India, April 18 -- In a major step to liberalise retail alcohol sales and make them more accessible to small entrepreneurs, the Uttar Pradesh government has begun a pilot project under its new excise policy, allowing the sale of low-alcohol beverages such as beer in multiplex-equipped malls, officials at excise department said on Thursday.

As part of the initiative, the excise department has begun accepting applications for a newly introduced FL-4D licence, which allows the retail sale of beer, wine, and other beverages categorized as low in alcohol content. The scheme is currently being implemented on a pilot basis in Gautam Budh Nagar, Ghaziabad, Agra, and Lucknow, officials said.

The licence comes at a significantly lower annual cost...