Govt ‘no’ to pubs, micro-breweries

Thiruvananthapuram: The government has cleared the excise policy for the upcoming financial year, taking a cautious approach without giving any room for criticism. The policy does not have any new announcements including micro-breweries or pubs, that have been the demands from the tourism and IT sectors.
Instead, the government focused on minor increase of licence fees for the bar hotels, clubs and distilleries, that will only fetch a meagre Rs 5 crore additionally to the state exchequer. The existing fee for bar hotel licence (FL-3 licence) has been increased from Rs 28 lakh to Rs 30 lakh, while the liquor licence fee for clubs (FL-4) has been raised from Rs 15 lakh to Rs 20 lakh. The licence fee for bar in the airport lounge (FL-7) has been increased from Rs 1 lakh to Rs 2 lakh.
For distilleries and warehouses, the government has decided to double the fee in various categories, that will together fetch Rs 5 lakh additionally per distillery and warehouse. It has also been decided in the new excise policy to charge Rs 2 lakh from each of those distilleries from outside the state that have tie-ups with those within the state to manufacture liquor. The comptroller and auditor general (CAG) had pointed out that the government is losing revenue from such distilleries from outside the state that are manufacturing their products here.
In the toddy sector, the new excise policy has decided that the toddy shops will continue to function and sell toddy for three years or till the toddy board comes into force. The government has decided to set up toddy board in the state and it has been the long pending demand from the sector. The excise policy also decided to fix the quantity of toddy tapped from a coconut tree at two litres per day, which at present is only 1.5 litres per day.
The excise policy has also decided to legalize selling food in toddy shops and also not to make applicable the minimum distance factor for the toddy shops, unlike in the case of IMFL selling shops. However, the excise policy has not made any changes for the licence fee for beer and wine parlours (FL-9) which is now Rs 4 lakh. There are 595 bar hotels and 42 clubs in the state at present.
The government has not considered the long pending demand from IT and tourism sectors that the state needs to provide pubs and micro-breweries as part of improving its social infrastructure. The government has also not considered the proposal for allowing serving liquor in boutique restaurants, especially in major tourism centres. Since the assembly elections in the state will be held next year, the excise policy is expected to be the last one of the current LDF government.