Alcoholic beverages have become widely recognized, and many people today can easily distinguish between locally-made and internationally-made products.
Often, people can tell just by hearing the brand name—this alone reflects how each local or international alcoholic beverage carries a unique identity that loyal drinkers have come to recognize.
However, despite this general knowledge, not many people understand the production differences between local and international brands. In fact, understanding this can help alcohol enthusiasts better appreciate what they are drinking.
That’s why Balimoon is here to offer a fresh perspective with a deeper dive into the key distinctions outlined below.
1. Different Raw Materials, Even for the Same Product
In Indonesia, several producers manufacture tequila—a drink that, for Mexicans, is considered a cultural heritage item that should only be produced in Mexico.
This is due to the fact that tequila is protected by a designation known as denominación de origen (DO).
The DO regulation states that tequila can only be authentically produced in five specific Mexican regions: Jalisco, Guanajuato, Michoacán, Nayarit, and Tamaulipas. These regions are known for having the optimal soil and climate conditions for growing agave plants.
According to the DO, tequila can only be internationally recognized as authentic if it is made in one of these five regions. In reality, however, tequila is produced in many other places—one example is Balimoon’s Oro Tequila.
Balimoon’s production process does differ from that in Mexico, particularly because its agave is not grown in those five certified Mexican regions but instead in the highlands of Mount Agung, Bali—giving it a distinctive character of its own.
2. Efficiency vs. Exploration
When discussing alcohol production, technology plays a huge role. It’s important to acknowledge the disparity in technological access and funding between producers.
Local manufacturers often rely on older technologies due to the high cost of modern equipment. Some opt for a hybrid approach that combines traditional methods with current innovations.
International producers, on the other hand, who have a much wider market reach, tend to regularly update their production technologies. They may also experiment with new advancements to increase efficiency and optimize their output, a luxury made possible by easier access to funding and global tech resources.
3. Unique Quality Standards
Did you know that every alcoholic product must meet quality standards? This is a form of consumer protection, ensuring that products are safe and ethically produced.
International alcohol manufacturers follow a wide array of quality standards, such as Codex Alimentarius, ISO 22000 (food safety management), GMP (Global Manufacturing Practice), and HACCP (Hazard Analysis & Critical Control Points).
The diversity of standards is necessary for these producers to meet the regulations of various countries, maintain consistent quality, and build consumer trust.
In contrast, local alcohol manufacturers are usually only required to meet regional standards. For example, in Indonesia, regulations include BPOM Regulation No. 5/2021 on the safety and quality standards for alcoholic beverages, and BPOM No. 14/2016 regarding labeling, food additives, and production hygiene.
Still, the simpler regulatory framework allows local producers to develop their own internal standards—often creating flavor variations tailored to local tastes, which helps build stronger customer relationships.
4. Scale of Production and Distribution
For international producers, a wide-reaching market brings challenges in both production and distribution, especially given the varying tax rates imposed by different countries.
A larger market means a much larger production scale, not just to meet demand but also to stock inventory for peak seasons when alcohol consumption tends to rise.
For local producers, distribution poses a bigger challenge than production, particularly in Indonesia—a country made up of thousands of islands separated by sea. Naturally, delivering products across this vast archipelago can be a logistical hurdle.
However, local producers benefit from faster and more efficient production due to relatively lower demand volumes.
5. Full vs. Partial Marketing Activities
International alcohol brands with large markets often run comprehensive, 360-degree marketing campaigns. These strategies span online and offline platforms to ensure continuous engagement and relevance with their customer base.
Local producers, however, usually opt for targeted marketing efforts due to their more specific customer segments. Rather than blanket campaigns, they focus on purposeful marketing that yields higher returns on investment.
For international alcohol producers, the five points above often justify higher product pricing—leading some of their items to become the most expensive alcoholic drinks in the world.
So there you have it—an in-depth breakdown of the five key differences between local and international alcohol production, brought to you by Balimoon. Now you know much more about how local and global producers operate.
If you’re curious to try locally-crafted alcoholic beverages, don’t hesitate to explore Balimoon’s lineup, which includes whisky, gin, tequila, and many more.
Ready to experience the unique taste of locally-made spirits? Place your order now via phone/WhatsApp at +62 821-4510-9578.