Tasmanian whisky given high praise by critic Jim Murray

Tasmania's booming whisky industry is receiving high praise from the world's premier whisky critic, Jim Murray.

In his 2013 World Whisky Bible, Mr Murray called a Sullivans Cove drop "a staggering achievement" and described a whiskey from the Tasmania Distillery as "unquestionably one of the world whiskies of the year".

In rating Nant Distillery as the maker of one of the top 50 whiskies in the world, Mr Murray said: "something majestic is happening here".

Mr Murray plans to visit Tasmania this year to see what is going so right.

Tasmanian whisky is making an impression on the global stage.

"I now have no option but to start thumbing through an atlas and flight timetable and get over there pronto," he wrote in the World Whiskey Bible.

He says whisky can be made just about anywhere in the world.

"It's not writ large in stone that it's the inalienable right for just Scotland, Ireland, Kentucky and Canada to have it all to themselves," he said.

From humble beginnings to coming of age

Bill Lark started the Tasmanian whisky industry in 1992 when he distilled a barrel at home just to see if he could do it.

He now works full time in his whisky business and the second generation has joined him, with his daughter Kristy Lark now head distiller at Lark.

Mr Lark is amazed that the state's new industry sprung from his home-distilled barrel two decades ago.

"I had absolutely no idea it'd end up like this," he said.

"The scotch malt whisky industry is centuries-old and to think that we could achieve the sort of recognition that we have in the world of whisky, in just 20 years, is really quite staggering." 

What started as a cottage industry has now become a significant industry attracting millions of investment dollars.

There are now nine licensed distilleries in the state, and the bigger companies are exporting to Europe, North America and Asia.

"We all have a strong sense that we've come of age," Mr Lark said.

"Hellyer's Road has just sent 10 pallets to France, Lark has sent 4 shipments to the United States, and we export to Asia.

"We've been happy to encourage other distilleries to come on board in the belief that more will create that sense of industry in Tasmania, and give us a better presence in the world market.

"There's no secrets, we help each other."

Robert Hazelwood from Brand Tasmania says because Tasmania is so highly regarded internationally for premium quality wine and beer, it makes sense that local whiskies are finding markets overseas.

"The Tasmanian brand is very strong and trusted," he said. 

"It is the best food brand in the country.

"We're blessed with the perfect place to grow the best food, and that doesn't matter if it's whisky, wine, lamb or beef."

Distilleries invest in thirsty global market

Keith Batt is the Brisbane-based property developer behind Nant Distillery at Bothwell, and one of the state's biggest investors.

Since buying a 100-hectare farm in Bothwell in Tasmania's Southern Highlands nine years ago, he has spent $5 million building a distillery and cafe, and repairing derelict historic farm buildings.

When Mr Batt bought Nant he had no intention of farming the 100 hectares, planning instead to use it as a weekender.

"One of the local farmers came by and said, 'what are you going to do with all these derelict buildings? I said, 'Well, I don't really know'," he said.

"Then someone put the idea to me about the distillery and it just grew from there."

He has since opened whisky bars in Brisbane and Hobart, and has plans for 18 more within the next two years. 

He says two of the bars will be overseas.

With world demand for single malts booming, he is confident his investment is safe. 

"We want to build Nant into a global premium beverage business," he said.

"Growth in single malt whisky around the world is about 18 per cent per annum and when you think about the Chinese market, where 20 million Chinese are coming of drinking age every year, it's a huge market."

Production booms for Tasmania's Nant Distillery

Production at Nant Distillery has risen from 300 bottles in 2010 to an expected 20,000 bottles this year. It is expected to rise to 200,000 bottles by 2016.

Nant's bond store holds $20 million worth of maturing whisky, some owned by Nant some by investors.

Mr Batt borrowed from the Scots, where investors buy whisky and the distillery buys it back.

"They get 9.5 per cent return per annum compounded over the maturation period of three or four years," he said.

He says self-managed super funds have bought barrels, and one visitor invested $250,000.

Mr Batt believes Tasmanian whisky is well regarded because of the barley has been developed by the Department of Primary Industries plant breeders for Tasmania's beer industry.

"We're using brewing barley," he said.

"It's a flavoursome style of barley quite different to distilling barley.

"Tasmania's water is world class too, but also our whiskies are hand crafted.

"We're not producing whisky in a big factory like they do in Scotland, we're probably doing it the way they used to do it in Scotland 150 years ago."

'On face value it does seem like a crazy thing to do'

With world demand for single malts booming, distillers are confident their investment is safe.

In the state's north-west Betta Milk is one of the more unusual whisky companies, as it is owned by 35 dairy farmers.

When the decision was made 14 years ago to diversify, the board chose to go into whisky rather than another segment of the dairy industry like cheese.

Betta Milk's General Manager Mark Littler is also head distiller.

"On face value it does seem like a crazy thing to do but it gives us an opportunity to utilise all the resources that we have from within the company and it's very similar to what we do in milk in terms of hygiene and quality," Mr Littler said.

"With our fresh milk business we are confined to the island of Tasmania and a population of half a million people, whereas on the whisky side with the Hellyers Road brand, we've got a product that we're taking to the world.

"It is our growth strategy for the longevity of our business."

During May, 10 pallets of whisky were exported to France, one of the world's biggest single malt markets.

"The bank account's starting to go in the right direction, and I don't think it'll be too far down the track before the share holders can see a return," he said.

Rural areas are benefiting from the growth in whisky tourism.

A whisky trail has emerged offering distillery tours, cellar door sales, tastings, food and accommodation.

Source: ABC News, 8 July 2013