Andhra Pradesh’s New Liquor Policy: Transparency, Reform, and Digital Transformation to Launch October 1
Andhra Pradesh’s New Liquor Policy to Be Implemented from October 1
The Andhra Pradesh state cabinet has approved a Andhra Pradesh’s New Liquor Policy set to take effect on October 1. This decision has sparked widespread discussion about the specifics of the policy, such as whether tenders for liquor shops will be called as before and when the official guidelines will be released.
Aiming for Transparency and Reform
The Chandrababu Naidu-led government is focused on introducing a liquor policy that addresses the shortcomings of previous excise policies, specifically those between 2014 and 2024. During a lengthy cabinet discussion, it was emphasized that the new policy must be more transparent and free from the flaws that plagued the 2014-2019 framework. The government has acknowledged that gaps in monitoring and the failure to properly restructure the excise department led to increased crime and significant revenue losses. To ensure the new policy’s effectiveness, a committee has been formed to study liquor policies in other states.
Unification of Excise Department for Better Control
In line with these efforts, the government is working to bring the excise department under a unified governance system within the next month and a half. This move is intended to improve supervision and control. The authorities have been asked to explore the possibility of restructuring the excise department, including a proposal to abolish the existing Special Enforcement Bureau (SEB) and merge its functions with the excise department.
Learning from Other States
A team of state officials is currently visiting Uttar Pradesh, Rajasthan, Kerala, Tamil Nadu, Karnataka, and Telangana to study their liquor retail sales procedures, procurement processes, quality control measures, and price-setting mechanisms. The cabinet has also decided to establish a sub-committee to thoroughly review the excise department’s proposals before giving final approval.
Implementation and Preventive Measures
The Andhra Pradesh government aims to finalize and approve the new liquor policy by September 5, 2024, with implementation slated for October 1. The policy will include strict measures to prevent the entry of illegal liquor, ganja, and non-duty-paid liquor into the state. Minister Parthasarathy, who briefed the cabinet on these issues, also stated that the policy would make quality liquor available at affordable prices for low-income groups.
Introduction of a Transparent System
Over the next 60-65 days, the state plans to introduce a transparent liquor collection system under an automated framework and implement a comprehensive quality control system in line with FSSAI (Food Safety and Standards Authority of India) and BIS (Bureau of Indian Standards) guidelines. The government also intends to launch a special awareness campaign to educate the public on controlling illegal liquor.
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Focus on De-Addiction and Rehabilitation
Additionally, a team of officials will study de-addiction and rehabilitation programs in other states, with the goal of efficiently managing similar centers within Andhra Pradesh. These study teams will travel across the country to identify and adopt best practices.
Addressing Past Failures
Minister Parthasarathy criticized the previous government’s mismanagement of the excise system between 2019 and 2024, which led to a significant decline in the sales of Indian Made Foreign Liquor (IMFL) and beer, resulting in a loss of Rs 18,860 crore for the state. He noted that neighboring states like Telangana and Karnataka benefited from these failures, as the monopolization of liquor sales in Andhra Pradesh excluded many well-known brands from the market and led to the proliferation of substandard liquor, negatively affecting public health.
Emphasis on Digital Transactions
Digital transactions in liquor stores remain low, and the availability of cheap liquor has decreased. The Chief Minister has emphasized the importance of making digital transactions mandatory in liquor sales. Minister Parthasarathy concluded by stating that the new policy will address these issues comprehensively, with input from all relevant stakeholders.
