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India’s biggest alcohol state Kerala proposes prohibition
By Becky PaskinIndian officials have proposed an outright ban on the sale of alcohol in the southern state of Kerala, the country’s largest consumer of alcohol.
India’s state of Kerala intends to prohibit the sale of alcohol within 10 yearsThe United Democratic Front (UDF) government plans to phase in total prohibition in the state within 10 years to tackle a widespread drinking problem among Kerala residents.
From 1 April 2015, only five-star hotels – of which there are 23 – will be granted bar licenses, while every Sunday and the first day of every month will become a dry day.
Kerala’s 334 Beverages Corporation (BevCo) retail outlets will be wound down by 10% every year, while around 700 bars in the state will be closed.
Chief minister Oomen Chandy said: “The aim is to achieve the target of a liquor-free Kerala in 10 years.”
The state has India’s highest per capita consumption of any other in the country at 8.3 litres. The national per capita consumption is four litres.
The decision comes at a time when Chivas Brothers and Diageo representatives are due to visit India on a UK trade mission with the government and Deputy Prime Minister Nick Clegg next week to promote sales of British goods in the country.
Both drinks groups are yet to comment, although a spokesperson for the UKTI, said: “We are aware of the decision to impose prohibition in Kerala State, India, and will continue to engage with the Indian government about this.”
The Indian alcoholic drinks industry contributed Rs8,433 crore to the government’s budget in 2013/14, an estimated 20% of its total revenues. It is thought the ban could damage tourism in the state, which attracts the largest number of visitors every year.
Prohibition already exists in the Indian states of Gujarat, Mizoram, and Nagaland, parts of Manipur, and the Union Territory of Lakshadweep.