Gujarat relaxes liquor rules at GIFT City, drops permit requirement for visitors

In a significant shift for India’s only prohibition state, Gujarat has eased its liquor policy to allow alcohol consumption at designated hotels and restaurants within GIFT City, the international financial hub near Gandhinagar, with minimal formalities.

Under the revised rules, visitors from outside Gujarat and foreign nationals may consume liquor at approved establishments in GIFT City by presenting a valid photo identification card, according to a gazette notification issued by the state home department and reported by the PTI news agency.

The change removes an earlier requirement that such “external persons” obtain temporary liquor permits before being served — a process that had been widely viewed as cumbersome.

Gujarat has long enforced a strict ban on the manufacture, sale and consumption of alcohol. In 2023, however, the state carved out a limited exemption for GIFT City, permitting alcohol sales and consumption within the central business district under specified conditions, as part of efforts to position the enclave as a competitive global financial centre.

The latest relaxation further aligns GIFT City’s regulatory environment with international business hubs, even as prohibition remains firmly in place across the rest of the state.