Trouble brewing over bourbon

By DITA DE BONI

New Zealand's dominant producer of ready-to-drink (RTD) alcoholic mixes is taking on brewing giant Lion Nathan for misleading punters with what it says is a bourbon knock-off.

Independent Liquor, which makes most of the country's bottled RTDs, says the alcohol in Lion's Kentucky Rebel Bourbon and Cola - a rival product - is not solely bourbon, but made primarily from a neutral fortifying spirit, such as vodka.

It has filed an injunction in the High Court against the arm of Lion that sells RTDs, Indio Beverages, seeking a recall of the product and a direction for Lion to "discontinue this misleading practice".

The company takes issue with the label on the Lion product, which says its spirit base is solely Kentucky bourbon.

Kentucky Rebel, made with neutral fortifying spirit, is roughly 20 per cent cheaper to make than Independent's product, Woodstock Bourbon and Cola, which Independent claims is made with the genuine product.

Independent Liquor managing director Michael Erceg said unspecified damages were also being claimed.

In trade magazine DrinksBiz this month, Lion Nathan NZ managing director Roger North admitted some product without a full bourbon base was circulating, but the brewer had switched to "real bourbon from one of the real Kentucky distillers".

He asked that the name of the distiller not be published.

Mr North was in Australia and unavailable for comment, said a Lion spokeswoman.

About 13 million litres worth of pre-mixed spirits are sold in New Zealand annually.