Ad Here  
Return to king coal for urea... Come elections, come advertisements... A glass full of corruption Delhi is distant… Pharma – overdose of copying When TN politicians can emulate Kerala's TGS- The king storyteller Welcome focus on core competence The brown list of Venkitaramanan Measuring roof tops in terms of KW/MW Fall in crude prices help in oil sector reform A yen for wastage… Fortune 500 review Breaththrough in malaria control Sweet news for TN sugar mills B H Kothari - a tribute The Gulf aviation boom No Maha Koottani in TN... Muffled voices for merit… Silver Years of Madras Musings Align crops to agro climate endowments… Welcome thrust on trade in Modi’s foreign visits... Why this malaise in medical education? Road development slows down Banning booze... Inflation: are we emulating Argentina and Brazil? Marketing expert Balagopal is no more Cutting the nose to spite the face More heat than light Telangana in top gear… The rise and fall of Annamalai University Discoms deserve better… Rs.1600 crore paper board plant of TNPL When the President was rendered homeless… Plummeting profits of PSBs Convulsions in The Hindu L&T- the specialty of special purpose vehicles An inexplicable neglect WTO Meet: resolved to meet again Auto components surge… Where a state respects its litterateurs… Adapt Vajpayee dinner diplomacy The nuclear option Land reclamation from sea appears cheaper! GNS - 100: our first subscriber Music happens Shaming of Tamils by Tamil farmers at Delhi Intellectual of rare qualities Adharma of opposition politics Which side are you, Montek? Scientists urged to take up farmer-oriented research Kudos to NDTV... Excel Generators provide the vital back-up S Ramanathan – a versatile musician, musicologist A professional at the helm of IRDA... Odisha: spectacular win by Naveen Patnaik Noble nonagenarians... Remembering Indira Sivasailam... There was flood of milk. Reason: no milk commissioner! Fortune for Indian Airlines TN-leverage strength of BHEL, NLC... When online building permits work…. Contrarian cousins PC’s preference for professionals Shale gas and its shallow future Welcome GST London, London Narayan Where is Rajaji? Diamond jubilee of Egmore Samskrt School Gas is the way forward Wise Presidents Vibrant Gujarat Valli, they are more marginalised Lalu’s envy, India’s pride Eternal support for capitalisation of PS banks Padma Bhushan for A Ramakrishna Focus on quality of power - its only around 170-180V Strengthen the base... More Shakti to resource mobilisation... This scant respect for Law Roaring Ro-Ro facility The sea- saw battle continues... Sri Lanka votes for change The why of tax incentives Maximising the micro pricing … ONGC at KG Basin Varuna (rain) in 2015; Vaayu (air) in 2016. Chennai devastated Air Asia India will set new benchmarks for budget travel A Grand Finale for SN’s MS centenary at the US… Colour-Chem’s colourful KRVS Gay abandon in pricing Secularism and anti-Hinduism Kinetic Karnataka For whom the MIDS bell tolls? The Ports’ Pasha expands into Tamil Nadu The rise and rise of KCP An informal presentation - analytical, forward locking... TELANGANA at last…BUT to the lack of interest on the part of these to focus on original research. This despite the much lower costs of such research in India. The industry which thrived on the protection of a closed economy and the advantage of a vast domestic market, has failed to organise its evolution on healthy lines The star of Spencers is no more TIAM turns a full cycle China invests in India Preserving for the future The Jan Dhan bonanza Medical costs hit the roof... Small units prefers to remain small... Demise of a media baron... Tough task taking states together When small is no larger beautiful.. EVM is tamper-proof GM Technology at last! CIPET hqrs to stay at Guindy – for the present? A proud Madrasi Shanti and Sadhana through Music He saved millions from starvation... Poor representation for Kerala and TN in Cabinet Protest masters... EEC at the National Media Centre A welcome initiative by the judiciary Infrastructure funding – lessons learnt Mu Sigma – is no more Tatas moving out of urea production... Lesson from Chandrababu Naidu A rich pool of talent not utilised…. L&T: focus on infrastructure and more infrastructure… Five star activism stalls development activity Moily’s bold thrust Tribute Revive development banks... Dr C Rangarajan returns to Chennai Parliament in paralysis... S V Raju – a ‘good’ true liberal Kulandai was a giant Welcome changes that testify to Jayalalithaa’s return to health A C Muthiah – his munificent bequeaths to science Tribute – UCAL Selvan… Readers' Mail The balancing act Editor's Says Robber barons everywhere Delhi is distant Don’t seem to feel the pulse… Liberal imports idling indigenous capacities IPL - no surprise this scam Naidu’s return augurs well for Seemandhra When Ratan Tata visited SRM TN – agglomerate land holdings without alienating ownership How Air-India loses customs... The few handicaps... He continues the focus on social amelioration Bihar elections - the Rajaji formula worked Modi and the lady MHC should not return to its old indisciplined ways TN accounts for the largest recruits by the IT sector Mersal magnified Shipping woes of Chennai companies CII projects higher growth… Tribute – M V Murugappan Tribute – Manikam Ramaswami Wanted: a second airport for Chennai Sweeter prospects for sugar SoA @ 80 Tax agriculture A more liberated TN… Alexa – Talking Wikipedia Editor's Notes F C Kohli - his concerns all embracing Quality silica from Neyveli Fuel for thought Bihar – Nitish Kumar adopts the Lalu model Boy, can you beat these? Tihar, Puzhal not different from Parappana Agrahara Online not in line with brick and mortar businesses... More tributes to GR Things happen by accident and not by design... Make standards certification mandatory... Chennai and Kolkata miss opportunity to grow as Delhi and Mumbai IPL type auction for VCs? Nuclear power at the nucleus CRS, a jewel among managers, is no more. New IT products of Ramco in the pipeline… No engine for this car Naidu will soon build a new Hyderabad Put expensive assets created to use... Reliance’s TV – 18 ready to launch Tamil News Channel The ‘Ayyo-yes’ is no more Modi storms Silicon Valley The ‘Jayanthi Tax.’ Cement prices continue to rise… Insurance companies bleeding, yet no decision on increasing FDI limit! Why land prices zoom in TN? Waning interest in public discussions… Solar, solar everywhere … Not just in-laws (and outlaws); they’ve renowned academics at the helm! Increasing non co-operation of state leaders More Shakthi to Das’ elbow Solar thermal shines… Russi Mody – a tribute Towards speedy justice A friendly business group Godspeed, Chief Minister JJ Recognition to role of NBFCs.... Quality education through the PPP mode West Bengal: mindless malignancy Engineering seats go abegging An enemy’s enemy is a friend Funding the un-funded Should we change the official year? Building loyalty through the stomach All eyes on Sankara Nethralaya Whistle-Stop Tour of Raghuram Rajan Delhi Chalo... Poor quality of university VCs A think tank for Chennai Airlines in India: cost and space …and of a popular trade leader Another Indian music maestro at the UN Tatas moving out of urea production... Like Hinduism: many paths to reach God... A Grand Finale for SN’s MS centenary at the US… R Sridhar steps down as CEO of Shriram Capital Making ‘my Amaravati’... No mega rail project for Tamil Nadu Of course, Gujarat is vibrant Cleaning Ganga – relocate tanneries and install electric crematoria Haul over the coal Build close rapport with business leaders PPP mode for upgrading Corporation Hospitals Polls and promises Limit foreign borrowings to hi-tech, export potential projects... The power-full Hindujas Delhi returns to BJP Computation of GDP – conundrums continue Paytm karo... Multi-faceted Venkat Revving up the manufacturing sector Streamlining mandatory third party cover CSR and CMI: promise of another Srinivasan Ramanujan... For whom the bell tolls? Rahman at CIC Permanent secretariat for TN GIM When nations steal growth from one another… The Swadeshi Trump IAS invades NDDB...
Banning booze...

