India

Former Kerala Excise Minister Critiques UDF for Tax Cuts on Low-Alcohol Beverages

Former Kerala Excise Minister M.B. Rajesh has condemned the United Democratic Front's (UDF) recent decision to lower taxes on low-alcohol beverages, claiming it aims to increase alcohol availability in the state. During a press conference, he accused the UDF of succumbing to corporate pressures and demanded transparency from Chief Minister V.D. Satheesan regarding the financial motivations behind this policy change. Rajesh highlighted the potential social harm and corruption risks associated with the new tax structure.

MBN India Reporter

MBN India Reporter

Jun 21, 2026

5 views
Former Kerala Excise Minister Critiques UDF for Tax Cuts on Low-Alcohol Beverages

Key Takeaways

  • Rajesh criticizes UDF for tax cuts on alcohol
  • Concerns raised over corporate influence
  • Public health implications of new tax structure

This Kerala alcohol tax issue is getting heated now,and honestly,M.B. Rajesh is not making small allegation ah . Former Kerala Excise Minister M.B. Rajesh has openly attacked United Democratic Front's decision to reduce taxes on low-alcohol beverages,and whole thing has now become much more than normal policy fight.

And his main worry is simple,but serious . Rajesh says reducing tax on these drinks will make alcohol more accessible in state,and that can directly hit public health and social welfare . In Kerala,alcohol policy is never just about revenue only,it always becomes social issue also.

He also alleged that corporate interests are behind this move,especially one liquor lobby based in Karnataka . According to him,this policy is not really for people,but for profit . That kind of charge will obviously create political fire because it suggests decision is being pushed by business pressure,not public interest .

Rajesh also criticised UDF for changing earlier Left Democratic Front policy . As per him,LDF had allowed production of low-alcohol beverages only from fruits and agricultural products . But now,UDF’s new regulations allow use of spirits in production,and Rajesh believes this can open door to corruption and social harm .

Few points standing out in this fight:

  • Rajesh claims corporate influence and says liquor lobby is behind tax cuts.
  • New tax structure has 120% tax for low-alcohol beverages up to 10% alcohol content.
  • Public health concern is that easier availability of alcohol may create social issues.

And tbh,the tax numbers also tell why this debate is not small . Rajesh said under new policy,tax rates are 120% for beverages with up to 10% alcohol content and 175% for those containing up to 20% alcohol . He argues state may lose revenue while one corporate entity gets benefit in low-alcohol drinks market.

He described these products as “ready-to-drink” beverages which will be available through Kerala State Beverages Corporation outlets . His fear is that once these drinks become easily available through official outlets,consumption may go up sharply . That part will worry many families also,because easy access changes habits slowly .

But political angle is also very clear here . Rajesh accused UDF of going back on promises made to public by offering tax concessions which LDF had earlier rejected . He is also asking Chief Minister V.D. Satheesan to be transparent about financial motivations behind these decisions.

And honestly,this is where issue becomes uncomfortable . If tax cut is really about one corporate player benefiting,then public deserves answers . But if government says it is policy reform,then they need to explain how health and social damage will be controlled.

For now,this looks like another big Kerala fight where alcohol,revenue,corporate pressure and public welfare are all mixed together . And question still sits there quietly… who is this policy really helping?

Source: thehindu-top
#Kerala#M.B. Rajesh#UDF#Tax Reduction#Low-Alcohol Beverages#V.D. Satheesan#Public Health#Liquor Lobby#CPI(M)#Government Policy

Related Articles