The Hindu : Front Page : Proposal to grant more liquor shop and bar licences withdrawn

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Thursday, Jul 31, 2008
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Proposal to grant more liquor shop and bar licences withdrawn

Special Correspondent

Financial assistance announced for additional welfare schemes

BANGALORE: Chief Minister B.S. Yeddyurappa has withdrawn the proposal to permit the opening of 1,000 additional liquor shops and 500 more bars and restaurants in the State.

In his reply to the discussion on the budget proposals in the Legislative Assembly here on Wednesday, the Chief Minister announced financial assistance for an additional list of welfare schemes. He conceded the demand of the legislators to continue with the legislator’s area development fund.

The Government has also decided to take an all-party delegation to Prime Minister Manmohan Singh to impress upon him the need for granting subsidised farm loans through nationalised banks, apart from various other issues concerning the State.

“One crore people of the State will directly benefit from the budget,” he said.

In the budget presented to the legislature on July 17, the Chief Minister had said that after the abolition of arrack, many consumers in rural areas had to cover long distances to obtain liquor and, consequently, the Government had decided to permit the opening of 1,000 more liquor shops and 500 bars.

The move was to prevent the manufacture and sale of spurious liquor. The Government was contemplating opening retail liquor shops through a State public sector undertaking, he had said.

“All these have since been shelved following the opinion expressed by legislators,” the Chief Minister said.

With reference to the subsidised interest rate (three per cent) on farm loans extended by cooperative institutions, Mr. Yeddyurappa said, “Karnataka has been a trendsetter in providing loans to farmers at a low rate of interest.”

The Chief Minister said the Government had provided Rs. 1,000 each to each small farmer to purchase farm inputs and this would cost the Government Rs. 500 crore. Further, plantation labour would be eligible for the below the poverty line ration cards.

The Chief Minister, who had provided for an incentive of Rs. 2 a litre of milk sold by producers to milk cooperatives, said the Government had an open mind on extending this scheme to milk sold to private dairies in the State as well. A high-level committee has been constituted for this purpose. Milk production is estimated to be around one crore litres a day, and 30 per cent of this is procured by milk cooperatives.

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