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Home International Customs India

Maharashtra collects Rs 20bn revenue from liquor sector

byAmmad Ahmed
30/11/2015
in India, World Business
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MUMBAI: Maharashtra government is not likely to adopt the Gujarat and Bihar model to enforce total ban of liquor as it would lead to major financial implications in revenue mobilisation. The total revenue earned from liquor industry is pegged at Rs 20,000 crore.

Revenue minister Eknath Khadse on Saturday said, “The state is reeling under financial constrain in wake of recurring drought and also major allocations required to take up big projects for state welfare. In such a situation, any move to ban liquor in the state would probe detrimental.” He acknowledged, “The state had earned Rs 18,000 crore from liquor sector in last year.”

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“However, if there is any district which adopts resolution based on majority of public demanding liquor ban, the government would consider that as was done in district Chandrapur on January 20, 2015. Apart from this, the state government also has taken measures to check spurious liquor being sold in market by announcing stringent punishments,” the minister said

“Maharashtra is not considering any proposal to impose total ban on liquor as it would have wider financial and social implications. There is no such proposal before us to emulate Bihar or Gujarat model,” sources from ministry of revenue and finance confirmed.

Sources in the government indicated that measures are being taken to plug the illicit and spurious liquor that causes maximum harm to the liquor consumers. The emphasise has been on streamlining the industry.

According to the sources, the government has decided to make hologram on liquor bottles and cans compulsory to ensure its quality. Moreover, it also would help the authority to check rampant smuggling of liquor from Maharashtra to other states which also leads to loss of revenue.

At present, the state is reeling under massive debt of Rs 2.38 lakh crore.

However, finance minister Sudhir Mungantiwar, who had taken the lead in liquor ban in his home constituency in Chandrapur this year, believes, “If the people demand ban on liquor we cannot overrule. If the grampanchayat and sabhas pass a resolution seeking ban in their villages or district we will have to consider.”

In Maharashtra liquor is banned in three districts — Wardha, Gadchiroli and Chandrapur. There is demand for liquor ban from women in villages of Yavatmal and Buldhana districts in Vidarbha region of Maharashra.

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