NEW DELHI: The government’s excise department has allowed private shops to offer up to 25 per cent discount on the maximum retail price (MRP) of liquor. In February, the government prohibited discounts and schemes being offered by liquor stores in view of violations of Covid-related guidelines and unhealthy market practices.
An order issued by the excise commissioner of Delhi however stated that the government has recommended that rebate or discount up to 25 per cent of the MRP will be allowed on the sale of liquor in jurisdiction of NCT of Delhi with strict compliance of Rule 20 of the Delhi Excise Rules, 2010.
“The Commissioner, Excise, under Section 4 of the Delhi Excise Act directed that the licensees can offer discount or concessions up to a maximum of 25 per cent of the MRP of liquor sale in Delhi,” read the order. In terms of any violation, strict penal action will be taken under the Delhi Excise Act.
“However, in overall public interest, the government reserves the right to withdraw the discount at any time. The government will not be under any obligation whatsoever and it will be non-binding on the government to allow discount on sale of liquor in Delhi,” it added.
In view of violations of the Delhi Disaster Management Authority (DDMA) guidelines related to Covid-19 and distortion of market due to “unregulated discounts” offered by some licensees, the excise department on February 28 discontinued rebate and concessions on the sale of liquor in Delhi, the order stated.
With liquor shops giving discounts and offers like ‘buy one, get one free’, crowds were seen thronging liquor vends in many parts of the city in February.
However, the resident welfare associations said that the alcohol discount will cause law and order problem in their neighbourhood attracting larger crowds at vends.
‘Distortion’ of markets due to discount
In view of violations of the DDMA guidelines related to Covid-19 infection and distortion of market due to “unregulated discounts” offered by some licensees, the excise department on February 28 discontinued rebate and concessions on the sale of liquor in the national capital