For the first time since 1965, Karnataka is auctioning unused and unallotted retail liquor licenses through a transparent e-auction system, a move expected to bring nearly ₹1,000 crore in additional revenue.
The initiative, proposed by Chief Minister Siddaramaiah in the 2025-26 budget, comes after amendments to excise rules and aims to mobilise extra funds for the state. A total of 569 licenses will be offered: 477 CL-2A retail liquor shop licenses and 92 CL-9A bar and restaurant licenses. Bengaluru Urban district will have the largest share, with 182 licenses across eight excise districts.
Bidding registration opened recently on the MSTC Limited e-auction platform. Prospective bidders must pay a ₹1,000 registration fee plus GST and a non-refundable ₹50,000 application fee per license. Live bidding is scheduled from January 13 to January 20, 2026.
Previously unused licenses, including those allotted to government-owned MSIL or discontinued categories, have been reclassified under CL-2A and CL-9A for this auction. The government has also reserved a portion of licenses for Scheduled Castes and Scheduled Tribes, ensuring inclusive participation in the allotment process.
