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Hic, hic, hooray! Excise numbers script spirited growth story in Uttar Pradesh
The Uttar Pradesh excise department’s revenue target for the financial year 2026-27 is likely to be around ₹68,000 crore
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It’s three cheers all the way for liquor consumers and the excise department in Uttar Pradesh. The key to their ‘happy’ days lies in the numbers.
Figure this out. As the sale of liquor in Uttar Pradesh has gone up, the excise department’s contribution to the state exchequer has also increased significantly in the last few years.
From a mere ₹23,000 crore in 2018-19 to a whopping ₹63,000 crore target in 2025-26 of which ₹40,000 crore has been achieved so far, the department’s contribution to the state coffers has witnessed a meteoric rise, according to official data. And a target of around ₹68,000 crore is being considered for the upcoming financial year 2026-27.
Simultaneously, the sale of liquor in Uttar Pradesh has also witnessed an upward trend.
For instance, in 2022-23, 77.39 crore litres of country liquor, 27.03 crore bottles of foreign liquor and 70.72 crore cans of beer were sold. In 2024-25, 88.53 crore litres of country liquor, 30.87 crore bottles of foreign liquor and 78.59 crore cans of beer were sold.
In 2025-26 (April to November), 61.90 crore litres of country liquor, 27.95 crore bottles of foreign liquor and 71.17 crore cans of beer were sold.
The overall numbers for 2025-26 look set to cross the 2022-23 figures as the sales data from December 2025 to March 2026 remain. In addition, the number of distilleries in the state has grown to 100 from 22 in 2022. The excise sector has also attracted memorandums of understanding (MoUs) worth ₹30,000 crore in recent years. The department will also focus on the export aspect of brands manufactured in the state.
“The department’s revenue has been growing every year since 2022 by roughly 12%,” excise minister Nitin Agarwal said on Thursday.
He attributed this rise to several factors like crackdown on illicit liquor, opening the market for international players, breaking the cartel and transparency in allotment of retail liquor shops.
The state excise policy 2025-26 included an e-lottery system for the allotment of retail shops after a gap of almost seven years. The policy also spoke about wine manufacturing from local fruits and attracting tourism through local wineries in the state.
“Earlier, there were cartels, which used to control the sales of any brand in the state. We destroyed that nexus and the mafia, and brought transparency in the state. Today, you can get many brands in UP, which are not even available in Delhi. This time, around 40% of the allottees are those who stepped in this trade for the first time,” he said.
The track and trace policy has curbed the manufacture and sale of illicit liquor in the state, making sure that each bottle that goes out from distillery is tracked till it is sold from retail shops.
“The export aspect of brands manufactured in the state has been very negligible, we want to focus on that,” he said.
Agarwal also said, “The new policy (UP Excise Policy 2026-27) is in the making. It may also come up in the cabinet meeting later this month. Our new target might be around ₹68,000 crore for the next fiscal.”
