The Tamil Nadu government on Wednesday effected a 15 percent increase in excise duty on Indian Made Foreign Liquor (IMFL) which would shoot up the prices by Rs 10 to Rs 20 per 180 ml bottle. The decision comes a day before TASMAC shops located outside of containment zones in the state are set to open after over 40 days.
However, TASMAC shops within Chennai Police limits will not be allowed to open from May 7 due to the increasing number of COVID-19 patients in the state capital. The government has also issued clear guidelines to be followed at TASMAC shops, which will function from 10 am to 5 pm.
“Due to Tamil Nadu government’s decision to increase excise duty imposed on IMFL by 15 percent, the retail price of a normal 180 ml liquor bottle would increase by Rs 10 and 180 ml bottle of medium and premium liquor by Rs 20,” the government said in a press release here.
The price revision comes at a time when almost all political parties in Tamil Nadu, including ruling AIADMK’s allies, are up in arms against the government for its decision to reopen TASMAC during the lockdown period. The parties had warned that reopening of liquor shops would reverse the progress made during the lockdown as hundreds are expected to converge outside TASMAC outlets to buy liquor.
Though the AIADMK Government led by J Jayalalithaa had promised to implement staggered prohibition in the state, nothing much has moved in the direction in the past few years.
The government, while choosing not to respond to opposition criticism, has brought in a revision in the price of liquor in the state. TASMAC shops, run by the state government, sell liquor for nearly Rs 90 crore a day generating a revenue of over Rs 30,000 crore to the state exchequer annually.
TASMAC, which monopolised liquor sales in Tamil Nadu from 2002, is one of the biggest revenue generators for the state government.