Chennai: In a move to provide more choices in liquor and boost revenue, the Tamil Nadu government is set to introduce new brands over the next six months. It has also decided to refurbish and improve the ambience of regular liquor outlets.
Expanding Options for Consumers
“We want to bring in options for people. Many go to Puducherry or Bengaluru just for beer because there are a wide range of options available there. Tasmac is losing revenue because of this. These brands can be sold in Tamil Nadu too, and instructions have been given to break the monopoly of local brands that are being stocked up in big numbers for sales, particularly beer,” said a home department official.
Upgrading Outlet Standards
Tasmac has also been asked to improve its standard store conditions by expanding existing 250sqft outlets to 500sqft wherever feasible and undertaking painting and renovation work. “While imported alcohol will reach elite shops first due to better cold storage facilities and customer base, the move to improve storage facilities and ambience will also be carried out in standard shops,” the official added.
Interest from Neighboring States
At a recent review meeting, the topic of bringing in popular brands—mainly those selling beer and whiskey in neighbouring states and union territories—was discussed. Officials said several popular liquor manufacturers and sellers operating in neighbouring states have already expressed interest in entering the Tamil Nadu market, though pricing viability will depend on the state’s excise duty structure.
Excise Duty Challenges
An official with Tasmac’s retail vending department told TOI that some of these sellers have already approached the government, and that they too will approach top brands. “These vendors must agree to Tamil Nadu’s excise tax,” the official said. For beer, Tamil Nadu charges ₹15 per bulk litre, while in Karnataka, it is ₹12 per bulk litre. Additionally, Tamil Nadu also charges sales tax, VAT and additional fees, which are slightly more than neighbouring states.
Rollout Plan
Officials said the new labels would initially be rolled out in elite Tasmac outlets. They currently stock various beer brands, including imports from Sri Lanka, Germany, Bhutan and Austria. Most of these are sold in tin cans of 500ml costing ₹350 to ₹400 each, which is twice the cost of local brands sold at ₹200 to ₹220 for 650ml.
Imported Whiskey Options
The state, however, has poor options in imported whiskey. Even among the few available brands, there are no options in 180ml or 500ml, and there’s only option in 750ml or 1 litre that costs about ₹3,000 to ₹4,000. “In urban centres, there’s a base for imported alcohol in all sections and quantities. The state will definitely tap into this,” the official said.
