Karnataka distillers seek excise duty rethink fearing new liquor tax hits prices badly

AIB-based taxes may shift costs into lower slabs

Alcohol producers in Bengaluru want Karnataka’s government to revisit proposed excise duty rules. They fear an AIB (alcohol-in-beverage) based structure could mirror a European model and worsen pricing outcomes. While the plan reduces pricing slabs, distillers worry duty hikes in lower slabs may raise costs for entry-level products, and are urging moderation.