Kerala CM Refutes Allegations of Bacardi Collusion in Liquor Taxation

Kerala Chief Minister VD Satheesan dismissed claims of collusion with Bacardi over low-alcohol beverage taxes. He highlighted that the initiative started under the previous government. Satheesan defended the current tax rates and pointed to the prior administration's expansion of liquor outlets as indicative of their true policy stance.

Kerala Chief Minister VD Satheesan, on Wednesday, denied allegations that his government colluded with Bacardi over taxes on low-alcohol beverages. During a budget discussion in the Assembly, Satheesan clarified that these initiatives were under the previous LDF government led by Pinarayi Vijayan.

Satheesan criticized the Opposition for misrepresenting the taxation issue and noted that the collaboration with Bacardi began with the last administration. He cited the former minister and current CPM state secretary, MV Govindan, as having initiated the examination of low-alcohol beverage applications within six months of taking office. The Chief Minister highlighted the LDF government's 2022 liquor policy, which proposed promoting beverages containing up to 20 percent alcohol.

Responding to criticisms, Satheesan explained the tax structure, stating it was the previous government that created the low-alcohol category, while the current administration merely adjusted tax rates. He remarked on the Opposition's past expansion of liquor outlets, pointing out the increase in bars since Pinarayi Vijayan's tenure began, signaling a broader attack on their liquor policy record.