Bengal government on Wednesday estimated a 10.78 per cent rise in state excise collection in 2022-23 driven by improved collection from foreign liquor and spirit sales. The state has also made an ambitious 19.5 per cent growth projection in excise duty collection for 2023-24.

According to the budget presented by the state government on Wednesday, state excise duty collection was estimated at Rs 15,001.39 crore in 2022-23. In comparison, the state had collected Rs 13,541.93 crore in 2021-22. The projected collection for 2023-24 is Rs 17,921 crore taking the state closer to Maharashtra, Karnataka, Rajasthan where excise duty is a key contributor to the state’s tax revenue.

Excise officials said that of the total collection of Rs 15,001.39 crore, foreign liquor and spirits is expected to contribute Rs 7738.93 crore backed by a double-digit growth in volume. Contribution of country spirits is estimated at Rs5862.80 crore. The contribution of malt liquor which includes beer is Rs 1282.11 crore.

“There is good growth in the consumption of foreign liquor.... Now Bevco has allowed private distributors to supply retailers and they are also financing those retailers so that they can now stockBottled in Origin brands. This has boosted the availability of brands across retailers in the state and strengthened the distribution cycle,” said an industry source.

The state is also expanding the reach of liquor distribution by utilising the franchisee route and revenue sharing model in some locations. It has also clamped down on sale of illicit liquor, which sources said boosted revenue.