Liquor prices go up in Karnataka

Apr 12, 2011 |

Bengaluru

Liquor prices of various brands have been increased by 10 to 20 per cent in Karnataka with effect from April 1, Excise minister M. P. Renukacharya said today.

The hike would lead to additional revenue of Rs. 1,000 crore to the state exchequer, he told reporters here.

The government would also double the licence fee to distilleries, he said.

Liquor sales in Karnataka have witnessed a surge and manufacturers have been reaping good margins, he said defending the hike.

Liquor manufacturing distilleres are now levied Rs. 30 lakh licence fee per annum and Rs. 20 lakh from bottling units, he said adding the fees would be doubled this year.

The hike would enable government earn Rs. 60 crore revenue from the existing Rs. 30 crore, he said, adding a target has been set to mop up Rs. 9,200 crore excise revenue this year.

Last year the revenues touched Rs. 8,315 crore as against the target of Rs. 7,500 crore, Renukacharya said.

He said efforts are on to check entry of illegal liquor from Goa as also the powder mixed into toddy from neighbouring Andhra Pradesh into parts of Raichur, Gulbarga and Koppal in the state.

The government has launched a crackdown on hooch manufacturing units in the state, he added.

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