Industry seeks liberal excise policy to unlock Keralas wedding market

THIRUVANANTHAPURAM: A month after Kochi hosted Indias first-ever Wedding and MICE Conclave, industry stakeholders say the lack of a liberal excise policy continues to hold back business in the state. Though the government eased monthly dry day restrictions, liquor policy reforms fall short of the requirement to make Kerala competitive in wedding and MICE tourism. According to estimates presented at the conclave, the state could generate up to Rs 13,000 crore annually from the Wedding and MICE segment, given its unique mix of backwaters, beaches, hill stations, and luxury resorts. However, the absence of a flexible liquor policy and high permit costs are discouraging large-scale event planners. Though the event drew around 300 wedding planners from across the country, industry representatives say converting this interest into actual business will require a more liberal excise framework that supports large-scale events and destination weddings. Currently, on average, the state hosts 350 destination weddings a year, generating around Rs 500 crore annually. But planners and hoteliers insist this is only a fraction of Keralas real potential. Another major demand from the industry is to extend liquor serving hours beyond the current 11 pm limit, which they argue is incompatible with the requirements of late-night wedding receptions, gala dinners, and corporate events. With the right policy support, Kerala can generate over Rs 13,000 crore annually from the Wedding and MICE segment. Rajasthan and Goa are booming because of liberal liquor policy, and compared to these states, Kerala can host big fat weddings and intimate weddings at half the cost. We are not getting even one percent of the total destination wedding happening in the country, Kerala Travel Mart (KTM) president Jose Pradeep told the TNIE . The wedding and MICE market expects flexibility, said an event management association member. Unless Kerala addresses excise barriers and timings, the state will continue to lose out despite its unmatched natural advantages, he said. Recently, the state government allowed star-category hotels to serve liquor on the first of every month for approved events, provided they secure a special permit by paying Rs 50,000. A restrictive excise regime continues to drive business to other states. For a large corporate MICE event, that additional cost may not matter. But for smaller weddings, its a burden. Couples simply choose another state where such restrictions dont exist, said Jose Dominic, KTM founder-president. Goa and Rajasthan are the leading Indian wedding destinations. In Kerala, Kochi, Kumarakom and Kovalam top the list. According to wedding planner Raju Kannampuzha, the state has lost the momentum it gained during the pandemic years. During COVID, borders were closed and Kerala became the natural choice. We even got a fair number of north Indian weddings. But that trend is no longer there. Now, most events we see involve either the bride or groom from Kerala, he said. He added that Kerala is being chosen mainly for intimate weddings with 100-300 guests, largely because it is a cheaper option compared to Rajasthan and Goa. Intimate weddings cost around Rs 1 crore to Rs 1.5 crore while high-end weddings cost Rs 5 crore to Rs 10 crore. L500 cr generated Currently, on an average, the state hosts around 350 destination weddings a year, generating around I500 crore In Kerala, Kochi, Kumarakom and Kovalam are the leading wedding destinations