AC approves updated Excise Policy for 2024-25

Jammu, Jan 19: The Administrative Council, which met here under the chairmanship of Lieutenant Governor Manoj Sinha gave its approval to the rolling out of J&K Excise Policy for the year 2024-25.

It also gave its approval to transfer of land measuring 7 kanal 250 sq ft in favour of the National Centre for Disease Control (NCDC), New Delhi, for establishing its branch in Jammu. To encourage cooperatives to set up small food processing units costing up to Rs 10 lakh, the Administrative Council also approved a proposal from the Cooperative Department which provides for 90 percent credit (subject to a limit of Rs 9 lakh) offered by Cooperative Banks and financial assistance of 50 percent (subject to a ceiling of Rs 4.50 lakh) of loan amount and 100 percent interest subvention to be given by the government.

J&K Excise Policy for the year 2024-25 highlights various fees and duties to be implemented in the manufacturing, transport, import and export of liquor and checking of the smuggling of narcotic drugs to J&K from neighbouring states and Union Territories.

The allotment of vends will be made by auction and a registration fee of Rs 50,000 has to be paid by bidders online through the portal.

The successful bidder will be required to deposit 100 percent of the bid amount through eGRAS or Easy Collect portal within seven banking days from the date of finalisation of the bid.

The vends not allotted for reasons like social pressure, court orders or non-availability of premises or where no bids have been received will be put to re-auction.

A new initiative of linkage of minimum reserve bid price with the sale potential of each vend has been approved.

A lower cap of 15 percent of MSP of liquor for on-premises consumption has been fixed.

As notified in Excise Policy for the year 2023-24, Excise Duty on CSD and PAMF will continue to be 25 percent less than that on civil for all types of liquor manufactured in J&K and the import duty will continue to be 15 percent less than that on civil for all brands of liquor.

Existing licensees having License of Beer Bar with a Microbrewery License will be given a license within the same premises on remittance of requisite license fees and other duties.

There will be complete digitalisation in liquor manufacturing, distribution, and sale from production to retail consumption.

For obtaining a property certificate and solvency certificate, the vendor is required to apply within 10 days of issuance of license before the concerned Revenue Authority will issue a certificate within a month from the date of receipt of application and in case of non-disposal of application, the certificate as claimed by the applicant will be deemed to have been issued by the competent authority.

Any licensee selling liquor above MRP will be imposed a fine of Rs 40,000 for the first offence and Rs 75,000 for the second offence.

The Administrative Council also gave its approval to transfer land measuring 7 kanal 250 sq ft in favour of NCDC, New Delhi, for establishing its branch in Jammu.

The NCDC provides expertise to the states and UTs on rapid health assessment and laboratory-based diagnostic services and it also provides referral diagnostic services to individuals, communities, medical colleges, research institutions, and state health directorates.

The establishment of the NCDC branch in Jammu is a major step for the government to provide quality diagnostic services to the people, medical institutes, and health directorates here in J&K.

To encourage cooperatives to set up small food processing units costing up to Rs 10 lakh, the Administrative Council also approved a proposal from the Cooperative Department which provides for 90 percent credit (subject to a limit of Rs 9 lakh) offered by Cooperative Banks and financial assistance of 50 percent (subject to a ceiling of Rs 4.50 lakh) of loan amount and 100 percent interest subvention to be given by the government.

Cooperative Societies registered in J&K willing to set up food processing units would be offered a loan by Cooperative Banks to the extent of 90 percent of project cost or Rs 9 lakh whichever is less.

The food processing unit has to be set up and operationalised by the cooperative in one year after which 50 percent cost of the loan amount, subject to a ceiling of Rs 4.50 lakh, shall be released as a subsidy by the government to the Cooperative Bank on behalf of the cooperative.

The balance principal amount of the loan would be paid by the beneficiary cooperative in the second, third and fourth year in three equal installments to the respective Cooperative Bank.

The entire interest on the loan amount would be paid by the government to the Cooperative Bank on timely re-payment of the loan by the beneficiary cooperative to the bank.

The Cooperative Department would target the setting up of 80 food processing units over two years (2023-24 and 2024-25) under this scheme.

The institutional mechanism for implementation and monitoring of this scheme has also been approved which includes committees for formulation, evaluation, and approval of DPR and proposals.

This scheme would provide employment opportunities to the farmers, and those involved in the cooperative sector and Cooperative Banks would earn assured repayments also.

Advisor to LG, Rajeev Rai Bhatnagar; Chief Secretary, Atal Dulloo; and Principal Secretary to LG, Mandeep Kumar Bhandari attended the meeting.