The political controversy surrounding Chief Minister V.D. Satheesan's proposal to reduce tax on low-alcohol beverages deepened on Friday, 26 June, as the Communist Party of India (Marxist) mounted a pointed defence of its earlier liquor policy while religious leaders across Kerala called for broader consultations before any final decision is taken.

CPI-M Draws Line Between Past Policy and Present Proposal

CPI-M State Secretary M.V. Govindan, speaking to reporters in New Delhi, sought to clearly separate the Left Democratic Front (LDF) government's earlier framework from the current tax-revision proposal. He stated that the LDF's intent had never been to benefit multinational liquor corporations, but rather to promote value-added processing of agricultural produce — including cashew, apples, and other farm commodities — in ways that would directly improve farmers' incomes.

Govindan confirmed that the concept of producing low-alcohol beverages was embedded in the LDF government's policy during his own tenure as Excise Minister. He noted that companies including Bacardi approached the government only after the policy was already in place, seeking distribution rights — not the other way around. The LDF's emphasis, he maintained, was on locally sourced raw materials, not on facilitating branded multinational products.

Govindan Draws Distinction on Timing and Process

Govindan was careful to clarify that he had already vacated the Excise portfolio by January 2022, when the matter was referred to the Assembly Subject Committee, and that the file had not been processed during his tenure. He argued that critics were deliberately conflating two separate issues: the earlier agriculture-based production policy and the present government's proposed tax restructuring for low-alcohol beverages.

He also raised procedural concerns about the current government's handling of the file, noting that it reportedly reached the Chief Minister's desk within three days of the new government assuming office. He criticised the decision to incorporate the proposal into the Budget without prior consultations with coalition partners or the Opposition — a step he described as unusual.

Religious Leaders Weigh In

Syed Jifri Muthukoya Thangal, President of the Samastha (EK faction), reiterated that Islam prohibits all forms of liquor. He nonetheless acknowledged that framing liquor policy is the prerogative of an elected government, clarifying that the community does not expect state policy to be shaped by religious doctrine alone.

Archbishop Mar Joseph Pamplany of Thalassery welcomed Chief Minister Satheesan's decision to initiate wider consultations on the matter, calling the move commendable. He stressed, however, that no policy on alcoholic beverages should create the perception of encouraging substance abuse, underlining the need for social responsibility in policymaking.

What Happens Next

The Kerala government is expected to consult coalition partners before arriving at a final position. With religious bodies, Opposition leaders, and ruling-front allies all now publicly engaged, the debate over the state's evolving liquor policy is set to remain a central fault line in Kerala's political landscape in the days ahead.