What is Kombucha and How is it Regulated?

In a world where health-conscious consumers continually seek unique and natural alternatives to traditional beverages, kombucha has emerged as a rising star in the realm of functional drinks. Bursting with probiotics, this fermented tea offers not only a refreshing taste but also potential health benefits. However, the journey of kombucha from small-scale artisanal production to mass-market phenomenon isn’t without its regulatory complexities.

This blog entry delves into the fascinating and sometimes perplexing world of kombucha regulation, unveiling the standards and guidelines governing this effervescent elixir. So, whether you’re a kombucha connoisseur or just curious about the drink, join us as we navigate the intricate labyrinth of kombucha compliance.

What is Kombucha and How is it Regulated?

Understanding kombucha can be multifaceted and regulatory aspects depend on various contexts. At its core, kombucha is a fermented beverage crafted from steeped tea, sugar, and often infused with fruit juice or additional flavors. This mixture is then fermented with a culture comprising yeast strains and bacteria.

But here’s where it gets interesting: Is kombucha considered an alcoholic beverage?

The answer, as in many cases, is: IT DEPENDS. Kombucha’s alcoholic status is fluid. If a kombucha product contains 0.5% alcohol by volume (“ABV”) or more at any stage, the federal government will generally consider it an alcohol beverage and the production of the kombucha will be subject to alcohol beverage regulations. Consequently, kombucha reaching this threshold must be produced in facilities subject to regulation by the Alcohol and Tobacco Tax and Trade Bureau (“TTB“). This holds true regardless of the final ABV level when the product reaches consumers. In other words, if your finished product measures at 0.2% ABV, but during its shelf life or at some point in production, it reaches 0.5% or higher because of continued fermentation in the bottle, it’s technically an alcohol beverage and will be subject to TTB’s jurisdiction.

In practice, TTB has actively monitored the market and tested various kombucha products, revealing that some of them contain at least 0.5% ABV, thus subjecting the product to TTB’s regulation.

TTB collaborates with the Food and Drug Administration (“FDA”) to ensure kombucha’s compliance with federal regulations. One of the primary concerns of these agencies is to prevent misleading consumers. This entails avoiding situations where consumers assume a product is a non-alcoholic beverage when, in reality, it may be classified as an alcohol beverage. If a product’s labeling is found to be inaccurate, TTB may intervene, necessitating proper labeling and excise tax payment.

So, if you’re producing kombucha with an ABV of 0.5% or more, what should you know?

In such cases, your kombucha is categorized as an alcohol beverage and is subject to the Federal Alcohol Administration Act (“FAA Act”). This means that production of said kombucha may require permits, compliance with alcohol beverage advertising regulations, and adherence to labeling requirements set forth by the FAA Act. Labeling specifics can be determined by the product’s ingredients, formulation, and production method.

The interesting thing about kombucha is that, as far as TTB is concerned, kombucha can be classified as wine, malt beverage, or distilled spirit based on the above three factors. The exact classification is often determined on a case-by-case basis. This dynamic classification of kombucha highlights just one of the intriguing nuances within the world of alcohol beverage regulation. It is truly a testament to the diversity and adaptability of this beloved beverage.

Lindsey Zahn P.C. – Your Partner in Kombucha Regulation

Lindsey Zahn P.C. is your trusted partner in navigating the intricate realm of alcohol beverage compliance. Our firm provides a wealth of experience, ensuring that your kombucha business adheres to the ever-evolving regulatory landscape. We’ll assist you in securing the necessary permits, addressing advertising and labeling requirements, and tackling any compliance challenges head-on.

With a deep understanding of the complexities surrounding kombucha classification, we can provide tailored guidance to ensure your products meet the highest standards. Whether you’re a kombucha startup or an established brand, we’re here to simplify the regulatory process, allowing you to focus on crafting exceptional beverages. Reach out to Lindsey Zahn P.C. at info@zahnlawpc.com to embark on a journey toward compliance and success in the world of kombucha.