Soon after forming the government of andhra pradesh in 2019, the congress PARTY' target='_blank' title='ysr congress-Latest Updates, Photos, Videos are a click away, CLICK NOW'>ysr congress Party, led by Y S jagan Mohan Reddy, announced a new excise policy aimed at gradually introducing prohibition.
The government took over the spirits trade from the private sector and transferred it to the ap State Beverages Corporation. It restricted the number of liquor stores and bars while drastically raising liquor prices on the excuse of decreasing alcohol usage.
Furthermore, the jagan administration enabled numerous private spirits makers to launch new, low-cost spirits brands while reducing procurement of famous ones.

Another key move was to discontinue digital payments at wineries. Payments were not accepted via credit or debit cards or UPI networks; only cash transactions were authorized.
Although opposition parties criticized the move, pointing out that even tiny sellers accept UPI payments, the jagan government did not back down.
As a result, there was a lack of transparency in the excise department's tax collections, which led to the rise of a spirits mafia. However, cash transactions remained the norm until a few days ago.

Now that the elections are finished, the state administration has abruptly implemented a new law that prohibits cash transactions. The excise department has issued directives that only digital payments made using PhonePe, google Pay, and other UPI systems would be accepted at booze retailers.
This abrupt transition is generating friction in wine stores since many impoverished individuals who have become accustomed to cash purchases over the previous five years are unable to make digital payments owing to a lack of cellphones or internet connection.
Analysts believe that the government should have notified customers well in advance of enforcing the digital payments requirement.

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