AP clears airport bars, wine shops

Metro India News | AMARAVATI

The Andhra Pradesh government has officially permitted the establishment of bars and wine shops at airports across the state, paving the way for liquor sales within airport premises. However, keeping in view the religious significance of Tirupati, the government has exempted the Tirupati Airport from the new policy. The Excise Department issued a Government Order on Saturday detailing the guidelines for granting licences to operate bars and retail liquor outlets at airports. The move is aimed at enhancing passenger amenities at airports while generating additional revenue for the state through the excise sector.

According to the new policy, bars and wine shops located within airport premises will be allowed to operate round the clock, subject to airport operational timings and security regulations. The government has also prescribed licence application fees and annual excise licence charges for the establishments.

As per the notification, the application fee for obtaining a bar licence has been fixed at Rs 5 lakh, while applicants seeking a licence for a wine shop will have to pay Rs 2 lakh. The annual excise licence fee for wine shops operating inside airports has been fixed at Rs 2 crore. For bars, the government has adopted a two-tier fee structure based on passenger traffic at the respective airports.

Airports handling more than 20 lakh passengers annually will attract an annual excise licence fee of Rs 25 lakh for bars. At airports with passenger traffic below 20 lakh per year, the annual licence fee has been fixed at Rs 15 lakh. Officials said the differentiated fee structure has been designed to reflect the commercial potential of airports based on passenger footfall. The policy is expected to benefit major airports in the state while ensuring that smaller airports are also brought under the new licensing framework.

The government has clarified that Tirupati Airport has been excluded from the policy in view of its status as a major pilgrimage destination associated with the Sri Venkateswara temple. The order further states that the newly introduced airport excise policy will remain in force for three years, after which it will be reviewed based on operational experience, passenger demand, and revenue performance. The initiative is expected to align Andhra Pradesh’s airport facilities with those available at several major airports across the country, where licensed bars and liquor outlets already operate.