Excise reset uncorks demand and investment in Andhra's liquor market

Retail privatisation, wider brand access and transparent rules are lifting volumes and drawing major players back to the state

Andhra Pradesh’s new excise policy is reigniting the alcohol market as companies rebuild supply chains, restore demand, and draw national attention. Effective from October 2024 to September 2026, it reopens a long-restricted industry, triggering volume recovery, renewed interest from national players, and a shift towards premium products, say industry leaders.

 

For years, Andhra’s tightly controlled alcoholic beverage (alcobev) market — marked by limited brand availability, centralised retail, and state-led supply allocations — curbed demand and business sentiment. Experts say the new government’s overhaul of excise rules and retail privatisation has reset the landscape.

 

The policy pivots sharply towards private retail,