New Policy Extends Bar Timings to Midnight in Andhra Pradesh

Quick Summary

• The Government of Andhra Pradesh announced the New Bar Policy 2025-28 to reform bar operations with a focus on clarity, social equity, and financial sustainability.
• Bars will operate from 10 a.m.to 12 midnight,under the framework published via G.O.Ms. no. 275 dated August 13,2025.
• The policy caps the number of bars at 840, reserving an additional 10% exclusively for Geetha Kulalu (toddy tapper community), with these reserved bars receiving a 50% license fee concession.
• Licences will be granted thru a public draw of lots, requiring at least four valid applications per bar to ensure competition and fairness.
• licence tenure is fixed for three years (September 1, 2025 – August 31, 2028) with fees rationalised based on population slabs:

– ₹35 lakh for areas up to 50,000 residents,
– ₹55 lakh for areas between 50,001-5 lakh residents,
– ₹75 lakh for cities above five lakh residents.
– A fixed annual increase of 10% in licence fees applies across all categories; payment can be made in six instalments supported by bank guarantees.

• Bars allowed only in urban local bodies and notified tourism centres but excluded from religious destinations like Tirupati routes near Alipiri and Tirumala; future expansions planned into industrial corridors and SEZs.

Indian Opinion Analysis

The New bar Policy introduced by Andhra Pradesh reflects deliberate efforts to balance commercial viability with inclusivity and accountability within the alcohol retail sector.By reserving licences for communities like Geetha Kulalu (toddy tappers) with concessions on fees, the government seeks to promote social empowerment alongside business sustainability. Additionally, reforms such as public allotment via draw help combat monopolistic practices while fostering fair competition.

Rationalising license fees across population slabs considers demographic density while allowing long-term predictability for operators-crucial given past challenges in allocating retail shop licenses effectively due to high costs or low interest.The exclusion of bars along religious routes mirrors cultural sensitivities in regions like Tirupati while enabling operational expansion into industrial zones aligns well with broader economic planning.

these measures illustrate an effort toward aligning business policies more equitably while maintaining transparency-a model that may set precedents both within state governance and also industry standards across India.

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