The correct answer is: Liquor.
Excise duty is a type of indirect tax that is levied on the manufacture, sale, or consumption of goods or services. In India, excise duty is levied by the central government and the state governments. The central government levies excise duty on goods such as alcohol, tobacco, and petroleum products. The state governments levy excise duty on goods such as liquor, tobacco, and automobiles.
In Andhra Pradesh, liquor is the sector that contributes significantly to excise duties. In 2020-21, the state government collected Rs. 14,000 crore from excise duty on liquor. This was about 25% of the total revenue collected by the state government from all sources.
The other options are incorrect because they do not contribute significantly to excise duties in Andhra Pradesh. Petroleum products contribute about 15% of the total revenue collected by the state government from excise duty. Tobacco products contribute about 10% of the total revenue collected by the state government from excise duty. Automobiles contribute about 5% of the total revenue collected by the state government from excise duty.
Liquor is a major source of revenue for the state government of Andhra Pradesh. The state government has been trying to increase the revenue from liquor by increasing the prices of liquor and by increasing the number of liquor shops. The state government has also been trying to reduce the smuggling of liquor into the state.