T.N. consulting experts on opening liquor shops

Liquor sale ban near highways left Tasmac with decline of revenue up to 25%

August 24, 2017 12:50 am | Updated 08:02 am IST - Chennai:

CHENNAI: TAMILNADU 17/04/2017: TASMAC Shop opened at Kodaam Bakkam High Road in Chennai on Monday. Photo: CHENNAI: TAMILNADU 17/04/2017: TASMAC Shop opened at Kodaam Bakkam High Road in Chennai on Monday. Photo: - TASMAC_KODAAMBAKKAM_HIGH_ROAD_2

CHENNAI: TAMILNADU 17/04/2017: TASMAC Shop opened at Kodaam Bakkam High Road in Chennai on Monday. Photo: CHENNAI: TAMILNADU 17/04/2017: TASMAC Shop opened at Kodaam Bakkam High Road in Chennai on Monday. Photo: - TASMAC_KODAAMBAKKAM_HIGH_ROAD_2

The Tamil Nadu government will have consultations with senior experts regarding the Supreme Court order which said that there would be no more highway liquor ban in the city.

A senior government official who wished anonymity said, “We will take the opinion of the Advocate General on this issue and then take a call.” He refused to divulge further details.

Following the orders of Supreme Court, Tamil Nadu closed 3,321 Tasmac liquor retail vending shops from April 1. Of this, more than 1,700 outlets fall within municipal areas. A total of 124 FL2 licences, 512 FL3 licences, 12 FL3A licences and 6 FL3AA licences have were also closed. The Madras High Court in response to a petition filed by the opposition DMK on an attempt to denotify a highway road, clarified that the government could proceed with the conversion of roads without opening any liquor shops.

“We need to wait and see what the government decides on the opening of the outlets within city limits,” said a Tasmac Union member.

On an average, Tasmac sells liquor worth ₹68-₹70 crore during weekdays. During weekends and festive days it goes up to ₹90-₹100 crore.

Post the closure of liquor shops on State and national highways, the cash cow of Tamil Nadu saw its revenues slide by 25% in the initial few weeks. Currently, the revenue dip stands at 8%.

Reacting to the announcement, Anil Chadha, Vice President South ITC Hotels & General Manager ITC Grand Chola, said, “We are extremely excited to have received this news. Looking forward to offer our guests who have supported us during tough times a composite food and beverage experience.”

During 2016-17, government revenue earned through sale of liquor in Tamil Nadu stood at ₹26,995 crore.

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