Punjab aims to generate Rs.11020 crore from sale of liquor
CHANDIGARH: The Punjab Cabinet led by the Chief Minister Bhagwant Singh Mann gave nod to the Excise policy 2025-26 which aims to collect excise revenue of Rs. 11020 crores during the financial year 2025-26, projecting an increase of Rs. 874.05 crores (8.61%) over the previous financial year’s targets.
A decision to this effect was taken by the Council of Ministers in a meeting held under the chairmanship of the Chief Minister here at his official residence today.
The opposition parries have slammed AAP government for bringing old system of bringing tender system and AAP government would go a long way to help the liquor mafias in Punjab. BJP and Congress have questioned the motives of Bhagwant Mann government behind excise policy and called it extension of corrupt model of AAP government in Delhi. Congress said the claims of Bhagwant Mann to make Punjab drug free before Independence Day of 2024 has proved hollow.
Projecting the excise policy as revenue generating model, a spokesperson of the Chief Minister’s Office said that against the target of Rs 10, 145 crore set during the Excise policy 2024-25, the state government has collected Rs 10, 200 crore, so far. Excise collection is witnessing steady surge in the state during the current regime as for the first time the collection has crossed the mark of Rs 10, 000 crores. It is worth mentioning that the collection from Excise in the last year of SAD-BJP alliance was Rs 4405 crore and in last year of Congress regime was merely Rs 6254 crore.
The new policy stipulates that in order to balance the existing retail trade and to provide opportunity to ensure better and widespread participation, fresh allotment of L-2/L-14A vends for the financial year 2025-26 will be done through e-tender. The group size for the year 2025-26 has been kept at Rs. 40 crores. In order to mobilize additional revenue and to ensure enough availability of country liquor, the quota of country liquor (Punjab Medium Liquor) in the financial year 2025- 26 has been kept at 8.534 crores proof litres i.e increase of 3% over the previous financial year.
There will be no increase in Country Liquor rates in the financial year 2025-26. In order to give relief to defence forces, the license fee of their wholesale license has been reduced by 50% from Rs.5 lakhs to Rs.2.5 lakhs. In order to promote tourism, the possession limit of license holder of farm stays has been increased from 12 quarts of Indian Made Foreign Liquor (IMFL) to 36 quarts of IMFL with increase in possession quantity of Beer, Wine, Gin, Vodka, brandy, RTD and other liquor products. To give better consumer experience, one Model Shop in each group has been made mandatory for retail licensees in Municipal Corporation Areas.
The fee of Standalone Beer shops has been reduced from Rs. 2 lakh per shop to Rs. 25, 000 per shop. To promote new investment in the State, new Bottling plants have been allowed to be set up in Punjab. Likewise, Cow Welfare Fee has been increased by 50% from Rs. 1 per PL to Rs. 1.5 per PL. With this, collection of Cow Welfare Fee will increase from Rs. 16 crores to Rs. 24 crores. To strengthen enforcement, there is a proposal to set up Excise Police Stations in the coming financial year. To promote ease of doing business, the liquor brands where no increase in EDP is there, automatic approval of these brands through e-abkari portal has been introduced.