Alcohol in Kerala is set to become costlier as the Kerala government has increased the tax on India-made foreign liquor (IMFL) costing Rs 400 and above by up to 210 percent. State Finance Minister Thomas Isaac on Friday made this announcement while presenting the Kerala Budget 2018.

Issac said that the tax on liquor priced up to Rs 400 would be 200 percent, and the tax on liquor worth above Rs 400 would be 210 percent. He also increased the tax on beer to 100 percent from 70 percent. Similarly, the minister raised the tax rate on foreign-made liquor and wine to 78 percent and 25 percent, respectively.

According to an Indian Express report, the state currently receives an annual revenue of Rs 12,000 crore from liquor sales.

After the increase in liquour tax, the base price of foreign-made foreign liquor would be Rs 6,000 per case without import duty and that of foreign-made foreign wine would be Rs 3,000 per case.

During the previous Christmas season, the state clocked a new record in sales of alcholo netting over Rs 195.29 crore. The Kerala State Beverages Corporation (BEVCO), the sole vendor of Indian Made Foreign Liquor in both the wholesale and retail markets, recorded a sales turnover of Rs 195.29 crore through its 330 outlets from December 21 to 24, the report said.

The minister, however, granted permission to the state-owned beverage corporation to sell foreign liquor too.