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Uttar Pradesh Unveils First Excise Export Policy, Sets Liquor Price Increases From April

The state seeks to lift ethanol and liquor exports through fee cuts and lighter approvals.

Overview

  • Uttar Pradesh became the first state to adopt a standalone three‑year Excise Export Policy for 2026–29 after cabinet approval.
  • Export measures include minimum-rate bottling, export pass, franchise and special fees for up to 25% of approved capacity, relaxed brand and label approvals, a ₹0.50 per bulk litre fee for molasses‑based ENA, and permissions for heritage wines with testing taverns.
  • From April 1, 2026, retail prices will rise by ₹5 per bottle for country liquor and by ₹10–₹40 for IMFL, a new 100 ml UPML pack will debut, MRPs for most country liquor strengths will be rounded to the next ₹10, and MGR/license fees will go up by 7.5% with bhang outlet fees up 10%.
  • Retail rules add mandatory stocking quotas for imported and premium IMFL at model and premium shops, allow low‑alcohol vends in municipal corporations and Gautam Budh Nagar, permit low‑alcohol‑only bar licences in six districts, keep shop hours at 10 am–10 pm, and move transactions fully online.
  • Officials cut the current fiscal excise target to ₹60,000 crore and set ₹71,278 crore for 2026–27, estimate about ₹1,500 crore from MRP rounding, and received public endorsement from APEDA as the state aims to expand its roughly 11% share of India’s liquor exports.