VIJAYAWADA: The State has recorded a strong growth in liquor sales during the financial year 2025-26, with overall sales value rising by 6.11% driven by significant increases in both IML and beer segments.
However, despite robust sales volume, total revenue registered only a marginal growth of 0.68%, reflecting the impact of pricing changes and reduced contributions from other revenue streams. According to the Year-to-Date (YTD) comparison from April 1 to March 31 for 2024-25 and 2025-26, Indian Made Liquor (IML) cases increased from 362 lakh to 414 lakh, marking a growth of 14.59%. Beer sales witnessed a sharp surge of 70.29%, rising from 136 lakh cases to 232 lakh cases.
The overall sale value increased from Rs 29,440 crore to Rs 31,237 crore, registering a growth of 6.11%. Revenue from sales also showed a moderate increase of 4.01%, going up from Rs 24,734 crore to Rs 25,727 crore. However, revenue under the ‘Licence Fees and Others’ category declined significantly by 19.37%, dropping from Rs 4,112 crore to Rs 3,316 crore.
This decline impacted the overall revenue growth, which rose marginally from Rs 28,846 crore to Rs 29,042 crore-an increase of just 0.68%. Officials noted that while sales volumes have increased substantially, the growth in revenue has not been proportional. This is mainly due to a higher share of lower-priced products following policy changes.
A significant portion of sales came from Rs 99-priced 180 ml packs, contributing to an estimated revenue loss of around Rs 442 crore. Additionally, price reductions in popular brands led to a further estimated loss of Rs 972 crore. The average price of a 180 ml bottle dropped from Rs 180 to Rs 160 compared to the previous financial year. Moreover, the absence of non-refundable application fees (around Rs 1,900 crore received in FY 2024-25) under the LF category further reduced overall revenue growth.
Despite these challenges, the data indicates strong consumer demand and a notable expansion in liquor sales across the State.