What “Distilling, Rectifying, or Blending” Means Under § 565.03—and Why It Determines What Florida Craft Distilleries Can Sell

Generated with AI.

Florida’s craft distilleries’ identity depends on three manufacturing activities. Section 565.03 of the Florida Statutes repeatedly uses “distilling, rectifying, or blending” to define (1) what a branded product is, (2) who qualifies as a craft distillery, and (3) what a craft distillery may sell to consumers from its gift shop or tasting room. Understanding these terms is essential for designing compliant production plans, labels, tasting‑room strategies, and growth models.

Why these terms matter

Florida law ties a distillery’s retail privileges to products the distillery manufactures by distilling, rectifying, or blending on its licensed premises. That is baked into the statute’s definition of a “branded product” and echoed in the definition of “craft distillery,” which hinges on how many gallons the distillery distills, rectifies, or blends on site each calendar year. Put simply, these verbs decide what you can sell, where you can sell it, and whether you get to keep the “craft” designation. See Fla. Stat. § 565.03.

Further reading: Brewers’ Law 101: Florida Craft Distilling Licenses.

What do “distilling,” “rectifying,” and “blending” actually mean?

Florida’s Beverage Law does not provide technical process definitions for these verbs, so we read them in light of common industry usage and the federal framework that governs distilled spirits operations:

  • Distilling: producing spirits by separating alcohol from a fermented substrate (mash/wash) using heat and condensation. Under federal law, a “distiller” includes anyone who produces spirits, prepares mash fit for distillation, or otherwise separates alcohol from a fermented substance. See 26 U.S.C. § 5002.
  • Rectifying: a processing activity (not primary distillation) that changes a spirit after distillation—for example, redistilling neutral spirits with botanicals to make gin; infusing, compounding, sweetening, filtering; or finishing in secondary casks. Federal law treats a rectifier as a type of processor. See 26 U.S.C. § 5002 and 27 C.F.R. Part 19.
  • Blending: combining spirits with other spirits (and, where permitted, other ingredients) to create a new profile or meet a standard of identity (e.g., blended whiskey, rum blends). Federal rules group blending with other processing operations performed on a DSP. See 27 C.F.R. Part 19.

Florida’s statute aligns with this federal picture in a practical way: a licensed distillery (including a craft distillery) may engage in rectifying or blending without paying an additional license tax. See § 565.03.

How these activities define your “branded product”

Florida defines a “branded product” as a distilled spirits product that (1) the craft distillery owns, (2) contains spirits manufactured by distilling, rectifying, or blending on the craft distillery’s licensed premises, and (3) has an approved federal label (COLA). The on‑premises requirement is the hinge: mere bottling of purchased spirits without on‑premises distilling, rectifying, or blending is not enough to create a “branded product” for § 565.03 retail privileges. See § 565.03.

Quick examples:

  • Qualifies: You purchase GNS, redistill with botanicals to make gin, and bottle it on your licensed premises—your rectification work counts, so the gin can be your branded product (with COLA). See 26 U.S.C. § 5002.
  • Qualifies: You blend several sourced rums on your premises into a house blend that you own—again, a branded product (with COLA). See § 565.03.
  • Does not qualify: You relabel bottled bourbon you bought from a third party with no on‑premises distilling, rectifying, or blending. Brand ownership alone isn’t enough. See § 565.03.

What a craft distillery can sell at retail under § 565.03

Once the Division has confirmed your craft designation, you may sell branded products directly to consumers up to 75,000 gallons per calendar year. Sales may be by the drink (on‑premises) and by the package (factory‑sealed) for off‑premises consumption, but only face‑to‑face in your souvenir gift shop or tasting room located on contiguous property included in your licensed premises diagram. Shipping to consumers is prohibited. See § 565.03.

  • Container size: Consumer packages must comply with Florida’s 1.75‑liter maximum container size for distilled spirits. See § 565.10.
  • Lose the “craft,” lose the retail: If you exceed the production limit or otherwise stop meeting the craft criteria, you must report to the Division within 5 days, and retail sales must cease the next day. See § 565.03.

Limits on qualifying (and staying qualified) as a “craft distillery”

  • Production ceiling: You must distill, rectify, or blend 250,000 gallons or less per calendar year on your premises. Exceeding that ceiling ends your craft status (and your retail privileges) until you qualify again. See § 565.03.
  • Ownership cap: No person may share common ownership in more than 10 craft distilleries—and even then, the statute limits how many can operate at the ≤ 250,000‑gallon level (no more than four) and how many may be ≤ 50,000 gallons (no more than six). See § 565.03.
  • Florida agriculture sourcing rule (future‑dated): Effective July 1, 2026, at least 60% of your total finished branded products must be distilled in Florida and contain one or more Florida agricultural products. Start aligning supply chains now. See § 565.03.

Quick compliance checklist

  • Confirm “branded product” status for every SKU: on‑premises distilling/rectifying/blending + COLA + brand ownership.
  • Respect container limits (≤ 1.75 L) and maintain sales records.
  • Track gallons (250,000 production ceiling; 75,000 retail sales cap). Trigger internal alerts and the 5‑day report if you cross a threshold.
  • Plan for July 1, 2026: build Florida agricultural inputs into your portfolio (≥ 60% of finished branded products).

Citations & primary sources

Related Brewers’ Law resources

Do you have any questions about “distilling, rectifying or blending” spirits in Florida? Contact us at to schedule a consultation with a beverage attorney.

Because we’re attorneys: Disclaimer. Published September 14, 2025.

Rate this Post

0 votes, average: 0.00 out of 1
0 votes, average: 0.00 out of 1
You need to be a registered member to rate this.
Loading...