'Modify excise, sales tax policies'

The All India Brewers' Association (AIBA) has urged the state government to modify the existing excise and sales tax policies being implemented by the Andhra Pradesh Beverages Corporation Limited (APBCL).

Addressing a press conference, Ashok Dhingra, spokesperson of AIBA, said that the existing system was hampering the growth of breweries in the state.

"The last price hike was seven years back and from then the costs of procuring materials, bottles and labour costs have increased significantly," he said.

"When we approached APBCL in March they asked us to wait till the elections were over and later asked us to wait until the end of July. If the policies are not changed now, the very survival of breweries would be difficult," he added.

According to Dhingra, AIBA has requested the authorities concerned to cut the excise and the sales tax so that the increase in the price of beer will not have any effect on the customers.

"The sales in the sector went up by only four per cent last year as compared to the normal 20 to 25 per cent growth witnessed in the years before. Keeping this in mind we do not want the customers to pay any more for a bottle of beer," Dhingra said.

Dhingra said that the best option for the state government was to follow the examples of Goa, Mumbai and Pondicherry which support a free market for liquor.