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Liquor Prices: Karnataka Tops The List, Goa Emerges The Cheapest

The report estimated that a bottle of spirit that costs around Rs 100 in Goa, will cost about Rs 134 in Delhi, Rs 246 in Telangana, and as much as Rs 513 in Karnataka. 

When it comes to liquor prices in the country, Karnataka tops the list, a recent analysis done by the International Spirits and Wine Association of India revealed. The analysis stated that Karnataka levies an 83 per cent tax on the maximum retail price (MRP) of liquor, making it the most costly in comparison to other states. 

The association conducted the analysis for the Times of India, and it found that Goa levies 49 per cent tax of the MRP on liquor. In comparison, the report found that Maharashtra levies 71 per cent tax, Telangana imposes 68 per cent tax, and Rajasthan taxes 69 per cent of the liquor MRP. Interestingly, the report estimated that a bottle of spirit , namely whisky, rum, vodka or gin, that costs around Rs 100 in Goa, will cost about Rs 134 in Delhi, Rs 246 in Telangana, and as much as Rs 513 in Karnataka. 

Foreign players in the industry have been seeking a decrease in import duty on wine and spirits, which comes up to nearly 150 per cent, for some time now. These firms are hoping for a reduction in tariffs through the free trade agreements under negotiations with the UK and the European Union, tjhe report stated.

Further, due to local taxes, the difference between the price of a bottle of liquor can vary greatly between cities. As such, popular Scotch brands can carry a difference of more than 20 per cent in prices between Delhi and Mumbai. For instance, a single bottle of Black Label costs nearly Rs 3,100 in Delhi, while the same liquor sells for around Rs 4,000 in Mumbai. The huge difference in taxes is also credited to the smuggling of liquor across state borders. 

Unlike other items, alcohol and petroleum don’t fall under the ambit of GST, allowing states to introduce several levies and taxes on the products. As such to manage their individual tax revenues, states often increase the levy on alcohol and the VAT on petrol and diesel. Recently, there have been discussions to include petroleum products in GST, however, there has been no mention of alcohol in these talks, reported TOI. 

Also Read : Union Minister Hardeep Singh Puri Flags Off India's First Green Hydrogen Fuel Cell Bus At Kartavya Path

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