UP Cuts Liquor Shop Licence Fee by 20% to Boost Viability
UP Cuts Liquor Shop Licence Fee by 20% for Viability

The Uttar Pradesh excise department has reduced the licence fee for retail liquor shops by 20% compared to the last financial year. This move aims to make commercial operations of leftover shops financially viable for entrepreneurs. The department has initiated the fifth round of lottery draws for 660 shops across the state.

Revenue Targets and Expansion Plans

The excise department is targeting a revenue of Rs 71,278 crore for the 2026-27 fiscal year. To achieve this, a decision was made to increase the number of retail vends, catering to the population that has moved into developing areas on the outskirts of key cities over the past year.

Officials stated that a proposal to add nearly 400 more shops has been forwarded to the government. Accordingly, lottery draws will continue in the coming months. Last year, 27,308 retail liquor vends were operational in Uttar Pradesh, including country liquor, beer, foreign liquor, and other alcoholic beverages. However, due to lack of financial viability, several shop owners did not renew their outlets, and so far about 27,000 licences have been issued.

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Lottery Draw Details

The fifth phase of the lottery draw will be conducted on May 29 across the state. District magistrates have released details of available shops, and interested parties have until May 25 to prepare their documents and apply, according to Excise Commissioner Adarsh Singh.

In Lucknow, 104 shops will be up for grabs on May 29, including 55 country liquor shops, 24 model shops, and 24 composite shops. Licence fees for model shops range from Rs 30 lakh in Wazirganj locality to Rs 1.62 crore in Gomtinagar. For composite shops, fees vary between Rs 3.15 lakh in Kakori and Rs 38 lakh in Madehganj.

Industry Demands

Existing liquor traders have submitted a representation to the excise minister. Devesh Jaiswal, spokesperson of the Liquor Sellers Welfare Association in Uttar Pradesh, said, "Due to scorching heat, our business is suffering. We requested the minister to allow shop operations until 11 pm instead of 10 pm temporarily, as people are stepping out only in the evening. We also discussed issues related to the sale of country liquor stock from retail shops."

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