The AP State Beverages Corporation Limited (APSBCL) is all set to introduce digital payments in liquor shops run by it, most probably by the end of August. In a candid chat with TNIE Principal Correspondent S Viswanath, APSBCL MD D Vasudeva Reddy said delay in integration of AP online, State Bank of India (SBI) and Comprehensive Finance Management System (CFMS) was the reason for the delay in introducing cashless payments in liquor shops. Excerpts from the interview.
What is the reason for the delay in launching digital payments in liquor shops?
After taking over the liquor sale in 2019, the APSBCL is running 2,934 shops across the State and handling `70 crore on an average per day. It is a Herculean task. However, by arranging two layers of protection, we were able to arrest the leakages.
The Excise Department and the third party audit team are inspecting shops. Every shop will be covered at least once a month. The business stood at `25,000 crore in the 2021-22 fiscal, the highest ever. The introduction of digital payments was delayed due to the delay in integration of AP online, State Bank of India (SBI) and Comprehensive Finance Management System (CFMS), and the agencies are working on it. Cashless payments will be launched most probably by the end of August.
The government claims that consumption of liquor has come down, but the sales figures (`25,000 crore) paint a different picture. Can you explain?
APSBCL is a commercial organisation. In fact, the sales volume of liquor has reduced because of the steps taken up by the government. But, the business value has gone up because of the increased prices of liquor.
What is the reason for increasing and later slashing the prices of liquor?
Initially, we thought that the consumption would come down if liquor prices are increased. However, it led to flow of liquor from the bordering States and it emerged as a law and order issue as nearly 1.50 lakh cases were booked for liquor smuggling. Against such a backdrop, the prices were cut. Still, prices of liquor in AP are more compared to other States.
There are allegations that liquor made in the distilleries in the State contains harmful chemicals. What do you say?
Based on a report given by a laboratory (Chennai-based SGS lab), apprehensions were made that liquor in AP is not safe. However, in response to our letter, SGS Laboratories informed us that they never said that the samples they have tested were poisonous. They only said they found some traces of harmful chemicals, which are in permissible levels. In fact, some drugs, which we use to overcome illness, also contain some harmful substances within permitted limits. We also tested the samples in the lab at Andhra University in Vizag, another lab in Hyderabad and a private lab and found that traces of chemicals are within permissible limits. In short, liquor in AP is as safe as liquor in other States.
Are there any government laboratories in AP to test the liquor samples?
We have no empanelled lab in AP. However, we have decided to set up at least one each laboratory in Visakhapatnam, Vijayawada and Tirupati.
There are allegations of irregularities in the auction of bar licences. There are also allegations that ruling party leaders blocked some bidders from participating in the auction...
The auction was conducted online in a transparent manner. We are not responsible if something happens behind the screen.