Bengaluru, April 21 -- Industry groups have offered a mixed response to Karnataka's proposed overhaul of its liquor taxation framework, with brewers welcoming the shift to an alcohol-based system while distillers cautioned that it could raise prices for mass-market consumers.

The Brewers Association of India described the move to an Alcohol-in-Beverage (AIB) framework as a "watershed moment" for the sector, saying it aligns taxation with both revenue objectives and public health goals.

"By announcing AIB-based taxation mechanism, Karnataka has become the first state in the country to explicitly link revenue maximisation goal of the State with desired public health outcomes," said Vinod Giri, director general of the Brewers Association o...