40% of Delhi private liquor vends to shut from Oct 1 due to new excise policy: 10 points

Around 40 per cent of liquor vends in Delhi that are run privately will shut down for one-and-half months from October 1 since businesses will have to transition to a new excise regime introduced by a policy announced by the Aam Aadmi Party (AAP) government. As per the new liquor policy, all the 850 liquor vends, including 260 outlets run privately, have been given to private firms through open tender.

The shutdown will be in place till November 16, and the new licence holders will be able to start retail sale of liquor in the city from November 17.

In the transition period of nearly one-and-half months, only government-run liquor vends will remain open. They will close down on November 16.

Here are 10 points on Delhi's new excise policy and shutdown of vends:

• An excise department official said on Wednesday that government vends have been asked to stock up in view of an expected surge in demand due to the closure.

• There are 26 municipal wards in the city where no liquor shops will open after September 30 as they were catered to by private vends only. There are already 80 wards where there is no liquor vends.

• The new excise policy, for the first time, will mark the exit of the Delhi government from the retail business of liquor.

• Under its new excise policy, the Delhi government has divided the city into 32 zones. Each zone comprising 8-10 wards will have around 27 vends.

• The new policy has been introduced with an aim to provide equitable distribution of retail liquor business across Delhi, said the government.

• It also seeks to improve user experience, clean up the liquor mafia and eradicate pilferage. The new liquor policy was implemented on June 11.

• The policy also states that the retailers will be free to decide the selling prices in a competitive environment, rather than an MRP being mandated by the government.

• With the new policy, the government plans to keep the total number of vends intact, reshuffling them into 32 zones to ensure a more equitable distribution across 272 municipal wards in the city, the New Delhi Municipal Council (NDMC) area and the airport.

• The newly appointed retail licensees will have to build bigger and modern liquor vends from November 17. Customers will get the facility to walk in and choose their preferred liquor brands.

• With the new policy, liquor shops in Delhi will also be able to offer discounts, enabling festive season offers of the kind that are usually seen around Diwali on vehicles, electronics, and gift items.