Starting a liquor business in Nepal requires the correct business registration, excise licence and, for certain activities, additional regulatory approvals. The requirements differ depending on whether you plan to operate a liquor shop, bar, restaurant, wholesale or distribution business, import or export liquor, or establish a brewery, winery or distillery.
The main legal framework includes the Liquor Act, 2031, the Excise Duty Act, 2058, the Excise Duty Rules, 2059, applicable amendments under the Finance Acts and, for relevant manufacturing projects, the Department of Industry’s standards for liquor and beer industries.
This guide explains the licensing categories, government fees, registration process, documents and industry requirements that businesses should consider before commencing operations in Nepal.
1. What Licence Is Required to Start a Liquor Business in Nepal?
The licence required to start a liquor business in Nepal depends on the activity the business intends to conduct. Registering a company or firm does not, by itself, authorise the sale, distribution, importation or manufacture of liquor.
Section 4 of the Liquor Act, 2031 addresses the licensing requirement for selling or distributing liquor and operating bars, restaurants and shops offering liquor. Section 4A prohibits the sale or distribution of liquor to persons under 18.
The principal business categories include:
| Business activity | Main licensing requirement |
|---|---|
| Liquor retail shop | Excise licence for the applicable retail category |
| Bar, pub or restaurant | Licence appropriate to the establishment and liquor activity |
| Hotel, resort or lodge | Licence under the applicable hospitality category |
| Liquor wholesaler | Wholesale liquor licence |
| Liquor distributor | Distribution licence |
| Liquor importer or exporter | Applicable excise and import/export authorisations |
| Brewery or microbrewery | Industry approval and applicable production excise licence |
| Winery or distillery | Industry approval, production licence and relevant technical compliance |
| Bottling or spirit maturation | Applicable licence category and any additional required permission |
A business conducting more than one activity should establish whether separate licences or approvals are required. A retail licence should not be assumed to authorise wholesale distribution or manufacturing.
2. Laws Governing Liquor Business Registration in Nepal
The laws governing liquor business registration in Nepal come from several instruments, and which ones apply depends on the proposed business. A retail shop and a distillery do not face identical regulatory obligations.
| Legislation or regulatory instrument | Relevance |
|---|---|
| Liquor Act, 2031 | Licensing and restrictions relating to liquor sales and distribution |
| Excise Duty Act, 2058 | Licensing and regulation of excisable goods and activities |
| Excise Duty Rules, 2059 | Licence categories, fees, renewal and related procedures |
| Applicable Finance Act | Amendments affecting excise legislation, fees and other fiscal requirements |
| Industrial Enterprises Act, 2076 and applicable rules | Industrial registration and requirements relevant to manufacturing projects |
| Department of Industry’s revised standards for liquor and beer industries, 2079 | Location, land, infrastructure, environmental and technical requirements for relevant industries |
| Local Government Operation Act, 2074 and applicable local legislation | Local business registration and municipal requirements |
The applicable requirements must be assessed for the particular business activity. Official legislation and administrative materials are available through the Inland Revenue Department, the Nepal Law Commission and the Department of Industry.
3. What Types of Liquor Businesses Exist in Nepal and What Licences Do They Need?
Nepal recognises several distinct types of liquor businesses, and each type carries its own licensing pathway. The correct category must be identified before applying, because a licence issued for one activity does not authorise another.
3.1 What Licence Does a Liquor Retail Shop in Nepal Need?
A liquor retail shop in Nepal must identify the correct retail category under the applicable excise schedule. The prescribed category may depend on whether the retailer sells domestic liquor only or both domestic and foreign liquor, as well as the geographic classification specified in the schedule.
The business must complete the applicable registration and tax formalities, apply for the relevant excise licence and comply with the conditions governing its activities.
3.2 What Licence Does a Bar, Pub, Restaurant or Hotel in Nepal Need?
A bar, pub, restaurant or hotel in Nepal must determine the licence category applicable to its establishment. The excise schedule distinguishes among different hotel classifications, tourist-standard restaurants and resorts, ordinary hotels, restaurants, bars and lodges, and other specified establishments.
