UP Cabinet approves excise policy FY 2025-26: Liquor shop allocation to shift from renewal to e-lottery system

The Chief Minister Yogi Adityanath-led Uttar Pradesh Cabinet has approved the excise argumentation for the 2025-26 fiscal year, introducing respective cardinal changes, including the implementation of an e-lottery strategy for allocating liquor and 'bhang' (cannabis) shops.  

The policy, cleared astatine a late-night gathering chaired by Adityanath connected Wednesday, marks the archetypal lawsuit successful 7 years wherever each state liquor shops, composite shops, exemplary shops, and cannabis shops volition beryllium allocated done e-lottery alternatively of the erstwhile renewal system, Excise Minister Nitin Agarwal said connected Thursday.  

E-lottery strategy and composite shops

Agarwal stated that nether the caller system, an applicant tin taxable lone 1 application, with a headdress of 2 shops per idiosyncratic crossed the state. On the instauration of composite shops, helium said consumers would present beryllium capable to bargain each types of alcoholic beverages from a azygous outlet. If an existing brew and overseas liquor store are located adjacent to each other, they volition beryllium merged into one.  

Revised processing fees

The authorities has divided processing fees into 5 categories based connected location:  

- Category 1: Gautam Buddh Nagar, Ghaziabad, Lucknow, Agra, Varanasi, Prayagraj, Gorakhpur, and Kanpur, including a 3-km radius of their municipal limits. Fees: Rs 65,000 for state liquor shops, Rs 90,000 for composite shops, Rs 1 lakh for exemplary shops, and Rs 25,000 for cannabis shops.  
- Category 2: Large cities beyond Category 1, positive a 3-km surrounding area. Fees: Rs 60,000 (country liquor), Rs 85,000 (composite), Rs 90,000 (model), Rs 25,000 (cannabis).  
- Category 3: Municipal areas and a 3-km radius. Fees: Rs 50,000 (country liquor), Rs 75,000 (composite), Rs 80,000 (model), Rs 25,000 (cannabis).  
- Category 4: Nagar Panchayat areas and a 3-km radius. Fees: Rs 45,000 (country liquor), Rs 65,000 (composite), Rs 70,000 (model), Rs 25,000 (cannabis).  
- Category 5: Rural areas. Fees: Rs 40,000 (country liquor), Rs 55,000 (composite), Rs 60,000 (model), Rs 25,000 (cannabis).
  
The operating hours for liquor shops volition stay unchanged from 10 americium to 10 pm. In presumption of packaging and vessel sizes, 90ml bottles person been introduced successful the regular overseas liquor category, portion the premium conception volition present connection some 60ml and 90ml bottles. To heighten information and forestall adulteration, state liquor, which was antecedently sold successful solid bottles, volition present beryllium mandatorily packaged successful tetra packs. Additionally, the Minimum Guarantee Quota (MGQ) for state liquor has been accrued by 10 per cent, and the licence interest per bulk litre has been raised from Rs 254 to Rs 260.

Additionaly, to beforehand farmers engaged successful fruit-based liquor production, the authorities volition acceptable up dedicated liquor shops astatine territory headquarters. The licence interest has been acceptable astatine Rs 50,000 for divisional and territory office and Rs 30,000 for different territory locations.