Tag Archives: Tamil Nadu economy

Tamil Nadu Increases Liquor Prices

The Tamil Nadu government has increased excise duty on alcohol. Accordingly, the Tamil Nadu State Marketing Corporation (TASMAC) has increased liquor prices from February 1, 2024. The corporation said the price of 180 ml of regular and medium-quality liquor has been increased by ₹10; premium quality liquor by ₹20 and 650ml beer by ₹10.

Tamil Nadu has been earning sizable revenues from liquor sales. In the previous financial year (2022- 23) the revenues were ₹44,098.56 crore, up from ₹36,050 crore in 2021-22. During 2022-2023, the revenue earned by the government through special fee on imported foreign liquor was ₹44.79 crore and the revenue earned by TASMAC from service charge alone was ₹12.23 lakh.

Planning to shut 500 shops

The previous Tamil Nadu Minister for Prohibition and Excise V Senthil Balaji, during the demands for grants for his department in the Assembly last year said that of the total 5,329 retail liquor shops run by TASMAC, the government has decided to shut down 500 shops this year.

Dysfunctional automatic vending machines

While wanting to shut some shops, TASMAC last year introduced automatic liquor dispensing machines in five places in Chennai, to help curb some TASMAC outlets overcharging customers. Automatic vending machines were introduced on a pilot basis, charging as per MRP. However, tipplers in Chennai were dejected as the machines either were empty or dysfunctional. In April last, vending machines were installed in imported liquor shops located in five malls in the city – VR Mall in Anna Nagar, Phoenix Market City in Velachery, Forum Vijaya Mall in Vadapalani, Express Avenue in Royapettah, Ampa Skywalk in Aminjikarai.

Exploring 90ml tetra packs

Similarly, the government is exploring the possibility of opening TASMAC outlets early after requests from workers who wanted them open between 7 am and 9 pm. The current timings are from noon to 10 pm. The Minister for Excise and Prohibition, S. Muthusamy has mentioned that TASMAC is also exploring introducing 90 ml tetra packs. The Minister said the decision to sell liquor in cartons as opposed to glass bottles was being taken because glass bottles are thrown on streets and farmlands, causing an inconvenience. He said that “to prevent this, the government is planning to introduce 90 ml tetra packs as they can be used just once. We studied how it is done in other states.”

Tasmac is a state-run company, which oversees wholesale and retail sales of alcoholic beverages in Tamil Nadu. It was established in 1983 by the then Tamil Nadu Chief Minister late M.G. Ramachandran. It is incorporated under the Companies Act, 1956 on May 23, 1983.

TASMAC is vested with the exclusive privilege of wholesale supply of IMFL for the whole State of Tamil Nadu as per Section 17 (C) (1-A) (a) of the Tamil Nadu Prohibition Act, 1937 (Tamil Nadu Act X of 1937). It has taken over the wholesale distribution of Indian Made Foreign Liquor from the Private Sector in the whole state of Tamil Nadu during May 1983. The exclusive privilege of Retail Vending of IMFS was granted to TASMAC under Sec.17 (C) (1-B) of the Tamil Nadu Prohibition Act, 1937. TASMAC is doing the retail business also successfully with effect from 29.11.2003.

TASMAC procures IMFS and beer stocks locally from 11 IMFS manufacturers and 7 Beer manufacturers in the State. It also procures wine locally from one manufacturer. It also procures Scotch, whisky and few wine brands from other states. TASMAC also engages in retail sale of Foreign Liquor.

Distribution of IMFS and beer items to the licensees are being done through the 43 depots of TASMAC located throughout the State. The distilleries are – Enrica Enterprises, Chennai; Mohan Breweries & Distilleries, Chennai; Shiva Distilleries, Coimbatore; Empee Distilleries, Kancheepuram; Southern Agrifurane industries, Villupuram; Midas Golden Distilleries, Kancheepuram; Accord Breweries and Distilleries, Kancheepuram; SNJ Distilleries, Madurantagam; Kals Distilleries, Pudukottai; Golden Vats, Tiruvarur; and Kals Beverages, Coimbatore.

The breweries supplying are – United Breweries, Thiruvallur; Mohan Breweries, Chennai; United Breweries, Thiruvallur; SNJ Breweries, Madurantagam; Kals Breweries, Pudukkottai; Apollo Distilleries, Thiruvallur; and Accord Breweries, Kancheepuram.

– R. Chandrakanth