Liquor Price Hike: New rates from April 1, Major setback for drink lovers

Liqour Price Hike: Major setback for drink lovers. Retail liquor prices in the state might go up starting April after the Uttar Pradesh government gave the green light to the excise policy rules for 2026-27. A statement revealed that the state cabinet has approved this policy, which features increased license fees for retailers and modifications to pricing regulations. In addition, the state government has unveiled an excise export policy for 2026-27, making Uttar Pradesh the first state in India to roll out a dedicated action plan aimed at boosting overseas exports of locally produced liquor.

New opportunities in the logistics sector

This policy is all about encouraging investment in distillery, bottling, packaging, and logistics to enhance Uttar Pradesh’s footprint in the global market. The government has decided to set up composite shops, model shops, premium model shops, country liquor, and cannabis retail shops for the financial year 2026-27, with renewals happening after applications are received first.

What is the shop opening time?

This setup will kick in from the date the Excise Policy for 2026-27 is officially announced. As per the statement, retail shops will operate from 10 am to 10 pm. It was also mentioned that the MGR/license fee for retail liquor shops has been raised by 7.5 percent, while the license fee for cannabis shops will see a 10 percent increase. The government anticipates generating an extra revenue of Rs 1,500 crore from these initiatives.

According to the new rates, the price of a bottle of country liquor containing 36 percent alcohol has been increased from Rs 165 to Rs 173. This means an increase of approximately Rs 5 to Rs 8 per bottle. Additionally, after the new policy comes into effect in Uttar Pradesh on April 1st, foreign liquor will become more expensive by 10 to 30 rupees. These price increases are based on a per-bottle basis for country liquor, and the rates for half-quarters and bachchas have also increased on this basis.

This means that the quota has increased by 7.5 percent, and the license fee has also increased by 7.5 percent. The same 7.5 percent increase will apply to beer, just like foreign liquor. Several new provisions have been introduced in the new excise policy, which will be implemented on April 1st. This policy, which provides relief to ration dealers (licensees), has introduced a 100 ml miniature “bachcha” in country liquor for the first time. This “bachcha” with a 42.8 degree strength will sell for 50 rupees in the market.

In major cities like Lucknow , Noida, Ghaziabad, Agra, Prayagraj and Varanasi, separate licensing arrangements have also been made for low-alcoholic strength beverages – such as beer, wine and ready-to-drink (RTD) drinks. Apart from this, permission has also been given to export liquor and other excise products manufactured in the state abroad, which is expected to boost both the revenue and industry of the state.