Cachaca is a Brazilian spirit distilled from sugar cane juice. Unlike Rum, which is usually made from molasses, Cachaca can only be made from fresh cane juice, and can only be made in Brazil. Since Cachaca is made from fresh cane juice, and not molasses (a derivative of sugar cane), it has a fruitier, fresher nose than rum. What is a Caipirinha, and how is it made? The national cocktail of Brazil, the Caipirinha is a combination of muddled lime, sugar, and Cachaça served on the rocks in a rocks glass. Take a good size lime, cut it into 8 wedges, and place 4 wedges in a rocks glass. Add two teaspoons of sugar, mash the lime and sugar with a muddler for 15 seconds, and add crushed ice up to the rim of the glass. Add two ounces of Cachaça, stir thoroughly, and garnish with a lime wedge.