AP Govt to Allot 840 Bar Licenses via Draw of Lots—New Policy Starts Sept 1
Andhra Pradesh to allot 840 bar licenses via draw of lots; 5 lakh deposit, no rollback of excise policy.
No Rollback: Andhra Pradesh Govt Sticks to New Bar Policy, Lottery on Schedule
Vijayawada: The Andhra Pradesh government will proceed with its scheduled draw of lots for bar licenses on August 30, despite a lukewarm initial response from liquor traders. The state’s Prohibition and Excise Department has received four or more applications for about 350 bars, with a last-minute rush boosting overall submissions. Officials expect 450–500 bars to meet the eligibility criteria.
The government had notified 840 bar licenses under a new excise policy, mandating at least four applications per bar to qualify for allotment. Applicants were required to submit a non-refundable deposit of ₹5 lakh per application.
Deadline Extension Revives Applications
Initially, the response was sluggish—only around 240 applications were filed by Tuesday against an expected 3,500–4,000, with just 35 bars meeting the minimum requirement. To address this, the government extended the deadline by three days, during which traders—especially from Rayalaseema—filed demand drafts late Friday evening.
According to sources, 55–60% of bars are now expected to receive sufficient applications, including all 84 bars reserved for the toddy tapper community.
Govt Firm on Policy Implementation
Liquor traders had reportedly withheld applications in hopes of pressuring the government to relax conditions, citing low profit margins, permit rooms in retail shops, and the mandatory four-application rule.
However, officials ruled out any rollback.
“We will go ahead with the draw of lots wherever we have received the required number of applications as per schedule on Saturday,” said Principal Secretary (Excise) M.K. Meena.
The state government also confirmed that all existing bar licenses under the old policy will expire on August 31. Fresh licenses will be issued to lottery winners, who will be allowed to operate from September 1.
“There is no question of suspending the new bar policy or extending the old licenses. The policy was drafted after thorough study and stakeholder feedback,” a senior official stated.
The government will review locations that fail to attract sufficient applications after the new policy comes into effect.
