'Govt to suffer nearly Rs 1,000 cr loss': Liquor association chairman on new rule

The government is likely to suffer a loss of nearly Rs 1,000 crore, according to Harish Chouhan, the chairman of Delhi Liquor Trader Association. Harish Chouhan said his business is completely closed and he has moved the Supreme Court against the new excise policy.

However, the Delhi government had said that through the new excise policy, the capital city will get additional revenue of about Rs 3,500 crore every year from November 2021. At present, the Delhi government gets revenue of about Rs 6,500 crores from liquor sales.

According to the government’s New Excise Policy, all of Delhi's private liquor shops will be shut from October 1. Around 260 privately-owned liquor shops will be winding up their business for 45 days. Only state government-run liquor outlets will be allowed to operate till November 16. After that, new players who have got the licence through open bidding will operate the 850 liquor shops in the national capital from November 17 onwards.

The liquor association head also warned the government that this new policy in the backdrop of the festival season, might lead to black marketing and hoarding of liquor. The association head requested the government to ensure the smooth and sufficient supply of liquor.

The Delhi government is expected to gain around Rs 10,000 crore revenue from bidding of liquor shops under the new excise policy.

Also read: Delhi private liquor shops to be shut for 45 days from today