Texas Brewery Barrel Cap Laws

BREWER’S PERMIT (B) License Summary: Permit authorizes holder to manufacture ale and malt liquor and sell the ale and malt liquor only to wholesale permit holders in this state or to qualified persons outside the state. If annual production of ale together with annual production of beer by the holder of a manufacturer’s license at the same premises does not exceed a total of 225,000 barrels, the holder may sell ale produced on the brewer’s premise under the permit to ultimate consumers on the brewer’s premises. Combined sales of ale together with sales of beer to the ultimate consumer may not exceed 5,000 barrels annually. See Tex. Alco. Bev. Code § 62.122. Sales by Certain Manufacturers to Consumers (a)  A manufacturer’s licensee whose annual production of beer together with the annual production of ale by the holder of a brewer’s permit at the same premises does not exceed 225,000 barrels may sell beer produced on the manufacturer’s premises under the license to ultimate consumers on the manufacturer’s premises for responsible consumption on the manufacturer’s premises. (b)  The total combined sales of beer to ultimate consumers under this section, together with the sales of ale to ultimate consumers by the holder of a brewer’s permit under Section 12.052 at the same premises, may not exceed 5,000 barrels annually.

BREWER’S PERMIT (B) License Summary: Permit authorizes holder to manufacture ale and malt liquor and sell the ale and malt liquor only to wholesale permit holders in this state or to qualified persons outside the state. If annual production of ale together with annual production of beer by the holder of a manufacturer’s license at the same premises does not exceed a total of 225,000 barrels, the holder may sell ale produced on the brewer’s premise under the permit to ultimate consumers on the brewer’s premises. Combined sales of ale together with sales of beer to the ultimate consumer may not exceed 5,000 barrels annually. See Tex. Alco. Bev. Code § 62.122. Sales by Certain Manufacturers to Consumers (a)  A manufacturer’s licensee whose annual production of beer together with the annual production of ale by the holder of a brewer’s permit at the same premises does not exceed 225,000 barrels may sell beer produced on the manufacturer’s premises under the license to ultimate consumers on the manufacturer’s premises for responsible consumption on the manufacturer’s premises. (b)  The total combined sales of beer to ultimate consumers under this section, together with the sales of ale to ultimate consumers by the holder of a brewer’s permit under Section 12.052 at the same premises, may not exceed 5,000 barrels annually.

MANUFACTURER’S SELF-DISTRIBUTION LICENSE (DB) Summary: License authorizes the holders of Manufacturer’s Licenses in this state and Nonresident Manufacturer’s Licenses whose annual production of beer together with the annual production of ale at the same premises does not exceed 125,000 barrels to sell beer produced under the manufacturer’s or nonresident manufacturer’s license to distributors, retailers, private clubs and qualified persons for shipment and consumption outside this state. Combined sales of beer together with the sales of ale by the holder of a self-distribution license and/or permit at the same premise may not exceed 40,000 barrels annually.See also Tex. Alco. Bev. Code § 62A.01. Eligibility for License. A manufacturer’s self-distribution license may be issued only to the holder of a manufacturer’s license under Chapter 62 or the holder of a nonresident manufacturer’s license under Chapter 63. See also Tex. Alco. Bev. Code § 62A.02. Authorized Activities (a)  A holder of a manufacturer’s self-distribution license whose annual production of beer under the manufacturer’s or nonresident manufacturer’s license, together with the annual production of ale by the holder of a brewer’s or nonresident brewer’s permit at the same premises, does not exceed 125,000 barrels may sell beer produced under the manufacturer’s or nonresident manufacturer’s license to those persons to whom the holder of a general distributor’s license may sell beer under Section 64.01(a)(2). (b)  The total combined sales of beer under this section, together with the sales of ale by the holder of a brewer’s self-distribution permit under Section 12A.02 at the same premises, may not exceed 40,000 barrels annually. ©  With regard to a sale under this section, the holder of a manufacturer’s self-distribution license has the same authority and is subject to the same requirements that apply to a sale made by the holder of a general distributor’s license. (d)  Beer sold under this section may be shipped only from a manufacturing facility in this state.

