BHUBANESWAR: Foreign Made Foreign Liquor (FMFL) and wine have become cheaper in Odisha as the State government has reduced excise duty on these products in its new Excise Policy for 2022-23.
The policy document said that the decision has been taken to reduce disparity in MRP with neighbouring states and also promote high-quality FMFL and low-strength wine. However, excise duty for Indian Made Foreign Liquor (IMFL) and beer has been kept unchanged.
Official sources said while excise duty on different FMFL has been reduced by 15 to 20 per cent, in case of wine it has been brought down by 10 to 15 per cent. The retail price of different brands of FMFL and wine has come down by 10 to 15 per cent following the reduction of excise duty.
Excise department officials maintained that the State exchequer was incurring losses because of the high excise duty on premium brands in Odisha compared to the neighbouring states like Chhattisgarh and West Bengal. People of Odisha were preferring to purchase FMFL and wine from the neighbouring states because of the high price here.
However, there has been a nominal increase in license fee, MGQ (minimum guaranteed quantity) and application fee for manufacturers, suppliers as well as retailers in this year’s policy. Some more premium ‘Off’ shops have been proposed in Bhubaneswar, Berhampur, Sambalpur, Rourkela municipal corporations as well as four other municipalities following encouraging response, it added.
Besides, to encourage low alcoholic drinks, the microbrewery policy has been redesigned. A separate license fee slab of Rs 5 lakh per annum for standalone microbreweries has been introduced without a restaurant ‘ON’ license. Similarly, in order to improve compliance, fees for temporary bar licenses have been reduced. The fee for additional bars in ‘ON’ shops has also been rationalised.
The emphasis on automation of various processes like the issue of permits/passes/licenses/payments will continue under the 5T action plan of the government to promote ease of doing business. Besides, the policy announced that the Excise department will strengthen the enforcement activities through improved intelligence collection, better infrastructure and resources, enhanced deployment of enforcement staff as well as the use of technology for monitoring and supervision.
Certain qualifying criteria for brand registration have been introduced in this year’s policy to restrict the entry of inexperienced suppliers or brands with unverified credentials in the Odisha market. Besides, no license will be granted to a liquor shop having the name of deities /eminent personalities (living or dead) which can hurt the sentiments of the people.
Home delivery of liquor will continue in addition to counter sales. The MRP will be displayed on each bottle of FMFL, IMFL, wine, beer and country liquor and sold accordingly. The vendors are asked to issue cash memo to all consumers and not charge above MRP, failing which vendors shall be penalised with a fine.