Finance Ministry calls for report on illegal liquor outlets run by manufacturers

The Ministry of Finance and Economic Stabilisation has raised concerns over certain manufacturers of alcohol products maintaining sales outlets, which may lead to loss of tax revenue. In addition to revenue concerns, the Ministry notes there are rising complaints of more inferior quality toddy products entering the market through such outlets, which pose grave threats to the health of consumers.

In a discussion with Excise Officials, Finance and Economic Stabilisation State Minister Ranjith Siyambalapitiya, directed the Department of Excise to provide a report on such outlets and the potential economic and health impacts from such operations. 

During the discussion it was noted that some manufacturers operate sales outlets under different names listed under extended family members. Several licensed producers of alcohol products were also present at the meeting.

It was noted that a license holder could only operate up to three outlets and two within a single district. However, some manufacturers of toddy products operate many more than the stipulated number, it was revealed. The State Minister ordered that the report be submitted within a month, and that necessary amendments be drawn up to the excise act to take action against perpetrators.

During the meeting, it was revealed that 160,000 litres of toddy were required in the country for consumption on a daily basis but only 45,000 litres were produced. It was said that some manufacturers resort to illegal means to boost production, with products that could proffer significant harm to human health.