The Telangana government has increased liquor prices by 20-25%, with the new prices coming into effect from Thursday, May 19. Prices of all brands of liquor were hiked, and the move is expected to help the government generate additional revenues of Rs 6,000 crore to Rs 7,000 crore annually. The authorities have increased the price of 1,000 ml liquor by Rs 120. The price has gone up to Rs 615 from Rs 495 earlier. The price of a quarter bottle has been hiked by Rs 20. On all types of beer, there was a minimum hike of Rs 10 per bottle.
The excise officials checked the liquor stocks at wine shops, bars and pubs on Wednesday night after the day's sales came to an end. The available stocks will be sold at new rates from Thursday. However, there was no official announcement on the price rise from the government in advance, and several wine dealers said they were unprepared for it.
Speaking to TNM, D Venkateshwara Rao, President, Telangana Wine Dealers’ Association said, “We were told that the shops will be sealed after Wednesday's business and the stock would be taken away. That is all that we were aware of. We did not know how much the prices would be raised. From today, we have been asked to sell at increased prices.”
According to dealers, as the labels which mention the MRP (maximum retail price) haven't been changed, infuriated customers have been upset and expressed their anger at those working at wine shops. A few dealers said this situation could have been avoided if there had been an official announcement about the hike.
Wine dealers also complained that though the prices have been increased by nearly 20-25%, the retailers are still making the same margin. "The additional profit that is being made is all going to the government. We sell the bottles but the increased profit after the price hike is all going to the government," complained a wine shop owner.
The liquor prices have been hiked for the first time since liquor policy 2021-23 came into effect last year. Liquor prices were last hiked in the state in May 2020 soon after the first phase of the COVID-19 lockdown. The state had earned Rs 30,000 crore from liquor sales in 2021-22 with the tax income reported at Rs 12,000 crore. The new prices will come into effect from Thursday, May 19.
This is the latest in a series of measures taken by the state government to increase its revenues. It recently hiked market value of lands, property registration charges, bus fares and electricity charges.
With IANS inputs