Liquor prices to come down by 15-20% in Andhra Pradesh

Vijayawada: The Andhra Pradesh government had slashed the price of liquor by 15 to 20% in the state. The move is aimed at weaning away people from consuming illicitly distilled liquor and curbing cross-border smuggling.

As the consumption of liquor is steadily rising in the state, the government has rationalised the rates of value added tax, special margin and additional excise duty/additional countervailing duty levied on liquor for consumption with effect from 19 December.

The move will cheer the booze lovers in the state as prices of liquor will come down by Rs. 30 to 50 per quarter bottle and Rs. 120 to 200 per full bottle of cheap and middle brand liquor in the state. The prices of cheap liquor in Andhra Pradesh will be less than the prices in Telangana.

The state government issued an order (GO363) on Saturday night rationalising the rates of additional excise duty/additional countervailing duty on the landed cost of Indian-made foreign liquor (IMFL), beer, wine, and ready-to-drink varieties manufactured or produced in the state. The state is also rationalising additional countervailing duty levied on the landed cost of IMFL, beer, wine, and ready-to-drink varieties manufactured or produced elsewhere in India and imported into the state under permit.

The rationalisation of VAT rates, special margin and additional excise duty will keep MRPs of liquor a little bit higher than those prevailing in neighbouring states. Therefore, it will not run contrary to the state government's objectives of reducing consumption levels of alcohol in the state and improving standards of living, especially among the poorer sections of society.