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J&K's liquor sales continue to surge amid calls for statewide ban

Government's recent economic survey anticipates a 4% increase in excise revenue, projected to reach Rs 2,000 crore in 2024-25

March 12, 2025 / 16:01 IST
J&K's liquor sales continue to surge amid calls for statewide ban

Despite calls for a liquor ban in Jammu and Kashmir from political parties and religious leaders, alcohol sales are on the rise in the Union Territory.

Government's recent economic survey anticipates a 4% increase in excise revenue, projected to reach Rs 2,000 crore in 2024-25, reports The Economic Times. This growth is attributed to policy reforms like better tracking systems, more transparent auctions, and an overhauled excise framework.

The demand for prohibition is growing stronger, with the PDP taking the lead. MLA Fayaz Ahmad Mir has introduced a bill to prohibit the "advertisement, sale, purchase, consumption, and production of alcoholic drinks" in the region. Chief minister Omar Abdullah's National Conference has joined the movement, and independent legislator Sheikh Khurshid Ahmad has also supported the demand.

The BJP, which has consistently advocated for liquor restrictions, continues to support a ban. In Jammu, former BJP president Ravinder Raina had earlier led protests against alcohol sales. Last week, PDP chief and former CM Mehbooba Mufti’s daughter, Iltija Mufti initiated a signature campaign, promising to take it across every constituency in Kashmir.

“We want J&K to be declared a dry state like Gujarat and Bihar,” Iltija said. “J&K is called the land of rishis and peers (Sufi saints). We have our own sensitivities, culture, and customs. That should be respected.”

Amid rising political tensions, the government’s new excise policy, announced on 15 February, adopts a dual approach. It acknowledges the "harmful effects of alcohol consumption and drug abuse" but also seeks to "provide a choice of liquor brands and places for consumption." The policy aims to expand the liquor industry, support local production, and generate employment opportunities.

There are plans to open liquor outlets at major tourist attractions, especially within government-owned properties. The policy also imposes a ban on the import of IMFL brands priced at Rs 600 or lower per bottle.

Former finance minister Haseeb Drabu, who opposed a liquor ban in 2016 on the basis of personal choice rather than revenue loss, said that the debate has evolved. Rather than advocating for an outright ban, he proposed a phased approach.

“One option could be to ban it only in the Valley to start with. That way, revenue would also be protected as the bulk of it comes from Jammu. The flip side of this would be bootlegging, especially in a tourist-driven state,” Drabu said.

Moneycontrol News
first published: Mar 12, 2025 03:49 pm

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