Indiana House panel OKs microbrewery production increase

Senate Bill 297, which now advances to the full House, triples to 90,000 barrels the amount of beer Indiana microbreweries can manufacture for distribution within the state. Out-of-state distribution remains uncapped.

At the same time, the measure maintains the 30,000 barrel in-state self-distribution maximum, requiring microbreweries to sell any additional product to Hoosier retailers through Indiana beer wholesalers. A beer barrel contains 31 gallons.

State Rep. Tom Dermody, R-LaPorte, sponsor of the proposal, said he expects the legislation will help Indiana's nearly 100 small breweries add jobs and better promote their products.

"It's a great bill, I think it's exactly what they say they need, so I look forward to great growth out of them in our state," Dermody said.

The Senate approved the measure, 43-7, in February.