Registering a restaurant or hotel does not automatically satisfy the requirement to obtain the appropriate liquor licence.
3.3 What Licence Does a Liquor Wholesaler or Distributor in Nepal Need?
A liquor wholesaler or distributor in Nepal must confirm which category applies to its operations, because wholesale and distribution are distinct activities. A business supplying liquor to other retailers or commercial customers should confirm whether its operations fall within the wholesaler category, distributor category or another prescribed category.
Where a business intends to operate both wholesale and retail activities, it should confirm whether additional licensing is required.
3.4 What Licence Does a Liquor Importer or Exporter in Nepal Need?
A liquor importer or exporter in Nepal must treat importing, exporting, selling and distributing as separate regulated activities. A business should verify the excise licensing requirements and any applicable customs or other regulatory requirements for the products and transactions involved.
An excise licence should not be treated as proof that all import or export requirements have been satisfied.
3.5 What Licence Does a Liquor Manufacturer in Nepal Need?
A liquor manufacturer in Nepal faces additional regulatory considerations beyond those of a retailer or hospitality business. A brewery, microbrewery, winery or distillery may need industry establishment approval, a production excise licence and compliance with relevant environmental, infrastructure and technical standards.
Manufacturing projects should assess these requirements before acquiring land, constructing a factory or purchasing equipment.
4. Liquor Licence Fees in Nepal
Liquor licence fees in Nepal vary by business category and are prescribed in Schedule 2 of the Excise Duty Rules, 2059, relating to Rules 3 and 5. The tables below set out the amounts in the applicable Schedule 2 material.
The fee payable should be confirmed against the latest amended schedule and applicable Finance Act before filing an application, as fiscal amendments may change prescribed rates. The current rate reflects recent 2083 amendment to the Excise Rules schedule-2.
4.1 What Are the Liquor Production and Manufacturing Licence Fees in Nepal?
Liquor production and manufacturing licence fees in Nepal are the highest in the schedule, reflecting the scale of the regulated activity.
| Licence category | Initial licence fee (NPR) | Renewal fee (NPR) |
|---|---|---|
| Spirit production establishment | 25,00,000 | 2,50,000 |
| Beer production establishment | 25,00,000 | 2,50,000 |
| Microbrewery producing beer | 12,50,000 | 1,25,000 |
| Ethanol production establishment | 25,00,000 | 2,50,000 |
| Fruit-based wine or brandy production | 10,00,000 | 1,00,000 |
| Other liquor production | 25,00,000 | 2,50,000 |
These are licence fees, not the total cost of establishing a manufacturing business. Land, construction, equipment, environmental assessment, industry approval and other compliance costs may be additional.
4.2 What Are the Liquor Licence Fees for Hotels, Restaurants and Lodges in Nepal?
Liquor licence fees for hotels, restaurants and lodges in Nepal are graded by establishment classification, from five-star hotels down to ordinary hospitality businesses.
| Establishment category | Initial licence fee (NPR) | Renewal fee (NPR) |
|---|---|---|
| Five-star hotel | 75,000 | 75,000 |
| Four-star hotel | 60,000 | 60,000 |
| Three-star hotel | 45,000 | 45,000 |
| Two-star hotel | 30,000 | 30,000 |
| One-star hotel | 15,000 | 15,000 |
| Tourist-standard restaurant, resort or party palace selling domestic and foreign bottled liquor | 11,000 | 11,000 |
| Ordinary hotel, restaurant, bar or lodge selling domestic bottled liquor | 6,000 | 6,000 |
| Casino selling domestic and foreign bottled liquor | 75,000 | 75,000 |
The business should confirm which category applies to its establishment rather than select a fee based solely on the type of premises it describes itself as operating.
