Dharamsala: Announcing the new liquor policy for 2008-2009, the Himachal Pradesh government today reduced the license fee on indian made foreign liquor from Rs 160 to Rs 125 and on country liquor from Rs 130 to Rs 95 per proof litre. This would result in decrease of approximately Rs 23 and Rs 15 in per bottle price IMFL and Cl respectively.
The cabinet also approved 25% hike in bus fares, which was earlier announced.
According to the new policy, the existing retail licensees who agree to the new terms and conditions will be given an option to apply for renewal. The cabinet also decided to reduce the rate of VAT from 20% to 12.5%.
Despite addressing the safety concerns of consuming public and also the problem of licensees, the state will register an overall increase of 10-12% in the excise revenue,
The new policy will allow government to generate around Rs 42 crore extra income this year.