Consumers in Bengaluru are voicing frustration over alleged overcharging at bars and liquor outlets, despite a recent price reduction on several premium liquor and beer brands by the Karnataka government . This change,part of a new excise duty regime introduced on May 11, taxes alcohol based on its Alcohol in Beverage (AIB) content rather than its category,marking Karnataka as the first Indian state to implement such a system.
While the government’s initiative has reportedly led to price drops of up to 25% for certain premium brands,many customers claim they are not seeing these reductions reflected in their bills. Manoj Kumar, a resident of Nagarbhavi, highlighted that local liquor shops continue to charge the previous rates. “The prices of many beer brands have come down by anywhere between ₹10 per bottle . However, several MRP outlets and bars are still collecting the amount printed on the old labels,” he said,expressing concern that consumers are missing out on benefits of the government's price cuts.
Prakash M., living in J.P . Nagar, shared a similar experience. He noted that retailers often use outdated bottle labels as a reason for maintaining higher prices. “When I questioned the staff at a liquor outlet about why they were charging the old price despite reports of reductions,they said the revised prices would apply only to bottles carrying updated labels,” he explained. Many customers are unaware of the latest government-approved rates,which complicates their ability to dispute these claims. The lack of clear information at retail outlets adds to the confusion,leaving consumers with little choice but to pay prices demanded .
Some liquor shop owners assert they are adhering to the new pricing guidelines. One owner, who wished to remain anonymous, stated that while most retailers are compliant,there may be exceptions. “Most retailers are complying with the government’s directions and passing on the reduced prices to customers. However,some liquor shops, bars,and pubs may still be charging based on older stock purchased before the revision,” he noted. He expressed optimism that once outdated inventory is sold, pricing would stabilize.
In response to the growing complaints, officials from the Excise Department have announced plans for surprise inspections throughout the state. A senior official stated, “We have directed officials to carry out checks and ensure that retailers adhere to revised pricing structure. Appropriate action will be taken wherever violations are found.” As the situation unfolds,consumers remain hopeful that the intended benefits of the new excise policy will soon reach them .
