Pragmatic step: Kerala's new liquor policy

The Kerala government wisely cuts its losses by relaxing restrictions on bar licences

June 12, 2017 12:02 am | Updated December 03, 2021 05:02 pm IST

The Kerala government’s new liquor policy is a pragmatic step that may help boost its revenue and retrieve lost ground in the tourism sector. More important, it will end the discrimination in favour of five-star hotels. Kerala’s erstwhile United Democratic Front government had restricted bar permits to five-star hotels alone, resulting in more than 700 hotels of other categories losing their bar licences. Under the new policy, hotels in the three- and four-star category may also have bars that serve Indian Made Foreign Liquor. Two-star hotels are permitted to serve wine and beer. At the same time, the Left Democratic Front government in the State has sought to give a boost to the traditional toddy business by allowing hotel bars to sell toddy too. To partially offset criticism, it has raised the legal drinking age from 21 to 23. The new excise policy is, of course, no surprise as the LDF election manifesto had made it clear that it does not favour prohibition and would rather emphasise on voluntary abstinence. In a State that has a high per capita alcohol consumption, there is a case for a vigorous campaign about the ill-effects of being addicted to alcohol, as opposed to one that makes liquor scarce and encourages bootlegging. The government has waited for a year before unveiling the changes it wanted, lest it be seen as acting in undue haste. Politically, the LDF is on firm ground. The UDF regime’s hardline liquor policy was the result of an internal game of one-upmanship between factions, and that decision did not help it return to power.

Some opposition to the new policy is expected from influential religious groups as well as opposition parties. Chief Minister Pinarayi Vijayan has justified his decision to liberalise the sector by describing the earlier policy, which had received the Supreme Court’s approbation as well, as a ‘fiasco’, as the restrictions on the sale of liquor had brought down tourism traffic, caused job losses and led to a spike in drug abuse. He will now have to ensure that the purported positive outcomes, such as revitalising the tourism sector and the hotel industry, boosting employment and ending the brewing of hooch are actualised on the ground. The big challenge lies in pursuing this policy without violating the Supreme Court’s ban on having liquor outlets within 500 metres of national and State highways . News that a 1983 document of the Indian Roads Congress has said all highways automatically become arterial roads or sub-arterial roads while passing through urban areas gives a new dimension to the highway ban. State governments may now consider examining this aspect to get the Supreme Court to relax its highway ban in respect of hotels located within towns and cities. As protests mount against relocating bars from highways to interior residential areas, the situation calls for a pragmatic and holistic solution.

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