Kerala's new policy allows 3-star bars to sell liquor, raises drinking age

Good news: 3-stars can also sell toddy: Bad news: service hours reduced to 12 from 24

Kerala government has announced its new liquor policy that allows three-star hotels and restaurants to sell alcohol, including toddy- a local drink that has gained popularity among tourists- in the state.

Terming the previous Congress-led govt's policy of extending liquor permits to five-star and above rated hotels as a failure, Chief Minister Pinarayi Vijayan said that the new policy was in line with the ruling party Left Democratic Front's position.  

Besides, restaurants with FL-3 and FL-2 licenses can supply liquor in banquet halls by paying a special fee. The age limit for consumption of liqour has been raised from 21 years to 23 years. 

The state government also decided to follow the Supreme Court order that banned the sale of alcohol in areas located within a radius of 500 metres from the state and national highways. Shops that have existed in such areas before April would be allowed to operate outside the prescribed radius in the same taluk. 

Moreover, outlets will be able to sell liquor for only 12 hours now, instead of 24 hours earlier. State government has taken these measures with the aims of curbing liquor consummption gradually, instead of banning at one go. 

"Banning bar licenses to three-star hotels and above has affected tourism, threby, affecting the state's revenue," said Vijayan.

Almost Rs 8,000 crore of the state's revenue comes from liqour sales. The new policy attracted severe criticsim from the Congress-led United Democratic Front (UDF) and members of the Christian community. Responding to such criticisms, the Keralal CM said that while he could understand the concerns raised by critics of the policy, a prohibitioj would only increase illicit liquor trade in the state. 

State government plans to strengthen its de-addiction centres and encourage activities that help people abstain from liquor consumption, he added.

Closure of around 924 toddy shops in the state led to a labour loss of around 40,000 people, said the CM while adding that there were around 474 beer and wine outlets that were shut down following protests on liquor consumoption. Apart from this at least 306 state-run alcohol shops were closed as well, causing the state exchequer a huge loss.