The Cognac district is one of only three officially designated brandy regions in Europe. The other two regions are Armagnac (France) and Jerez (Spain). The Cognas District is divided into six vineyard districts. The three primary districts are Grande Champagne, Petite Champagne, and the Borderies and the secondary districts are Fins Bois, Bons Bois and Bois Ordinaires.

All cognacs are produced from wines made from grapes grown and harvested within the cognac region. The St. Emilion variety, also known as ungi blanc, is the main grape type cultivated. Cognac is distilled twice in small copper pot stills. The colorless, high-alcohol distillate, which by law cannot exceed 72% alcohol after the second distillation, is pumped into French oak casks for aging. The legal minimum period of wood aging is two and a half years but most cognacs age for much longer periods, with the best XOs maturing for two to three decades or more.