The Beer Association of India (BAI) has urged Karnataka Chief Minister Siddaramaiah to withdraw a proposed notification that could increase beer prices. The Karnataka government is considering raising the excise duty on beer based on its alcohol content, which could lead to a price hike of 10-20% for stronger beers.
BAI argues that this increase would make beer unaffordable for many consumers and could actually reduce government revenue by about ₹400 crore due to lower sales. They also expressed concern over a requirement for breweries to disclose sugar content in beers, stating that it could confuse customers and create unnecessary burdens for manufacturers.
With alcohol prices in Karnataka already among the highest in southern India, BAI warned that this new proposal could discourage further investment from major beer companies operating in the state.
