New license expected to help local brewers and hops growers
ALBANY – After the passing of the Farm Brewery Bill by both the state Senate and Assembly earlier this month, new opportunities are opened for area breweries, along with local hops and barley farmers who will profit from increased demand for their crops.
The bill steadily gained endorsements from the New York Farm Bureau, as well as Governor Andrew Cuomo and members of the state legislature since its introduction in March. It allows New York state breweries to apply for a “Farm Brewery” licence, which would open opportunities similar to those made available to the New York wine industry when similar legislation passed in the 1970s.
The Farm Brewery licence permits breweries to sell New York-labeled wines and other state-labeled beverages at their retail outlets. Likewise, wineries will be permitted to sell NYS labelled beer for off-premises consumption, which include farmers markets. A license would also allow breweries to open a restaurant, conference center, inn, bed and breakfast or hotel on the brewery site, and sell beer-making equipment and supplies, food that compliments beer or wine, souvenirs and other products similarly sold by wineries statewide.
To obtain a farm brewery licence, beers must be crafted primarily from locally grown farm products, making it a New York labeled beer. At least 20 percent of the hops and 40 percent of all other ingredients must be grown or produced in New York. By 2018, at least 60 percent of the hops and 75 percent of all other ingredients must come from New York, and by 2023, no less than 90 percent of hops and 90 percent of other ingredients must be from this state.
In March, Cuomo also proposed legislation to ease the burden of a costly tax filing requirement. With the passing of the bill, breweries and wineries are no long mandated to report sales made to restaurants and bars, since the costs of this annual reporting is too costly for small breweries.
“This piece of legislation was a priority for our members because it makes pure economic sense,” said New York Farm Bureau President Dean Norton in a release from the NYFB last week. “New York farmers are always looking for new markets to sell their quality products.”
According to the NYFB, the agriculture and beer industries are already excellent job creators and imperative to the state’s economic vitality, spouting more than $4.7 and $1.2 billion into the state’s economy each year respectively. Moreover, the organization claims that local hop farmers will see the benefit of a Farm Brewery license as breweries turn to them for local crops.
“It’s hopefully something that we’re going to indirectly benefit from,” said Craig Walker, who manages Highland Hop Yard with his wife in Smyrna. Walker said that while he sells hops to several local brewers already, hopes are that the new licence will bring in business from breweries outside the area as statewide demand for New York hops rises.
“Hopefully, this will put a spur on the development of barley too,” he added, citing the lack of New York barley producers who might struggle to keep up with demand.
Already, some local brewers are making long-term goals to take advantage of the brewery licence.
“It’s definitely something we would be interested in,” said Matt Whalen, co-owner of Good Nature Brewing in Hamilton. Whalen’s company already uses 70 percent local ingredients, he said, and with his history in culinary arts, he added that the licence would allow his company to grow into what he envisions – a 30 barrel brew house complete with restaurant and rooms for an overnight stay.
The bill steadily gained endorsements from the New York Farm Bureau, as well as Governor Andrew Cuomo and members of the state legislature since its introduction in March. It allows New York state breweries to apply for a “Farm Brewery” licence, which would open opportunities similar to those made available to the New York wine industry when similar legislation passed in the 1970s.
The Farm Brewery licence permits breweries to sell New York-labeled wines and other state-labeled beverages at their retail outlets. Likewise, wineries will be permitted to sell NYS labelled beer for off-premises consumption, which include farmers markets. A license would also allow breweries to open a restaurant, conference center, inn, bed and breakfast or hotel on the brewery site, and sell beer-making equipment and supplies, food that compliments beer or wine, souvenirs and other products similarly sold by wineries statewide.
To obtain a farm brewery licence, beers must be crafted primarily from locally grown farm products, making it a New York labeled beer. At least 20 percent of the hops and 40 percent of all other ingredients must be grown or produced in New York. By 2018, at least 60 percent of the hops and 75 percent of all other ingredients must come from New York, and by 2023, no less than 90 percent of hops and 90 percent of other ingredients must be from this state.
In March, Cuomo also proposed legislation to ease the burden of a costly tax filing requirement. With the passing of the bill, breweries and wineries are no long mandated to report sales made to restaurants and bars, since the costs of this annual reporting is too costly for small breweries.
“This piece of legislation was a priority for our members because it makes pure economic sense,” said New York Farm Bureau President Dean Norton in a release from the NYFB last week. “New York farmers are always looking for new markets to sell their quality products.”
According to the NYFB, the agriculture and beer industries are already excellent job creators and imperative to the state’s economic vitality, spouting more than $4.7 and $1.2 billion into the state’s economy each year respectively. Moreover, the organization claims that local hop farmers will see the benefit of a Farm Brewery license as breweries turn to them for local crops.
“It’s hopefully something that we’re going to indirectly benefit from,” said Craig Walker, who manages Highland Hop Yard with his wife in Smyrna. Walker said that while he sells hops to several local brewers already, hopes are that the new licence will bring in business from breweries outside the area as statewide demand for New York hops rises.
“Hopefully, this will put a spur on the development of barley too,” he added, citing the lack of New York barley producers who might struggle to keep up with demand.
Already, some local brewers are making long-term goals to take advantage of the brewery licence.
“It’s definitely something we would be interested in,” said Matt Whalen, co-owner of Good Nature Brewing in Hamilton. Whalen’s company already uses 70 percent local ingredients, he said, and with his history in culinary arts, he added that the licence would allow his company to grow into what he envisions – a 30 barrel brew house complete with restaurant and rooms for an overnight stay.
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