Assam to slash alcohol prices from September 1, 2024

The Assam Excise Department has announced a reduction in alcohol prices effective from September 1. The decision, detailed in a notification issued on August 17, involves adjustments to ad-valorem taxes on a range of alcoholic beverages, including Indian-made foreign liquor, beer, wine, brandy, rum and ready-to-drink options.

The price reduction follows a previous hike in March, aimed at boosting state revenue through alcohol taxes, which play a crucial role in Assam's financial structure. The revised tax framework introduces varying ad-valorem levies and adjusted minimum price thresholds based on the type and cost of alcohol.

For instance, draught beer with up to 5% alcohol content will now face an ad-valorem levy of 0.57 times its assessed value, resulting in a reduction of Rs 34 per 650ml bottle. Indian-made spirits priced below Rs 360 per bottle will see a decrease of Rs 144 per 750ml bottle due to a revised levy of 1.21 times the assessed value.

Luxury brands with an MRP between Rs 360 and Rs 500 will experience a price drop of Rs 166 per 750ml bottle, while those priced between Rs 500 and Rs 700 will see a reduction of Rs 214 per 750ml bottle, following new ad-valorem levies of 1.08 and 1.06 times the assessed value, respectively.