The Sazerac Co has completed the construction of a US$20m distribution centre for its Buffalo Trace Distillery.

This investment is part of Sazerac’s US$71m spend in the state of Kentucky, at its three distilleries. The Glenmore Distillery in Owensboro is receiving a 223,000 sq ft distribution centre, which the company said "should be completed later this year or early-2016". The Barton 1792 Distillery in Bardstown added new equipment to improve production capacity.

Buffalo Trace's 83,000 sq ft distribution centre will use satellite technology to store and retrieve pallets of finished goods. The company claims to be the first spirits supplier to use the automated storage and retrieval (AS/RS) system.

The AS/RS occupies 46,574 sq ft inside the distribution centre and comprises three cranes that operate in three aisles, serving storage lanes five deep, and storing pallets six high. Each crane can induct/output 55 pallets of finished goods per hour or a total of 165 pallets moving within the system.

The new distribution area connects to Buffalo Trace’s existing distribution centre, making the total square footage 134,840.

In addition to Sazerac Co’s US$71m investment, the Kentucky Economic Development Finance Authority (KEDFA) granted tax incentives totalling around US$7.4m between the three Sazerac sites.

In May, Sazerac launched Buffalo Trace French Oak Barrel Aged Bourbon and French Oak Barrel Head Aged Bourbon.