1. The elaboration of tequila begins with cultivation of agave in the Territory of the Appellation of Origin Tequila (AOT). The first task is the selection of shoots (hijuelos) of the species Agave TEQUILANA WEBER, blue variety; which are to be planted only in the AOT territory. The AOT territory is the area protected by the General Declaration of Protection of the AOT; the shoots (hijuelos) must be free of disease and with a height of approximately 50 cm

2. The cycle of the plant is approximately 10 years, a period in which it reaches its full maturity; which means that at this stage, it provides the best honeys, and it is ready for harvesting (jima).

3. The harvesting (jima) consists of slicing off the leaves from the plant at the edge of the base so that only the pineapple (agave heart) is left.

4. The elaboration process starts with the cooking and grinding of the pineapples (agave hearts) the cooking is performed using water vapor pressure, either in the traditional masonry ovens or in vessels. The cooking period is longer in masonry ovens (48 hours) that in vessels (12 hours). The purpose of this stage is to convert the inulin (agave nectar) into sugars such as fructose and sucrose which are easy to ferment. Once the cooking process is completed, the cooked agave is transported to mills where it is cut into small centimeter pieces

5. Extraction of juice and bagasse (residual): In order to extract the juice from the cooked agave, water vapor pressure is applied to the bagasse and then it’s squeezed onto conveyor belts. The juices are then separated to continue the industrial process, and the bagasse is squeezed out. The juices that are extracted from the cooked agave are captured in container deposits; and then are transported by pipes to formulation tanks (for the elaboration of tequila) or to fermentation tanks (for the elaboration of Tequila 100% Agave), depending on the case.

6. The formulation consists of mixing at least a minimum of 51 % of the agave juices with no more than 49% of a prepared mix of other juices (standard sugar, piloncillo, gluclose, fructose, molasses, etc.); for subsequent fermentation.

7. The fermentation is one of the most important stages of the process, since it’s at this point in which sugars are transformed into ethyl alcohol and into other products in smaller proportions. The fermentation takes place in large stainless steel tanks, which are filled with the juices also called musts. Water, yeast, and nutrients are added to the musts for fermentation. The fermentation period varies according to the weather temperature, which changes with each season of the year. Subject to low temperatures during winter times, the fermentation lasts more than 24 hours. This process has a similar pattern to the growth curve of any microorganism: exponential growth, stationary phase, and a death phase.

The result of any fermentation is alcohol, carbon dioxide, water and energy that are issued as heat. The must in full fermentation is effervescent, and the movement ceases when the yeasts finish their work. At that point the process is complete and it is customary to say that the must is dead, the yeasts have completed the conversion from sugar into alcohol.

8. The distillation is the process used to separate the enzymes – using heat and pressure – to obtain products rich in alcohol (tequila) and vinazas (the residue water that is discarded). During the distillation the ferments are transported through pipes to stainless steel stills for distillation, in which they are heated at high temperatures. The distillation is performed in stainless steel/copper stills and even in towers of continuous distillation. The average stills have three sections: the cooking vessel (where the must is deposited for heating), the column (which captures and transports the vapors), and the coil (where the vapors cool down and turn into liquids).

The boiling points of the various compounds and the diverse volumes and pressure levels of the stills; help the separation of gases, which condense into products of higher alcohol level. Two distillations are needed to produce tequila: crushing and rectification.

With the rectification the alcohol level increases and the undesirable residues are eliminated, and a more pure product is achieved. The tequila that results from the first distillation is called “ordinary tequila”, and the tequila that results from the second distillation or rectification, is called “white tequila”. In addition to the bagasse, there are other derivatives at the beginning and end of the distillation process known as “heads” and “tails”, respectively.

Generally, the tequila that results from distillation can have the following destinations:

• Diluted and packaged as White Tequila (Blanco).
• Tequila sold in bulk (applicable only to the “Tequila” category).
• Mellowing (abocamiento) and packaged as Gold Tequila (Joven or Oro).
• Aged and packaged as Aged Tequila (Reposado).
• Aged and packaged as Extra-aged Tequila (Añejo).
• Aged and packaged as Tequila Ultra-aged Tequila (Extra Añejo).

