Kalpa Media House | Bangalore |
Opposition Leader in the Legislative Assembly, R. Ashok, has accused the state government of undermining the excise revenue source through hazardous policies.
He criticized the government, stating that its unscientific economic policies have pushed the state into a bankrupt state, and the approach to resource mobilization is proving detrimental to the industry.
In a statement, Ashok said that there should be a standard for increasing rates and license fees. However, the arbitrary hikes in liquor sales and license fees within a single year will have an adverse impact on the industry, he warned.
How Many Times Have Prices Been Hiked?
Ashok pointed out that while the government boasted of not imposing new taxes in the budget, it subsequently increased alcohol prices arbitrarily. Notably, beer prices have been hiked two to three times in a year, burdening consumers significantly. He remarked that exploiting the fact that liquor consumers do not protest is not a good practice.
Due to a lack of proper financial discipline and preparedness, guarantee schemes were implemented, leading to a halt in development programs. With the treasury depleted, the government has become bankrupt.
To rectify this, the government has resorted to increasing the prices of all available commodities. However, the situation has not improved, and through such price and fee hikes, the government is exploiting the industry through unjust means, Ashok alleged.
Hundredfold Increase
The government has moved to increase fees for all aspects of the liquor industry, including production, bottling, and retail shops, by up to 100 percent. For this, amendments to excise laws have been proposed, and a draft notification of revised rules has been issued. The revised rates will come into effect from July 1, effectively sounding the death knell for the industry, he stated.
The department has been set a target of 40,000 crore rupees, and officials are exploiting every possible avenue to achieve it, thereby pushing the industry into distress, Ashok criticized.
There Is Still Time
From the perspective of the industry’s welfare, there is still time to act. The government must abandon unscientific measures and make decisions keeping the interests of the industry, vendors, and consumers in mind. Ashok urged the government to reconsider the revision of license fees.
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