State of the Sri Lankan Alcohol Industry and Analysis of Governing Policies

Despite the many perils of alcohol consumption on human health and on society as a whole, imbibing has become a significant activity for many of the ordinary citizens in Sri Lanka, and also seen as one of the most profitable industries in the country. As a result, the production and consumption of alcohol in Sri Lanka has reached a new height – becoming a valuable contributor to the economy, in spite of certain alcohol restraining policies introduced by the government. However, misconceptions on the legal alcohol trade, politicization of the alcohol industry as well as matters related to the illicit alcohol industry remain issues of concern. In light of this situation, this Working Paper looks into the importance of formulating a balanced policy option for decision makers to develop a rational policy framework on alcohol production, sales and consumption in Sri Lanka.

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