Rs 3,113 Cr Siphoned Off During YSRC Rule From Liquor Revenue, Alleges Minister
Kollu Ravindra claims reforms have boosted revenue, ensured fairness, and reduced monopoly in liquor distribution.
Vijayawada: Excise Minister Kollu Ravindra has said licences were given to 3396 liquor shops by the present government since June last year.
“We have made the liquor distribution system more transparent and generated Rs 1,797 crore in revenue from application fees. We allocated 350 shops to workers involved in the traditional liquor sector. A subsidy of Rs 103 crore has been offered on licence fees,” he stated in the assembly on Tuesday.
The minister said that under the YSRC rule, liquor licences were primarily granted to its favourites. Seven new liquor companies were set up by that government, which received over 63 per cent of the total orders.
He said allegations of unofficial collections averaging ₹200 per case have been raised against the previous government, and that a staggering Rs 3,113 crore was siphoned off through various means.
Claiming a significant shift in local brand management under the present government, the minister said international and national liquor companies supplied the products now. “Under the YSRC rule, local brands had dominated the market, pushing out their competitors.”
He alleged that the previous government intimidated and drove out branded liquor companies from AP, resulting in a scenario of over 60 per cent of the orders going to companies like SNJ, Adan, Leela, NV, B9, Sona and Moonak.
The revenue disparity between Telangana and AP has widened from Rs 4,186 crore in 2018-19 to a staggering Rs 42,762 crore by 2023-24, primarily due to the introduction of substandard brands. Sadly, the influx of counterfeit liquor had tragic consequences, one of which being an incident in which 42 lives were lost in Jangareddygudem.
Ravindra said, “The deterioration of liquor quality had led to alarming increases in liquor-related crimes, suicides and health issues such as kidney and liver problems. For instance, cases at the Guntur GGH de-addiction centre surged from 343 in 2018 to an astonishing 4,913 by 2023.”
He highlighted the administrative reforms that have transitioned the liquor distribution system to a more transparent framework, with 3,396 shops allocated since the alliance government took power. The present government has generated Rs 1,797 crore in revenue from application fees, and allocated 350 shops to workers, he claimed.
The minister also stated that a subsidy of Rs 103 crore on licence fees has also been given.
