CHANDIGARH: The Congress-led Punjab government is planning to set up a corporation for liquor distribution in the state. The move is aimed at taking over its wholesale distribution to end the monopoly of politicians and other influential people who control over 80 per cent of the alcohol business in the state.
This is expected to earn revenue for the crash-strapped state government on the pattern of Kerala and Tamil Nadu.
Sources said the policy prepared by the state excise and taxation department is expected to be cleared by the state Cabinet next month. The policy proposes scrapping L-1 wholesale licence and giving the wholesale and distribution to a government-run corporation. At present, of the total 73 L-1 licences given, most are in the hands of politicians and other influential people.
From April, 5 per cent liquor quota and the number of vends in the state will be reduced, which will adversely impact excise revenue.
Out of the 5,900 liquor vends in the state, around 500 are owned by family members of former Akali Dal MLA Deep Malhotra. Another 200 outlests are owned by SAD leader Shiv Lal Doda and his associates. Arvind Singla and his group controls 150 vends. Congress MLA from Samrala, Amrik Singh Dhillon—who is likely to become a minister in Captain Amarinder Singh’s government—and his group control 70 vends. Mohali MLA Balbir Singh Sidhu’s brother Amarjit Singh Sidhu and his group controls over 30 liquor outlets.
Sources said that in the 16 distilleries in the state, seven are owned by SAD-BJP and Congress leaders.
In the 2.77 crore population of Punjab, the consumption of liquor is 13 bottles per person.
The powerful liquor lobby in Punjab is opposing the government’s move saying that checks on liquor smuggling from neighbouring states can increase revenue.
The sources said the government believes that once it controls the liquor business, the state’s excise revenue will go up `3,000 crore.
For the current financial year, the excise target was Rs 5,420 crore, but it is likely to fall way short as the liquor business was hit by the closing down of vends and bars along highways for some months.
Netas’ monopoly
16 distilleries in Punjab, of which 7 are owned by families of SAD-BJP and Congress leaders. Politicians control over 80% of alcohol business in the state