified the rum market, bulk blenders also play a crucial role. Companies like E&A Scheer, a premium rum bulk blender, support distilleries by providing large orders that range from super-premium to entry-level products. “Both are vital to the rum industry’s overall health and diversity,” says Worthington.

Bulk blenders help distilleries sustain their operations. Hampden Estate, for example, relies heavily on selling in bulk. Luca Gargano of Velier has significantly influenced this sector, ensuring that many private-label rum brands exist today.

Transparency and Consumer Trust

As independent bottlers gain ground, transparency becomes key to earning consumer trust. Many independent bottlers strive to provide detailed information about the rums they source, including aging processes and distillery origins. However, some bottlers face restrictions on using distillery names due to trademark agreements.

Vlierboom, chief rum officer at E&A Scheer, emphasizes the importance of transparency. “It’s great to see knowledge sharing about the rums in blends. We believe it benefits the industry and the consumer alike,” he says.

Quality Control in a Growing Market

The challenge for the rum industry lies in balancing the growth of premium and flavored rums. David Howarth, founder of Manchester’s House of Rum, highlights the need for transparency in the lower end of the market. “Some rums on the market don’t even meet the legal minimum alcohol requirement,” he notes, emphasizing the importance of maintaining rum’s authenticity.

Rum has two possible futures: one driven by high-quality, rare blends, and another focused on flavored and spiced rums for mixing. Independent bottlers largely aim for the former, bringing unique and high-end products to a growing audience of rum enthusiasts.

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Source of information

The Spirits Business Magazine‘s article Could independent bottlers transform rum? By Lauren Eads

The image of the article is courtesy of Evan Bronzini On Canva.