Tamil Nadu shuts down 15% of state alcohol stores

India’s southern state of Tamil Nadu has ordered the closure of 717 state-run alcohol retail outlets, amounting to roughly 15% of liquor shops across the state, in what officials described as a public welfare measure.

The affected stores are operated by the Tamil Nadu State Marketing Corporation (TASMAC), the state-owned body that controls all alcohol retail sales in Tamil Nadu.

Under the new directive, shops located within 500 metres of places of worship, educational institutions and major bus terminals must shut down. The state government said the closures must be completed within two weeks.

The move was announced under the administration of C. Joseph Vijay, the actor-turned-politician who was elected as the state’s chief minister just last week in a high-profile ceremony at Chennai’s Jawaharlal Nehru Indoor Stadium.

A statement released by Vijay’s Tamilaga Vettri Kazhagam party (TVK) said the decision was taken in the “public interest”.

First major move as minister

The move is Vijay’s first major decision as chief minister, following an election campaign throughout which he vowed to aim for a “drug-free Tamil Nadu.” The liquor store closures are seen as the first step in making this promise a reality.

Tamil Nadu is one of India’s largest alcohol markets. The Tamil Nadu State Marketing Corporation (TASMAC) currently operates 4,765 retail liquor outlets across the State. In 2025, Tamil Nadu earned Rs 48,344 crore in revenue from liquor sales. TASMAC also sells 551 imported liquor brands, including 223 brands of wine available through licensed retail outlets.

While liquor sales are largely dominated by local brands, international drinks companies including Pernod Ricard and Diageo also have operations in the state.

The policy change comes at a difficult time for the alcohol industry, which has been facing rising costs linked to disruptions caused by the conflict in West Asia, while companies continue to push for price increases.

Film star support

Following the order, Rajya Sabha MP, Makkal Needhi Maiam (MNM) founder and prolific actor, Kamal Haasan, welcomed Vijay’s decision, saying the sale of liquor should never be the responsibility of the government.

Describing the move as a long-standing dream for many families in Tamil Nadu, the actor-politician praised Vijay for taking swift action immediately after assuming office. 

In a post on X, the Vikram actor said the government’s role should be to regulate the flow of alcohol rather than sell it. He added that the Tamil Nadu government must continue in this direction after shutting down the liquor shops, and called for the number to be increased. “This action must be continued. Congratulations,” he wrote.

Kamal Haasan has repeatedly spoken out against the widespread sale and consumption of alcohol in the State. In 2018, writing in his column for Ananda Vikatan magazine, he said that while he did not support total prohibition, he strongly favoured reducing alcohol consumption. He questioned the need for so many alcohol outlets, making the point that it was easier to locate a TASMAC shop than a post office.

As well as alcohol, Tamil Nadu is also considered an important manufacturing hub for multinational firms, including Foxconn, a major supplier to Apple.

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