Daijiworld Media Network – Bengaluru (MS)

Bengaluru, Aug 20: The state government has increased the price of liquor to accumulate funds for the guarantee schemes that were announced by it as it assumed power. However, the liquor buyers have shocked the government by not buying liquor in quantities that was expected.

The sale of Indian made liquor (IML) has declined by 15%. However, there is no change in the demand for beer, it is learnt. The demand submitted by the wine shop owners to state liquor corporation has also reduced.

In August 2022, 25.5 lac boxes of indigenous brand and 10.34 lac boxes of beer were sold. In August 2023, 21.87 lac boxes of indigenous brand liquor and 12.52 lac boxes of beer have been sold.

Due to the hike in prices, the demand for good brands of liquor has gone down. Lovers of scotch have shifted to premium brands and premium brand drinkers have shifted their loyalty to normal brands.

During the last four months, the excise department used to earn an income of Rs 2500 crore every month. However, in August this year only Rs 962 crore has been collected so far.

In April, the revenue was Rs 2,308 crore, while it collected May Rs 2,607 crore, in June Rs 3,549 crore and in July Rs 2,980 crore was collected.

The prices of liquor of all 18 slabs have risen by 20% due to increase in price of IML. On average the prices of liquor has been hiked from Rs 10 to 20 on every peg of liquor. Prices of every bottle has gone up from Rs 50 to Rs 200.

Every month the average sale of IML was 61 lac ton boxes. However, in August 2023, only 18.8 lac ton boxes have been sold so far.