Assam Overhauls Excise Rules to Boost Revenue and Local Liquor Production

Photo Courtesy: India Today Group

Guwahati: The Assam government has officially implemented the Assam Excise (Amendment) Rules, 2026, introducing a series of regulatory shifts across the state. Notified by the Governor on Friday, June 12, the changes target liquor licensing procedures, retail operations, and revenue collection frameworks.

A core component of the reform is the introduction of minimum guaranteed revenue payments. License holders must now settle their dues in four quarterly installments, structured at rates of 22%, 25%, 27%, and 26%. Any failure to meet these payment schedules will result in a 10% penalty on outstanding amounts, paired with an additional 1.5% monthly interest fee for late payments.

Beyond fiscal measures, the state is prioritizing local industry through the creation of an Assam Made Liquor category. This initiative aims to bolster the production of alcoholic beverages within the state while protecting traditional practices. Officials stated that these reforms are intended to strengthen the sector, noting that the new rules were designed to "improve revenue generation and support indigenous communities engaged in the production of traditional alcoholic beverages."

Manufacturing rights for these heritage drinks remain reserved for indigenous communities, supported by reduced licensing fees. However, the government has set a production cap of 1,000 litres per day for these traditional products. The updated rules also establish stricter requirements for the location of retail outlets and create new guidelines for license transfers and product packaging.

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