1. (a) Except as provided in subsections (b) and (c), a farm winery may purchase annually a quantity of bulk wine that does not exceed the greater of the following:

   1. (1) Five thousand five hundred (5,500) gallons.
   2. (2) Fifty percent (50%) of the quantity of wine produced by fermentation by the winery during the previous year.

2. (b) This subsection applies to a farm winery that suffers a loss of wine inventory due to natural or manmade disaster. If the farm winery documents the inventory loss and obtains permission from the commission, the winery may purchase a quantity of bulk wine not greater than the sum of the following:

   1. (1) The quantity of the winery's wine inventory loss.
   2. (2) The quantity of bulk wine that may be purchased by the farm winery annually under subsection (a).
3. (c) The limits in subsections (a) and (b) apply only to wine sold directly to a consumer in Indiana. No limit is imposed on the amount of bulk wine that may be used in producing wine sold through a wholesaler or sold outside of Indiana.

As added by P.L.41-2002, SEC.3. Amended by P.L.68-2021, SEC.1.