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The Karnataka government has allowed restaurants, clubs and bars, which have been closed since the national closure of Covid-19 began on March 25, to sell liquor at retail prices only to carry until May 17.
Restaurant, pub and bar owners have welcomed the move as the state government earned record revenues from the sale of alcohol.
“We welcome this movement. For the past two months, our store has been closed due to coronaviruses and we have suffered losses, “Venkatesh Babu, a bar owner, said Saturday, according to the ANI news agency.
“The state government has told us to sell our shares at the maximum retail price (MRP). It is difficult for us to rent the store and the salaries are very expensive, ”added Babu.
The state excise department order on Friday night said the permit is applicable to independent licensees CL-4 (clubs), CL-7 (hotels and cabins), and CL-9 (bar), only while stocks last. Takeaway food has also been allowed.
The conditions established by the government include the sale of sealed bottles only while maintaining social distance during the sale and the use of masks.
Transportation of liquor stocks to CL-2 points of sale (MRP) is allowed, according to the order, adding that the permit does not apply to points of sale in containment areas.
The order also clarifies that the acquisition of stocks of fresh spirits from Karnataka State Beverage Corporation Ltd (KSBCL) warehouses by clubs, bars and restaurants during the period is not permitted.
The permit for sale between 9 a.m. and 7 p.m. it was awarded following requests from bar and hotel associations expressing concern that their stocks would have to be destroyed if beverages like beer with a shelf life of six months are not sold.
In a separate order, the department allowed Metro Cash and Carry to sell liquor until May 17, with similar conditions of time, social distancing, use of masks, among others.
They also cannot operate in government-announced containment zones.
A similar order has been issued allowing independent wine boutiques to sell wines, with similar conditions, but no final date has been set.
The government had previously allowed CL-2 (retail stores) and CL-11C (state retail stores like MSIL) to sell liquor between 9 a.m. and 7 p.m. only in areas outside of the Covid-19 containment zones beginning May 4.
Alcohol sales had stopped since the night of March 24 when the blockade to control the spread of the coronavirus disease came into effect.
After more than 40 days of closure, the Karnataka government finally agreed to resume sales starting May 4, but said that only around 4,500 independent liquor stores could sell, while the bars, restaurants and shops located in shopping complexes and shopping centers are still closed to guarantee adequate social distance.
Immediately after reopening on Monday, it had sold alcohol worth Rs 45 crore.
Chief Minister BS Yediyurappa announced on Wednesday a Covid-19 relief package of Rs 1.61 crore and said it would be financed mainly by an 11% increase in excise duties.
This was in addition to the 6% increase announced in the budget presented in March, indicating a cumulative 17% increase in retail prices.
The state had earned Rs 19,701 crore from revenue from liquor sales in 2019-20, through February, as the budget was presented on March 5.
The target of income from the sale of alcohol this year is Rs 22,700 crore.
(With contributions from the agency)
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