Lucknow. The UP Cabinet has approved a new excise policy (UP Excise Policy 2026-27). Starting April 1st, liquor prices in the state will increase. Furthermore, the government has also decided to reduce the quota for country liquor. According to the new policy, the price of country liquor containing 36 percent alcohol will increase by 5 rupees. The price of country liquor may increase from 165 rupees to 173 rupees.
Apart from this, no revision has been made to the prices of other types of liquor. Along with the price of liquor, the liquor quota will also be reduced. According to the new policy (UP Excise Policy 2026-27), the quota of country liquor for shops in urban areas will also be reduced. This decision has been taken due to the decrease in the consumption of country liquor in cities. Meanwhile, a decision has been taken to increase the quota for shops in rural areas. Furthermore, the allocation of retail shops will now be done through e-lottery.
It should be noted that the government has set a revenue target of ₹71,278 crore in the new excise policy for the financial year 2026-27. In contrast, the previous policy had set a revenue target of ₹63,000 crore. In addition to the new excise policy, the cabinet approved several other proposals. The Excise Department implemented a system of lottery allocation of liquor shops in the 2025-26 excise policy.
License fees for cannabis shops also increased
According to reports, the increase in the price of country liquor will generate additional revenue of approximately ₹1,500 crore. Under the new policy, composite shops, model shops, premium model shops, and retail shops selling country liquor and cannabis will be re-opened through renewal. Regarding opening hours, the 10 a.m. to 10 p.m. opening hours for retail shops remain unchanged. The license fee for cannabis shops has been increased by 10 percent.
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