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Home » Editorial: Statutory Earning

Editorial: Statutory Earning

NT BureauBy NT BureauMay 6, 2020No Comments
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The Delhi and Andhra Pradesh governments, which reopened wine shops earlier this week, have drastically increased the prices of liquor.

Tamilnadu government, which is going to reopen its TASMAC outlets from tomorrow, has also announced hike in liquor prices, but the increase is only minmial (Rs 10 to Rs 20).

It should take a cue from the above States and hike the rates of liquor exorbitantly to serve twin purpose- raise funds to fight Covid-19 pandemic in a more effective way and to stop at least a few sections of people from purchasing liquor by making it unaffordable to them.

The Delhi government has decided to impose a 70 per cent ‘Special Corona Fee’ on maximum retail price.. The move will boost the government revenue, which has been hit hard due to the coronavirus-forced lockdown, but there will be a steep rise in the prices of retails liquor bottle.

For instance, a liquor bottle with a maximum retail price of Rs 1,000 earlier, will now cost Rs 1,700 in the capital city. The decision comes on the first day of easing of certain restrictions under the third phase of the coronavirus lockdown.

The government has allowed 150 State-run liquor shops outside the coronavirus containment zones in the national capital. For its part, the Andhra Pradesh government has enhanced prices of liquor by another 50 per cent on Tuesday, only a day after imposing a 25 per cent hike as shops were reopened in relaxation of the ongoing lockdown.

Special Chief Secretary (Revenue) Rajat Bhargava said the abnormal increase in liquor rates was to ‘discourage’ people from consumption and safeguard health. The enhanced rates would come into force with immediate effect, he said.

The State government also decided to open liquor outlets from 12 noon, instead of 11 am, till 7 pm. It is said the fresh hike (50 per cent) in rates could fetch an additional revenue of Rs 9,000 crore per annum to the cash-starved State government.

The entire liquor business in AP is controlled by the State government through its own retail outlets, numbering 3,468. It is said Chief Minister Y S Jagan Mohan Reddy directed that 15 per cent of the retail liquor shops be closed down by this month end.

The Tamilnadu government, which cited people from the State going to neighbouring States to buy liquor as one of the reasons behind reopening wine shops, should also follow its neighbour in increasing the price of liquor.

 

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