Tequila’s history is rather shorter than many other forms of alcohol.  Distilled production of Tequila, as it is known today, was begun in the mid-16th Century, but was it was not produced in large scale until the late 18th Century.  Distillation first began Spanish conquistadors in Mexico after they drank through their stores of Brandy, however, the native Aztec population had been fermenting agave for centuries prior to Spanish arrival in the New World.  Regardless, Tequila was one of the first spirits to be distilled in North America.

Not long after conquistadors began distilling Tequila, the first Tequila distillery was opened in 1600 in Jalisco to mass-produce the spirit.  While distilleries did exist, the first formally recognized license to commercially produce Tequila was not granted for nearly two centuries; in 1795 King Carlos IV officially granted the Cuervo family (ancestors to today’s Jose Cuervo brand) a commercial production license.  It was almost another century still before Tequila made its way to the United States.  Don Cenobio Sauza (founder of the Sauza brand we know today) was the first to export north of the border, and in the process of exportation shortened the name from “Tequila Extract” to just Tequila.  Sauza is also credited with determining Blue Agave is the preferred agave for Tequilas.

Source: Wikipedia