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The Karnataka government has raised the rate of wine by 170 percent, the hike will come into effect from tomorrow, 1 July 2016.
This step was taken to curb the production of illegal wines by some distilleries.
Wine is traditionally made from fermented grapes, but some distilleries in the state skip the use of grapes entirely and sell ‘wine’ made with chemicals and water in the market.
This has resulted in huge losses to grape farmers and the government. The government has been suffering losses to the tune of ₹20 crore per annum, due to the sale of illegal wine
The government order has already been notified in the gazette.
