Kentucky’s Bourbon industry has nearly doubled its workforce in the last two years and contributes $3 billion in gross state product to the state economy. The University of Louisville's Urban Studies Institute report shows the industry's economic contribution has increased by 67 percent from 2012.
President of the Kentucky Distillers’ Association Eric Gregory says the growth in the industry can be attributed to an uptick in consumer interest, new bourbon products from spirited entrepreneurs, and new international markets. “As we’ve opened up new free trade agreements to places all around the world and merging on markets like China and Taiwan and even Russia. Those have been predominantly scotch markets historically and now they’re getting their first taste of bourbon and, they like it,” said Gregory.
Bourbon and Tennessee Whiskey accounted for $1 billion of the total $1.5 billion in distilled spirits exports in 2013. Gregory says the bourbon industry will grow even more now that distilleries can apply for a corporate income tax credit from the state, which must be reinvested in their Kentucky operations.
