PHELPS, N.Y. — During the COVID-19 pandemic, New York’s small distillers were briefly allowed to ship their product to customers. Losing that ability meant losing business. Craft distillers are now pushing state lawmakers to let them do it again — for good. Supporters say it could give a much-needed boost to a struggling industry. But the legislation also faces a fight.
Peter Cheney opened Smokin’ Tails Distillery in Phelps, Ontario County, in 2021.
“I had an idea it would take off,” said Cheney, who is a funeral home director by day. “But not to this extent.”
What started as a hobby with a one-gallon water distiller has grown into a large tasting room in the middle of town, with a 250-gallon still that pushes out 5,000 gallons of spirits a year. Flavored moonshine is his main attraction.
“People get a little nervous when they heard the word moonshine,” he said. “But once they come in and try it, they're like, 'Oh, this is not what I expected. This is fantastic.'“
By the time he opened Smokin’ Tails, Cheney had already begun to make a name for himself in the industry. He won a master distiller competition on the Discovery Channel show Moonshiners: Master Distiller.
“It was a fantastic experience when I was down there filming,” he said of the show. “Of course, I was [a] New York boy going up against the southern boys, and New York boys aren't supposed to know how to distill.”
After the show aired, Cheney’s phone rang off the hook and his inbox blew up.
“That was a great opportunity,” he said. “A lot of people across the country have contacted us because they want to try the four grain that I that I made on the show.”
But because New York state law prohibits direct shipment of spirits to consumers — he can’t. The New York State Distiller’s Guild and New York Farm Bureau are working with state lawmakers to pass a bill that would allow direct-to-consumer shipping by craft distillers and cideries. During the pandemic shutdown, the state temporarily allowed it.
“When we did it through COVID, there were never any issues,” said Cheney. “So there's no reason they shouldn't be able to pass.”
The bill has faced opposition. Liquor stores and distributors have fought against it. Cheney argues that most direct shipping would be to out-of-state customers, so it wouldn’t affect New York liquor stores. Retired law enforcers have also opposed the direct sale legislation, warning it could boost underage drinking. Distillers say safeguards are in place to prevent sales to minors.
The distiller’s guild recently said half of New York’s craft distillery owners feared they might close by the end of 2025 unless economic and regulatory conditions change.
“It affects everyone,” said Cheney.
The legislation faces a tight window, as the end of the legislative session approaches. It’s not lightning in a bottle, but distillers say every bit helps.
“There should be parity,” said Cheney. “So that we all should be able to ship. It’s a matter of fairness.”