Good news for some: Beer to be cheaper in Uttar Pradesh from April 1
There is no change in the excise duty and license fee of beer, but its prices are being reduced to increase the consumption of beer in Uttar Pradesh.
New Delhi: Under the new excise policy of the Uttar Pradesh government, the price of beer in the state will be reduced by Rs 20 from April 1. While buying beer will be cheaper in the state, there will be an increase in the price of Indian and English liquor. The price of different brands of English liquor has been increased by 15 to 20 per cent.
There is no change in the excise duty and license fee of beer, but its prices are being reduced to increase the consumption of beer in Uttar Pradesh.
The sale of beer was badly affected due to the COVID-19 pandemic. The sale at beer shops from April 2020 to November 2020 has been only 17.28 crore bottles in the state against 27.08 crore bottles last year, which is approximately 36 per cent less.
Therefore, the government has decided not to change the annual license fee of retail shops of beer.
As per the Excise Policy for the year 2020-21, the maximum retail price (MRP) of beer is higher than neighbouring states of Uttar Pradesh like Delhi, Haryana and Punjab. The price of beer is also higher than those states which are prone to smuggling. Additionally, the yield charge on beer is higher than that of foreign wines, depending on the alcohol content.
The increase in license fees by seven and a half per cent is the main reason behind this increase in the prices of domestic and English liquor from April 1.