INDIA’S DRY EXPERIMENT: ASSESSING THE IMPACT OF ALCOHOL PROHIBITION
INDIA’S DRY EXPERIMENT: ASSESSING
THE IMPACT OF ALCOHOL PROHIBITION
WRITTEN BY: PRIYAMVADA TIWARI
1ST YEAR, L.L.M
AMITY UNIVERSITY, NOIDA
EDITED BY: MUSKAN PRASAD
4TH YEAR,
B.A.LL.B(HONS)
AMITY LAW SCHOOL, NOIDA
INTRODUCTION
Alcohol prohibition laws in India have been a
subject of debate for decades. While some states have chosen to implement
complete prohibition, others have opted for regulated sale and consumption of
alcohol. While some consider alcohol an integral part of their culture, others
view it as a harmful and addictive substance that can lead to social and
economic problems. In an attempt to control alcohol consumption and address
these issues, various Indian states have imposed prohibition laws that prohibit
the manufacture, sale, and consumption of alcohol.
The socio-economic impact of these policies on society is a multifaceted issue that requires careful examination. This article aims to explore the various dimensions of how alcohol prohibition laws have affected Indian society from a socio-economic standpoint.
A BRIEF HISTORY OF ALCOHOL
PROHIBITION IN INDIA
Gandhi was a strong proponent of prohibition. In the 1920s, the
Indian nationalist movement adopted prohibition as one of its goals. After
Independence in 1947, most states enacted prohibition laws. [i]However, enforcement was difficult,
and alcohol was frequently smuggled or produced illegally.
The Indian temperance movement gained momentum in the late 1800s,
leading to the enactment of the Bombay Prohibition Act in 1949, which was the
first prohibition law in India[ii]. Subsequently, several
Indian states, including Gujarat, Nagaland, Mizoram, and Manipur, followed suit
and enacted their prohibition laws.
By the 1970s, most states relaxed or repealed prohibition laws due
to ineffectiveness. Today, each state regulates alcohol separately. Some still
have dry days or ban liquor sales near religious sites. Alcohol taxes are an
important source of revenue for many states.
While prohibition aimed to curb social problems, its impact on
public health remains debated. Per capita alcohol consumption has risen since
the 1970s, as has the prevalence of binge drinking. However, alcohol-related
mortality rates have declined, possibly due to improved healthcare.[iii] In 2016, Bihar became the
latest state to announce prohibition, citing reasons such as curbing crime and
promoting spiritual and healthy living.
Cultural attitudes about alcohol also remain complex. Drinking is
forbidden in Islam and some Hindu castes but accepted or even encouraged in
some social situations. However, public intoxication and alcoholism are still
stigmatized. Regulation and cultural norms aim to promote responsible drinking,
but more could be done to curb harmful behaviors and support those with
substance abuse disorders.
Overall, India’s history with prohibition highlights the challenges
of regulating personal behaviours and the unintended consequences of
well-intentioned policies that do not have popular support. There are no easy
answers, but open debate and evidence-based interventions may help build a
healthier relationship with alcohol across Indian society.
“First you take a drink, then the drink takes a drink, then the
drink takes you.”
-
F. Scott
Fitzgerald, 'The Great Gatsby
PUBLIC HEALTH AND SOCIAL WELL–BEING
One of the primary reasons for enacting alcohol
prohibition laws is to address public health concerns related to alcohol abuse.
Studies have shown that excessive alcohol consumption can lead to various
health issues, including liver diseases, cardiovascular problems, and mental
health disorders. By curbing alcohol availability, prohibition policies aim to
reduce alcohol-related health burdens on individuals and the healthcare system.
Additionally, prohibition seeks to address social
issues stemming from alcohol abuse, such as domestic violence, family
breakdowns, and drunk driving accidents. In states with prohibition laws, there
has been evidence of reduced alcohol-related incidents, leading to a perceived
improvement in public safety and community cohesion.[iv]
IMPACT ON STATE REVENUES
Prohibition laws have both direct and indirect
effects on state revenues. States that have imposed complete alcohol
prohibition experience a loss of revenue from alcohol-related taxes and
licensing fees. This can strain the state's financial resources and hinder its
ability to fund essential services and development projects.
