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| Liquid Herbal Extracts |
Answered by: Rick Miller
Question from: Robbie
Posted on: February 05, 2010
Our supplier of liquid herbal extracts is no longer able to supply us.
We need to start processing ourselves in BC or Wash state. How do we find info on buying alcohol wholesale. Two days of clicking Wash government websites has been non-productive.
While I have personally not done this, many of my friends have over the years. Several have even become large tincturing manufacturers. It is an excellent way to add value to crops from the farm.
Canadian sources for commercial alcohol is often cheaper than from individual States, because of the taxation with Federal and State laws. A primary source in Canada would be Calgary, but customs and brokerage charges, and landed transportation expenses, might prohibit purchases into Washington State.Each State is different, and have their own rules and laws.
Most purchase a food grade (190 proof), some suppliers also offer COG tags. With the permit for manufacturing, a list of suppliers is also given. Rarely is denatured alcohol ever used (200 proof), as food grade is much cheaper. When buying in small wholesale quantities, your price is usually only ½ that for a bottle from a liqueur store.
The price breakdown for this alcohol is interesting. A purchase of $1,500 for 190 proof (permit costs) might break down like this: $150 for the alcohol, $800 for Federal taxes, and maybe $150 for State taxes. Making alcohol is simple, getting it for legal use in manufacturing is not. Prices vary, but the normal costs are about $39 per gallon (wholesale).