Uttar Pradesh: The Uttar Pradesh government has approved the new Excise Policy 2025-26, introducing major reforms in the liquor licensing system. The policy brings in an e-lottery system for issuing liquor shop licenses, eliminating the previous system of license renewals. This move is aimed at increasing transparency, preventing monopolies, and providing equal opportunities for new applicants in the liquor business.
With the approval of the new Excise Policy 2025-26, the state government has taken a bold step toward restructuring the way liquor licenses are granted. Previously, existing vendors had the option to renew their licenses, allowing a few businesses to dominate the industry. By replacing this system with an e-lottery, the government seeks to create a fairer process where new entrepreneurs have an equal chance of entering the market. Officials believe this will not only enhance competition but also boost state revenue.
The e-lottery system will be conducted through a digital platform, ensuring a transparent and corruption-free process. The Uttar Pradesh Excise Department has assured that the system will be monitored closely to prevent any irregularities. By doing away with renewals, the government aims to reduce favoritism and give all applicants an equal opportunity to secure a liquor license. This shift aligns with the government’s broader strategy of improving governance through digitalization and automation.
Apart from introducing the e-lottery, the new Excise Policy 2025-26 includes additional measures to regulate the liquor trade. The policy outlines stricter enforcement against the illegal liquor market, with enhanced surveillance to prevent smuggling and unauthorized sales. The government is also considering a revision in excise duty to strike a balance between consumer affordability and state revenue generation. Further, efforts will be made to promote indigenous liquor brands, boosting local businesses and employment in the sector.
Industry experts have responded with mixed reactions to the new Excise Policy 2025-26. While many welcome the increased transparency and fairness, some existing license holders are concerned about the uncertainty that comes with the removal of renewals. Long-term vendors argue that the new system could disrupt their established businesses. However, government officials maintain that the policy is designed to eliminate monopolies and promote equal opportunities.
The state government has emphasized that the new Excise Policy 2025-26 is part of a broader effort to modernize the excise sector and maximize revenues. By implementing a more structured and transparent approach, Uttar Pradesh aims to streamline the liquor trade while ensuring consumer safety and regulatory compliance. As the policy comes into effect, it remains to be seen how the transition to an e-lottery system will reshape the liquor industry in the state.
