In a forward-looking move to modernize the excise sector, the Madhya Pradesh cabinet under Chief Minister Mohan Yadav has approved the state’s Excise Policy for 2026-27. Effective from April 1, 2026, the policy introduces digital-first reforms, strengthens revenue safeguards, and promotes cultural heritage products—marking a balanced step toward greater transparency and economic growth.
Deputy Chief Minister Jagdish Devda highlighted the policy’s focus on fairness and efficiency while addressing the assembly, noting its potential to enhance state revenues significantly.
Key Highlights: Digital Transparency Takes Center Stage
- Full Shift to E-Tendering & E-Auctions — The era of automatic renewals ends, with all liquor outlets now allocated through a transparent 100% e-tender process. This curbs monopolistic tendencies and opens fair opportunities for genuine players.
- No New Outlets, Controlled Expansion — Retaining the ban on new liquor shops ensures regulated availability, prevents over-saturation, and maintains social safeguards. Existing shops cannot be expanded or relocated arbitrarily.
- Modern Payment Norms — Only e-challans and e-bank guarantees will be accepted, streamlining processes and reducing fraud risks.
These changes are expected to drive excise revenue beyond previous highs, with ambitious targets aimed at supporting state development priorities.
Strong Cultural & Regulatory Safeguards Retained
The policy continues vital protections, including the longstanding ban on liquor outlets within 5 km of the Narmada River banks and in notified holy cities. This reflects the government’s commitment to cultural sensitivity and responsible regulation.
Big Wins for Industry, Exports, and Tribal Communities
On the positive side, the policy opens exciting avenues:
- Export-Friendly Reforms — Simplified label registrations and amendments to make Madhya Pradesh a stronger hub for liquor exports.
- Manufacturer Freedom — Producers can now set product prices directly via an online portal, encouraging healthy competition and innovation.
- Heritage Liquor Boost — Special or heritage liquors from other states can enter MP duty-free, enriching variety for consumers.
- Empowering Tribal Producers — Mahua-based liquors from tribal self-help groups will enjoy duty-free status for inter-state sales, spotlighting traditional brews and providing economic upliftment to rural communities.
These pro-industry and pro-heritage measures position MP as a progressive player in the national liquor landscape, blending regulation with opportunity.
As the policy gears up for implementation, industry experts view it as a thoughtful blend of discipline and dynamism—enhancing transparency, protecting revenue streams, and celebrating local traditions. Aabkari Times will continue tracking its rollout and impacts across the state.
Stay tuned for more updates on this transformative policy!
Read Full Policy here-
The Aabkari(Abkari) Times magazine occupies a unique niche in the Indian media landscape. As the only Hindi monthly magazine dedicated to alcohol, liquor, excise, and allied industries, it caters to a specific audience with a specialized knowledge base.
