Tequila’s history in Texas is fascinating. It’s a story of cultural exchange, economic ties and evolving tastes, closely intertwined with the broader history of tequila itself and the relationship between Mexico and the United States. I mean we’re all Texans here, but y’all know this whole place used to be Mexico, right?
Tequila’s roots can be traced back to the agave plants native Aztecs used to make a fermented drink called pulque. The world changed when Spanish settlers introduced distillation to the Americas, leading to the creation of mezcal. In the early 1600s, the first mezcal distillery was established in Jalisco, Mexico, in the city now known as Tequila.
All tequila is mezcal, but not all mezcal is tequila. Tequila is made exclusively from blue agave, whereas mezcal can be made from over 30 types of agave, the most common of which is espadin. Just like champagne, tequila and mezcal have geographical indications. The production of authentic tequila is confined to 181 municipalities across five Mexican states.
The pivotal moment for tequila came in 1758 when the Cuervo family began distilling. Soon after, Don Cenobio Sauza advocated that only blue agave should be used for tequila, distinguishing it from mezcal. This decision set the standard for what constitutes a tequila today.
Tequila started gaining popularity in the United States, particularly in Texas, during the early 1900s, notably during Prohibition. The U.S. alcohol ban led to tequila being smuggled across the border. Even after Prohibition ended, tequila’s popularity continued to rise.
The development of the margarita cocktail in the 1930s (or 1940s, depending on which origin story you’re most agreeable to) boosted tequila’s popularity in Texas. While the exact origins of the margarita have been lost to history, there’s no debating the significant role the cocktail played in making tequila one of the most popular spirits in our state — and the country. One account suggests that the margarita was invented accidentally in Tijuana when a bar owner used tequila instead of brandy in a brandy daisy cocktail. Other versions of the story usually involve a bartender trying to impress a dancer named Marjorie, and one says it’s named after the daughter of the German ambassador to Mexico, whose name was Margarita Henkel.
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In 1974, the Mexican government declared tequila its intellectual property, prohibiting other countries from producing or selling their own versions of the agave spirit. This was a significant step in protecting tequila as a distinctive Mexican product, internationally recognized for its geographical indication. This denomination of origin meant that tequila could be legally produced only in specific regions of Mexico. This led to the establishment of the Tequila Regulatory Council, known in Spanish as the Consejo Regulador del Tequila, whose formation was part of a broader effort to preserve the cultural and economic significance of tequila.
In September of 1975, Texas Monthly’s cover story was titled “How Not to Drink Tequila.” Author Gregory Curtis wrote that “Tequila was thought of as some sort of Mexican cactus juice… The universal opinion held that the stuff was horrible — tasted bad, smelled bad, came in odd-looking bottles, was probably unsanitary,” and its only possible use was “as a gasoline substitute or a cleaning fluid”; later, the article states, “almost no one in the United States knows what tequila is or how it is made.” What a difference 50 years makes. Tequila is king, and we’re no longer trying to figure out where to put the salt.
This brings us to today, when tequila is the most favored spirit in Texas. In fact, Texas outdrinks other tequila-loving states like Georgia, Arizona and Florida by an impressive 119%. This shouldn’t be surprising since the margarita is, by far, the state’s most beloved and most ordered cocktail. The enduring popularity of tequila-based cocktails also bolstered tequila sales during the pandemic as home cocktail-making surged. Additionally, a notable consumer shift toward 100% agave tequilas marks a broader movement toward higher-quality products, particularly within the premium segment, with these consumers showing a reluctance to return to lower-quality varieties. That being said, tequila’s growth isn’t confined to the high-end market and is seeing an uptick across all price tiers, which indicates broad appeal and a growing willingness among consumers to invest in quality. More recently, the industry’s embrace of innovation, seen in new distillation and maturation techniques and product launches, continues to attract consumer interest and drive category growth.
In 1971, Mariano Martinez was looking for a way to serve his customers a consistently good frozen margarita at his Dallas restaurant, Hacienda Ranch, but making frozen margaritas by hand not only was time-consuming but also resulted in inconsistent quality. Inspiration struck when he noticed a soft-serve ice cream machine. After several modifications and adjustments, he managed to repurpose the machine to churn out smooth, frozen margaritas consistently. His original machine was recognized for its cultural impact and is now part of the Smithsonian National Museum of American History.
There’s nothing Texas loves more than a good margarita and a good business idea. It seems like a new tequila hits the market once a week. Some of the most exciting tequilas on the market are headquartered in the Lone Star State. Let’s explore some of these Texas-based tequilas and keep it local.
