11.94% increase in Excise revenue in Karnataka despite drop in beer sales

Karnataka reported 11.94% increase in Excise revenue assortment despite a steep drop in the sale of beer, which has been attributed to a protracted spell of rain coupled with floods and a marginal dip in sale of Indian Made Liquor (IML). Beer sales declined steeply by 11.34% and IML sales declined marginally by 0.74% throughout 2025-2026.

The complete sale quantity of beer and IML in 2025-2026 is lower than what was offered in 2023-2024.

At the tip of the monetary 12 months, ₹40,056.76 crores had been collected as Excise revenue as towards ₹35,783 crore collected throughout 2024-2025. In 2023-2024, the Excise assortment stood at ₹34,628.98 crore. The goal for the Excise Department had been set at ₹40,000 crore initially, which had been revised to ₹43,000 crore, in anticipation of upper sales and in addition anticipated revenue from auctioning 569 defunct CL 2 and CL 7 licences.

As many as 399.29 lakh instances of beer was offered throughout 2025-2026 as towards 450.36 lakh instances offered in 2024-2025. The sale of beer is lower than that reported in 2023-2024 when 444.05 lakh instances had been offered.

The sale of IML additionally dipped, however marginally by 0.74% over the earlier 12 months, and the overall sale of IML is decrease than what was offered in 2023-2024. While 703.62 lakh instances had been offered in 2025-2026, 708.85 lakh instances had been offered in 2024-2025.

Finance Department officers had additionally attributed the decline in sales owing to rationalisation of charges, and Government anticipates restoration over six to eight quarters.