CHENNAI: Tipplers in Tamil Nadu may have to shell out more for liquor from the end of this week as the state government is likely to increase the prices. The proposal came up for discussion at the Tamil Nadu State Marketing Corporation (Tasmac) board meeting chaired by Prohibition and Excise Minister K Vignesh at the secretariat in Chennai on Monday.
Officials said a uniform increase ranging from `10 to `50 per 120 ml bottle is under consideration for ordinary and mid-range liquor brands, Indian-made foreign liquor (IMFL) products and beer.
However, no final decision has been taken and the quantum of the hike is yet to be finalised. The last revision in liquor prices was implemented on February 1, 2024, when prices of various liquor brands were increased by `10 to `80. If approved, this will be the first price revision in over two years.
According to officials, the proposed revision may also be aimed at offsetting the revenue loss caused by the recent closure of 717 Tasmac retail outlets across the state.
On the other hand, a senior Tasmac official told TNIE that the state had recently imposed an additional levy on liquor manufacturers supplying IMFL products and beer to Tamil Nadu.
Following this, distillery and brewery owners urged the government to revise the retail prices, citing higher production and supply costs. “Though the government did not immediately accept the demand, the issue was taken up for discussion during the board meeting,” the official said.
During the meeting, the board also deliberated on the possibility of allowing private players to handle retail liquor sales in the future. However, sources said 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 board also reviewed existing norms governing the operation of bars attached to Tasmac outlets. At present, 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 is aimed at simplifying the bidding process and encouraging greater participation. Besides this, changes to certain tender conditions were also discussed during the meeting. The second day of the Tasmac board meeting is scheduled for Tuesday, during which the proposals are expected to be finalised.