Moreover, prohibition often leads to an increase in
the illegal alcohol trade, resulting in lost potential revenue for the
government. The underground alcohol market not only evades taxation but also
poses risks to consumers due to the lack of quality control and safety
standards.[v]
BLACK MARKET AND ORGANIZED CRIME
One of the most significant socio-economic
consequences of alcohol prohibition is the rise of a black market and organized
crime related to illegal alcohol sales. When legitimate avenues for purchasing
alcohol are restricted, consumers may turn to illicit sources, giving rise to
bootlegging and smuggling networks. These illegal activities foster corruption,
bribery, and a breakdown of law and order.
The profits generated from the illegal alcohol
trade can fund organized crime, posing a threat to the security and stability
of society. Furthermore, the involvement of criminal elements in the alcohol
market can exacerbate social issues, such as violence and addiction.[vi]
IMPACT ON EMPLOYMENT AND LIVELIHOOD
The alcohol industry is a significant source of
employment and livelihood for millions of people in India. Prohibition policies
can lead to job losses in sectors related to alcohol production, distribution,
and hospitality. From farmers who grow crops used in alcohol production to
those working in bars and restaurants, prohibition can disrupt the livelihoods
of numerous individuals and their families.[vii]
CURRENT ALCOHOL REGULATIONS AND LAWS IN INDIA
Currently, most states
have prohibited the production and sale of alcohol. Some states like Bihar,
Gujarat, Mizoram,
and Nagaland have a complete ban on alcohol. Other states like Maharashtra and
Karnataka have prohibited alcohol but make exceptions for wine and beer with an
alcohol content below a certain percentage. A few states like Sikkim, Meghalaya, and Haryana have more
liberal laws allowing for the regulated
sale and consumption of most liquor.
The enforcement of
prohibition laws in India is inconsistent and problematic. Despite legal
restrictions, a thriving black market for alcohol has emerged, fueling criminal
activity and health issues from the consumption of spurious liquor. There are
also widespread criticisms that prohibition laws are outdated, difficult to
enforce, and curb personal freedoms.
Socially, alcohol
consumption in India carries a strong stigma, especially for women, due to
conservative cultural attitudes. However, among younger and more affluent
populations, social drinking is becoming more accepted and the market for wine,
craft beer, and cocktails is growing rapidly in major cities.
Overall, India's relationship with alcohol remains complex and contentious. While deeply embedded social taboos and prohibition laws remain, consumption trends show that attitudes are gradually evolving, especially in urban areas. Reforming India's alcohol laws to allow for regulated and responsible drinking may help address the unintended consequences of prohibition.[viii]
CASE STUDIES 0F PROHIBITION IN
DIFFERENT STATES
The state of Gujarat
adopted prohibition in 1960 and maintains a strict no-alcohol policy. As the
home state of Mahatma Gandhi, who advocated temperance, Gujarat sees alcohol as
contrary to Indian cultural values. However, prohibition has led to bootlegging
and smuggling.
Bihar implemented
prohibition in 2016 but repealed it two years later. The state suffered major
revenue losses and saw a rise in unlawful alcohol sales. According to the new
liquor law, anyone discovered engaging in the illegal import, export, transit,
manufacturing, possession, or sale of alcohol or other intoxicants faces a
minimum 10-year prison sentence that may be increased to a life sentence as
well as a minimum punishment of Rs 1 lakh that could be up to Rs 10 lakh.[ix]
However, some studies found
decreased domestic violence and improved health indicators during prohibition.
Kerala follows a more
balanced approach, with prohibition on hard liquors but licenses for beer and
wine. Taxes on alcohol provide major state revenue. However, per capita alcohol
consumption in Kerala remains high, especially among lower-income groups.
