In a move that could spell trouble for tipplers, the government has been quietly devising plans to hike the prices of cheap liquor, awaiting implementation post the Lok Sabha elections.
One of the challenges faced by the government is generating funds for the five guarantee schemes. In its efforts to bolster financial resources for these schemes, the government has set its sights on
increasing the prices of domestic liquor (IML).
Karnataka boasts notably low prices for many brands of cheap liquor compared to neighboring states like Tamil Nadu, Andhra Pradesh, Telangana, Maharashtra, and Kerala. This disparity has led to a surge in the sale of cheap liquor within the state, contributing significantly to the revenue flowing into government coffers from the excise department.