BackKerala levies 10-35% corona fee on liquor
The state is yet to resume alcohol sales which were halted after the nationwide lockdown was announcedThe state cabinet has also decided to deliver liquor bottles as parcels from bars, and roll out an online queue system in state-run outlets
PremiumERNAKULAM: Kerala on Wednesday decided to hike prices of liquor by implementing a special coronavirus fee of 10-35% on the maximum retail price.
A state cabinet meeting has decided to bring an ordinance to this effect and state-owned Kerala State Beverages Corporation (Bevco), the sole wholesaler of liquor, has put out a renewed price list of the major brands on Wednesday. The state is yet to resume alcohol sales which were halted after the nationwide lockdown was announced.
The sales tax on beer and wine prices have been hiked by 10%, bottles below 600 ml have also been hiked by 10%, and all other categories have been increased by 35%, according to the new price list.
Kerala has one of the highest per capita consumption of alcohol in India. It already has one of the highest excise duty on liquor between 300% and 500%. It also forms one of the major sources of revenues for the state, which collected ₹14,508 crore in 2018-19. The ban on alcohol sales had put a heavy strain on the state exchequer, that was already reeling under rising expenditures and drying up of revenues.
Apart from raising taxes, local reports said, the state cabinet has also decided to deliver liquor bottles as parcels from bars, and roll out an online queue system in state-run outlets, before their likely reopening post 17 May, when the countrywide lockdown ends. Chief minister Pinarayi Vijayan is expected to provide further details of the cabinet meet later today.
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