Keralam UDF government to unveil new liquor policy by November
The state government has frozen LDF-era bakery wine sales to establish clear regulatory standards across the retail sector.
Keralam's UDF government will release a comprehensive new liquor policy by late November, bringing regulatory clarity to a sector left with complex administrative challenges by the previous administration.
Excise Minister M Liju confirmed that multi-day consultations with stakeholders—including anti-liquor organisations, industry worker unions, and community representatives—are nearly complete. The government is consolidating suggestions to ensure the final policy prioritises public welfare, social stability, and structured governance across the state.
The announcement follows prompt action by the Excise department to halt the retail sale of fruit-based "horti wine" in commercial bakeries and supermarkets. Under rules introduced by the previous LDF regime, establishments as small as 10 square metres were permitted to retail wine containing up to 15% alcohol for a licence fee of ₹10,000. Minister Liju pointed out that while beer with an 8% alcohol content remains strictly regulated through state-run Bevco outlets, bars, and beer parlours, the previous policy allowed higher-alcohol beverages into general retail spaces without adequate safeguards.
To maintain administrative discipline, the Excise department suspended the licence granted to a bakery in Chalakudy, Thrissur, and transferred Deputy Excise Commissioner C K Anilkumar for granting the approval without ministerial consultation. Excise Commissioner Sambasiva Rao has submitted a detailed report on the licensing process, and the state's additional chief secretary for taxes has been directed to secure legal advice. Horti wine remains available for sale through state-run Bevco outlets, ensuring local agricultural producers retain access to established government distribution channels.
How Keralam is reviewing key liquor regulations
The government is systematically reviewing several policy decisions inherited from the previous administration to establish clear, responsible standards across the industry.
| Regulatory issue | Previous LDF policy framework | UDF government action |
|---|---|---|
| Horti wine sales | Allowed in bakeries over 10 sq m | Sales frozen outside Bevco; policy under review |
| Low-alcohol drinks (0.5%–20%) | Permitted sales; tax structure left unfinalised | Fixed tax rates at 120% and 175%; policy under review |
| Co-operative horti liquor | Permitted 20%–30% alcohol content without tax clarity | Framework placed under comprehensive policy review |
| Bar operating hours | Extended beyond midnight for an extra fee | Reviewing extension to balance tourism and public order |
By addressing these regulatory gaps, the government aims to create a balanced, transparent system that protects public order while supporting legitimate commercial and agricultural interests across Keralam.
Key numbers
| What | Figure | Source |
|---|---|---|
| Max alcohol content permitted in bakery horti wine | 15% | Keralam Excise Department |
| Licence fee for horti wine bakery sales | ₹10,000 | Keralam Excise Department |
| Minimum shop space required under LDF 2025 rule | 10 square metres | Keralam Excise Department |
| UDF tax rate on 0.5%–10% alcohol beverages | 120% | Keralam Government |
| UDF tax rate on 10%–20% alcohol beverages | 175% | Keralam Government |
In this story
| Name | Role in the story |
|---|---|
| M Liju | Excise Minister of Keralam who announced the upcoming liquor policy and frozen bakery wine sales. |
| UDF | Ruling political coalition in Keralam framing the new liquor policy. |
| Keralam | Indian state where the liquor policy changes are occurring. |
