From Spirits to Sanitizer

Jeffrey Miron andErin PartinExtreme circumstances often inspire innovation. One current example is the pivot by distillers from making spirits tomaking hand sanitizer.The transition was not without government hurdles, but in this instance government cooperated with common sense. First, the Alcohol and Tobacco Tax and Trade Bureau waived requirements to obtain permits in order to legally manufacture hand sanitizer and agreed to waive the federal excise tax for alcohol ‐​based hand sanitizer products. In addition, the Food and Drug Administration issuedtemporary guidance saying, “the agency does not intend to take action against manufacturing firms that prepare alcohol‐​based hand sanitizers for consumer use and for use as health care personnel hand rubs during this ongoing public health emergency.”Prior to these actions, distillers were forced to use creative workarounds:Distillers had been finding ways to work around restrictions, including donating rather than selling sanitizer, or calling it something other than hand sanitizer. For instance, Los Angeles spirits maker Amass was selling “alcohol‐​based hand wash” on its website… The company will now call the product hand sanitizer.Before the new guidance distillers were also scrambling to find distribution channels that would not run afoul of FDA or TTB regulations, frequently donating products to local healthcare organizations or providing small quantities to customers asfree gifts with purchases.E...
Source: Cato-at-liberty - Category: American Health Authors: Source Type: blogs