4.3 What Are the Liquor Retail, Wholesale and Distribution Fees in Nepal?
Liquor retail, wholesale and distribution fees in Nepal differ by category and, for domestic-only retailers, by geographic location.
| Licence category | Initial licence fee (NPR) | Renewal fee (NPR) |
|---|---|---|
| Liquor distributor | 45,000 | 45,000 |
| Wholesaler | 30,000 | 30,000 |
| Retailer selling domestic and foreign liquor | 15,000 | 15,000 |
| Retailer selling only domestic liquor in metropolitan, sub-metropolitan and municipal areas | 11,000 | 11,000 |
| Retailer selling only domestic liquor outside those areas | 6,000 | 6,000 |
| Departmental store | 30,000 | 30,000 |
The geographic distinctions and descriptions in the applicable schedule should be checked against the business’s actual circumstances.
4.4 What Are the Liquor Exporter and Bottler Fees in Nepal?
Liquor exporter and bottler fees in Nepal apply to businesses engaged in cross-border trade or in bottling foreign liquor and spirits for the domestic market.
| Licence category | Initial licence fee (NPR) | Renewal fee (NPR) |
|---|---|---|
| Foreign liquor and spirit bottler | 60,000 | 60,000 |
| Liquor exporter | 6,000 | 6,000 |
4.5 What Are the New Liquor Brand and Spirit Maturation Fees in Nepal?
New liquor brand and spirit maturation fees in Nepal apply to businesses introducing a new brand for production or seeking to mature spirits outside their licensed premises.
| Licence or permission category | Initial fee (NPR) | Renewal fee (NPR) |
|---|---|---|
| New brand production permission for liquor products | 3,00,000 | 0 |
| Spirit maturation outside licensed premises | 2,50,000 | 1,00,000 |
The fee schedule should be checked for the applicable fiscal year and the precise activity. A fee of zero for renewal of a particular permission does not exempt the business from other licences or compliance obligations.
4.6 What Is the Total Cost of Registering a Liquor Business in Nepal?
The total cost of registering a liquor business in Nepal depends on the business model, because the excise licence fee is only one component of the overall cost.
In addition to the excise licence fee, a business may need to budget for:
Company or firm registration and tax registration.
Local business registration and applicable municipal charges.
Industry registration and establishment approvals.
Deposits required for certain manufacturing projects.
Environmental assessment and approval.
Land, lease, factory construction and infrastructure.
Production, storage and quality-control equipment.
Import, customs or other activity-specific compliance.
Professional, accounting and legal services.
A retail liquor shop and a brewery have substantially different cost structures. Manufacturing businesses should assess the applicable industry standards and project approval conditions before committing to land or equipment.
5. How to Register a Liquor Business in Nepal
The process of registering a liquor business in Nepal should be planned around the intended activity and location, and it involves several sequential steps.
Step 1: Determine the business model
Identify whether the business will sell liquor at retail, serve liquor in a hospitality establishment, conduct wholesale or distribution activities, import or export liquor, or manufacture alcoholic products.
If the business will undertake several activities, confirm the licences and approvals required for each one.
Step 2: Register the company or firm
Select the appropriate legal structure and complete the relevant business registration formalities. A company is generally registered through the Office of the Company Registrar, while other business structures follow their applicable registration process.
Complete PAN registration and other tax formalities applicable to the business.
Step 3: Confirm the proposed premises
Check whether the proposed location is suitable for the intended activity. For retail and hospitality businesses, confirm the applicable local requirements. For manufacturing, investigate the Department of Industry’s location restrictions, land requirements and technical standards before acquiring or leasing the site.
Step 4: Identify the appropriate licensing authority
Confirm the responsible Inland Revenue Office or other designated office for the excise licence and the applicable procedure for the business category.
For a manufacturing project, also determine the relevant industry registration and approval process.
Step 5: Prepare the application
Complete the prescribed application and gather the documents required for the selected licence category. Confirm the current application fee and payment process with the responsible office.
Step 6: Complete verification and additional approvals
The authority may need to verify the applicant’s registration, premises, documents and proposed activity. Manufacturing projects may require additional review of the site, environmental documents, factory plans and technical compliance.
Step 7: Obtain the required licence before commencing business
Do not assume that submitting an application permits the business to start selling or manufacturing liquor. Confirm that the required licence and any other necessary approvals have been issued.
