KOCHI: The sale of alcoholic beverages in the state registered a nominal 3% year-on-year growth in the last fiscal year, with the total contribution to the exchequer registering a growth of 2.6%.
According to data from the Kerala State Beverages Corporation Ltd (Bevco), total revenue from sales of alcoholic beverages for fiscal year (FY) 2023-24 stood at Rs 19,088.68 crore, compared with Rs 18,510.98 crore in the previous fiscal.
The contribution to the government through taxes and other levies was Rs 16,609.83 crore in the last fiscal, compared with Rs 16,189.55 crore in the previous one.
Bevco managing director Yogesh Gupta told TNIE that the growth was commendable, given the base effect, as sales had increased by 27% in FY23.
Kerala is predominantly a market for brown spirits, with a strong preference for beer, brandy, and rum. According to Bevco data for FY23, 90% of the revenue of Rs 18,510.98 crore came from Indian-made foreign liquor, while beer and wine together account for 8.9% of the market.
Foreign-made liquor sales amounted to Rs 150.64 crore, while foreign wine sales notched up Rs 4.25 crore.
Gupta noted that Bevco had more than doubled the sales of its popular ‘Jawan’ rum in the last fiscal, as the affordable brand cemented the trust of customers.
‘Jawan’ is known for being an affordable, good-quality rum. Supply of the brand – highly romanticised by Kerala’s tipplers – often falls short of demand.
The state government produces ‘Jawan’ rum at two distilleries: Malabar Distillery (MDL) in Chittoor, Palakkad, and Travancore Sugars and Chemicals Limited in Pulikeezhu, Pathanamthitta. Leveraging the brand’s popularity, Bevco currently intends to produce a premium version of Jawan at these facilities.
Sources said the government also plans to engage the cooperative sector in procuring fruits like cashew apples, pineapples, and plantains, while allowing private fruit-based wineries. Currently, Kerala produces only 20% of the liquor it consumes.
Bevco, the sole liquor retailer in the state, operates 277 outlets, with 143 offering self-service or premium counter facilities. According to reports, Kerala has the lowest ratio of retail liquor outlets in the country, with just 0.8 outlets per lakh of population. Kerala has only 0.8 retail outlets per 100 sq.km.