Bill Likely Soon To Relax Prohibition In Andhra

A bill is likely to be moved towards the end of the current budget session of the Andhra Pradesh Assembly to relax prohibition. A consensus in favour of such a measure is understood to have emerged at a meeting of the state cabinet on Saturday.

While the ban on arrack is likely to be retained, the cabinet is reportedly willing to permit sales of Indian-made foreign liquor and malt liquor for five days a week through limited retail outlets, clubs and star hotels. Bars will not be permitted to operate.

The cabinet's hour-long discussion on the issue reportedly focused on an assessment of the possible political fallout of relaxing prohibition. Most of the ministers argued that there would not be much public opposition to the move as prohibition was being seen as a major drag on the state's finances. Some of them also pointed out that after the imposition of massive additional taxes in August, any fresh taxation attempt would prove counter-productive.

 

Chief Minister N Chandra-babu Naidu, also appears to have veered around to the anti-prohibition sentiment of the majority of the cabinet. He reportedly told his ministerial colleagues that their views would be considered further and a final decision taken at the next meeting of the Cabinet, scheduled for March 1.

Other issues discussed at the meeting included an upward revision of the tax on water supplied in bulk to industries in the state. The tax has remained fixed at seven paise per million gallons since 1957, while the cost of conveying water to the city has increased manifold. A decision on this issue was also postponed to March 1.

The prohibition issue also figured at a meeting of members of Parliament from Andhra Pradesh held here later in the day. Three members of the ruling Telugu Desam and a Congress MP said there was no logic in continuing the dry law since the government was unable to check smuggling of liquor anyway.

Besides, the dry law had resulted in the state facing a serious financial imbalance, they added. There was no response from the Chief Minister, who was presiding over the meeting.