Liquor ban along highways: UP govt to introduce new excise policy after Rs 5,000 crore loss

The Supreme Court order banning all liquor shops along national as well as state highways has dented Uttar Pradesh government heavily. Post ban the state govt has incurred a loss of about Rs 5,000 crore.

“We have incurred a loss of about Rs 5,000 crore in 2016-17 fiscal ending March 31. Out of the target of realising Rs 19,000 crore, the excise department could generate Rs 14,000 crore following the apex court order,” PTI quoted UP Excise Minister Jai Pratap Singh as saying.

Of the 8,591 highway liquor shops affected by the Supreme Court order, 2,000 are yet to be relocated while 3,000 shop owners have surrendered their liquor licences, the minister said.

The govt has now decided to change the excise policy to overcome the losses. UP Excise Minister JP Singh said “we are working on the new excise policy before finalising it.” The new excise policy will be introduced in April 2018.

“We have decided that no liquor shop will be relocated within 500 metre of religious places or hospitals. In case of objection, even residential colonies will come under the ambit. At the moment it is not in a very formal shape. But we are working on it,” the minister added.

The Supreme Court in December last year had ordered a ban on all liquor shops along national and state highways across the country within 500 meters radius. Later in March this year the apex court relaxed the distance to 220 meters for cities, towns and municipal aread with a population of 20,000 or less.