Islam cares about the dignity, as well as, the intellectual capability of the human beings, their ability to make their own decisions, the clarity to make sound choices and live in harmony. This is part of the reason that any substance that causes an intoxicating effect is not allowed. God said in the Quran:
O you who believe! Intoxicants, gambling, idolatry, and divination are abominations of Satan’s doing. Avoid them, so that you may prosper. Satan wants to provoke strife and hatred among you through intoxicants and gambling, and to prevent you from the remembrance of God, and from prayer. Will you not desist? 5:90,91
And Prophet Muhammad made it clear when he said: “All drinks that produce intoxication are forbidden.”
It is common knowledge that intoxication causes lapses in judgement that allow for people to make poor decisions with harmful consequences. The use of intoxicants erodes societies, harms moral values and without a doubt affects the health of individuals and their families. The consequences can be seen throughout society today in broken homes and overcrowded jails. This is why, Islam is clear in its ruling against any product that will cause an intoxicating effect.
One of the most common terms used when discussing intoxicants is alcohol. Alcohol is the most used and readily available intoxicant within our society. It is important to note that the cause for recognizing any product to be listed as forbidden is the outcome of intoxication. Prophet Muhammed said: "If a large quantity of any beverage intoxicates, then a small amount of it is prohibited."
One of the points of confusion among some in relation to the use of alcohol in food products or in general, stems from the confusion of the use of alcohol and a drink that can cause intoxication. Alcohol by itself, does not always cause intoxication nor is it an impure substance, it can be used to preserve and extract flavors, like in baking extracts. In baking extracts, the Ethanol within the Alcohol is used to extract the flavor without the purpose of intoxication, the amount used cannot lead to intoxication, and the ethanol takes on the flavor that is extracted from the product leaving no taste of the alcohol; allowing for its use in baking and cooking.
With this understanding, the extracts meet the Islamic guidelines for consumption. This does not mean that alcoholic drinks such as wine, beer, etc. can be added to foods for flavor despite the ideas that the alcohol evaporates during the cooking process. It is important to realize that alcoholic beverages in this case are not neutral, the foods take on the taste of the added alcohol, and it is used specifically for the addition of flavor; disallowing it under the religious guidelines.
Recognizing alcohol as a pure substance also allows for its use in perfume, body products, etc.
The principle points are; ethanol is a pure substance and the aspect of intoxication is the driving factor for not allowing the use of alcohol.