Liquor ban @10: Welfare drive faces fiscal strain

Patna: April 2026 marks exactly 10 years since Bihar enforced one of the country’s most stringent prohibition laws, imposing a complete ban on the manufacture, sale and consumption of liquor. Rolled out by then CM Nitish Kumar in April 2016 as a promise to women voters, the move sought to improve public health, strengthen household finances and curb domestic violence. Ten years on, the ban remains deeply polarising — a policy hailed for social transformation but criticised for economic strain and enforcement hurdles.

For the architects of prohibition, the biggest dividend lies in the improved well-being of vulnerable sections. Research published in ‘The Lancet’ and studies by the International Food Policy Research Institute highlight measurable gains in public health and safety. The ban is credited with preventing nearly 21 lakh cases of intimate partner violence, including a 4.6% decline in emotional abuse and a 3.6% drop in sexual violence against women.

The data further suggests the policy prevented around 24 lakh instances of regular liquor consumption. An estimated 18 lakh men avoided becoming overweight or obese due to reduced liquor intake. In rural households, spending patterns also shifted, with money once “splurged” on liquor redirected towards food, education and essential needs. Studies found improved protein consumption and better-quality edible oils, signalling a tangible rise in living standards.

“Initial years saw a notable dip in specific violent crimes, including a 66.6% drop in kidnapping for ransom and a 28.3% decrease in murder cases,” according to a study by the Asian Development Research Institute (ADRI).

However, beneath these gains lies a steep economic cost. What was once a robust revenue stream has turned into a persistent fiscal gap.

Before prohibition, Bihar earned about Rs 3,142 crore annually from excise duties. Over a decade, cumulative losses are estimated to have crossed Rs 30,000 crore. Political critics, particularly from Jan Suraaj, claim the state forfeits nearly Rs 20,000 crore every year — resources they argue could have been used to “establish a world-class education system or fund critical infrastructure.”

In the vacuum created by the ban, an extensive illegal network has flourished. Estimates indicate a parallel liquor economy worth Rs 25,000 crore to Rs 30,000 crore. Despite strict laws, access to liquor remains far from eliminated. A survey in the Patna Municipal Corporation area found 57.8% respondents believed liquor was still available, often at nearly double the earlier price.

Meanwhile, neighbouring states such as West Bengal and Jharkhand have witnessed a surge in excise revenues, fuelled by cross-border purchases.

The enforcement burden has also been immense. The “dry law” continues to strain administrative and judicial systems with enforcement often falling short of intent. Around 17% of men are still reported to consume alcohol.

By 2026, prohibition-related cases have clogged the courts. Earlier estimates indicated over 3 lakh pending cases, prompting sharp judicial criticism. Former Chief Justice of India N V Ramana described the Bihar Prohibition and Excise Act, 2016, as a law framed with a “lack of foresight”. Speaking in Vijayawada in Dec 2021, he observed the Act imposed an “additional burden on courts”, particularly flooding the Patna high court with bail pleas.

Since 2016, over 16 lakh arrests have been made and nearly 10 lakh cases registered under the law. Critics, including Union minister Jitan Ram Manjhi, argue enforcement disproportionately affects the poor, with more than 50% of those jailed belonging to weaker sections while the “mafia” operates largely unchecked.

“The prohibition law has become a curse for the poor. Rich people manage to procure liquor secretly, but it is the poor who get caught,” Manjhi, Union minister and NDA ally, said this many times.

Weak enforcement has also triggered the rise of spurious liquor, particularly in rural areas, leading to repeated hooch tragedies. Over the decade, hundreds have died due to methanol poisoning, compelling the state govt to restore compensation of Rs 4 lakh to victims’ families.

Another troubling fallout has been the growing use of synthetic “dry drugs” among the youth as alternatives to alcohol. A study found over 25% of habitual drinkers shifted to substances such as ganja, charas and synthetic drugs.

As Bihar steps into the second decade of prohibition, political unity on the issue is beginning to crack. While women’s groups remain steadfast supporters, NDA allies and opposition leaders are increasingly calling for a “recalibration” or a “detailed review” of the policy.

Despite mounting pressure, CM Samrat Choudhary has stood firm, ruling out any relaxation. Speaking on Friday, Samrat made his position clear.

“Who will dare to lift the liquor ban which was enforced by a personality like Nitish Kumar and appreciated by Prime Minister Narendra Modi?” Samrat said during an informal interaction with reporters.

As the debate intensifies, the central question persists — will Bihar move towards a regulated model like Gujarat or continue with its uncompromising stance?Get real-time updates and result insights on the CBSE 12 Result 2026.