Cheers muted on first day of Delhi's new liquor policy

With many customers returning empty-handed, liquor vend owners say normalcy will return after initial hiccups 
BJP workers shout slogans against the new liquor policy at Jantar Mantar in New Delhi on Wednesday. | Shekhar Yadav
BJP workers shout slogans against the new liquor policy at Jantar Mantar in New Delhi on Wednesday. | Shekhar Yadav

NEW DELHI:  As the new excise regime came into effect on Wednesday, November 17, 2021, preparations were still going on in most of the retail liquor vends, which are yet to operate on full scale. Many customers had to return empty-handed and liquor vend owners said these are initial hiccups.

Under the new policy, 850 retail vends will come up across the city. But only about 350 have been issued provisional licenses to procure stock and start business. With the new policy in place, the Delhi government, which used to run at least 60% of retail liquor stores in the city, has quit the business. Liquor business in the capital will now be run completely by private players. This is good news for liquor retailers as well as restaurants, bars and hotels, who can fix the price instead of having to sell it on MRP mandated by the government.

“We are yet to be issued our license id, only after which we will be able to place an order for the stock to wholesalers. We have to wait for stock, as the shelves are empty,” said a store manager in Greater Kailash. A number of vends were still to get stock. Many were closed.

Himanshu Khanna, 28, said the shop he went to in Saket did not have the brand he wanted. “I checked out more vends, but nobody seemed to have supply. I picked up something off the shelf,” he said. According to excise officials, this policy is a huge transition from the old one and things will take at least a month to settle down. “Many applications are pending.

Only after licenses are issued, the owners can place their orders to wholesalers,” said an official. Tushar Kasana, who visited many shops in Govindpuri to buy liquor said that the vends are either under maintenance or do not have the stock. “The government should have made adequate arrangements before overhauling the entire system.” Another buyer said, “Today, it feels like a dry day. Most of the shops are under maintenance.”

According to government officials, provisional licences have been given to around 350 shops and registration of over 200 brands have been done with 10 wholesale licensees. Wholesale licensees have procured nine lakh litres of liquor of various brands, they said. The new excise policy allows the opening of five super-premium retail vends having an area of 2,500 square feet. Liquor tasting facility will also be developed at these super-premium retail vends.

Officials also said wholesale prices of all types of alcohol were likely to increase by 8%-9%. As per a government order last month, the impact on wholesale prices is due to factors like Central sales tax at two per cent. 

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