Liquor licences: Excise Department nets higher revenue despite 37,000 fewer applications

The Telangana Prohibition and Excise Department received 95,137 applications for 2,620 liquor shops this term, down by 37,000 compared to the previous round. The average number of applications per shop also fell from 50 to 36. Despite the decline, revenue rose to Rs 2,836.98 crore from Rs 2,645.24 crore, owing to a hike in the application fee from Rs 2 lakh to Rs 3 lakh.

Hyderabad: Despite the Prohibition and Excise department extending the last date for filing licence applications for 2,620 liquor shops, 95,137 applications were filed this term compared to 1.32 lakh applications filed in the last term.

There is a deficit of about 37,000 applications, when compared to last year and the average number of applications filed per shop also came down from 50 to 36.

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However, the department earned a revenue of Rs 2,836.98 crore, a notch higher than Rs 2,645.24 crore earned in the last term. This was after the department increased the application fee from Rs 2 lakh to Rs 3 lakh this term.

Among all the districts, the highest number of applications – 29,420 was filed in Rangareddy division and the lowest – 4,154 were filed in Adilabad division. The draw of lots would be conducted at 11 a.m. on Monday in the presence of Excise department officials and applicants.

Initially, the last date for filing the applications was October 18 but citing requests from officials, the department extended the last date to October 23. Till October 18, about 89,000 applications were filed and in the last In three days about 4,900 applications were filed.

The considerable decline in the number of applications filed has left the department officials in a spot. The officials had sent messages over mobiles to different people highlighting the benefits and had also used microphones at a few places to motivate the applicants.

Perhaps, people might have realized that there was not much profit in the business. This apart, the application fee was also increased by one lakh rupees.

Despite increasing the application fee, the department did not offer any incentives for the applicants. All these factors could have led to applicants filing lesser applications this term, an office bearer of the Wine Dealers Association observed.