Andhra Govt Eyes Rs 30,000 Cr Revenue From New Liquor Policy

Amaravati: Cash-starved Andhra Pradesh is expecting to rake in an estimated revenue of Rs 30,000 crore from its private retail liquor policy, which came into effect on October 15. As the new policy generated a lot of expectation among the customers as well as the liquor merchants with the allotment of licences across the State through draw of lottery amid high tension on Tuesday, there have been allegations that people associated with liquor business forming into syndicate coerced some of the applications to either withdraw from the race or concede their demand to hand over the shops to them on payment of monthly amount. There are also allegations leaders belonging to various political parties including the TDP openly demanded a commission of 10 to 30 per cent from successful applicants as their ‘fee’ to ensure hassle-free running of the IMFL shops mainly in Rayalaseema and part of Andhra region.

Following the allegations in the vernacular dailies, sources said the government took notice of such developments and asked the officials to ensure transparency in distribution and procurement of liquor brands. It has been made compulsory to install CCTV footage at shops and use vehicles transporting liquor from godowns to shops in GPS-enabled vehicles.

Minister for Excise Kollu Ravindra said they are expecting annual revenue from liquor sale to the tune of Rs 30,000 crore. During the remaining period of current financial year, they are expected to get nearly Rs 20,000 crore.

Government sources said for 3,396 shops across the State, they received a non-refundable fee of Rs 1797.64 crore from nearly 90,000 applications. A non-refundable fee of Rs 2 lakh was collected from each applicant. The government will receive a licence fee at the rate of Rs 50 lakh to Rs 85 lakh from each shop based on its location. The amount has to be paid in six installments.

Officials pointed out that on an average, they received 26.47 applications for the shops this time compared to 18 applications for 4,377 shops in 2017-19. The licences awarded on Tuesday will be valid for two years.

Principal Secretary (Excise) Mukesh Kumar Meena said they will issue notification for allotment of 10 per cent shops to toddy-tappers shortly. In the white paper released by the TDP-led NDA government on the liquor policy implemented by the erstwhile YSRCP regime, it was alleged that the State incurred a revenue loss of Rs 18,860 crore due to lack of transparency in procurement and supply of various liquor brands.