Liquor Prices in Tamil Nadu Set to Rise: What You Need to Know

Tamil Nadu is bracing for a potential increase in liquor prices, with the state government considering a hike of Rs 10 to Rs 50 per bottle. The proposal, which was discussed during a meeting of the Tamil Nadu State Marketing Corporation (Tasmac) board, aims to offset revenue losses caused by the recent closure of 717 Tasmac retail outlets across the state.

The last revision in liquor prices in Tamil Nadu was implemented on February 1, 2024, when prices of various liquor brands were increased by Rs 10 to Rs 80. If approved, the new price hike would be the first revision in over two years. Officials have stated that a uniform increase ranging from Rs 10 to Rs 50 per 120 ml bottle is under consideration for ordinary and mid-range liquor brands, Indian-made foreign liquor (IMFL) products, and beer.

The proposed price revision may also be aimed at addressing the concerns of distillery and brewery owners, who have been urging the government to revise retail prices due to higher production and supply costs. The state had recently imposed an additional levy on liquor manufacturers supplying IMFL products and beer to Tamil Nadu, which has led to increased costs for these businesses.

In addition to the price hike, the Tasmac board meeting also discussed the possibility of allowing private players to handle retail liquor sales in the future. However, the proposal did not receive support from the finance department, which expressed concerns that handing over retail sales to private operators could significantly affect the state's revenue from liquor sales.

The Tasmac board also reviewed existing norms governing the operation of bars attached to Tasmac outlets. Currently, bidders participating in bar licence tenders are required to obtain a No Objection Certificate (NOC) from the building owner before submitting their bids. The proposal aims to simplify the bidding process and encourage greater participation.

The history of liquor pricing in Tamil Nadu is complex, with the state having implemented various pricing policies over the years. In 2015, the state government increased liquor prices by 15-20%, followed by another hike in 2017. The 2024 price revision saw a significant increase in prices, with some liquor brands seeing a hike of up to Rs 80 per bottle.

The potential price hike has raised concerns among consumers, who are already feeling the pinch of increased living costs. The state government must balance the need to generate revenue with the concerns of consumers and the liquor industry. As the Tasmac board meeting continues, it remains to be seen whether the proposed price hike will be approved and what the final quantum of the increase will be.

In conclusion, the potential price hike in liquor prices in Tamil Nadu is a significant development that will have far-reaching implications for consumers, the liquor industry, and the state government. As the situation unfolds, Boyfriend TV will provide updates and analysis on the latest developments.