New Delhi, May 17 -- Karnataka has become the first state in India to have an Alcohol-in-Beverage (AIB)-based excise duty structure for alcoholic beverages. The move is aimed at rationalising liquor pricing, making alcoholic beverages available at cheaper rates for consumers in Karnataka and aligning prices with neighbouring states, including Tamil Nadu, Andhra Pradesh, Telangana, Maharashtra and Kerala.

"For the first time in India, the AIB-based excise duty structure has been implemented in Karnataka from May 11, 2026. It is globally recognised as the gold standard for alcohol taxation," the Karnataka Excise Department said in a statement.

AIB-based excise duty structure was announced by Karnataka Chief Minister Siddaramaiah in the 20...