The countdown has begun for the Karnataka Budget presentation, and liquor lovers are already worried. Since the Congress government took power in the state, alcohol prices have increased twice, including the price of strong beer.
The 2025-26 Karnataka Budget is set to be presented on March 7, with Chief Minister Siddaramaiah expected to deliver a historic budget. With just three days to go, there are strong indications that another liquor price hike is on the way, causing concern among alcohol consumers.
Why Is the Budget Making Liquor Lovers Anxious?
The Karnataka Congress government is facing financial pressure due to its five guarantee schemes. Additionally, funds for the Anna Bhagya and Gruha Lakshmi schemes have not been released for the past five months, leading to debates. With the government needing funds for various projects, payments to contractors, and district-level developments, financial stress is evident. Even key ministers have acknowledged the financial burden.
To manage expenses, the state government has already increased liquor prices multiple times. Now, with increasing pressure to implement guarantee schemes and opposition parties criticizing the government, another liquor price hike seems inevitable. Simply put, alcohol lovers may soon have to pay more for their drinks.
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Will Alcohol Prices Rise Again?
To generate revenue, the Karnataka government may increase prices on alcohol and other goods in the upcoming budget. Just two months ago, the price of strong beer was hiked, and compared to other states, Karnataka already has higher liquor prices. Beer sellers had earlier demanded a price revision, but even after the last hike, prices were not reduced.
Since state governments typically raise taxes on alcohol and other select goods during budgets, another liquor price hike in this budget seems highly likely.