Hyderabad: In an attempt to promote the consumption of wine, the Andhra Pradesh government has drastically reduced the 28 per cent excise duty that was imposed on the product.
The excise duty will now be 5 per cent for wine brewed locally, and 15 per cent on wine imported from other states.
There is no wine manufacturer in Andhra Pradesh. Excise officials said the consumption of wine is very low in the state, as most prefer harder liquor. Visitors from abroad generally prefer wine.
Senior officials said that compared to liquor, consumption of wine was less dangerous to health.
Wine on an average is costlier by about Rs 300 as compared to Bengaluru. Officials have noticed that many people going to Anantapur from Bengaluru were buying wine since it was cheaper there.
Officials said the government earns Rs 12 crore from the sale of wine out of the total Excise revenue of Rs 1,200 crore.
