Date: 19.06.2026
Regulatory Action Summary
Som Distilleries and Breweries Limited has received a material regulatory setback regarding its manufacturing operations. The Excise Department of Madhya Pradesh has rejected the company's application for grant of the Excise License for its Bhopal plant for the financial year 2026-27.
Background and Company Response
The company had previously received a show cause notice from the Excise Department, to which it submitted detailed replies and supporting submissions. However, the regulatory authority rejected the license application despite these submissions. The company states that it believes its explanations, supporting materials, and relevant court order on record "do not appear to have been adequately considered" by the Excise Department.
Current Status and Mitigation Measures
The company is presently pursuing various legal remedies to challenge the license rejection. Management is taking all necessary steps with the objective of restoring the manufacturing license at the earliest possible time. The management is also actively engaging with all stakeholders and evaluating appropriate measures to mitigate the impact of this regulatory order on business operations.
Financial and Operational Implications
The rejection of the excise license for the Bhopal plant represents a significant operational disruption, as it prevents legal manufacturing operations at this facility for FY 2026-27. The company has acknowledged this as a "challenging period" and appreciates the continued support of its stakeholders.