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Himachal Govt.make major changes in excise policies of state. Also Approved expansion of Distillery

The state cabinet that met here under the chairmanship of chief minister Jai Ram Thakur on Monday, gave approval to the New Excise Policy which envisages collection of ₹1840 crore revenue during financial year 2020-21, ₹215 crore higher than the previous year.

The cabinet also gave approval for renewal of the retail excise vends in the state with an objective to gain adequate enhancement in government revenue, reduction in the price of liquor and to curb its smuggling from the neighbouring states.




The new policy also allows 30% country liquor quota to be supplied by the manufacturers to be the retail licencee. The balance 70% quota can be lifted by the retail licencee from suppliers of their choice.

The licencee will have to give FDR/bank guarantee as security in terms of property in order to secure the revenue of the government.

From the next financial year all the imported liquor in the state will be supplied by public custom warehouse located in the state. In addition to this, the policy also extended operational timings of bars in all star rated hotels and bars in specific tourist areas from 12 noon to 2am.

The cabinet further gave approval to the toll policy under which option will be available for renewal lease after paying renewal fee of one percent for 2020-21 and an increase of 10% over the bid amount for 2019-20.

Under the new policy, the revenue to be collected is estimated to be ₹106 crore, an overall increase of about 10% than previous year.

It also gave approval for capacity expansion of distillery from 45KL per day to 85KL per day in favour of M/s Premier Alcobev Private Ltd, Sansarpur Terrace in Kangra district. The state would earn an additional excise revenue of ₹18 to ₹20 crore per annum.

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