Step 8: Maintain ongoing compliance
Keep records of licence validity, renewal dates, tax obligations and any conditions attached to the licence. Manufacturing businesses should also monitor their project approvals, environmental requirements and technical compliance.
6. What Documents Are Required for Liquor Business Registration in Nepal?
The documents required for liquor business registration in Nepal depend on the type of business and licence category. Applicants should obtain the current checklist from the responsible licensing office before filing.
The documents may include:
| Document | Purpose |
|---|---|
| Company or firm registration certificate | Establishes the applicant’s legal identity |
| PAN and applicable tax registration details | Identifies the business for tax administration |
| Citizenship or identification documents of the proprietor, partners or authorised persons | Supports identification of the applicant and relevant individuals |
| Business address and premises details | Identifies the location of the regulated activity |
| Location map or premises information | Supports assessment of the proposed site |
| Application form and fee payment evidence | Supports the licensing application |
| Ownership or lease documents | May establish the right to use the premises |
| Additional category-specific documents | May be required for manufacturing, import, export, bottling or other activities |
This is a general preparation checklist, not a universal statutory list. A manufacturing project may require additional industry, environmental and technical documents that are not ordinarily relevant to a retail application.
7. Liquor Shop Registration in Nepal
Liquor shop registration in Nepal begins with identifying the applicable retail category under the excise schedule, because the category determines both the fee and the scope of permitted activity.
The schedule distinguishes between retailers selling domestic and foreign liquor and retailers selling only domestic liquor in specified geographic categories. The listed fees differ accordingly. The applicable rate should be confirmed before the application is submitted.
The main steps are to register the business, complete the relevant tax formalities, confirm the premises and licence category, submit the application and obtain the required licence before commencing sales.
The shop must comply with the conditions of its licence and restrictions under the Liquor Act, including the prohibition on selling or distributing liquor to persons under 18.
A retail licence should not be treated as permission to undertake wholesale distribution, importation or manufacturing unless those activities are separately authorised.
8. What Are the Bar, Pub and Restaurant Liquor Licence Requirements in Nepal?
Bar, pub and restaurant liquor licence requirements in Nepal depend on the classification of the establishment and the intended liquor sales. Bars, pubs, restaurants and hotels must identify the licence category applicable to their establishment.
The prescribed schedule distinguishes among hotel classifications, tourist-standard establishments and ordinary hospitality businesses. The applicable category should be confirmed based on the actual establishment and the wording of the current schedule.
Before commencing operations, the business should confirm:
Business and tax registration.
The appropriate excise licence category.
The applicable licence and renewal fees.
Any local business or premises requirements.
Any additional permissions relevant to the establishment.
Compliance with restrictions on sales to persons under 18.
Registering a restaurant or hotel does not, by itself, satisfy the requirement to obtain the relevant liquor licence.
9. Liquor Manufacturing Licence in Nepal: Brewery, Winery and Distillery
A liquor manufacturing licence in Nepal requires separate consideration of industry establishment approval and excise licensing, and it is a more complex process than retail or hospitality licensing. The Department of Industry’s 2079 Guidelines addresses location, land, infrastructure, environmental and technical requirements for relevant liquor and beer industries.
The precise requirements depend on the proposed product, production process, facility and applicable approval conditions.
9.1 What Location Restrictions Apply to Liquor Manufacturing in Nepal?
Location restrictions for liquor manufacturing in Nepal are set by the Department of Industry and affect where new liquor and beer industries may be established. The standards identify restrictions including specified areas near international borders, the Lumbini area, sensitive sites and certain urban or municipal locations.
The supplied standards also identify a restriction involving the establishment of new hospitals and schools near existing liquor or beer industries.
These restrictions must be assessed against the official standards and the actual proposed site. They should not automatically be treated as location rules for every liquor shop, bar or restaurant.
