Government liquor deal: Excise Minister rebuts charge

Updated - December 03, 2021 10:06 am IST

Published - December 10, 2018 11:43 pm IST - Thiruvananthapuram

Excise Minister T.P. Ramakrishnan on Monday said the Opposition was peddling imagined tales of corruption to divert public attention from their political failures.

Opposition legislator Thiruvanchoor Radhakrishnan had alleged that foreign liquor companies had paid the ruling front a vast sum in backhanders to allow them to retail their products in Kerala.

At a hastily convened press conference, Mr. Ramakrishnan noted bars had sold imported spirit in Kerala since 2007. The licensees had to pay an extra fee to retail foreign made foreign liquor.

In 2012, the then United Democratic Front (UDF) government had explored the possibility of allowing the sale of imported hard liquor and wine through State-owned retail outlets, legal bars, and wine parlours. The Kerala State Beverages Corporation had in 2018 examined the possibility of permitting the sale of imported liquor in Kerala.

 

Global tendering

The LDF government had gone for an open global tendering process and incorporated stringent anti-dumping provisions in the contract conditions. The government had stated clearly that it would entertain no middlemen and only consider tenders submitted by original suppliers.

Moreover, the government also said it would only allow the import of liquor with “landed cost” of ₹6,000 and above for a case (9 litres).

Extra revenue

The condition would protect local liquor manufacturers from unfair competition, bring additional revenue of over ₹60 crore to the State and help dismantle the grey market for imported liquor.

Moreover, Kerala’s tourism industry stood to benefit with bars and wine parlours able to offer tourists an extensive selection of internationally best-selling brands at reasonable rates.

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