The RJD, a Left Democratic Front (LDF) ally, has openly opposed the Palakkad brewery project, criticizing the CPI(M) for bypassing internal discussions within the front on the new liquor policy. RJD General Secretary Varghese George stated that Excise Minister M.B. Rajesh should not have made the decision unilaterally. “The pros and cons of the project were not deliberated within the LDF,” he said, adding that it was inappropriate to take the matter directly to the cabinet without discussions.
The controversy stems from the Communist Party of India (Marxist)-led Kerala government's decision to grant preliminary approval to Indore-based Oasis Commercial Pvt Ltd to set up an ethanol plant, a multi-feed distillation unit, an Indian-made foreign liquor bottling unit, a brewery, a malt spirit plant, and a brandy/winery plant at Elappully in Palakkad district.
Notably, Palakkad has a history of anti-corporate protests, with Plachimada witnessing a prolonged struggle against Coca-Cola over excessive groundwater extraction and environmental damage. The protests and legal battles led to the plant’s closure in March 2004.
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The preliminary approval given to Oasis has raised eyebrows, with the Congress alleging that the company's leadership was involved in the Delhi liquor policy case. However, Excise Minister M.B. Rajesh has been defending the government’s stance, asserting that all actions were taken in accordance with rules and regulations, ever since the controversy ignited. Rajesh also took the position that Congress is acting on behalf of the spirit lobby from Karnataka.
Adding to the trouble for CPI(M), CPI leaders have also opposed the brewery project. Veteran leader Satyan Mokeri, writing in the party’s mouthpiece, warned that the decision has raised concerns among farmers and urged the government to withdraw the project. He stressed that water meant for agriculture should not be diverted for alcohol production. While CPI state secretary Binoy Viswam has been inconsistent in announcing the party’s official stance, the party’s local leadership has also voiced opposition.
With the RJD joining the opposition, pressure is mounting on the CPI(M) to reconsider its stance. Meanwhile, the opposition has accused the government of altering its liquor policy to benefit Oasis, questioning how the company acquired land in Palakkad before the policy change. “How did Oasis know the policy would change?” asked Opposition Leader V.D. Satheesan, asserting that the opposition would not allow the project to proceed.
