Liquor sales in AP up 31%

Liquor sales in Andhra Pradesh registered a 31 per cent growth in the first two months of the current financial year at Rs 1,236 crore as compared with Rs 941 crore in the corresponding period last year.

The growth in sales is attributed to increased consumption and also due to curb on the inflow of non-duty paid liquor. Liquor sales in the last financial year was Rs 6,760 crore.

Andhra is the biggest beneficiary from the growing liquor sales followed by the liquor and beer manufacturers. The state's exchequer received Rs 703 crore by way of excise and sales tax during the two-month period. Excise continues to be the second biggest source of revenue for the government after the commercial taxes.

Interestingly, the major portion of these sales comes from cheap liquor, which means any increase in liquor consumption is reflected on the spending of the working class and low income population in the state.

As part of the ongoing efforts to contain the zero duty liquor and illicit distillation, the state government is planning to make the penal clauses in the Excise and Prohibition Act more strict and on the lines of the similar Act in Tamil Nadu, according to state excise minister Rammohan Rao.

The government is also contemplating a rehabilitation programme for families involved in illicit distillation in areas such as Nandyal and Panyam in Kurnool district besides the infamous Dhoolpet in Hyderabad where close to 2,000 families are involved in illicit liquor manufacturing for the past few decades, the minister said.