Synopsis: While clarifying the Budget proposal on low-alcoholic beverages in an apparent bid to end the subsequent controversy, Minister Liju admitted to a serious administrative lapse at the state-run Travancore Sugars and Chemicals Ltd, which resulted in the non-availability of a low-cost rum, marketed as Jawan. He said the Excise Department was kept in the dark for three days about the rum’s production stoppage.
The Kerala government will make a final decision on the sale of low-alcoholic beverages in the state only after a comprehensive liquor policy is formulated in consultation with various stakeholders, Excise Minister M Liju said on Friday, 26 June.
Clarifying reports about the Budget proposal to slash the sales tax on low-alcohol beverages, the minister said he had not opposed the recommendation.
“The Budget announced only a restructuring of the tax regime by reducing one existing tax. However, no decision has been taken to introduce or sell low-alcoholic beverages. Any such move will be implemented only in accordance with the policy decision of the ruling front,” he said.
Liju also described the disruption in the production of Jawan liquor at Travancore Sugars and Chemicals Limited as a serious administrative lapse and ordered an inquiry into the issue.
The minister said two variants of Jawan Rum—1,000 ml and 750 ml bottles—are manufactured at the unit.
Production of the 750 ml bottles had ceased before the present government assumed office due to the unavailability of bottles.
The 1,000 ml variant continued to be produced until 11 March but was later halted due to shortages of stickers and carton boxes.
“What is more serious is that the Excise Department came to know about the production stoppage only three days later. Such lapses cannot be overlooked,” Liju said.
He said the Additional Chief Secretary (Taxes) has been directed to assess the revenue loss due to the production halt, identify those responsible for any lapses, recommend measures to strengthen the unit’s management, and ensure production resumes at the earliest.
Action will be taken based on the report, he added.
The minister reiterated that the government is drafting a new liquor policy and that a final decision on low-alcoholic beverages would be taken only after discussions with various organisations.
He said this approach is consistent with the ruling UDF’s stated position.
Addressing the issue of narcotics, Liju said drugs have penetrated households across Kerala, making the fight against drug abuse a top priority.
He noted that the Excise Department has intensified enforcement through special drives such as Operations Toofan and Thunder.
“More than 14,700 cases have already been registered under Operation Thunder. Although the Excise Department has limited manpower, enforcement activities have been significantly strengthened,” the minister said, adding that several long-term initiatives are also being planned to tackle the drug menace.