Lucknow: In a major move to increase revenue, the Uttar Pradesh government is set to introduce the country’s first-ever Excise Export Policy, aimed at promoting the export of liquor, particularly single malt scotch whisky. The Excise Department, which is the second-highest revenue generator after State GST, has been given a target of ₹71,278 crore for the financial year 2026-27.
To achieve this ambitious goal, the state government plans to roll out the UP Excise Export Policy 2026-27, focusing on strengthening liquor exports from the state to international markets.
Focus on Single Malt Scotch Production and Export
The new excise policy will specifically encourage companies to increase the production and export of single malt scotch whisky, which has strong demand in global markets. Currently, only two companies in U.P.— Radico Khaitan and Mohan Meakins are manufacturer and exporter of single malt liquor.
Radico Khaitan already has two internationally popular single malt brands and is expanding its production capacity. Meanwhile, three more companies have shown interest in entering the segment:
- Modi Ilva (Modinagar)
- Indo Spirit (Muzaffarnagar)
- Globus Spirit (Lakhimpur Kheri)
Industry experts see this expansion as a positive sign for Uttar Pradesh’s growing presence in the global liquor market.
Investor Summit and Export Incentives
The Excise Department recently organized an investor summit, attracting leading liquor manufacturers and industry stakeholders from across the country. The upcoming export policy is expected to offer multiple incentives and facilities to companies exporting liquor produced in Uttar Pradesh.
The government also plans to introduce special provisions to make exports more competitive and business-friendly.
EU Agreement to Open New Markets
Following an agreement with the European Union, foreign liquor brands will enter the Uttar Pradesh market, while liquor manufactured in the state will gain access to more than 10 European countries. This development is expected to boost exports significantly, though it may also increase competition within the domestic market.
With the introduction of India’s first excise export policy, Uttar Pradesh aims to position itself as a major hub for single malt scotch production and global liquor exports, driving revenue growth and industrial expansion in the coming years.
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