Sunman, In. — MGP Ingredients of Indiana has announced plans to use the 415,000-square foot facility formerly used by Deufol* to age spirits. The company, with distilleries in Lawrenceburg and Greendale purchased the building in October of 2018.
The Sunman town council approved a tax abatement for the company in December.
Some residents have expressed concerns about a fungus that grows as a result of evaporating ethanol. The black fungus will coat surfaces like houses and cars. Some fear property values could take a hit. The fungus, Baudoinia compniacensis, is documented in other distillery locations in Scotland and Ireland.
In 2007, a scientific study was done that directly tied growth of the fungus to ethanol.
In 2012, a group of property owners in Kentucky filed a class action lawsuit against spirit makers. A federal judge tossed that case out in 2016.
*Deufol still leases space and employs full-time and temporary workers in the facility.
