Andhra Pradesh Removes Additional Excise Duty on Bars Purchasing Liquor

 Vijayawada: Andhra Pradesh government has issued guidelines for procurement of existing and established brands of Indian-made foreign liquor (IMFL), foreign liquor (FL), beer, wine and ready-to-drink (RTD) alcoholic beverages.

Principal secretary (Excise) Mukesh Kumar Meena issued on Tuesday government order (GO) No. 25 based on recommendations of a Tender Committee formed in this regard.

As per the GO, the existing brands will be classified into two categories, one being brands already approved in AP, like those presently registered and permitted for sale in the state under the existing Rate Contract Agreements with AP State Beverages Corporation Limited (APSBCL). The second category of brands are those being sold in other states and proposed to be introduced for the first time in AP, such as brands that are being manufactured and sold in at least one state in India for a continuous period of not less than two years.

The established brands must fulfil the following criteria, like market presence and acceptance, reputation, proven record of quality standards and evaluation of brands.

These guidelines will be reviewed every six months as per recommendations of the Tender Committee for fixation and approval of basic prices for procurement.

The GO noted that all those brands applying for sale in AP in future may be placed before the Tender Committee for assessment as per the approved guidelines. Based on the committee’s decision, the managing director of APSBCL will issue an approval or rejection order.

In a related development, another GO No. 24 has been issued on Tuesday approving the Recommendations of the Group of Minister to remove the Additional Retail Excise Tax (ARET) levied additionally on the IMFL and FL stocks purchased by bars from APSBCL depots.

GO 24 accordingly amends the AP Excise (Grant of License of Selling by Bar and Conditions of Licence) Rules, 2025, removing the ARET on liquor stocks purchased by bars.