The Tamil Nadu government is reportedly considering a major change in its liquor retail policy by exploring the possibility of privatising Tamil Nadu State Marketing Corporation (TASMAC) outlets located in corporations and municipalities, according to sources. If implemented, the move would mark a significant shift in the state’s liquor retail system, which has been controlled by the government-run TASMAC for more than two decades.
TASMAC has been the sole authorised retailer of Indian Made Foreign Liquor (IMFL) in Tamil Nadu since 2003, after the state government brought liquor sales under its direct control. The proposed plan is being seen as the first major step towards private participation in liquor retail since the government monopoly was established.
Sources said the proposal is still under consideration and no final decision has been announced yet. The move comes amid increasing scrutiny over the functioning of TASMAC outlets, including complaints related to overcharging customers above the Maximum Retail Price (MRP) and other operational issues.
Recently, the state government introduced stricter disciplinary measures for TASMAC employees following directions from the Madras High Court. Under the revised rules, repeated violations involving charging customers above the MRP could lead to strict action, including dismissal from service.
The possible privatisation plan has also triggered discussions about the future of government control over liquor sales in Tamil Nadu. Supporters of the move argue that private participation could improve efficiency, reduce irregularities and bring better management of retail outlets. However, critics may raise concerns over increased accessibility of alcohol and the social impact of expanding private involvement in liquor sales.
TASMAC plays a crucial role in Tamil Nadu’s revenue system, with liquor sales contributing significantly to state earnings. Any policy change involving its retail network is therefore expected to have economic as well as political implications.
The proposal is likely to face close scrutiny from political parties, social organisations and employee groups before any final decision is taken. For now, the government has not issued an official notification regarding the privatisation of TASMAC shops.
