Karnataka sees third liquor price hike in two years, new rates apply from today

Liquor prices in Karnataka have been raised for the third time in two years under the Congress government. A quarter bottle will see a price increase ranging from Rs 10 to Rs 25. The new rates are effective immediately.

Bengaluru (May 16): Just two years into its term, the Congress government in Karnataka has implemented its third liquor price hike. The Excise Department has put the new rates into effect today, increasing the cost of liquor once again. A quarter bottle will see a price increase ranging from Rs 10 to Rs 25. The new rates are effective immediately. If you're planning a trip to the bar today, make sure you carry extra cash.

Having already increased IMFL prices twice, the government has opted for another price hike to meet the Rs 40,000 crore target set for the Excise Department in the 2024-25 financial year. The budget for this year has seen a Rs 1,400 crore increase in the target for valuation revenue compared to the previous year.

Details of the new price hike:
The Excise Department has implemented price increases on the first 4 of the 16 slabs:
Slab 1:
Old Price: Rs 65 → New Price: Rs 80 (Rs 15 increase)
Slab 2:
Old Price: Rs 80 → New Price: Rs 95 (Rs 15 increase)
Slab 3:
Old Price: Rs 120 → New Price: Rs 130-Rs 135 (Rs 10-Rs 15 increase)
Slab 4:
Old Price: Rs 130 → New Price: Rs 140-Rs 145 (₹10-₹15 increase)

A quarter bottle will see an average price increase of Rs 10 to Rs 25, while a full bottle will see a hike of Rs 50 to Rs 100. These are MRP rates, and bars and restaurants are likely to charge more, with an additional increase of Rs 10 to Rs 15 expected. The price hike has caused significant discontent among consumers. Vendors and bar owners are already updating their price lists following the announcement.