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The Hindu
The Hindu
National
The Hindu Bureau

Cabinet approves new liquor policy for Kerala

The Kerala Cabinet on Wednesday approved the State’s liquor policy for 2023-24, increasing the bar licence fee from ₹30 lakh to ₹35 lakh and liberalising the policy for restaurants located within tourism zones.

The policy also envisages modernisation of toddy shops, stepping up production of Indian Made Foreign Liquor (IMFL) within the State and amendment of laws to promote the export of IMFL manufactured within the State. The relaxations that might spur an increase in liquor availability could lead to some level of protests from religious groups as well as Opposition parties.

Announcing the finer details of the policy at a press conference here on Wednesday, Excise Minister M.B. Rajesh said that the toddy produced in Kerala would be branded as ‘Kerala toddy’ and marketed as Kerala’s traditional, natural beverage.

Facelift

Toddy shops will get a facelift to make them attractive to foreign tourists. The shops will also provide local food items from across the State. Production of toddy will be stepped up in different parts of Kerala, especially on a plantation basis.

Hotels of three star or above classifications and resorts in tourism zones have been given permission to tap toddy from palm trees located on their premises to serve to their guests. Special licences will be provided for restaurants located in tourism zones to serve beer and wine during the tourism season.

The exact period of such licences for the different zones will be decided after discussions with the Tourism department, said Mr. Rajesh.

The policy also envisages the local production capacity of IMFL as well as beer, especially in the public sector company Travancore Sugars and Chemicals. The Malabar Distillery in Palakkad will begin liquor production this year.

The high brand registration fee and export fee, which have been an impediment to export of local produce, will be revised to promote exports. The production of extra neutral alcohol, a key component in liquor production, will also be stepped up.

Industrial parks

In a move similar to the decision last year to allow the sale of legal alcohol in specially designated areas in IT parks, the latest policy provides for similar arrangements in industrial parks too.

The rule amendments for starting bars in IT parks are currently in the works and are set to come before a subject committee of the Assembly. The latest policy also allows for the brewing of low intensity liquor and wine from fruits.

Mr. Rajesh said that the total number of functioning retail liquor outlets, including those of the Kerala State Beverages Corporation and Supplyco, currently stands at 309, although approval has been provided for 559.

Steps will be taken to open the remaining ones too. In addition to the increase in bar licence fee, the licence fee to serve liquor in clubs for seamen and marine officers will be increased from ₹50,000 to ₹2 lakh. Transparency in liquor sales will be ensured by affixing QR codes in liquor bottles sold through the Bevco.

He said that, as per the figures on July 24, the sales of IMFL in the State has increased by 2.4% compared to the same period in the previous year, bringing in an increase in revenue of ₹340 crore for Bevco.

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