Wine based alcoholic beverages, commonly referred to as “wine slushy” drinks, are being made and sold in the state of Iowa by retail alcohol license holders authorized to sell wine. The Iowa Code and the Iowa Administrative Code does not define or describe the term “wine slushy”.
For the purposes of this guidance, a “wine slushy” means a frozen alcoholic beverage consisting of wine and other flavoring ingredients. This guidance is for Iowa retail alcohol license holders who plan to make and sell wine slushy drinks.
Summary
All aspects of manufacturing, sale, and service of alcoholic beverages in the state of Iowa are regulated by the Iowa Alcoholic Beverage Control Act, Iowa Code Chapter 123 (2024). The following guidelines will help license holders comply with Iowa law:
- Manufacturing and Selling: Class “A” wine permit holders may produce and sell wine slushies if they are packaged in sealed containers on licensed premises and follow federal labeling requirements.
- Retail Sales:
- Class “C” or special class “C” retail alcohol licensees (LC and BW) can sell wine slushies for both on-premises consumption (if mixed and served by the licensee) and off-premises consumption (if sold in the original unopened container). Class “C” licensees can sell wine slushies containing liquor under specific conditions.
- Special class “C” retail native wine licensees (WCN) can sell wine slushies made with native wine for on- or off-premises consumption, under similar conditions to the class “C” or special class “C” licenses.
- Class “B” retail alcohol licensees (LG) can sell wine slushies in their original unopened containers for off-premises consumption only.
Frozen alcoholic beverage products are sold in Iowa. Daily’s™ Cocktails is a commercially-produced line of wine-based frozen alcoholic beverage products manufactured by American Beverage Corporation (ABC), a wine producer/blender outside of Iowa. ABC has a brewer’s certificate of compliance, which under section 123.135 allows it to ship product into Iowa for resale by licensed wholesalers. Distributor Southern Glazer’s Wine & Spirits holds a wholesaler’s permit (issued per section 123.130) that allows it to wholesale ABC’s products to licensed retailers.