Excise Policy

The Uttar Pradesh Cabinet recently has approved the Excise Policy for 2025-26, introducing an e-lottery system for the allotment of liquor shops across the state.

• About the Excise Policy in Uttar Pradesh:
• E-Lottery System for Allotment: Applicants are permitted to submit only one application with a prescribed non-refundable security deposit.

o An individual can be allotted a maximum of two shops.

o The National Informatics Centre (NIC) will conduct the e-lottery in all districts, ensuring a transparent allocation process.

• Revenue Target: ₹55,000 crore for the fiscal year 2025-26.
• Promotion of Tourism: Guided tours of breweries and wineries will be introduced to boost tourism.

o Individuals aged 21 years and above will be eligible to participate in these tours.

• Support for Fruit Farmers: The policy encourages the establishment of wineries, providing a new market for local fruit farmers and promoting the use of horticultural produce in wine manufacturing.
• Composite Liquor Shops: The policy proposes the creation of composite liquor shops, merging beer and foreign liquor outlets into a single unit, enhancing consumer convenience.
• Breaking the Liquor Cartel: The policy aims to dismantle existing monopolies in the liquor trade by not renewing current licenses, thereby paving the way for new entrants into the market.