Union government ends Lakshadweep's 47-year alcohol ban to boost tourism
Big news for Lakshadweep: the Union government has ended its 47-year alcohol ban to help attract more tourists.
Announced on June 5, 2026, the new regulation introduces a licensing framework and allows government-owned corporations and agencies to obtain import and retail licenses for alcoholic beverages, aiming to compete with hotspots like the Maldives.
The move is a big shift for this mostly Muslim territory, where locals have voiced cultural concerns, but officials say they are trying to balance tourism with local sensitivities.
Lakshadweep imposes alcohol taxes, bars under-21
Alcohol sales will face steep taxes (400% on Indian-made foreign liquor, 200% on beer, and 80% on wine) and anyone under 21 is still barred from buying drinks.
The administrator can bring back restrictions if needed.
Until now, alcohol was available only under limited exemptions, including certain government-run bars and tourist resorts; now the door is open wider, but with plenty of regulation.