AMERICAN DISTILLING INSTITUTE Q U A R T E R L Y R E P O R T WRITTEN BY ANDREW FAULKNER
P H O T O S B Y C A R L M U R R AY
THE NUMBERS SPEAK FOR THEMSELVES “Not Fake News!” said American Distilling Institute president Bill Owens. “The numbers don’t lie: Craft spirits are on the same trajectory that craft beer was.” Over 1,730 people attended ADI’s Conference and Vendor Expo, April 3–6, in Baltimore, MD, including 802 distillery representatives, 43 international attendees from seven countries, and 164 vendor booths. The event set a new record for attendance, as the ADI Conference continued its longstanding run as the largest gathering of licensed distillers in the world. ADI Research Economist Michael Kinstlick confirmed Owens’s assertion in his fifth annual State of the Industry address. Kinstlick said, “This is a classic growth pattern of renewal that many industry resurgences have seen, and I have no sense of what the ceiling is in
The main floor of the Baltimore Convention Center was packed for the keynote, benefit auction and lunch sessions as more than 1,700 members of the distilling community came to the American Distilling Institute’s 14th Annual Conference and Vendor Expo, April 3-6.
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terms of either craft beer or craft spirits.” Kinstlick went on to speculate that the market ceiling for both craft beer and craft spirits could be as high as 70 or 75 percent. “Imagine a landscape where instead of craft beer having 5,000 entrants and a 15–20 percent market share, it has 25,000 entrants and a 75 percent market share. It’s not inconceivable,” said Kinstlick. “It’s not inconceivable that the distilled spirits market generally could reach the same disaggregated production and distribution model.” The number of entrants has been doubling every two or three years, currently adding about 250–300 new DSP permits a year. “I think the opportunity set for craft distillers going forward over the next 10, 15, 20 years is still enormous,” he said. Kinstlick followed keynote speaker Karen Hoskin, co-founder, president and CEO of Montanya Distillers. Hoskin took the large stage to call for unity, diversity, and sustainability in the distilled
ADI President Bill Owens, left, hands the Bubble Cap Award for 2017 Distillery of the Year to the staff of the Cedar Ridge Distillery during the Awards Gala. Owner and founder Jeff Quint is next to Owens.
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