MANUFACTURER’S LICENSE (BA) license summary: License authorizes the holder to manufacture beer and sell it to holder of general, local, and branch distributor’s license and to qualified persons outside the state, and to dispense beer for on-premise consumption. Permit holder may enter into an alternating brewery proprietorship or contract brewing arrangement. See also MANUFACTURER’S SELF-DISTRIBUTION LICENSE (DB) license summary: License authorizes the holders of Manufacturer’s Licenses in this state and Nonresident Manufacturer’s Licenses whose annual production of beer together with the annual production of ale at the same premises does not exceed 125,000 barrels to sell beer produced under the manufacturer’s or nonresident manufacturer’s license to distributors, retailers, private clubs and qualified persons for shipment and consumption outside this state. Combined sales of beer together with the sales of ale by the holder of a self-distribution license and/or permit at the same premise may not exceed 40,000 barrels annually. Tex. Alco. Bev. Code § 62.01. Authorized Activities (a)  The holder of a manufacturer’s license may: (1)  manufacture or brew beer and distribute and sell it in this state to the holders of general, local, and branch distributor’s licenses and to qualified persons outside the state; (2)  dispense beer for consumption on the premises; (3)  bottle and can beer and pack it into containers for resale in this state, regardless of whether the beer is manufactured or brewed in this state or in another state and imported into Texas; (4)  conduct samplings of beer, including tastings, at a retailer’s premises; and (5)  enter into an alternating brewery proprietorship or contract brewing arrangement as provided by Section 62.14. (b)  An agent or employee of the holder of a manufacturer’s license may open, touch, or pour beer, make a presentation, or answer questions at a sampling event. See also Tex. Alco. Bev. Code § 62A.01. Eligibility for License. A manufacturer’s self-distribution license may be issued only to the holder of a manufacturer’s license under Chapter 62 or the holder of a nonresident manufacturer’s license under Chapter 63.

BREWPUB LICENSE (BP) license summary: License authorizes the holder to manufacture, brew, bottle, can, package and label malt liquor, ale, and beer; sell or offer without charge, on the premises of the brewpub, to ultimate consumers for consumption on or off those premises, malt liquor, ale or beer produced by the holder in or from a lawful container, to the extent the sales or offers are allowed under the holder’s other permits or licenses; must be held with permit or license authorizing on-premise consumption. Total production cannot exceed 10,000 barrels for each licensed brewpub. Permit holders who also hold a wine and beer retailer’s permit and who sell alcoholic beverages manufactured only on the brewpub’s premises may sell malt liquor or ale produced under the license to retailers and private clubs and beer to distributors, retailers, and private clubs or to qualified persons for shipment and consumption outside the state. See Tex. Alco. Bev. Code § 74.01. Authorized Activities (a)  A holder of a brewpub license for a brewpub located in a wet area, as that term is described by Section 251.71 of this code, may: (1)  manufacture, brew, bottle, can, package, and label malt liquor, ale, and beer; (2)  sell or offer without charge, on the premises of the brewpub, to ultimate consumers for consumption on or off those premises, malt liquor, ale, or beer produced by the holder, in or from a lawful container, to the extent the sales or offers are allowed under the holder’s other permits or licenses; and (3)  sell food on the premises of the holder’s breweries. (b)  The holder of a brewpub license may establish, operate, or maintain one or more licensed brewpubs in this state under the same general management or ownership. The holder shall pay the fee assessed by the commission for each establishment. For the purposes of this subsection, two or more establishments are under the same general management or ownership if: (1)  the establishments bottle the same brand of malt liquor, beer, or ale or bottle malt liquor, beer, or ale brewed by the same manufacturer; or (2)  the person, regardless of domicile, who establishes, operates, or maintains the establishments is controlled or directed by one management or by an association of ultimate management. (c)  A holder of a brewpub license must also hold a wine and beer retailer’s permit, a mixed beverage permit, or a retail dealer’s on-premise license. (d)  The holder of a brewpub license may not hold or have an interest either directly or indirectly, or through a subsidiary, affiliate, agent, employee, officer, director, or other person, in a manufacturer’s or distributor’s license or any other license or permit in the manufacturing or wholesaling levels of the alcoholic beverage industry regardless of the specific names given to permits or licenses in Title 3 of this code. The holder shall be considered a “retailer” for purposes of Section 102.01 of this code. (e)  A holder of a retail dealer’s on-premise license who obtains a brewpub license may not manufacture, brew, bottle, can, package, label, sell, or offer without charge malt liquor or ale. (f)  [Repealed by Acts 2013, 83rd Leg., ch. 750 (S.B. 515), § 9, effective June 14, 2013.] (g)  The holder of a brewpub license may deliver malt liquor, ale, or beer manufactured by the holder to a location other than the holder’s premises for the purpose of submitting the malt liquor, ale, or beer for an evaluation at an organized malt liquor, ale, or beer tasting, competition, or review. At a tasting, competition, or review, a holder of a brewpub license may: (1)  dispense without charge malt liquor, ale, or beer manufactured by the holder to a person attending the event for consumption on the premises of the event; and (2)  discuss with a person attending the event the manufacturing and characteristics of the malt liquor, ale, or beer. See also Tex. Alco. Bev. Code § 74.03. Production Limit. The total annual production of malt liquor, al