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The Andhra Pradesh government's recent call for tenders for new liquor outlet licenses has led to a significant surge in applications, with nearly 90,000 non-refundable applications received as of October 13. The lottery process to select the winning bids took place on October 14, marking a pivotal moment in the implementation of this new policy.
From the 90,000 applications alone, the government has already raised ₹1,800 crore, with each application costing ₹2 lakh. The winners of the lottery will subsequently be required to pay licensing fees ranging from ₹50 lakh to ₹85 lakh, depending on the location of their outlets, with payments made in six installments.
Overall, the new policy is expected to generate a substantial ₹2,084 crore annually solely from liquor licenses. On the issuance day of the licenses, the government is projected to collect ₹335 crore as the first installment, providing much-needed revenue for the fiscally struggling state of Andhra Pradesh.
In a significant shift from the previous YCP government’s cash-only policy, the NDA's new policy mandates online payments, allowing for better tracking of liquor sales. The government aims to generate an impressive ₹17,000 crore through liquor sales over the next six months, highlighting the potential financial impact of these changes.