Manipur, a tribal-majority state, banned alcohol in 1991 but lifted prohibition partially in 2007 and fully in 2018. Prohibition disrupted the cultural practices of some tribes and led to a spike in illicit alcohol. The reversal aimed to regulate alcohol sales and generate tax revenue. However, alcoholism and related problems persist, requiring a nuanced policy.[x]
In
summary, the socio-economic impact of alcohol prohibition
laws in India is a multifaceted issue with both positive and negative outcomes.
Prohibition can have a positive effect on public health, reducing
alcohol-related health burdens and social issues associated with excessive
alcohol consumption. However, it also presents challenges, such as the loss of
state revenues, the rise of a black market, and potential job losses.
Prohibition has had mixed results in different Indian states. An
outright ban on alcohol may not achieve the desired outcomes and lead to unintended
consequences. A balanced regulatory approach that considers revenue and health
objectives, as well as cultural practices, may be optimal. Community-level
interventions should accompany any policy to address the social determinants of
alcohol abuse.
To strike a balance between social objectives and
economic realities, policymakers must consider evidence-based approaches that
address alcohol-related issues while mitigating the adverse socio-economic
consequences.
There
are alternative approaches to alcohol regulation that can be considered in
India, aside from the complete prohibition of alcohol.
One
such approach is the implementation of stricter regulations and controls on the
sale and consumption of alcohol. This could include limiting the hours during
which alcohol can be sold, increasing the legal drinking age, and imposing
stricter penalties for drunk driving and public intoxication.
Another
alternative is the introduction of harm reduction strategies. This involves
providing education and awareness campaigns about the risks and dangers of
excessive alcohol consumption and implementing measures to promote responsible
drinking. This could include mandatory labelling of alcoholic beverages with
health warnings, promoting moderation and responsible behaviour in advertising
campaigns, and providing support services for individuals struggling with
alcohol addiction.
Furthermore,
the government could explore the option of implementing a state-controlled
liquor retail system, where the sale and distribution of alcohol are regulated
by the government. This system has been implemented successfully in some
countries and has been shown to reduce alcohol-related harms and generate
revenue for the government.
By
considering these alternative approaches, India can find a balance between
addressing the social and health concerns associated with alcohol consumption,
while also taking into account the economic impact and individual freedoms of
its citizens.[xi][xii]
[i]Temperance
movement in India - Wikipedia. (2020, October 20).
Temperance Movement in India - Wikipedia. https://en.wikipedia.org/wiki/Temperance_movement_in_India
[ii] Temperance movement in India - Wikipedia. (2020, October
20). Temperance Movement in India - Wikipedia. https://en.wikipedia.org/wiki/Temperance_movement_in_India
[iii] Alcohol prohibition in India - Wikipedia. (2016, December
28). Alcohol Prohibition in India - Wikipedia. https://en.wikipedia.org/wiki/Alcohol_prohibition_in_India
[vii] Luca, D. L., Owens, E., & Sharma, G. (2019, January 31). The
effectiveness and effects of alcohol regulation: evidence from India - IZA
Journal of Development and Migration. SpringerOpen. https://doi.org/10.1186/s40176-018-0139-1
[viii] Why do some Indian states ban alcohol? What are its effects?
(2022, December 19). The Indian Express. https://indianexpress.com/article/explained/why-do-some-indian-states-have-prohibition-does-it-work-8333222/
[ix] Goyal, S. (2021, February 4). About alcohol prohibition in India
& its Socio-Economic effects | UPSC. About Alcohol Prohibition in India
& Its Socio-Economic Effects | UPSC. https://digitallylearn.com/about-alcohol-prohibition-in-india-its-socio-economic-effects-upsc/
[xi] akram, W. (2022, July 29). [Answered] Critically examine the
effectiveness of prohibition of Alcohol in India and suggest some alternative
policy measures. ForumIAS Blog. https://blog.forumias.com/answered-critically-examine-the-effectiveness-of-prohibition-of-alcohol-in-india-and-suggest-some-alternative-policy-measures/
[xii] Luca, D. L., Owens, E., & Sharma, G. (2019, January 31). The
effectiveness and effects of alcohol regulation: evidence from India - IZA
Journal of Development and Migration. SpringerOpen. https://doi.org/10.1186/s40176-018-0139-1
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