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Inchdairnie Distillery

InvestFife Case study

| InvestFife

Established in 2012, InchDairnie Distillery, named after the “hidden land close to the water,” was created to fill a unique gap in the whisky market: a small distillery dedicated to producing an exceptionally flavoursome whisky that stands out from traditional offerings. InchDairnie takes pride in its commitment to local quality, sourcing malted barley and rye exclusively from Fife, which imparts distinct regional flavours to its whisky. To drive ongoing innovation, the distillery houses a dedicated still for research and development, allowing the team to explore new flavours in partnership with Fife-based Tatlock and Thomson Scientific Services.

| InvestFife

APPROACH

InchDairnie Distillery sought a large area of land to accommodate a distilling and maturation warehouse. Working closely with the Council and Invest Fife, the land south of Fife Airport in Glenrothes was identified and was attractive to the distillery due to its large size, closeness to the motorway network, energy utilities and route to Grangemouth docks for container shipping.   

A planning application was submitted in 2012 and approved in 2013. The Council undertook infrastructure works including the provision of an access road in order to make the site developable. These works were funded by the Fife Council capital programme as the distillery development was seen as a significant inward investment opportunity for the area and one of the priority sectors not only in Fife but for Scotland as a whole. 

Engaging with Fife Council’s Economic Development team has also played an essential role in InchDairnie’s success, providing valuable insights and learning opportunities gaining access to resources that supported the company's growth ambitions, including market insights, networking with industry leaders, and the chance to participate in targeted trade events. These opportunities have strengthened the distillery's market understanding and competitive edge, equipping it with the tools needed to thrive in both domestic and international markets. 

Why Fife? 

Choosing to locate in Fife was easy. Fife was able to provide a large area of land to accommodate a distilling and maturation warehouse where all of the Inchdairnie Single Malt is matured. Fife provides an excellent location to start a distillery business by being so close to the motorway network, energy utilities and Grangemouth docks for container shipping."

Ian Palmer, Managing Director, Inchdairnie Distillery 

In 2022, InchDairnie acquired 11 acres of land at Osprey Road and obtained approval for its expansion plans to develop a bonded warehouse for whisky maturation in Glenrothes. The expansion work was completed in October 2024, with the addition of 4 bonded warehouses, adding to the already existing 14, as well as significant expansion to the distillery’s stillhouse with the installation of two new stills; a wash still and a spirit still, and an additional three fermentation tanks to the exterior. 

The expansion also includes preparing for the conversion to green hydrogen from natural gas, set to reduce the carbon footprint of the distillery by an estimated 35%. Achieved through the installation of a new Bosch Hydrogen Ready boiler, it is expected that ScottishPower will begin to supply green hydrogen in 2027. 

InchDairnie Distillery won the Sustainability and Net Zero Award at the Fife Chamber of Commerce, Fife Business Awards. InchDairnie is the first distillery to publicly release a carbon footprint report. This carbon footprint report clearly identified the principal areas of the company’s product that were driving the carbon footprint. The two areas being the malted barley supply chain, and the natural gas consumption at the distillery. Following this, the distillery has signed up to the SME Climate Commitment. “Recognising that climate change poses a threat to the economy, nature and society-at-large, our company commits to take action immediately in order to: 

  1. Halve our greenhouse gas emissions before 2030
    2. Achieve net zero emissions before 2050
    3. Disclose our progress on a yearly basis” 

At the start of 2024, the distillery appointed a sustainability manager to focus exclusively on overseeing the achievement of these goals. 

InchDairnie launched their first release RyeLaw, Fife Single Grain Scotch Whisky to a global market in April of 2023. RyeLaw has achieved growing success as it is currently listed with more than 30 on-trade and off-trade stockists, across 80 locations and has achieved global distribution in Germany, Switzerland, Luxemburg, Netherlands, Belgium, Spain, France, North America, Japan and Taiwan. 

NEXT STEPS 

Since its founding, InchDairnie has not only enriched Fife’s economy but also made headlines with expansion projects to increase its production and distribution capacity, fuelling anticipation for its first whisky release. The distillery’s commitment to sourcing locally and developing innovative distilling techniques has made it a standout contributor to the Fife whisky scene. 

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