Karnataka Cuts Beer And Premium Whisky Prices
Beer and premium whisky prices have dropped in Karnataka after the State Excise Department implemented a new Alcohol in Beverage policy from May 11, changing how liquor is taxed and priced.
Karnataka Beer Price Cut
Prices of mild and lager beers with around 5% alcohol content have fallen by nearly 20% to 25% under the revised price list. Popular 650 ml beer brands such as Kingfisher Premium, Kingfisher Ultra, Heineken, Budweiser and UB Export have seen reductions in their maximum retail prices.
The price cuts are linked to the new tax structure, which calculates excise duty based on alcohol content instead of the older bulk litre-based system.
Premium Whisky Prices Reduced
Premium Scotch whisky brands have also become cheaper under the revised system. The price of 750 ml bottles of brands such as Black Label and Chivas Regal has reportedly been reduced from around Rs 5,190 to about Rs 4,100.
The new system is expected to benefit premium and low-alcohol beverage categories, especially beer and imported or high-end spirits, which were earlier priced higher under the old slab structure.
Cheaper Liquor Gets Costlier
While beer and premium whisky prices have dropped, lower-priced Indian Made Liquor has become costlier. The first five excise slabs, which include many 180 ml tetra pack products, have seen price increases of around 20% to 25%.
Karnataka has also reduced the number of excise slabs from 16 to 8. The State is the first in India to adopt the Alcohol in Beverage taxation model, which links duty to alcohol strength per litre of liquor.
