TNI Bureau: The Odisha government has unveiled its new Excise Policy for 2026–29, bringing a shift towards revenue assurance, responsible trade, and technology-driven regulation. The policy will be effective from April 1, 2026, to March 31, 2029.
In a significant move, the state has introduced a 0.5% de-addiction cess on excise duty. The proceeds will be routed to the Health Department to strengthen de-addiction centres across Odisha.
A major structural reform replaces the existing Minimum Guaranteed Quantity (MGQ) system with Minimum Guaranteed Excise Revenue (MGER). Unlike MGQ, which mandated liquor lifting targets, MGER ensures assured revenue to the government without pushing higher sales, promoting more responsible business practices.
The policy also proposes higher licence fees and duties, with application fees rising by 10% and annual licence fees increasing between 10% and 20%. Duties on IMFL and country liquor have also been revised upward.
To control expansion, the government has imposed restrictions on new liquor outlets, disallowing new OFF, CL, and OS shops, and barring new ON shops in rural areas, except in premium hotels and clubs.
Special provisions have been made to protect religious and cultural zones, including a ban on liquor shops near Shree Jagannath Temple and along Puri’s Grand Road.
Further, the policy mandates modernisation of Out-Still units, adherence to FSSAI standards, and environmental compliance. A Track & Trace system and CCTV surveillance across excise units will enhance transparency and curb illegal trade.
Officials say the policy aims to balance revenue growth with social responsibility and stricter governance.