AGUASOL TEQUILA
Aguasol Tequila hit the market in 2022 and is a collaboration between Austin City Limits Music Festival co-founder Charles Attal and Austin FC co-founder Eduardo “Eddie” Margain. The tequila itself is produced by Tequila Cascahuín in Jalisco, Mexico, which started in 1904 and is in its fourth generation of being family-run. Focusing on small-batch quality, the range includes Aguasol Blanco, an unaged tequila with a light, fresh profile featuring cooked agave, mint, earth and citrus flavors, and Aguasol Reposado, aged in American bourbon barrels for three months, blending agave and caramel flavors with oak and vanilla notes. Aguasol focuses on traditional production methods, such as cooking agave in stone ovens and utilizing double distillation. As an added, feel-good bonus, the Aguasol website states that portions of its proceeds have been donated to the Careyes Foundation in Jalisco, which has a mission to create “programs in education, environment, wellness and the arts to improve the well-being of 12 rural communities along the South Pacific coast of Mexico.”
DULCE VIDA
One of the first Texas-based tequilas, Dulce Vida was launched in Austin in 2009. Dulce Vida sources its organic 100% blue agave from Jalisco. Dulce Vida offers a standard variety of tequilas, including blanco, reposado and añejo, but it doesn’t stop there. Whiskey fans will adore the extra añejo, which is aged in Garrison Brothers barrels and has a more full-bodied, spicy oak-influenced flavor with hints of dark chocolate and tobacco, as well as Asian spice notes of ripe cherry, brown sugar, maple, cinnamon and a bit of orange marmalade.
In addition, Dulce Vida Tequila offers a wide range of flavored tequilas, all made with organic ingredients. Its flavored tequilas include grapefruit, pineapple jalapeño and lime tequila. All of these are low ABV, sitting at 70 proof, and a perfect start for riffs on your favorite “skinny margarita” recipe.
EL PERRO GRANDE TEQUILA
In West Texas, not even Prohibition could keep the good people of El Paso from their tequila. With the spirit’s local history and rise in popularity, El Paso businessman Renard Johnson decided to start El Perro Grande Tequila in 2019. Sourced from Jalisco and 100% blue agave, the first thing you’re going to notice about the tequila is the tattoo-covered, ceramic chihuahua-shaped bottle, which is a tribute to the “small but mighty underdog” city of El Paso.
El Perro Grande Tequila comes in traditional varieties: the blanco has vegetal, citrus and green apple notes; the reposado has more of a caramelized, sugary orange essence with elements of vanilla and molasses; and the extra añejo is soon to be released. Before it even hit the market, El Perro Grande Tequila had earned a silver medal at the San Francisco World Spirit Awards.
LA PULGA SPIRITS
Named after Fort Worth’s La Pulga market, symbolizing community, La Pulga Spirits was founded in 2020 by restaurant owner Sarah Castillo, former bar owner Andrew de la Torre, and entrepreneur Stephen Slaughter. Sourced from Jalisco, La Pulga’s dual-process cooking method merges traditional brick ovens and modern autoclave techniques, enhancing the agave’s natural qualities. Focusing on authenticity, La Pulga avoids additives and celebrity endorsements, emphasizing the tequila’s production process. The founders plan to expand by building a boutique hotel and a sotol distillery, promoting Mexican American culture.
The range includes blanco, noted for its earthy, floral taste with hints of grapefruit and honey; reposado, aged in bourbon barrels, then tequila barrels, offering a soft, honeyed flavor with cinnamon and licorice notes; and añejo, known for its rich, fruity profile with vanilla and oak tones, perfect for neat sipping. La Pulga is everything you hope for in a superb tequila and truly represents Mexican culture and heritage within each bottle.
SOCORRO TEQUILA
In North Texas, Socorro Tequila, established in 2020 by co-founders Josh Irving and Pablo Antinori, combines traditional tequila flavors with modern flair. The spirit comes from Arandas in the Jalisco Highlands and offers three main tequila expressions: blanco, known for its floral and fruity notes; reposado, aged four months with balanced sweetness and oak richness; and añejo, matured for 14 months, offering complex flavors of toffee and spices. Socorro’s founders were so warmly welcomed in Jalisco that they decided to emphasize the philanthropic side of the company through their Case for a Case program. This initiative donates a case of clean water to orphanages in the Highlands of Jalisco, Mexico, for every case of tequila sold.
Irving and Antinori also founded Soledad Tequila, which focuses a significant portion of its efforts on aging the tequila. This tequila is matured for eight years in bourbon barrels, achieving an ideal balance between the flavors of oak and agave. Soledad Dos Barricas tequila is double barrel aged, incorporating a technique not often seen in agave processing.