The Distilling Industry’s Impact on Tennessee’s Tourism Economy

NASHVILLE, Tenn. (WKRN) – It’s a familiar sound to millions of tourists across Tennessee.

Nashville Barrel Company welcomes visitors from around the world with the support of “Boss” Stella (a year-old Goldendoodle).

“There was a group from Canada there a few days ago,” said Chief Bourbon Guy [sic] said Mike Hinds. “We had a lady from Europe here. We see all walks of life walk through this door.”

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When you think about distilling, it’s largely synonymous with Tennessee history thanks to names like Jack Daniels and Nearest Green.

“Before Prohibition, distilling was probably one of the largest industries that existed here,” said Charity Toombs, executive director of the Tennessee Whiskey Trail and the Tennessee Distillers Guild.

But until 2009 it remained a relatively small part of the economy. Previously, distilling was only legal in three Tennessee counties. But in 2009, lawmakers expanded the number to 41 counties, and the industry boomed.

“Whiskey is a hot thing right now,” Hinds said. “Everyone wants to try whiskey.”

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About six years ago, the Tennessee Distillers Guild created the Tennessee Whiskey Trail, essentially a 500-mile map through the state with more than 30 distilleries, complete with a passport you can stamp.

“Distilling sits right between our state’s two largest industries, agriculture and tourism,” Toombs said.

A new study shows the industry brought nearly $3.5 billion to the economy last year, resulting in over $440 million in tax revenue.

It is estimated that this will create almost 30,000 jobs, both outside and within the industry.

But what makes a distillery so charming?

“They’re in urban markets that really drive interest in cities like Nashville and Gatlinburg,” Toombs said. “But they are also in some of the more remote and picturesque areas that you see in the rolling hills.”

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Hinds noted the burgeoning nature of the industry.

“People come into contact with bourbon for the first time and then they kind of realize it [there’s a lot] In addition to Jack Daniels for Tennessee whiskey, there is Ole Smoky for moonshine,” he said. “There are a lot of different options to explore here.”