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Madhya Pradesh Government: Excise Policy


Madhya Pradesh Government currently possess 2207 country liquor shops, 463 sub shops and 581 foreign liquor shops. Government has come up with the new excise policy which is a dual benefit policy: Reducing the monopoly in the liquor distribution business and also increasing the amount of revenue generated by allocating the licenses of the liquor stores. The policy was result after the analysis from the special team sent by Madhya Pradesh Govt. to adjacent states that were having the new policy being implemented like Uttar Pradesh and Chhattisgarh.

The New Policy Consists of the following important points to be noted:

  1. A person can give only one application for one shop but he can give separate applications for more than one shop.
  2. If the applicants for a particular shop are more than one, then the allocation will be done on the lottery basis.
  3. If any shops remain unallocated on the time round 1 then they will be allocated in round 2 and round 3 whose dates will be disclosed at that time.
  4. The applicant will have to submit a particular amount of non-refundable fee to in State Bank of India or State Bank of Indore.
  5. The application can be bought from district collector/district excise inspector/sub divisional magistrate office.
  6. Details about consumption, minimum quantity, license fee etc. will be included in the application
  7. The application fees will be:


Area Application Charges


Rural Area/Nagar Panchayat

Rs. 1000 per application


Municipal Corporation areas barring Rajbhogi ones

Rs. 2000 per application

3 Municipal Corporation areas of Gwalior, Jabalpur, Bhopal and Indore

Rs. 3000 per application



These changes in the policy will make Madhya Pradesh Government revenue increment from 864.46 crores to 968 crores leading to total increment of 12% in revenue. Government will strengthen the enforcement system. Government has published 300 vacancies for excise sub inspectors/constables, to provide new arms and ammunition to them and to permit them to hire new vehicles for them.


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