The Karnataka government has allowed restaurants, clubs and bars, which were shut since the nationwide Covid-19 lockdown began on March 25, to sell liquor at retail prices only as takeaway till May 17.
Owners of restaurants, pubs and bars have welcomed the move as the state government earned record revenue due to the sale of alcohol.
“We welcome this move. Since the last two months, our shop was closed due to coronavirus and we were suffering losses,” Venkatesh Babu, a bar owner, was quoted as saying by news agency ANI on Saturday.
“The state government has told us to sell our stocks at the maximum retail price (MRP). It is difficult for us to do as rent for the shop and salaries are very costly,” Babu added.
The order from the state’s excise department on Friday evening said that the permission is applicable to standalone CL-4 (clubs), CL-7 (hotels and lodges) and CL-9 (bar) licence holders, only till their stocks last. The takeaway of food has also been permitted.
The conditions laid down by the government include the sale of sealed bottles only while maintaining social distancing during the sale and wearing of masks.
Transporting liquor stocks to CL-2 (MRP) outlets is allowed, the order said adding that permission is not applicable to outlets in containment zones.
The order also clarifies that procurement of fresh liquor stocks from the Karnataka State Beverage Corporation Ltd (KSBCL) depots by clubs, bars and restaurants during the period is not allowed.
The permission for the sale between 9am and 7pm was given following petitions by associations of bars and hotels raising concerns that their stock would have to be destroyed if drinks such as beer which has a shelf life of six months are not sold.
In a separate order, the department allowed Metro Cash and Carry to sell liquor till May 17, with similar conditions of timing, social distancing, wearing of masks among others.
They too can’t operate in containment zones announced by the government.
A similar order has been issued allowing standalone wine boutiques to sell wines, with similar conditions, but no last date has been set.
The government had earlier allowed CL-2 (retail shops) and CL-11C (state-run retail shops such as MSIL) to sell liquor between 9am and 7pm only in areas that are outside Covid-19 containment zones from May 4.
The sale of alcohol had stopped from the night of March 24 as the lockdown to check the spread of coronavirus disease took effect.
After more than 40 days of lockdown, the Karnataka government had finally agreed to resume sales from May 4 but had said that only about 4,500 standalone liquor stores could sell whereas bars, restaurants and stores located in shopping complexes and malls continue to be shut to ensure adequate social distancing.
Immediately after re-opening on Monday, it had sold alcohol worth Rs 45 crore.
Chief minister BS Yediyurappa had announced a Rs 1,610 crore Covid-19 relief package on Wednesday and said that it would be primarily funded by a hike of 11% in excise tax.
This was on top of the 6% hike which was announced in the budget presented in March indicating a cumulative 17% hike in retail prices.
The state had earned Rs 19,701 crore of revenue from the sale of liquor in 2019-20—till February as the budget was presented on March 5.
The revenue target from the sale of alcohol this year is Rs 22,700 crore.
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