Key Quantitative Figures

  • Land Area: 42 acres (Plot No. A-1)
  • Annual Financial Implications: Land Lease charges of ₹14,62,070 per annum and Facilities charge of ₹70,800 per annum
  • Milestone Timelines: Trial production must be achieved within 18 months; commercial production must be achieved within 24 months
  • Response Deadline: Submission of compliance/acceptance letter required within 15 days of order receipt

Dates of Action

  • Land Allotment Original Date: 2011
  • Land Cancellation Date: 2022 (as disclosed)
  • Order Receipt Date: November 14, 2026
  • Writ Proceedings: Filed in Patna High Court after 2022 cancellation; subsequently withdrawn

Parties Involved

  • Listed Entity: United Breweries Limited (UBL)
  • Regulatory Authority: Bihar Industrial Area Development Authority (BIADA)
  • Judicial Authority: Patna High Court (previously involved)

Purpose and Rationale

The communication represents final approval from BIADA for the restoration of UBL's leasehold land allotment under the revised Amnesty Policy 2025 and Exit Policy 2025. The land was originally allotted in 2011 for setting up a brewery, which commenced operations thereafter.

Historical Context and Regulatory References

The unit was forced to cease beer production following the implementation of Bihar's prohibition policy. UBL subsequently obtained approval for a change in product category from Beer to Non-Alcoholic Beverages. During periodic inspections, BIADA found the unit to be non-operational and cancelled the allotment/lease in 2022 on account of non-operational status and non-utilisation of the allotted land.

UBL challenged the cancellation before the Patna High Court, which passed a status quo order. The matter remained pending until BIADA introduced the Amnesty Policy, 2025. UBL applied for restoration under this policy, submitted requisite documents and compliances, and withdrew the writ proceedings.

Material Contents of Communication

BIADA has issued an office order restoring the allotment of Plot No. A-1 to UBL under the BIADA Amnesty Policy, 2025, subject to specified conditions:

  • Submission of compliance/acceptance letter within 15 days
  • Achievement of trial production within 18 months
  • Achievement of commercial production within 24 months
  • Obtaining all statutory approvals
  • Submission of project financing & implementation details
  • Payment of applicable charges
  • Compliance with BIADA's conditions regarding use of the land

Financial Implications

The disclosure specifies expected financial implications including restoration costs (not quantified) and annual charges comprising:

  • Land Lease charges: ₹14,62,070 per annum
  • Facilities charge: ₹70,800 per annum

Action Taken by Company

UBL would be seeking appropriate steps as enumerated in the disclosure, which includes compliance with the conditions set forth by BIADA for the restoration of the land allotment.