9.2 What Are the Minimum Land and Infrastructure Requirements for Liquor Manufacturing in Nepal?
Minimum land and infrastructure requirements for liquor manufacturing in Nepal are specified by the Department of Industry according to the type of production activity. The standards identify the following minimum land requirements for specified manufacturing activities.
| Manufacturing activity | Minimum land identified in the standards |
|---|---|
| Distillery or brewery with bottling | 3 hectares of contiguous land |
| Blending or bottling only | 1 hectare |
| Multiple production activities at one premises | 4 hectares, with separate factory buildings for each activity |
The standards also address industrial-area projects, including recommendations from the relevant industrial-area management authority and the possible application of different arrangements where a common effluent treatment plant exists.
A setback of at least 15 feet from the compound wall is identified for specified factory buildings, warehouses and utility sheds, together with a greenbelt requirement. The precise requirements should be confirmed before the site is acquired or developed.
9.3 What Are the Environmental Approval, Land Ownership and Production Deadline Requirements in Nepal?
Environmental approval, land ownership and production deadline requirements in Nepal are addressed in the Department of Industry’s standards as project conditions.
The supplied standards identify a requirement to establish land ownership within one year of obtaining permission. They also address environmental assessment, including a 15-day public notice and supporting recommendations where prescribed.
For specified brewery, distillery and wine projects, the standards identify a three-year period to complete construction and commence commercial production. A two-year period is identified for specified blending or bottling-only projects. The standards also address possible extensions in prescribed circumstances and consequences for failure to commence production within the permitted period.
These requirements should be checked against the exact project category, the current standards and the conditions of the relevant approval. They should not be treated as a substitute for reviewing the permission issued to an individual project.
9.4 What Deposits Are Required for Liquor and Beer Industries in Nepal?
Deposits required for liquor and beer industries in Nepal are prescribed by the Department of Industry and differ according to whether the project is a new establishment or an expansion of an existing one.
| Purpose | Deposit amount |
|---|---|
| Establishment of a new liquor or beer industry | NPR 5,00,000 |
| Addition of an objective or capacity expansion | NPR 3,00,000 |
The standards address the circumstances in which a deposit may be refunded or forfeited. Applicants should confirm the applicable refund conditions and supporting evidence with the responsible authority.
9.5 What Are the Technical Requirements for Distilleries in Nepal?
Technical requirements for distilleries in Nepal are prescribed by the Department of Industry and cover storage, pipelines, water quality, machinery, building standards, laboratory facilities and supervision. The standards identify technical and quality-control requirements for distillery operations.
| Area | Requirement identified in the standards |
|---|---|
| Molasses and spirit storage tanks | Above-ground tanks constructed of mild steel or higher-quality material |
| Storage capacity | Storage for molasses, rectified spirit and extra-neutral alcohol sufficient for at least one month based on annual approved capacity |
| Holding, blending and demineralised-water tanks and pipelines | Stainless steel |
| Production water | Demineralised water |
| Bottling equipment | Washing, filling, sealing and labelling machinery, together with an inspection table |
| Bottling plant building | Side-wall height of at least 18 feet |
| Quality-control laboratory | Specified measuring instruments, alcohol distillation equipment and necessary glassware |
| Setback | At least 15 feet between the compound wall and specified buildings |
| Production supervision | Direct supervision by at least one suitably qualified alcohol technologist, food technologist, microbiologist or chemist |
| Starch raw material | The standards specify a limit on domestic grain use, with exceptions and sourcing requirements that must be checked against the official text |
| Pot still plant | Prior approval for specified rectified-spirit production |
| Patent still plant | Mandatory for specified molasses-based and extra-neutral alcohol production |
The technical specifications should be incorporated into the plant design and operational planning. The table is not a substitute for reviewing the full standards applicable to the particular production process.
9.6 What Are the Technical Requirements for Breweries in Nepal?
Technical requirements for breweries in Nepal are also prescribed by the Department of Industry and are more limited in scope than those for distilleries but still mandatory.
| Area | Requirement identified in the standards |
|---|---|
| Pipelines | Stainless steel |
| Quality-control laboratory | Specified measuring instruments, alcohol distillation equipment, CO₂ pressure measuring equipment and necessary glassware |
| Setback | At least 15 feet between the compound wall and specified buildings |
| Production supervision | Direct supervision by at least one suitably qualified alcohol technologist, food technologist, microbiologist or chemist |
A proposed brewery should confirm the applicable technical standards before finalising the plant layout, machinery and quality-control arrangements.
