Framing alcohol policies in non-prohibitionist States: An existentialist dilemma?

Wednesday, 23 October, 2024 - 09:00 to 18:20

Abstract

The non-prohibitionist States all over the world see alcohol more or less as a low-hanging fruit when it comes to raising revenue. For a public policy professional, it's well-nigh too difficult to ignore the call of alcohol from the perspective of public revenue.
In the thick of Covid-19 years, the States in India virtually solely relied upon alcohol for boosting their public exchequer. And therein lies the big bad challenge! 
An extensive public health research undertaken in the context of India a few years back suggested that the long term outgo from the exchequer is around 2 times the State income generated out of alcohol revenue. This outgo being in terms of cost of loss or erosion of potential human resource following prolonged consumption of alcohol is actually a significant drainage on public finance. Thus, any apparently good gain out of Excise revenue on account of alcohol sale today is an undeniable pointer towards a surer economic loss tomorrow.
At the same time, it's also a fact that a forced prohibition has never succeeded anywhere in the world, including in the US, since sheer policing cannot succeed in absence of more sustainable will at the individual and societal and political level. Public awareness about the ill effects of alcohol thus should be the primary target area for the policy actors in case anything meaningful must be done. People should be continually made aware about the ill effects of alcohol consumption and steps taken at the State level so as not to project alcohol as the new in-thing! 
Thus, Excise and prohibition wing under any Government does face actually a kind of existentialist dilemma: whether to expand the base of taxation by making the liquor prices more attractive OR to downplay the appeal of alcohol so as not to attract more and more young clientele. Moreover, the challenge becomes even more when a non-prohibitionist State goes all out against narcotic drugs but not so against alcohol, which creates an impression for the susceptible youth that it’s absolutely OK to consume alcohol! 

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