The decisions and policies of CM Jaganmohan Reddy were bringing heavy stress on the State revenues. Especially, the excise policy became a matter of great concern. From the beginning, this was seeing ups and downs. Now, the total liquor sales recorded a steep fall, to the extent it raised concerns among the officials how to fill the revenue gaps.
The beer sales came down to Rs. 7,706 Cr during April-September this year from Rs. 10,282 Cr during the corresponding period last year. Usually, the sales should show some rise but in the case of AP, it was displaying a reverse trend. Officials say that the overall liquor sales also came down by 64 per cent. Over 166 lakh cases liquor were sold during April-September last year when compared to 65.62 lakh cases liquor during the same period this year.
As in the case of many other sectors, the Coronavirus impact was there on the liquor sales also. But, AP was one of those States which went ahead with liquor sales even during the peak of epidemic spread.
Analysts say that the excise policy was the major reason for this huge revenue gap now. The high rates of liquor and also supply of poor quality brands have badly hit the sales. Moreover, smuggling increased manifold. The ruling party leaders were also involved in bringing liquor from neighbouring States on a large scale.