9.7 Can Foreign Investors Invest in Liquor Manufacturing in Nepal?
Foreign investors considering liquor manufacturing in Nepal must check foreign investment eligibility separately from the general excise licensing process. The supplied industry standards identify a restriction concerning foreign investment in liquor with alcohol content of 40% v/v or less. They also address royalty or fee limits for certain foreign-brand production arrangements.
These provisions should not be treated as a complete statement of Nepal’s foreign investment law. Investors should verify the current Foreign Investment and Technology Transfer Act, applicable negative list, amendments, product category and proposed investment structure before committing funds.
9.8 What Are the Compliance Requirements for Existing Liquor and Beer Industries in Nepal?
Compliance requirements for existing liquor and beer industries in Nepal are addressed in the Department of Industry’s standards, which also provide for monitoring and reporting. The standards address compliance by existing industries with specified physical infrastructure requirements.
Existing operators should review the requirements applicable to their projects and the conditions of their approvals. The treatment of an existing industry should not automatically be assumed to apply to a new project.
10. How Do You Renew a Liquor Licence and Maintain Compliance in Nepal?
Renewing a liquor licence and maintaining compliance in Nepal requires the operator to track the licence category, validity, renewal deadline, prescribed fee and conditions imposed by the licensing authority. Obtaining an initial licence does not end the business’s compliance obligations.
Section 9 of the Excise Duty Act, 2058 addresses licensing for excisable activities and the general validity of licences. The applicable rules and amendments should be checked for the specific category.
Businesses should not assume that every licence has the same renewal procedure, deadline, grace period or late-renewal consequence. The position should be confirmed with the responsible office before the relevant deadline.
Ongoing compliance may include:
Renewing the applicable licence within the prescribed period.
Maintaining required business, tax and excise records.
Complying with the conditions governing the licensed activity and premises.
Observing restrictions on sales to persons under 18.
Meeting applicable storage, distribution, production and excise-stamp requirements.
Maintaining environmental and technical compliance where relevant to manufacturing.
Obtaining any required approval before changing the licensed activity, ownership arrangements or premises.
The exact obligations depend on the licence category and the nature of the business.
11. Can a Liquor Licence in Nepal Be Transferred or Used at a Different Premises?
Transferring a liquor licence in Nepal or using it at a different premises is not a step that can be assumed to be automatic. A business should not assume that a liquor licence can automatically be transferred to another person, moved to another premises or retained unchanged after a material change in activity.
Before transferring a business, relocating the premises, changing ownership or changing the licensed activity, the operator should confirm the applicable procedure with the responsible authority. The answer may depend on the licence category, the terms of the existing approval and the nature of the proposed change.
For a manufacturing project, changes to the site, production capacity, industrial objectives or production process may also engage the Department of Industry’s standards and project approval conditions.
The required approval should be confirmed before the change is implemented.
12. How Can Niti Partners and Associates Assist With Liquor Business Registration in Nepal?
Niti Partners Law firm in Nepal can assist with liquor business registration in Nepal because the process involves several separate legal and regulatory questions. Identifying the correct licence category at the outset can help businesses avoid unsuitable premises commitments, incorrect fee assumptions and delays in obtaining approvals.
Niti Partners and Associates, a law firm in Nepal, can assist with legal issues relating to establishing and operating liquor-related businesses. Depending on the scope of the engagement, this may include:
Reviewing the proposed business model and licensing requirements.
Advising on company or firm structure and business registration.
Reviewing the applicable excise licence category, fees and supporting documents.
Preparing or reviewing legal documents for applications and regulatory correspondence.
Assessing legal requirements for relevant manufacturing projects.
Identifying industry establishment, environmental and technical approval issues.
Advising on contractual, investment and ongoing compliance matters.
For breweries, distilleries and other manufacturing projects, legal review should take place before the investor commits to land, construction or equipment. The project may be subject to location, land, infrastructure, environmental and technical requirements in addition to excise licensing.
