Liquor shortage in Delhi from August? Know what rollback of Excise Policy 2021-22 can mean

Written By DNA Web Team | Updated: Jul 31, 2022, 11:55 AM IST

The Delhi government recently announced its decision to roll back the liquor excise policy in the capital amid major political controversy.

After a massive controversy surrounding allegations by Delhi Lieutenant Governor VK Saxena, the Aam Aadmi Party government in Delhi has decided to go back on its liquor excise policy 2021-22, which can cause major problems in the liquor supply of Delhi.

On Saturday, Delhi Deputy Chief Minister Manish Sisodia said that the Delhi government has withdrawn the new excise policy and directed the selling of liquor from government-run stores only, which means that private beer and wine shops will be shut from August 1.

A top government source told PTI, “However, preempting a chaos due to shutting off private liquor shops and time needed for opening government vends, a proposal is likely to be soon presented before Delhi Cabinet for an extension to the 2021-22 policy.”

Since the much-controversial liquor shortage in Delhi is expected to hit from August this year, it is likely that the rates in government wine and beer shops will change, forcing Delhi residents to resort to Noida and Gurugram while purchasing alcohol.

Know what the rollback of Delhi Excise Policy 2021-22 means for the liquor game in the capital –

According to reports, the 468 private liquor shops operating in the city will be shut from August 1 as the term of their licenses and that of the new excise policy expires on July 31, leading to a major liquor shortage in Delhi.

With the new policy gone, the excise licenses issued to hotels, clubs, and restaurants having bars, and wholesale operations will also become redundant apart from privately run liquor stores in the city.

Essentially, there will be no liquor supply from the wholesalers to the entire hospitality sector, including clubs and bars, after July 31, till the time some alternate arrangements are made by the government.

Due to this, it is likely that liquor served in Delhi restaurants, bars and clubs may get expensive since vendors will have to source their alcohol from Haryana or Uttar Pradesh.

In the few days which are left before the excise policy in Delhi is rolled back, many liquor shops are offering heavy discounts, with 25 to 50 percent off and one plus one deal.

As per media reports, liquor industry experts also predict that the transitional period as the policy is rolled back can lead to black marketing of liquor in Delhi. Due to these issues, the Kejriwal government is seeking a one-month extension period on the liquor excise policy.

Meanwhile, Manish Sisodia said that the Chief Secretary has been asked to ensure that there is no chaos in the city during the transition period before the opening of government liquor stores and also for keeping a check on the sale of illegal alcohol.

(With PTI inputs)

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