Alcohol industry feeling effects of national supply chain issues

Kentucky’s multi-billion dollar bourbon industry, like all sectors, has been impacted by kinks in the nation’s supply chain.
Published: Nov. 2, 2021 at 4:10 PM CDT

LEXINGTON, Ky. (WKYT) - Kentucky’s multi-billion dollar bourbon industry, like all sectors, has been impacted by kinks in the nation’s supply chain.

However, the alcohol industry, as a whole, has felt the ripple effects. It’s also bad timing as peak season for spirit sales is the holiday season.

Ed Quinn’s favorite beverage, Buffalo Trace Bourbon Creme, is not on the shelf at the Lexington Hamburg Liquor Barn.

“That’s not good because we give it as presents at Christmas,” Quinn said. “If we don’t have, that I’m not sure what we are going to do.”

Jonathan Blue with Liquor Barn says he tried to avoid situations like the one Quinn is having by buying tens of thousands of cases of alcohol in advance because of the anticipated supply issues.

On top of that, he knows the holiday season is the peak season for alcohol sales. Even so, there are still some problems getting product.

Blue says the reason goes back to lack of labor at docks and ports, as well as bottling.

“Even we are hearing Jack Daniels could be an issue with glass and other things,” Blue said.

President of the Kentucky Distillers Association Eric Gregory says Kentucky, of course, has the bourbon. 95% of it is made in the commonwealth. However, there are so few truck drivers that getting the glass here for bottling is a problem.

And bottling is marketing. Gregory says it’s just as important as the bourbon itself.

“You can look at silhouettes and almost immediately know which brand that is,” Gregory said.

Some have trademarked the shape of their bottle.

The shelves look full now, but Jonathan Blue knows that, by the third week of November, sales increase dramatically and you may not be able to find your favorite brand.

In the meantime, Quinn is making due with bourbon balls.

“Woodford Reserve Bourbon Balls, taking those to my brother in Idaho this week,” Quinn said.

Jonathan Blue says customers may have to substitute brands, but he says his well educated staff will lead you in the right direction.

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