Protests intensified at Elappully in Kerala's Palakkad district after the state government allowed a private company to set up a brewery unit in the village. The Elappully panchayat governing body, led by the UDF, has demanded that the government withdraw from the project.
The Congress party alleges that rules and norms were not adhered to when approving the brewery unit. The panchayat argues that granting permission for the brewery will lead to the rapid depletion of the area's water resources.
The state government, however, maintains that all rules and regulations were followed in allowing the unit. On January 15, the state cabinet gave preliminary approval to Oasis Commercial Pvt Ltd to establish 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 Kanjikode in Palakkad district.
Opposition leader V.D. Satheeshan has accused the excise minister of acting as a propaganda manager for the company. He alleges that the owners of the firm had been arrested in connection with the Delhi liquor policy case. He also claims that the Central and State Pollution Control Boards had filed cases against the company for allegedly contaminating groundwater across a four-kilometre area in Punjab.
Adding to the controversy, senior Congress leader Ramesh Chennithala alleges that the firm was granted permission to operate without inviting a tender. He also cites a 1991 order prohibiting the licensing of new brewery plants in the state.
The BJP, which has a strong presence in Palakkad, also opposes the government’s move. The party has organised a march to the Elappully panchayat office and alleged that the UDF-ruled panchayat was complicit in the CPI(M)-led state government’s decision to grant permission for the plant. However, the Congress maintains that the company misled the UDF-led panchayat by claiming the land was being purchased for a college.
Interestingly, the BJP will have to address the Union government’s role in the establishment of the brewery. BJP state general secretary C. Krishnakumar explains that the Union government had shortlisted Oasis solely for the production of ethanol. He accuses the state government of attempting to grant permission for the production of foreign liquor.
Krishnakumar further argues that the state government’s move would divert water resources from the general population to the company, worsening the area's water scarcity.
Notably, it was in Palakkad’s Plachimada that the local population waged a prolonged battle against Coca-Cola, citing excessive water extraction, environmental damage, and associated social, economic, and health problems. Ultimately, Coca-Cola was forced to shut down the factory in March 2004 due to relentless protests and litigation from the community.