Chennai, May 22:
In a major administrative overhaul of Tamil Nadu’s liquor governance system, the State government on Thursday announced the creation of a dedicated Ministry for Prohibition and Excise, appointing a separate minister to oversee the department and the functioning of the State-run liquor retailer, Tasmac.
The move forms part of the recent Cabinet expansion led by Chief Minister Vijay and is seen as a significant step towards strengthening regulation and accountability in the liquor sector. The decision comes in the backdrop of repeated allegations of irregularities in Tasmac outlets, which had emerged as a key political issue during the Assembly election campaign.
During the campaign, Vijay had strongly criticised reported malpractices in Tasmac operations, including claims that customers were charged above the printed maximum retail price. He had also targeted former Minister V. Senthilbalaji over allegations that an additional ₹10 was collected per bottle at several outlets.
Government sources indicated that carving out a standalone Prohibition and Excise portfolio is aimed at improving monitoring mechanisms, ensuring stricter enforcement, and curbing irregularities in liquor sales across the State. The creation of a full-fledged मंत्रालय is also expected to streamline decision-making and enhance administrative focus on the sector.
Traditionally, the Prohibition and Excise Department had been handled as an additional charge by senior ministers managing portfolios such as Transport or Electricity. Officials noted that the shift to a dedicated ministry marks a departure from past administrative practices and reflects the government’s intent to prioritise oversight of the liquor trade.
Tamil Nadu currently operates around 4,765 Tasmac outlets, though the number is expected to come down to nearly 4,048 following the government’s ongoing closure drive. The State has relied heavily on Tasmac for revenue, even as concerns over transparency and public welfare continue to be debated.
Historically, the Excise Department functioned under the Commercial Taxes Department through board-level supervision before a separate Prohibition and Excise Department was formally constituted in 1981. Later, from November 11, 2003, Tasmac was granted exclusive retail vending rights for Indian-made foreign spirits (IMFS), primarily to curb illicit liquor sales and enhance State revenue.
In another significant development, the Poverty Alleviation and Rural Indebtedness Department—initially allocated to Rural Development and Water Resources Minister N. Anand—has now been brought under the direct control of the Chief Minister. The department oversees women’s self-help groups and programmes implemented by the Tamil Nadu Corporation for Development of Women, making it a key portfolio linked to rural development and women’s empowerment.
The latest restructuring signals a broader administrative recalibration by the State government, with a sharper focus on governance, transparency, and welfare-oriented policy execution.