Chhattisgarh Government Eliminates Additional Excise Duty on Foreign Liquor, Prices Set to Drop

Chhattisgarh's government has decided to remove the 9.5% additional excise duty on foreign liquor, leading to a price reduction. Retail prices for medium and high-range foreign liquor will decrease by Rs 40 to Rs 3,000 per bottle. This decision was made during a cabinet meeting led by Chief Minister Vishnu Deo Sai, according to an official.

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The Chhattisgarh Excise Policy for the fiscal year 2025-26 has been approved. Under this policy, 674 liquor shops will continue operating in the next financial year. Premium shops will be opened as needed, stated a public relations department official. The current rate for country liquor supply will remain unchanged.

Foreign Liquor Management and Pricing

Chhattisgarh State Beverages Corporation Limited will keep handling the wholesale procurement and distribution of foreign liquor. The infrastructure development fee on liquor will stay the same, while the additional excise duty on retail foreign liquor will be abolished in the upcoming financial year, the official mentioned.

This change is anticipated to make foreign liquor more affordable in Chhattisgarh and reduce smuggling from other states. The government believes that uniform pricing will eliminate incentives for illegal imports, thereby benefiting state revenue and maintaining market stability, the official explained.

Additional Cabinet Decisions

In another significant move, the cabinet has empowered the Good Governance and Convergence Department to sign an MoU with Vyakti Vikas Kendra India (The Art of Living). This agreement aims to support livelihood generation and welfare initiatives in rural Chhattisgarh, according to the official.

The removal of additional excise duty on foreign liquor is expected to have dual benefits. It will make foreign liquor more accessible and help curb illegal smuggling from neighbouring states. These measures are designed to stabilise the market and enhance state revenue.