Liquor rates in the state will come down slightly very soon. Information that Excise Department has prepared proposals in that direction. There is a chance that the new rates will come into force very soon if approved by the government. The excise department hopes to increase sales by slightly reducing the price of India Made Liquor (IML) excluding beer. The state has over 2,620 wine shops as well as over a thousand bars, clubs, and tourism hotels.
Stock is being transported to these from liquor depots. In May 2020, the government raised liquor rates by up to 20 percent in the name of corona cess. With the recent decline in the sale of beers, the price has come down by Rs 10 per bottle. But the same prices continued on IML. Telangana has higher prices compared to other states. Liquor sales, however, have slowed due to the high prices.
In this context, the Excise Department decided to reduce prices slightly. Officials are calculating how much revenue will come from the reduction. It is learned that it will be reduced by up to Rs 10 per bottle. Lower prices will boost consumption and thereby sales, the officials estimate.
The current fiscal year 2021–22 ends in March. In the current financial year so far Rs. Liquor sales were around Rs 28,000 crore. It is likely to reach around Rs 30,000 crore by this month. During the last financial year, Only Rs 27,000 crore worth of liquor was sold. That means Rs 3,000 crore in excess revenue. The excise department expects to raise another Rs 3,000 crore in the next financial year. A total of Rs. 33,000 crore has been set as the target for next year.