Classification

Categories.

Based on the percentage of the sugars deriving from the Agave used in the elaboration of the Tequila, it may be classified into one of the following categories:

“100% Agave”.

It’s the product that during fermentation is not subject to be enriched with other sugars different to those obtained from Agave Tequilana Weber, blue variety; cultivated in the Territory of the Appellation of Origin Tequila (AOT) - as stated on the General Declaration of Protection of the Denomination of Origin. In order for this product to be considered as “100% Agave” Tequila, it must be bottled at the bottling plant controlled by the Authorized Tequila Producer. Also, the bottling plan must be located within the Territory of AOT, as stated on the General Declaration of Protection of the AOT

This product must be denominated as any of the following: 100% Agave, 100% from Agave.

“Tequila”.

It’s the product in which prior to fermentation, the musts are subject to enrichment and mixing together with other sugars - up to a proportion no greater than 49% of reducing sugars (totals shown in mass units. This maximum enrichment of up to 49% total reducing sugars (shown in mass units), cannot be done using sugars from any Agave species. 51% of the total reducing sugars may only be done using sugars extracted from Agave Tequilana Weber, blue variety; cultivated in the Territory of the Appellation of Origin Tequila(AOT)- - as stated on the General Declaration of Protection of the Denomination of Origin.

This product must be bottled in plants located within the Territory of AOT, as stated on the General Declaration of Protection of the Denomination of Origin; and it may only bottled outside of this territory when the conditions specified in the NOM - Normas Oficiales Mexicanas (Official Mexican Standards) are met.

Types.

According to the characteristics acquired during processes prior to distillation, Tequila is classified as:

• White Tequila (Blanco)
• Gold Tequila (Joven or Oro)
• Aged Tequila (Reposado)
• Extra-aged (Añejo)
• Ultra-aged Tequila (Extra Añejo)

Bottling.

The Tequila bottling company must demonstrate at all times that the product has not been adulterated – from its delivery in bulk through its bottling.

The Tequila must be bottled in new sanitary containers, made with materials that are innocuous and resistant to the different states of the process, in a way that they don’t react to the product or alter its physical, chemical and sensorial characteristics,

The maximum capacity of each container cannot more than 5 liters and brands of bottling that are not owned by the Authorized Producer or approved bottling company as specified by the NOM - Normas Oficiales Mexicanas (Official Mexican Standards).

Commercial Information

Labeling.

Each bottle must display a legible label legible containing the following information in Spanish; which must be truthful and not mislead consumers with regard to the nature and characteristics of Tequila:

a) The word “Tequila”;

b) Category and type to which it belongs;

c) If it applies, flavour or aroma additives;

d) The volume of the contents in liters or milliliters in compliance of NOM-03O-SCFI-1993

e) Alcohol content shown in percentage of alcohol in volume to 20ºC, which must be abbreviated as “% Alc. Vol.”;

f) Name or social purpose of the Authorized Producer or the company where the Tequila is produced and if it’s applies, the authorized bottling company;

g) Address of the Authorized Producer or where the Tequila is made and if it applies, the authorized bottling company;

h) Name of the brand name followed by the trademark symbols ® o “MR”;

i) MADE IN MEXICO, PRODUCT OF MEXICO, ELABORATED IN MÉXICO, or other analogous;

j) Official Code, according to NOM-106-SCFI-2000;

k) Each bottle must have the distillery’s approved identification in addition to the code which is engraved or marked on the bottle. The authorized code of the approved producer must not be hidden or altered;

l) The precautionary policies stated in the Health Legislation and all other information required by other applicable legal provisions to alcoholic beverages.

The specific requirements of the elaboration and process, the bottling and advertisement are stated in the Norma Oficial Mexicana del Tequila en vigor NOM-006-SCFI-2005, Alchoholic Beverages – Tequila Especificatons NOM-006-SCFI-2005, ALCOHOLICS BEVERAGES - TEQUILA-ESPECIFICATIONS.