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Cognac is a variety of brandy named after the town of Cognac in France, It is produced in the wine-growing region surrounding the town from which it takes its name.

For a brandy to bear the name Cognac, its production methods must meet certain legal requirements. In particular, it must be made from specified grapes of which Ugni blanc, is the one most widely used. The brandy must be twice distilled in copper pot stills and aged at least two years in French oak barrels from Limousin or Tronçais. Most cognacs are aged considerably longer than the minimum legal requirement. After the distillation and during the aging process, is also called eaux-de-vie.

The white wine used in making cognac is very dry, acidic and thin. After the grapes are pressed, the juice is left to ferment for two or three weeks.

Distillation takes place in traditionally shaped Charentais copper stills, also known as an alembic, the design and dimensions of which are also legally controlled. Two distillations must be carried out and the resulting eau-de-vie is a colourless spirit of about 70% alcohol.

Once distillation is complete, it must be aged in Limousin or Tronçais oak casks for at least two years. During the aging process water and alcohol evaporates. The cognac is then transferred to large glass carboys called bonbonnes, and stored for future blending. Generally oak barrels stop contributing to flavour after four or five decades.

The age of the cognac is calculated as that of the youngest component used in the blend. The blend is usually of different ages and from different local areas. Blending is done to obtain a complexity of flavours absent from a cognac from a single distillery or vineyard.

According to the Bureau National Interprofessionnel du Cognac (BINC), the official quality grades of cognac are the following:

     •   V.S. ("very special") designates a blend in which the youngest brandy has been stored for at least two years in cask.
     •   V.S.O.P. ("very superior old pale") designates a blend in which the youngest brandy is stored for at least four years in a cask.
     •   XO ("extra old") designates a blend in which the youngest brandy is stored for at least six years.
     •   Hors d'âge ("beyond age") is a designation which BNIC states is equal to XO, but in practice the term is used by producers to market a
          high-quality product beyond the official age scale.