Chennai, June 7: Tamil Nadu’s Prohibition and Excise Minister Vignesh clarified on Saturday that the state government has no plans to privatize the Tamil Nadu State Marketing Corporation (TASMAC). He stated that the government is working on a phased approach to reduce alcohol dependency, which includes the closure of 717 liquor shops.
In a media interaction, the minister dismissed opposition claims suggesting that the government was preparing to hand over TASMAC’s operations to private entities.
“There is no proposal for TASMAC’s privatization. The state government remains committed to operating alcohol sales under government control,” he asserted.
Vignesh defended the decision to close 717 liquor shops, noting that previous administrations had also shut down several outlets, primarily those with low sales or lacking bar facilities, which did not significantly impact revenue.
He claimed that the 717 TASMAC shops closed by the current government were profitable, with some generating daily sales of up to ₹2.5 million, while even the lowest-performing shop recorded around ₹500,000 in daily transactions.
According to the minister, this closure will result in an annual revenue loss of ₹70 to ₹80 billion for the government. Nevertheless, the government remains committed to its social policy and the goal of reducing alcohol dependency.
He mentioned that the closure of these 717 liquor shops was among the first major announcements made by the Vijay government after taking office. The government views this as a step towards gradually decreasing the number of liquor outlets in the state and addressing social issues related to alcohol consumption.
During the briefing, the minister also criticized the previous government for alleged large-scale irregularities in TASMAC’s operations. He indicated that the current administration has uncovered several serious discrepancies, with more revelations expected in the future.
“We have only been in power for about 20 days, and we are proceeding cautiously. All facts will be presented to the public if necessary. Those who have committed wrongdoings should remain silent instead of misleading the public,” he stated.
He also hinted that the government is continuously reviewing TASMAC’s operations and that further actions regarding other liquor shops may be taken based on revenue, compliance with regulations, and policy priorities in the future.
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