

In a move aimed at modernizing the spirits industry and curbing illicit trade, the Odisha government has officially cleared the path for India-made foreign liquor (IMFL) to be sold in tetra packs. Announced as part of the state’s comprehensive Excise Policy for 2026-29, the decision marks a significant shift in the packaging landscape of the region's beverage industry.
While the provision for such packaging has technically existed in state policy for over a decade, the new administration is providing the regulatory momentum and clarity needed for manufacturers to finally bring these products to the shelves.
Although the concept of liquor in tetra packs might seem like a radical shift for the state, Odisha Excise Minister Prithviraj Harichandan clarified that the provision had been part of the state’s excise framework since 2014. However, due to a lack of market implementation and regulatory hurdles, it remained dormant.
Under the new 2026-29 policy, which came into effect on April 1, 2026, the government is actively encouraging licensed manufacturers and vendors to adopt this format. "The government will not restrict any licensed manufacturer who wants to produce or sell liquor in tetra packs," Harichandan stated, emphasizing that the focus is on regulation rather than restriction.
The introduction of tetra packs is not a free-for-all; the state has mandated rigorous technical requirements to ensure consumer safety and product integrity.

One of the primary drivers behind this move is the crackdown on the illegal liquor trade. Tetra packs are significantly harder to adulterate compared to glass bottles, which are often refilled with illicit or "spurious" liquor.
By allowing standardized, factory-sealed tetra packs, the government aims to:
The transition has not been without controversy. Opposition leaders have voiced strong concerns, labeling the move "unethical" and "anti-youth." Critics argue that the portability and low price point of 180 ml tetra packs might make alcohol more accessible and "convenient" for younger demographics, potentially increasing addiction rates.
In response, the state government has maintained that the policy is about regulation and safety rather than promotion. Minister Harichandan reiterated that the priority is to ensure that whatever liquor is sold is legal, regulated, and safe for consumption, thereby eliminating the hazards of the "black market."
The integration of tetra packs into Odisha’s liquor market represents a pragmatic approach to industrial modernization. By combining the convenience of modern packaging with the strict oversight of institutes like CFTRI, the state hopes to create a safer environment for consumers and a more efficient system for manufacturers.
As the 2026-29 policy unfolds, the success of this initiative will likely be measured by its ability to balance industrial growth with social responsibility, while effectively drying up the market for illicit spirits.