An issue rocking Tamil Nadu politics is the re-introduction of prohibition of liquor. With elections to the state assembly due in the next 9/10 months, parties in opposition are demanding an end to the current liquor policy.

 The AIADMK government is worried over the impact of a huge loss of revenue by re-introducing prohibition. Excise income from liquor sales made through the state outlets of the Tamil Nadu State Marketing Corporation(TASMAC) is estimated around Rs 25,000 crore, forming around 15 per cent of state’s total revenue receipts for this year.

The state’s finances are not elastic. In total debts of the state, of around Rs 211,483 crore budgeted for 2015-16, a sizeable chunk, of around Rs 30,000 crore, of the state’s budgeted expenditure, goes for debt servicing including interest payments. Staff costs, including pensions, account for around Rs 60,000 crore. The state spends another around Rs 59,000 crore towards subsidies for food, power and a host of other freebies. These three heads together consume almost the entire revenue receipts of around Rs 150,000 crore leaving little resource for development.

Karunanidhi as chief minister scrapped prohibition in 1971 on the pretext of widespread bootlegging and difficulty of enforcing prohibition. After the humongous human suffering and havoc caused, DMK supremo Karunanidhi is re-thinking and indicates including the scrapping of the current liquor policy as the DMK party’s 2016 election platform. Other parties in the state – the PMK, VCK, Congress… – demand prohibition.

The havoc caused by liquor has indeed been extensive and humongous. A culture of celebrating birthday parties, marriages and festivals, of course election meetings and even mourning  deaths with liquor has become widespread. It is not uncommon to see school and college students holding booze parties in five star hotels.

 Kerala, which has been accounting for the highest levels of per capita liquor consumption, has announced the return to prohibition. Maharashtra Chief Minister Fadnavis has  pointed to his interest in this. Gujarat, Mizoram, Lakshadweep and Nagaland are the few states where prohibition has been in force.

 It is not easy though. While enforcement will demand great attention, revenue loss can be mitigated by better targeting of the numerous subsidies to the most needy sections. The NDA government has succeeded in reducing the outgo on LPG subsidy by fixing a limit and by direct cash transfer. The state should adopt such an approach. Surely this would serve a larger social good.


Author :
Reported On :
Sector :
Shoulder :
IE, the business magazine from south was launched in 1968 and pioneered business journalism in south. Through the 45 years IE has been focusing on well-presented and well-researched articles. When giants in the industry stumbled to keep pace with the digital revolution, IE stayed affixed embracing technology.
Read more
Economist Communications Ltd is committed to ensuring that your privacy is protected.
Read more
You agree that your use of this Website and the purchase of the magazine will be governed by these terms and conditions.
Read more
S-15, Industrial Estate,
Chennai - 600 032.
PHONE: +91 44 22501236