Kerala Halts New Liquor Licences Until 2026-27 Policy

Kerala’s Excise Department on 9 November 2026 barred the issue of new liquor licences, including for bars and wine and beer parlours, until the State’s 2026-27 alcohol policy is promulgated on 30 November.

Licensing freeze

The Additional Excise Commissioner, who was holding charge as Excise Commissioner, directed Deputy Commissioners not to issue new bar licences. The restriction also covers permits allowing certain four-star hotels to sell hard spirits.

Excise officials said the government had put 29 bar-licence applications from four-star hotels on hold.

Important Facts for Exams

• Kerala abkari legislation: The Kerala Abkari Act, 1077 (Act 1 of 1077) is the State’s principal statute governing liquor and intoxicating-drug manufacture, possession, transport and sale.
• Constitutional regulatory competence: Constitutional List II Entry 8 assigns States legislative competence over production, manufacture, possession, transport, purchase and sale of intoxicating liquors.
• State excise taxation: Separate from regulation under Entry 8, State List Entry 51 authorises state excise duties on alcoholic liquor for human consumption.
• Article 47 and prohibition: Article 47 is a Directive Principle requiring the State to endeavour to prohibit intoxicating drinks, except for medicinal purposes; it is not an enforceable prohibition.