Contact Niti Partners and Associates to discuss the legal and regulatory requirements for your proposed liquor shop, hospitality business, distribution operation or manufacturing project in Nepal.
13. Frequently Asked Questions
13.1 How much does it cost to register a liquor business in Nepal?
The cost depends on the business activity and licence category. The listed fee for a retailer selling domestic and foreign liquor is NPR 15,000, while the listed fees for a domestic-only retailer are NPR 11,000 in specified municipal areas and NPR 6,000 elsewhere. The listed fee for an ordinary hotel, restaurant, bar or lodge in the stated category is NPR 6,000. A liquor distributor’s listed fee is NPR 45,000.
For manufacturing, the listed initial fee is NPR 25,00,000 for beer or spirit production and NPR 12,50,000 for a microbrewery registration in Nepal. Confirm the applicable current-year rates before budgeting. Other business registration, industry, premises and compliance costs may apply.
13.2 Is company registration enough to sell liquor in Nepal?
No. Company or firm registration and liquor licensing are separate matters. The business must obtain the licence and other approvals applicable to its activity before commencing regulated operations.
13.3 What licence does a liquor shop need in Nepal?
A liquor shop must identify the appropriate retail licence category under the applicable excise schedule. The category may depend on whether the shop sells domestic liquor only or domestic and foreign liquor, as well as the geographic classification specified in the schedule.
13.4 What is the licence fee for a bar or restaurant in Nepal?
The listed fee for an ordinary hotel, restaurant, bar or lodge in the stated category is NPR 6,000. Different fees apply to specified hotel classifications, tourist-standard establishments and other categories. Confirm the applicable category and current rate before applying.
13.5 How much does a microbrewery licence cost in Nepal?
The listed initial microbrewery production licence fee is NPR 12,50,000, with a listed renewal fee of NPR 1,25,000. Confirm the applicable current-year rates. A microbrewery may also require industry establishment approval and compliance with relevant location, land, infrastructure, environmental and technical requirements.
13.6 What Are the Minimum Land Requirements for a Liquor or Beer Factory in Nepal?
The Department of Industry’s standards identify three hectares of contiguous land for a distillery or brewery with bottling, one hectare for blending or bottling only, and four hectares for multiple production activities at one premises with separate factory buildings for each activity. Confirm the exact standard and its applicability before acquiring land.
13.7 Are there location restrictions for liquor manufacturing in Nepal?
Yes. The Department of Industry’s standards identify restrictions concerning specified border areas, the Lumbini area, sensitive sites and certain urban or municipal locations. The exact restrictions must be assessed against the official standards and the proposed site. Manufacturing standards should not automatically be applied to every retail shop or restaurant.
13.8 Can a foreign investor establish a liquor manufacturing business in Nepal?
Foreign investment eligibility depends on the proposed product, investment structure and applicable restrictions. The industry standards identify a restriction concerning liquor with alcohol content of 40% v/v or less. A foreign investor should verify the current foreign investment legislation, negative list and applicable industry standards before proceeding.
13.9 When Must a Liquor Licence in Nepal Be Renewed?
The renewal deadline and fee depend on the applicable licence category and current rules. Confirm the specific deadline and any late-renewal provisions with the responsible licensing office.
13.10 Can a Liquor Licence in Nepal Be Transferred to Another Person or Premises?
Do not assume that a transfer or relocation is automatically permitted. Confirm the applicable procedure and any approval requirement with the responsible authority before changing ownership, premises or the licensed activity.
Conclusion
Liquor business registration in Nepal requires the business to identify the correct licensing category, complete applicable business and tax registration, obtain the necessary excise licence and meet any additional requirements relevant to its activity. Manufacturing projects require particular attention to industry approval, location, land, environmental and technical standards.
Before committing to premises or commencing operations, confirm the applicable legal requirements and current fee schedule with the relevant authorities. Legal review by experienced excise lawyers in Nepal at the planning stage can help businesses identify the required approvals and structure the registration process appropriately.
