With districts being reorganized in Telangana, the number of bars and liquor outlets are also expected to grow.
According to reports, the excise department is considering issuing more bar licenses based on population numbers.
The Times of India reported that the state might get more than 200 new bars in November alone.
"We revised the bar to population limit to 11,000 from 13,000 in Greater Hyderabad city limits and to 25,000 from 30,000 in other areas in the state. This has given space for more bars," a senior official in the revenue department told TOI.
However, the excise department is laying down strict guidelines for bar owners, in the context of the recent drunk driving cases in Hyderabad.
The TOI report also adds that the state is considering moving the shops away from the highways and that the government is expecting Rs 115 crore in additional revenue through fresh licenses in the state.
Meanwhile, reports suggested that the excise department was favouring "elite liquor outlets" with "secret" Government Orders.
The Deccan Chronicle reported that GO Ms No.271 dated 26.10.2016, which outlined the rules for these elite outlets, was not made public or uploaded online.
"We pay Rs 1.10 crore fee while they pay Rs 1.25 crore. But we cannot sell even water. They are allowed to sell everything. Our shop timings are from 11 am to 10 pm while for them, 11 am to 12 midnight was fixed. Their licence period is for five years while ours is two years. These examples are enough to show how officials favoured certain individuals. We will suffer huge losses if the government permits them in our locations," a liquor shop owner told DC.