• 🥃 A Drink With Skrewball
• 💸 11 Tribes' New $46M Fund II
• ▶️ BeyondSKU Now BeyondCPG
• 🌵"Godfather of Rosé" Bets on Mezcal
• 🆕 What Else Is New?

Consumers are eager for beverages with little to no added sugar… but not all sweeteners are considered equal. Cargill beverage experts offer targeted insights and solutions, including understanding consumer expectations, which sweeteners are finding favor, and Cargill's approach to sugar reduction. Learn more

What’s good for MAHA may not be so nice for Big CSD.

The U.S. Department of Agriculture (USDA) is moving quickly to approve state requests to pull soda and candy from the Supplemental Food Assistance Program (SNAP), the Wall Street Journal reported Tuesday.

Arkansas and Indiana are the first two to follow Health and Human Services (HHS) secretary Robert F. Kennedy Jr.’s lead, asking the USDA to prohibit SNAP recipients from purchasing sugary goods with their benefits. While the exact list of impacted products isn’t yet known, it would appear that “Diet” sodas are going to be on the chopping block.

Arkansas Gov. Sarah Huckabee Sanders put the new policy succinctly in an interview with the Journal: “No one is saying you can’t have a Diet Coke or a candy bar. We’re saying you can’t do it with taxpayer money.”

These are big, early policy wins for Kennedy’s Make America Healthy Again (MAHA) movement – which has been integrating itself into CPG industry, even making an appearance at this year’s Expo West – they’re not alone in using government levers to push for healthier eating and drinking habits.

Those old classic local ordinances known as Soda Taxes seem to be coming back in style as well. In January, Boston city councilors began advocating for a new sugary drinks tax and just this week, Connecticut legislators took up a bill that would impose a statewide soda tax. 

If passed, the Connecticut bill would become the country’s first sugary drinks tax covering an entire state, rather than just a municipality. Maryland state legislators just nixed the addition of a B2B service and sugary drink tax to its fiscal year 2026 budget in March.

With candy also in the crosshairs, Arkansas and Indiana’s SNAP move is also an extension of MAHA’s crusade against ultraprocessed foods (UPFs). These prohibitions could be a preview of how beverages will be roped into the push to reduce consumption of artificial and processed foods in America.

Unsurprisingly, manufacturers aren’t pleased with all of this. Industry group American Beverage called the policies “misguided,” per WSJ, and said they “won’t make an ounce of difference on health.”

But a per ounce tax on sodas might make a difference on sales.

Go Deeper: The Food Industry’s Approach To UPFs

Brittany Yeng – one of the masterminds behind Skrewball Whiskey – didn't follow the typical spirits industry playbook. 

🥜 A chemist-turned-lawyer, Yeng turned her family-owned bar's peanut butter whiskey shot into a flavored affair, grabbing the attention of Pernod Ricard five years post-launch.

🔑 The key to her strategy? Yeng embraced being the "misfits," targeting those who felt like outsiders and building relationships.

🩸 Speaking of relationships, we asked Yeng about her biggest lesson learned, and it’s a hard one for founders who have put their blood, sweat and tears into their business: don’t take things personally. 

Check out the full interview on Yeng’s journey to challenge the whiskey status quo.

Chicago-based VC firm 11 Tribes said it closed its second fund on Tuesday and is ready to deploy $46 million to early-stage CPG brands. 

• The firm will bring its “capital and care” approach to funding where it invests in “the whole human, not just the brand,” said 11 Tribes Ventures founder and managing partner Mark Phillips.
• 11 Tribes will deploy its new capital over the next 36 months and has already cut a new investment check to baking mix brand GoNanas.
• The fund is focused on brands seeking profitability and is seeking exit opportunities between $75 million and $250 million.
• The VC’s Fund 1 previously invested in hydration drink GoodSport and mushroom coffee maker Ryze.

Welcome BevnetCommunity! Download your free 2025 Wellness Trends report—featuring top insights on stress, alcohol alternatives, and more. Love the data behind the report? Subscribe to our Wellness CPG platform and get 50% off with code: Bevnet50. Learn more

New York-based startup accelerator BeyondSKU is now BeyondCPG. The program will continue to offer mentorship, operational support and education.

🚀 BeyondCPG, led by the team at growth and strategy consultancy BeyondBrands, is accepting applications for its upcoming cohort through June 1 on its website.

💬 “BeyondCPG is more than an accelerator – it’s a community, a platform and a launchpad for the next generation of conscious CPG leaders.” – Eric Schnell, co-founder of BeyondBrands

It’s been rosé all day for wine entrepreneur Sacha Lichine up until now, when it's mezcal. 

💰 Rosaluna Mezcal closed a financing round led by Lichine, creator of rosé brand Whispering Angel, known for redefining the U.S. rosé market. Lichine will also join Rosaluna's board of directors.

🚚 Rosaluna announced a new national partnership with wine and spirits importer Shaw-Ross International Importers to will expand the brand's footprint across the U.S. 

4️⃣ Rosaluna was founded by a foursome of investors and entrepreneurs, including Terry Lee, an adviser and investor of businesses like Thrive Market and Magic Spoon and creative director Nate Brown who has worked with the likes of Jay Z and Beyoncé. 

📥 What do you think can Lichine make the rest of the world fall crazy in love with mezcal, like he did rosé? Send thoughts to fsalniker@bevnet.com.

It’s Hump Day! Here’s a sip of fresh drinks and campaigns from the first half of the week.

💪 After teasing the launch at Expo West, Tru officially launched its line of Performance “Dusts,” bringing four of its canned beverage flavors to a stick pack format.

🏋🏽‍♂️ FITAID is also getting powdery. The Essentials platform features 3-SKUs of Creatine as well as Magnesium Glycinate, B-Complex and Vitamin D3 + K2 supplements.

🍊 Sanzo released its latest flavor, Mandarin, which is available at Whole Foods locations.

⚽ Electrolit partnered with Houston Dash star Diana Ordóñez to bring the brand to women’s soccer fans and athletes.

🤼 Coca-Cola’s Minute Maid is “Bringing the Juice” to professional wrestling as the Official Juice Partner of WWE via activations, co-branded drinks and a sweepstakes to win a VIP trip to pay-per-view events.