Low-alcohol liquor tax cut: UDF panel to take final call, says CM VD Satheesan

THIRUVANANTHAPURAM: Facing intense heat over the controversial budget proposal to slash taxes on low-alcohol beverages, Chief Minister V.D. Satheesan clarified the government's stance in the State Legislative Assembly, announcing that the final decision on the matter will be left to the ruling United Democratic Front (UDF). Replying to the budget discussion on Wednesday, the Chief Minister stated that a special coalition committee will be constituted to closely evaluate the proposal before taking any further steps.

The Chief Minister emphasised that the actual commercial rollout of low-alcohol beverages hinges entirely on a green light from this newly proposed UDF panel. The state government will only proceed with the sales if the front gives its formal nod. Satheesan further clarified that if the committee approves the policy, the tax structure will remain exactly as currently outlined in the budget proposal.

Defending his administration against opposition criticism, Satheesan pointed out that the policy shift toward low-alcohol beverages was originally a legacy of the previous Left Democratic Front (LDF) regime. He noted that the decision was conceptualised during the first Pinarayi Vijayan government and formally implemented during the second Pinarayi Vijayan government. According to the Chief Minister, when the UDF assumed power, its initial steps were merely routine follow-up measures to the policies already set in motion by the predecessor government.

Beyond the liquor policy itself, the Chief Minister addressed mounting speculation regarding potential friction between the government executive and the party organisation. Satheesan made it clear that he does not intend to take administrative files concerning the government's policy decisions to the Kerala Pradesh Congress Committee (KPCC) leadership for political scrutiny. He also dismissed rumours of internal dissent within the cabinet, adding that Minister K. Liju had expressed no dissatisfaction or reservation regarding the policy decision.