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Covid-19 cess dampens spirits; consumers turn to cheap liquor brands

Liquor is one of the biggest sources of revenue for state governments, but their income may fall: Survey

Wine shop

In the last 6-7 months, taxes on liquor in Telangana have been increased by around 40 per cent, leading to a sharp increase in the liquor prices in the state.

IANS New Delhi
Hit by the steep price increase in wine, beer and spirits due to Covid cess, consumers in many states are downgrading to lower-priced alcoholic beverages, according to a LocalCircles survey.

The survey found that the volumes of liquor sales in the states are falling as consumers say they are buying less than their usual quantity due to increased MRP. This phenomenon might lead to reduced tax collections for the states.

The majority of consumers say they will order liquor through ecommerce apps if their state government allows.

The survey found that excise data in multiple states shows decline in sales

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First Published: Jul 20 2020 | 1:37 PM IST

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