Worcester Business Journal

8 Worcester Business Journal | February 23, 2026 | wbjournal.com A Worcester vinegar maker riding a wave of national interest is raising $1.5M for new facilities BY MICA KANNER-MASCOLO WBJ Staff Writer A t the end of the road weaving through Worces- ter's historic Whittall Mills industrial complex sits a small vinegar manufactur- ing facility with big, big goals. "We're creating what we intend to be America's mass premium vinegar of choice," said Rodrigo Vargas, owner and founder of American Vinegar Works. Vargas opened his small-batch, barrel-aged vinegar company in 2019, reviving a vinegar-marking process from the 19th century. Not yet six years old, American Vinegar produces nearly 13,000 gallons of vinegar a year from its 3,500-square-foot Worcester headquar- ters, and space is getting tight. As the company's products land on more grocery shelves and interest in cra-made vinegar rises, Vargas is raising $1.5 million toward his latest ambitions: quadrupling his manufac- turing space and expanding beyond a direct-to-consumer model. "We're starting to see manufacturers and industrial tenants in general start to make some moves that they weren't last year," said Evan Koogler, com- mercial real estate agent at Kelleher & Sadowsky Asso- ciates in Worces- ter. "Over the next year, especially if interest rates are coming down like they're expected to, I think you're going to see a lot of those large-scale expansions taking place, especially in Worcester County." Old ways, new taste Vinegar is made when naturally-oc- curring acetobacter bacteria, in the presence of oxygen, converts the etha- nol in alcohol into acetic acid. Ameri- can Vinegar produces 20 varieties out of beer, mead, cider, wine, and rice wine. Industrial vinegars are most com- monly made using an aeration method where air is blown into stainless steel tanks of alcohol, converting the alcohol into vinegar in one to two days. Conversely, Vargas' drip method takes six to eight months before it can be shipped to consumers: Two months to pass the mix of vinegar and alcohol between two vertical chambers, and four to six months to barrel-age. "Vinegar has really been treated as a commodity product, even though it's been around for thousands of years. It actually has the potential to be incredi- bly nuanced from a flavor perspective," said Vargas. For 2026, e New York Times declared vinegar as the publication's ingredient of the year, due to its rising use in food and drink. To make his vinegar, Vargas part- nered with Boston University to recre- ate 40-gallon stainless-steel versions of drip machines invented in 1823, which had essentially gone extinct since the early 1900s. He then worked with the University of Maine to create 500-gal- lon versions for scaled production. American Vinegar products now are sold in all the New England locations of Whole Foods Market, at 33 Big Y locations, and hundreds of independent grocers throughout the country. In Jan- uary, Vargas launched four of his vine- gars at 170 e Fresh Market locations, mainly in the southern states. In March, American Vinegar will be available at 10 Metropolitan Market locations in the Pacific Northwest. Vargas is in talks with a distributor in Japan. e Market Pantry inside the Worcester Public Market started sell- ing American Vinegar in 2021, prior to its move from Lowell to Worcester. Tina Zlody, director of the pantry, found Vargas' vinegars through an aggregate site for local makers and producers. His vinegars are one of her top sellers. "His products play a big role in my store," said Zlody. When Vargas needed workers at PHOTO | COURTESY OF AMERICAN VINEGAR WORKS Old-fashioned manufacturing expansion Evan Koogler, commercial real estate agent at Kelleher & Sadowsky Associates American Vinegar Works is looking to grow beyond its 3,500-square-foot facilities. Rodrigo Vargas Founder & owner American Vinegar Works Founded: 2019 Location: Worcester Employees: 2 full-time, 3 part-time

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